Robert McFarlane EVP & Chief Financial Officer September 9, 2003

2 This presentation and answers to questions contain forward- looking statements about expected future events and financial and operating results that are subject to risks and uncertainties. TELUS’ actual results, performance, or achievement could differ materially from those expressed or implied by such statements. For additional information on potential risk factors, see TELUS’ Annual Information Form, and other filings with securities commissions in Canada and the United States. TELUS disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. All dollars in C$ unless otherwise specified. forward-looking statement

3 about TELUS  Leading Canadian pure-play, facilities-based, full- service telecom provider  2 nd largest Canadian telco  2003E:Revenues$7.1 to 7.2B EBITDA$2.75 to 2.85B FCF$800M to 1B  Enterprise value:~$17B (equity ~$9B)  Listings:TSX: T, T.A; NYSE: TU  Operating segments:Communications= wireline Mobility= wireless  Executing national growth strategy focused on data, IP & wireless from position of financial strength

4 about TELUS TELUS’ national infrastructure

5 $5.7B 43% 18% 10% 6% Other 12ME Q2-03 $7.1B Local Voice Wireless Data 31% 19% 5% Other LD Wireless 12ME Q2-00 Local Voice 23% Data 14% LD TELUS Communications TELUS Communications TELUS Mobility TELUS Mobility voice focused balanced with growth about TELUS consolidated revenue profile evolution

6 Communications segment ILEC: full service in W. Canada and E. Quebec Non- ILEC: focus on data & IP for business in Central Canada Revenue (2003E)$4.85 to 4.9B EBITDA (2003E)$2.0 to 2.075B POPs covered7.5M Network Access Lines4.9M Local/LD Market Share96%/78% Total Internet Subscribers821K (469K high-speed ) Fibre IP backbonenational Strategic allianceVerizon Communications

7 Communications segment network access lines (NALs) NAL losses below North American peer averages NAL Decrease (Q2-03 vs. Q2-02) 1 Weighted average calculation 2 Comprised of: Bell South, SBC Communications, and Verizon; weighted average calculation 2 (0.5%) (4.0%) (0.7%) 1

8  Achieved $199M in OEP savings YTD 2003  Cumulative annual savings of $349M to June 30, 2003  On track for cumulative savings of $450M in 2003  Cumulative 2004 estimated annual target of $550M June 2003 Actual 2003E 6,500 6,050 Staff Reductions driving $300M in incremental cost reductions in 2003 Communications segment operational efficiency program (OEP)

9 Mobility segment 31.5M: Cdn. PopulationLicensed POPs 28.3M (90%)Network coverage Verizon Wireless & NextelStrategic relationships best in CanadaSpectrum position only one in CanadaiDEN Mike network coast to coast 1XCDMA footprint $750 to 775MEBITDA (2003E) $2.25 to 2.3BRevenue (2003E) 3.2MSubscribers Leading Canadian national wireless provider

10 TELUS Mobility Rogers AT&T BCE Wireless Microcell $54 $39 $44 $45 Mobility segment continued leadership in ARPU Source: Company reports YTD Q2-02 YTD Q2-03 $55 $46 $38 significant premium to closest competitor maintained

11 Mobility segment leading performance in churn BCECingular 2.4% 2.2% 1.6% 2.2% 1.7% 1.4% 1.3% TELUSVerizonAT&TRogersNextel 3.3% Sprint PCS Microcell 3.0% 2.6% T-Mobile TELUS’ Q2 churn rate is best-in-class

12 Mobility segment YTD market share of wireless net additions 1 Bell Rogers AT&T TELUS Mobility 34% Other TELUS Mobility continues to capture healthy share of industry net additions Aliant 1 Excludes Microcell subscriber losses, and Rogers Wireless’ Q2-03 prepaid adjustment Source: Company reports, and analyst estimates

13 Mobility segment how does TELUS Mobility measure up? Sources: TELUS estimates. Cdn. Statistics - Company Reports; US Statistics - Morgan Stanley 1 Projected capex as a % of forecast total revenue. 2 Projected EBITDA less projected Capex divided by projected network revenues 3 Projected wireless penetration gain divided by # of carriers in market. For TELUS, projected net adds divided by projected covered POPs 0.5%0.9%1.2%Penetration gain/carrier 3 6 to 83 to 4-No. of carriers in market 53%41%12%Mkt penetration/cov. POPs 11%9%19%(EBITDA – Capex) / net. rev 2 21%17% Capex intensity 1 18%28%43%Annual EBITDA growth rate 33%32%37%EBITDA / network rev. US Avg 2003 Cdn Avg 2003 TM 2003 guidance TELUS Mobility is best-in-class operating in a strong 3+ player Canadian wireless industry

14 strong margin expansion evident across both business segments 2003 YTD review – EBITDA margin 38% 26% 34% 41% 40% 35% June YTD EBITDA Margin (total revenue) Communications Consolidated Mobility

15 revised 2003 financial outlook – consolidated 2003 guidance implies significant improvement in profitability, cash flow & leverage $1.2 to 1.3B$1.7BCapex $800M to 1.0B $0.80 to 0.90 $2.75 to 2.85B $7.1 to 7.2B updated 2003 guidance ($26M) ($0.75) $2.5B $7.0B 2002 actuals EPS Free Cash Flow EBITDA Revenue < 2.8X3.3XNet Debt : EBITDA change  0.5X  $400 to 500M  $826M to 1.0B  $1.55 to 1.65  9 to 13%  1 to 3%

E 1 EBITDA less capex, cash interest, cash taxes, cash dividends; excludes restructuring & workforce reduction costs $(1.35)B $(26)M $800 to 1,000M improving free cash flow 1

17 deleveraging Q2-02Q2-03Target Net Debt : Capital58.7%55.1%50% long term Net Debt : EBITDA3.6X3.0X 3.0X in Dec 2003 <2.8X in Dec 2003 new net debt : EBITDA guidance <2.8X NEW: year-end deleveraging guidance achieved 6 months early

corporate priorities 1.Delivering operational efficiency 2.Enhancing wireless performance 3.Improving Central Canada profitability 4.Strengthening financial position 5.Driving improved levels of customer service 6.Reaching a collective agreement On track? in progress deferred Feb/04

19 leading N.A. telecom performance 11% 5% 3% 0.2% (18)% (11)% TELUS BCE Sprint MTS SBC AT&T Aliant (3%) (5)% Verizon Bell South Projected 2003 EBITDA Growth Rates Notes: TELUS data based on 2002 actual results & average of 2003 guidance Other 2003 estimates provided by Bloomberg and analyst estimates (4%) As at August 28, 2003

20 5% SBC Projected 2003 Cash Flow ( EBITDA - Capex ) Growth Rates 12% 9% 22% (15)% (2)% 3% 89% TELUS BCE Sprint MTS Bell South Verizon AT&T Aliant Notes: TELUS data based on 2002 actual results & average of 2003 guidance Other 2003 estimates provided by Bloomberg and analyst estimates leading N.A. telecom performance As at August 28, 2003

21 summary Continued operational execution:  TELUS Communications – improving efficiencies  TELUS Mobility – executing materially ahead of plan  Improved 2003 cash flow & earnings outlook  Generating significant cash flow of $800M to $1B  Continued material debt & leverage reduction …delivering on our strategy

questions?

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