2002-03-27

Dear Friends

This was our first stab, more than a year ago, at was happening with Vickers OMC, specifically in relation to armoured vehicle business, but we also knew then of the lesser matters of corvette gearboxes, etc.

Watch this space when it comes to Armoured Personnel Carrier for SANDF, Armoured Reconnaissance Vehicles for SANDF, Armoured Fighting Vehicles for SANDF and Main Battle Tank for SANDF. All of these are scheduled for the next 10 to 15 years of acquisition.

In addition, there are likely to be G5 and G6 sales to the Gulf, as well as other potential markets.

Even if, for example, the Main Battle Tank for SANDF comes off only in 15 years' time, by which time Mji and Mbeki might be too old to really appreciate the fruits of this sweet deal, they could sell their 25% stake much sooner than that for a lot of money once the present SDP lowers its profile and the next big acquisition, concentrating on equipment for the SA Army, starts in the next couple of years.

And people didn't believe me when I spelt out "The Big Picture" over 18 months ago.

I have more-or-less enlightened (if that is at all possible) all the SDP JIT investigators on all of this many. many months ago. That's when I though I could trust them. This is why I drew up all the organograms in the first place.

Regards

Richard Young