Unitedglobalcom — Janco 10th Annual Media & Telecommunications Conference (March 2005)
39 slides from Unitedglobalcom's conference presentation, Mar 17, 2005
Slide 1: UnitedGlobalCom, Inc.
UnitedGlobalCom, Inc. Janco 10" Annual Media & Telecommunications Conference Denver, Colorado March 17, 2005 unire Icom
Slide 2: Safe Harbor
“Safe Harbor” Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Forward Looking Statements: Except for historical information contained herein, this press release contains forward Joaking statements, inciucing guidance given for 2005. The statements about the Company'
Slide 3: Additional Information
Additional Information | UnitedGiabalCom, Ine. UGC") and Liberty Media Intemational, Inc. LMI") have filed a preliminary Joint Proxy Staternent relating to their proposed merger as well as a related Schedule 13E-3. Liberty Global, Inc. Liberty Global") plans to shortly file a Registration Statement
Slide 4: Agenda: Product & Strategy Update, 2004 Results, Q&A
e Product & Strategy Update e 2004 Results © Q&A arch 7,208 ore Don, a
Slide 5: UGC Overview
UGC Overview J * Leading international MSO ero Deon, - 16m homes serviceable - 11.6m total RGUs UPC * Integrated broadband model - State-of-the-art networks chellomedia - Over 2.2m voice & data subs - New products & services /@rrr * Best in class performance - Strong balance sheet - Organic & strate
Slide 6: UGC / LMI Merger
UGC / LMI Merger ¢ Announced January 18, 2005 © Proxy filed February 14, 2005 © Expected to close mid to late 2"4 quarter Scale -— URC 10) a Simplicity [— chellomedia supiterg> — Liquidity L_ Grr Casha Growth ron 17,2005 Jeon Page 6
Slide 7: Track Record of Growth
Track Record of Grow 2000 m1 7,038 2004 1401 Net Adds ? 552,800 mi Video 1m Digital Voice Data 316,200 Pa 2003 2004 2.1m advanced service RGUs added since 2000 4-fold increase in data subscribers since 2000 75% increase in net adds over 2003 Telephony & digital growth accelerating Bette te AUF cera
Slide 8: Track Record of Growth
Track Record of Grow $2.53 + 24% CAGR in $’s $1.89 $1.56 $1.52 * 10%+ organic 4 25 growth last 2 yrs + 4% sequential growth Q3 to Q4 2000 2001 2002 2003 2004 + Best in class organic growth + Over $1 Q4 annualized®) 2002 2003 + Strong FCF ($191) ($368) (1) For Revenues and OC, represnts amount ae rep
Slide 9: Agenda: 2004 Results
e UGC Overview e 2004 Results © Q&A arch 17,208 ore Don, a
Slide 10: Product Strategy: Digital Home
aro 17,2005 Page 10 ct Strat egy Digital Home - Anything, Anytime, Anywhere Video Content Leadership Voice Price Leader ship Data Mobile 4—Play Positioning “Take your home with you" Off Footprint National Coverage "Compete head-to-head with the Telcos? Product Leadership
Slide 11: IP Marketing
IP Marketing * Primary line for 25-50% less than incumbent * Lower usage rates & unlimited domestic packages * Ease of use - number portability - feature rich Dad kes to keep ‘things singe ac cat eep from ealing het cores Mom kes tating GAP) | onthe phone: But 7) | loves ving mons Tem has seen the o
Slide 12: VoIP Update
VoIP Update ¢ Over 100,000 sales since Q4 launch e 58,000 net adds with 20,000+ backlog ¢ Aggressive roll-out schedule for Europe Weekly VoIP Sales in The Netherlands om som aro 17,2005 lm Sales ‘04/05 = Sales’03/04 [—] Homes RFS ‘04/05
Slide 13: Data Update
Data Update © Bundling with VoIP « 265,000 net adds in 2004 — momentum continues e ARPU approximately $40 Monthly Data Sales in Europe 60900 000 Jan Fb Mar Apr Way Jun Jul Aug “Sep-Oct Nov Boe dan Fab Mm Sub-EntyeEntry (Light Mi classic = Plus Page 13
Slide 14: 2004 M&A Activity
2004 M&A Activity RGUs Indicative Deal Country —_(000’s) Multiple Rationale Noos France 1,700 7.3x Consolidation Telemach _ Slovenia 110 8.2x New market Chorus Ireland 200 6.9x New market Telenet Belgium 2,500 7.8x Strategic Content Investments: Zone Vision; Canal+ (1) Please refer to our prior pres
Slide 15: Agenda: Q&A
e UGC Overview e Product & Strategy Update © Q&A arch 7,208 ore Don, eer
