Hello everyone,

2010 was a year of dynamic and productive execution by the Bell team, propelled by multibillion- dollar investments in broadband networks, ongoing service enhancements, and gamechanging acquisitions that are advancing your company’s strategic agenda. All our efforts are focused around achieving a clear goal – for Bell to be recognized by customers as Canada’s leading communications company – through the execution of 5 Strategic Imperatives:

1. Improve customer service
2. Accelerate wireless
3. Leverage wireline momentum
4. Invest in broadband networks and services
5. Achieve a competitive cost structure

With this focus, the team delivered robust financial and operational results while fulfilling our promise to return value to our shareholders. The year began with Bell’s flawless delivery of the Vancouver 2010 Winter Games to Canada and the world. Our team’s stellar performance at the Golden Games was high-profile proof that a re-energized and confident Bell is operating at a world-class level. That momentum rolled through the year as our industry-leading network investments, strong wireless and wireline market performance, and business-wide productivity improvements and cost reductions allowed us to meet all of our increased financial targets for the year. Bell Mobility celebrated its 25th anniversary with an outstanding year of profitable growth built on Canada’s Best Network, an unbeatable lineup of the latest smartphones, leadership in new data services like Mobile TV, and the country’s largest distribution network, including The Source. Bell has grown its share of new wireless postpaid customers from less than a quarter of the market at the end of 2007 to fully half by the end of 2010, a remarkable achievement by the team.

Wireline momentum accelerated in 2010, with solid growth in our broadband TV and Internet businesses and continuing loss reduction in both business and consumer landline. Significant investments in broadband infrastructure enabled the launch of next-generation services like Fibe Internet and Fibe TV, bringing enhanced choice to Canadians and supporting Bell’s growth and competitive position into the future. Now, with more than 2 million TV customers across Canada, Bell generates more revenue from TV than from consumer Home Phone.

2010 also saw Bell unveil a landmark charitable program, the Bell Mental Health Initiative. Dedicated to improving the lives of Canadians and reducing the impact of mental illness on our national economy, the initiative has already captured the imagination of Canadians with the success of the Bell Let’s Talk Day anti-stigma program. In a fast-changing and increasingly competitive marketplace, Bell’s combination of growth-focused network and service investment, rigorous market execution, and effective community investment reflects the practical, growth-focused spirit of the business pioneers who founded Bell 130 years before.

All 50,000 members of the BCE team across Canada – which will grow to 55,000 with the acquisition of CTV – are building on that legacy as we work each day to achieve our goal and to deliver sustainable returns to our shareholder owners like you.

George A. Cope
President and Chief Executive Officer
BCE Inc. and Bell Canada