1. Presentation to the PCDMV Military Veterans Support Services & Benefits 10 June 2015 Presented by Mr Kevin Wakeford

2. SCOPE  Introduction  Current State  Planned Interventions  Challenges  Enablers

3. INTRODUCTION  Amongst other functions (Armscor Act 51 of 2003), the following are key to providing MV support: Acquire / procure defence matériel & related services for the DoD Disposal of redundant or surplus stock Management of Defence Industrial Participation programmes Maintenance of strategic facilities & provision of essential defence support services

4. INTRODUCTION (Cont.)  Regulatory Framework: Military Veterans Act 18 of 2011 (Section 3)  Organs of State to support of MV BBBEE Codes of Good Practice  Recognises MV as designated group

5. CURRENT STATE  Established Armscor Committee for Military Veterans Support (ACMVS)  Purpose:  Investigate, coordinate and drive initiatives to support MV  Registration of MV businesses to Armscor’s database  Identify existing & potential products/services

6. PLANNED INTERVENTIONS Procurement & maintenance services – R5b pa Operations – R7m pa Travel services at cost – R1.4m pa Bursary scheme – 5 x students pa Apprenticeship – 5 x interns pa Generic training – 20 x MV/dependants pa Specialised training – 5 x MV/dependants pa Social & economic upliftment (guided by the need) Budget R1.5m pa Programmes 2015/16 – 2017/18 Programmes 2015/16 – 2017/18 Travel Consultants – R480k pa Disposal Warehousing – R535k pa Other

7. Economic Empowerment  Procurement & maintenance Services:  Aircrafts, vehicles, vessels, electronic systems and spares  Operations Services:  Security  Cleaning  Gardening  Air-conditioning  Lifts & escalators  Catering  Travel Services:  Flight  Accommodation  Car Rental  Visa application

8. Skills Development ANNUAL COST OF PLANNED INTERVENTIONS TYPE OF INTERVENTION NR OF STUDENTS/ INTERNS/ DEPENDANTS COST PER PERSON TOTAL COST Bursary Scheme5 R 100 000.00 R 500 000.00 Apprenticeship5 R 108 300.00 R 541 500.00 Generic training20 R 3 000.00 R 60 000.00 Specialised training5 R 20 000.00 R 100 000.00 TOTAL R 1 201 500.00

9. CHALLENGES & ENABLERS Enablers  Explore commercial opportunities for sustainability  Accredited MV database  MoU with DMV  Revised acquisition & procurement policies to incentivise inclusion of MV  Supplier Open Day to be held 2015/16 to encourage inclusive economic participation, i.e. MV  Explore commercial opportunities for sustainability  Accredited MV database  MoU with DMV  Revised acquisition & procurement policies to incentivise inclusion of MV  Supplier Open Day to be held 2015/16 to encourage inclusive economic participation, i.e. MV External Challenges  Reduced transfer payment:  2015/16 – 2017/18 (R318m)  Defence Industry Transformation:  Quality transformation / Active participation  Youth / Women / MV  Legislation:  PPPFA & BBBEE Internal Challenges  Insufficient Funding:  For normal business operation  Acquisition & Procurement Policies:  Restrictive & inflexible

10. THANK YOU - QUESTIONS 10