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Last updated on April 17, 2014 at 1:21 EDT

TELUS closes C$1.7 billion of debt offerings

April 1, 2013

TELUS will redeem 2014 Notes early on May 15, 2013

VANCOUVER, April 1, 2013 /PRNewswire/ – TELUS announced today it has
successfully closed its previously announced offering of C$1.7 billion
in senior unsecured notes in two series – C$1.1 billion of 11-year
Notes with a 3.35 per cent interest rate, Series CK, maturing on April
1, 2024 and C$600 million of 30-year Notes with a 4.40 per cent
interest rate, Series CL, maturing on April 1, 2043.

The net proceeds of the offering will be used to repay the Company’s
outstanding C$300 million of 5.00 per cent Series CB Notes due June 3,
2013 at maturity, to fund the proposed early redemption of the
Company’s outstanding C$700 million of 4.95 per cent Series CF Notes
due May 15, 2014, to repay outstanding commercial paper (short term
floating rate debt) and for general corporate purposes.

The offering was made pursuant to a prospectus supplement dated March
26, 2013 to TELUS’ short form base shelf prospectus dated October 3,
2011 filed with securities regulatory authorities in Canada and the
United States.

This media release does not constitute an offer to sell or the
solicitation of an offer to buy the securities in any jurisdiction. The
securities being offered have not been approved or disapproved by any
Canadian or U.S. securities regulatory authority, nor has any authority
passed upon the accuracy or adequacy of the short form base shelf
prospectus or the prospectus supplement.

Copies of the short form base shelf prospectus and the prospectus
supplement relating to the offering of the Notes filed with securities
regulatory authorities in Canada and the United States may be obtained
from CIBC World Markets Inc., Debt Capital Markets, 161 Bay Street, 5th
floor, Toronto Ontario, M5J 2S8 c/o Scott Burrows, telephone
416-956-3049 or e-mail scott.burrows@cibc.com.

TELUS to redeem $700 million 2014 Notes early on May 15, 2013
TELUS announced today that it has given notice of redemption of its $700
million in 4.95 per cent, Series CF, Notes due May 15, 2014 (CUSIP #
87971MAJ2). The Company’s intention to redeem these notes early was
previously announced on March 26, 2013.

The redemption price, which is payable on May 15, 2013, will be based on
the yield for a Government of Canada bond with the equivalent maturity
plus 71 basis points pursuant to the trust indenture governing these
notes, but in no case will be less than par. The Government of Canada
bond yield used for this redemption will be the mid-market yield as
quoted by a dealer selected by the Company at noon (Toronto time) on
May 10, 2013. The note-holders will also receive the regularly
scheduled semi-annual interest payment on May 15, 2013.

Costs and non-cash write-downs related to this early redemption are
expected to result in increased financing charges, which will have an
after tax impact on the Company’s income statement in the second
quarter of 2013 of approximately 2.5 to 3 cents per share, after giving
effect to the mid-April two-for-one stock split announced on March 14,
2013.

Non-registered holders (banks, brokerage firms or other financial
institutions) of the notes that maintain their interests through The
Canadian Depository for Securities Limited (CDS) should contact their
CDS customer service representative with any questions about the note
redemption. Beneficial holders of the notes with questions about the
redemption should contact their respective brokerage firm or financial
institution, which holds interests in the notes on their behalf.

Forward Looking Statements
This media release contains forward looking statements. Forward looking
statements are not based on historical facts, but rather on current
expectations, Company assumptions and projections about future events,
including the repayment of the 5.00 per cent notes due June 3, 2013 and
completion of the redemption of the 4.95 per cent notes due May 15,
2014, and are therefore subject to risks and uncertainties which could
cause actual results, performance or achievements to differ materially
from the future results expressed or implied by the forward looking
statements. Such statements are qualified in their entirety by the
inherent risks and uncertainties surrounding future expectations.
Company assumptions and risk factors are listed from time to time in
TELUS’ reports, public disclosure documents, including TELUS’
Management’s discussion and analysis and Annual Information Form, and
in other filings with securities regulatory authorities in Canada and
the United States. Except as required by law, TELUS disclaims any
intention or obligation to update or revise forward-looking statements.

About TELUS
TELUS (TSX: T, NYSE: TU) is a leading national telecommunications
company in Canada, with $10.9 billion of annual revenue and 13.1
million customer connections including 7.7 million wireless
subscribers, 3.4 million wireline network access lines, 1.4 million
Internet subscribers and 678,000 TELUS TV customers. Led since 2000 by
President and CEO, Darren Entwistle, TELUS provides a wide range of
communications products and services including wireless, data, Internet
protocol (IP), voice, television, entertainment and video.

SOURCE TELUS Corporation


Source: PR Newswire