Q1 2020 Earnings Call - Liberty Global plc and Telefonica SA Joint Venture Call

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We're actually pretty encouraged by our operating and financial prospects for the balance of the year that you reset the agenda here a bit just for a minute and hit a couple of additional highlights on Slide Five the way we're talking a slide you can get it pulled of those would be very helpful for you now, despite the impact of the covid-19 crisis. We deliver to solid fourth-quarter operational and Financial. In fact, the quarter was largely in line or ahead of our office locations will talk about this more when we dig into the urge immediate results, but we remain focused on a handful of key performance drivers in our European markets in particular customer growth customer and 61 converted and they did well in all three of these with largely stable customers versus the prior quarter solid arpu growth versus the prior quarter year-over-year and good mobile additions an operating strategies are working right we have over thirty two million gigabit ready homes across our European footprint. We won't getting Services launched to nearly twelve million of those homes were widening the distance between Earth.

We upgrading their Broadband packages as a result and and how support it. Is that for your our food Trend and secondly, I mean to what extent have you been benefiting recently from being able to do extra customer installs is understand open reach has been more limited in being able to do that how much of a boost is at providing a to the current numbers? Thank you.

I think it's Mike from the case. There might be a little conservative that gives a lot more of it wasn't a word. It's combined companies to stand up company. So we'll see but none of the things are covered and we'll have to find out what we need to do. Okay. Thanks a lot guys.

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Yeah, so on home working. I mean in general 95% of our customers as hundred and the speed or more right? It's Mike said on our efforts 240 Max. So therefore our customers do operate already on a very our consumer customer to operate on the phone already on the very high speed. So therefore we don't see additional Demand on top of that currently and the continuously on the which of these states we see that we have uh further down I have a higher speed package is working from home packages for some of our customers. So that is encouraging and in terms of net adds. You're right, I would say currently we are an ex-senator. So what do I need to have our sales are still at 80% and the phone number?

the next to James roster with new Street research

Yes, thank you very much everybody and Mike.

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Thank you so much closer to things like advertising that are experiencing disruption right now as a group our services have proven to be even more vital.

Plus in our competitors when it comes to broadband speed we had a 22,000 Broadband Subs in the quarter as a result and our fix mobile convergence plug those drove nearly 115,000 postpaid mobile additions now final pick up there and capital allocation at the end of February. We authorize a 1 billion dollar share buyback and do the end of April. So in about two months, we've repurchased five hundred million dollars of stock and an average price mid $16 range. So we're dealing buying through 25 what plans according to preset grid to our Pace accelerated as a stock declined shouldn't be a surprise to most of you now, let me move to the most important announcement today that is of course our agreement with telefonica to combine our UK operations a virgin media and go to we are really really excited about this transaction and the partnership with telefonica wage over the last several years. We've been successfully executing a very clear plan to create National V mobile convergence Championship Champions and all of our markets and in some cases job.

Online for to remarkable. It's obviously a more connectivity Focus. So let's on

We sold our Broadband operations to mobile operators. Like I'm sure that exact same belief in convergence drive away and we close those transactions that premium multiples highlighting the big disconnect. Mm. Mm privatizations in Belgium. We acquired in and out and are thriving with fix mobile convergence and in that country and in Holland be joined forces with Vodaphone in the 50/50 joint venture to create jobs. Now the fastest-growing and most important mobile broadband and entertainment provider in the market this deal follows that path combining go to the largest and most reliable and admire mobile operations together with Virgin Media the country's fastest Broadband Network and most complete and Innovative video platform is a Powerhouse combination first. It gives us the scale to invest confident life ahead and find you right when it matters most that's now and second that the best network infrastructure Market leading positions and world-class Brands will have the strength to compete aggressively for customers wage.

Is there and of course the combination deliver significant synergies that will accelerate operating cash flow and free cash flow. Now, we know the Playbook well as we've executed on it many times. It's also a strong both Liberty and telefonica that we believe in the UK and are right behind the

The desire to bring next-generation connectivity to Consumers and businesses as fast as possible. So let's dig in a bit on the transaction itself and select six. There's plenty of detail here as well. Try to change the key points. The main deal points on the left hand side of the slide. This will be a 50/50 JV and all respects. Obviously, we have experience with this structure and Holland and we know can walk. It feels like a very good fit with telefonica. We have similar values capable operating goals and strong leadership on the ground the economics of the Neo derived from relative valuations at the formation of like you've all seen this equation before in this case, we value virgin a total Enterprise value of 18.7 billion lb resulting in an equity value of 7.4 billion pounds. That's a choice. Of course eleven point three billion of debt is transferred into the JV spoke to was valued at 12.7 billion pounds and will be transferred in debt free but with some working capital debt like items so to equalize the authors

Telefonica need to receive a payment from us of about 2.5 billion pounds and that's based on 12th and 131 numbers. That's just math and then that could change as debt and debt like items between now and closing but we expect it to be largely the same perhaps maybe even the payment to be a bit lower since the O2 business is largely on the leather and we do intend to recapitalize a JV with about 18 million pounds that what you mean, each partner will receive recap proceeds on or before closing of approximately 3 billion pounds that covers more than our portion of equalization payment and after recapping Virgin Media, which will stay outside of the JV we should end up with no cash proceeds of about 1.4 billion pounds or 1.75 billion dollars worth pointing out that this is also an event for a business with a bill from 5.5 to 5 times in average in the U gets transaction is obviously something to rivet or approval which means dissipate will be reviewed at the CMA.

It should be closed. Hopefully by the middle of next year if not sooner and moving to the right hand side of the chart the rationale for this combination from our perspective is very compelling. I've covered some of those points already. We're creating a clear pact virgins champion in our largest market in one of Europe's most attractive, but the transaction also creates real value for shareholders. We've argued for quite some time that are stopped doesn't reflect any Equity values of Virgin Media clearly this deal changes that debate and without implied multiple of 9.3 * 2019 O C F or twenty-five times 2019 operating from college and there is substantial Equity value in our UK business, even before that cash proceeds are going to just as you grab this images are currently valued at an MPV of 6.2 billion pounds that's reflecting run off benefits of the 540 million pounds per year. It's worth pointing out that that compares really favorably to other fix mobile convergence deals. We pin associated with in fact, it's on the lower end as a percentage of wage.

The combined cost so of course, maybe very strong track record of executing over delivering on synergies. Hopefully, that number should be good on the bottom, right? We present some Financial metrics. You can see the two businesses together generated 11 billion pounds of Revenue in 2019 and 3.7 billion pounds, although she athlete that that's before intercompany service charges in the destruction and life operation the expected to be to generate significant distributable free cash flow and we should benefit from Recaps and further dividends down the road. This is of course one of many but a significant driver of the month and that's why seven just provides an additional background on the combined group. I've already referenced the JV best-in-class fix the Broadband Global infrastructure and the key here is that this deal will undoubtedly enhance our confidence and strategic positioning when it comes to expanding our Network leadership in the Market opens who has already rolled out 5G and thirty communities dead.

and versions already ruled out

And I think if it speeds two million homes with the rest of our equipment ready to roll, we know that when the power of 5G needs one getting Broadband there is no looking back and both me and telefonica see eye-to-eye with the infrastructure Network opportunity here and a whole host of levels O2 is an ideal partner for Virgin Media. They're extremely well placed in the mobile market with the lowest back both front bumper exposure off the lowest Market turns very high FPS. We've done some overall research which confirm what we knew that both brands have strong customer appeal. What we did realize was that the appeal grown even stronger in the brands are considered together and that's a great starting point of fish mobile convergence as are these other data points eight out of ten virgin customers who someone else's mobile service today which provides a huge tool for cross-selling Ultra Mobile service even more compelling research showed that 50% O2 customers that don't have version Broadband or more interested in adopting a converged dead.

Oh to a virgin and it would be from another program provider. So the fundamentals are here for very prosperous partnership and we're excited to get it started after a big transaction like this month always good to step back and reflect on the composition of our business and assets the value-creation strategy. We're focused on you'll see that on Friday which shows are major operating but this is not along with other assets and I'll provide just a few quick observations. Your number one. We have significant scale across Europe these operations together will sort of 18 million fixed and mobile subs and what we believed in the best interview markets together. They represent over $24 billion of Revenue that's taking the JV Revenue plus our Consolidated revenue and over $8 billion of operating cash flow calculation the same basis with significant nephew Cashel generation the second big take away that are three largest assets are or will be less than one hundred percent owned as much as anything. That's a function of the European market today, which is dead.

Rapidly consolidating to drive scale and generate the synergies. Sometimes you need partners and we're certainly willing to join forces to create that value. Sometimes it's public shareholders partnering with sometimes it just took so long as your scope for liquidity and transparency of value more satisfied. The third point is that the value-creation strategy is largely the same the same across the footprint office building national champions partially because many incumbents were vulnerable underinvested or late to the game, but also because governments regulars won't scale driven Challengers, they know that consumers and businesses win when there's infrastructure based competition and that's been our manager for decades and it's just two days that ever was going forward. The focus is on free cash flow. It is always been one of the most if not the most important member of our business, but with Revenue flattening in the more mature telephone landscape, it becomes even more important than particularly coveted among European investors. Just look at where telling it to read today for example wage.

Not surprisingly. We will examine the potential for public market listings. Where would that make sense at the group level? We continue to have significant liquidity in excess of ten billion dollars, even before this transaction closes. And of course, none of us predicted this prices, but we certainly feel now is fortunate to have the capital to go pursue these types of deals and fundamental FMC strategies and core markets and to be opportunistic which we will be back to the car time-honored strategy of driving on.

