TELSTRA GROUP LIMITED — Capital/Financing Update 2005

Feb 8, 2005

9 February 2005

The Manager

Company Announcements Office Australian Stock Exchange 4^th Floor, 20 Bridge Street SYDNEY NSW 2000

Office of the Company Secretary

Level 41 242 Exhibition Street MELBOURNE VIC 3000 AUSTRALIA

Telephone 03 9634 6400 Facsimile 03 9632 3215

ELECTRONIC LODGEMENT

Dear Sir or Madam

AMENDED - Telstra exceeds eight million mobile customers

In accordance with the listing rules, I attach an announcement for release to the market.

The announcement released to the market earlier today contained a typographical error in the last paragraph. The error has been amended and now reads "... 17.5 million mobile services in operation".

Yours sincerely

Nomale braking

Douglas Gration Company Secretary

Telstra Corporation Limited ACN 051 775 556 ABN 33 051 775 556

Media Release

REISTA:

049/2005

9 February 2005

Telstra exceeds 8 million mobile customers

Telstra today announced that during January it had connected its eight millionth mobile phone customer, marking a milestone in the growth of Telstra's mobile services.

This follows a busy Christmas period and shows that Australians' love affair with the mobile phone continues, with it taking just 12 months for Telstra's mobile subscriber base to grow from seven million to eight million.

Telstra's Half Year results, to be announced tomorrow, will show that 318,000 mobile customers were added in the Company's second quarter during an exceptionally strong period of growth in the wireless market.

Telstra Group Managing Director, Consumer and Marketing, Mr David Moffatt, said this was the second successive 12 months in which Telstra had increased subscriber numbers by more than one million, auguring well for the roll out of new services such as i-mode and 3G.

"It took seven years to establish Telstra's first million customers, but just 12 months to grow from seven million to eight million mobile customers," Mr Moffatt said.

"We firmly believe our customers continue to be attracted by the breadth of coverage of Telstra's mobile networks that cover more than 96 per cent of the Australian population."

In the last year, Telstra has rolled out super high-speed wireless services (EVDO) and announced its i-mode alliance with more than 165 content sites.

Telstra has also seen growth of more than 250 per cent in the BlackBerry market over the past 12 months as customers see the benefits of wireless technologies that allow them to access email, files and their calendar on the go.

The connection of Telstra's eight millionth customer highlights how far the mobiles business has come for Telstra and its customers since Australia's first mobile network was connected in February 1987.

Since this time mobile phones have become an integral part of modern life with around 88 per cent of Australians now owning a handset and more than 17.5 million mobile services in operation. Telstra now has a wide range of choices and offers available to meet customers' diverse needs.

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Telstra Media Contact: Warwick Ponder

Tel: 02 9298 4619 or 0409 369 711

Telstra's national media inquiry line is 13 1639 and the Telstra Corporate Communications Centre is located at: www.telstra.com.au/communications/media

* Telstra's CDMA network covers over 98 per cent of the population. Telstra's GSM network covers over 96 per cent of the population.