Telus 2011 Annual Report Download - page 12

8 . TELUS 2011 ANNUAL REPORT
earnings and reduced interest and cash taxes. These factors
were partially offset by higher capital expenditures and a volun-
tary $200 million contribution made to maintain an excellent
funding position in our pension plans, which is amongst the best
in corporate Canada.
This operating and financial strength gave TELUS and our
Board of Directors the opportunity to provide investors with clarity
on our dividend growth model. This was particularly beneficial
for shareholders experiencing volatility in the stock markets related
to global economic uncertainty. In May 2011, we announced
plans to continue with two dividend increases per year to 2013
and are targeting the increases to be in the range of circa
10 per cent annually. Consistent with this plan, we announced
two dividend increases in 2011. Of course, quarterly dividend
decisions will continue to be subject to the Board’s assessment
of the Company’s financial situation and outlook.
Our financial momentum accelerated in
2011 with revenue growth that exceeded
our initial expectations based on strong
gains in new customer connections.
We also have a solid track record of attaining the targets
we set publicly each year. In the past decade, we have met or
exceeded 77 per cent of our 52 consolidated financial targets,
including three out of four in 2011. The outlook for 2012 is positive
as we target growth in the mid-single digits for revenue, EBITDA
and EPS. We also expect strong double-digit growth in free
cash flow,
which underpins the affordability of future dividends.
These targets
are based on assumptions, as noted in the
caution statement on the inside front cover.
Putting customers first
Putting customers first is our Company’s top priority – for 2011,
2012 and into the future – and this focus is entirely consistent
with our strategic imperatives. We are looking to provide the best
client experience in our industry as measured by our customers’
likelihood to recommend our products and services. Our overall
goal is, within a few years, to become the most recommended
company in the markets we serve.
We are seeing growing momentum throughout the orga-
nization to put customers first in our culture, investment priorities
and operational decision-making. Across all lines of business,
team members are rallying together to deliver future friendly®
experiences to our customers and create a behavioural paradigm
that differentiates us from the competition.
We continued to evolve our Clear & Simple philosophy as
part of our commitment to make the wireless client experience
friendlier. In 2011, we further enhanced our Early Device Upgrade
program by enabling customers to purchase a new device at
any time by only paying the remaining portion of their device dis-
count. We also launched proactive data usage notifications for
our clients, domestically and for when they travel internationally.
Finally, we launched our new Clear & Simple inter national travel
pricing, which includes significantly reduced international
roaming rates.
During the year, 1,600 senior leaders interacted with front-line
team members during our Customers First days. This program
gives senior management an opportunity to experience front-line
service interactions with our clients and identify opportunities
for improving the customer experience. More than ever, the cus-
tomer dimen sion is being embraced across the organization and
given heightened priority in decision-making as team members
work collaboratively to deliver improvements.
Our Customers First declaration
We’re not perfect, but our employees are deeply motivated to
consistently delight our customers. We know that getting better
means making sure we’re listening to you. That’s why we’re
embracing new ideas that will make your TELUS experience better,
everyday. We’re on a journey to build on your trust by being clear,
helpful and dependable. In other words, at TELUS, we put you first.
12,700,000 customer connections