1. Q4 2010 TELUS investor conference call Robert McFarlane EVP & Chief Financial Officer Joe Natale EVP & Chief Commercial Officer Darren Entwistle President & Chief Executive Officer February 11, 2011

2. 2 TELUS forward looking statements Today's presentation and answers to questions contain statements about expected future events and financial and operating performance of TELUS that are forward-looking. By their nature, forward-looking statements require the Company to make assumptions and predictions and are subject to inherent risks and uncertainties. There is significant risk that the forward-looking statements will not prove to be accurate. Readers are cautioned not to place undue reliance on forward-looking statements as a number of factors could cause actual future performance and events to differ materially from that expressed in the forward-looking statements. Accordingly our comments are subject to the disclaimer and qualified by the assumptions (including assumptions for 2011 targets), qualifications and risk factors referred to in the Management’s discussion and analysis in the 2009 annual report and in the 2010 quarterly reports. Except as required by law, TELUS disclaims any intention or obligation to update or revise forward-looking statements, and reserves the right to change, at any time at its sole discretion, its current practice of updating annual targets and guidance.

3. 3 Agenda  2010 scorecard  Wireless and wireline segment reviews  Consolidated financial review  Updates  Regulatory  IFRS  Pension update  Q4 summary  2011 corporate priorities  Question and answers 3

4. 2010 consolidated scorecard 4 Achieved 3 of 4 original consolidated targets Original targets (GAAP) Actual results (GAAP) Result Revenue (external) $9.8 to 10.1B$9.779B  EBITDA$3.5 to 3.7B$3.643B EPS – basic$2.90 to 3.30$3.23 CapexApprox. $1.7B$1.721B

5. Q4 2010 wireless financial results 5 Strong revenue and EBITDA growth of over 9% supporting cash flow growth of 17% ($M)Q4-09Q4-10change Revenue (external)1,2251,3389.2% EBITDA4354769.4% EBITDA margins 1 (total revenue) 35.3% no change Capex192 no change EBITDA less capex24328417%    1 Margins on network revenue in Q4/10 and Q4/09 were 39.7% and 39.4%, respectively.

6. Subscriber results 6 Stable net additions in very competitive environment High value postpaid represented 92% of net adds prepaid 18% Wireless subscribers postpaid 82% Postpaid net adds 7M total 5.7M 1.3M Q4-09 109K Q4-10 Total net adds Q4-09 122K 119K Q4-10

7. Smartphone subscriber mix 7 Smartphone base increased 74% y/y to 1.9M  Smartphone subscriber loading hit inflection point  Smartphones represented over 2/3 of postpaid retention units compared to 1/3 a year ago  Smartphones represented 46% of postpaid gross loading compared to 25% a year ago  BlackBerries and iPhones continue to dominate with over 3/4 of smartphone retention loading  Smartphones now represent 33% of postpaid base compared to 20% a year ago

8. Data revenue growth 8 Data revenue growth accelerated to 36% driven by strong smartphone adoption Q4-09 $239M Q4-10 $326M $203M Q4-08 BlackBerry Torch

9. Marketing and retention 9 Record gross adds offset by slightly higher churn COA/COR expense increase reflects record loading Q4-09Q4-10change Gross adds (000s)43147510% Churn1.60%1.72% 0.12 pts COA per gross add$380$388 2.1% COA expense$163M$184M 13% Retention expense$133M$170M28%     

10. Blended ARPU analysis 10 ARPU up 1.9% y/y as strong data ARPU growth more than offset voice ARPU decline Data Q4-10 $58.48 Voice $57.38 Q4-09 % of ARPU 12.60 44.78 42.47 16.01 Q4-10Q4-09 22% 78% 73% 27%

11. Q4 2010 wireline financial results 11 EBITDA growth and margin expansion due to lower restructuring costs ($M)Q4-09Q4-10Change Revenue (external)1,2181,213(0.4)% EBITDA3543714.8% EBITDA margins (total revenue) 28.2%29.6%1.4 pts Capex32237216% EBITDA less capex32(1)n.m.    

