Telstra launch turns big pond

Telstra's preparations for an $8 billion T3 sale were upset this morning when an emergency sprinkler forced the evacuation of hundreds of people as chief Sol Trujillo made his big pitch.

The sprinkler sent water cascading onto the stage where Mr Trujillo was addressing hundreds of analysts, media representatives and top Telstra executives, forcing them to flee.

Mr Trujillo had begun his key presentation on the group's outlook when the sprinkler suddenly activated at about 11.10am, pouring water down onto the stage. Witnesses said the sprinkler may have been set off by a halogen lamp set up directly beneath it to provide extra lighting for the stage.

Water was cascading over the stage and drenching the first three rows of tables set up for those attending the presentation, witnesses said.

Analysts said they were annoyed and wet after being doused with water and scrambling to gather their laptops, phones and notes.

The analysts congregated out on the roof of the Overseas Passenger Terminal overlooking Circular Quay.

One said: ''All I know is the fire alarm went off and then I got wet.''

Another said he was ''annoyed'' by the inconvenience.

Security personnel evacuated the room, in the Overseas Passenger Terminal on the edge of sydney's Circular Quay at about 11.15am, and the fire brigade arrived on the scene soon after.

"We're not done yet,'' Mr Trujillo said. "The building had a glitch so we'll try to work through it and we will keep going.''

Telstra had planned a full day's briefing at the venue to set the stage for Monday's formal launch of the $8 billion T3 offer. Telstra spokesman Andrew Maiden said the group would issue a statement in the near future.

Earlier Mr Trujillo had talked up Telstra's prospects as it continues his five year transformation plan, and also announced that a new broadband mobile network had been turned on, to deliver wireless broadband services to 98 per cent of Australia's population. But the Telstra boss also confirmed that the group's earnings projections had been trimmed.

Telstra later announced that it had decided to move the entire presentation because the accident, to Sydney's Hilton Hotel on George Street. The group is now scrambling to re-start at 1.30 this afternoon.

Telstra shares were 2c higher at $3.75 at 11.30am.

Malcolm Maiden The Age October 6, 2006