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Published: 2021-11-04
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Consolidated financial statements
CONSOLIDATED INCOME STATEMENTS
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 30
(IN MILLIONS OF CANADIAN DOLLARS, EXCEPT SHARE AMOUNTS) (UNAUDITED)2021202020212020
Operating revenues5,836 5,787 17,240 16,781 
Operating costs(3,278)(3,333)(9,777)(9,578)
Severance, acquisition and other costs(50)(26)(146)(64)
(902)(876)(2,702)(2,603)
(245)(232)(731)(696)
Finance costs
(272)(279)(807)(836)
Interest on post-employment benefit obligations(5)(12)(15)(35)
Impairment of assets– (4)(167)(460)
Other income (expense)35 (29)134 (156)
(306)(262)(795)(601)
813 734 2,234 1,752 
Net earnings from discontinued operations 6 – 15 
813 740 2,234 1,767 
Net earnings from continuing operations attributable to:
757 686 2,084 1,594 
34 32 98 104 
22 16 52 54 
813 734 2,234 1,752 
Net earnings attributable to:
757 692 2,084 1,609 
34 32 98 104 
22 16 52 54 
813 740 2,234 1,767 
Net earnings per common share – basic and diluted8
0.83 0.76 2.30 1.76 
– 0.01 – 0.02 
0.83 0.77 2.30 1.78 
906.9 904.3 905.5 904.3 
 
Consolidatedfinancial statements
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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) 
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 30
(IN MILLIONS OF CANADIAN DOLLARS) (UNAUDITED)NOTE2021202020212020
Net earnings from continuing operations813 734 2,234 1,752 
Other comprehensive income (loss) from continuing operations,  
net of income taxesItems that will be subsequently reclassified to net earnings
Net change in value of publicly-traded and privately-held investments, 
net of income taxes of nil for the three and nine months ended 
September 30, 2021 and 2020, respectively(5)(8)(5)(15)
Net change in value of derivatives designated as cash flow hedges, net 
of income taxes of ($35) million and $39 million for the three months ended September 30, 2021 and 2020, respectively, and ($74) million and ($37) million for the nine months ended September 30, 2021 and 2020, respectively
97 (106)201 101 
Items that will not be reclassified to net earnings
Actuarial gains on post-employment benefit plans, net of income 
taxes of ($180) million and ($40) million for the three months ended 
September 30, 2021 and 2020, respectively, and ($754) million and ($80) million for the nine months ended September 30, 2021 and 2020, respectively (1)
11488 108 2,053 218 
Net change in value of derivatives designated as cash flow hedges, net 
of income taxes of ($8) million and $4 million for the three months ended September 30, 2021 and 2020, respectively, and ($3) million and ($8) million for the nine months ended September 30, 2021 and 2020, respectively
22 (12)8 21 
Other comprehensive income (loss) from continuing operations602 (18)2,257 325 
Net earnings from discontinued operations attributable to 
common shareholders– 6 – 15 
Total comprehensive income1,415 722 4,491 2,092 
Total comprehensive income attributable to:
Common shareholders1,358 675 4,340 1,933 
Preferred shareholders34 32 98 104 
Non-controlling interest23 15 53 55 
Total comprehensive income1,415 722 4,491 2,092 
(1)  The discount rate used to value our post-employment benefit obligations at September 30, 2021 was 3.5% compared to 3.3% at June 30, 2021 and 2.6% at December 31, 2020. The discount rate used 
to value our post-employment benefit obligations at September 30, 2020 was 2.7% compared to 2.8% at June 30, 2020 and 3.1% at December 31, 2019.
 
Consolidatedfinancial statements
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CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
(IN MILLIONS OF CANADIAN DOLLARS) (UNAUDITED)SEPTEMBER 30, 2021DECEMBER 31, 2020
ASSETSCurrent assets
Cash 2,086 224 
Cash equivalents81 – 
Trade and other receivables3,498 3,528 
Inventory418 439 
Contract assets410 687 
Contract costs464 402 
Prepaid expenses292 209 
Other current assets292 199 
Total current assets7,541 5,688 
Non-current assets
Contract assets235 256 
Contract costs373 362 
Property, plant and equipment27,825 27,513 
Intangible assets13,367 13,102 
Deferred tax assets124 106 
Investments in associates and joint ventures697 756 
Post-employment benefit assets3,785 1,277 
Other non-current assets1,811 1,001 
Goodwill10,578 10,604 
Total non-current assets58,795 54,977 
Total assets66,336 60,665 
LIABILITIESCurrent liabilities
Trade payables and other liabilities 4,131 3,935 
Contract liabilities748 717 
Interest payable159 222 
Dividends payable810 766 
Current tax liabilities162 214 
Debt due within one year1,994 2,417 
Total current liabilities8,004 8,271 
Non-current liabilities
Contract liabilities245 242 
Long-term debt10 27,070 23,906  
Deferred tax liabilities4,824 3,810 
Post-employment benefit obligations1,672 1,962 
Other non-current liabilities1,012 1,145 
Consolidatedfinancial statements
Total non-current liabilities34,823 31,065 
Total liabilities42,827 39,336 
EQUITYEquity attributable to BCE shareholders
Preferred shares4,003 4,003 
Common shares20,646 20,390 
Contributed surplus1,151 1,174 
Accumulated other comprehensive income 320 103 
Deficit(2,962)(4,681)
Total equity attributable to BCE shareholders23,158 20,989 
Non-controlling interest351 340 
Total equity23,509 21,329 
Total liabilities and equity66,336 60,665 
