Mr SWAN (2:18 PM) —My question is to the Treasurer. Can the Treasurer explain why any hardworking taxi driver would have an interest in buying shares in T3? Is it the case that if the same cab driver bought 2,000 shares in the last round at $7.40 a share he would, after dividends, be nursing a loss of $2,440? Treasurer, hasn’t this government been the worst friend that Telstra shareholders have ever had?

Mr COSTELLO (Treasurer) —The first point I would make is that nobody is obliged to buy shares in a privatisation. It is a voluntary activity. If you are making a financial decision, I would say to people to make their own decisions accordingly. The second point I would make is that if you had bought in the first tranche of Telstra you would have not only a capital appreciation but also dividends—in fact, franked dividends.

Ms Gillard interjecting—

Mr COSTELLO —What he did not take into account is that it was not only a high dividend stock, because he did not actually disclose that, but a franked dividend stock—that is, you do not have to pay tax on the franking credits that you receive in relation to your dividends. I would say to people that when the prospectus is issued—and I will not be giving financial information when the prospectus is issued—they should consider their financial position and get advice. If it is a good, long-term investment, I have no doubt that millions of Australians will participate, as they did in the past.