Robert McFarlaneEVP & Chief Financial Officer

January 11, 2005

Entertainment, Media & Telecommunications Conference

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forward-looking statement

This presentation and answers to questions contain forward-looking statements about expected future events including a normal course issuer bid, dividends and financial and operating results that are subject to risks and uncertainties. TELUS’ actual results, performance, or achievement could differ materially from those expressed or implied by such statements. For additional information on potential risk factors, see TELUS’ 2004 Annual Information Form, and other filings with securities commissions in Canada and the United States.

TELUS disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

all dollars in Cdn$ unless otherwise specified

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Executing national growth strategy focused on data, IP & wireless

2nd largest Canadian telco

2004 guidance1:

Revenues $7.5 to 7.575B

EBITDA2 $3.05 to 3.1B

FCF $1.25 to 1.3B

Dividend per share 20¢ per quarter

Enterprise value: $19B (~70% equity)

Average daily trading: 1.5M

Listings: TSX: T, T.NV; NYSE: TU

Operating segments: wireline: TELUS Communicationswireless: TELUS Mobility

1 Per update on December 17, 2004. 2EBITDA defined as earnings before interest, taxes, depreciation & amortization, after restructuring and workforce reduction costs.

about TELUS

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ILEC: full service in W. Canada and E. Quebec non-ILEC: data & IP for businesses in Central Canada

2004 guidance1:

Revenue $4.725 to 4.775B

Non-ILEC Revenue $545 to 555M

EBITDA $1.925 to 1.95B

Total Internet Subscribers ~975K (687K high-speed)

Network Access Lines 4.8M

Fibre IP backbone national Next Generation Network (NGN)

1 Per guidance as at December 17, 2004.

TELUS Communications segment

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31.8M: Cdn. PopulationLicensed POPs

29.7M (93% of POPs)Network coverage

55 MHz in major marketsSpectrum position

only one in Canada (Nextel in US)iDEN Mike network

coast to coast 1X (CDMA)National footprint

$1.125 to 1.15BEBITDA

$2.775 to 2.8BRevenue

3.85 to 3.9M Subscribers

leading Canadian national wireless provider

1 Per guidance as at December 17, 2004.

TELUS Mobility segment

2004 guidance1:

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strategic imperatives 2000-2005

Go to market as one team

Provide integrated solutions

Partner, acquire & divest as necessary

Invest in internal capabilities

Build national capabilities

Focus on growth markets

consistent strategy

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build national capabilities

TELUS’ infrastructure - 2000

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build national capabilities

TELUS’ infrastructure - 2004

9 delivering growth focused on data & wireless

$5.7B

43%

18%

10%

6%Other

12ME Q3-04

$7.4B

Local Voice

Wireless

Data29%

36%

19%

4%Other

LD

Wireless

12ME Q2-00

Local Voice

23%

Data

12%LD

TELUSCommunications

TELUSCommunications

TELUSMobility

TELUSMobility

focus on growth marketsconsolidated revenue profile

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focus on growth markets - cash flow profile

Mobility as % of total consolidated

Mobility expected to represent >50% of TELUS’ consolidated cash flow in 2005

37%

29%

42%

2004E2003 2005E

44%

29%

53%

2004E2003 2005E

EBITDA EBITDA less capex

TELUS Communications

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0 to 5%$950 to 1,000MCapex

(5) to (2)%

change1

EBITDA (after restruc.)2

Revenue

2005 targets

$1.85 to 1.9B

$4.7 to 4.75B

1 Variance calculated based on midpoint of latest 2004 guidance2 Includes $100M in restructuring & workforce reduction costs

(1) to 0%

2005 targets reflect competitive wireline markets

2005 Communications targets summary

9 to 18%non-ILEC Revenue $600 to 650M

$0 to 10Mnon-ILEC EBITDA 23 to 33M

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EBITDA (before restructuring)