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CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
ATTRIBUTABLE TO BCE SHAREHOLDERS
ACCUM-
ULATED 
OTHERNON-
CONTRI- COMPRE-CONTROL-
FOR THE PERIOD ENDED SEPTEMBER 30, 2021  PREFERRED COMMON BUTED HENSIVE LING TOTAL 
(IN MILLIONS OF CANADIAN DOLLARS) (UNAUDITED)SHARESSHARESSURPLUSINCOMEDEFICITTOTALINTERESTEQUITY
Balance at December 31, 20204,003 20,390 1,174 103 (4,681)20,989 340 21,329 
Net earnings– – – – 2,182 2,182 52 2,234 
Other comprehensive income– – – 204 2,052 2,256 1 2,257 
Total comprehensive income– – – 204 4,234 4,438 53 4,491 
Common shares issued under employee stock option plan– 256 (9)– – 247 – 247 
Other share-based compensation – – (14)– (38)(52)– (52)
Dividends declared on BCE common and preferred shares– – – – (2,477)(2,477)– (2,477)
Dividends declared by subsidiaries to non-controlling 
interest– – – – – – (41)(41)
Settlement of cash flow hedges transferred to the cost 
basis of hedged items– – – 13 – 13 – 13 
Other– – – – – – (1)(1)
Balance at September 30, 20214,003 20,646 1,151 320 (2,962)23,158 351 23,509 
ATTRIBUTABLE TO BCE SHAREHOLDERS
ACCUM-
ULATED 
OTHER 
COMPRE-NON-
CONTRI-HENSIVE CONTROL-
FOR THE PERIOD ENDED SEPTEMBER 30, 2020  PREFERRED COMMON BUTED INCOME LING TOTAL 
(IN MILLIONS OF CANADIAN DOLLARS) (UNAUDITED)SHARESSHARESSURPLUS(LOSS)DEFICITTOTALINTERESTEQUITY
Balance at December 31, 20194,004 20,363 1,178 161 (4,632)21,074 334 21,408 
Net earnings– – – – 1,713 1,713 54 1,767 
Other comprehensive income– – – 106 218 324 1 325 
Total comprehensive income– – – 106 1,931 2,037 55 2,092 
Common shares issued under employee stock option plan– 23 (1)– – 22 – 22 
Other share-based compensation – – (9)– (23)(32)– (32)
Dividends declared on BCE common and preferred shares– – – – (2,363)(2,363)– (2,363)
Dividends declared by subsidiaries to non-controlling 
interest – – – – – – (38)(38)
Settlement of cash flow hedges transferred to the cost 
basis of hedged items– – – (9)– (9)– (9)
Balance at September 30, 20204,004 20,386 1,168 258 (5,087)20,729 351 21,080 
 
Consolidatedfinancial statements
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CONSOLIDATED STATEMENTS OF CASH FLOWS
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 30
(IN MILLIONS OF CANADIAN DOLLARS) (UNAUDITED)2021 202020212020
Cash flows from operating activitiesNet earnings from continuing operations
813 734 2,234 1,752 
Adjustments to reconcile net earnings from continuing operations to cash flows 
from operating activities
Severance, acquisition and other costs50 26 146 64 
1,147 1,108 3,433 3,299 
Post-employment benefit plans cost70 77 217 239 
268 273 794 818 
Impairment of assets64 167 460 
306 262 795 601 
(64)(69)(213)(219)
(16)(15)(47)(44)
(31)(11)(153)(59)
(352)(321)(888)(877)
(407)(236)(611)(463)
– (13)(6)(33)
53 178 299 572 
(92)(322)(244)(548)
29 420 342 507 
– 15 – 54 
1,774 2,110 6,265 6,123 
Cash flows used in investing activities
(1,159)(1,031)(3,378)(2,708)
Business acquisitions– (12)(23)
(3)(85)(3)(86)
Spectrum payment15– (415)– 
(11)(49)(49)(67)
– (6)– (21)
(1,589)(1,171)(3,857)(2,905)
Cash flows from (used in) financing activities
(322)317 (368)(1,117)
(7)(23)(20)(23)
Issue of long-term debt1,570 750 4,985 6,006 
Repayment of long-term debt(249)(979)(2,516)(3,909)
Issue of common shares– 245 22 
 
(83)(40)(245)(209)
(793)(753)(2,337)(2,222)
(31)(32)(93)(101)
Cash dividends paid by subsidiaries to non-controlling interest(13)(11)(41)(37)Consolidatedfinancial statements
(14)(32)(75)(87)
– (4)– (7)
230 (807)(465)(1,684)
334 185 1,862 1,341 
1,752 1,297 224 141 
2,086 1,482 2,086 1,482 
81 (53)81 193 
– 250 – 4 
81 197 81 197 
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Notes to consolidated financial statements
These consolidated interim financial statements (financial statements) should be read in conjunction with BCE’s 2020 annual consolidated financial 
statements, approved by BCE’s board of directors on March 4, 2021. 
These notes are unaudited.
We, us, our, BCE and the company mean, as the context may require, either BCE Inc. or, collectively, BCE Inc., Bell Canada, their subsidiaries, joint 
arrangements and associates. 
Note 1  |  Corporate information
BCE is incorporated and domiciled in Canada. BCE’s head office is located at 1, Carrefour Alexander-Graham-Bell, Verdun, Québec, Canada. BCE is a telecommunications and media company providing wireless, wireline, Internet and television (TV) services to residential, business and wholesale customers in Canada. Our Bell Media segment provides conventional TV, specialty TV, pay TV, streaming services, digital media services, radio broadcasting services and out-of-home advertising services to customers in Canada.
Note 2  |  Basis of presentation and significant accounting policies
These financial statements were prepared in accordance with International Financial Reporting Standards (IFRS), as issued by the International Accounting 
Standards Board (IASB), under International Accounting Standard (IAS) 34 – Interim Financial Reporting and were approved by BCE’s board of directors 
on November 3, 2021. These financial statements were prepared using the same basis of presentation, accounting policies and methods of computation as outlined in Note 2, Significant accounting policies in our consolidated financial statements for the year ended December 31, 2020.
