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Rogers Substantially Increases Dividend and Introduces Cash Settlement of Stock Options

May 28, 2007

News Releases
Annual Dividend Increased from C$0.16 to C$0.50 per Share;

     Introduction of Cash Settlement Feature for Employee Stock Options will
                Tax Efficiently Mitigate Shareholder DilutionTORONTO, May 28 /CNW/ - Rogers Communications Inc. ("RCI") (TSX: RCI;
NYSE: RG) announced today that its Board of Directors has approved an increase
in its annual dividend from C$0.16 to C$0.50 per share effective immediately.
    "This very significant increase in our annual dividend reflects our Board
of Directors' continued confidence in the strategies that we have employed to
position Rogers as a rapidly growing and increasingly profitable
communications company," said Edward "Ted" Rogers, President and CEO of Rogers
Communications Inc. "These actions also recognize the importance of returning
meaningful portions of the growing cash flows being generated by our business
to our shareholders."
    Rogers also announced that its Board of Directors has approved the
introduction of a cash settlement feature for employee stock options which is
a tax efficient use of cash that will mitigate dilution that would otherwise
occur upon exercise of the options.
    "The significantly increased dividends, our implementation of cash
settlement for stock options and continued debt reductions combine to provide
for a balanced, tax efficient and shareholder friendly allocation of a large
portion of the free cash flows we expect to generate this year," said Bill
Linton, Chief Financial Officer of Rogers Communications Inc. "These
initiatives, together with the recently announced simplification of our legal
entity structure, result in a meaningfully delevered balance sheet, the return
of increasing amounts of free cash flow to shareholders, a streamlined
corporate structure and the flexibility to support our continued rapid

    Dividend Increase:

    Rogers' Board of Directors has approved an increase in the annual
dividend from C$0.16 to C$0.50 per Class A Voting and Class B Non-Voting share
effective immediately. The new quarterly dividend will be C$0.125 per each
outstanding Class B Non-Voting share and Class A Voting share. Such quarterly
dividends are only payable as and when declared by Rogers' Board and there is
no entitlement to any dividend prior thereto.
    The Board today declared the first quarterly dividend at the increased
rate of C$0.125 per share (up from the previous quarterly rate of C$0.04 per
share) for each of the outstanding Class B Non-Voting shares and Class A
Voting shares. This quarterly dividend will be paid on July 3, 2007 to
shareholders of record on June 14, 2007.

    Cash Settlement Feature for Options:

    Rogers' Board of Directors has approved an amendment to RCI's stock
option plans introducing a cash settlement feature for the exercise of
employee stock options.
    Permitting option holders to elect the settlement of the in-the-money
value of stock options for cash reduces the need to issue shares from
treasury. At the same time, the amount of the cash payments made by Rogers are
deductible for income tax purposes and are expected to result in significant
future income tax savings for the company.
    The cash settlement feature provides Rogers with the opportunity to
utilize a portion of its free cash flow to essentially repurchase stock that
otherwise would be issued and tax efficiently mitigate shareholder dilution
that would otherwise occur upon exercise of these options.
    Based upon the closing price of the Class B Non-voting shares on the
Toronto Stock Exchange on May 24, 2007 and the then outstanding options, the
introduction of the cash settlement feature for the exercise of employee stock
options is expected to result in a one-time non-cash expense for accounting
purposes of approximately $380 million. This charge, which could vary
depending on both the trading price of the Class B Non-voting shares and the
number of options outstanding on the May 28, 2007 effective date of the
adoption of the cash settlement feature, is expected to be recorded in the
second quarter of 2007. A future income tax benefit of approximately
$140 million related to the one-time non-cash expense is also expected to be
recorded in the second quarter of 2007.
    As at May 25, 2007, Rogers had approximately 17.9 million options
outstanding, of which approximately 12.5 million were vested.

    About Rogers:

    Rogers Communications Inc. (TSX: RCI; NYSE: RG) is a diversified Canadian
communications and media company engaged in three primary lines of business.
Rogers Wireless is Canada's largest wireless voice and data communications
services provider and the country's only carrier operating on the world
standard GSM technology platform. Rogers Cable and Telecom is Canada's largest
cable television provider offering cable television, high-speed Internet
access, residential telephony services, and video retailing, while its Rogers
Business Solutions division is a national provider of voice communications
services, data networking, and broadband Internet connectivity to small,
medium and large businesses. Rogers Media is Canada's premier collection of
category leading media assets with businesses in radio and television
broadcasting, televised shopping, publishing and sports entertainment.

    Caution Regarding Forward-Looking Statements:

    This release includes forward-looking statements and assumptions
concerning the future performance of our business, its operations and its
financial performance and condition. These forward-looking statements include,
but are not limited to, statements with respect to our objectives and
strategies to achieve those objectives, as well as statements with respect to
our beliefs, plans, expectations, anticipations, estimates or intentions.
Statements containing expressions such as "could", "expect", "may",
"anticipate", "assume", "believe", "intend", "estimate", "plan", "guidance",
and similar expressions generally constitute forward-looking statements. Such
forward-looking statements are based on current expectations and various
factors and assumptions applied which we believe to be reasonable at the time.
We caution that all forward-looking information is inherently uncertain and
that actual results may differ materially from the assumptions, estimates or
expectations reflected in the forward-looking information. Accordingly, we
warn investors to exercise caution when considering any such forward-looking
information herein and to not place undue reliance on such statements and
assumptions. We are under no obligation (and we expressly disclaim any such
obligation) to update or alter any forward-looking statements or assumptions
whether as a result of new information, future events or otherwise, except as
required by law. Readers should fully review the risks detailed in Company's
2006 Annual MD&A before making any investment decisions.

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