An equity capital structure, of course share BuyBacks as in when appropriate and usually this chart as a reference point there are many ways to look at the valuation of our group. So I'm not trying to be prescriptive here. But more than if you had masters of assets to put forward a simple some of the parts analysis. It shows the value of the app we talked about this is always a debate with the lawyers and the fact that we've tried to provide for reasonably complete and hopefully simple version of that on July nine. I try to break this down and of course, we're happy to take questions the first two building blocks of values are our cash balance at q1 and the value of our publicly traded shares and telling it together those two numbers add up to about $16 per share again. That's just an objective number. We don't assign a specific value to our interest in Holland and switch to an on this page, but we do provide the necessary metrics for others to do that pretty easily.

You can choose your methodology. There are plenty of constables to measure against but we think you can get the five to seven dollars per share pretty easily for our interest in these two markets that supported by a former multiple oses at the low end and a 10% free cash flow yield on the high end. And if you were to use telling us multiple votes, you know, if you get somewhere in the middle, so again many will find their own numbers here and wage. You know, what are the point though? Is that our current trading levels around $21 plus my analysts have pointed out that you could arrive at that price on these three numbers alone. Plus are interested. In other words, the UK wasn't perhaps to it being assigned zero Equity value in our share price left inside of the home address that point they're showing just one way to look at the implied value of the transaction that we just announced. There are three simple elements here number one. Is he expecting that proceeds of 1.7 month?

I billion dollars which equates to roughly $3 per share. Then you have our 50% of the estimated synergies which adds up to about $6 per share. And finally there is an implied transaction value with the underlying Virgin Media business will be combined and we you know to read it. I just mentioned 18.7 billion pounds which after debt represents an implied value for the equity today around $14 per share of global if you had all that up you get to about $23 per share and that's just on the UK business. Now we understand is everyone will have a different view the different valuation approach that particular subject argue that the implied value a virgin the deal and then the combination is, you know, a challenging one or not. Not acceptable. We don't agree with that of course, but if you want to hear cut the deal * 20% off the mid sevens, you still get the $16 per share for the entire transaction. It's hard to argue that we don't have a considerable value Gap here and I think you're all capable of doing the math on your own home.

For a simple some of the parts analysis and shows the value gap, we talk about.

This is always a debate with the lawyers and the IR folks that we've tried to provide reasonably complete and hopefully simple version of that on slide nine.

Got to break this down and of course, we're happy to take questions. The first two building blocks of value our cash balance at Q1, and the value of a publicly traded shares and telling it together those two numbers at up to about $60 per share.

Again, that's just an objective and another.

We don't assign a specific value to our interest in Holland and Switzerland on this page, but we do provide the necessary metrics for others to do that pretty easily.

You can choose your methodology, there are plenty of comparable to measure against.

But we think you can get the five to $7 per share pretty easily for our interest in these two markets that supported by a 14 multiple uncle FCF at the low end by 10% free cash flow yield in the high end and if you will use telenets multiple dose you have to get somewhere to battle. So again, many we'll find a round numbers here.

To give you those components and hopefully clarify what we've been talking about for some time now and one more slide. He rendered immediate help round out the operating update now pass it to Charlie and until say there are more of an update slides like this in the back burner assets, but you'll see that we we tried to focus here on the data that we believe is most important for tracking progress in our core markets namely winning and retaining customers off mobile GB business. Secondly growing are poop the upselling crossover third driving fixed mobile convergence. We're also focused, of course on extending our Network reach and speed leadership. I'm driving cost efficiencies. In fact of the cost efficiencies side. We've been forced to accelerate to the transformation in our care and sales capabilities to be more digital to operate more efficiently and that's going to pay dividends on the other side, but there are a few visuals in the middle two problems here, cuz the impression that Virgin media's customer base has been largely stable and just under six million. In fact, the number is only moved about 20,000 customers in, Georgia.

What are the point those at our current trading levels or $21.

Plus minus analyst have pointed out that you could arrive at that price on these three numbers alone cash plus telenet stop.

Our interest in Holland, and Switzerland in other words, the UK wasnt, perhaps do it being assigned zero equity value.

In our share price.

Lets inside this chart, we address that point are showing just one way to look at the implied value of the transaction.

We just announced.

Our three simple elements here number one is the expected net proceeds of $1.75 billion, which equates to roughly $3 per share.

When you have our 50% of the estimated synergies, which added to about $6 per share and finally, there is implied transaction value for the underlying Virgin media business will be combined.

Quarters. Yes, as we showed the customer gains. We pick up and lightning or often offset by the customer losses and the equipment but the numbers are not significant in other directions. You can also see a strong customer arpu Trends the last five quarters.

And we know to greater just mentioned 18.7 billion pounds, which after debt represents an implied value for the equity today around $14 per share of Liberty Global if you add all that up you get to about $23 per share and Thats just on the UK business. We understand that everyone will have a different view that different valuation approach in particular.

You'll be here in in the in the first this is driven largely by price increases it again cross the line up. So but also underpaid my product Innovation and improved base management. We are continually seeking to enhance the value proposition for customers in this market with things like our next gen vis-a-vis except top box and Broadband speeds back in the past quarter. We boosted over 1 million customers to 100 Megs of broadband speeds are average speed across our base average speed to 140 megabytes just by reference for reference purposes. The rest of the UK Market is averaging consumer speeds of 30 megabits per second. So we are are average version customer is getting drop in speeds four or five times faster than the rest of the market and as we point out often 95% of that you can network is already willing to give ready and we've lost some speed across the major towns and the 30% of the footprint. I put us on track for Network wide coverage of 1 gig and twenty Twenty-One delivering 50% of the government's National gigabit ambition. Yep.

So might argue that the implied value. The Virginia deal is a combination is you know a challenging weather not not acceptable. We don't agree with that of course, if you want to haircut the deal multiple by 20%.

But it does in the mid Sevens, you still get the $16 per share with the entire transaction. It's hard to argue that we do have a considerable value gap here and I think you're capable of doing the math on your own and we just wanted to give you those components of hopefully clarify what we've been talking about for sometime now.

I don't want more slide here 30 media that round out the operating update I'll pass it to traits.

I will say there are more operating update slides like this in the back further assets, but we'll see that we we try to focus here on the data that we believe is most important for tracking progress in our core markets, namely winning entertaining customers across our fixed mobile BT business definitely growing ARPU beat Upselling cross over a third driving fixed mobile convergence.

Four years earlier. I think there's enough said they're now looking at email also been already focusing on cross-selling to mobile mobile. Is that the six days following the launch of converts new phone was about a year ago off the q1 postpaid net ads were good at 17,000. So it's mobile convergence is already working at virgin 22% fix mobile convergence ratio with plenty of room light remember telling it and go from Ziegler and made for Thursday. And as we all know if it's more convergence drives higher MPS and nurturing that is the fundamental rationale for the deal. We announced it in so it always a good start to the year for Virgin Media, even a lot of the ten Democrats unless the F margins are strong a 23% before lightning and 17% after our so customer base grew 7% and a team is managing through the headwinds. We identified at the beginning of the year, you know, the increasing Network taxes and just contract modification programme cost you been managing through those very very well. In fact MPS is up and is no deterrent is down. I think the group is really well positioned to come out of this code.

We're also focused of course and extending our network reach in speed leadership.

Driving cost efficiencies effect on the cost efficiency side, we've been forced to accelerate into the transformation in our care in sales capabilities to be more digital to operate more efficiently and that's going to pay dividends on either side. There are few good visuals in the middle two problems here to see firstly that Virgin medias customer base has been largely stable.

Just under 6 million in fact, the number is only moved about 20000 customers in five quarters.

Yes, as we show the customer gains we pick up in lightning were offset by the customer losses in the being used footprint, but the numbers are not significant another direction you can obviously, a strong customer ARPU trend the last by quarters.

We won't by 2% growth year over year as in the first quarter and this is driven margin and price increases and again cross sell upsell, but also underpinned by product innovation and improved based management, we are continually seeking to enhance the value for money proposition to customers in this market with things like our next TNBC Vsix set top boxes broadband speeds.

Doing very very strong enough for me. I'll pass it over to Charlie and then we look forward to getting your questions regarding thanks Mike. And now I'm going to page food divisional overview wife is giving you the key operational to go to media. And in the appendix. We've included similar Pages showing the key operational drivers for our other major fix mobile convergent businesses in the interest of time. We're not going to review these pages in our remarks today, Please do contact the oil team. If you want to discuss them server on this page, we set out the key financial metrics, which we are using to assess the performance of these national fmt champions. Our phone continues to be to drive o f c f or minus a crew cab and free cash flow as these markets mature in terms of broadband penetration now for Ratings, we've also included a pain in the ass view of 2019 free cash flow for each of our divisions after the allocation of interest and the central technology The Innovation capex, but for the court on this slide, I will focus on the Dead

The past quarter, we boosted over 1 million customers to 100, megabit broadband speeds, bringing our average speed across our base average speed to 140 Megabits.

Just by reference or for reference there versus the rest of UK market is averaging consumer speeds of 30 megawatts second. So we are our average Virgin customers getting Robin speech fortify times faster than the rest of the market.

As we point out often 95% of that UK network is already will get ready and we've launched so speeds across the major towns in the 30% footprint I put us on track for network wide coverage of one gig in 2021, delivering 50% of the government's national gigabit ambition for years earlier Theres enough said there.

