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Customers affected by yesterday's Telecom's XT network failure will be compensated for the hassle caused by the outage, Telecom announced today.

Yesterday, from about 5am, customers from Taupo and further south could not make or receive calls, text messages or access mobile broadband internet on on Telecom's six-month-old XT network.

After technicians repaired a fault in a Christchurch-based network component the network was up and running at about 5pm.

Telecom CEO Paul Reynolds said today his company deeply regrets the inconvenience caused to XT customers by this yesterday's prolonged outage.

"Because XT customers from Taupo south couldn't use their mobiles for much of Monday 14 December, we will give them a Monday back by crediting their account for all of their mobile charges on the previous Monday, 7 December," Reynolds said in a statement.

He added that all calls made by XT customers to Telecom landlines and Telecom mobiles this weekend, from midnight on Friday 18 December until midnight on Sunday 20 December, will be free of charge.

- NZ HERALD STAFF