TELUS Corporation
TSX : T
NYSE : TU

TELUS Corporation

April 15, 2015 09:30 ET

TELUS Will Invest $4 Billion Across British Columbia Through 2018

TELUS investments will extend fibre optic Internet access, increase wireless speeds and expand rural coverage, help healthcare providers deliver better care, enable local businesses to launch new Internet of Things solutions, and enhance Optik TV services

VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 15, 2015) - TELUS intends to invest $4 billion in new infrastructure and facilities across its home province of British Columbia through 2018, including $1 billion this year alone. When combined with operational expenses, this will bring TELUS' total investment in British Columbia over the next four years to $11.5 billion. By the end of 2018, TELUS will have invested more than $47 billion in British Columbia since 2000 to extend the reach of advanced telecommunications infrastructure and healthcare technology, ensuring sustained innovation and fueling the province's economic growth.

"TELUS is unwavering in our long-standing commitment to create opportunities for British Columbians by making the province one of the most connected places on the planet," said Darren Entwistle, TELUS Executive Chair. "Our $4 billion investment over the next four years will enhance and extend our pervasive broadband coverage across B.C., making the province a national showcase for connectivity, innovation and technology leadership. Most notably, it will have a tangible impact on citizen's lives as we directly connect homes, businesses, hospitals, schools, community centres and municipal governments in all corners of the province to our fibre optic network, thereby providing critical access to next-generation health, education, business and government services and applications. Furthermore, we will simultaneously enhance every wireless site in B.C. with 4G LTE, the most advanced and fastest wireless technology available."

"Today more than ever, B.C.'s growing economy and population depend on fast, reliable connectivity to take advantage of every possible opportunity," said Premier Christy Clark. "TELUS' continued investment in telecommunications infrastructure across B.C. is good news for families, schools, businesses, and rural communities."

"TELUS' commitment to British Columbia extends well beyond its investments in infrastructure and operations," added Mr. Entwistle. "Tax morality is one of the most significant global issues facing corporations and society today. Since 2000 TELUS has remitted more than $3.5 billion in income, payroll, property and other taxes to B.C.'s provincial and municipal governments, supporting critical social services across the province. Most importantly, TELUS and its 20,000 team members, community board members and retirees who live and work in British Columbia have donated more than $120 million and volunteered more than 3.3 million hours since 2000 to foster better social outcomes for British Columbians in need of a helping hand. Finally, TELUS will complete the construction of TELUS Garden this year, our new national headquarters in downtown Vancouver. Designed and built to LEED Platinum standards to reflect TELUS' deep commitment to sustainability and environmental stewardship, this $750 million project has supported the local economy by creating more than 520 jobs, and has attracted many high quality tenants including Amazon."

In 2015 and beyond TELUS will:

Services

  • Connect thousands of additional homes and businesses in numerous B.C. communities directly to TELUS' fibre optic network, allowing for dramatically faster Internet speeds of up to 100 mbps and enabling organizations to significantly improve how they deliver healthcare services and education opportunities;
  • Upgrade every wireless site in British Columbia to 4G LTE, enhancing the already exceptional speed, coverage and reliability TELUS provides in both rural and urban communities;
  • Continue to rapidly deploy 700MHz spectrum for use in rural and urban areas;
  • Commence planning to deploy TELUS' newly-purchased AWS-3 spectrum to add much-needed wireless capacity across the province;
  • Enhance TELUS' Future Friendly Home solutions by adding new content; introducing a new theme pack structure to deliver the most customer-friendly basic and speciality TV packages of any TV distributor; and offering enhanced security, data storage and email services.

Health

  • Further grow the important role of TELUS Health, which currently provides electronic medical records to more than 14,000 Canadian physicians as well as health benefits management solutions to more than 9,000 pharmacies, 11,000 dental clinics and 25,000 extended healthcare providers across the country. TELUS Health has invested more than $1.5 billion to bring patient-centric solutions to market that are improving the flow of information across the healthcare continuum and enabling better health outcomes for British Columbians and all Canadians;
  • Expand Home Health Monitoring solutions in order to enhance care and quality of life for patients with chronic conditions;
  • Enable telehealth care with individuals living in remote communities including First Nations, improving the quality of care while reducing the need for expensive and time-consuming travel.

