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BT has denied that Sir Iain Vallance is to step down early as chairman of the monster telco.

The Sunday Telegraph claimed BT is planning to make an announcement about his future in a couple of weeks.

The newspaper said investor dissatisfaction with the company's performance was at the heart of his decision to bow out.

Anonymous sources within the company claimed Sir Iain would leave by July 2001, although this could be brought forward if necessary.

In a short statement issued today BT said: "BT today denied speculation in weekend press reports that its chairman Sir Iain Vallance would leave the company before his contract expires. His contract runs until July 31, 2002." ®

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