witch hunt

ASX/MEDIA RELEASE
29 May 2008
The Australian newspaper has made some statements about Soul Communications Pty Ltd, a
wholly owned subsidiary of SP Telemedia Limited (“Soul”) which last month merged with TPG
Holdings Limited (“TPG”).
David Teoh, the Executive Chairman of the newly merged TPG Soul group, has been spending
his early weeks in the role understanding the Soul business and taking steps to improve the
efficiency and profitability of the group. He said “The TPG Soul group is already a very
profitable participant in the Australian telecommunications industry. We are initiating and
driving positive changes to the operations of the group to improve the business for our
customers, our staff and our shareholders.”
The group has achieved an EBITDA of $7 million from the full month’s combined April results of
TPG and Soul and currently holds cash reserves in excess of $20 million.
There has been a recent strategic reduction in the number of staff employed in Western
Australia, with some functions being moved to New South Wales and other functions being
performed off shore. Soul has paid all employee entitlements, and issued all termination
notices, as the law requires.
Soul has been assisting the Australian Workplace Ombudsman in connection with enquiries
being made about a company called Soul Shop Pty Ltd, a former dealer of Soul.
Any steps taken by Soul in connection with dealers have been taken under the terms of the
contracts with those dealers.