MTS awarded ten-year contract to enhance Manitoba government data network

MTS to provide Manitoba government with state-of-the-art IP network service

Investment in Manitoba Network to support ongoing enhancement of other MTS services

Stock Symbol: MBT

WINNIPEG, July 30 /CNW/ - MTS is pleased to announce it has been awarded a ten-year, $100 million contract by the Government of Manitoba to provide IP network services to government, health and other public sector ogranizations. MTS will evolve the government from its current Provincial Data Network to a suite of enhanced next generation network services called the "Manitoba Network". MTS will provide IP connectivity, network management and integration services that will provide significantly enhanced speeds and quality of service to a broad range of public sector organizations.

"MTS and the Manitoba government have a long and significant history of working together to benefit the people of Manitoba and this agreement carries that tradition into the future," said Kelvin Shepherd, President, MTS. "Through the agreement the Manitoba government will gain access to the state of the art connectivty it needs to deliver public services today and into the future by leveraging the latest IP technology. MTS is already providing some of the most advanced services in Canada to consumers and businesses. We are very excited to be deploying similar advanced technology to support the public sector in Manitoba."

The Manitoba Network will be available to public sector organizations in the province through the Government of Manitoba. From schools to health care to frontline government administration, all areas of the public sector will have the opportunity to connect to the network as it is developed.

"In addition to the benefits public sector organizations and facilities will receive through their direct connection to the Manitoba Network, the technology being deployed will also support the ongoing enhancement of other MTS services, such as wireless and high-speed Internet, throughout the province of Manitoba," said Mr. Shepherd. "We are very excited to have reached an agreement like this with one of our most important customers. It underlines the strong foundation of our business in Manitoba, and the deep connection we have to our home market."

As the leading communications provider in the province of Manitoba, MTS is in an excellent position to provide these services to the Government of Manitoba. MTS currently employs 3,000 people directly in Manitoba and makes an annual contribution of an estimated $1 billion to the GDP of the province. The award of this contract will help MTS continue to make a positive difference toward the economic development of Manitoba through the deployment of leading-edge services and continued significant contributions to economic activity and services for citizens.

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 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 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. 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 services are encouraged to visit: www.mtsallstream.com.

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