12. TELUS TV subscribers 12 Record quarterly net adds of 48K up 45% y/y, while total TV subscribers up 85% Q4-09 33K 48K Q4-10 TELUS TV net additions * TELUS TV subscribers* * Includes both TELUS IP TV and TELUS Satellite TV subscribers Q4-10Q4-09 170K 314K

13. TELUS line losses 13 Residential line losses improved 18% y/y while business line losses reflect increased competition and IP upgrades Q4-10 -45K -37K -8K -18K Q4-09 BusinessResidential

14. Improved wireline operating stats 14 TV & HSIA loading more than offset total NAL losses for second consecutive quarter Q4-10 -53K Q4-09 * Historic NALs restated for prior periods starting in 2007 as a result of a periodic subscriber measurement review and correction. 44K -55K 66K TELUS TV Total NAL losses* High-speed Internet 33K 48K

15. Q4 2010 consolidated financial results 15 Strong consolidated results inline with recent guidance ($M excl. EPS)Q4-09Q4-10change Revenue (external)2,4432,5514.4% EBITDA7898477.4% EPS (basic)0.490.7043% Capex5145649.7% EBITDA less capex2752832.9%     

16. EPS continuity ($) 16 Double digit EPS growth of 43% 0.49 0.26 Excl. Tax Adj. Q4-09 reported Normalized EBITDA 2 Restr. costs Normalized Financing costs 1 Pension & other 1 Q4 2010 Normalized Financing costs excludes early debt redemption penalty in Q4 2009. 2 Normalized EBITDA excludes restructuring and pension costs. Q4-10 reported 0.70 0.22 Lower tax rates 0.67 Excl. Tax Adj. 0.03 Tax adjustment 2009 debt redemption 0.10 0.01 0.06 - 0.01

17. EPS normalization 17 Normalized EPS up 40% to $0.67 per share Q4-09Q4-10 Change EPS - basic $0.49$0.7043% Early debt redemption +0.22 Income-tax related adjs (0.23) (0.03) EPS normalized $0.48$0.6740%  

18. TELUS’ efficiency savings ($M) 18 Efficiency initiatives have enabled significant productivity benefits 150 267 401 2008 2009 2010 *See forward looking statement caution 114 Restr costs $59$190$74 In-year savings Cumulative efficiency savings 134 117

19. TELUS update on Cdn GAAP to IFRS transition 19  Quantified impacts on key financial statement line items and other measures in Q4-10 review of operations including  Pro forma 2010 net income and EPS per IFRS 1% higher by $14M or $0.04  Statement of Financial Position includes recognition of cumulative unamortized gains and losses for employee defined benefit plans and asset impairment reversal  Net impact of $220 million or 3% reduction in Owners’ Equity, as of January 1, 2010  A full description and illustration of expected effects of transition to IFRS will be updated in TELUS’ annual 2010 MD&A TELUS conversion to IFRS effective January 1, 2011

20. Defined Benefit pension assumptions update 20 Discount rate and long-term rate of return expectation lowered slightly from preliminary guidance given in December 2010 2010 (GAAP) 2011E* (IFRS) Discount rate 5.85%5.25% Long-term expected return 7.25%7.0% Pension Expense / (Recovery) $28M$(34) Pension Funding $137M$298M *See forward looking statement caution  Pension funding includes $200M voluntary contribution made in January 2011

21.  TELUS commends CRTC’s Videotron / TVA & Shaw / Canwest decisions  Decisions support pre-existing principle of programming content being made available non-exclusively on reasonable commercial terms  BCE/CTV hearing held early February and decision expected in March 2011  Public policy hearing on effects of consolidation and vertical integration is scheduled for June 2011  TELUS believes CRTC needs to implement measures to effectively address and deter any anti-competitive behaviour from content ownership Industry vertical integration update CRTC reinforces principle that conferring undue preferences by carriers who own content not permitted 21

22.  Jan 25 - Following series of decisions from May 2010, CRTC determined incumbents could assess usage caps on wholesale Internet providers and apply overage charges at a 15% discount to their own retail UBB rates starting March 1  Customers of wholesale ISPs would have been subject to additional charges for going over bandwidth caps  Industry Minister instructed CRTC to consider a review  CRTC has suspended implementation of decisions pending the outcome of its Feb 8 decision to review billing practices  No short-term implications for TELUS  TELUS has not billed usage overage for Internet service Usage-based billing CRTC wholesale UBB decision to be reviewed 22

23.  In March 2010, government announced its intention to open Canada’s doors further to foreign investment in telecom  June 2010 consultation launched asking for comments on three options for relaxing rules on foreign ownership  TELUS advocated a fourth option: liberalization for all telcos and cablecos but retain restrictions for pure broadcasting activities  The Federal Court recently overturned the Cabinet’s December 2009 Order on Globalive ownership structure  Decision could be appealed by Globalive and/or Government  Issue could be cured by new corporate governance structure  Not an issue of whether Globalive will remain in operation  The Minister of Industry expects to issue final report on Digital Economy Strategy in spring of 2011  We expect government to use this opportunity to provide direction on foreign ownership Foreign ownership update 23

