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and service on the highest-profile stage in the world. And it reinforces our position as the one truly national player in telecommunications. 

In 2004 we got serious about getting simple. 

For Bell, “Making it Simple” is much more than a tag line. It is our strategic direction, our rallying cry, and how we are building a new Bell Canada. 

To support simplicity, in 2004 we launched a company-wide program called Galileo—a coordinated effort to re-examine every facet of our business. The goal: make operations, products and procedures radically simpler, both internally and externally and as a result lower our cost base. Galileo is based on a simple equation: 

This requires some explanation. First because it is fundamen- tally important. And second because it may not be intuitive how savings can co-exist with higher levels of service. Or how simplicity can pave the way for next-generation products. 

We will be able to deliver better, more sustainable levels of customer service as we make our internal operations simpler and our products easier to choose and use. Through simplicity, 

Simplicity = Service = Savings = Growth. 

we will cut unnecessary steps and redundant functions. We will reduce re-work. And generate significant savings. Galileo is expected to contribute an estimated $1 billion to $1.5 billion in cost savings by the end of 2006. Savings that will improve shareholder returns and buy us freedom to invest in and grow new areas of our business. 

But reducing our costs is only the start. Galileo focuses everyone at Bell on our strategy. It forces our disparate parts to move as one toward our common goals. Perhaps most importantly, it gives employees the opportunity to innovate— to change the way we do business. 

Steady performance, increased confi dence 

With our financial performance in 2004, BCE has demon- strated that we can deliver steady progress even as we continue to build a more productive and more responsive business model. Total revenue for 2004 was $19.2 billion, a 2.4 per cent increase over 2003. Our EBITDA increased by 2.1 per cent to $7.6 billion. Among our most positive results was return on equity, which was 15.2 per cent. Earnings per share, excluding restructuring charges, were $2.02, an increase of more than 6 per cent. 

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