[LINK] Telstra - taking its ball and going home.

[Jan Whitaker]

At 05:38 PM 9/08/2006, Frank O'Connor wrote:
>and unless Sol really pulls a rabbit out of the hat tomorrow ... are 
>bereft of ideas, plans and strategies for the future.

Out of curiosity I googled Sol and hit gold -- almost literally! You know 
that story the other day about his golden handshake bonus with USWest when 
he left the company - something like $75mil. Have a read of this from 2000 
for when the merger was happening  with Qwest, if he agreed to stay until 2004:

http://www.westword.com/issues/2000-01-06/news/news.html
"The four-year deal is called a "retention agreement." As the company 
explained in the filing, "The purpose for such retention awards and grants 
is to provide additional incentives to individuals who are critical to the 
business both in terms of completing the merger and beyond, and who are 
likely targets for competitive offers from other companies...Given the 
demand for senior executives in the telecommunications industry, the Human 
Resources Committee approved and the US West board ratified the terms of a 
retention agreement with Mr. Trujillo."

Trujillo's side of the bargain is simple. He will run the new company for 
at least four years. If he leaves Qwest Communications International, he 
agrees not to work for any company that competes with the new 
telecommunications giant for a period of eighteen months. Also, should he 
leave, he promises not to "solicit or entice away any employee, sales 
representative or customer from US West."

All he gets in exchange for the sacrifice is more than $250 million."

Since this was published in 2000, I don't know if he actually got it, but 
if he did, that redundancy payment was chicken feed...or is that rabbit 
feed? Reckon he and Big Phil really have their sights set on a merger with 
...hmm....Optus? Vodaphone? another carrier? or some other media company? 
Fairfax? PBL? Wonder if *that* is what the media regulation changes are 
really about? Anyone seen ol' Sol's Tel$tra contract?

Jan

Jan Whitaker
JLWhitaker Associates, Melbourne Victoria
jwhit at janwhitaker.com
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'Seed planting is often the most important step. Without the seed, there is 
no plant.' - JW, April 2005
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