Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.



BDFL
47916 posts

Uber Geek
+1 received by user: 3538

Administrator
Trusted
Geekzone
Subscriber

Topic # 75596 20-Jan-2011 11:32 Send private message

Just received:


UPDATE ON TIMELINE FOR STRUCTURAL SEPARATION
19 January 2011

Telecom has today advised that it will announce a revised timeframe for the structural separation of its business, upon entering into a contractual arrangement with Crown Fibre Holdings for the Ultra-Fast Broadband (UFB) project.

“Based on initial timeframes for the UFB project, Telecom has previously indicated that it would aim to enact structural separation by the end of June 2011,” said Paul Reynolds, Telecom CEO. 

“However, that would have required Telecom to have reached a contractual arrangement with Crown Fibre Holdings last year for this timeframe to be achieved. 

“In December last year, Telecom was confirmed as a negotiating partner for the UFB rollout and is now in detailed negotiations with Crown Fibre Holdings. However, the final timeframe for demerger will be determined when Telecom is able to reach an agreement.”

The company has proposed structural separation – splitting into two separate companies – as part of its proposed package for involvement in UFB that encompasses co-investment, partnership and regulatory and legislative reform. 

Dr Reynolds noted that enacting structural separation is a complex and detailed undertaking, requiring far-reaching changes to Telecom’s businesses. 

“There are a wide range of commercial, regulatory, legislative and disclosure considerations involved in enacting the demerger of Telecom. It will also require Telecom’s shareholders to vote in favour of the proposal.” 




Create new topic
7519 posts

Uber Geek
+1 received by user: 233

Trusted
Subscriber

  Reply # 429263 20-Jan-2011 17:23 Send private message

Should be interesting..

Consider the 2010 financial results (which are available from here http://www.telecom.co.nz/accountingseparation)

Chorus: $571m profit from $1,059m revenue, profit is 54% of revenue
Telecom Wholesale: $10m loss from $925m revenue, profit is -1% of revenue
Telecom Retail: $143m profit from $3,301m revenue, profit is 4% of revenue

Chorus is basically the best part of the business, going to have to offer a sweet deal to shareholders.

4766 posts

Uber Geek
+1 received by user: 530


  Reply # 429267 20-Jan-2011 17:33 Send private message

Ragnor: Should be interesting..

Consider the 2010 financial results (which are available from here http://www.telecom.co.nz/accountingseparation)

Chorus: $571m profit from $1,059m revenue, profit is 54% of revenue
Telecom Wholesale: $10m loss from $925m revenue, profit is -1% of revenue
Telecom Retail: $143m profit from $3,301m revenue, profit is 4% of revenue

Chorus is basically the best part of the business, going to have to offer a sweet deal to shareholders.


When the commerce commission dictates the prices each business unit can charge each other you are going to get some funny reuslts.

1603 posts

Uber Geek
+1 received by user: 63

Trusted

  Reply # 430393 24-Jan-2011 00:08 Send private message

So if a new Telecom spinoff is leading any fibre consortium, we have to wait until shareholders approve it before build can start? They should have pushed the demerger through already if they were serious. Maybe Telecom should focus on building infrastructure that will get them a chance to sell/lease to the fibre co later on, or perhaps exchange for shares in the consortium after the demerger is through.




Qualified in business, certified in fibre, stuck in copper, have to keep going  ^_^

7519 posts

Uber Geek
+1 received by user: 233

Trusted
Subscriber

  Reply # 430396 24-Jan-2011 00:17 Send private message

Yep Chorus/whatever must be structurally separated to be eligible to be a LFC/RFC (local/regional fibre co) structural separation is obviously not possible without shareholders approval.

So yes it's going to be VERY interesting imo.

Australia are taking a completely different approach, they have a much larger budget (near 40 billion) so their NBN co is just straight up spending $11 billion AUD to buy Telstra's access assets ie: pits, ducts, copper, fibre etc.



Create new topic








Twitter »
Follow us to receive Twitter updates when new discussions are posted in our forums:



Follow us to receive Twitter updates when news items and blogs are posted in our frontpage:



Follow us to receive Twitter updates when new jobs are posted to our jobs board:



Follow us to receive Twitter updates when tech item prices are listed in our price comparison site:




News »

Trending now »
Hot discussions in our forums right now:

Forms of government for New Zealand
Created by charsleysa, last reply by Sidestep on 18-Apr-2014 09:26 (86 replies)
Pages... 4 5 6


Problem with NDSCam
Created by haydenmarsh, last reply by Benoire on 14-Apr-2014 21:28 (21 replies)
Pages... 2


galaxy s4 now on 4.4.2
Created by nzrock, last reply by Presso on 18-Apr-2014 09:00 (41 replies)
Pages... 2 3


MH370 - Call for Search & Rescue Help
Created by DS248, last reply by Sideface on 17-Apr-2014 17:28 (735 replies)
Pages... 47 48 49


Weather - Auckland
Created by networkn, last reply by Sidestep on 17-Apr-2014 13:47 (18 replies)
Pages... 2


NZ still in the stone ages regarding IT ?
Created by surfisup1000, last reply by wasabi2k on 17-Apr-2014 16:49 (16 replies)
Pages... 2


why does the tax payer have to pay for the prince and princess' 6 star holiday?
Created by joker97, last reply by Geektastic on 17-Apr-2014 15:49 (67 replies)
Pages... 3 4 5


Why is there a lack of ultraportables with Intel Iris graphics?
Created by d3Xt3r, last reply by wasabi2k on 14-Apr-2014 13:21 (32 replies)
Pages... 2 3



Geekzone Live »
Try automatic live updates from Geekzone directly in your browser, without refreshing the page, with Geekzone Live now.

Are you subscribed to our RSS feed? You can download the latest headlines and summaries from our stories directly to your computer or smartphone by using a feed reader.

Alternatively, you can receive a daily email with Geekzone updates.