Short article regarding Esat

Lex_Diamonds

Caught this in todays Indo.



BT gives Irish arm Esat until March 2003 to become profitable

WHILE BT Group turned profitable in the last three months of 2001, the company's Irish subsidiary, Esat, has been given until March 2003 to move into the black.

The parent has given the 2003 profitability target to all of its subsidiaries.

Richard Cooke, chief executive officer at Esat, said the company intends to make the target, although he added that the environment will be very challenging.

"Most alternative telecommunications companies like Global Crossing are in serious trouble," he said.

BT Group reported that net income rose 39pc to stg£721m, or stg8.3p a share, compared with stg£517m, or 7p a share, a year ago.

Shares in the company made their biggest gains since September and closed up over 5pc at stg238.50p yesterday.

The company turned to profit after a period of property sales and a new strategy of debt reduction.

Mr Cooke added that while Esat's corporate business is "doing very well for us" the residential market hasn't been doing as well.

"The slowness of deregulation continues to hamper real competition across all market sectors," said Mr Cooke.

He added the government should ensure that the proposed full Communications Bill is enacted urgently," he added.

Esat Group is the biggest alternative player to Eircom and was sold to BT by Denis O'Brien for $2.5bn at the peak of the telecommunications boom. It is made up of Esat Business and Esat Fusion.



Ailish O'Hora

dahamsta

[This is speaking personally, and not as the IO PRO. Before I begin, I want to say that it's great to see the problems in Ireland being addressed, in /any/ way. But I'm also a bit tired of the hypocrisy in this area, and the hypocrisy of the OLO's in particular. I'm also pretty cranky today, get over it.]

"Most alternative telecommunications companies like Global Crossing are in serious trouble," he said.

What's Global Crossing got to do with the price of eggs? Esat certainly ain't no Global Crossing. "Alternative telecommunications" my arse - telecommunications are telecommunications, can you do it or can't you? (Which is I presume what BT are saying.)

"The slowness of deregulation continues to hamper real competition across all market sectors," said Mr Cooke.

So do something about it. Have a chat with your bosses about it for a start, they have a small bit of previous experience with the whole deregulation thing, I think they may be able to help out.

He added the government should ensure that the proposed full Communications Bill is enacted urgently," he added.

About bloody time someone from Esat got up off their arse and mentioned the Communications Bill. Now say it every week until the bloody thing is passed. The press would love to talk about this, how about giving Karlin Lillington a ring, or perhaps Tim Richardson? I have their numbers?

adam

gurramok

Re: BT gives Irish arm Esat until March 2003 to become profitable

just wondering would this have an affect on the remaining 18000 or so SNL customers ?....cutbacks in loss-making ventures might merit a letter of death to those ppl

pete

If esat want to turn a profit this year they could probably start by billing me more than 83c (65p in old money) for one year's IOL Gold subscription (like they did today).

You have to admire their accounts department - at least they're consistent(ly off the wall)