BCE Inc., Canada’s largest telephone company, reiterated its full-year sales and profit forecast and said it will add C$750 million ($760 million) to its employee pension plan.
BCE expects 2012 revenue growth to be at the lower end of the range of 3 percent to 5 percent it gave as a target Aug. 8. Earnings excluding severance, acquisition and other costs should be C$3.15 to C$3.20, the Montreal-based company said in a statement. The pension contribution will come from its year-end cash balance.
BCE has been using excess cash to refinance bonds, pay down debt and shore up its pension plan amid stiffening competition both from its traditional rivals and new wireless operators in central Canada. BCE competes with Rogers Communications Inc. and Telus Corp. in providing mobile-phone service, cable TV and Internet packages to Canadian consumers.
BCE was little changed in late trading after climbing 0.3 percent today to C$42.95 in Toronto.