Cable & Wireless Preliminary Q2 2016/17 Results - Seite 2

• LiLAC is targeting $150 million of synergies by December 31, 2020
  • 50% OCF related -- primarily recurring cost reductions
  • 50% capital expenditure related -- recurring and nonrecurring
  • Anticipate a substantial amount of total LiLAC synergies will benefit CWC

* The financial figures contained in this release are prepared in accordance with EU-IFRS.²⁸ CWC's financial condition and results of operations will be included in Liberty Global's condensed consolidated financial statements under U.S. GAAP¹⁰. There are significant differences between the U.S. GAAP and EU-IFRS presentations of our condensed consolidated financial statements.

Subscriber Statistics

We delivered organic subscriber growth across video, internet and telephony product categories in Q2 2016/17. In our mobile business, which represents roughly 40% of total revenue, postpaid subscriber growth was more than offset by a decline in our prepaid base, primarily due to the impact of competitive offers to lower value subscribers in Panama.

On the mobile front, we continue to invest in our networks to enable the delivery of high speed, resilient mobile services and leading converged products to our customers. We are actively expanding our LTE coverage in Panama and plan to launch LTE in the British Virgin Islands later this year.

Turning to our video, internet and telephony businesses, we added 9,000 organic RGUs during the quarter, as we achieved subscriber growth in each of our products. In terms of broadband internet, we added 7,000 organic subscribers on the back of 5,000 RGU additions in Jamaica and 2,000 RGU additions in Trinidad and Tobago. On the video front, we added 1,000 RGUs in the quarter, primarily driven by our DTH business in Panama. The increased RGUs from our DTH business were largely offset by declines in video RGUs in Barbados and Trinidad and Tobago as a result of increased competition.

During the quarter, our regional sports offering, led by Flow Sports and Flow Sports Premier, performed strongly, helping to establish Flow as a leading sports broadcaster in the Caribbean. Our official Olympic Games application was downloaded approximately 60,000 times during the event with over 73,000 hours of live content streamed. Flow Sports Premier, following its launch in July, also began providing unrivaled coverage of the Premier League in the region beginning in August 2016.