TelstraClear has blamed the New Zealand economic recession after reporting $16 million (earnings before interest and tax) compared with $18 million for the previous year.

Chief Executive Allan Freeth says it is a satisfactory result given the tough environment, “We ended the year in a stronger position to grow services, revenues and earnings from now on.

“TelstraClear is moving to the next stage after solid progress during 2009-10 that included the nation’s largest programme of local loop unbundling (LLU), and deployment of new technologies for ultra-fast broadband and data transmission on our own networks.”

Freeth says that the company has strengthened its capabilities and market presence and is pursuing business growth through provision of products and services that “New Zealanders really want in the workplace and at home”.

The company’s capital expenditure programme will continue with investment in network upgrading and other growth-oriented projects during the year.

This will include the roll-out of Docsis3 technology on TelstraClear’s cable networks in Wellington, Kapiti and Christchurch, promising broadband speeds of up to 100 megabits per second.

“We’re continuing to develop our trans-Tasman services alongside Telstra and to partner with regional utility providers for service delivery over their fibre networks,” added Freeth. “During the year, we made strides in growing TelstraClear’s capacity to work with other players and provide services of the highest standard to businesses and homes.”