As it was the team has also been already focusing on the cross selling to mobile mobile into the fixed base at selling lunch of to virtually almost a year ago and the Q on postpaid net adds were good at 72000 to fixed mobile convergence is already working at Virgin were at 22%.

Blowing ofc have trade-ins Iran year Revenue in the UK and Ireland slightly down 1.6% but whilst OCS declined three and a half percent ofc at before lightning construction capex increased eighteen million dollars to three hundred and seventy-two million dollars for the quarter. We increased our investment in lightning compared to 2019 q1 and spent $99 with 93,000 and released during the quarter. You have any place in Belgium with slightly down at North Point four-per-cent? We don't see if our point six.

Fixed mobile convergence ratio with plenty of runway remember telenet and order from zone and mid Fortys.

As we all know fixed mobile convergence drives higher NPS and lower churn as the fundamental rationale for the deal we announced today. So at all now is a good start to the year for there to media even in light of that endemic LFC at margins are strong a 23% before lightning in 17% after our sole customer base grew 7% and the team is managing through the headwinds we are.

You said and here when you're done 10 million dollars to a hundred and eighty seven billion dollars. It's John already explained on the telenet learning school. There was an acceleration in prepaid Sports rights costs and off-loading of topics and keywords contributed to this year-on-year ofcs decline, but for the full-year confirmed that extreme the effects of any lockdowns in the second half of the year that they expect to deliver full years based OS want to 2% on I-4 s basis and adjusted three cash flow the lower end of their previous 415 to 430 million euro guidance range issue. They will gradually exit the lockdown starting in May with a gradual economic recovery thereafter in Switzerland. You could see was caught up in the continuing price competition in that market which resulted in the acceleration decline in consumer and so customer offering this contributed to a 2.7% decline in Revenue. They also had an acceleration that prepaid Sports rights cost in the quarter as well as accelerated spending cap.

Identified at the beginning of the year the decrease in network taxes, and the contract modification prior quarter, because we've been managing through those very very well.

MPS is up and as noted turns down the I think the group is really well positioned to come out of this coated period very very strong so not for me.

I'll pass it over Charlie in that we look forward to getting your questions starting points monk a normal pace with divisional overview. Once is giving you. The key operational highlights of Virgin media and then the appendix. We concluded similar pages showing the key operational drivers for other major fix little promoting business in interest of time, we're looking to review these pages and era.

Thanks today, please do contact the our team if you will be discussed.

On this page, we set up the key financial metrics, which we are using two with the performance of these national FMC champion.

Our focus continues to be to drive Seattle, Rcs moments accrued capex on free cash.

Is contributing to a lower than fifty-five million dollars based on current expectations around the impact of covered. We expect cash generation to improve and the company remains on track to reduce the 170 million dollars of free cash flow for the full year which includes Central topics and Catholics allocations in Holland that offends you had a very strong quarter with Revenue growth of 3.3% ocf growth of 4.9% and ofc F250 eight million dollars as they are performed our expectations on virtually every operating metric showing the strength of these cogs National FMC Champions. They're not expecting stable too modest. We base those four year and have maintained their original free cash flow guidance of four hundred to five hundred million euros potential cash distributions. Again. This is seems no further deterioration has resulted public on the page and type of group overview. We set out the key financial metrics for the group as a whole.

Markets mature in terms of broadband penetration left for reference. We also included a page in the appendix. That's the answer our view 2019 free cash flow each of our divisions of the allocation of interest and the central technology integration Capex.

For the quarter Miss side, I will focus on the underlying CF trends year on year revenue in the you cannot into slightly down 1.6% will walk you have to come through the whole percent FCF for lightning construction, capex increased $18 million to $372 million for the quarter.

We increased our investments in lightning compared to 2019, Q1 and spent $99 million from 93000 earnings release during the quarter revenue growth in Belgium was slightly down at no 0.4%, we don't see if a 0.6% and year on year CFM $10 million to $187 million as generic explain that.

Latina earnings pool, there was an acceleration in prepaid sports rights costs.

If you decline no point three-per-cent to the quarter an improvement over declined to the previous four quarters, despite the impact of covid-19 also improved compared to the last three quarters of 2019 - 3.6% in line with our expectations OS continue to improve and excluding lightning construction capex was $593 for the quarter 669 million dollars a year ago the continuing reduction in capex intensity contributed this to the Catholics as a percentage of sales prior to letting construction capex at 19.4% off your previous phone quarters, the courtesy remains extremely strong cash, including our two billion dollar investments in separately managed accounts with seven point four billion dollars off as many of you know rsmas are invested in low-risk liquid Investments. Those are SMS and money market accounts are now largely invested in government securities as opposed to AAA funds, which will lead time.

Front loading capex in Q1, which contributed to this year on year after year decline over the full year confirm that excluding the effects are the lump bands in the second half of the year. They expect to deliver full year Rebased OCF CF day, 1% to 2%.

For us basis.

Adjusted free cash flow lower end of the previous 450 to 430 million euros guidance range. This assumes that they will gradually exit will look down spacing in may the gradual economic recoveries are often in Switzerland, GPC was caught up in the continuing trust competition in that market, which resulted in an accelerated decline and consumer.

So on customer off this contributed to a 2.7% decline in revenue. They also had an acceleration in prepaid sports rights costs in the quarter as well as accelerated spending capex contributing to a lower oil FCF with $55 million.

Based on current expectations around the impact of public we expect cash generation to improve in the country remains on track to producer on hundred $70 million or free cash flow the full year, which includes central Opex and capex allocation.

Dakshin an interesting campaign for it but ensure maximum security for the cash or the available revolving credit facilities in our operating companies the group as a whole has ten point three billion dollars off the team leverage at the end of the course. It was 5.2 times gross and 3.7 times net have a DA the cost of debt continues to decline as we continued our refinancing program during to 1.1% with an average life and excessive 7 years on the page title adjusted free cash flow. We lay out the key components of free cash flow Q one. Oh fox19 construction Camp X was $595 and our net interest for the quarter was 579 million dollars. We may actually all our interest payments in q1 and Q3 off. This phasing is in line with our expectations cash tax was positive for the quarter of five million dollars and we expect a full year twenty-twenty figure to be lower than the full year 2019 figure of 350.

It home because they got a very strong quarter with revenue growth of 3.3% LCF growth of 4.9%.

For $258 million as they outperformed our expectations in virtually every operating metrics showing the strength of the converge national FMC champion.

Now expecting stable to modest Rebased OCF growth with full year, but maintain their original free cash flow guidance of 400 to 500 million euros potential cash for shareholder distributions. So again this assumes LIFO Deteriorations result equivalent.

On the page in talking grid edge that being said have the key financial metrics for the period as a whole revenue declined 9.3% for the quarter an improvement over the declines the previous full quarters. Despite the impact of covered 19.

Correct also improved compared to last three quarters between 19 amounted to 3.6% in love with a pre covered expectations.

A million dollars, did you too?

U.s. Tax payments the distributions of the eleven million dollars for the quarter but we continue to expect full-year distributions of two hundred two hundred million euros in line with vodafone's that goes off. This is typically the case in q1 working capital was negative and two hundred million dollars largely due to the phasing of end up financing program and Asthma 2019. We continue to Target wage rules net working capital flows the air adjusted free cash flow before lightning construction cat bags was negative $218 for the quarter and negative $317 off after construction context which again was in line with our expectations set into the outlet to the school year. We're still assessing the media and turning back from covid-19 and will give investors a further update at home despite the invite to call but we continue to be encouraged by operating prospects. And unless there's another step change in the macroeconomic environment. We don't see a need to change or suspend or original for your birth.

Oh, FCF continue to improve and excluding love the construction Capex was $593 million for the quarter up from $569 million a year ago. The continuing reduction in capex intensity contributed that capex as a percentage of sales product lumpy construction capex at 19.4% lower than.

Previous full quarters.

Liquidity remains extremely strong cash, including our 2 billion dollar investment in separately managed accounts with $7.4 billion now as many of you know our estimate is our invested in low risk liquid investments.

Estimates on money market accounts are not allowed to the invested in government securities as opposed to AAA funds, which will lead to a reduction in interest income going forward, but ensure maximum security for the cash will be available revolving credit facilities and operating companies the group as a whole at $10.3 billion of liquidity.

As detailed in the slide and note that our current assumption is that lockdowns are lifted from Q2 thought about gradual economic recovery and also that are original 1 billion dollar pre cash flow guidance was based on a stranger's a 1.13 Euros $2 and 1.33 dollars Department. Although we don't guys are rebates Revenue growth. We do expect negative impacts to revenue from reduced handset sales and premium package particular schools. But both of these are relatively low-margin and have a limited impact on cash flow. We will continue to monitor the impact of the crisis on these forecasts and update you further include to so with that. I'll turn it back to the operator. And in order to address everyone's questions, you would kindly ask that. You keep to one question each

Leverage at the end of the calls that was 5.2 times gross and 3.7 times net EBITDA the cost of debt continues to decline as we continued our refinancing program during Q1 and now stands at 4.1% with an average life and excessive seven years.

On the page started adjusted free cash flow, we lay out the key components of free cash flow Q1, offset for luxury construction capex was $595 million and on net interest for the quarter was $571 million it make virtually all our interest payments in Q1 in Q3. So this facing isn't along with our expert.

Stations cash tax was positive for the quarter of $5 million and we expect the full year twentytwenty figure to be lower than the full year, 2019th pick up $358 million, partly due to reduced us tax payments the distributions in the JV in Holland $11 million the quarter, but we continue to expect full year distributions in 200.

