Bce Inc. · TSX:BCE
Bce — Debt Investor Presentation (May 2010)
8 slides from Bce's debt investor presentation, May 14, 2010
Slide 1: RBC Capital Markets Fixed Income Conference
RBC Capital Markets Fixed Income Conference May 14, 2010 Siim Vanaselja Chief Financial Officer
Slide 2: Safe harbour notice
Safe harbour notice Certain statements made in this presentation including, but not limited to, statements relating to our 2010 financial guidance (including revenue, EBITDA, adjusted earnings per share, free cash flow and capital intensity), our liquidity position, our capital markets strategy and
Slide 3: Executing on our 5 Strategic Imperatives
Executing on our 5 Strategic Imperatives 1 • First full quarter with HSPA+ network in service • Bell Mobility and Virgin now available at The Source Accelerate wireless • Increased share of incumbent postpaid net adds to 42% from 19% in Q1’09 • Wireless data growth accelerating – 40% y/y improvement
Slide 4: Q1 financial performance
Q1 financial performance 2010 Q1’10 Y/Y Guidance Revenues $3,758M 3.8% 1%-2% EBITDA $1,455M 2.0% 2%-4% Margin 38.7% (0.7 pts) Capital expenditures $431M 10.6% n.a. Capital Intensity 11.5% 1.8 pts ≤16% Free Cash Flow1 $545M $273M ~$2B-$2.2B * Revenue, EBITDA & capital intensity guidance for Bell excl
Slide 5: Capital markets strategy for 2010 consistent with 2009
Capital markets strategy for 2010 consistent with 2009 Maintain strong • Solid investment grade metrics 1 credit profile • Voluntary $500M pension plan contribution in Dec’09 Maintain ample • Over $2B in cash and credit facilities 2 liquidity • Easily manageable debt maturity schedule Grow sustainab
Slide 6: Capital structure profile
Capital structure profile 1 Debt profile ($M) • Solid capital structure Bell debentures 6,019 – DBRS: A (Low) / Stable – S&P: BBB+ / Stable Capital leases & other 2,104 – Moody’s: Baa1 / Stable Preferred shares 2,770 A/R securitization 1,140 • Debt repayments of $1.5B in 2009 Cash (730) financed thr
Slide 7: Strong liquidity position and debt maturity profile
Strong liquidity position and debt maturity profile Liquidity position ($M) • Strong liquidity position Cash balance (March 31, 2010) $730 – $730M in cash at end of Q1’10 – Significant free cash flow generation 2010E Free Cash Flow1 ~$2,000-$2,200 – Access to $1.4B of credit facilities Credit Facili
Slide 8: 2010 focus areas
2010 focus areas Operational Wireless Wireline • Grow market share • Drive broadband investment • Expand data penetration and ARPU • Launch IPTV • Leverage HSPA+ network and related • Benefit from economic recovery devices • Continue driving out costs to maintain margins • Further improve service de