JPMorgan 31st Annual Tech

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JPMorgan 31st Annual Tech Telecom Conference

• San Francisco, CA
• May 7, 2003

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• Darren Entwistle
• Member of the TELUS Team

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• evolving our business
• delivering on our strategy

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forward-looking statements
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 2003 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
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agenda

• TELUS at a glance
• Q1 2003 Highlights
• Transforming TELUS (2000 ? 2003)
• Priorities

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TELUS Corporation

• Canadas only pure-play, facilities-based,
  full-service telecom provider
• 2nd largest Canadian telco
• Executing national growth strategy focused on
  data, IP wireless from position of financial
  strength
• 2003E Revenues C7.2 7.3B (3 to 4)
• EBITDA C2.7 2.8B (7 to 11)
• EPS C0.50 to 0.70
• Enterprise value C15B (equity 7B)
• Daily trading1 1M shares
• Operating segments Communications wireline
• Mobility wireless

1. recent 60 trading day average for voting
non-voting shares
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Q1 2003 Highlights
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Q1 2003 consolidated highlights
1 Excludes restructuring workforce reduction
costs
strong EBITDA tax savings drive significant
profitability improvement ahead of
expectations quarterly dividend per share 0.15
July 1
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2003 Q1 review consolidated
1 Ratio of capex to total revenues 2 EBITDA less
capex, cash interest, cash taxes, cash dividends
excludes restructuring workforce reduction costs
275M improvement in free cash flow generation
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2003 Q1 review Communications segment
1 Excludes intersegment revenues 2 Ratio of capex
to total revenues 3 EBITDA less capex
capital operational efficiency gains driving
improved cash flow
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operating highlightsTELUS Communications

• Operational Efficiency Program on track

Q1-03 cash flow 339 million ? 115
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operating highlightsTELUS Communications

• EBITDA performance

?14
? 6
Q1-03Normalized1
Q1-03
1excluding price cap decision and pension expense
change
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2003 Q1 review Mobility segment
1 Q1-02 includes 21.0M clarification of
provincial sales tax legislation related to
wireless equipment subsidies 2 Ratio of capex to
total revenues 3 EBITDA less capex
significant profitability cash flow growth
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strong ARPU performance ( mo.)
ARPU ? 2
15
TELUS Mobilitystrong improvement in churn
2.0
1.9
1.7
1.7
1.5
Q1-03
Q2-02
Q3-02
Q4-02
Q1-02
significant 35pt year-over-year churn improvement
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churnleading performance
3.1
2.6
2.3
2.1
2.0
1.9
1.5
1.4
TELUS
BCE
Verizon
ATT
Rogers
Nextel
Sprint PCS
Cingular
churn improvement makes TELUS Mobilitys low
churn rate one of best in North America
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2003 Q1 review consolidatedimproving debt
ratios
significant credit enhancement underway
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April 30th announcement credit facility renewal

• 364-Day revolving credit facility renewed
• Combined bank facility now 2.1B
• No material changes to terms
• New maturity date May 2004
• Renewal evidences strong capital market support

building on our financial strength
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bond price performance
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2003 targets Q1 revised guidance
1 December 16, 2002 2 Revised on April 8, 2003
3 April 30, 2003
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• TELUS transformation
• 2000 ? 2003

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tracking against our strategic imperatives

• Provide integrated solutions
• Build national capabilities
• Partner, acquire divest as necessary
• Focus relentlessly on growth markets
• Go to market as one team
• Invest in internal capabilities

Progress review from 2000 to March 2003
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2 build national capabilities
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TELUS national infrastructure IP fibre
Jan 2000 Mar 2003
3 Ont./Que. cities ? 29
2 co-locations ? 82
5 customer POPs ? 165
0 km lit fibre ? 11,000 km
Stentor platform ? TELUS
Circuit-based ? Next
network Generation
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TELUS national infrastructure - wireless
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TELUS national infrastructure - wireless
Jan 2000 Mar 2003
7M PoPs ? 24M ? 28M
20M Mike ? 24M
1G ? 2G ? 3G
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capex spent on strategy core growth
Wireless
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Network Infrastructure IT
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7
Data/IP
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ILEC
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9
Non-ILEC Growth
6.4B
ADSL
Cumulative Capex 2000 to Mar 2003
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creating scale in Central Canada
870- 890M
Wireline
4M
2003E
Jan 2000
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rebalancing our wireline revenue base
1 Ont/Que
18 Ont/Que
99 AB/BC
82 AB/BC
2003E
Jan 2000
REGIONAL
NATIONAL
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improving profitability in Central Canada
Outlook for Central Canada Wireline
105M
EBITDA
57M
2002
2003E
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3 partner, acquire divest
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acquisitions focus on core business
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acquisitions focus on core growth
79
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Data/IP Cos.
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divesting non-core assets