The question and answer session will be conducted electronically. If you'd like to ask a question. Please do so by pressing the star key followed by the digit one on your phone in order to accommodate everyone. We request that you ask only one question with one clarifying follow up if needed. If you are using a speaker phone, please make sure your mute function is turned off to life to reach our equipment will pause for just a moment to get everyone an opportunity to join the queue.

Let's turn instrument in euros, and along with Vodafone Ziggos recent guidance as is typically the case in Q1 working capital was negative in terms of $2 million largely due to phasing of vendor financing program and as many 19, we continue to target broadly flat net working capital flows to the year adjusted free cash flow before lunch.

Construction Capex was negative $218 million for the quarter and negative $370 million off the construction Capex, which again was in line with our expectations since the outlook for fiscal year, we're still assessing the medium term impact from club at 19, and we'll give investors a further update to Q2 despite the.

And we'll go to our first caller.

Yes, hi is Robert Roberts so one question so I'd like to ask for that but Jake structure and why you chose that rather than say a majority stake. Was this the only game in town or was it as you mentioned about confirming a positive Equity value for VMax what structure also interesting given you're thinking about an extended fiber bills program obviously tests a lot of cyber experience. Is that something you are aligned on? Thank you.

In Pensacola, we continued to be encouraged by operating prospects and unless there is another step change in the macroeconomic environment, we don't see a need to change or suspend or routine full year guidance as detailed on the slide and note that our current assumptions is that knockdowns are lifted from Q2 sort of our structural economic recovery and also with our original one.

On a dollar free cash flow guidance was placed on exchange rates of 1.13 euros to dollars up a 1.3 $3 to plant. Although we don't guys are rebased revenue growth, we do expect negative impacts to revenue from reduced handset sales and premium video, particularly sports. Both of these are relatively low margin and have a limited impact on cash flow.

Okay, that's three questions. Let me see if I can jump into those. There's always multiple ways to approach a transaction like this or or a strategic move like this month, but this felt to us like the best outcome and the best partner for all kinds of reasons and I've talked about those in the remarks. I just made so so you've heard that and we're comfortable as I mentioned with the structure who have experience with them. It's worked exceedingly. Well in Holland with vodafone's been a great partner. And so this was the the transaction that was presented to us or that we we also offer well went outside. And and in the one we think will be, you know, most of creative and and most advantageous so sure there's always different ways to do it had nothing to do with what you were describing. The value was a guy you once you decide how you're going to approach a partnership then you agree on value. It's not the other way around. I don't think it was driven by value wasn't driven by anything. Other than that. It wasn't obviously the only game.

Turning to monitor the impacts of across some of these forecasts and update you further in Q2, so with that I'll turn it back to the operator alluded to address everyone's questions. We will convey off that you keep to one question each.

The question and answer that will be conducted electronically.

I would like that.

Please.

Hey, Matt Star.

All.

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In order to accommodate everyone. We request that you off.

With one clarifying follow up.

Are you.

Please make sure.

First off providers.

Just a moment you get everyone an opportunity.

Down there are multiple mobile operators in this market without fixed infrastructure. So clearly they were other options. But again, as I said, we felt this was the best option and you know credit to telefonica for also being quite interested in focused on this it would be the best fit. It doesn't change anything with Rod back to our uh, you know, the level of excitement we have around project lightning or network extension in the market it it takes nothing off the table. In fact, I would argue and I think he'll telephone who would agree to see increases our confidence level in looking at a national scope or extending convergence best-in-class network box how you achieve that refinance that and how we how aggressive we are with that at all to be determined but I think the main takeaway is it doesn't change our level of excitement it takes nothing off the table.

And we'll go first caller.

Yeah, Hi.

Robert Grindle <unk>.

Robert from Deutsche Bank.

Hey, Robert.

Yep. So one question, so I'd like to talk about but JV structure and why you chose bops rather than say a majority was the theme and again and Tom or was it as you mentioned about confirming a positive equity value for remarks.

What the JV structure, all current truck thing given youre thinking about an extended fiber builds program, obviously tough got a lot of fiber experience is that something you are aligned bump hunter.

Okay. That's three questions, let me see if I can jump into those.

There's always multiple way to approach.

The transaction like that's or or strategic move like this.

I would say it only enhances our ability to be strategic, you know, and you know financially aggressive and makes sense in terms of looking at our network box and in the opportunities that we discussed historically.

But this fell to a like the bad outcome them. The best partner for all kinds of reasons and I've talked about those on the remarks I just made though so you've heard that and we're comfortable as I mentioned with these structures, we have experienced with them. It's worked exceedingly well and Holland with Vodafone has been a break partner.

Hold on next to Jeff holder check. What's the middle research? Which good morning. How reasonably cop is your boss operating strategy Synergy outside and I think obviously leverage levels at vodafone's ego that JV to what you sort of expect from this deal. And then if I could speak one in about um, um, the back book repricing in the UK and how that's going relatively expectations Banks.

And so this was the transaction that was presented to us or that we also went out and sought and the one we think will be a you know most accretive and most advantageous so sure. There's always look different ways to do it had nothing to do with what you're describing the values of value. Once you decide how you're going to approach. The partnership then.

I agree on value, it's not be the way round I don't think it was driven by value was driven by.

In other than that.

It wasn't obviously the on the game in town.

Let you can prepare for the back of the pricing issue. The punch line is in line, but the there are lots of things that are similar issue transaction to the Vodafone to go transaction. Obviously the structure itself. There are often many big differences too. Of course in terms of you know, the size of the market and the competitive landscape that we that we find ourselves in on the other hand, you know, it is a similar playbook for us. It's one we're quite familiar with so our approach to synergies our approach to integration with our approach to strategies to drive revenue and convergence are quite similar and you know, it would surprise us if down the road to companies together are achieving similar outcomes. It's possible here. We might even exceed the convergence levels that we see today in Holland which our mid-40s it could be dead.

There are multiple mobile operators in this market without fixed infrastructure. So clearly there are other options, but again as I said, we thought with what the best option.

And.

Credit to Telefonica for also being quite interested in focused on this.

Everyday, but the best fit it doesn't change anything with respect to our.

You know the level of excitement we have around project lightning or network extension in the marketing it take nothing off the table.

In fact, I would argue I think telefonica would agree this increases our confidence level and looking at a national scope or extending convergence best in class network. How you achieve that how we financed that and how we how aggressive we are all to be determined but I think the.

Main takeaway is it doesn't change our level of excitement it takes knocking off the table I would say only enhances our ability to be strategic.

In this market a lot of it has to do with what how the market evolves.

Generally and how competitors react over time? I don't believe they'll be any reaction. That's worthy of discussion in the short-term or even the medium-term perhaps but how the market evolves over the longer terms what wage I'd simply say we're when we put the business plan together at least from our perspective. We were very conservative about the Standalone mobile business and the challenges that it might face and we were very appropriately conservative about our own business, um, just to be you know, thoughtful and and and not too ambitious and I think when you put those two businesses together you back as soon as you through that that business plan it is very creative and and quite attractive and that obviously drove the transaction. So I think I think with very conservative assumptions on either of business with the synergies, which I think as you point out are probably conservative certainly, it's the lower one of the lowest if not the lowest percentage we've seen in the eight countries or dead.

You know and.

Financially aggressive it makes sense.

In terms of looking at our network.

And the opportunities that we discussed historically.

Okay.

Mhm.

[noise], we'll go next to Jeff Wlodarczak pivotal research.

Uh huh.

Good morning, how we look how reasonable comp is your your operating strategy synergy upside and I think obviously leverage levels.

At Vodafone. So you go that JV to what you sort of expects from this deal and then if I could sneak one in about.

On the back book repricing in UK, how that's going ROE expectations. Thanks.

And let you can prepare for your backup repricing issue, but punch line is all in line, but the they're up there are lots of think that are similar in this transaction to the Vodafone debit transaction, obviously the structure itself.

Countries involved it FMC transactions now, but you know, there's good reason for that is transaction came together a relatively quickly. We want it to be thoughtful and and you know, not over-promise. We've never missed a Synergy budget, you know that Jeff or Synergy Target fact, like almost every case. We've exceeded our Synergy budget and Target. So this should be the same.

They're often made big differences to of course in terms of you know the size of the market and the competitive.

Landscape that we that we find ourselves and on the other hand, you know it is a similar playbook for US. It's one were quite familiar with so our approach to synergies.

Our approach to integration our approach to strategies to drive revenue.

End of contract with education. So we headed out in the market since February 10th. The churn metal is exactly what we have planned for. So how many am I called again? And how many customers decide to leave and then the second liver is how much discount do you offer to keep the customer connected and the discount we have offered so far. It's only one third of what we have planned for. So therefore it is altogether slightly better than me at home. But the copy of together is like we are only six weeks into it and the quarter and also that was pretty cool. Yep. And and so that might change so therefore we we stay cautious but I have to say all the market was pretty competitive and March and in February 9th.

And convergence are quite similar and it wouldn't surprise us it down the road. These two companies together are achieving similar outcomes as possible here, we might even exceed the convergence levels.

That we see today in Holland, which are mid Fortys.

It could be that higher in this market a lot of it has to do with what how the market evolves generally and how competitors react over time I don't believe will be any reaction that's worthy of discussion in the short term or even the medium term, perhaps but how the market evolves over the longer terms, what what's critical I'd simply say were when we put the business plan together at least from.

Our perspective, we were very conservative about a standalone mobile business and the challenges that it might take some we think we were very appropriately conservative that our own business.