Business

  • Meet the technology requirements of the province's growing resource sector throughout Northern British Columbia;
  • Expand the capacity of TELUS' next-generation Kamloops Internet Data Centre to meet the growing demands of new and existing customers;
  • Continue its focused investment in network, security, cloud computing and Internet-connected devices to facilitate Internet of Things (IoT) growth in British Columbia, driving solutions that enable local businesses to further their global competitive advantage, reduce environmental impact, and increase worker safety;
  • Complete construction of the environmentally and technologically-advanced LEED Platinum TELUS Garden office tower in downtown Vancouver, and continue construction on the residential building in the same complex. TELUS Garden is one of the first buildings in Vancouver to use an innovate District Energy System (DES), which will capture and redistribute heat throughout the complex to save about one million kilograms of carbon dioxide emissions each year;
  • Protect critical communications services in disaster prone areas by upgrading and strategically locating infrastructure to mitigate risk to TELUS' network, while implementing new monitoring and preparedness plans for climate-related events that could impact the company's customer service, network and team members.

Community

  • Expand TELUS WISE, a free Internet and smartphone safety and security educational program available to all Canadians. Since its launch in 2013, this program has reached more than 140,000 British Columbians through more than 200 community learning sessions;
  • Partner with local organizations on social initiatives through TELUS Community Boards and employee charitable giving to provide an expected $10 million in funds in 2015 alone;
  • In 2014, our three TELUS Community Boards in British Columbia donated $1.45 million in support of 133 local charitable projects, and since inception, they have collectively donated more than $10.55 million in support of 949 local charitable projects;
  • Last year, more than 5,000 British Columbian TELUS team members, retirees and family members participated in the ninth annual TELUS Days of Giving, volunteering their time at hundreds of local activities throughout the province; in 2015, TELUS expects more than 5,800 volunteers to participate in TELUS Days of Giving in British Columbia.

The capital investment disclosed in this release is consistent with TELUS' overall capital expenditure guidance for 2015, issued on February 12, 2015.

About TELUS

TELUS (TSX:T)(NYSE:TU) is Canada's fastest-growing national telecommunications company, with $12 billion of annual revenue and 13.7 million customer connections, including 8.1 million wireless subscribers, 3.2 million wireline network access lines, 1.5 million Internet subscribers and 916,000 TELUS TV customers. TELUS provides a wide range of communications products and services, including wireless, data, Internet protocol (IP), voice, television, entertainment and video, and is Canada's largest healthcare IT provider.

In support of our philosophy to give where we live, TELUS, our team members and retirees have contributed more than $396 million to charitable and not-for-profit organizations and volunteered and more than 6 million hours of service to local communities since 2000. Created in 2005 by Executive Chairman Darren Entwistle, TELUS' 11 community boards across Canada have led the company's support of grassroots charities and will have contributed $47 million in support of 3,700 local charities organizations by the end of 2015, enriching the lives of more than two million Canadian children and youth. TELUS was honoured to be named the most outstanding philanthropic corporation globally for 2010 by the Association of Fundraising Professionals, becoming the first Canadian company to receive this prestigious international recognition.

For more information about TELUS, please visit telus.com.

Forward looking statement:

This news release contains statements about expected future events including TELUS' projected multi-year capital and operating expenditures, which include spectrum license purchases that are forward-looking. The investments described for 2015, 2016, 2017 and 2018 are subject to the ongoing review and approval of TELUS' Board of Directors. By their nature, forward-looking statements require the Company to make assumptions and predictions and are subject to inherent risks and uncertainties. There is significant risk that the forward-looking statements will not prove to be accurate. Readers are cautioned not to place undue reliance on forward-looking statements as a number of factors (such as regulatory and government decisions, the competitive environment, economic conditions, our ability to purchase spectrum licences through auctions or third-parties, and our earnings, free cash flow and financial position) could cause actual capital and operating expenditures to differ materially from those expressed in the forward-looking statements. Accordingly, this news release is subject to the disclaimer and qualified by the assumptions (including the assumptions for our 2015 annual guidance, semi-annual dividend increases through 2016, ability to sustain and complete our multi-year share purchase program through 2016), qualifications and risk factors referred to in the 2014 Management's Discussion and Analysis for the fiscal year ended December 31, 2014, which are specifically incorporated by reference herein, and in other TELUS public disclosure documents and filings with securities commissions in Canada (on SEDAR at sedar.com) and in the United States (on EDGAR at sec.gov). Except as required by law, TELUS disclaims any intention or obligation to update or revise forward-looking statements.

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