Bell Mobility completes acquisition of Virgin Mobile Canada

Jul 2, 2009

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MONTREAL, July 2 /CNW Telbec/ - Bell today announced that Bell Mobility
has completed its $142-million acquisition of the 50% stake in Virgin Mobile
Canada not already owned by Bell, along with a long-term brand licensing
agreement with the Virgin Group, after fulfilling all regulatory, legal and
other closing requirements.
The company also announced that Robert Blumenthal will assume the role of
President of Virgin Mobile Canada, and confirmed that Virgin Mobile products
and services will be available at The Source retail locations in January 2010.
Virgin Mobile will also have access to Bell's newest national 3G (third
generation) wireless network, set to launch by early 2010.
"The Virgin Mobile Canada team has built a unique wireless brand with
special appeal to young Canadians and a reputation for outstanding service
right across the country," said George Cope, President and CEO of Bell and
BCE. "This acquisition aligns perfectly with Bell's strategic imperative to
Accelerate Wireless, and we look forward to assisting Virgin Mobile Canada in
maximizing the network, product, global roaming and distribution advantages
that come with being part of the broader Bell organization."
While Virgin Mobile Canada will access Bell's existing and new wireless
networks and share common distribution in high-traffic retail locations, the
company will continue to operate independently of Bell with its own
distinctive brand, customer service operations and executive leadership team.
Virgin Mobile Canada's new President Robert Blumenthal is a seasoned
Canadian telecommunications executive with more than 20 years experience in
the wireless communications and digital media industries. Mr. Blumenthal
replaces the departing Andrew Black, who led Virgin Mobile Canada since its
launch in 2004.
"I'm thrilled to be joining the Virgin Mobile Canada team as we build on
our rewarding relationship with Bell Mobility and begin a new one with The
Source. We think Virgin Mobile's youth-oriented brand fits very well with The
Source's focus on young and tech-savvy consumers," said Mr. Blumenthal. "On
behalf of the entire Virgin Mobile Canada team, I would also like to thank
Andrew Black for leading our organization to its position as the wireless
brand of choice for youth in Canada. We look forward to building on that
success as we enter a new era of wireless competition and opportunity."
Virgin Mobile Canada will also access the new 3G wireless network that
Bell Mobility is rolling out for a national launch by February 2010, in time
for the 2010 Winter Games in Vancouver. In combination with Bell's existing
EVDO (Evolution Data Optimized) 3G network, currently Canada's largest, the
new HSPA (High Speed Packet Access) network will ensure Bell and Virgin Mobile
Canada customers have access to the broadest choice of the latest smartphones
and other mobile devices, while also setting the stage for the transition to
the global 4G (fourth generation) LTE wireless standard.
Bell's licensing agreement with the Virgin Group provides it with
long-term rights to the Virgin Mobile brand and ongoing support from the
Virgin Group as it enhances its youth-focused brand in Canada and around the
world with properties such as Virgin Festival (virginfestival.ca) and Virgin
Radio.

About Virgin Mobile Canada

As the No.1 mobile youth network, Virgin Mobile Canada's mission is to be
Canada's most loved mobile company. Its simpler, better deals offer customers
control, flexibility and choice to design mobile packages that truly work for
them. J.D. Power and Associates ranked Virgin Mobile highest in customer
satisfaction with prepaid wireless service for four years in a row and 91% of
customers would recommend Virgin Mobile to a friend. For more, please visit
www.virginmobile.ca.

About Bell

Bell is Canada's largest communications company, providing consumers and
business with solutions to all their communications needs, including Bell
Mobility and Solo Mobile wireless, high-speed Bell Internet, Bell TV
direct-to-home satellite television, Bell Home phone local and long distance,
and IP-broadband and information and communications technology (ICT) services.
Bell is proud to be a Premier National Partner and the exclusive
Telecommunications Partner to the Vancouver 2010 Olympic and Paralympic Winter
Games.
Bell is wholly owned by BCE Inc. (TSX, NYSE: BCE). For information on
Bell's products and services, please visit www.bell.ca. For corporate
information on BCE, please visit www.bce.ca.

Caution Concerning Forward-Looking Statements

This news release contains forward-looking statements relating to
strategic benefits and operational, competitive and cost efficiencies expected
to result from the acquisition of Virgin Mobile Canada, to Bell's HSPA network
and other statements that are not historical facts. Such forward-looking
statements are subject to important risks, uncertainties and assumptions and
the results or events predicted in these forward-looking statements may differ
materially from actual results or events. As a result, we cannot guarantee
that any forward-looking statement will materialize and you are cautioned not
to place undue reliance on these forward-looking statements.
The forward-looking statements contained in this news release are made as
of the date of this release and, accordingly, are subject to change after such
date. Except as may be required by Canadian securities laws, we do not
undertake any obligation to update or revise any forward-looking statements
contained in this news release, whether as a result of new information, future
events or otherwise.

For further information: For media inquiries, please contact: Julie Smithers, (416) 528-9409, julie.smithers@bell.ca; For investor inquiries, please contact: Thane Fotopoulos, (514) 870-4619, thane.fotopoulos@bell.ca