- Bold infrastructure program to support national economic and
employment recovery from COVID-19 while enabling Canada's continued
leadership in advanced communications
- Biggest ever annual capital plan in Bell history: investment
acceleration is in addition to Bell's typical capital expenditures
of approximately $4 billion a
year
- Enhanced capital plan will add up to 900,000 additional fibre
and rural Wireless Home Internet locations while also doubling
Bell's 5G population coverage this year
MONTRÉAL, Feb. 4, 2021 /CNW
Telbec/ - Underscoring the essential role Bell networks have played
in Canada's COVID-19 response, and how important they will be to
the country's economic recovery and future growth, Bell today
announced it will rapidly expand its broadband fibre and wireless
networks with a $1 billion to
$1.2 billion acceleration in capital
expenditures over the next 2 years.
"Bell has offered critical support to Canadians throughout
COVID-19, and we are proud to ensure our networks will play a key
role in the country's move forward as we announce our plan to
accelerate the rollout of Bell network connections to hundreds of
thousands of additional locations in urban and rural communities
alike this year," said Mirko Bibic,
President and CEO of BCE Inc. and Bell
Canada.
"With network leadership driving Bell's momentum in the
marketplace, BCE's rock-solid financial position and a stable
federal regulatory environment supporting spending on new network
infrastructure, it's the right time to step up with the
unprecedented investment that Canada needs to build back. As we
mark our company's 141st year of leading the way in
communications innovation, the Bell team remains committed to
advancing how Canadians connect with each other and the world with
this bold new investment in our country's future," said Mr.
Bibic.
This investment acceleration is in addition to Bell's typical
annual capital expenditures of approximately $4 billion over the last decade (which grew to
$4.2 billion in 2020 due to
investment in network capacity and digital platforms in response to
unprecedented usage demand during COVID-19). Funded from the
proceeds of Bell's sale of data centres in 2020, the
additional $1 billion to $1.2
billion investment is expected to generate an estimated
$2 billion in new economic activity
and create approximately 5,300 additional direct and indirect
Canadian jobs. The program will also leverage accelerated expensing
of capex under the federal capital cost allowance program,
generating cash tax savings that can be reinvested in
infrastructure development.
Bell expects to invest approximately $700
million of this additional capital in 2021 to accelerate
both our wireless and wireline network footprints. This includes an
incremental increase of up to 400,000 more homes and business
covered by fast fibre and rural Wireless Home Internet service
(which will increase new locations covered this year to as many as
900,000, for a total broadband footprint of approximately 6.9
million locations by the end of 2021). At the same time, Bell plans
to double the national population coverage of Bell 5G, the fastest
wireless network in the country, which currently serves more than
150 communities across Canada.
"The COVID crisis has reinforced the importance of fast,
reliable and high-capacity broadband network connections in every
part of Canadian society, and they will be just as critical to our
ongoing national leadership in a converged digital world," said Mr.
Bibic. "Building the best networks is a strategy that benefits all
our stakeholders: our customers and communities with access to the
latest communications innovations and 99.99+% network service
reliability; our company with the leading market growth that
propels Bell's broadband investment strategy; and our country with
the next-generation infrastructure and support necessary to compete
and prosper in a rapidly evolving global digital economy."
The capital acceleration will mean an incremental increase of up
to 400,000 new homes and businesses covered with broadband service
this year, including as many as 250,000 additional all-fibre
connections, delivering the fastest home Internet speeds available
and access to Fibe TV and other exclusive digital platforms, and up
to 150,000 more homes covered by our unique WHI service, which is
blazing a broadband Internet trail to rural Canada, including many
locations previously unserved by any provider. Bell's 5G network,
certified as Canada's fastest mobile service, will also double its
current population coverage by year-end.
Providing advanced broadband wireless, TV, Internet, media and
business communications services, Bell is the largest
communications company in Canada
with more than 22 million consumer and business connections. Bell
was founded in Montréal in 1880 and is wholly owned by BCE Inc.
(TSX, NYSE: BCE). To learn more, please visit Bell.ca or
BCE.ca.
The Bell Let's Talk initiative promotes Canadian mental health
with national awareness and anti-stigma campaigns like Bell Let's
Talk Day and significant Bell funding of community care and access,
new research and workplace leadership initiatives nationwide.
Please visit Bell.ca/LetsTalk to learn more.
Media inquiries:
Nathan Gibson
905-614-9596
nathan.gibson@bell.ca
@Bell_News
Investor inquiries:
Thane Fotopoulos
514-870-4619
thane.fotopoulos@bell.ca
Caution Concerning Forward-Looking Statements
Certain
statements made in this news release are forward-looking
statements, including statements relating to our anticipated
capital expenditures and the benefits expected to result therefrom,
including our two-year increased capital investment program to
accelerate fibre, Wireless Home Internet and 5G footprint
expansion, our business outlook, objectives, plans and strategic
priorities, and other statements that are not historical facts. All
such forward-looking statements are made pursuant to the "safe
harbor" provisions of applicable Canadian securities laws and of
the United States Private
Securities Litigation Reform Act of 1995. Forward-looking
statements are subject to inherent risks and uncertainties and are
based on several assumptions which give rise to the possibility
that actual results or events could differ materially from our
expectations. These statements are not guarantees of future
performance or events, and we caution you against relying on any of
these forward-looking statements. The forward-looking statements
contained in this news release describe our expectations at the
date of this news release and, accordingly, are subject to change
after such date. Except as may be required by applicable securities
laws, we do not undertake any obligation to update or revise any
forward-looking statements contained in this news release, whether
as a result of new information, future events or otherwise. Our
capital investment and network deployment plans and the benefits
expected to result therefrom are subject to risks and, accordingly,
there can be no assurance that our capital investment and network
deployment plans will be completed or that the benefits expected to
result therefrom will be realized. The value of the planned
investment assumes our ability to access or generate the necessary
sources of capital. However, there can be no certainty that the
required sources of capital will be available with the result that
the actual investment made by us could materially differ from
current expectations. For additional information on assumptions and
risks underlying certain of our forward-looking statements made in
this news release, please consult BCE's Safe Harbour Notice
Concerning Forward-Looking Statements dated February 4, 2021, filed by BCE with the Canadian
provincial securities regulatory authorities (available at
Sedar.com) and with the U.S. Securities and Exchange Commission
(available at SEC.gov). This document is also available at
BCE.ca.
SOURCE Bell Canada