Q TELUS investor conference call Robert McFarlane EVP & Chief Financial Officer August 4, 2006

17%  $293M$252MCash flow (EBITDA less capex) 28%  $147M $115MCapital expenditures 20%  $ 441M$367MEBITDA 1 18%  $945M$802MRevenue ChangeQ2-06Q2-05 Wireless segment – financial results 2006 – second quarter review Excellent revenue, EBITDA and cash flow growth 1 Includes $1M in restructuring & workforce reduction costs in Q

Total wireless subscribers Postpaid 81% Prepaid 19% Wireless subscriber results Net additions Total subscribers up 14% with strong postpaid mix 20 Q2-05Q K 124K 4.7 million 3.8M 897K 103K104K 83% 79%

Wireless data ARPU growth ARPU growth led by 94% increase in wireless data 21 Q2-05Q2-06 $61 $63 Data ARPU $2.30 $4.45

Industry ARPU comparison $61 $51 $50 $63 $56 $51 TELUS Rogers WirelessBCE Wireless review of operations – wireless Increased usage and data driving positive industry trend 22 Q2-05 Q2-06

7 bps  1.30%1.37%Blended churn 3.8%  $63.18$60.84ARPU ChangeQ2-06Q2-05 Review of operations - wireless TELUS subscriber economics best in class Profitable growth strategy %$4860$4440  Lifetime revenue 15%$394$342  COA 8.1% 7.7%COA/lifetime revenue  40 bps

$419$397$394COA per gross add 1.60%1.82% %Blended churn BCERogersTELUS $3188$3074$4860Avg. lifetime revenue per sub 13.1%12.9%8.1%COA / lifetime revenue Q2-06 $51$ $63.18ARPU Wireless industry economics comparison TELUS subscriber economics compare favourably 24 1 Calculated using prepaid and postpaid metrics due to non-disclosure by Rogers

2006 wireless guidance update 1 approx. 450MCapex EBITDA Revenue $1.7 to $1.75B $3.775 to $3.825B Guidance changes reflect good YTD momentum 25 Previous 2006 guidance 2 Updated 2006 guidance Wireless net adds> 550K 1 See forward looking statement caution no change $3.8 to $3.875B 560 to 590K 2 Originally set December 17, 2005

29%  $145M$205MCash flow (EBITDA less capex) 6.0%  $311M$294MCapital expenditures 8.5%  $456M$499MEBITDA 1 2.2%  $1.19B$1.22BRevenue ChangeQ2-06Q2-05 Wireline segment – financial results 2006 – second quarter review 26 Results reflect challenging wireline environment and increased restructuring charges 1 Includes $7M and $30M in wireline restructuring costs in Q2-05 and Q2-06 respectively 3.9%  $486M$506MEBITDA (excl. restructuring)

12%  $58M$65MOther 6.1%  $403M$380MData 10%  $206M$229MVoice – Long Distance 3.6%$523M$543MVoice – Local ChangeQ2-06Q2-05 External Revenue$1.22B$1.19B2.2% Wireline revenue profile 27   Solid data growth offset by increased erosion in local and LD

1.05 million Total Internet subscribers High-speed 79% Dial up 21% High-speed Internet subscriber growth 17K 29K High-speed Internet net additions 28 Q2-05Q K 217K Net additions up a strong 71% to 29K

29 Network access line results NAL results improved as business gains offset increased residential erosion to competitors % of network access lines lost, YoY Q % Q % Q % Q % Q %

2006 wireline guidance update 1 $1.05 to $1.1BCapex EBITDA Revenue $1.8 to $1.85B $4.825 to $4.875B Guidance revisions reflect minor adjustments to wireline outlook 30 Previous 2006 guidance 2 Updated 2006 guidance High speed net adds> 125K approx. $1.15B no change $4.825 to $4.850B no change Non-ILEC Revenue$650 to $700M$650 to $675M Non-ILEC EBITDA$25 to $40M$25 to $30M 1 See forward looking statement caution 2 Originally set December 17, High speed net adds guidance increased May 3, 2006

