Slide 1: BCE Analyst Briefing: Acquisition of The Source
BCE Analyst Briefing Acquisition of The Source March 2, 2009
Slide 2: Cautionary statement concerning forward-looking statements
Cautionary statement concerning forward-looking statements This presentation contains forward-looking statements relating to the proposed acquisition of The Source by a subsidiary of Bell Canada, strategic and operational benefits and competitive and cost efficiencies expected to result from the tra
Slide 3: Bell Has Agreed to Acquire The Source
Bell Has Agreed to Acquire The Source • The Source is a Canadian consumer electronics retailer with 493 corporate stores and 263 dealer stores across Canada The – Distributes wireless, video and Internet currently for other carriers Asset – Revenues(1) of $643M; EBITDA(1) of $27M; ~3,000 employees •
Slide 4: Strategic Rationale: Distribution Game-Changer
Strategic Rationale: Distribution Game-Changer Pro-Forma Exclusive Carrier Bell Strategy Points of Distribution(1) 1,479 To be recognized by customers as Canada’s Goal leading communications The Source company ~1100 ~800 723 Key Accelerate Wireless Strategic Leverage Wireline Imperatives Momentum En
Slide 5: Balanced National Footprint
Balanced National Footprint • 756 stores coast-to-coast YUKON Corporate 1 Dealer 1 NORTHWEST TERRRITORIES NUNAVUT Corporate 1 Corporate 0 Dealer 3 Dealer 1 BRITISH COLUMBIA Corporate 53 ALBERTA Dealer 37 Corporate 49 MANITOBA Dealer 44 SASKA- Corporate 13 TCHEWAN Dealer 15 Corporate 14 QUEBEC Dealer
Slide 6: The Source to Remain Independent of Bell
The Source to Remain Independent of Bell • The Source will remain independent of Bell – Retain current branding: The Source Stand Alone – Separate management Strategy and – Stand-alone profit focus Management • Continue current small-box retailer strategy • Ron Cuthbertson, former CEO of The Source,
Slide 7: Summary
Summary • Distribution game-changer • Adds more than 750 stores to Bell’s national distribution network Improved • Drives distribution for wireless, video, Internet and home phone Distribution • Addresses gaps in key geographic areas • Increases focus on less penetrated wireless rural markets Access
Slide 8: Appendix
Appendix Bell
Slide 9: Business Overview of The Source
Business Overview of The Source • The Source is a "small-box" consumer electronics retailer focused on three primary product categories: 1 2 3 • Small Screens • Consumer Electronics Parts & • Consumer Electronics – iPods Accessories Subscriptions – Digital cameras – Adaptors – Fuses – Wireless – Sma
Slide 10: Ron Cuthbertson: 30 Years of Retail Experience
Ron Cuthbertson: 30 Years of Retail Experience 2005 – Dec. 2008: Circuit City / The Source • President, InterTAN Canada Ltd. & CEO, Circuit City Global Sourcing • SVP Supply Chain & Inventory Management, Circuit City & CEO, Circuit City Global Sourcing 2004 – 2005: Retail Consulting • President & CE