any followers???, page-2

Hi Puss,

One to avoid at the mo' unless you are a good knife catcher :)

Regulatory uncertainty will remain until at least June next year given that the draft Commerce Commission report on bitstream rates has effectively killed CNU's business.

As it stands CNU will lose $160-180m p.a. in net earnings from the new pricing regime.

This will become very political in NZ given that the Government is trying to roll our fibre and these much lower copper prices will now reduce the cost competitiveness of fibre.

Also, CNU was relying on the cashflow from their copper operations to help fund the fibre roll out as the NZ Govt is only partially funding the roll out.

This will keep dropping IMO until the risk/ reward equation is a lot better. Where that will be I don't know but lower than now based on information to-date.

Cheers
John