Fibre to the home deployment on track in Selkirk

MTS begins moving customers to new fibre optic network

Stock Symbol: MBT

WINNIPEG, MB, July 27 /CNW/ - MTS is pleased to announce that it has started the deployment of its brand new fibre optic network "FiON" in the City of Selkirk. MTS has successfully started the transfer of telephone and Internet customers on to the new fibre optic network and the Company is on track to migrate 2,200 subscribers in Selkirk to FiON by the end of the year.

"We are making good progress in the deployment of our new fibre to the home network in the City of Selkirk," said Kelvin Shepherd, President, MTS. "FiON will provide excellent support for our current services and lays the groundwork for delivering future services over one of the most advanced network technologies in Canada."

Customers on this new network will have access to the most advanced consumer telecommunications services that MTS offers today, including local telephone service and high-speed Internet services with speeds up to 25 Mbps, with potential for future speeds of over 100 Mbps. MTS also plans later this year to launch MTS Ultimate TV to customers served by FiON.

MTS was the first to launch a fibre to the home network in Manitoba this January in the Waverley West neighbourhood of Winnipeg and announced in April that it would be expanding the initiative to include the City of Selkirk along with an adjacent portion of St. Andrews and St. Clements. Teams will continue to convert Selkirk residential customers to the new network throughout 2010 with plans to have the network fully deployed by 2011.

About MTS

MTS is a business unit of MTS Allstream Inc., a wholly-owned subsidiary of Manitoba Telecom Services Inc. As one of Canada's leading national communication solutions companies, MTS Allstream provides innovative communications for the way Canadians want to live and work today. The Company has more than 100 years of experience, with 6,000 employees across Canada dedicated to a mission of delivering true value as seen through the eyes of our customers. MTS Allstream has nearly two million total customer connections spanning business customers across Canada and residential consumers throughout the province of Manitoba. The Company's extensive national broadband and fibre optic network spans almost 30,000 kilometres. MTS Allstream is a proud sponsor of Cindy Klassen, 2006 World Champion and Canada's greatest Olympian, and a proud contributor to the Canadian Museum for Human Rights. Manitoba Telecom Services Inc.'s common shares are listed on Toronto Stock Exchange (trading symbol: MBT). Customers, stakeholders and investors who want to learn more about MTS Allstream are encouraged to visit: www.mtsallstream.com.

For further information: Media: Gillian Giesbrecht, MTS Allstream Corporate Communications, [phone], [email protected]; Investors: Paul Peters, MTS Allstream Investor Relations, [phone], [email protected]