Telstra Corp. Ld 52VQ TelstraClear sale approved by regulators

  Telstra Corp. Ld (52VQ) - TelstraClear sale approved by regulators

RNS Number : 8024P
Telstra Corporation Ld
29 October 2012




30 October 2012 

               

               Telstra Corporation Limited

               Office of the Company Secretary

               

               Level 41
                242 Exhibition Street
The Manager     MELBOURNE VIC 3000                                
                AUSTRALIA
RNS
                

                General Enquiries 61 8 8308 1721

                Facsimile 61 3 9632 3215

                

                Email:

                companysecretary@team.telstra.com



ELECTRONIC LODGEMENT







Dear Sir or Madam



TelstraClear sale approved by regulators



In accordance with the Listing Rules, I attach an announcement for release to
the market.







Yours faithfully





Damien Coleman

Company Secretary



MEDIA RELEASE

                                      

                                      

TelstraClear sale approved by regulators





30 October 2012 - Telstra said today it expected the sale of its wholly owned
New Zealand subsidiary, TelstraClear, to Vodafone New Zealand would be
completed shortly, after the transaction received the necessary approvals from
New Zealand regulators.



The New Zealand Commerce Commission confirmed its approval today following
earlier approvals from the Overseas Investment Office and the Ministry of
Business, Innovation and Employment.



As outlined when first announced on 12 July 2012:



· The sale for NZ$840 million (A$667 million) will also see Telstra
receive NZ$493 million (A$391million) in cash via a pre-completion dividend.
The cash paid as dividend is already part of the Telstra Group's consolidated
cash position.

· The sale proceeds (A$667 million), but not the pre-completion dividend,
will be incremental to Telstra's previously stated expected three-year excess
free cash flow of A$2-3 billion (subject to the NBN roll out schedule and
market conditions).

· Telstra recorded an accounting impairment of A$130 million in fiscal
2012 which was triggered on announcement of the sale. In accordance with
accounting requirements we have continued to consolidate the profits from
TelstraClear until completion, which will total approximately A$30 million.
These will be offset by an accounting impairment to the equivalent amount in
fiscal 2013. A foreign exchange loss of approximately A$123 million will also
be recognised on completion.





Telstra's original announcement can be read at
www.telstra.com.au/abouttelstra/media-centre/



Note: Figures are based on an A$ NZ$ conversion of $1.26.





Media contact: Nicole McKechnie, mobile: 0429004617

Email: media@team.telstra.com

www.telstra.com.au/abouttelstra/media-centre/

Reference: 308/2012



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           The company news service from the London Stock Exchange

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DISDXBDGUSDBGDC -0- Oct/30/2012 07:00 GMT