Operational overview



  Reutech Solutions



support contract renewed


During the year Reutech Solutions successfully renewed its static telecoms infrastructure support contract with the SANDF for a further five years. This cements a 30-year relationship with the SANDF and underscores Reutech Solutions’ unrivalled capability in the domestic market.

Results were negatively impacted by the unexpected cancellation of a major order for defensive gun systems. This was partially offset by an order received for a similar system for the export market. Ideally suited for anti-piracy operations and close-quarters self-defence, prospects for this segment of Reutech Solutions’ business remain positive.

Sales of Reutech’s patented remote-controlled scraper winch performed well during the year, with the first controller deployed at Anglo Platinum mines. These controllers dramatically improve safety, extend machine and motor life and reduce energy consumption. The equipment can easily be operated by women and has been well received in the market. Reutech Solutions is initially focusing on distributing these systems in South Africa, and will look to roll out the systems internationally in the medium term.

A significant proportion of Reutech Solutions’ capacity in the year was devoted to contracts for the erection and equipping of base stations for Cell C and Telkom. Regrettably, contractual ambiguities with the prime contractors that could not be resolved on a timely basis resulted in substantial losses being incurred on these contracts.

  Frik Kruger (54) 
  • Chief executive: Reutech Solutions
  • NDT (Ind Eng), MDP (Unisa)
  • Appointed to the group in 1982


Primary brands, products and services Focuses on the supply of turnkey solutions for
  • logistics engineering and support
  • weapon stabilisation and fire-directing systems
  • switching networks – providing managed telecoms network infrastructure and support for strategic industries
  • mine scraper winch controller systems
  • renewable energy solutions.

Operational areas Based at Midrand with support facilities throughout South Africa.  

Imports and distributes internationally acclaimed brands such as Alcatel Lucent. 
Market sectors SANDF, other governmental agencies, mining industry and independent power producers providing renewable energy.  
Standards & verifications ISO 9001:2008  

Intellectual property rights Registered patents and designs for Dome Light Blue/Green LED Single and Double Lights

Mine scraper winch control system  
Current BBBEE level 5
2012 target 4

As a result, Reutech has decided to limit its relationships with the two suppliers involved to executable contracts.

Solution’s contract with Nokia to service handsets, with more than 8 000 handsets serviced per month, helps to utilise the available logistics capacity.

Renewable energy

In the past year Reutech Solutions invested considerable time and attention in planning for the generation of renewable energy resources as envisaged in South Africa’s Integrated Resource Plan 2010. The intention is to become a market leader in the design, manufacture and commissioning of components and systems for this new emerging sector.

Solutions has installed a 35 kilowatt solar peak park in Midrand to develop its skills in installing similar solar projects for clients, and to collect site-specific research and development data on the different technologies installed. Additionally, Reutech Radar Systems has developed a solar tracking system for concentrated photovoltaic and concentrated solar power applications.


  Fuchs Electronics


Fuchs maintained production and supplies on existing contracts and retained its presence in all major markets.

Fuchs Electronics manufactures electronic fuzes for military application. During the year, Fuchs’ export business was negatively impacted by countries cutting their defence budgets in the wake of the global economic downturn, in some cases by as much as 25%. While new orders were difficult to come by, Fuchs maintained production and supplies on existing contracts and retained its presence in all major markets.

A substantial export contract, which was expected to materialise in the first half of the year, was only confirmed in September. In anticipation of this order, staffing and production levels were retained with a resulting negative effect on the business’ bottom line. However, the confirmation of this order should impact positively on the 2012 results.

  Mike Tucker (51) 
  • Chief executive: Reutech Fuchs Electronics
  • BEng (Elec)
  • Appointed to the group in 1984


Primary brands, productsand services Capabilities include electronic and precision mechanical design and high volume production of electro-mechanical assemblies.

Designs and manufactures the internationally recognised range of Fuchs electronic fuzes and related defence products for artillery, mortar, naval and aircraft weapon applications.  
Operational areas Factory based at Alberton, Gauteng.  
Market sectors Most of the company’s revenue is generated from export sales to government agencies and ammunition manufacturers.  
Standards & verifications ISO 9001: 2008  
Intellectual property rights The company owns the intellectual property of all products produced.  
Current BBBEE level 8
2012 target 7



RC&C Manufacturing

RC&C is one of South Africa’s largest contract electronics manufacturers. During the year RC&C continued its efforts to diversify revenue streams away from manufacturing television sets, which historically accounted for most of the business’ income. The bulk of income in 2011 was derived from the manufacture of LCD monitors and Electrolux vacuum cleaners, as well as work for Reunert partners, CBI-electric: low voltage and Fuchs Electronics.

Digital television set-top boxes are expected to become a significant part of RC&C’s manufacturing portfolio. Indications are that the Department of Communications will award the first tender for these units in 2012. Through our partnership with Digital Vision Technologies (DiViTech), we are well placed to win a major share of the expected state order for five million units, as well as to service the anticipated public market potential of a further seven million units. Additionally, demand is anticipated to come from other African countries in future.