These financial statements do not include all of the notes required in annual financial statements.
All amounts are in millions of Canadian dollars, except where noted.
FUTURE CHANGES TO ACCOUNTING STANDARDS
The following amendments to standards issued by the IASB have not yet been adopted by BCE. 
STANDARDDESCRIPTIONIMPACTEFFECTIVE DATE
Onerous Contracts – Cost of Fulfilling a Contract, Amendments to IAS 37 – Provisions, Contingent Liabilities and Contingent AssetsThese amendments clarify which costs should be included in We are currently assessing the impact of these amendments.Effective for annual reporting periods beginning on or after January 1, 2022. Early application is permitted.
determining the cost of fulfilling a contract when assessing whether a contract is onerous. 
Disclosure of Accounting Policies – These amendments require that entities disclose material We are currently assessing the impact of these amendments on the disclosure of our accounting policies.Effective for annual reporting periods beginning on or after January 1, 2023. Early application is permitted.
Amendments to IAS 1 – Presentation accounting policies, as defined, instead of significant accounting policies.
of Financial Statements
 
Notes to consolidatedfinancial statements
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Note 3  |  Segmented information
Our results are reported in three segments: Bell Wireless, Bell Wireline and Bell Media. Our segments reflect how we manage our business and how we classify our operations for planning and measuring performance.
The following tables present financial information by segment for the three month periods ended September 30, 2021 and 2020.
BELL  BELLBELLINTERSEGMENT
FOR THE THREE MONTH PERIOD ENDED SEPTEMBER 30, 2021WIRELESSWIRELINEMEDIAELIMINATIONSBCE
Operating revenues
 External customers2,284 630 – 5,836 
 Inter-segment12 89 (194)– 
Total operating revenues2,296 719 (194)5,836 
Operating costs4(1,286)(504)194 (3,278)
Segment profit (1)1,010 215 – 2,558 
Severance, acquisition and other costs5(50)
Depreciation and amortization(1,147)
Finance costs
 Interest expense(272)
 Interest on post-employment benefit obligations11(5)
Impairment of assets6– 
Other income735 
Income taxes(306)
Net earnings813 
(1)  The chief operating decision maker uses primarily one measure of profit to make decisions and assess performance, being operating revenues less operating costs. 
BELL  BELLBELLINTERSEGMENT
FOR THE THREE MONTH PERIOD ENDED SEPTEMBER 30, 2020WIRELESSWIRELINEMEDIAELIMINATIONSBCE
Operating revenues
External customers2,305 530 – 5,787 
Inter-segment13 98 (191)– 
Total operating revenues2,318 628 (191)5,787 
Operating costs4(1,362)(450)191 (3,333)
Segment profit (1)956 178 – 2,454 
Severance, acquisition and other costs5(26)
Depreciation and amortization (1,108)
Finance costs
Interest expense(279)
Interest on post-employment benefit obligations11(12)
Impairment of assets6(4)
Other expense7(29)
Income taxes(262) 
Net earnings from continuing operations734 
Net earnings from discontinued operations6 
Net earnings740 
(1)  The chief operating decision maker uses primarily one measure of profit to make decisions and assess performance, being operating revenues less operating costs.
Notes to consolidatedfinancial statements
BCE INC. 2021 ThIRd QuARTER ShAREhOldER REpORT  |  43
The following tables present financial information by segment for the nine month periods ended September 30, 2021 and 2020.
BELL  BELLBELLINTERSEGMENT
FOR THE NINE MONTH PERIOD ENDED SEPTEMBER 30, 2021WIRELESSWIRELINEMEDIAELIMINATIONSBCE
Operating revenues
 External customers6,486 1,919 – 17,240 
 Inter-segment38 268 (570)– 
Total operating revenues6,524 2,187 (570)17,240 
Operating costs4(3,622)(1,615)570 (9,777)
Segment profit (1)2,902 572 – 7,463 
Severance, acquisition and other costs(146)
Depreciation and amortization(3,433)
Finance costs
 Interest expense(807)
 Interest on post-employment benefit obligations(15)
Impairment of assets(167)
Other income134 
Income taxes(795)
Net earnings2,234 
(1)  The chief operating decision maker uses primarily one measure of profit to make decisions and assess performance, being operating revenues less operating costs.
BELL  BELLBELLINTERSEGMENT
FOR THE NINE MONTH PERIOD ENDED SEPTEMBER 30, 2020WIRELESSWIRELINEMEDIAELIMINATIONSBCE
Operating revenues
External customers6,236 1,670 – 16,781 
Inter-segment39 289 (564)– 
Total operating revenues6,275 1,959 (564)16,781 
Operating costs4(3,512)(1,453)564 (9,578)
Segment profit (1)2,763 506 – 7,203 
Severance, acquisition and other costs(64)
Depreciation and amortization (3,299)
Finance costs
Interest expense(836)
Interest on post-employment benefit obligations(35)
Impairment of assets(460)
Other expense(156)
Income taxes(601)
Net earnings from continuing operations1,752 
Net earnings from discontinued operations15 
Net earnings1,767 
 
(1)  The chief operating decision maker uses primarily one measure of profit to make decisions and assess performance, being operating revenues less operating costs.
Notes to consolidatedfinancial statements
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REVENUES BY SERVICES AND PRODUCTS
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 302021202020212020
Services (1)
Wireless1,642 1,563 4,714 4,579 
Wireline data1,976 1,931 5,885 5,738 
Wireline voice778 839 2,375 2,574 
Media630 530 1,919 1,670 
Other wireline services73 61 214 181 
Total services5,099 4,924 15,107 14,742 
Products (2)
Wireless642 742 1,772 1,657 
Wireline data86 110 331 346 
Wireline equipment and other9 11 30 36 
Total products737 863 2,133 2,039 
Total operating revenues5,836 5,787 17,240 16,781 
(1)  Our service revenues are generally recognized over time.(2)  Our product revenues are generally recognized at a point in time.