Just to be thoughtful and not a too ambitious and I think when you put those two businesses together he drive synergies through that that business plan.

slightly better-than-expected

Thank you.

next Tuesday vedrai Che with Bank of America

It's a very accretive and quite attractive and that obviously drove the transaction.

Thank you, Jeff for taking the call and make you if I could maybe express some gratitude. I guess more generally for the salary sacrifice that cetera in in light of covered. My question is just on the UK joint venture and Spectrum costs. There is a UK Spectrum auction forecast, which probably should be this year could be next year. Should we expect in the event of any delays that that is cost at telefonica will bear or is there a risk that that could drop into the into the JV? Thank you.

So I think I think with very conservative assumptions on either business.

The synergies, which I think as you point out are pretty much probably conservative certainly it's below one or less if not the lowest percentage we've seen in.

Eight countries are seven countries within above the FMC transactions now, but you know there's good reason for that transaction can you got a relatively quickly we wanted to be thoughtful and.

No not over promise, we never missed a synergy budget, you would know that Jeff or synergy target back with I think almost in every case, we've exceeded our synergy budget and target. So there should be the same.

On and off contract clarification. So we have at the other than the market since February but.

Thanks very much, David.

The Ivy the press release reference to this but it might not have a chance to get through it or seen it but the basic deal is that telephone will bring to the JV the spectrum that we both believe is necessary to achieve the plan at their cost

The chart on level.

What we have done before well I'll, let me cover some of our calling an album Cup. The mob. Besides the leap up and then secondly, you where it's how much. This combs do you have to keep the coppermark.

Connected and this column, we have so far it's only one oh, yes.

So that was the arrangement that we reached early on and so they'll deliver to the JV at their cost the Spectrum when that option occurs. We obviously we have we have not been able to discuss this with them in any detail. It's a very complicated and if we quite careful so we don't know what they're doing. We don't have any real understanding of what they may do but you know, whatever they end up end up with to be at their cost. I just maybe extending on your comment on on lightning and you know, you've been very vocal with the received on the volte option of lightning and stretch it out at cetera. It's kind of dropping in at ten times ebitda into the steel. How did you kind of think about valuing life independently of the kind of steady-state view net cable infrastructure?

So therefore, it all together like.

The FX that.

But the caveat to that is right. We are only six weeks into it.

And that Walter and Oh, it's all that was pretty cold it.

And so that might change so therefore, we stay cautious.

But I could say all but the market was pretty competitive March and in February that we're doing I.

I'd be better than expected.

Thank you.

The next to David Wright with Bank of America.

Hello.

Thank you jobs for for taken Nicole and my Kim if I could maybe oh.

Yeah, good question, you know look at I think we each had some assets on the each side of the deal that we you know could have argued for different values. They have of course their Tower down in the UK which you know, they thought at one point maybe would be better outside the JV we had the lightning transaction, but we both agreed that this is going to be a long-term partnership that we should be doing things inside the partnership. It makes perfect strategic sense and operational sense and financial sense. So let's just say that, you know, the valuation was uh, you know considered but we didn't get into that kind of granularity when it came to you know, this is always a negotiation in terms of identifying exactly what lightning reference, you know, includes adults include and we didn't do this. We did, you know, probably approach them early on their on their telephone.

Express Soma gratitude, I guess more generally for the salary sacrifices et cetera, and lights of covered my question is just on the UK, our joint venture and spectrum costs.

The UK spectrum.

Our auction forecast, which probably shouldnt be this year could be next yeah, I should we expect any events of any delays or that is cost. The telefonica go back or is there a risk that that could drop into the end to the JV. Thank you.

Thanks, very much stated.

The probably the press release reference to this but it might not have went out of a chance or we get to it or seen it but.

The basic deal is that telefonica will bring to the JV.

How useful. Thank you.

The spectrum that we both believe is necessary to achieve the plan at their cost.

the next to Michael Bishop with Goldman Sachs

So that was the arrangement that we reached early on and that so they'll deliver to the JV at their cost the spectrum when that auction occurs and the obviously, we oh, we have not been able to discuss spectrum that them in any detail it with a very.

Yes, I'm just those two very quick questions correctly now effectively sitting on a large cash balance off in this tale, I guess assuming any of your cash or just love to hear your latest thoughts on how you think about managing that cash balance effectively with this transaction not consuming cash and then Super quickly you could I just follow up on the last question. Clearly. You've been clear that lightning is going into the JV, but I just going to ask of a follow up on top of that fiber company that you set up and just I noticed that the ten billion of capex over the next five years commitment doesn't really implicitly assumes that you're necessarily announcing anything with regard to the seven million extra energies identified and also the the fiber joint venture and those discussions. So any update that would be great things God.

Complicated and has been quite careful so we don't know what they're doing well and we don't have any real understanding of what they may do but but the you know whatever they end up end up with it'll be at their cost.

Mike just maybe extending on your comment on lightning and.

He you've been very vocal with a perceived undervaluation of lightning stretched out et cetera.

It's kind of dropping in at 10 times EBITDA and there's still a how did you kind of think about in valuing lightning independently as.

The kind of steady state Medicaid will infrastructure.

Yeah. Good question, you know look at I think we each had some assets on the on each side of the deal that we could have argued for different values are they have of course, there tower that interests in the UK, which you know they thought at what point, maybe it would be better outside the JV, we had the lightning transaction, but we both agree that this is going.

Sure. Well the second Point yes, you know any anything we pursue or anything. They pursue that would normally be considered a JV activity is likely going to be in.

To be a long term.

Baby activity so so Liberty fiber is as you describe. It is is certainly something we would pursue through the joint venture and I think as as a movie I said on his call. These are the these are the issues will address, you know them together in terms of pace and speed and financing structure and opportunity. In the meantime, you know, we'll continue with lightning. In fact, we think we might exceed our budget on Lightning. You know, I'm kind of course choose to spend more or less if you know and closing it just works out and looking Capital but I think for the most part you should assume that the JV will jointly address these strategic opportunities and you know Capital will come from both parties as a result of that on the cash balance. I think will remain disciplined as we have remained disciplined. As I said, nobody anticipated this environment, you know, we always said you never know what the future is going to bring and and you know, this was not something any of us hope for and and on the other hand we're thankful to be liquid.

Partnership that we should be doing things inside the partnership it makes perfect strategic sense and operational sense and financial sense. So, let's just say that you know the valuation was you know considered but we didn't get in that kind of granularity when it came to yeah. This is always negotiation in terms of diversifying exactly what light.

Inc. referenced it includes the doesn't include limited due to the into probably approach that similarly on them on their towers okay.

Thank you so thank you.

Mhm.

Well go next to Michael Bishop with Goldman Sachs.

Yes, Thanks, Justin both two very quick questions Firstly.

Youre now effectively sitting on a large cash balance given the steel.

Considering any of your cash I just love to hear your latest thoughts on how you think about managing that cash balance.

Thankful to have cash and will remain disciplined on how we deploy the cash. As I said and have said the first order of business is our core markets and where we know in the already off that will remain the case secondly will look you know within the region we operate in to be you know, look for opportunities for consolidation or other similar convergent strategies would say we have as we talked many times. It's Ventures portfolio. Not big, you know, maybe a billion of interest in investing assets that we own and Tech and content and so we'll we'll we'll be careful and thoughtful about opportunities to build new revenue streams in new investment portfolios and new and new business opportunities, but I think we'll do that carefully and with great urgency and probably wouldn't require the kind of capital that we have. So, you know, this is the a good problem to have it's a good question to be focused on for us, but it's not something we can give you a job.

With this transaction not consuming cash I'd say for quickly could I just a follow up in the last question clearly you've been.

Create a lightning is going into the JV, but I'm just going to ask a follow up on grew about five.

The company that you set up.

Just I notice that the 10 million of Capex or the next five years commitment doesn't really implicitly, saying I'm just a modeling that.

Sadly.

Announcing anything with regards to the 7 million extra LNG Darden Quad and also the fiber joint venture on those discussions so I'd have to be quite quickly.

Sure one the second point, yes, you know any any thing we pursue or anything they pursue that would normally be considered a JV activity is likely going to be a JV activity. So so liberty fibers. You. As you described it is certainly something we would pursue through the joint venture and I think as Jose Maria said on his call neither the diesel.

For Clarity on the net as we sit here today Michael, but you know stay tuned.

The issues will address a you know.

Together in terms of pace and speed and financing structure and opportunity in the meantime, we'll continue with lightning in fact, we think we might exceed our budget on lightning.

Thanks a lot.

Yeah, of course. I didn't mention in that. You know what we have used historically our excess Capital full and that is BuyBacks. I did mention in my remarks if that is always on the list for our liquidity growth strategy. And as we start to drive free cash flow and free cash flow per share clearly, you know, that's an accelerator of free cash flow per share. But you know again, we we're not being on this call. We're not going to be you know, uh, I can give you any details about that. Obviously, we know we won't let you know.

You know we can of course.

Choose to spend more or less which we know clothing, just works out and working capital, but I think for the most part you should assume that the JV will jointly address these strategic opportunities and capital will come from both parties as a result to that on the cash balance.

I think we'll remain disciplined as we have remained disciplined as I said nobody anticipated. This environment you know we always said.

You never know the future gonna, bringing and you know this was not something any of us.

I know we probably got a lot of questions. So just for everybody's benefit and our remarks when a bit longer. We're going to keep the Line open. I'm sure you've got plenty of calls to get onto and off, but I think we'll probably try to keep you lined up for 10 to 15 minutes to be sure we get to a few more questions since we we were bit longer now remark today, so go ahead operator Google next to mine first with Morgan Stanley.

