Trujillo Quits Telstra

27 February 2009

SYDNEY: Sol Trujillo, the firebrand ceo of Telstra, the Australian telecoms giant, has resigned after four years in the role, almost simultaneously with the company reporting profits of A$1.92 billion ($1.2bn; €980m; £871m) for the six months to December, down just 1% year-on-year.

Trujillo, formerly of US West and Orange, cited "personal needs" as his reason for leaving, but lauded the fact that Telstra had achieved "free cash flow growth, margin growth and growth in returns" under his leadership.

He was recently involved in a wrangle with the Australian government over plans to construct a national broadband network, resulting in Telstra being dismissed from the tender process, and also placing its fixed line network at risk.

Chief operating officer Greg Winn and Phil Burgess, Telstra's general managing, director public policy and communications, are also leaving their posts, having been appointed by Trujillo when he took over as chief executive.

Alongside announcing its six month profit figures, Telstra forecast that earnings will grow by between 3% and 5%, slightly down on previous predictions.

Data sourced from Financial Times; additional content by WARC staff