Note 4  |  Operating costs
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 30NOTE2021202020212020
Labour costs
Wages, salaries and related taxes and benefits (1)(1,067)(1,038)(3,173)(3,073)
Post-employment benefit plans service cost (net of capitalized amounts)11(65)(65)(202)(204)
Other labour costs (2)(237)(244)(727)(707)
Less:
Capitalized labour268 259 793 753 
Total labour costs(1,101)(1,088)(3,309)(3,231)
Cost of revenues (3)(1,722)(1,787)(5,128)(4,912)
Other operating costs (4)(455)(458)(1,340)(1,435)
Total operating costs(3,278)(3,333)(9,777)(9,578)
(1)  Costs reported in 2020 are net of amounts from the Canada Emergency Wage Subsidy, a wage subsidy program offered by the federal government to eligible employers as a result of the COVID-19 
pandemic.
(2)  Other labour costs include contractor and outsourcing costs.(3)  Cost of revenues includes costs of wireless devices and other equipment sold, network and content costs, and payments to other carriers.(4)  Other operating costs include marketing, advertising and sales commission costs, bad debt expense, taxes other than income taxes, information technology costs, professional service fees and rent.
 
Note 5  |  Severance, acquisition and other costs
THREE MONTHSNINE MONTHSNotes to consolidatedfinancial statements
FOR THE PERIOD ENDED SEPTEMBER 302021202020212020
Severance (25)(19)(129)(29)
Acquisition and other (25)(7)(17)(35)
Total severance, acquisition and other costs(50)(26)(146)(64)
SEVERANCE COSTSSeverance costs consist of charges related to involuntary and voluntary employee terminations.
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ACQUISITION AND OTHER COSTSAcquisition and other costs consist of transaction costs, such as legal and financial advisory fees, related to completed or potential acquisitions, employee severance costs related to the purchase of a business, the costs to integrate acquired companies into our operations, costs relating to litigation and 
regulatory decisions, when they are significant, and other costs.
Note 6  |  Impairment of assets
2021During the second quarter of 2021, we identified indicators of impairment for our Bell Media radio markets, notably a decline in advertising revenue and an increase in the discount rate resulting from the impact of the ongoing COVID-19 pandemic. Accordingly, impairment testing was required for our group of radio cash-generating units (CGUs). 
During Q2 2021, we recognized $163 million of impairment charges for various radio markets within our Bell Media segment. These charges included $150 million allocated to indefinite-life intangible assets for broadcast licences, and $13 million to property, plant and equipment mainly for buildings and network infrastructure and equipment. They were determined by comparing the carrying value of the CGUs to their fair value less cost of disposal. We estimated the fair value of the CGUs using both discounted cash flows and market-based valuation models, which include five-year cash flow projections derived from business plans reviewed by senior management for the period of July 1, 2021 to December 31, 2026, using a discount rate of 
8.5% and a perpetuity growth rate of (2.0)% as well as market multiple data from public companies and market transactions. After impairments, the 
carrying value of our group of radio CGUs was $235 million.
2020During the second quarter of 2020, we identified indicators of impairment for certain of our Bell Media TV services and radio markets, notably declines in advertising revenues, lower subscriber revenues and overall increases in discount rates resulting from the economic impact of the COVID-19 pandemic. Accordingly, impairment testing was required for certain groups of CGUs as well as for goodwill.
During Q2 2020, we recognized $452 million of impairment charges for our English and French TV services as well as various radio markets within our Bell Media segment. These charges included $291 million allocated to indefinite-life intangible assets for broadcast licences, $146 million allocated to finite-life intangible assets, mainly for program and feature film rights, and $15 million to property, plant and equipment for network and infrastructure and equipment. They were determined by comparing the carrying value of the CGUs to their fair value less cost of disposal. We estimated the fair value of the CGUs using both discounted cash flows and market-based valuation models, which include five-year cash flow projections derived from business plans reviewed by senior management for the period of July 1, 2020 to December 31, 2025, using discount rates of 8.0% to 9.5% and a perpetuity growth rate of (1.0)% to nil as well as market multiple data from public companies and market transactions. After impairments, the carrying value of these CGUs was $942 million.
There was no impairment of Bell Media goodwill. For the Bell Media group of CGUs, a decrease of (0.6)% in the perpetuity growth rate or an increase of 
0.4% in the discount rate would have resulted in its recoverable amount being equal to its carrying value.
Note 7  |  Other income (expense) 
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 30NOTE2021202020212020
Net mark-to-market gains (losses) on derivatives used to economically  
hedge equity settled share-based compensation plans61 (13)221 (50)
Early debt redemption costs10 – (21)(53)(38)
Equity gains (losses) from investments in associates and joint ventures Gain (loss) on investment– 22 (14)43 
Operations(36)(14)(51)(29)
Losses on retirements and disposals of property, plant and equipment Notes to consolidatedfinancial statements
and intangible assets(4)(1)(12)(71)
Other14 (2)43 (11)
Total other income (expense)35 (29)134 (156)
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EQUITY GAIN (LOSS) FROM INVESTMENTS IN ASSOCIATES AND JOINT VENTURESWe recorded a gain on investment of nil and $22 million for the three months ended September 30, 2021 and 2020, respectively, and a (loss) gain on 
investment of ($14) million and $43 million for the nine months ended September 30, 2021 and 2020, respectively, related to equity gains (losses) on our 
share of an obligation to repurchase at fair value the minority interest in one of BCE’s joint ventures. The obligation is marked to market each reporting period and the gain or loss on investment is recorded as equity gains or losses from investments in associates and joint ventures.
LOSSES ON RETIREMENTS AND DISPOSALS OF PROPERTY, PLANT AND EQUIPMENT  
AND INTANGIBLE ASSETS
In Q2 2020, we recorded a loss of $45 million due to a change in strategic direction related to the ongoing development of some of our TV platform assets under construction. 
