Issued 8 August 2003

The Commerce Commission will hold a four day conference next week on its draft determination on the calculation of Telecom New Zealand Limited's net cost of complying with its telecommunication service obligations (TSO).

The conference will be held on Monday 11 and Wednesday 13 to Friday 15 August in the ground floor conference room of the NGC Building, 44-52 The Terrace, Wellington.

In June the Commission released its draft determination, setting the net cost for the period 20 December 2001 (the commencement date of the Act) to 30 June 2002 (the end of Telecom's financial year) at $38.84 million.

Interested parties were asked to make submissions on the draft determination. The conference is a process where parties can present their submissions orally, and the Commission can ask questions based on those submissions.

The Commission will release its final determination on the TSO net cost as soon as practicable after the conference.

Attached is a copy of the conference programme.

Media are asked to confirm their attendance with Jackie Maitland, Communications Manager,

(04) 924-3708 or jackie.maitland@comcom.govt.nz

A copy of the Commission's draft determination is available on the website, www.comcom.govt.nz, select Telecommunications Regulation.

AGENDA FOR TSO CONFERENCE

11 AUGUST and 13-15 AUGUST 2003

Venue: Wanaka Room, Ground Floor, NGC Building

44-52 The Terrace, Wellington

Chair: Douglas Webb, Telecommunications Commissioner

Commission Members: Paula Rebstock, Donal Curtin

DAY ONE: MONDAY, 11 AUGUST

9.00-9.10

Opening Address from Douglas Webb

9.10-10.45

TelstraClear Cost Modelling Session

10.45-11.00

Morning Break

11.00-1.00

TelstraClear Cost Modelling Session

1.00-2.00

Lunch

2.00-4.00

TelstraClear Cost Modelling Session

3.30-3.45

Afternoon Break

3.45-5.00

TelstraClear Cost Modelling Session

DAY TWO: WEDNESDAY, 13 AUGUST

8.30-10.30

Telecom Cost Modelling Session

10.30-10.45

Morning Break

10.45-1.00

Telecom Cost Modelling Session

1.00-2.00

Lunch

2.00-3.30

Telecom Cost Modelling Session

3.30-3.45

Afternoon Break

3.45-4.30

NZ Business Roundtable

4.30-5.00

Mark Weldon, NZX

DAY THREE: THURSDAY, 14 AUGUST

8.30-10.30

Telecom WACC

10.30-10.45

Morning Break

10.45-1.00

Telecom WACC

1.00-2.00

Lunch

2.00-3.30

TelstraClear WACC

3.30-3.45

Afternoon Break

3.45-5.00

TelstraClear WACC

DAY FOUR: FRIDAY, 15 AUGUST

8.30-10.30

Vodafone

10.30-10.45

Morning Break

10.45-1.00

Vodafone

1.00-2.00

Lunch

2.00-3.30

TelstraClear Summary

3.30-3.45

Afternoon Break

3.45-4.45

Telecom Summary

4.45-5.00

Wrap up (Commissioner Webb)