Teething Problems

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The countrys largest telecom operator has failed to bill its customers since last December, due to delays in implementing its new US$ 20 mn billing system.

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With over 830,000 subscribers on its network, SLT is not expected to get is act right until August, says analysts Vajira Premawardhana and Shamlee Hasheem of Lanka OrixrnSecurities.

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They estimate SLT will need another six months to recover from its billing fiasco and normalcy to set in by next February.

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ldblquote In the mean time we expect the Companys bottom line to get adversely affected due to following reasons
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  • An adverse cash flow situation forcing the Company to borrow funds to meet its operational expenses, leading to an increase in finance charges. We estimate that the additional finance charges would amoun