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provisions

12 Months Ended

Dec. 31, 2024

25provisions


						Written put
		Asset				options and
		retirement		Employee-		contingent
(millions)	Note	obligations ¹		related ²		consideration ³		Other ²		Total
Balance as at January 1, 2023		$	316	$	84	$	157	$	147	$	704
Additions			36		547		288		230		1,101
Reversals			—		(12)		(68)		(8)		(88)
Uses			(10)		(400)		(110)		(180)		(700)
Interest effects ⁴	9		36		—		17		—		53
Effects of foreign exchange, net ⁴			—		—		(8)		(1)		(9)
Balance as at December 31, 2023			378		219		276		188		1,061
Additions			40		312		9		254		615
Reversals			—		(7)		(106)		(56)		(169)
Uses			(13)		(391)		—		(185)		(589)
Interest effects ⁴	9		(27)		—		14		—		(13)
Effects of foreign exchange, net ⁴			—		—		17		—		17
Balance as at December 31, 2024		$	378	$	133	$	210	$	201	$	922
Current		$	25	$	126	$	5	$	80	$	236
Non-current			353		7		205		121		686
Balance as at December 31, 2024		$	378	$	133	$	210	$	201	$	922

Additions and reversals for Asset retirement obligations are included in the Consolidated statements of financial position as Property, plant and equipment, net. Uses, to the extent that such items include a flow of cash, are included net in Cash used by investing activities in the Consolidated statements of cash flows (see Note 31(a)).

Additions and reversals for Employee-related and Other are generally included in the Consolidated statements of income and other comprehensive income as Employee benefits expense and Goods and services purchased, respectively. Uses, to the extent that such items include a flow of cash, are generally included net in Cash provided by operating activities in the Consolidated statements of cash flows. During the year ended December 31, 2024, Other reversals included $37 in respect of TELUS Sky lease amounts related to rationalization of real estate previously recorded (see Notes 16, 30(c)).

Additions and reversals for Written put options and contingent consideration are included in the Consolidated statements of financial position as Goodwill, net, and in the Consolidated statements of income and other comprehensive income as Other income, respectively. Uses, to the extent that such items include a flow of cash, are included in Cash used by investing activities in the Consolidated statements of cash flows.

4	Interest effects, excepting those arising from provision remeasurement due to change in discount rates, and Effects of foreign exchange, net, are included in the Consolidated statements of income and other comprehensive income as Financing costs.

The difference of $(42) (2023 – $23) between the asset retirement obligation interest effects in this table and the amount included in Note 9 is a result of the change in the discount rates applicable to the provision, with such difference included in the cost of the associated asset(s) by way of being included with (netted against) the additions detailed in Note 17 and included in the Consolidated statement of financial position as Property, plant and equipment, net.

Asset retirement obligations

We establish provisions for liabilities associated with the retirement of property, plant and equipment when these obligations result from the acquisition, construction, development and/or normal operation of the assets. We expect that the associated cash outflows in respect of the balance accrued as at the financial statement date will occur proximate to the retirement dates of these assets.

Employee-related

Our employee-related provisions are largely in respect of restructuring activities (as discussed further in Note 16(b)). The timing of the associated cash outflows in respect of the balance accrued as at the financial statement date is substantially short-term in nature.

Written put options and contingent consideration

In connection with certain business acquisitions, we have established provisions for written put options in respect of non-controlling interests. Some of these provisions are determined based on the net present value of estimated future earnings, requiring us to make key economic assumptions about the future. We have also established provisions for contingent consideration. We do not expect cash outflows in respect of the written put options to occur before their initial exercisability, nor do we expect cash outflows in respect of contingent consideration to occur before completion of the related earning periods; in some instances, we may settle the provision for written put options using equity instruments.

Other

The provisions for other include: legal claims; real estate rationalization and other non-employee-related restructuring activities; and contract termination costs and onerous contracts related to business acquisitions. Except as noted below, we expect the cash outflows associated with the balance accrued as at the financial statement date to occur over an indeterminate multi-year period.

As discussed further in Note 29, we are involved in a number of legal claims and we are aware of certain other possible legal claims. We establish provisions for legal claims when warranted, considering legal assessments, current information, and the expected availability of recourse. We cannot reasonably determine the timing of cash outflows associated with legal claims.

In connection with business acquisitions, we have established provisions for contract termination costs and onerous contracts acquired.