TELUS closes enhanced $2 billion bank facility

    Inter-company debt restructured

    VANCOUVER, March 2 /CNW/ - TELUS Corporation (TSX: T and T.A / NYSE:   TU)
today announced that it has closed its previously announced new five year
$2 billion credit facility with a syndicate of 18 financial institutions. This
new facility replaces $1.6 billion of existing credit facilities that
consisted of an $800 million facility, which would have expired in May 2008
and an $800 million facility, which would have expired in May 2010. The new
facility may be used for general corporate purposes including the backstop of
commercial paper, which could be part of the refinancing of the $1.5 billion
of TELUS notes coming due in June 2007. The new credit facility has no
substantial changes in terms and conditions other than reduced pricing and
extended term, which reflects favourable market conditions and TELUS' strong
financial position. Notably, the May 2012 maturity date of the new credit
facility extends beyond the maturity date of TELUS' June 2011 notes.
    In addition, TELUS Corporation and its subsidiary TELUS Communications
Inc. (TCI) today announced that the net senior debt owing from TCI to TELUS
Corporation, which stood at approximately $2.6 billion as at December 31, 2006
(incorporating rights of offset), has been increased to approximately
$5 billion on a net basis as a result of a restructuring of the inter-company
financing arrangements between the two companies. Credit rating agencies
generally view these senior inter-company notes as being supportive of TELUS
Corporation's ratings. This restructuring does not change the amount of debt
of TELUS Corporation on a consolidated basis.

    This news release contains statements about expected future events and
    financial and operating results of TELUS that are forward-looking. By
    their nature, forward-looking statements require the Company to make
    assumptions 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 results and events to differ materially from that expressed in the
    forward-looking statements. Accordingly this news release is subject to
    the disclaimer and qualified by the assumptions (including assumptions
    for financings and commercial paper issuance), qualifications and risk
    factors referred to in the 2006 Management's discussion and analysis.

    About TELUS
    TELUS (TSX: T, T.A; NYSE:   TU) is a leading national telecommunications
company in Canada, with $8.7 billion of annual revenue and 10.7 million
customer connections including 5.1 million wireless subscribers, 4.5 million
wireline network access lines and 1.1 million Internet subscribers. TELUS
provides a wide range of communications products and services including data,
Internet protocol (IP), voice, entertainment and video. Committed to being
Canada's premier corporate citizen, over the last six years TELUS has
contributed more than $76 million to charitable and non-profit organizations,
and has established seven TELUS Community Boards across Canada to lead its
local philanthropic initiatives. For more information about TELUS, please

For further information:

For further information: Investor relations: Robert Mitchell, (416)
279-3219,; Media Relations: Shawn Hall, (604) 697-8176,

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