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Rogers closes financings at historically low rates to fund purchase of 'beachfront' 700 MHz spectrum

700 MHz Spectrum to deliver ultimate video experience to customers over
the long-term

TORONTO, March 10, 2014 /CNW/ – Today Rogers Communications announced
that it has closed its previously announced concurrent Cdn$ and US$
financing transactions of approximately $2.1 billion.  The net proceeds
of these financings will be used, together with cash on hand and other
available debt, to fund the “beachfront property” – 20 year licenses
for two contiguous, paired blocks of lower band spectrum – acquired in
the recent 700 MHz spectrum auction.

“We went after and won this spectrum because we know it will pay off for
our customers for the next 20 years and likely beyond. Not only did we
get the spectrum we wanted for our customers, but we have financed it
with $2.1 billion of long term funding for up to 30 years at some of
our lowest rates ever, with an average interest rate of just 3.9%. In
addition, we have made this long term investment for our customers
while maintaining our Baa1/BBB+/BBB+ senior credit ratings, which have
been affirmed by each of Moody’s, Standard and Poor’s and Fitch,
reflecting their confidence in the investment and in Rogers,” said
Anthony Staffieri, Chief Financial Officer, Rogers Communications. 

Rogers will invest $3.29 billion to acquire this valuable spectrum that
will benefit customers in both rural and urban areas. Owning two blocks
of contiguous paired spectrum across virtually all key geographic
markets in Canada will allow Rogers to deploy 20MHz of spectrum,
resulting in enhanced network coverage and a better mobile video
experience. 

Acquiring spectrum in the lower band will provide additional benefits to
customers. Since Rogers’ existing LTE devices already operate in the
lower 700MHz band, all Rogers customers with LTE devices will be able
to benefit from our enhanced networks as soon as the new spectrum is
deployed, which will begin rolling out in 2014.

The concurrent financings completed today consisted of US$750 million of
5.00% senior notes due 2044, $250 million of floating rate senior notes
due 2017, $400 million of 2.80% senior notes due 2019, and $600 million
of 4.00% senior notes due 2024.  As with all of our other US$
denominated debt, the principal and interest obligations on today’s US$
denominated notes have been fully hedged against fluctuations in the
Cdn$ foreign exchange rate for the entire term of the senior notes.

About the Company:
Rogers Communications is a diversified Canadian communications and media
company. We are engaged in wireless voice and data communications
services through Wireless, Canada’s largest wireless provider. Through
Cable, we are one of Canada’s leading providers of cable television
services as well as high-speed Internet access and telephony services
to consumers and businesses. Through Media, we are engaged in radio and
television broadcasting, televised shopping, sports entertainment, and
magazines and trade publications. We are publicly traded on
the Toronto Stock Exchange (TSX: RCI.A and RCI.B) and on the New
YorkStock Exchange (NYSE: RCI). For further information about the
Rogers group of companies, please visit www.rogers.com.

Caution Regarding Forward-Looking Statements, Risks and Assumptions.

This news release does not constitute an offer to sell or the
solicitation of an offer to buy any securities in any jurisdiction.
Securities may not be offered or sold in the United States absent
registration or an exemption for registration under U.S. securities
laws.

This release includes “forward-looking information” within the meaning
of applicable securities laws relating to assumptions concerning
finalizing the acquisition and subsequent deployment of wireless
spectrum as detailed above.  We caution that all forward-looking
information is inherently subject to change and uncertainty and that
actual results may differ materially from those expressed or implied by
the forward-looking information. A number of risks, uncertainties and
other factors could cause actual results and events to differ
materially from those expressed or implied in the forward-looking
information or could cause our current objectives, strategies and
intentions to change, including but not limited to the post auction
distribution of the spectrum by Industry Canada or unanticipated
subsequent operational, technological or financial challenges
associated with the deployment of such spectrum that could arise. Many
of these factors are beyond our control and current expectation or
knowledge. Should one or more of these risks, uncertainties or other
factors materialize, our objectives, strategies or intentions change,
or any other factors or assumptions underlying the forward-looking
information prove incorrect, our actual results and our plans could
vary significantly from what we currently foresee. Accordingly, we warn
investors to exercise caution when considering statements containing
forward-looking information and that it would be unreasonable to rely
on such statements as creating legal rights regarding our future
results or plans. We are under no obligation (and we expressly disclaim
any such obligation) to update or alter any statements containing
forward-looking information, the factors or assumptions underlying
them, whether as a result of new information, future events or
otherwise, except as required by law. All of the forward-looking
information in this earnings release is qualified by the cautionary
statements herein.

SOURCE Rogers Communications Inc.