Note 8  |  Earnings per share
The following table shows the components used in the calculation of basic and diluted net earnings per common share for earnings attributable to 
common shareholders.
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 302021202020212020
Net earnings from continuing operations attributable to common shareholders – basic757 686 2,084 1,594 
Net earnings from discontinued operations attributable to common shareholders – basic– 6 – 15 
Net earnings attributable to common shareholders – basic757 692 2,084 1,609 
Dividends declared per common share (in dollars)0.87500.8325 2.62502.4975 
Weighted average number of common shares outstanding (in millions)
Weighted average number of common shares outstanding – basic906.9 904.3 905.5 904.3 
Assumed exercise of stock options (1)0.7 0.1 0.2 0.1 
Weighted average number of common shares outstanding – diluted (in millions)907.6 904.4 905.7 904.4 
(1)  The calculation of the assumed exercise of stock options includes the effect of the average unrecognized future compensation cost of dilutive options. It excludes options for which the exercise 
price is higher than the average market value of a BCE common share. The number of excluded options was 3,280,426 for the third quarter of 2021 and 3,314,662 for the first nine months of 2021, 
compared to 14,335,937 for the third quarter of 2020 and 10,795,216 for the first nine months of 2020.
Note 9  |  Restricted cash
In Q1 2021, we entered into a $107 million subsidy agreement with the Government of Québec to facilitate the deployment of high-speed Internet in certain areas of the province of Québec by September 2022. At the end of Q3 2021, we had received $97 million of the total committed funding, with the remainder expected upon completion of the project. 
As a result, we recorded $89 million in Other current assets as restricted cash with a corresponding liability in Trade payables and other liabilities on the 
consolidated statement of financial position at September 30, 2021. Additionally, for the three and nine months ended September 30, 2021, we recorded $5 million and $8 million, respectively, as a reduction of capital expenditures on the consolidated statements of cash flow. 
 
Note 10  | Debt
On August 12, 2021, Bell Canada issued, under its 2016 trust indenture, 2.15% Series US-5 Notes, with a principal amount of $600 million in U.S. dollars ($755 million in Canadian dollars), which mature on February 15, 2032, and 3.20% Series US-6 Notes, with a principal amount of $650 million in U.S. dollars ($818 million in Canadian dollars), which mature on February 15, 2052.
Notes to consolidatedfinancial statements
On May 28, 2021, Bell Canada issued, under its 1997 trust indenture, 2.20% Series M-56 medium term note (MTN) debentures, with a principal amount of $500 million, which mature on May 29, 2028. This issue constitutes Bell Canada’s first sustainability bond offering.
On April 19, 2021, Bell Canada redeemed, prior to maturity, its 3.00% Series M-40 MTN debentures, having an outstanding principal amount of $1.7 billion, which were due on October 3, 2022. As a result, in Q1 2021, we recognized early debt redemption costs of $53 million, which were recorded in Other income (expense) in the consolidated income statement.
On March 17, 2021, Bell Canada issued, under its 1997 trust indenture, 3.00% Series M-54 MTN debentures, with a principal amount of $1 billion, which mature on March 17, 2031, and 4.05% Series M-55 MTN debentures, with a principal amount of $550 million, which mature on March 17, 2051. 
Additionally, on March 17, 2021, Bell Canada issued, under its 2016 trust indenture, 0.75% Series US-3 Notes, with a principal amount of $600 million in U.S. dollars ($747 million in Canadian dollars), which mature on March 17, 2024, and 3.65% Series US-4 Notes, with a principal amount of $500 million in U.S. dollars ($623 million in Canadian dollars), which mature on March 17, 2051. 
The Series US-3, Series US-4, Series US-5 and Series US-6 Notes (collectively, the Notes) have been hedged for foreign currency fluctuations through 
cross currency interest rate swaps. See Note 12, Financial assets and liabilities, for additional details.
The MTN debentures and Notes are fully and unconditionally guaranteed by BCE.
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Note 11  |  Post-employment benefit plans
POST-EMPLOYMENT BENEFIT PLANS COSTWe provide pension and other benefits for most of our employees. These include defined benefit (DB) pension plans, defined contribution (DC) pension plans and other post-employment benefits (OPEBs).
COMPONENTS OF POST-EMPLOYMENT BENEFIT PLANS SERVICE COST
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 302021202020212020
DB pension (56)(55)(167)(164)
DC pension (25)(25)(87)(87)
OPEBs(1)(1)(2)(2)
Less:
Capitalized benefit plans cost17 16 54 49 
Total post-employment benefit plans service cost(65)(65)(202)(204)
COMPONENTS OF POST-EMPLOYMENT BENEFIT PLANS FINANCING (COST) INCOME
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 302021202020212020
DB pension 3 (2)8 (7)
OPEBs(8)(10)(23)(28)
Total interest on post-employment benefit obligations(5)(12)(15)(35)
FUNDED STATUS OF POST-EMPLOYMENT BENEFIT PLANS
The following table shows the funded status of our post-employment benefit obligations.
FUNDEDPARTIALLY FUNDED (1)UNFUNDED (2)TOTAL
SEPTEMBER 30, DECEMBER 31, SEPTEMBER 30, DECEMBER 31, SEPTEMBER 30, DECEMBER 31, SEPTEMBER 30, DECEMBER 31, 
FOR THE PERIOD ENDED20212020202120202021202020212020
Present value of post-employment benefit obligations(23,103)(26,421)(1,777)(2,011)(281)(317)(25,161)(28,749)
Fair value of plan assets26,938 27,727 401 402 – – 27,339 28,129 
Plan surplus (deficit)3,835 1,306 (1,376)(1,609)(281)(317)2,178 (620)
(1)  The partially funded plans consist of supplementary executive retirement plans (SERPs) for eligible employees and certain OPEBs. The company partially funds the SERPs through letters of credit 
and a retirement compensation arrangement account with the Canada Revenue Agency. Certain paid-up life insurance benefits are funded through life insurance contracts.