• Raised 1.3B in 2000 2001
• Real estate
• Telecom Leasing Canada
• Advertising services

Strengthened balance sheet
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4 focus relentlessly on growth markets
2000
12ME Q1 2003
Other
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6
Mobility
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30
16
59
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Voice
Data
6B
7B
Voice exposed balanced with
growth
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customer gains drive wireless revenue growth
3,062K
2,103M
974M
1,099K
Mar 2003
Mar 20031
Jan 2000
1999
Wireless Revenue
Wireless customers
112 months ending Mar 2003
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outstanding high-speed Internet growth
442K
Velocity ADSL Internet Subs
26K
Jan 2000
Mar 2003
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5 go to market as one team
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(No Transcript)
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one team
one brand!
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TELUS brand promise
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TELUS advertising
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6 investing in internal capabilities

• Instilling shareholder mindset

Employee Plan Ownership
10.7M Shares
3.1 ownership
5.8M
2.5
Jan 2000
Mar 2003
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2003 priorities
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2003 priorities

• Delivering operational efficiency
• Driving improved levels of customer service
• Enhancing wireless performance
• Strengthening financial position
• Improving Central Canada profitability
• Reaching collective agreement

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2003 priorities

• Delivering operational efficiency

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2003 priorities

• Delivering operational efficiency
• Driving improved levels of customer service

Repair Answer
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2003 priorities

• Delivering operational efficiency
• Driving improved levels of customer service
• Enhancing wireless performance

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2003 priorities

• Delivering operational efficiency
• Driving improved levels of customer service
• Enhancing wireless performance
• Strengthening financial position

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2003 priorities

• Delivering operational efficiency
• Driving improved levels of customer service
• Enhancing wireless performance
• Strengthening financial position
• Improving Central Canada profitability

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2003 priorities

• Delivering operational efficiency
• Driving improved levels of customer service
• Enhancing wireless performance
• Strengthening financial position
• Improving Central Canada profitability
• Reaching collective agreement

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2003 outlookleading North American telecom
performance
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2003 outlookleading North American telecom
performance
Projected EBITDA-Capex Growth Rates 2003E
52.3
18.4
11.5
8.5
7.0
SBC
1.5
Verizon
ATT
Sprint
Bell South
TELUS
Aliant
BCE
MTS
(0.6)
(4.6)
(19.9)
Note TELUS data based on 2002 actual results
average of 2003 targets Other 2003 estimates
provided by TD Securities, based on analysts
estimates
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2003 outlook

• Top telecom performer in North America
• EBITDA growth
• Cash Flow (EBITDA Capex) growth
• EPS up by 1.25 to 1.45 to 50 to 70 cents

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2003 outlook

• Top telecom performer in North America
• EBITDA growth
• Cash Flow (EBITDA Capex) growth
• EPS up by 1.25 to 1.45 to 50 to 70 cents
• Building value for equity debt holders

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Financial Targets
Public Target Success 2000 to 2002
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questions?
telus.com/investors Ir_at_telus.com 1-800-667-4871
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appendix slides
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TELUS Communications
ILEC full service in W. Canada and E. Quebec
Non-ILEC data IP for business in Central
Canada Revenue (2003E) C5.0 to 5.05B EBITDA
(2003E) C2.075 to 2.125B POPs covered 7.5M Networ
k Access Lines 4.9M Local / LD Market Share 97 /
78 Total Internet Subscribers 814K (442K
High-speed ADSL) Fibre IP backbone national Strate
gic alliance Verizon Communications
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TELUS Mobility
Leading national wireless provider Revenue
(2003E) C2.2 to 2.25B EBITDA (2003E) C675 to
700M CDMA footprint coast to coast 1X iDEN
network only one in Canada Spectrum position best
in Canada Subscribers 3.1M Licensed POPs Cdn.
population 31.5M Network coverage 28M (80)
roaming Strategic relationship Verizon Wireless
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TELUS Mobility profitable subscriber growth
Q1-03
Q1-02
3,500
?
2,800
Lifetime revenue
marketing cost as of lifetime revenue declining
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how does TELUS Mobility measure up?
Sources TELUS estimates. Cdn. Statistics -
Company Reports US Statistics - Company Reports
and Morgan Stanley 1 Projected capex as a of
forecast total revenue. 2 Projected EBITDA less
projected Capex divided by projected total
revenues 3 Projected wireless penetration gain
divided by of carriers in market. For TELUS,
projected net adds divided by projected covered
POPs
TELUS Mobility is a premium wireless provider
operating in attractive Canadian market