MTS Launches Fibre To The Home Network in Winnipeg Neighbourhood

Investment will improve capabilities of communications network for customers in the long term

Stock Symbol: MBT

WINNIPEG , Jan. 28 /CNW/ - MTS today announced that it has launched an advanced Fibre To The Home network in Waverly West, the newest neighbourhood in Winnipeg . Customers on the new Fibre To The Home network, one of the first to be deployed commercially in Canada , have access to the most advanced consumer telecommunications services that MTS offers today, including local telephone service, MTS Ultimate TV, and high-speed Internet services with initial speeds of up to 25 Mbps and potential for future speeds above 100 Mbps. Using very high speed optical signals that extend directly into the home, Fibre To The Home provides higher quality and reliability while laying the foundation for even faster broadband connections and new services in the future.

"MTS has been a consistent leader and innovator in Manitoba, and we are proud to build on that record," said Kelvin Shepherd , President, MTS. "Our existing Very High Speed DSL (VDSL) based broadband network already supports advanced high speed services, including one of the best TV viewing experiences in Canada , but with Fibre To The Home we are looking to the future and even more advanced capabilities. Over the long term customers will be looking for home services that need increased bandwidth, and MTS will be in a position to meet that demand with our new Fibre To The Home Network. As we deploy this technology more broadly going forward, Fibre To The Home will provide MTS with the competitive network capability to remain the market-leader in Manitoba."

The Fibre To The Home Network is the next evolution in advanced communication networks providing MTS the ability to maintain its competitive edge against the cable networks, by providing the house with a direct fibre-optic connection where additional bandwidth can be added quickly and cost effectively as services continue to evolve. Fibre To The Home is also more cost effective in servicing new home developments when compared to existing hybrid fibre/copper technologies, which helps deliver both capital and operating efficiencies.

MTS is currently deploying its Fibre To The Home Network in Waverly West, a significant new housing development in Winnipeg's south-west quadrant. Through 2010, MTS will begin using its Fibre To The Home Network to service a majority of new housing developments within the City of Winnipeg . MTS also expects to deploy its Fibre To The Home Network to existing customers in a smaller community outside of Winnipeg within 2010. Overall, MTS expects that approximately 500 homes will receive Fibre To The Home service in 2010. This Fibre To The Home deployment plan will be made within MTS's normal annual capital program and will have no incremental impact on MTS's capital spending levels.

About MTS Allstream

MTS Allstream is 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 The Toronto Stock Exchange (trading symbol: MBT). Customers, stakeholders and investors who want to learn more about MTS Allstream services, markets, community commitments and record of creating shareholder value 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]