Telecom

More than 100 primary schools in Otago have begun their school year with a stock of new library books donated by Telecom and Scholastic.

A period of relative calm awaits Telecom in 2012, Craigs Investment Partners broker Chris Timms says.

The new chief executive of Telecom would need to follow the lead set by Paul Reynolds of being open and honest to shareholders, Craigs Investment Partners broker Chris Timms said yesterday.

Telecom is to review its capital structure - having split from its New Chorus network business last week - in order to maintain a crucial "A-band" credit rating.

The shares of a split Telecom - into New Chorus and New Telecom - debuted on the New Zealand stock exchange yesterday, both trading well as investors topped up their holdings.

The Telecom demerger and company split begins today on the Australian stock exchange and on the New Zealand exchange on Wednesday.

The world's largest asset management company, United States-based Black Rock, has grabbed a 5%, $250 million stake in Telecom after 16 of its global subsidiary companies purchased shares recently.

Telecom has admitted breaching the Fair Trading Act after misleading customers about the amount of broadband they used.

Telecom is appealing a ruling that saw it slapped with a massive $12 million fine last year for breaching the Commerce Act.

Telecom did nothing to scare the markets when it released its demerger documents earlier this week. The vote to separate New Telecom and New Chorus seems a sure thing. Business editor Dene Mackenzie talks to analysts about the prospects for the two companies.