For and on the other hand, we're thankful to be liquid and we're thankful to have cash and we'll remain disciplined on how we deploy the cash.

As I said and have said the first quarter of business is our core markets and where we know and he already operate that will remain the case.

Secondly, we will look you know within the region, we operate in the B.

Thanks. Good morning. Everybody. Call me. Mike wanted to assuming you are somewhere where it's morning checked may not be the case. But I wanted to ask about tax implications of static you guys announced you're moving effectively all the tax allowances, et cetera into the JV. You know, you guys I think originally reincorporated am in the UK, please partly for the tax benefits and just wondering how that what the tax structure and tax leakage. If anything of the JV will look like I'm assuming they'll be not much anytime sooner and then implications if any for the Consolidated operations Switzerland, uh, that'll Lux cetera in terms of tax cash taxes as a result of this deal.

You know look for opportunities for consolidation or other similar convergent strategy that would say.

We have as we've talked many times its ventures portfolio not big you know, maybe a billion of interest and listing assets that we own tech and content and so we'll we'll we'll be careful and thoughtful about opportunities to build new revenue streams.

In new investment portfolios in new and new business opportunities, but I think we'll do that carefully and with great transparency and probably wouldn't require the kinda capital that we have so.

You know we're this is a good problem to have that's a good question to be focused on for us, but it's not something we can give you any more clarity on that as we sit here today, Michael but a in a stated.

Okay, there's no implications to other assets the UK tax losses have always been largely ring-fenced within the UK and only usable UK by UK entity. So it's a no implications at all for the other operations. I'll simply tell a tax structure won't be surprising to you. I think it's quite efficient wage. We don't uh without getting into great detail, you know, there shouldn't be any tax implications on formation of the joint venture the losses that exists will be transferred and you know, the best of our ability used by the JV there are some you know as ever some nuances there, but for the most part, you know, it's a very tax-efficient transaction really for both parties and certainly for us and we're we're not we don't see any leakage of the kind you describe. Okay, and then just a quick follow-up on on Virgin maybe 4 Dead.

That's all.

Now of course I didn't mention in that you know what we have used historically.

Our excess capital for Natus is buybacks I did mentioned in my remarks that that out as always on the list for our Levered equity growth strategy and as we start to drive free cash flow and free cash flow per share clearly you know that's an accelerator of free cash flow per share, but you know him yet we're not being and on this call we're not going to be.

You know.

Patrick will give you any details about that Oxaydo on you know, we'll let you know.

Oh, I know, we probably got a lot of questions. So just for everybody's benefit in our remarks went a bit longer were going to keep your line open.

I'm sure you've got plenty of calls to get onto and but I think we'll probably try to keep lineup for 10 15 minutes to be sure we get to a few more question since we.

We were a bit longer in our remarks today. So go ahead operator.

What's the pricing environment look like at this point? Obviously, you know, you've got a lot of stress in the economy. Just wondering from a competition point of view of things have continued to be as tough as they've been or if we've seen it. You've seen any of your of The Operators you compete with get a little more, you know rational. So to speak even just the the focus on the macro and pressures on things like liquidity Etc.

Yes, well go next to Benjamin Swinburne Morgan Stanley.

[noise] that.

Yeah.

Thanks, Good morning, everybody for like.

I wanted to assuming you are somewhere where it's more like checks may not be the case, but and wanted to ask about tax implications of all the stuff that you guys announced you're moving.

Effectively all the UK tax allowances et cetera into the JV.

Let's go ahead. So yeah, so I think in February and March maybe because of the start of end of contract interpretation. I would say that the Mark was even a bit more competitive. So when you compare the deepness of discount three years ago, this comes were 5 to 10% off speaker and then now after cool with obviously and it's right sales are down. I mean, I'm not so much wage is still operating on 80% trade level and churned and down dramatically, but in this environment, obviously you are you are less aggressive internet promotion. And so I would say it was a bit more aggressive and we kept our strategy right? So you see that the

Yeah, you guys I think originally we incorporated over in the UK police, partly for the tax benefits and just wondering how that.

What the tax structure and tax leakage, if anything of the JV will look like and assuming that may not much anytime soon and then implications if any for the consolidated operations, Switzerland.

Benelux et cetera in terms of tax cash taxes as a result for the steel.

Okay.

There's no implications to other assets a the UK tax losses have always been largely ring fenced within the UK and only usable.

UK by UK entity, so to no implication, but off for the other operations.

I'll simply say on the tax structure wont be surprising to you I think it's quite efficient.

That we don't.

Without getting in great detail.

You know there shouldn't be any tax implications on formation of the joint venture the losses that exist will be transferred and you know to divest our ability used by the JV their awesome.

our customer

Yeah, I'm looking to create really a customer relationship with high-value customer. You will not looking for the lower than the Broadband you were not looking for the lower end in the video. And so therefore the service Revenue out of that was up 8% and the option blue one. 2% and this is exactly are non-strategic. Thank you.

As ever some nuances there, but for the most part its a very tax efficient.

Transaction really for both parties and certainly for us and we're not we don't see any leakage of the can you describe.

Okay, and then just a quick follow up on our virginity philosophies on.

What's the pricing environment look like at this point, obviously, you've got a lot of stress in the economy. Just wondering for local competition point of view of things says Oh, what would it continued to be as tough as they've been or if we've seen if you've seen any of your or the operators you compete with get a little more rational so to speak given.

The next Tuesday J Jam, whatever car.

Hi, Mike, just wanted to structure. Now that most of your values are in in in the UK and Holland Performing for this transaction and about a billion a month and remaining Consolidated assets how you know in terms of transparency and value recognition. Obviously, you make a case for that presentation. You know, how we going to sort of track the performer javies and are you like the risk of getting a discount because most values are in equity stakes and have you thought about you know, tracking stock or any shows that can you know off the value of those assets that we don't for the Sienna Consolidated basis.

Just the focus on the macro pressures on things like liquidity et cetera.

Let's go ahead so.

Yeah. So I think in February and March and maybe because of the startup and of contract which is occasion I would say that the market was even a bit more competitive so.

When you compare that that's off discount to a year ago. This comps were 5% to 10% deeper and then now after cool would appear to me. Its oh right sales are down I mean, not so much. So we are still.

Yeah, good question. We did try to address it a bit in the remarks but it's worth repeating that you know, this does change it takes our largest Consolidated business and home and puts it into a JV. And so that does obviously have accounting and consolidation application. However, because it's our largest business, we will report quite extensively on business wage. So I don't see any reduction in transparency around the core operating companies. So so so firstly I would say you get you should be able to to see through the structure and we will Endeavour to report on the businesses in much the same way with you know, arguably as much or more detail. So I think we'll be we'll be we'll be focused on transparency for investors on the actual operating businesses how they're performing and we'll quite engaged of course and all of these and and how they do so that's point one point to you know, you know virgin wasn't a public company wanted Dead.

Operating or on 80% traits level and sure on when fell on dramatically, but in this environment. Obviously you are you are less aggressive in terms of promotion.

So I would say it wants a bit more aggressive and we kept our strategy right. So you see that we kept our custom up flat, we're looking to create really and customer relationship with high value customer.

We went up looking for the lower them in the broadband we were not looking for the lower end in the video and so therefore, the service revenue out of that was up 8% and the opposite.

30% own religion or whatever are unable to maybe is won't be a public company when we start to JV but down the road, you know, there could be opportunities and they said to create kind of things or or uh structures that that identify and isolate value and and I think show value more more creatively and more effectively bought nothing's off the table and you'll be retained as we you would expect you did retain the ability to perhaps create trackers or things of that nature. So in the in the you know, how long tradition all options are available to us to ensure we're getting transparent value, but will be thoughtful about that over time. It is the right point which is why we spend a few more minutes of you normally would on structure a value creation and and holding Company discounts. That's your expertise. I don't think so. I would argue for it obviously, but you know, we can't log

Warmed up 2% and this would exit levels credits.

Thank you.

Well go next TV, Jason with Evercore.

Hi, Mike.

Wanted to any obviously.

Trucks are now that most of your values are in JV than in the UK Holland pro forma for this transaction in about a billion of EBITDA on the remaining consolidated assets. How you know in terms of transparency and value recognition, obviously, you make a case for that.

Today's presentation, how are we going to sort of track the performance of the JV then are you.

The risk of getting sort of a discount because most value without an equity stakes and have you thought about tracking stock when it goes back and so the value of those assets that you don't sort of piano consolidated basis.

Yes. Good question, we did try to address it a bit in the remarks, but which worth.

and at this point in time

You know, we would take a holding company discount if somebody valued the stock correctly, you know, so I think it's it's all relative and we'll have to see how we go.

Repeating that you know this does change it takes our largest consolidated business and puts it into a JV. So that does obviously have accounting and consolidation application. However, because it's our largest business. We will report quite extensively on business and so I don't see any reduction in transparency.

Thank you. You got it.

the next to pull the tank with UBS

Yeah.

Yeah, I just have one question and that is that's a deal with though to preclude doing a cable wholesale deal or a fiber TV with Sky or is this just not a priority at the moment? Thanks.

But around the core operating companies. So so personally I would say you get you should be able to <unk> to see through.

The structures and we will endeavor to report on the businesses in much the same way with you know arguably as much in more detail. So I think we'll be well be will be focused on transparency for investors on the actual operating businesses, how they're performing and we're quite engaged of course and all these and pet and how they do so thats 0.1 points.

