Dean Prevost to Step Down as President of Allstream

Michael Strople Named President

Stock symbol: MBT

TORONTO, Jan. 7, 2014 /CNW/ - Manitoba Telecom Services Inc. (TSX: MBT) ("MTS Allstream" or the "Company") today announced that Allstream President Dean Prevost  will step down from the company, effective January 17, 2014 in order to pursue other interests. Michael Strople, currently Chief Operating Officer of Allstream, will assume the role of President.

"Dean has been a driving force behind Allstream's evolution to become a leader in the Canadian business telecommunications market," said Pierre Blouin, Chief Executive Officer. "He successfully designed and oversaw a number of important strategic and organizational initiatives that have positioned the company to thrive in the years ahead. I thank Dean for his vision and leadership, and on behalf of the Board, his colleagues, and his friends across the industry, I wish him well in his future endeavours."

"At the same time, I am pleased to welcome Mike to his new role. Mike brings a track record of success in both executive and operational roles across the telecommunications industry and has been a key player in executing Allstream's successful strategy over the past few years. I am confident that he can take Allstream forward in its next phase of success and growth."

Mr. Prevost joined Allstream's predecessor company, AT&T Canada Enterprises, in 1997 as Vice-President, Strategy and Business Development. A key member of Allstream since its founding, Dean has led every major function in the company, including through roles such as the President of IT Services, Chief Marketing Officer, Chief Strategy Officer and Chief Corporate Officer.  During his tenure, Mr. Prevost successfully reorganized the company, shed unprofitable businesses, deepened the company's cloud service capabilities by adding hosting and security portfolios, and built a renewed sales and marketing operation. As President, Mr. Prevost spearheaded the company's strategy of growing its presence in Canada's mid-market by delivering superior customer services to customers on or near Allstream's national fibre optic network. This strategy has increased free cash flow, improved margins and earned Allstream's industry leading customer satisfaction ratings.

"I am thankful for the opportunity to build such a long and fulfilling career with Allstream," said Mr. Prevost. "I am proud of how my colleagues, and our entire Allstream team, have been able to develop and execute a more focused strategy, delivering superior service to our customers in Canada's business community, and value for our shareholders. In stepping away from the company, I am confident that it is in good hands with Mike and his team with whom I have been working closely. I thank Pierre and the Board for their support and mentorship over the years, and wish the company well for the future."

Mr. Strople has been with Allstream since 2005. In his current role as Allstream's Chief Operating Officer, with responsibility of operations, sales, marketing and technology, he has worked closely with Mr. Prevost and the broader MTS Allstream executive team. Mr. Strople has been a key contributor to the development of Allstream's successful strategy to focus on driving growth in high margin, on-net, IP-based services and expand into the mid-market, which has resulted in many improvements in the business. The Company anticipates the leadership transition will be smooth and that Mr. Strople will continue delivering progress in the continued execution of Allstream's strategy. Before joining MTS Allstream, Mr. Strople worked as a consultant with major North American service providers, leading IP telephony and wireless data projects. Formerly, Mr. Strople worked at Nortel Networks where he held various positions from research and development through operations.

About Manitoba Telecom Services Inc. (MTS Allstream)
MTS Allstream is one of Canada's leading national communication solutions companies, providing innovative communications for the way Canadians live and work today. The company has more than 100 years of experience, with approximately 5,000 employees across Canada. MTS Allstream's business is dynamic and consists of two operating divisions. In Manitoba, MTS is the leading full-service telecommunications provider for residential and business customers.

MTS's suite of services includes the latest in wireless technology, broadband services, IPTV, voice services, home security, and an extensive range of business solutions. Across Canada, Allstream is a leader in IP communications and is the only national provider that focuses exclusively on the business telecommunications market. MTS Allstream has nearly two million customer connections spanning business customers across Canada and residential consumers throughout the province of Manitoba. The Company's extensive national fibre optic network spans more than 30,000 kilometres. MTS Allstream has spent 12 consecutive years on the Jantzi Social Index for leadership in social responsibility and is the recipient of the 2011 Governance Gavel Award from the Canadian Coalition for Good Governance, recognizing clear and effective public disclosure and leading governance practices.

MTS Allstream's common shares are listed on the TSX (trading symbol: MBT). Customers, stakeholders and investors who want to learn more about MTS Allstream are encouraged to visit: www.mtsallstream.com.

For more information about MTS's products and services, please visit www.mts.ca. For more information about Allstream's products and services, please visit www.allstream.com.

Forward-looking statements disclaimer
This news release includes forward-looking statements, including, but not limited to, statements with respect to the anticipated future performance of Allstream. Examples of statements that constitute forward-looking information may be identified by words such as "believe", "expect", "project", "should", "anticipate", "could", "target", "forecast", "intend", "plan", "outlook", "see", "set", "pending", and other similar terms. All forward-looking statements are made pursuant to the safe harbour provisions of applicable Canadian securities legislation. Forward-looking statements are subject to risks, uncertainties and assumptions. As a consequence, actual results in the future may differ materially from any forward-looking conclusion, forecast or projection, whether expressed or implied. Therefore, forward-looking statements should be considered carefully and undue reliance should not be placed on them. Please note that forward-looking statements in this news release reflect Management's expectations as at December 23, 2013 and thus, are subject to change thereafter. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Factors that could cause actual results to differ materially include, but are not limited to, matters identified in the "Risks and uncertainties" section and elsewhere in the Company's third-quarter 2013 interim MD&A and the Company's 2012 annual MD&A, which are available on the Company's website at www.mtsallstream.com/investors and on the SEDAR website.

SOURCE MTS Allstream

For further information:

Media:

Selena Hinds
Corporate Communications
204-941-8576
media.relations@mtsallstream.com

Investors:

Paul Peters
Investor Relations
204-941-6178
investor.relations@mtsallstream.com