24. Q4 2010 summary 24 Strong year-end results set the stage for 2011 earnings and free cash flow growth  Wireless  Strong revenue and EBITDA growth driven by 1.9% increase in ARPU and healthy wireless subscriber growth  Smartphone adoption accelerating data revenue growth to 36%  Wireline  EBITDA growth and margin expansion supported by lower restructuring costs  Record TELUS TV subscriber growth led by Optik TV  Improved residential NAL losses and HSIA loading

25. TELUS’ 2011 corporate priorities 25 1.Deliver on our future friendly brand promise to clients 2.Optimize the potential of TELUS’ leading wireless and wireline broadband networks 3.Drive market leadership position in the Small and Medium Business (SMB) and healthcare markets 4.Continue to improve TELUS’ operational efficiency to effectively compete in the market and fund future growth 5.Raise TELUS team engagement to the next level and continue to drive the philosophy of “Our Business, Our Customers, Our Community, Our Team, My Responsibility” Building value from strategic investments in recent years

26. Evolution of clear and simple customer approach 26 Simplified rate plans, customer experience enhancements and data reflected in operating results  Launch of Clear Choice wireless plans late 2009  Introduced Data notifications in 2010  Clear and Simple Device Upgrade program in 2010  Unlocking of SIM based postpaid wireless devices in 2011 -7.7% -4.4% -1.9% -1.2% 1.9% Q4-09Q1-10Q2-10Q3-10 Q4-10 Year over year ARPU change

27. Evolution of wireless network to Dual Cell HSPA 27 Strategic investments in network technology and new devices enhancing customer experience  Launch of HSPA+ network in late 2009  Upgrade to Dual Cell HSPA 4G 1 technology in Mar 2011 2  Manufacturer-rated peak download speeds up to 42 Mbps  Launch cities: greater Vancouver area, Edmonton, Calgary, Fort McMurray, Whistler, Camrose, Winnipeg and Toronto  Consistent with TELUS’ evolution towards LTE 1 As defined by International Telecommunications Union (ITU), Dec. 2010 2 See forward looking statement caution

28. 28 Building TELUS TV momentum 28 Investments in broadband have enabled TELUS to offer differentiated and integrated service and applications  Record quarterly TV loading driven by Optik  Optik TV reaccelerating High-Speed subscriber loading  Optik footprint now covers 2.1M households 33 29 38 48 44 32 53 66 Q4-09Q1-10Q2-10Q3-10Q4-10 High-speed Internet TV

30. Appendix – free cash flow 2010 Q4 2009 Q4 C$ millions EBITDA 789847 Capex (514)(564) Net Employee Defined Benefit Plans Expense 8 10 Employer Contributions to Employee Defined Benefit Plans (45) (30) Interest expense paid (includes income tax interest income) (296) (141) Cash Income Taxes and Other 4 28 Non-cash portion of share-based compensation 7 3 Restructuring payments (net of expense) 51 23 Donations and securitization fees included in other expense (7) (12) Free Cash Flow (before share-based compensation payment) (3) 164 Share Based Compensation Paid (47) (43) Free Cash Flow (per current public guidance methodology) (50) 121 (151) (160) Dividends Working Capital and Other 61 16 Funds Available for debt redemption (140) 37 A/R Securitization Net Issuance (Repayment) of debt 47 (70) Increase (Decrease) in cash 7(33) Issuance of non-voting shares* - 52 * Non-voting share issuance from treasury primarily for shareholders in the DRIP - Issuance of common shares - 8 100

31. Appendix – definitions TELUS definitions for non-GAAP measures  EBITDA: earnings, after restructuring and workforce reduction costs, before interest, taxes, depreciation and amortization  Capital intensity: capital expenditures divided by total revenue  Cash flow: EBITDA less capex  Free cash flow: EBITDA, adding Restructuring and workforce reduction costs, net employee defined benefit plans expense, cash interest received and excess of share compensation expense over share compensation payments, subtracting cash interest paid, cash taxes, capital expenditures, cash restructuring payments, employer contributions to employee defined benefit plans, and cash related to Other expenses such as charitable donations and securitization fees  Cost of retention (COR): total costs to retain existing subscribers, often presented as a percentage of network revenue

32. 2011 annual consolidated targets* 32 2011 targets (IFRS) y/y growth** Revenue (external) $9.925 to 10.225B1 to 4% EBITDA$3.675 to 3.875B1 to 6% EPS – basic$3.50 to 3.907 to 19% CapexApprox. $1.7B *See forward looking statement caution ** Y/Y growth rates reflect 2011 guidance and 2010 results according to current understanding of IFRS