The ratings on BCE Inc. reflect the strength of its core holdings in telecommunications services in Canada and abroad, its new corporate structure focusing on its key operating areas, and its strong financial profile. The ratings also consider the diversity of BCE's holdings; the higher business and financial risk profile of Teleglobe Inc., Bell Globemedia, BCE Emergis Inc., and BCE Ventures; and the level of competition in the marketplace. BCE is a holding company, which Standard & Poor's views as a standalone investment company rather than as a consolidated entity. A key factor to its solid investment-grade rating is BCE's investment philosophy as a rational investor and, more importantly, the fact that operating subsidiaries are financed autonomously and BCE has
