Telus 2010 Annual Report Download - page 162

158 . TELUS 2010 annual report
similar rights limited to certain assets located in the province of Quebec.
The first mortgage bonds are non-redeemable. Pursuant to a corporate
reorganization effected July 1, 2004, the outstanding first mortgage
bonds became obligations of TELUS Communications Inc. Effective
June 12, 2009, TELUS Corporation guaranteed the payment of the first
mortgage bonds’ principal and interest.
(f) TELUS Communications Inc. first mortgage bonds
The first mortgage bonds were issued by TELUS Communications
(Québec) Inc. and are secured by an immovable hypothec and by a
movable hypothec charging specifically certain immovable and movable
property of the subsidiary TELUS Communications Inc., such as land,
buildings, equipment, apparatus, telephone lines, rights-of-way and
(g) Long-term debt maturities
Anticipated requirements to meet long-term debt repayments, including related hedge amounts and calculated upon such long-term debts owing
as at December 31, 2010, for each of the next five fiscal years are as follows:
Long-term debt denominated in Canadian dollars U.S. dollars
All except Derivative liability
Years ending December 31 (millions) capital leases Capital leases Debt(1) (Receive)(1) Pay To t a l To t a l
2 011 $ – $ß7 $ß737 $ß(737) $ß1,135 $ß1,135 $ß1,142
2012 404 – – – – – 404
2013 300 – – – – – 300
2014 700 – – – – – 700
2015 625 – – – – – 625
Thereafter 3,324 – – – – – 3,324
Future cash outflows in respect of long-term
debt principal repayments 5,353 7 737 (737) 1,135 1,135 6,495
Future cash outflows in respect of associated
interest and like carrying costs(2) 2,311 1 29 (29) 48 48 2,360
Undiscounted contractual maturities (Note 5(c)) $ß7,664 $ß8 $ß766 $ß(766) $ß1,183 $ß1,183 $ß8,855
(1) Where applicable, principal-related cash flows reflect foreign exchange rates at December 31, 2010.
(2) Future cash outflows in respect of associated interest and like carrying costs for commercial paper and amounts drawn under the Company’s credit facilities (if any) have been
calculated based upon the rates in effect as at December 31, 2010.
19 COMMON SHARE AND NON-VOTING SHARE EQUITY
Review of Common Share and Non-Voting Share equity items including details
of other comprehensive income, accumulated other comprehensive income
and share option price stratification
Company, whether voluntary or involuntary, or any other distribution of
the assets of the Company among its shareholders for the purpose of
winding-up its affairs, preferences are as follows: First Preferred Shares;
Second Preferred Shares; and finally Common Shares and Non-Voting
Shares participating equally, without preference or distinction. Non-Voting
Shares have conversion rights that, in certain instances (such as if a
change in foreign ownership restrictions were to occur), allow the holders
of Non-Voting Shares to convert them to Common Shares on a one-for-
one basis.
(a) Authorized share capital
As at December 31, 2010 and 2009, the Company’s authorized share
capital consisted of 1 billion no par value shares of each of the following
classes: First Preferred Shares; Second Preferred Shares; Common Shares;
and Non-Voting Shares. Only holders of Common Shares may vote at
general meetings of the Company with each holder of Common Shares
being entitled to one vote per Common Share held at all such meetings.
With respect to priority in payment of dividends and in the distribu-
tion of assets in the event of liquidation, dissolution or winding-up of the