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Allstream Signs Three-Year Contract with VIA Rail Canada

8 September 2005

Allstream, one of Canada's leading national
business communication solutions providers, announced today it has signed a
three-year contract with VIA Rail Canada Inc., the country's leader in
passenger rail services, to provide a full range of telecommunications
services.
"VIA Rail Canada is one of a growing number of major Canadian businesses
which recognize that Allstream offers the best combination of technology and
service," said John MacDonald, President, Allstream. "This was a highly
competitive bid process and being selected by VIA Rail is a testament to
Allstream's ability to collaborate with customers and deliver compelling
solutions to meet their business needs. No other competitor offers businesses
the flexibility and value that Allstream does - and this collaboration with
VIA Rail illustrates that."
Under this new agreement, Allstream is providing VIA Rail with voice and
data services including long distance, toll-free, local services, data
capabilities and primary Internet access. The services are being deployed in
VIA Rail's principal train stations, two call centres and administrative
offices across the country.
"VIA Rail believes in working with partners who understand our business
and have the expertise and flexibility to fully support our business
requirements," said Mike Gaudreau, Manager, Technical Support, VIA Rail
Canada. "Allstream has an entrepreneurial edge that we felt matched our
internal needs. They believe in challenging the way they do business and in
continuous improvement to meet the changing needs of their customers. They are
providing cost effective solutions that will enable us to better serve our
customers, which will directly affect our bottom-line."
"As one of Canada's leading passenger carriers, VIA Rail Canada requires
and demands best-of-breed solutions," said MacDonald. "We are extremely proud
to be VIA Rail's preferred vendor for its telecommunications needs and we look
forward to a long-term winning partnership."

About Allstream
Allstream is a leading communication solutions provider with a world-
class portfolio of Connectivity, Managed Services and Professional Services.
Focused on the business market, Allstream collaborates with customers to
create tailored solutions that meet their unique needs and help them compete
more effectively. Allstream is a division of Manitoba Telecom Services Inc.
(MTS), Canada's third largest communications provider with approximately 6,600
dedicated employees focused on delivering outstanding value to its customers.
MTS has an extensive broadband fibre-optic network spanning more than 24,300
kilometres, and provides international connections through strategic
partnerships and interconnection agreements with other international service
providers. MTS's shares are listed on the Toronto Stock Exchange (trading
symbol: MBT). For more information, please visit: www.mts.ca and
www.allstream.com.

About VIA Rail Canada Inc.
As Canada's national passenger rail service, VIA Rail Canada's mandate is
to provide efficient and cost effective passenger transportation services.
Serving more than 450 communities across Canada, demand for rail services
continues to grow as more Canadians turn to train travel as a safe and
convenient travel choice.

For further information: Media Contacts: May Chong, Allstream,
(416) 345-2342, may.chong@allstream.com; Catherine Kaloutsky, VIA Rail
Canada, (416) 956-7683, catherine_kaloutsky@viarail.ca; Investors:
Brad Woods, Manitoba Telecom Services Inc., (204) 941-8283,
investor.relations@mts.ca

Source: NewsWire





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