dead cat bounce, page-7

costello tells telstra to stop whingeing Costello tells Telstra to stop whingeing
Nov 17 14:02
AAP

Telstra must work within the rules governing telecommunications across Australia and stop complaining, Treasurer Peter Costello said on Thursday.

"There is no point in complaining about the regime all the time. They are the rules of the game, and the company has to work within it," Mr Costello said.

His comments follow a string of complaints from Telstra about the regulatory regime under which it operates, and this week's announcement that it plans to sack up to 12,000 staff in the next five years.

Telstra shares have plunged in recent days in response to the company's long term strategic plan.

Mr Costello said the company's management should focus on restoring the value of the share price rather than constantly arguing for changes in government regulations.

"Telstra has to compete inside those rules, alongside other companies, and it has got to focus on doing the best it can within the rules, rather than spending its time trying to change those rules."

Mr Costello described Telstra's recent profits as quite strong.

"The average Australian is looking to the management to come up with a plan which will add value, and also give a good telecommunication services, and that is the management's obligation," he said.

"It is not the management's obligation to be writing the competition rules.