Telecom releases demerger documents
Telecom has published a range of documents in conjunction with the Ministry of Economic Development (MED) outlining the process by which the company will be separated from its network arm, Chorus.
The documents include draft Deeds of Open Access, which define the terms of access to the ‘New Chorus’ network and ensure principles of non-discrimination apply, and an Asset Allocation Plan, which outlines the basis for splitting Telecom’s assets and liabilities between itself and New Chorus.
Telecom CEO Paul Reynolds says Telecom is the first comparable telco in the world to undergo such a separation.
"Unpicking such a complex business is a massive undertaking,” Reynolds says.
"We believe we are now well positioned to deliver a stand-alone New Chorus business in a timely and effective manner, while also ensuring there is no disruption to services or unnecessary cost created for the industry.”
Chorus was required to split from Telecom in order to bid for a contract in the government’s Ultra-Fast Broadband (UFB) initiative.