Damaged cables could cost Telstra $110M

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Unions have claimed the problem could cost the telco up to $1 billion in a submission to the Estens inquiry,


Telstra could spend $110 million over the next three years fixing damaged telecommunications cable joints caused by faulty gel sealant.

Telstra MD of corporate and human resources Bill Scales claimed that in 97 percent of the cases the sealant – which caused damage to around 100,000 cable joints - is effective.

Telstra said it had budgeted $75 million over two years to rectify the problem, but said that figure could increase.

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