TELUS : investing $370 million in Vancouver in 2016

Significant investment will connect more homes and businesses directly to TELUS Fibre, increase wireless speeds and capacity, enhance high-speed Internet and help deliver better healthcare solutions

Vancouver, B.C. - TELUS will invest $370 million in new infrastructure and facilities across the City of Vancouver this year to connect even more homes and businesses directly to TELUS' gigabit-enabled fibre network; increase wireless capacity to meet growing demand; and to improve the reach, speed and capacity of TELUS' high-speed Internet. TELUS Fibre enables residential Internet speeds of up to 150 Mbps, even faster speeds for businesses, healthcare providers, and educational facilities.

This significant investment is part of TELUS' commitment to invest $4.5 billion in British Columbia through 2019 to extend fibre optic infrastructure directly to thousands of homes and businesses in rural and urban communities, further strengthen wireless service, and support key services including healthcare and education with new technologies. By the end of 2019, TELUS will have invested $51 billion in British Columbia since the year 2000.

'Our investment of $370 million this year reflects TELUS' commitment to provide our neighbours with the fastest, most robust communications technology available anywhere in the world today,' said Tony Geheran, TELUS Executive Vice-President and President of Broadband Networks. 'Fibre will power our future, and we're deploying some of the most advanced networks right here, which will open up exciting new possibilities in education, entertainment, healthcare and commerce, and enable Vancouver businesses and start-ups to operate locally while competing globally. Residents and businesses in the Kitsilano neighbourhood are already taking advantage of the increasingly fast Internet speeds, and construction work is moving along according to plan, which means we'll be connecting more neighbourhoods very soon.'

'TELUS' investment in its network equipment supports an important goal in our #BCTECH strategy to ensure high-speed Internet access is available to 100% of the province by 2021,' said Minister of Technology, Innovation and Citizens' Services Amrik Virk. 'This upgrade will help meet the growing demand for wireless and Internet service for businesses and residents in local communities.'

TELUS' infrastructure and technology investments will advance services for the benefit of all British Columbians. In B.C., TELUS is:

• Expanding wireless service coverage to more than 1,540 kilometres of previously-unserved highways under the Connecting British Columbia Agreement signed with the province of B.C. in 2011. For example, TELUS now provides wireless coverage to more than 508 kilometres of Highway 16 between Prince Rupert and Prince George and will connect even more unserved highway segments across B.C. in 2016, enhancing the safety of travel throughout the province;

• Building new wireless sites to add capacity and extend the reach of its wireless network in urban and rural areas to more than 99 per cent of British Columbians, while enhancing and extending LTE - the world's fastest and most advanced wireless technology - to more than 98 per cent of British Columbians;

• Connecting even more communities directly to the gigabit-enabled TELUS Fibre network this year, including Vancouver, Vernon, Dawson Creek, Fort St. John and Merritt. Since 2013, TELUS has connected residences, businesses, schools and healthcare providers in 24 B.C. communities directly to fibre optic infrastructure and the next-generation of Internet and TV services, enabling residential speeds up to 150 mbps and the ability to access faster speeds as technologies and demand evolve. For more information and a map of the communities currently connected to TELUS Fibre, visit telus.com/fibre;

• Nearing completion of a $12 million project to run fibre optic infrastructure along 65 kilometres of Highway 4 on Vancouver Island, bringing enhanced Internet capacity and speed to communities on the west coast of the island. This TELUS-led project is a partnership with BC Hydro, All Nations Trust Company and the Provincial Government, and marks a first in B.C. history as TELUS used a new technology to trench alongside the Highway, eliminating the need to cut down thousands of trees along the 65 kilometre stretch to make room for aerial cables. TELUS anticipates all work will be complete later this spring;

• Welcoming team members and guests to TELUS Garden, the environmentally and technologically advanced LEED Platinum office tower in downtown Vancouver. Construction of the neighbouring 53-storey residential tower will be completed this spring;

• Expanding its healthcare solutions. Currently, TELUS provides electronic medical records to more than 15,000 Canadian physicians as well as health benefits management solutions to more than 10,000 pharmacies, 11,000 dental clinics and 33,000 extended healthcare providers across the country. TELUS Health has invested more than $1.6 billion to bring patient-centred solutions to market to improve the flow of information across the healthcare continuum and enabling better health outcomes for British Columbians and all Canadians;

