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Last updated: 4 Jul 2005 Update History

Report Status: Archived

Report Pages: 8

Analyst: Peter Evans


REACH is a 50/50 joint venture between Australia’s Telstra and Hong Kong-based PCCW. It is one of Asia’s largest international carriers of voice, IPLC and IP data traffic. Its global transmission network includes interests in submarine cable systems, satellite systems, landing rights, operating licences and bilateral agreements enabling access to around 240 countries. REACH has suffered from aggressive price-cutting and a global glut in international capacity. In 2003, Telstra and PCCW wrote down the value of their REACH investment to zero. In 2004, Telstra and PCCW continued to put considerable effort into restructuring the business, including buying out the operator’s US$1.2 billion loan.

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