The ratings on Vancouver-based Telus Corp., Canada's second-largest, integrated telecommunications provider, reflect our view of the company's strong business risk profile, given its large and expanding nationwide wireless operations; still-dominant position as the incumbent local telephone service provider in western Canada and eastern Quebec; solid brand recognition; broad product portfolio; and good diversity of revenues among business and residential customers. The ratings are also supported what Standard&Poor's Ratings Services views as the company's conservative debt leverage; still-solid cash flow protection measures; and healthy liquidity. Tempering factors in our opinion include a shareholder-friendly, albeit "moderate," financial policy; management's willingness to pursue debt-financed strategic acquisitions; intensifying wireless competition; weakening wireline margins; and high capital expenditures. Telus is a major provider