EBITDA essentially flat before restructuring costs

1.975 to 2.00 1.95 to 2.00

2004E 2005E

EBITDA (before restructuring costs1, $B)

Communications segment

1 Excludes restructuring & workforce reduction costs of $50M in 2004E & $100M in 2005E

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545 to 555

2004E

600 to 650

2005E

9 to 18% non-ILEC growth in Central Canada focused on recurring data and IP revenues in the business market

Communications segment

non-ILEC revenue target

Revenue ($M)

15

(20) to (25)(29)

2003 2004E

2005E

targeting positive non-ILEC EBITDA in 2005

non-ILEC EBITDA target

Communications segment

0 to 102002

(107) EBITDA ($M)

16

152

~787

562

2003 2004E

~100Subscriber base

Net additions

(000s)

~125

~687

2005E

Communications segment

100K target reflects obtaining continuing majority share of net adds in a maturing market

2005E Total Internet subs.

High Speed

Dial-up

> 1M

high-speed Internet net additions target

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Geographic expansion

Refocused on high quality, recurring, IP-based revenues in non-ILEC to

leverage Next Generation Network (NGN) leadership

Bundling & price increases

bundling strategy protects legacy revenues

LD plan administration charge increased

“Future Friendly” home

continuing high-speed Internet growth

Home Networking and HomeSitterTM

IPTV over ADSL trials since April 2004

other new applications to come

revitalizing wireline growth

Communications segment

business:

consumer:

TELUS Mobility

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0 to 14%$350 to 400MCapex

19 to 23%

change

EBITDA

Revenue

2005 targets

$1.35 to 1.4B

$3.2 to 3.25B 15 to 17%

2005 targets reflect continuing profitability increases

2005 Mobility targets summary

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Mobility segment

15 to 17% revenue growth driven by continued strong subscriber growth & premium ARPU

2.775 to 2.803.20 to 3.25

2004E 2005E

Revenue ($B)

revenue target

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(000s)

3,424

418425 to 475

3,850 to 3,900Subscriber base

Net additions

2005E2003 2004E

4,300 to 4,350

Target425 to 475Knet adds

2005 net additions consistent with 2004E

Mobility segment

subscriber net additions target

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19 to 23% EBITDA growth driven by strong revenue growth and continued cost containment

Mobility segment

EBITDA target

1.125 to 1.15

1.35 to 1.40

2004E 2005E

EBITDA ($B)

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$0 to 50M$350 to 400MCapex

change2005 target

2004E 2005E

~13%11 to 12%

Capex intensity1

1 Ratio of capex to total revenues

Mobility cash flow increasing by 27% to ~$1B

Mobility segment

capex target

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TELUS Mobility EBITDA & cash flow growth

51% compounded EBITDA growth rate over five years

1 Pro forma acquisition of Clearnet. 2 EBITDA (excluding restructuring) for 2001 & 2002

3 Per guidance mid-points announced December 17, 2004

173

815

200320001

356

20012

535

20022

~1,138

2004E3

(360)

455

(288)

75

EBITDA

EBITDA less capex($M)

Mobility segment

~788

2005E3

~1,375

~1,000

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11 to 12%Capex intensity2

EBITDA margin (total revenue) 42 to 43%

Cash flow yield3 ~31%

2005E

1 Per guidance as at December 17, 20042 Capex as % of total revenue3 EBITDA less capex, as a % of total revenue

~13%

~40%

~28%

2004E1

operating cash flow yield

Attractive wireless cash flow yield

Mobility segment

27

31%

24%19%

22%

15%

6%

TELUS

Nexte

l

Rogers

Verizo

n

PCS

Cingula

r1

North America comparison – cash flow yield

1 Includes AT&T WirelessSource: Morgan Stanley estimates

EBITDA less Capex / Total Revenue

targeted cash flow yield of 31% in 2005 is best in class

Mobility segment

(6)%

T-Mobile

28 4 million net adds expected over next 3 years

Source: Industry analysts

2003

42%

2007E

55-59%

Q3-2004

45%

13.4Msubs

18-19Msubs

14.4Msubs

Canadian wireless penetration growth prospects

Mobility segment

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data revenue expanding exponentially