(2)  Our unfunded plans consist of certain OPEBs, which are paid as claims are incurred.
In Q3 2021, we recorded an increase in our post-employment benefit plans and a gain, before taxes, in Other comprehensive income (loss) from continuing operations of $668 million due to a decrease in the present value of our post-employment benefit obligations of $685 million as a result of an increase in the discount rate to 3.5% at September 30, 2021, compared to 3.3% at June 30, 2021, partly offset by a decrease in the fair value of plan assets of ($17) million as a result of a lower-than-expected return on plan assets of 0.6%.
 
During the first nine months of 2021, we recorded an increase in our post-employment benefit plans and a gain, before taxes, in Other comprehensive income (loss) from continuing operations of $2,807 million due to a decrease in the present value of our post-employment benefit obligations of $3,254 million as a result of an increase in the discount rate to 3.5% at September 30, 2021, compared to 2.6% at December 31, 2020, partly offset by a decrease in the fair value of plan assets of ($447) million as a result of a lower-than-expected return on plan assets of 0.5%.
Notes to consolidatedfinancial statements
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Note 12  |  Financial assets and liabilities
FAIR VALUE
The following table provides the fair value details of financial instruments measured at amortized cost in the consolidated statements of financial position. 
SEPTEMBER 30, 2021DECEMBER 31, 2020
CARRYING FAIR  CARRYING FAIR  
CLASSIFICATIONFAIR VALUE METHODOLOGYVALUEVALUEVALUEVALUE
CRTC deferral account obligationTrade payables and other Present value of estimated future cash flows discounted using observable market interest rates73 75 82 86 
liabilities and other non-current liabilities
Debt securities and other debt Debt due within one year and long-term debtQuoted market price of debt23,721 26,183 20,525 24,366 
The following table provides the fair value details of financial instruments measured at fair value in the consolidated statements of financial position. 
FAIR VALUE
QUOTED PRICES IN 
ACTIVE MARKETS  
FOR IDENTICAL OBSERVABLE NON-OBSERVABLE 
CARRYING VALUE OF ASSETS  MARKET DATAMARKET INPUTS 
CLASSIFICATIONASSET (LIABILITY)(LEVEL 1)(LEVEL 2) (1)(LEVEL 3) (2)
September 30, 2021 
Publicly-traded and privately-held investments (3)Other non-current assets134 22 – 112 
Derivative financial instrumentsOther current assets, trade payables and other liabilities, other non-current assets and liabilities468 – 468 – 
Maple Leaf Sports & Entertainment Ltd. (MLSE) financial liability (4)Trade payables and other liabilities(149)– – (149)
OtherOther non-current assets and liabilities123 – 181 (58)
December 31, 2020    
Publicly-traded and privately-held investments (3)Other non-current assets126 3 – 123 
Derivative financial instrumentsOther current assets, trade payables and other liabilities, other non-current assets and liabilities(51)– (51)– 
MLSE financial liability (4) Trade payables and other liabilities(149)– – (149)
OtherOther non-current assets and liabilities109 – 167 (58)
(1)  Observable market data such as equity prices, interest rates, swap rate curves and foreign currency exchange rates. (2)  Non-observable market inputs such as discounted cash flows and earnings multiples. A reasonable change in our assumptions would not result in a significant increase (decrease) to our level 3 
financial instruments. 
(3)  Unrealized gains and losses are recorded in Other comprehensive income (loss) from continuing operations in the consolidated statements of comprehensive income and are reclassified from 
Accumulated other comprehensive income to Deficit in the consolidated statements of financial position when realized.
(4)  Represents BCE’s obligation to repurchase the BCE Master Trust Fund’s (Master Trust Fund) 9% interest in MLSE at a price not less than an agreed minimum price should the Master Trust Fund exercise 
its put option. The obligation to repurchase is marked to market each reporting period and the gain or loss is recognized in Other income (expense) in the consolidated income statements.
 
Notes to consolidatedfinancial statements
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MARKET RISK CURRENCY EXPOSURESWe use forward contracts, options and cross currency interest rate swaps to manage foreign currency risk related to anticipated purchases and sales 
and certain foreign currency debt. 
During the first nine months of 2021, we entered into cross currency interest rate swaps with a total notional amount of $2,350 million in U.S. dollars ($2,958 million in Canadian dollars) to hedge the U.S. currency exposure of our U.S. Notes maturing from 2024 to 2052. See Note 10, Debt, for additional details.
A 10% depreciation (appreciation) in the value of the Canadian dollar relative to the U.S. dollar would result in a loss of $2 million and $18 million recognized 
in net earnings from continuing operations at September 30, 2021 and a gain (loss) of $257 million and ($237 million) recognized in Other comprehensive income (loss) from continuing operations at September 30, 2021, with all other variables held constant. 
A 10% depreciation (appreciation) in the value of the Canadian dollar relative to the Philippines Peso would result in a gain (loss) of $5 million recognized 
in Other comprehensive income (loss) from continuing operations at September 30, 2021, with all other variables held constant. 
The following table provides further details on our outstanding foreign currency forward contracts and options as at September 30, 2021. 