Well, I think so as I tried to say at the beginning of of the Q&A nothing's off the table. So I think the direct answer is no, you know, we don't need that this transaction either as it's pending or or when closed creates any obstacles to Smart opportunities. I'm not going to comment on that one specifically you'll simply say that it doesn't take anything off the table, you know, legally structurally. We don't believe from a regulatory point of view. So it will be all the way the conversations that we were having and all the ideas that we were discussing. I think remain and can be in the executed on if they make sense. So that goes for the month, you know, the the the lightning build-out it goes for strategic Partnerships with other operators. If they if they make sense it goes for you know, all the kind of things that we know can be but creative and strategic.

Do you know.

You know Virgin wasn't a public company when it was 100% on Virgin L. to whatever.

And then what maybe is won't be a public company when we start to JV, but down the road you know there could be opportunities and let's add to create.

Your public listings or or.

Structures that that yeah.

Hi, identify and isolate value and and I think show value more more creatively more effectively.

Nothing's off the table and you retain as we would expect we did retain the ability to perhaps create trackers or things of that nature show in the in the you know Liberty tradition.

All options are available to us to ensure we are getting transparent value.

Valuable for the group. We still believe can be evaluated and considered.

I will be thoughtful about that over time. It is the right point, which is why would that be more minutes and you know what on structure and value creation and a holding company discount that's your expertise.

I just clarified that should be a timing for the deal. I can I just clarify the timing to do more now and just just give it a covid-19 situation something change on your part in terms of what's cards and I'm now doing it to deal with a change on Discord. Can you maybe give some trouble? Yeah, you would imagine this didn't come mean the crisis that were all facing now and with the pandemic obviously is off what recent this is. These are conversations that go back sometime. So, you know as as discussions and negotiations have momentum you keep the momentum I would say definitely we didn't see anything in the office environment that suggested we shouldn't continue with this opportunity as opposed to the environment stimulating the opportunity to go way around the opportunity. It was always there and we didn't see anything created an obstacle or that should slow it down. So it's really nothing to do with the current environment. It just the timing is pointed out.

I don't think so I would argue for it obviously a.

But you know certainly can't at this point in time.

No we would take a holding company discount if somebody died stock correctly [laughter].

So I think it's a it's all relative and we'll have to see how we go.

Thank you.

Got it.

Well go next to follow thanks.

Yeah.

Yeah, Hi, It just had one question and that is such a deal with her to preclude doing it April oakdale deal or fiber JV with sky or is this just our priority at the moment like.

Well I don't think though as I tried to say at the beginning of the Q a.

Nothing's off the table.

Yep. Well the next two new Clio. Jen

So I think the direct answer is no.

We don't believe that.

This transaction either as its pending or or when closed create any obstacles to smart opportunity I'm not going to comment on that one specifically I'll simply say that it doesn't take anything off the table or you know legally structurally we don't believe from a regulatory point of view so there will be.

The afternoon light Charlie was just a very quick one on the Swiss prices, please. I'm pretty I'm pretty weak is called here. Is that just a cool that impact maybe with some sports and all I can remember is that something should expect for the rest of the year with some pretty structural pricing pressure points.

I don't know if that piece is on the call. Yes. I mean if you want to quickly. Yeah, I'm in Switzerland in February one thousand. So the market stays competitive and we try to find the right balance between volume and value there and that's the answer and I think Charlie was very clear. We think we would get 100 million cash flow out of this business this year and the underlying parents are all improving. We are open high customer satisfaction now completely gone very welcome to that sends the next quarter you will see them on top of that. We had a major simplification program launched that will kick in the common chords.

Although the conversations that we were having and all the ideas that we were discussing.

I think remain and can be can be executed on it they make sense. So that goes for the by that you know the lighten build out goes for strategic partnerships with other operators if they if they make sense that goes for all kind of things that we know can be accretive and strategically valuable for the.

Group, we still believe can be evaluated and considered.

Well just talk by they shouldn't be a timing for the deal that's caused by the Palestinian why now that you just it just given the cobot 19 situation did something change on your part in terms of whats birds and believe night, but the deal or was that change no but at this part related it's a color. Yes, you would imagine it didn't come in there.

I'm pretty much.

Prices that world facing now in the endemic obviously is somewhat recent this is these are conversations I go back some time so.

So the next to your Christian thing then with HSBC.

Yeah. Hi guys.

You know as as discussions and negotiations have momentum you keep the momentum I would say definitely they we didnt see anything in the current environment that suggested we shouldn't continue with this opportunity as opposed to the environment stimulating the opportunity still around opportunity. There was always there and we didn't see anything that.

Hi guys. Yeah quick one was not reading anything in the press release on. This is actually a break fee agreed. And then how how about the brands? Are you planning to use in terms of service? Are we seeing something similar like at Waterfront ago?

No, no disclosure on the Brand's. This is you know, it's too early to have any discussions about that or even any you know agreements about that. So the brands will be determined, you know down the road when companies actually do come together and there's a management team and we can you know have a thoughtful conversation about it. So business as usual for now and don't know if they don't Brands I'll simply say we think both brands are really strong and complimentary and that's you know, that's a good thing going into it. No break fee disclosure and no break for you read off.

Created an obstacle or that should slow it down so it's really nothing to do with the current environment just the timing is coincidental.

Bye.

Yep.

Well go next file with box.

You asked me Mike Charlie I was just a very quick on the them switched cost is published did they seem pretty we are pushing pretty weak. This quarter was not just a cool weather impact maybe with some sports you pay TV.

Tends to one or is that something we should expect sort of for the rest of video to some pretty structural pricing pressure comes.

Okay, that's a few things.

I don't know that pieces on the call, yes out to chime in I guess, if you want to address that quickly that these crew members need for T O Swiss business, when I guess, yeah, I mean, Switzerland since February one so so the market stays competitive.

The next Tuesday mountain with red Burns.

Thanks. Oh, thanks guys. Good afternoon. Good morning. I'll go to see if you need one. That's fine. Just going back to the contractual situation. Can you just give me like on Thursday? I mean, you're talking about backward-looking leverage consents expects you done this year combined either. Work ten twenty percent lower and leverages in the mid high five GIF like to go back and look at the overall debt and JV when it closes and maybe get a quick one on the contractual position of your major content providers in the UK BT and Sky, I take the point that Your Choice Sports refuse or zero margin, but that doesn't mean they couldn't be negative. Margin if you're not collecting revenues you have to pay for them. So are you able to get relief on those Sports rights? Well, you're not doing your customer may be any help would not be would be great. Thank you.

I would try to find the right below the simple you will value there.

Or that's the answer that I think Charlie was very clear.

We think we will have a 170 million cash flow out of the this good businesses here and the underlying trends are rolling school that you know all time high customer satisfaction now.

Companies are going very well to cope with.

That sounds the next quarters, you'll see there.

On top of that we had a major.

Simplification program launch that will kick in the coming quarters.

Thanks very much.

Yeah. Thanks.

<unk>.

Hi, guys.

Hi, guys, they're a quick one or what's on reading anything in the press release on this is actually a break fee agreed and then how how about the brands as well you're planning to you in terms of are we seeing something similar like waterfront legal.

Okay. Yeah this transfers. Yes. I think the the agreement the relief I think was clear. The expectation is that will you know have leverage off five times range which will be closer to the high end of that range when we close and you know, we expect that to be the case the market, you know today is not necessarily ideal moment to get all of the financing lined up. Normally, we would announce include all the financing before even signing a transaction but we felt like to be to to optimize Capital the optimize structure is no reason to do it. All right now we're doing but the gap of what remains is quite small. I think Charlie is only a couple of billion pounds really that isn't yet reggia or or ready to be transferred over? I think that's the number more or less. So there's not the financing conditions not a particularly, uh important one at this stage dead.

No no disclosure on the brands. This is you know to quickly to earlier than to have.

Any discussions about that or even any you know.

I mean, it's about that so the brands will be determined you know down the road when companies actually do come together and measured as the team and we can have a top of conversation about it so business as usual for now no no update on Brad I'll simply say, we think both brands are really strong and complementary and Thats you know that that's a good thing going.

Into it.

No break be disclosing a break the agreed.

Okay, that's very clear thanks.

No.

It's the.

Try addresses. Is your so we have been following it exactly what client and BT has offered a customer chooses to Simply pause respond contact packages if the customer wanted to and therefore we alternate position with calls not to pay for those customer decided to post their packages with us and therefore that it's not not neutral.

Right.

Alright, Thanks, guys. Good offering good morning, Auger Uni onto one month warm up are you referring back to the practice with great. In can you just touched yet you're right I.

I mean back closes in there I mean over to your you're talking about backward looking what I'm, saying that UK your friends here.

Combined EBITDA were guiding 40% lower and leverage the mid Pike bars.

We go back and looked at the overall that Didnt JV when it closes maybe just a quick what I'm the contract because it with your maker content provider UK BQ God I pay the point that you're a sport revenues are zero margin, but that would mean that could be negative margin, if you're not collecting revenues out of the pay for them. So are you able to get relief on those.

Okay, so you are able to beat you and Scott have agreed. Do you not have the wholesale cost of that period of time?

Exactly. I mean we obviously you have to come to an agreement and we are in the middle of that. We understand we got the process.

Forthright well, you're not really your customers, maybe any help would not be help would be correct. Thank you.

And also when you read our contract with it's pretty much like that. Okay, just come back to the first question and leave it in the lower. Is that $18 billion of debt set in stone, or would you review it off, you know at that point?

Okay, Yeah, a little bit sports you see tranches, yes.

