TELUS to early redeem US$ 8% Notes due June 1, 2011

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Jul 27, 2010, 04:52 ET

VANCOUVER, July 27 /PRNewswire-FirstCall/ - TELUS Corporation announced that it has given notice today of a partial redemption on September 2, 2010 of US$613 million or approximately 45.024% of its outstanding US$1.3615 billion 8% Notes due June 1, 2011 (CUSIP # 87971MAC7). The redemption price will be based on the Adjusted United States Treasury Yield, as provided in the trust indenture pursuant to which such Notes were issued in May 2001. Note holders will also receive accrued interest to the redemption date.

On completion of the redemption, the Global Debt Security held by The Depository Trust Company (DTC) will be reduced by approximately 45.024% such that the amount outstanding will be reduced to US$748.5 million. Consistent with DTC practice in the United States for partial early redemption of debt issues, the individual book entry holdings to be redeemed will be selected on a lottery basis by DTC.

TELUS will fund the partial early redemption using proceeds from its recently completed issue of C$1 billion 5.05% 10-year Notes and/or funds available under its existing credit facilities.

This news release is for informational purposes only and does not constitute an offer to buy or sell, or the solicitation of an offer to buy, or sell, any securities.

About TELUS

TELUS (TSX: T, T.A; NYSE: TU) is a leading national telecommunications company in Canada, with $9.6 billion of annual revenue and 11.9 million customer connections including 6.6 million wireless subscribers, 3.9 million wireline network access lines and 1.2 million Internet subscribers and 200,000 TELUS TV customers. Led since 2000 by President and CEO, Darren Entwistle, TELUS provides a wide range of communications products and services including data, Internet protocol (IP), voice, entertainment and video.

Forward Looking Statements

This news release contains forward looking statements. Forward looking statements are not based on historical facts, but rather on current expectations, Company assumptions and projections about future events and are therefore subject to risks and uncertainties which could cause actual results, performance or achievements to differ materially from the future results expressed or implied by the forward looking statements, including the timing and cost of the proposed redemption of the 8% 2011 notes and the swap terminations. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Company assumptions and risk factors are listed from time to time in TELUS' reports, public disclosure documents including Management's discussion and analysis, Annual Information Form, and in other filings with securities regulatory authorities in Canada and the United States.

SOURCE TELUS Corporation