22 September 2006

TELSTRA BOARD

The Minister for Finance and Administration, Senator Nick Minchin, and Minister for Communications, Information Technology and the Arts, Senator Helen Coonan, today announced that the telecommunications experience of the Telstra Board is to be strengthened in advance of the Telstra 3 Share Offer through the appointment of an additional director.

The Government has sought the nomination of Mr Geoffrey Cousins as director and will support his nomination at Telstra’s AGM on 14 November 2006.

With Telstra being transformed from a telecommunications company to a media communications company, Mr Cousins is an ideal board candidate, with broad experience across the telecommunications, broadcasting and advertising sectors.

From his time as Chief Executive of Optus Vision, he brings extensive telecommunications experience to the Telstra board table. He has served on the PBL and Seven boards. Mr Cousins has proved his robust independence through his service on several boards, such as Insurance Australia Group Limited.

He is also a man who understands public policy and processes and this is a plus for the board and the company.

At the time of the AGM, the Government will still own 51.8 percent of Telstra, prior to the transfer of around 30 percent of the company to the Future Fund. Therefore it is appropriate for the Government to be voting its shares at the AGM.