Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Telstraclear Secures NZ$600m Refinancing

August 19, 2002

Telstraclear Secures NZ$600m Refinancing

TelstraClear has secured a five-year NZ$600 million loan facility with Telstra, confirming debt refinancing for the country’s second largest communications company.

Today’s Business New Zealand Herald features a story suggesting TelstraClear faces a loan crisis in refinancing this sum. This is not true.

TelstraClear Chief Executive Rosemary Howard says the TelstraClear board approved the agreement with Telstra last week, following a review of financing options.

“The Telstra loan facility is a great deal for TelstraClear. It is competitively priced, reflecting Telstra’s strong credit rating, and will save TelstraClear millions of dollars in upfront bank fees,” says Mrs Howard.

Mrs Howard says, as a result, the company’s auditors have confirmed they will remove the fundamental uncertainty paragraph which appeared in the Auditor’s Report for the 12 month period ending 31 December 2001. This statement will not appear in their upcoming report for the six-month period to 30 June 2002.

Mrs Howard says TelstraClear’s success in securing the debt refinancing well in advance of the September 12 bank maturity date was a reflection on the company’s ability to develop its financing options and the confidence of TelstraClear’s shareholders.

“Significant efficiencies were forecast at the time of the acquisition of CLEAR Communications by TelstraSaturn. I am delighted to report that the new business is now EBITDA positive and is on track to realise savings in capital expenditure of more than NZ$100 million over the next five years and annual operating cost savings of NZ$50 million,” she says.

“We look forward to the benefits of the Telecommunications Act for New Zealanders. We expect these to provide an environment that is conducive to competition and choice, assisting in the success of challengers such as TelstraClear,” she says.


For Further information
Mathew Bolland
Public Affairs Manager
TelstraClear Ltd
Direct dial + 64 (09) 912 5835
Mobile + 64 (029) 912 5835

TelstraClear Limited
TelstraClear Ltd is New Zealand’s second largest full service communications company, providing innovative market leading products, services and customer focus to the business, government, wholesale and residential sectors.
As at January 2002, TelstraClear Ltd serves over 300,000 business and residential customers in every central business district and over 30 regional centres. This represents more than 11% of the New Zealand market through a full voice, data, Internet Protocol and cable TV product range.
Created from the acquisition of CLEAR Communications Ltd by TelstraSaturn Ltd in December 2001, TelstraClear Ltd provides a real choice in the New Zealand communications market, and seamless services to trans-Tasman customers. For further information visit

© Scoop Media

Business Headlines | Sci-Tech Headlines


Retail: International Websites To Pay GST

New rules would be aimed at imported goods valued at or below $1,000. Customs would retain responsibility for collecting GST on imported parcels valued more than $1,000. More>>


High-Level Advice: PM’s Business Advisory Council Membership Announced

The Prime Minister’s Business Advisory Council brings together a mix of experts, six women and seven men with small to large business experience, from across New Zealand, to provide advice. More>>


Improving: Report Shows New Zealand Air Quality 'Good'

Our air 2018, produced by the Ministry for the Environment and Stats NZ, shows that while some previously known issues persist, progress has been made and levels of some pollutants are declining. More>>


Greenpeace: Govt Extends OMV Exploration Permit

The Government has just granted oil giant OMV a two-year extension to drill in the Great South Basin, despite issuing a ban on new oil and gas exploration permits in April. More>>


Collective Bargaining For Contractors: Working Group's Model For Screen Sector

A recommended model to allow collective bargaining for contractors in the screen sector has today been unveiled by the Government-convened Film Industry Working Group. More>>


Kauri Dieback: DOC Closing Tracks To Protect Trees

The Department of Conservation will close 21 tracks across kauri land to help prevent the spread of kauri dieback. An additional 10 tracks will also be partially closed and the open sections upgraded... More>>