Yeah, I think the agreement and the relief and it was clear the expectation is that will you know have leveraging the four or five times range, which will be closer to the high end of that range. When we close and you know we expect that indicate the market.

Well, I think the partners can always agree to review it, you know, obviously Reserve that option but I think I don't believe in Charlie jumping right? We don't see any impediment to achieving that level of debt between now and closing which is when it would likely occur if probably on the shorter end of that but Charlie you want to dress that and Steve come through Thursday. It's going to rain is black with the where the agents in the team and Monica. So we're pretty comfortable that we have built into the forecast areas. Actually we dealt with both of these are two very

You know today is not necessarily idea moment to get all of the financing lined up normally we would now and conclude all the financing before even signing a transaction, but we felt like to BT to optimize.

Uh Huh capital the optimize structure, there's no reason to do it all right now do and but the gap of what remains is quite small I think Charlie it's only a couple billion.

Sounds really that isn't yet raised or or ready to be transferred over the number more or less so there's not the financing conditions not particularly.

Important one Michael that's page.

Neutral I just spoke earlier.

Yeah on the spot for sure. So we have to following it to me.

But by and B T hat off of that customer.

So it could be.

All the sport concept that picture of my once you too.

And therefore, we are probably position both not to pay for the customer we have decided to or Oh pick it up and therefore that is my math in Brooklyn.

Okay. So you are able to your peak you got a degree you know there the wholesale or over that period occurring.

Exactly I mean, we obviously you have to come to an agreement we end the milk fat efficacy and then we've got.

And although there are you read our contract with its pretty much like that.

Okay, let's start by just come back to the first question then it either go work significantly lower is that a doubling of pets that concern or would you review it.

At that point.

Well I think the part the partners can always agreed to review it.

You know, obviously reserve that option, but I think I don't believe in Charlie jumping out we don't see any impediments to achieving that level of debt now between now and closing which is why would likely occur probably on the shorter end of that Charlie on Augusta.

And steeping come through and I was going to resurrect with the radiation.

Even as we thought Monica.

Are you comfortable that.

We have built into the school costs.

There is.

I actually would that Weve tried to very kind of exiting businesses, but that was in Turkey.

Hi, Dan, it's still trending up pretty well.

Reported consultant.

Got the remaining couple of an entire remember.

Oh, yes, but that we have today I'm going to carry some assets come across with a positive.

That's all girls.

And this is for Britain.

No no question that you can get with that or whether it's the right level looked a lot lower.

Let's take one I would say Trinity's I'll, let me maybe.

At this cost it is I think as Mike indicates the money too conservative.

It gives a lot more credit worthiness words parents combined companies to stand on companies. So.

We'll see.

Let me clear none of us.

And we'll have to Florida, but it's not because today I think.

Okay. Thanks, a lot drugs.

<unk>.

Yeah, Great returns.

Yes. Thank you very much everybody it might contain congrats on that the deal I mean, a question on today, probably more for for looks actually just somebody UK performance, which looked pretty encouraging this quarter I was just interested in kind of two specific areas.

I mean, one with all the extra home walking going on are you seeing signs that customers are actually upgrading their broadband packages as a result, and how supported attached to your ARPU trend and secondly, I mean to what extent have you been benefiting we.

Recently from being able to extra customer in stolz as I understand Openreach has been more limited in being able to Jamie that how much have been you said is that providing.

For the current numbers like here.

Yeah, well on on the home working I mean in general, 95%, our customers have hundreds and the speed or mall.

Right and as Mike said earlier on our other students on the 40, Matt. So therefore, our couple must do operate already on a very our country markets not to operate on that are already a very high speed.

And so therefore, we don't see additional demand on top of that currently in the consumer uptake on the need to be states, we see that probably half a further.

Demand I have a higher food packaging working from home packages or asked about felt so that is encouraging and in terms of net ads.

Right I would say currently we are not that mexichem. So what do I mean that for them off there are still at.

And Oh, your online but to market level its appeal to a more connectivity pool. So.

Thank you ma'am you more on brought that fits girlfriend and also a lock strong.

Im sorry, no and I think because you costs would be one simply or you don't want to change. The good then why youre, so reliant on it and second obviously in the market.

You cannot be assured if it's the menu and skol beats competition, but you could actually installed why we keep on doing that the menu installed as well. So therefore you arrived currently we are growing a bit our customer base because of that.

But actually said also Q1 will be kept the clock mandates that are we came up on.

And our strategy just from a weakness off of a compatible so you can expect from outside Florida initiatives to keep that all global mobile.

Great. Thank you.

Well go next to Matthew Harrigan with benchmark.

Oh, sorry.

Oh, Thank you know I realize though over the top of course in there, but you did the right thing from de risking liquidity enhancement ballast point in this environment.

Some extension of the Robert Grindle worsening I mean, you and John Malone.

I have the opportunity to kind of the ultimate I guess angle cable Cowboys. If you have turned around and bought although to be CRO habit financial wherewithal to do that.

12.7 billion Sterling enterprise value in August 6.7 billion synergies over five year time. It really wanted to get Machiavellian has developed over time, you really want to have some opportunities through some very accretive.

Stock buyback sooner for obvious reasons.

Reasons.

That's what do you ever would've looked out you will have less complexity I guess in terms of a.

Financial engineering, but probably in order to know a risk limits and discovered Nazis environment and I realize it's really over the top question, but I thought it run it by your good Nonetheless.

Well, Matt I mean, you would know well, we're looking at all options and all alternatives and generally we land on the one we think is the most accretive and creates the most value and this we believe is the one so every markets different every.

Set of opportunities is different and generally speaking were a you know we never take anything off the table, we always look at that stage at the.

But in front of us but in this case with me. This is the right outcome, that's what I'll say.

They have architecture I could congratulations.

Okay. Thanks.

Our 10 after here, so I guess, Rick or operator, we'll take one or two more and then that people get back at today.

Okay well go next to if there are one.

With Jefferies.

Thanks very much like.

Thank you highlighted on footprint expansion, Youre and Telefonica shad excitement.

About that makes money like could you comment on the capacity to pull that off during a period of probably quite integrate large scale merger integration that same time.

Embarking on accelerates the triplex passion potentially I realize without them out kind of.

How do you have you look at the actually capacity.

To pull through everything together and Tom Thank you.

Yeah. It's it's a good question it'll be something that we factor in you know we wouldn't ever make to see it should you be decisions that impact our ability to execute synergies or integrate businesses and the other hand, we're already out there today every day.

Building extending plant in the street so it would.

If we were if we were able to do it or see our way clear to doing it.

Standalone company, there's nothing about being a larger more integrated companies that should change that materially, but it's a bit. The it's the right question. It's a set of making sure you're prioritizing where you spend your timing where you have your resources focused but.

As we lay that out on on the page you will make a determination, but I don't see anything off the top and as you can comment that that would would Ah you know somehow preclude us.

I'm, having be where with all the resources for the will to go ahead and continue looking at a broader.

Network expansion, if it made sense.

And you can always have you know, there's lots of ways and structuring it and financing as well. So I think it's it's the right thing to think about but on the other him. There's nothing in my but in my mind that says it's not it's doable have to get there when we get there.

Oh, that's I think two Alfa Valvole no as I noted Charlotte for sorry.

Well I can I can get some come off or a flavor to that I think what we have done now is we have.

Put really all natural extension so from consumer from due to be from wholesale into the lightning units.

And they accelerated their natural extension I mean, we have just announced the beginning of two.

But we didn't we bought back all 3000.

Oh Gee side from three so therefore, we have secured.

Bender us from acceleration in rollout like the ethanol so close a couple of electronics and do so therefore, the machine is growing and the machine will I'm also quite independent. So therefore, it's not so much impact goods.

By the complexity of an integration.

Got it thank you last night.

Yeah.

And we'll take our last question from Sam Mchugh from Exane.

Yeah, I'm going up.

Morning, guys, just arkady to fiber in the UK I'm. Following btds announcement today I do see any kind of strategic need to move their thoughts are on your own American sanctioned gunpowder whitening Havent got linked to that I think by the end of it here, we need to implement Dana switching in the UK I'm not sure if I have any kind of political location domain.

On page and she is an interesting I thought I would be great. Thanks very much.

Well look at I think you know BT.

We'll make the decision that needs to make and in the context of its own financial picture and I think you know they will build we anticipate they will continue to roll out fiber and they should.

So I don't know that their announcements as commentary today changes anything related.

More or less confirming what they anticipated and you know they should be coming into this this element of their business and I think there no they'll probably do that so I don't believe it changes it materially and lives to tackle the second question I'm not sure fully.

Understood it or got all the details other than maybe you get.

No I mean, what what we are accelerating is a fixed mobile convergence like the more customers, we have locked in its fixed and mobile or in a bit better position, we are to protect them from competition.

Right. So we're doing more speed for customers now more fixed mobile convergence and network expansion at the moment that takes you know and we're looking for ways to recalibrate that and it's all of that occurring. We are we are operating on our plan and I agree with it.

Mike I think we haven't seen anything surprising or any acceleration from from beauty tools a previous animals.

Okay and with that new we'll let you get back to date always appreciate you participating these calls and your support you know we're excited about this deal that goes without saying you know we are.

Creating an FMC championship a champion with incredible synergies these great little competence for us in for telephone can you can so we're excited to get it going in I would just last if they stay well stay healthy stay safe and well speeches and.

Ladies and gentlemen, this concludes the Liberty Global first quarter 2020, Investor call. As a reminder, replay of the call will be available in the Investor Relations section Liberty Global's website.

There you can also find a copy of today's presentation material.

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