TDC Switzerland wins Swiss federal court ruling

10 Jul 2006

TDC has confirmed that it has won a long-running legal battle with Swiss regulator ComCom to have Swisscom’s interconnection prices reduced. Since 1 January 2000 Swisscom has been required to calculate its prices for interconnection based on the Long Run Incremental Cost (LRIC) principle. However, TDC successfully argued that the prices charged by Swisscom were too high, and as a result of the legal action they will be substantially lowered retroactively. TDC estimates that the financial impact for its Swiss subsidiary TDC Switzerland for the years 2000-2005 will result in income before tax of CHF186 million (USD152 million), which will be reported as a special item in its second quarter 2006 financials.

Switzerland, Sunrise Communications