• Investing in Internet-connected devices to promote the growth of the Internet of Things (IoT) in British Columbia, driving solutions that will enable all sectors to further their global competitive advantage, reduce their environmental impact and increase worker safety;

• Designing advanced security measures including analytics, cloud-based security services and integrated security solutions to help British Columbian businesses maintain strong security against a rapidly-growing number of online threats;

• Enhancing the capacity of its advanced Internet data centre in Kamloops to meet the growing needs of its current and future clients in B.C. and across Canada. Combined with TELUS' expanded cloud portfolio, B.C. businesses now have access to a full suite of managed Infrastructure as a Service (IaaS) solutions that includes public and private cloud options, as well as Canada's first hybrid cloud offering built on the Industry-leading Cisco Cloud Architecture for the Microsoft Cloud Platform; and

• Giving back to the community by contributing more than $4.2 million in grants through TELUS Optik Local, which funds artists to support the production of local and original stories which are showcased on Optik TV's Video on Demand.

The investments announced in this media release were reflected in TELUS' capital expenditure guidance for 2016, which was issued on February 12, 2016.

About TELUS

TELUS (TSX: T, NYSE: TU) is Canada's fastest-growing national telecommunications company, with $12.5 billion of annual revenue and 12.5 million customer connections, including 8.5 million wireless subscribers, 1.5 million residential network access lines, 1.6 million high-speed Internet subscribers and 1.0 million TELUS TV customers. TELUS provides a wide range of communications products and services, including wireless, data, Internet protocol (IP), voice, television, entertainment and video, and is Canada's largest healthcare IT provider.

For more information about TELUS, please visit telus.com.

TELUS in B.C.:

TELUS is planning to invest more than $4.5 billion in new infrastructure and facilities across its home province of British Columbia over the next four years. By the end of 2019 TELUS expects to have invested more than $51 billion in British Columbia since 2000 to extend the reach of advanced wireless and wireline telecommunications infrastructure throughout the province. As part of that commitment, TELUS has connected homes, businesses, schools and healthcare institutions in more than 24 communities directly to TELUS' fibre network in order to support sustained innovation and fuel the province's economic growth. The TELUS Health team is leveraging technology innovation to deliver better health outcomes for British Columbians as a leading provider of electronic medical records for physicians and as a partner of the B.C. government in introducing home health monitoring.

In support of the company's philosophy to give where we live, TELUS, team members and retirees have contributed more than $135 million and 3.76 million volunteer hours to charitable and community organizations throughout British Columbia since 2000. Created in 2005 by President and CEO Darren Entwistle, TELUS has 15 local community boards dedicated to supporting local projects. The three Community Boards in B.C. have donated more than $12.9 million in support of nearly 1,500 local charitable projects since inception, in partnership with regional TELUS Community Action Teams.

In September 2015 TELUS opened its new headquarters, TELUS Garden, located in downtown Vancouver. Rich with innovative architectural, technological and environmental features, TELUS Garden is the first office tower in Canada to receive the new Leadership in Energy and Environmental Design (LEED) Platinum certification for sustainable development. The one million square foot development also includes a 53-storey residential tower currently under construction and targeting LEED Gold standards with 424 green homes and retail space.

Forward-looking statement:

This news release contains statements about expected future events, including TELUS' projected multi-year capital and operating expenditures that are forward-looking. The investments described for 2016, 2017, 2018 and 2019 are subject to the ongoing review and approval of TELUS' Board of Directors. By their nature, forward-looking statements require the Company to make assumptions and predictions 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 (such as regulatory and government decisions, the competitive environment, economic conditions, our ability to purchase spectrum licences through auctions or third parties, and our earnings, free cash flow and financial position) could cause actual capital and operating expenditures to differ materially from those expressed in the forward-looking statements.

Accordingly, this news release is subject to the disclaimer and qualified by the assumptions (including the assumptions for our 2016 annual guidance, semi-annual dividend increases through 2016, ability to sustain and complete our multi-year share purchase program through 2016), qualifications and risk factors referred to in the 2015 Management's Discussion and Analysis for the fiscal year ended December 31, 2015, which are specifically incorporated by reference herein, and in other TELUS public disclosure documents and filings with securities commissions in Canada (on SEDAR at sedar.com) and in the United States (on EDGAR at sec.gov). Except as required by law, TELUS disclaims any intention or obligation to update or revise forward-looking statements.

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For more information, please contact:

Liz Sauvé
TELUS Media Relations
604-719-6715
Liz.sauve@telus.com