RKG, it relates to this info issued by MTU three days ago:-ASX /...

RKG, it relates to this info issued by MTU three days ago:-

ASX / MEDIA RELEASE

OPERATIONAL UPDATE

COMMANDER & PEOPLE TELECOM INTEGRATION


Friday August 14th 2009 : Diversified telecommunications services provider M2 Telecommunications Group Limited ("M2") provides this Operational Update in respect of the integration of the recently acquired Commander and People Telecom businesses.

As previously announced, M2 completed the acquisitions of 100% of the issued capital of People Telecom and all Commander telecom business assets on 24th April 2009 and 15th June 2009 respectively.

In what has been a particularly active period for the now substantially enlarged M2 Group, a number of operational milestones have been achieved since completing these two significant transactions, the most notable of which are summarised below;

• Implemented identified operational efficiencies within People Telecom, resulting in approximately 25% reduction in administrative and operational costs across the People
Telecom business.

• Developed and launched a new suite of People Telecom service offerings, including a range of innovative small and medium business ("SMB") targeted voice/mobile/data plans.

• Signed and/or re-signed more than 50 new People Telecom sales Dealership Agreements, substantially increasing the sales channel representation of People Telecom services
nationally.

• Implemented new customer support, account management and incident resolution structure and processes across People Telecom customer operations functions, resulting in a marked reduction in customer incidents and an increase in the number of customers re-contracting for extended periods.

• Completed transition of Commander voice and mobile services to M2's selected wholesale suppliers within set timelines and with negligible incidents of operational disruption to customers.

• Secured employment (or contracted engagement) of those Commander team members required to enable the Commander business to smoothly transition to M2 and to continue to
operate and grow the business into the future.

• Executed agreements with all (former) Commander Centre franchisees and dealerships which were offered Commander Dealership Agreements by M2. This established Commander
Dealership network delivers a Commander-exclusive sales and support infrastructure spanning all metropolitan and regional centres Australia-wide.

• Completed relocation of all Commander Sydney-based team members into a combination of Commander's North Ryde premises (technical functions) and the People Telecom / M2 North Sydney offices (administration, sales and operations functions).

• Developed a suite of new Commander customer offerings scheduled for release commencing September 2009, including new network service/phone system "bundles", 3G mobile voice and data plans.


Whilst considerable work remains to ensure the enlarged M2 Group realises the full potential of its recent acquisitions, the Board are presently satisfied that the key initial tasks associated with integrating the People Telecom and Commander business functions and teams into the M2 Group have been executed successfully, on time and within set budgetary parameters.

Vaughan Bowen, M2's Managing Director and CEO, said of the progress made following the recent acquisitions: "We have just completed the most significant period of growth that our business has experienced to date. Whilst this growth is very positive in most respects, it has unavoidably placed
additional workload on our team members, across all functions within the combined businesses. The outstanding progress made to date within both People Telecom and Commander during this busy time is a credit to the talent and commitment of our now considerably expanded team ".

M2's full year 2008/9 financial results are scheduled for release on Thursday 27th August 2009.

Accompanying the financial results will be the preliminary Annual Report and a detailed investor presentation incorporating forecast guidance for the 2009/10 financial year.