BCE Completes $2B Debt Offering

On October 30, 2002, BCE Inc. closed a public offering of debt securities in an aggregate amount of $2 billion. The offering was made pursuant to a prospectus supplement dated October 25, 2002, to BCE’s August 1, 2002 shelf prospectus. The debt securities were issued in three series: (1) $300 million principal amount of 6.20 per cent series A notes due 2006; (2) $1.05 billion principal amount of 6.75 per cent series B notes due 2007; and (3) $650 million principal amount of 7.35 per cent series C notes due 2009. Net proceeds of the sale will be used to pay part of the acquisition price of SBC Communication Inc.’s minority interest in Bell Canada.

The notes were offered through an underwriting syndicate with TD Securities Inc. as lead manager and book-runner and Merrill Lynch Canada Inc. as co-lead manager. The underwriting syndicate also included BMO Nesbitt Burns Inc., CIBC World Markets Inc., RBC Capital Markets Inc., Scotia Capital Inc., Banc of America Securities, National Bank Financial Inc., Casgrain & Company Ltd. and Le groupe Société Générale.

BCE was represented in-house by Martine Turcotte, chief legal officer; Ildo Ricciuto, assistant general counsel, compliance; and Alain Dussault, legal counsel; and by Stikeman Elliott with a team that included Jean Marc Huot, Benoît Dubord, Selin Bastin, Robert Carelli, Howard Liebman and Nicolas Vanasse (corporate and securities) and Robert Hogan, Marie-Andrée Beaudry and Jean-Guillaume Shooner (tax).

Ogilvy Renault acted for the underwriters, with a team that included Norman Steinberg, Solomon Sananes, Steve Malas and Stephen Kelly (corporate) and Jules Charette (tax).