BUY  AMOUNT  SELL  AMOUNT  
TYPE OF HEDGECURRENCYTO RECEIVECURRENCYTO PAYMATURITYHEDGED ITEM
Cash flowUSD195 CAD258 2021Anticipated transactions
Cash flowPHP565 CAD15 2021Anticipated transactions
Cash flowUSD509 CAD651 2022Anticipated transactions
Cash flowPHP2,270 CAD58 2022Anticipated transactions
Cash flowUSD520 CAD641 2023Anticipated transactions
Cash flow – call optionsUSD231 CAD299 2022Anticipated transactions
Cash flow – put optionsUSD231 CAD295 2022Anticipated transactions
EconomicUSD46 CAD60 2021Anticipated transactions
Economic – put optionsUSD30 CAD39 2021 Anticipated transactions
Economic – call optionsUSD150 CAD178 2022 Anticipated transactions
Economic – call optionsCAD190 USD150 2022 Anticipated transactions
Economic – put optionsUSD399 CAD481 2022 Anticipated transactions
INTEREST RATE EXPOSURESWe use leveraged interest rate options to hedge economically the dividend rate resets on $582 million of our preferred shares having varying reset dates in 2021 for the periods ending in 2026. The dividend rates for $100 million of these preferred shares had not yet been reset as at September 30, 2021. 
The fair value of these interest rate options at September 30, 2021 and December 31, 2020 was a net liability of $1 million and $6 million, respectively, 
recognized in Other current assets, Trade payables and other liabilities and Other non-current liabilities in the consolidated statements of financial position. A gain of $1 million and $14 million for the three and nine months ended September 30, 2021, respectively, relating to these interest rate options is recognized in Other income (expense) in the consolidated income statements. 
A 1% increase (decrease) in interest rates would result in a gain (loss) of $4 million recognized in net earnings from continuing operations at September 30, 2021.
EQUITY PRICE EXPOSURESWe use equity forward contracts on BCE’s common shares to hedge economically the cash flow exposure related to the settlement of equity settled share-based compensation plans and the equity price risk related to certain share-based payment plans. The fair value of our equity forward contracts at September 30, 2021 and December 31, 2020 was a net asset of $87 million and a net liability of $82 million, respectively, recognized in Other current assets, Trade payables and other liabilities, Other non-current assets and Other non-current liabilities in the consolidated statements of financial position. A gain of $61 million and $221 million for the three and nine months ended September 30, 2021, respectively, relating to these equity forward contracts is recognized in Other income (expense) in the consolidated income statements. 
 
A 5% increase (decrease) in the market price of BCE’s common shares at September 30, 2021 would result in a gain (loss) of $41 million recognized in net 
earnings from continuing operations, with all other variables held constant.Notes to consolidatedfinancial statements
COMMODITY PRICE EXPOSUREWe use fuel swaps to hedge economically the purchase cost of fuel in 2021. The fair value of our fuel swaps at September 30, 2021 and December 31, 2020 was an asset of $3 million, recognized in Other current assets in the consolidated statements of financial position. A gain of nil and $6 million for the 
three and nine months ended September 30, 2021, respectively, relating to these fuel swaps is recognized in Other income (expense) in the consolidated income statements. 
A 25% increase (decrease) in the market price of fuel at September 30, 2021 would result in a gain (loss) of $1 million relating to fuel swaps recognized 
in net earnings from continuing operations, with all other variables held constant. 
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Note 13  |  Share capital
CONVERSION AND DIVIDEND RATE RESET OF FIRST PREFERRED SHARESOn August 1, 2021, 12,985 of BCE’s 5,949,884 fixed-rate Cumulative Redeemable First Preferred Shares, Series AI (Series AI Preferred Shares) were 
converted, on a one-for-one basis, into floating-rate Cumulative Redeemable First Preferred Shares, Series AJ (Series AJ Preferred Shares). In addition, on the same date, 3,598,141 of BCE’s 8,050,116 Series AJ Preferred Shares were converted, on a one-for-one basis, into Series AI Preferred Shares.
The annual fixed dividend rate on BCE’s Series AI Preferred Shares was reset for the next five years, effective August 1, 2021, at 3.39%. The Series AJ 
Preferred Shares will continue to pay a monthly floating cash dividend.
On May 1, 2021, 105,430 of BCE’s 4,984,851 fixed-rate Cumulative Redeemable First Preferred Shares, Series AG (Series AG Preferred Shares) were converted, on a one-for-one basis, into floating-rate Cumulative Redeemable First Preferred Shares, Series AH (Series AH Preferred Shares). In addition, on the same date, 4,100,109 of BCE’s 9,012,249 Series AH Preferred Shares were converted, on a one-for-one basis, into Series AG Preferred Shares.
The annual fixed dividend rate on BCE’s Series AG Preferred Shares was reset for the next five years, effective May 1, 2021, at 3.37%. The Series AH 
Preferred Shares will continue to pay a monthly floating cash dividend.
On March 31, 2021, 42,423 of BCE’s 9,542,615 fixed-rate Cumulative Redeemable First Preferred Shares, Series AM (Series AM Preferred Shares) were converted, on a one-for-one basis, into floating-rate Cumulative Redeemable First Preferred Shares, Series AN (Series AN Preferred Shares). In addition, on the same date, 939,786 of BCE’s 1,952,085 Series AN Preferred Shares were converted, on a one-for-one basis, into Series AM Preferred Shares.
The annual fixed dividend rate on BCE’s Series AM Preferred Shares was reset for the next five years, effective March 31, 2021, at 2.939%. The Series AN 
Preferred Shares will continue to pay a quarterly floating cash dividend.
Subsequent to quarter end, on November 1, 2021, 9,593 of BCE’s 4,486,552 fixed-rate Cumulative Redeemable First Preferred Shares, Series T (Series T 
Preferred Shares) were converted, on a one-for-one basis, into floating-rate Cumulative Redeemable First Preferred Shares, Series S (Series S Preferred 
Shares). In addition, on the same date, 1,393,174 of BCE’s 3,511,848 Series S Preferred Shares were converted, on a one-for-one basis, into Series T 
Preferred Shares.
The annual fixed dividend rate on BCE’s Series T Preferred Shares was reset for the next five years, effective November 1, 2021, at 4.99%. The Series S 
Preferred Shares will continue to pay a monthly floating cash dividend.
