DBRS Assigns Rating of BBB (high), Stable Trend, to TELUS Corporation’s New Debt Issuance

DBRS Limited (DBRS) has today assigned a rating of BBB (high) with a Stable trend to TELUS Corporation’s (TELUS or the Company) multi-tranche debt issuance announced on March 1, 2017.

The issuance is made up of the following tranches (collectively, the Notes):
(1) $325.0 million 4.70% Senior Unsecured Notes due March 6, 2048, and
(2) USD 500.0 million 3.70% Senior Unsecured Notes due September 15, 2027.

The Notes will be unsecured and unsubordinated obligations of TELUS, will rank pari passu in right of payments with all existing and future unsecured and unsubordinated obligations of the Company and will be senior in right of payment to all existing and future subordinated indebtedness of the Company, but will be effectively subordinated to all existing and future obligations of, or guaranteed by, TELUS’ subsidiaries. DBRS expects TELUS to use the proceeds from this issuance to partially fund the repayment, on maturity, ofthe principal amount outstanding on the Company’s Series CD Notes due March 2017 to repay a portion of outstanding commercial paper and for general corporate purposes.

TELUS’ ratings continue to be supported by its well-entrenched market position and proven track record of profitable growth. The ratings also reflect intensifying competition, risks associated with regulatory and technological change and the industry’s capital-intensive nature.

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

The principal methodology is Rating Companies in the Communcations Industry, which can be found on dbrs.com under Methodologies.

For more information on this credit or on this industry, visit www.dbrs.com or contact us at info@dbrs.com.