Extensive online resource
Global standards with a local touch
I am delighted to welcome you to the O2 Corporate Responsibility report 2005/06.
Telefónica, S.A.'s recommended cash offer to acquire O2 for £17.7 billion was declared unconditional on 23 January 2006 and O2’s shares were subsequently de-listed from the London Stock Exchange. We acquired O2 because we have a clear strategy to expand in Europe, as well as to develop our traditional growth markets in Latin America.
O2 was really attractive to us. Firstly, we knew it was run by one of the best mobile telecommunications teams in Europe and that the combination of the O2 brand and businesses with Telefónica’s enterprises would create a powerful new entity.
Secondly, O2 had proved itself as a stand-alone operator in a mature and highly competitive market, where technology advance, changing market dynamics and good local relationships all play a decisive role in strong and sustainable growth.
There’s huge potential in the tie-up between Telefónica and O2, and it goes beyond the balance sheet to include our separate record in corporate responsibility. Both companies share an approach to measuring and reporting social, ethical and environmental issues; both are committed to improving performance continuously.
O2 has been proactive in corporate responsibility from the start, creating an award-winning approach and, in less than a year as an independent company, was included in the Dow Jones Sustainability Index, where Telefónica, S.A. is also included. O2 is also the top mobile company in the Business in the Community (BITC) Corporate Responsibility Index.
In the past few months, we have taken a good look at O2's processes. We have developed an initial collaboration plan that emphasises our commitment to learn from each other. Corporate responsibility is very important to us, and it was certainly a very desirable bonus to know that the business was managing its social, environmental and ethical effects so well.
As a Group, we now talk in terms of being a global-local business. We know that we face very different opportunities and dilemmas and cultures in a variety of countries. It is of utmost importance that we work as a team on corporate responsibility issues.
We want to develop a joint approach to corporate responsibility and will challenge each other to improve further. We are committed to operating responsibly without complacency. We all have a vested interest in making sure that our achievements will also benefit the development of society.
César Alierta, Executive Chairman, Telefónica, S.A.
* As at 31 March, 2006
** As at 31 December, 2005