TELSTRA GROUP LIMITED — Major Shareholding Notification 2007

Sep 24, 2007

Australian Government

Department of Finance and Administration

The Manager Company Announcements Office $4^th$ Floor, 20 Bridge Street SYDNEY NSW 2000

Dear Sir or Madam

Telstra Corporation Limited: Notice of Change of Interests of Substantial Holder

In accordance with section 671B of the Corporations Act 2001, I attach a notification for the market indicating movement in the Commonwealth of Australia's interest in Telstra.

Although Telstra is now privately-owned, this procedural notice is required as a technical matter to reflect the changes to the combined relevant interests in Telstra (TLS) of two entities legally related to the Commonwealth - the Future Fund and the Telstra Sale Company Ltd (which holds the shares underlying Telstra instalment receipts sold in the Telstra 3 Share Offer in trust until final payment is made on or by 29 May 2008). These changes arise from the transfer of shares from the Telstra Sale Company to applicants who pre-paid the Telstra 3 Final Instalment, and from the sale of shares by the Future Fund to satisfy demand in Telstra's Dividend Reinvestment Plan. Nothing in this notice changes the voting rights of the Future Fund or instalment receipt holders.

Yours sincerely

Mark Heazlett Branch Manager Telstra 3 Sale Branch September 2007

NO.281 $P.2/302$

604 page 1/2 15 July 2001

Form 604

Corporations Act 2001 Section 671B

Notice of change of interests of substantial holder

To Company Name/Scheme	TELSTRA CORPORATION LIMITED ("Telstra")
ACN/ARSN	33 051 755 556
1. Details of substantial holder(1)
Name	The Crown in right of the Commonwealth of Australia ("Commonwealth")
ACN/ARSN (if applicable)	N/A
There was a change in the interests of the substantial holder on	Balween 13/3/2007 and 21/9/2007
The previous notice was given to the company on	16/11/2004
The previous notice was dated:	15/11/2004

$\ddot{\cdot}$

2. Previous and present voting power

The total number of votes attached to all the voting shares in the company or voting interests in the scheme that the substantial holder or an associate (2)
had a relevant interest (3) in when last required, and when now r

Class of securities (4)	Previous notice		Present notice
	Person's votes	Voting power (5)	Person's vates	Voting power (5)
ORD	6.446,207.123	51.8%	6.270,223,121	50.4%

3. Changes in relevant interests

Particulars of each change in, or change in the nature of, a relevant interest of the substantial holder or an associate in voting securities of the company or
scheme, since the substantial holder was last required to give

Date of change	Person whose relevant interest changed	Nature of change (6)	Consideration given in relation to change (7)	Class and number of securities affected	Person's votes affected
13/3/2007	Feistra Sale Company Limited	Transfer of shares to applicants who pre- paid the Telstra 3 Final Instalment Refer Telstra 3 Share Offer Prospectus	Refer Teistra 3 Share Offer Prospectus	93.153.895 Ordinary	93, 153, 895
15/4/2007	Telstra Sale Company Limit∍d	As above	As above	5.474.944 Ordinary	5,474,944
11/5/2007	Telstra Sale Company Limited	As above	As above	2.001.315 Ordinary	2.001.315
12/6/2007	Telstra Sale Company Limited	As above	As above	361.278 Ordinary	361.278
11/7/2007	Telsira Sale Company Limited	As above	As above	327,450 Ordinary	327 450

25.SEP.2007 $9:47$ -01 Z ASX LISTINGS SYD 61 2 92417620 +61 2 6215 2940

NO.281 $P.3/303$

604 page 1/2 15 July 2001

11/8/2007	Telstra Sale Company	As above	As above	629,000 Ordinary	629.000
12/9/2007	Limited Telstra Sale Company	As above	As above	92.493 Ordinary	92,493
	_Imited		\$4.3272 per	73,997,074	73.977,074
21/9/2007	Future Fund Board of Guardians	Sale	Ordinary Share	Ordinary

4. Present relevant interests

Particulars of each relevant interest of the substantial holder in voting securities after the change are as follows:

Holder of relevant interest	Registered holder of securities	Person entitled to be registered as holder (B)	Nature of relevant Interest (6)	Class and number of securities	Person's votes
Commonwealth	Teletra Sale Cornpany Limited	Telstra Sale Company Limited	Security Interest and other interests as set out in the Teistra instalment Receipt and Bonus Loyalty Share Trust Deeds	4,217,647,803 Ordinary Shares	4,217,647,803
Commonwealth	Fut are Fund Board of Guardians	Future Fund Board of Guardians	Certain powers of direction in relation to the disposal of Telstra shares transferred to the Future Fund as set out in the Future Fund Act 2006	2,052,575.318 Ordinary Shares	2.052,575,318

5. Changes in association

The persons who have become associates (2) of, ceased to be associates of, or have changed the nature of their association (9) with, the substantial holder in relation to voting interests in the company or scheme are as follows:

Name and ACN/ARSN (if spolicable)	Nature of association

All the shares which are the subject of this notice are shares in which the substantial holder itself has a relevant Interest. There are no shares which are included in this notice only because of relevant interests of ass

6. Addresses

The addresses of persons named in this form are as follows:

Name	Address
Commonwealth	C/-Department of Finance and Administration, John Gorton Building, King Edward Terrace PARKES ACT 2600
Teistra Sale Company Limited	C/- Maxim Chartered Accountants, 6 Oxley Street GRIFFITH ACT 2603
Future Fund Board of Guardians	C/- Future Fund Management Agency, Locked Bag 20010, MELBOURNE VIC 3001

Signature

print name: Mark Heazlatt

sign here //////////////////////////////////

capacity Branch Manager, Telstra 3 Sale Branch
Department of Finance and Administration, for and on behalf of the Minister for Finance and Administration.

date`