Melbourne, Australia, August 23, 2005
TELECOMMUNICATIONS REFORM PACKAGE A POSITIVE STEP
Melbourne, Australia, August 23, 2005 - Primus Telecom today welcomed the direction of the Federal Government’s telecommunications reform package, in particular measures aimed at promoting competition and investment.
The Managing Director of Primus Telecom, Greg Wilson, said that measures to encourage greater competition were much needed and would help to prevent anti-competitive behaviour that has hampered investment and competition.
“While the measures are unlikely to go as far as necessary, it is welcome that the concept of operational separation of Telstra’s wholesale and retail divisions has survived the T3 debate to this point. If properly implemented and enforced, this should give competitors fair access to the monopoly
elements of Telstra’s network.
“As one of the most vertically integrated telecommunications carriers in the world, Telstra has an extraordinary degree of market power and the capacity to cripple competition and consumer choice if not properly regulated.
“The Connect Australia telecommunications reform package aims to promote investment in new networks and facilities – a highly desirable outcome if Australia is to have vigorous price and service competition in one of the most critical areas of the economy.
“While we look forward to reviewing the detail on how some of the measures will be established, the Federal Government should be congratulated for not caving in to special pleadings that would have totally frustrated a competitive framework,” he said.
About Primus Telecom
Primus Telecom is Australia’s fourth largest fixed-line telecommunications carrier. The Company offers a comprehensive range of voice, data, Internet and web hosting products, servicing both residential and business sectors. The Primus network offers nationwide coverage through its own backbone network with facilities in 66 cities across Australia. The network enables the Company to provide nationwide long distance services and local call Internet access. Primus operates its own fibre network in the five major capital cities, delivering a range of business direct-connect services including ISDN, frame relay, ATM, telephone line and Broadband DSL, as well as telephone line and broadband DSL services direct to residential customers. Global connectivity is provided through an extensive voice, IP, wireless and ATM network operated by the parent company, United States-based Primus Telecommunications Group, Incorporated (NASDAQ: PRTL). Primus Australia news and information are available at the Company's Web site at www.primus.com.au