Slide 1: Telstra 3 Share Offer - T3 Retail Broker Roadshow Presentation
16 October 2006 The Manager Company Announcements Office Australian Stock Exchange 4" Floor, 20 Bridge Street SYDNEY NSW 2000 ELECTRONIC LODGEMENT Dear Sir or Madam Office of the Company Secretary Level 44 242 Exhibition Street MELBOURNE VIC 3000 AUSTRALIA Telephone 03 3634 6400 Facsimile 03 9632 32
Slide 2: Disclaimer
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Slide 3: Disclaimer cont'd
Slide 4: Our transformation program
Slide 5: 2006 - we've been busy
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Slide 6: Transformation Tracking Record
Slide 7: FY06 Highlights
Slide 8: Best delivery networks, superior content and services, deepest customer understanding
Best delivery | Superior content Deepest customer networks and services _ understanding
Slide 9: Regulation
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Slide 11: What's coming in FY 2007
Slide 12: Unaudited FY07 August YTD Reported Performance
Unaudited FY07 August YTD Reported Performance EBIT down -8.6% PSTN decline stabilised Labour headcount reduction Mobiles. data/32G handsets _ G&S mostly mobile giowth _ Sensis/Broadband continued strength Other - transformation driven International. New World merger _ D&A- acceleration
Slide 13: FY 2007 outlook
FY 2007 outlook idance on Reported Numbers Gu 70 ULL pr ice, no FTIN, band 2 A$i7. 1Ons: re S © a 3 = td a wi & S & S E £ 2 vag & Co £ & 2 Vi. wD a g & s é S ¢ & a > £ = ee a a ° 2 _FYO7 outlook assumpt
Slide 14: FY07 Half on Half EBIT Growth Profile
FYO7 Half on Half EBIT Growth Profile ae I SRO Yellow Transformation Underlying 1H Reporte Pages. . ~ Performance... -EBIT-06/07. low -STransformation” D&A Underlying“ FY Reported Performance. ---EBIT. 06/07: Low base in 2H 06 due to transformation Spend distorting 441//12 growth rates Pete, Sear og
Slide 15: Strategic management objectives through FY10
Strategic management objectives through FY10 Telstra a 2 TOE we premiera Based on NO FITN and A$17.70 ULL with 100% flow on to retail and no further adverse regulatory
Slide 16: New economic model - revenue framework
New economic model — revenue framework shame TEL SPR SLES CREN ONTO HES % NB Applications and Services ~ Fixed and mobile call completion Mobile SMS and MMS a Call connect @ Narrow Band Transaction services ‘IT services 10% of Sales Revenue at Jun 06 ‘® PSTN (Basic, Local, LD) % Dialup internet Acce
Slide 17: Creating a world class company
Slide 18: Telstra 3 Share Offer overview
Slide 19: Telstra - key selling points
Slide 20: Future Fund
Slide 21: Retail Offer timeline
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