Dividends will be paid as and when declared by the board of directors of BCE. 
RENEWAL OF NORMAL COURSE ISSUER BID FOR BCE FIRST PREFERRED SHARESSubsequent to quarter end, on November 3, 2021, BCE’s Board of Directors authorized the company to renew its normal course issuer bid (NCIB) to purchase for cancellation up to 10% of the public float of each series of BCE’s outstanding First Preferred Shares that are listed on the Toronto Stock Exchange. The NCIB will extend from November 9, 2021 to November 8, 2022, or an earlier date should BCE complete its purchases under the NCIB. 
Note 14  |  Share-based payments
The following share-based payment amounts are included in the income statements as operating costs. 
THREE MONTHSNINE MONTHS
FOR THE PERIOD ENDED SEPTEMBER 302021202020212020
 
Employee savings plan(7)(8)(23)(24)
Restricted share units (RSUs) and performance share units (PSUs)(13)(11)(46)(40)
Other (1)(2)(2)(5)(7)
Total share-based payments(22)(21)(74)(71)
(1)  Includes deferred share plan, deferred share units and stock options.
Notes to consolidatedfinancial statements
The following tables summarize the change in outstanding RSUs/PSUs and stock options for the period ended September 30, 2021.
RSUs/PSUs
NUMBER OF  
RSUs/PSUs
Outstanding, January 1, 20212,973,393 
Granted1,174,390 
Dividends credited 133,212 
Settled(1,116,743)
Forfeited (89,897)
Outstanding, September 30, 20213,074,355 
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STOCK OPTIONS
NUMBER OF WEIGHTED AVERAGE 
OPTIONSEXERCISE PRICE ($)
Outstanding, January 1, 202115,650,234 59 
Exercised (1)(4,339,016)57 
Forfeited or expired(245,288)60 
Outstanding, September 30, 202111,065,930 60 
Exercisable, September 30, 20214,581,269 58 
(1)  The weighted average market share price for options exercised during the nine months ended September 30, 2021 was $64. 
Note 15  |  Commitment and contingency
COMMITMENTOn July 29, 2021, provisional spectrum licence winners in the 3500 MHz spectrum auction were announced by Innovation, Science and Economic Development Canada (ISED). Bel  Mobility Inc. (Bel  Mobility) secured the right to acquire 271 licences in a number of urban and rural markets for 678 mil ion Megahertz per Population (MHz-Pop) of 3500 MHz spectrum for $2.07 billion. On August 13, 2021, Bell Mobility made the required deposit of $415 million to ISED, which 
is included in Other non-current assets on our consolidated statement of financial position at September 30, 2021. On September 22, 2021, ISED delayed the payment for the remaining balance due to an extension related to ISED’s Consultation on Amendments to SRSP-520, Technical Requirements for Fixed and/or Mobile Systems, Including Flexible Use Broadband Systems, in the Band 3450-3650 MHz. This consultation addresses issues regarding the technical specifications for use of 3500 MHz spectrum, primarily around major airports. ISED has not indicated a new date for the final auction payment.
CONTINGENCYAs part of its ongoing review of wholesale Internet rates, on October 6, 2016, the Canadian Radio-television and Telecommunications Commission (CRTC) significantly reduced, on an interim basis, some of the wholesale rates that Bell Canada and other major providers charge for access by third-party 
Internet resellers to fibre-to-the-node (FTTN) or cable networks, as applicable. On August 15, 2019, the CRTC further reduced the wholesale rates that Internet resellers pay to access network infrastructure built by facilities-based providers like Bell Canada, with retroactive effect back to March 2016. 
The August 2019 decision was stayed, first by the Federal Court of Appeal and then by the CRTC, with the result that it never came into effect. In response 
to review and vary applications filed by each of Bell Canada, five major cable carriers (Cogeco Communications Inc., Bragg Communications Inc. (Eastlink), Rogers Communications Inc., Shaw Communications Inc. and Videotron Ltée) and Telus Communications Inc., the CRTC issued Decision 2021-182 on May 27, 2021, which mostly re-instated the rates prevailing prior to August 2019 with some reductions to the Bell Canada rates with retroactive effect to March 2016. As a result, in Q2 2021, we recorded a reduction in revenue of $44 million in our consolidated income statements.
While there remains a requirement to refund monies to third-party Internet resellers, the establishment of final wholesale rates that are similar to those prevailing since 2019 reduces the impact of the CRTC’s long-running review of wholesale Internet rates and ensures a better climate for much-needed investment in advanced networks. The decision is being challenged by at least one reseller, TekSavvy Solutions Inc. (TekSavvy), before the Federal Court of Appeal, where TekSavvy obtained leave to appeal the decision, and in three petitions brought by TekSavvy, the Canadian Network Operators Consortium Inc. and National Capital Freenet before Cabinet to overturn the decision. 
 
Note 16  | COVID-19
Our financial and operating performance in the third quarter of 2021 continued to recover from the effects of the COVID-19 pandemic due to our operational execution and the easing of government restrictions put in place to combat the pandemic, which allowed many businesses to resume some level of, or increase, commercial activities in the latter part of the second quarter of 2021. The effects of the COVID-19 pandemic, although moderating, continued to unfavourably impact Bell Wireless product and roaming revenues, Bell Wireline business market equipment revenues, as well as Bell Media advertising revenues during the quarter. Depending on the severity and duration of the COVID-19 pandemic, including the number and intensity of resurgences in COVID-19 cases, the prevalence of variants, the timely distribution of effective vaccines and treatments, the time required to achieve broad immunity, and the scope and duration of measures adopted to combat the pandemic, our financial results and operations could continue to be unfavourably impacted, and could again become more significantly and negatively impacted, in future periods. It is difficult at this time to estimate the magnitude of such future impacts.
Notes to consolidatedfinancial statements
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