Data revenue growth driven by expanding number of applications

Mobility segment

text & picturemessaging

mobilebrowser

downloadsmobilecomputing& other applications

RIM

wireless Internet (1X cards)

wireless databusiness

& consumer

TELUS Consolidated

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0 to 8%$1.3 to 1.4BCapex

8 to 21%$1.65 to 1.85EPS

4 to 7%

change

EBITDA1

Revenue

2005 targets

$3.2 to 3.3B

$7.9 to 8.0B

1 Includes $100M in restructuring & workforce reduction costs

Free Cash Flow $1.2 to 1.3B

5 to 6%

2005 targets reflect solid revenue & earnings growth

2005 consolidated targets summary

-

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2005E($M)

20Add back: option & RSU expense less RSU cash paid

(10)Net cash income tax

~(625)Net cash interest paid

(1,300 to 1,400)Capital expenditures

$3,200 to 3,300EBITDA (after rest. & workforce reduction costs)

~1,200 to 1,300Free Cash Flow (per public guidance methodology)

(35)Cash restructuring pmts (in excess of 2005 expense)

free cash flow generation remains strong

2005 consolidated targets – Free Cash Flow

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<2.2x2.2x 2.7x3.3xNet Debt : EBITDA

53.7%

2003

49.7%

Sept. 30 2004

Net Debt : Capital

Long-term Policy

2002

45 to 50%57.1%

Current leverage within long-term policy

2005 consolidated targets – leverage

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quarterly dividend 33% to 20¢ for Jan. 1, 2005

new dividend payout ratio guideline of 45 to 55% of net earnings

Normal Course Issuer Bid for 25.5M TELUS shares

effective Dec 20, 2004

purchased 2.2M shares in December for $78M

measures to restrict issue of TELUS shares

Verizon transaction increased liquidity

recent shareholder value enhancing initiatives

balanced approach to stakeholder interests

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Enhance our leadership position in wireless

Grow brand value through superior customer experience (via leading IP services and customer care)

Embrace continual improvement in productivity

Leverage our investments in high speed Internet through Future Friendly home services

Accelerate non-ILEC performance in Central Canada

Reach a new collective agreement that reflects competitive industry

corporate priorities for 2005

2005 priorities consistent with 2004

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framework for medium term growth

Regulatory Framework

Technology Substitution

Competitive Intensity + +

Non-ILEC Growth

Future Friendly

Home

Organization Effective-

ness+ +

Tip the scales and strive to hold EBITDA (before restructuring) flat over medium term for wireline business

=

Growth in revenues and EBITDA from large exposure in wireless business

Continued improvements in consolidated results

Wireline Growth Opportunities _________Risks_________

Short-term dilutive

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e.ComReport Watch

ranked 9th globally by Corporate Essentials, “Annual Report of Annual Reports”

1st in Canada; 2nd in North America ranked #1 in world for “strategy, objectives & outlook”

10 years of disclosure excellence in corporate reporting awards by Canadian Institute of Chartered Accountants, Canadian Investor Relations Institute and Toronto Society of Financial Analysts.

2003 annual report rated best in Canada

IR website ranked 3rd among global telcos by IR Web Report

member of DJSI for 4 consecutive years – only N. American telco

recognized as Canada’s Best Environmental Corporate Citizen

disclosure excellence @ TELUS

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great exposure to wireless drives consolidated growth

full suite of wireline & wireless product/service offerings provides competitive advantage

strong EPS growth

continued strong cash flows and attractive FCF yield

strong balance sheet with continued de-leveraging to boost future earnings growth

shareholder value focus reflected by recent initiatives to increase return of capital to shareholders

why invest in TELUS?

questions?

investor relations

1-800-667-4871telus.com ir@telus.com