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A first in Canada, TELUS' successful Sustainability-Linked Bond offering reinforces its commitment to reducing Scope 1 and 2 greenhouse gas emissions

Burnaby, BC, March 7, 2022--(T-Net)--TELUS announced today it has successfully closed its previously announced offering of $750 million 2.85% senior unsecured Sustainability-Linked Series CAF notes with a long 10-year maturity.

The notes were offered through a syndicate of agents led by RBC Capital Markets, as Lead Structuring Agent and Joint Bookrunner, and Scotiabank, as Co-Structuring Agent and Joint Bookrunner, together with BMO Capital Markets, as Joint Bookrunner.

Darren Entwistle, President and CEO, TELUS Communications Inc.

"Today, with the successful closing of our inaugural Sustainability-Linked Bond - the first of its kind in Canada - our team is at the forefront of sustainability practices, setting a leadership example in respect of leveraging behaviour-based financing to advance our sustainability goals," said Darren Entwistle, President and CEO.

"Importantly, our science-based, greenhouse gas emissions reduction target further validates our commitment to reduce our carbon footprint and care for the planet that our children will inherit. The successful completion of our Sustainability-Linked Bond reinforces our longstanding leadership in social capitalism, and our team's dedication to exploring new and innovative ways to improve the lives of citizens around the world, today, and for generations to come."

The net proceeds of this offering will be used for the repayment of outstanding indebtedness, including the repayment of commercial paper (incurred for general working capital purposes) and for other general corporate purposes.

The notes are "Sustainability-Linked Bonds" issued pursuant to TELUS' Sustainability-Linked Bond Framework announced on June 14, 2021 (the "Framework") and are TELUS' first series of bonds offered under the Framework.

As part of the Framework, TELUS has committed to reducing its absolute Scope 1 and 2 greenhouse gas ("GHG") emissions by 46% from 2019 levels by 2030.

Should TELUS fail to achieve this target (the "Sustainability Performance Target") by December 31, 2030, the interest payable on the notes will increase by 1.00% per annum, as further detailed in the prospectus supplement that TELUS filed to its short form base shelf prospectus dated May 25, 2021 with securities regulatory authorities in each of the provinces of Canada. The notes were not offered in the United States or to any resident of the United States.

This bond offering is the first of its kind in Canada and supports TELUS' commitment to environmental sustainability by linking financing to the achievement of ambitious environmental, social and governance ("ESG") targets. The target set out in the Framework was approved by the Science Based Targets initiative ("SBTi"), further demonstrating TELUS' global sustainability leadership and support of the world's fight against climate change. The Sustainability Performance Target is consistent with reductions required to limit global warming to 1.5°C and, at the time of publication of the Framework, is considered the most ambitious designation available through the SBTi process.

TELUS will report annually on its performance against the Sustainability Performance Target and will also obtain an annual independent and external verification of its performance against the Sustainability Performance Target in the form of a limited assurance report. TELUS' performance as well as the limited assurance report will be included in its annual Sustainability Report, or other similar report(s) as the case may be, and will be available on TELUS' website.

Sustainalytics, a leading independent ESG research, ratings and analytics firm, issued a Second Party Opinion confirming that the Framework aligns with the International Capital Market Association's Sustainability-Linked Bond Principles, 2020.

This media release does not constitute an offer to sell or the solicitation of an offer to buy the securities in any jurisdiction. The securities being offered have not been approved or disapproved by any Canadian securities regulatory authority, nor has any authority passed upon the accuracy or adequacy of the short form base shelf prospectus or the prospectus supplement.