2008-08-28 23:14:03 -

- Fitch's ratings on BCE Inc. remain on Watch Negative as follows:

BCE

--Issuer default rating (IDR) 'BB-';

--Senior unsecured debt 'BB-'.

Bell Canada

--IDR at 'BB-';

--Senior unsecured debt 'BB-';

--Subordinate debt 'B+'.

The ratings were first placed on Rating Watch Negative on July 3, 2007 when Fitch downgraded the IDR

and senior unsecured debt ratings to 'BB-' from 'BBB+' due to BCE's acceptance of a leveraged buyout offer from an investor group including Teachers Private Capital. All regulatory approvals required for the proposed transaction have been received, and BCE has entered into a final agreement with the investor group, which includes resolving issues involved in financing the leveraged buyout. Pending the close of the transaction, which is now anticipated on or before Dec. 11, 2008, Fitch expects final resolution of the Rating Watch Negative.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site. The issuer did not participate in the ratings process other than through the medium of its public disclosure.

Fitch Ratings
Bill Densmore, +1-312-368-3125 (Chicago)
John Culver, CFA, +1-312-368-3216 (Chicago)
Media Relations:
Cindy Stoller, +1-212-908-0526 (New York)