Talk:Telefónica Telecom

Placing here what looks to be directly copied text about Telefonica, posted to a page titled TELEFONICA.

-- Diane Farsetta 11:32, 10 November 2008 (EST)

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Telefónica

Telefónica is a Spanish telecommunication company with presence in more than 20 countries. It is the principle multinational group in the Spanish speaking countries in the telecommunications market with an operating income of 8.906 billion Euros in 2007. Operating globally is one of the largest telecommunications companies in the world being the 3rd in terms of number of clients only behind “China mobile” and “Vodafone”.

COMPANY HISTORY

Telefónica S.A. was created in 1924 and for several years it was the only telephone operator in Spain. On the beginning the Spanish government was the only owner of the company. However in 1997 the Spanish government privatized almost all the company. Nowadays the company is a publicly owned company. It is estimated that a large part of its stock is owned by capital investment funds. Major stockholders include:

J.P. Morgan Chase: 10.02% Banco Bilbao Biscaya Argentina (BBVA): 5.37% Caixa d’Estalvis i Pensions de Barcelona (“La Caixa”): 5.37% Citibank: 4.66% Capital Group: 3.60%

POLITICAL AND PUBLIC INFLUENCE

There is no evidence of Telefónica influencing any specific political group or organization. Nevertheless the telecommunication company does sponsor some car teams in the F1 (Renault F1 Team and BMW Sauber). Likewise the company sponsors the Spanish soccer teams Real Zaragoza and Valencia F.C.

CORPORATE ACCOUNTABILITY

Related to the respect of Human and Labor rights or to any environment controversy Telefónica looks like a correct and respectfully company. However the company has been recently involved in several controversies in terms of competition rights:

Europe

Telefónica has received several fines due the convictions over unfair competition and antitrust violations through the Commission on telecommunications, European Commission and Spanish tribunals. These fines include: 900.000 Euro fine, Spanish tribunals, 18 million Euro fine, Spanish Telecommunication market Commission, 57 million Euro in 2004 for unfair competition , and 151.9 million Euros by European Commission for abusing of its dominant position. Moreover has Telefónica two more fines in court, with a value of more than 793 million Euros.

South America

By the time Telefónica entered the South American telecommunication market several governments of the region allowed the company enormous latitude in agreements giving them the power to operate above the law in some situations (for example, assigning or loaning land in Peru: while other companies have to go through an approval process, Telefónica is able to unilaterally add or remove land lines at will).

Consumer protection

A large number of consumer groups in Spain have reported unnecessary delays in cancelling Telefonica´s DSL service. They also indicate that services continue to be billed after being canceled and that service cancelation requests are ignored.

FINANCIAL INFORMATION

Financial data in millions of euro Year	2001	2002	2003	2004	2005	2006 Sales 31 052	28 411	28 399	30 322	37 882	52 901 EBITDA 12 804	11 724	12 600	13 215	15 276	19 126 Net Results 2 106	-5 577	2 203	2 877	4 446	6 233 Net Debt 28 941	22 533	19 235	20 982	33 574	52 145

Source: http://www.opesc.org/fiche-societe/fiche-societe.php?entreprise=TELEFONICA EXTERNAL LINKS

http://biz.yahoo.com/ic/41/41846.html http://c.hileno.com/2007/01/i-love-you-telefnica-chile.html http://telefonica.com.co