SOL TRUJILLO is leading Telstra into a dangerous corner, and this seems at least in part due to the fact that he carefully destroyed Telstra's political relationships as his No.1 priority after taking over as CEO last year. As a result of that Telstra is showing signs of having no idea of what's going on. For a start he doesn't seem to realise that the retail prospectus offer for T3 is now dead, notwithstanding the public statement from Government ministers, and with it has died any leverage for Telstra to force the Government to intervene in the access discussions over the proposed $3 billion fibre to the node network (FTTN). T3 will be an institutional book-build placement of 10 per cent or so, with the rest going into the Future Fund for its demanding chairman David Murray to make life miserable for Telstra's board. As a result no one in the Government cares two hoots about whether the FTTN is announced this year or not because they won't need to sign a prospectus.