20 Jan 2011

Telecom timeline for split being revised

8:38 am on 20 January 2011

Telecom is revising its timeframe to split its business in two, so it can take part in the Government's ultra fast broadband scheme.

The company needs to split its retail and network arms to participate in the $1.5 billion and previously indicated it planned to do so by June.

But chief executive, Paul Reynolds, says a final timeline can be agreed only once a final agreement with the Crown has been reached.

In mid-December, Crown Fibre Holdings announced it was in priority negotiations with Telecom to build the lion's share of the network, but no final agreement has been reached.

Mr Reynolds says a structural separation will be a complex and detailed process, and a final timeline will be determined when the company is able to reach an agreement.

The plan will also have to be approved by Telecom's shareholders.