Telus 2006 Annual Report Download - page 13

Download and view the complete annual report

Please find page 13 of the 2006 Telus annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 49

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49

In 2006, TELUS strengthened its IT capabilities by acquiring Assurent Secure Technologies, a
world-leading Canadian information technology security services and research company.
TELUS is leveraging Assurent’s global reputation and expertise to provide solutions that help
customers protect their assets, identities, and information.
TELUS continues to focus on enhancing operational efficiency and effectiveness in its wireline
business. In 2004 and 2005, a number of initiatives were undertaken, noticeably in the
information technology resources area and in the merger of two customer-facing business units,
aimed to enable greater efficiencies of scale, improve effectiveness of program delivery,
improve competitiveness in the marketplace and improve operating and capital productivity. In
2006, TELUS fully or partially contracted out a number of non-core functions including property
management, custodial services, building maintenance, mail services, fleet maintenance, and
pay phone coin counting. In addition, management rationalized a number of offices into larger
centres and completed the consolidation of two field dispatch centres. In addition, a number of
process improvement and automation initiatives were undertaken.
The operating profitability of non-ILEC operations has been steadily improving because of
continued data-focused growth, cost containment efforts and increases in the proportion of services
provided on TELUS facilities (“on-net”). See “TELUS’ national growth strategy”.
The following table sets forth certain statistical information with respect to the wireline business
segment:
Wireline business December 31
2006 2005 2004
Network access lines (000’s) 4,548 4,691 4,808
High-speed Internet net additions (000s) 154 73 128
High-speed Internet subscribers (000’s) 917 763 690
Dial-up Internet net reductions (000’s) (42) (46) (38)
Dial-up Internet subscribers (000’s) 194 236 282
Total Internet subscribers (000’s) 1,111 999 971
Full-time equivalent employees 23,884(2) n/a(1) 18,839
Total employees 24,228(2) 22,888(2) 19,500
(1) The measure for full-time equivalent employees is not available for 2005 as it does not factor in the effective
overtime hours on staff equivalents because of the labour disruption from July to November.
(2) Includes TELUS International.
TELUS – wireless business segment
TELUS is a leading wireless communications service provider in Canada in terms of average
monthly revenue per subscriber unit (“ARPU”), churn, operating margins and operating cash
flow yield, based on publicly available information.
For the year ended December 31, 2006, the wireless business segment accounted for revenue
of $3,858 million ($3,296 million for the year ended December 31, 2005), representing
approximately 44 per cent of the total revenue of TELUS in 2006 (40 per cent of the total
revenue of TELUS for 2005).
12