DBRS Comments on Rogers Communications Inc.

In our most recent report dated April 5, 2013, DBRS confirmed Rogers Communications Inc.’s (Rogers or the Company) Issuer Rating and Senior Unsecured Notes rating, both at BBB with Stable trends. DBRS’s confirmation acknowledged mounting pressure on the Company’s operating metrics and top-line growth in recent periods, balanced by credit metrics that remain strong for the current rating category.

Since DBRS’s latest report on Rogers, Industry Canada has restated its intention of establishing four wireless carriers in each region of the country. DBRS notes that a viable fourth competitor with strong financial backing could cause the competitive environment to intensify.

DBRS believes the potential implications of increased competition for operating performance and equity valuations could make less-conservative financial management more compelling for Rogers. However, as the Company’s rating is currently well placed within the category, a heightened competitive environment would not likely result in a negative rating action for Rogers.

The ratings continue to be supported by the Company’s scale, stability, market position and a reasonable level of financial leverage. DBRS will continue to carefully monitor the operating performance and financial management of Rogers, particularly in the context of an evolving competitive environment.

Notes:
The applicable methodologies are Rating Companies in the Communications Industry, Rating Companies in the Television Broadcasting Industry and Rating Companies in the Radio Broadcasting Industry, which can be found on our website under Methodologies.