38 new customers added in key markets

As Allstream expands its national IP fibre network in key markets across Canada the investment is continuing to bring solid returns with 38 new IP contracts won in the third quarter.  The sales progress speaks to the continued popularity of business IP-based products in Canada and Allstream’s strong position to meet this demand.

“Canadian businesses are looking to leverage IP products to enable growth and lower costs. Our Allstream IP network has capabilities to meet this demand. We are helping more and more business customers take advantage of advanced IP capabilities,” said Dean Prevost, President, Allstream. “Our success-based approach to the investment speaks to our ability to focus on key markets while continuing to expand our network to reach more customers.”

Customers who will benefit from Allstream’s national IP fibre network thanks to these wins include World Trade Securities, VersaPay, Equitable Trust, Crawford and Co., Culligan, Nikon, Smith Carter, Stargate Connections, BCG Logistics and Ideaca. At the end of the third quarter Allstream has earned 87 new IP contracts through this initiative, including multiple sales in the same connected buildings as well as a further 65 wins in the expanded Allstream collocation footprint.

Based on the sales cycles for business customers, the Company anticipates the benefits from this fibre investment program to begin to positively impact Allstream’s financial results in 2011.

About Allstream
Allstream is a business unit of MTS Allstream Inc., a wholly-owned subsidiary of Manitoba Telecom Services Inc. As one of Canada’s leading national communication solutions companies, MTS Allstream provides innovative communications for the way Canadians want to live and work today. The Company has more than 100 years of experience, with 6,000 employees across Canada dedicated to a mission of delivering true value as seen through the eyes of our customers. MTS Allstream has nearly two million total customer connections spanning business customers across Canada and residential consumers throughout the province of Manitoba. The Company’s extensive national broadband and fibre optic network spans almost 30,000 kilometres. MTS Allstream is a proud sponsor of Cindy Klassen, 2006 World Champion and Canada’s greatest Olympian, and a proud contributor to the Canadian Museum for Human Rights. Manitoba Telecom Services Inc.’s common shares are listed on Toronto Stock Exchange (trading symbol: MBT). Customers, stakeholders and investors who want to learn more about MTS Allstream services, markets, community commitments and record of creating shareholder value are encouraged to visit: http://www.mtsallstream.com/.

Forward-looking Statements Disclaimer

This news release includes forward-looking statements and information (collectively, the “statements”) about our corporate direction, business opportunities, operations, financial objectives,  future financial results and performance that are subject to risks, uncertainties and assumptions.  As a consequence, actual results in the future may differ materially from any conclusion, forecast or projection in such forward-looking statements.  Examples of statements that constitute forward-looking information may be identified by words such as “believe”, “expect”, “project”, “should”, “anticipate”, “could”, “target”, “forecast”, “intend”, “plan”, “outlook”, “see”, “set”, “pending”, and other similar terms.

Factors that could cause anticipated opportunities and actual results to differ materially include, but are not limited to, matters identified in the “Risks and Uncertainties” section and elsewhere in our interim MD&A for the first quarter and second quarters of 2010, as well as our 2009 annual MD&A, and our Annual Information Form, all of which are available on SEDAR at http://www.sedar.com/.

Please note that forward-looking statements reflect our expectations as at the date hereof.  We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise except as required by law. 

For further information:

Media:       
Gillian Giesbrecht     
MTS Allstream Corporate Communications     
(416) 345-3576      
(204) 958-3392     
[email protected]  
Investors:   
Paul Peters
MTS Allstream Investor Relations
(204) 941-6178
 [email protected]