BCE Completes Sale of BCE Emergis

Canadian BCE has announced that all conditions have been satisfied for the transfer of its common shares in Canadian e-Commerce company BCE Emergis to holders of BCEs subscription receipts. As previously announced, on May 26, 2004, BCE sold 65,906,781 subscription receipts, each of which entitles the holder to acquire, at no additional cost, one common share of BCE Emergis. At a special meeting held today, the shareholders of BCE Emergis approved a reduction in stated capital of $150 million to allow for the declaration of a special cash distribution of $1.45 per common share. The Board of Directors of BCE Emergis thereafter unconditionally and irrevocably confirmed the special cash distribution. The special distribution will be treated as a return of capital, not a dividend, for Canadian federal income tax purposes. More information on the special distribution and related tax treatment is available in the BCE Emergis Management Proxy Circular dated May 14, 2004. BCE delivered a joint notice, together with National Bank Financial Inc., to CIBC Mellon Trust Company, as escrow agent, confirming the declaration of the special cash distribution. As a result, the 65,906,781 subscription receipts issued by BCE will be automatically exchanged immediately after 5:00 p.m. today, with no action required by subscription receipt holders, for common shares of BCE Emergis, on a one-for-one basis. Trading in the subscription receipts will be halted by the Toronto Stock Exchange all day June 17, 2004 and it is expected that the subscription receipts will be de-listed from the Toronto Stock Exchange at the close of trading on that day. The subscription receipts were sold to a syndicate of underwriters led by National Bank Financial, which included CIBC World Markets Inc., Scotia Capital Inc. and TD Securities Inc. The securities offered have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons except in certain transactions exempt from the registration requirements of the U.S. Securities Act.