[clug] transact on abc tv news

[Neil Pickford]

I consulted my personal video server and found the following.
Headline: "TransACT Future Concerns"

The story is about: A merger with ACTEWAGL that was announced today.

Intro: The ACT Government has conceded that TransACT may become the 
subject of a fire sale if the company is forced to close.  While the 
government is confident that the company's future is secure, the 
company's operations have again come under discussion after a merger 
with ACTEWAGL that was announced today. Under the deal up to 20 jobs are 
likely to go.

Story Detail:
Due to an audit in June 2003 noting losses of 77 million dollars.
The merger with ACTEW includes TransACTs call centre, marketing and 
sales divisions.  About 3-4 jobs are affected immediately and possibly 
20 over the next 12 months.

The alliance is expected to save several million dollars a year allowing 
TransACT to take on the competition and to expand more rapidly.
The major competition includes the large national carriers Telstra and 
Optus. A major advertising campaign is expected to begin in weeks.

Questions are being raised about what the merger means for TransACTs 
losses.  Both sides of politics agree the risk of a take-over bid is 
strong.  Transact is still vulnerable because they are still in the 
start-up phase.  It is hoped that the merger of services reduces the 
vulnerability of take-over by other service providers who are hoping for 
a fire sale.

The merger will begin from next week.

see "Transact to cull staff after merger" with ACTEWAGL to save several 
million dollars a year.
http://abc.net.au/news/australia/act/200401/s1034387.htm
for more information

Neil Pickford

Kim Holburn wrote:
> Something about a merger with actew?   I wasn't concentrating on it.