DBRS Rates Manitoba Telecom’s Planned Notes Issue BBB, Stable Trend

DBRS has today assigned a rating of BBB to Manitoba Telecom Services Inc.’s (MTS or the Company) planned Medium-Term Notes (the Notes) issue. The trend is Stable.

The issuance, which is expected to settle on May 11, 2009, will be issued under MTS’s $350 million shelf prospectus dated January 18, 2008. The Notes will be direct, unsecured obligations of MTS, ranking pari passu with all of MTS’s current and future unsubordinated indebtedness.

DBRS expects MTS to use the proceeds from this Notes issue for general corporate purposes. DBRS notes that proceeds directed toward debt repayment will help to term out MTS’s debt maturity profile and enhance its liquidity.

Notes:
All figures are in Canadian dollars unless otherwise noted.

The applicable methodology is Rating Telecom, which can be found on our website under Methodologies.

This is a Corporate (Telecommunications) rating.