Bell TV adds 41k subscribers in 4Q09; plans IPTV in 2010

MONTRÉAL — BCE Inc. (TSX, NYSE: BCE), Canada’s largest communications company, today reported BCE and Bell results for the fourth quarter of 2009.

Bell today announced several initiatives supporting its strategic imperative to invest in broadband networks and services, including the deployment of Fibre-to-the-home (FTTH) in Québec City and new housing developments in Ontario and Québec, the launch of its enhanced Bell Fibe™ Internet service this week, and the introduction of Internet Protocol television (IPTV) later in 2010 based on Microsoft Mediaroom middleware.

The advanced FTTN network will also support the launch of competitive Bell IPTV services in Toronto and Montréal this year, enhancing Bell’s competitive position in these core markets and complementing the company’s existing Bell TV product, which already serves approximately 2 million Canadians from coast to coast.

Total TV subscribers increased by 41,000 this quarter compared to an increase of 14,000 last year. At year end, there were 1,949,000 TV subscribers, an increase of 5.2% over last year.

HD set-top box penetration in 2009 was up 15 pts y/y to 41%. PVR penetration is at ~30%.

Subscribers (k):

                                        2009                        2008
                  --------------------------  --------------------------
                     Q4     Q3     Q2     Q1     Q4     Q3     Q2     Q1 
                  -----  -----  -----  -----  -----  -----  -----  -----
Net activations      41     40     20     12     14      7      8      1
Total EOP         1,949  1,924  1,884  1,864  1,852  1,838  1,831  1,823

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