Eircom shares reached a new low on the Dublin exchange yesterday as the stock lost 11 cents in a 4.18 per cent drop to €2.52. This was 3 cents lower than its previous low of €2.55 reached on August 1st, and far below its flotation rate a year ago of €3.90.

A decision by the company's 14 per cent shareholder Telia to maintain its holding for six months while KPN divests its 21 per cent stake has failed to buoy the stock. News that the Telecoms Regulator, Ms Etain Doyle, would hold a beauty contest for the next generation of mobile phone licences instead of an auction has also failed to lift the former State monopoly.