3.7%  $897M$865MEBITDA 5.8%  $2.14B$2.02BRevenue ChangeQ2-06Q2-05 TELUS Consolidated 2006 – second quarter review Strong gains in revenue and EPS 27%  $378M$297MEBIT 31 $31M$7MRestructuring costs 6.4%  $928M$872MEBITDA (excl. restructuring) 94%  $1.03$0.53EPS

Net credit from lower tax rates 94%$1.03 EPS reported % Change Q2-06Q2-05 EPS (normalized) 1 $0.56$0.69  23% EPS normalization  Normalized second quarter EPS increase 23% 32 ($0.32) ($0.02) 2006 – second quarter review 1 Normalized further for $0.01 and $0.06 in restructuring costs in Q2-05 & Q2-06, EPS would have been $0.57 and $0.75, up 32% - $0.03 $0.53 Investment tax credits - BCTel bonds accrual -

Tax changes, EBITDA growth, lower financing costs drive EPS – second quarter review $0.53 Q2-05  $0.32 Tax rate changes  $0.06  $0.05  $0.03   $0.01  $0.02 $1.03 Lower financing charges BC Tel Bonds accrual (2005) Lower depr’n Decr. in avg o/st shares Higher Other expense EBITDA growth Q2-06

Common2.9M5.3M12.0M44% Non-Voting2.6M6.6M12.0M55% Total5.6M11.9M24.0M50% Total cost$249M$539M Share buy back program 1 update Share repurchase run rate consistent with full annual program Repurchased this quarter Repurchased since inception Total Authorized % of authorized repurchased since inception (Shares) 34 1 NCIB effective December 20, 2005 for 12 months

1.7x 1.5 to 2.0xNet Debt : EBITDA Q2-06Long-term financial policy Target 1 Net Debt : Total Cap45 to 50% 45.5% Met Financing update TELUS taking steps to refinance 2007 maturities 35  Moody’s reiterated “Baa2” rating, changed outlook to “positive”  $300M debt offering of 5.00% Notes, with 7 year maturity  Proceeds used for early termination of cross-currency swaps associated with 2007 U.S. dollar Notes  Forward starting interest rate swaps arranged in Q1-06, had effect of fixing lower rates on further $300M of debt to be refinanced

2006 consolidated guidance update 1 $1.5 to $1.55BCapex $1.55 to $1.65BFree cash flow $2.40 to $2.60EPS (basic) EBITDA Revenue $3.5 to $3.6B $8.6 to $8.7B Revenue and EPS guidance increased, FCF unchanged 36 Previous 2006 guidance 2 Updated 2006 guidance approx. $1.6B no change $2.90 to $3.10 no change $8.625 to $8.725B 1 See forward looking statement caution 2 Originally set December 17, 2005

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($91) - (272) $ (275) (409) $865 Q2-05 ($8) 135 (249) $199 (1) (271) (459) $897 Q2-06 Funds avail. for debt redemption Accounts Receivable Securitization Purchase of shares for cancellation (NCIB) Free Cash Flow Net Cash Tax Recovery Net Cash Interest Capex EBITDA ($M) (1)19Cash Restructuring Payments (in excess of expense) 713Non-Cash Share Based Compensation (144)(95)Dividends 5613Share Issuance (non-public) ($106)($18) Net change in cash (15) (10) Funds applied to redemption of debt Free cash flow Appendix Working capital & other 61(10) 38

 EBITDA: Earnings, after restructuring and workforce reduction costs, before interest, taxes, depreciation and amortization  Capital intensity: capex divided by total revenue  Cash flow: EBITDA less capex  Free Cash Flow: EBITDA, adding Restructuring and workforce reduction costs, cash interest received and excess of share compensation expense over share compensation payments, subtracting cash interest paid, cash taxes, capital expenditures, and cash restructuring payments Appendix Definitions TELUS definitions for non-GAAP measures