Telus 2011 Annual Report Download - page 176

172 . TELUS 2011 ANNUAL REPORT
Stock exchanges and TELUS trading symbols
Toronto Stock Exchange (TSX)
Common shares T CUSIP: 87971M103
Non-voting shares T.A CUSIP: 87971M202
New York Stock Exchange (NYSE)
Non-voting shares TU CUSIP: 87971M202
Member of
. S&P/TSX Composite Index . S&P/TSX 60 Index
. S&P/TSX Telecom Index . MSCI World Telecom Index
. Jantzi Social Index . FTSE4Good Index
. Dow Jones Sustainability Index (DJSI) North American
Canada
United States and other
18%
82%
ESTIMATED SHARE
OWNERSHIP BY REGION1
Share facts
. Common and non-voting
shares receive the same
dividend
. Common and non-voting
shares have the same rights
and privileges, with the
exception of voting rights
. Shareholders have the
opportunity to vote to eliminate
the non-voting share class at
the May 9, 2012 annual and
special meeting. The proposal
to convert each non-voting
share into a common share on
a one-for-one basis requires
approval of two-thirds of the votes cast by each class, as well as court
and stock exchange approvals.
Registered shareholders1
2 0 11 2010
TELUS common 30,616 31,587
TELUS non-voting 27,281 28,012
1 The Canadian Depository for Securities (CDS) represents one registration and holds
securities for many institutions. At the end of 2011, it was estimated that TELUS
had more than 225,000 non-registered shareholders combined in the two classes
of shares.
Ownership at December 31, 2011
Number of
shares held % of total
TELUS employee share plan 7,977,416 2.5
Common shares widely held 167,069,968 51.4
Non-voting shares widely held 149,801,327 46.1
Total outstanding shares 324,848,711 100.0
TELUS estimates that approximately 80% of its shares are held by
institutional investors and 20% by retail investors.
Dividend developments
In May 2011, the Company announced plans to continue with two
dividend increases per year to 2013, normally declared in May and
November, and expects the increase to be in the range of circa
10% annually. Dividend decisions will continue to be subject to the
Board’s assessment and determination of the Company’s financial
situation and outlook on a quarterly basis.
The January and April 2012 quarterly dividends are 58 cents or $2.32
on an annualized basis. In 2011, TELUS increased the dividend twice,
representing a 10.5% increase from the previous year. In February 2012,
the Company declared a three cent or 5.2% increase in the quarterly
dividend to 61 cents to be paid on July 3, 2012 to common and non-voting
shares. This is $2.44 on an annualized basis and represents a 10.9%
higher level than the dividend level a year earlier.
In the event the proposed share conversion of non-voting shares
to common shares on a one-for-one basis receives all requisite approvals
and is effective prior to the July dividend record date of June 8, 2012,
holders of record on such date who previously held non-voting shares
would hold common shares and would receive the same 61 cent
dividend as all other holders of common shares.
TELUS advises that, unless noted otherwise, all common and non-
voting share quarterly dividends paid since January 2006 are eligible
dividends as defined by subsection 89(1) of the Income Tax Act.
Under this legislation, Canadian residents may be entitled to enhanced
dividend tax credits that reduce the income tax otherwise payable.
The exception to the above is with respect to the dividends payable
on April 1, 2007, where $0.0025 of the $0.375 dividends paid to
both common and non-voting shares were not eligible dividends.
11
10
09
08
07
Fourth quarter dividends shown in declaration year.
715
584
521
642
601
TOTAL DIVIDENDS TO SHAREHOLDERS ($ millions)
Dividend reinvestment and share purchase plan
Investors may take advantage of automatic dividend reinvestment
to acquire additional shares without fees. Under this feature, eligible
shareholders can have their dividends reinvested automatically into
additional non-voting shares acquired at market price.
Effective March 1, 2011, under the dividend reinvestment plan,
TELUS resumed open-market purchases of TELUS non-voting shares
with no discount on the purchase price of plan shares.
Under the share purchase feature, eligible shareholders can, on a
monthly basis, buy TELUS non-voting shares (maximum $20,000 per
calendar year and minimum $100 per transaction) at market price without
brokerage commissions or service charges. Effective March 1, 2011,
non-voting shares acquired with optional cash payments changed from
treasury issuance to open-market purchase.
In the event the proposed share conversion of non-voting shares to
common shares on a one-for-one basis receives all requisite approvals,
this dividend reinvestment and share purchase plan would be amended
so that purchases and issuances of non-voting shares would be
changed to common shares.
INVESTOR INFORMATION
1 Common and non-voting share owner-
ship as of December 31, 2011, based
on TELUS and transfer agent estimates.