Slide 16: 2004 Results
2004 Results Net Adds (RGUs)" 500,000 552,800 Revenue Growth (organic) 10% 10.5% OCF Growth (organic) 20%+ 20% 2) OCF Result (millions) $850m $879m Capex % of Revenue 20% 19% Average FX Rate ($/€) 1.20 1.24 (1). For RGU Net adds, Revenue Grouth and OCF Growth, igure ae "orgario" ae exclude anquisien
Slide 17: RGU Results
RGU Results Actual at Dec 31, '04 RGUs by Product Internet 1,187,500 Telephone 803,000 DTH 249,600 Digital 239,600 Analog Cable o Acquisitions @ 7,213,200 1,963,100 Organic Net Additions Q4 04 FY'04 92,500 42,000 35,800 16,500 67,400 264,800 70,200 52,700 100,900 64,200 Total RGUs 11,656,000 352,800
Slide 18: Financial Results
Financial Results (In US$ Millions) Revenue Operating Expenses 1,646 1,263 30% Operating Cash Flow h % Margin 34.8% 33.2% 160 Bps Capital Expenditures $480 $333 44% Capex (% of Rev.) 19.0% 17.6% = Free Cash Flow _ $219 $59 271% ‘Operating Cash Flow" Please see Append for a detntion and reconciliatio
Slide 19: Financial Results: 2004 Organic Growth
Financial Results 2004 Organic Growth") RGUs Revenue OCF UPC Broadband 436,700 10.7% 19.0% Chile (VTR) 115,300 15.8% 38.2% Total UGC® —552,800_ ed wah the Mv aro 17,2005 Page 13
Slide 20: Operating Efficiency
Operating Efficiency Annual percentage change in Revenue, Opex and SG&A 130 120 110 -* Revenue 100 “Sonex + SG&A 90 80 T T 2002 2003 2004 aro 17,2005 unrreoceRcon Page 20 © Alcabamdovay ogabbare, eckalg queda and FXmoN MeN
Slide 21: Capital Expenditures
Capital Expenditures Decline in annual capex spend, and as a percentage of revenue $4270 160% 125% 100% 75% 50% 25% 1 ow Capex in uss 000's © As a percentage of Revenue Naroh 17,2005 Botte capalespevamresofaprrinaely FOMN wea BSHHENOU Clow sao.
Slide 22: Leverage & Liquidity
Leverage & Liquidity Naren 4 Page 22 Pro Forma? As of Asof (US$'s millions) Dec-04 Dec04 Dec-03 Total Debt $4,987 $4,987 $4,352 Total Cash 1,051 4,122 338 Net Debt $3,936 $3,866 $4,014 Net Debt/LQA OCF '” Additional Liquidity Bank Revolver” $1,342 $909 $554 Marketable Securities © 562 562 469 Total
Slide 23: 2005 Guidance
2005 Guidance 2004 2005 Actual® Guidance Net Adds (U.S. method) 599,000 800,000 Net Adds (new method)(® 479,000 600,000 Revenue Growth 34% 20% OCF Growth 40% 20% Capex % of Revenue 19% 20-22% Average FX Rate ($/€) 1.24 1.24 (1) RGU nat gain counts a digital video subsoriber as one digital RGU and on
Slide 24: Conclusions
Conclusions aro 17,2005 Solid 2004 results across the board 4‘ quarter momentum continued into 2005 Aggressive 2005 game plan and guidance Focus on operating efficiency and capital discipline Exploit strategic opportunities wisely Premier broadband cable investment
Slide 25: UnitedGlobalCom, Inc.
UnitedGlobalCom, Inc. Janco 10 Annual Media & Telecommunications Conference Denver, Colorado March 17, 2005 unire Icom
Slide 26: Operating Cash Flow Definition
Appendix erating Cash Flow Definition Operating Cash Flow is the primary measure used by our chief operating decision makers to evaluate segment operating performance and to decide how to allocate resources ta segments, As ‘we use the term, Operating Cash Flow is defined as revenue less operating, s
Slide 27: Other Definitions
ppendix Other Det aro 17,2005 Page 27 ns Revenue Generating Unit ("RGU") is separately an Analog Cable Subscriber, Digital Cable Subscriber, DTH Subscriber, MMDS Subscriber, Internet Subscriber ar Telephony Subscriber. A home may contain one or mare RGUS. For example, if a residential customer in ou
Slide 28: Operating Cash Flow Reconciliation
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Slide 29: Non-GAAP Reconciliations: Free Cash Flow
ppendix Non-GAAP Reconci jons Free Cash Flow is not a GAAP measure af liquidity. We define Free Cash Flow as net cash flows fram aperating activities less capital expenditures. We believe our presentation af free cash flow provides Useful information to aur investors because it can be used to gauge
Slide 30: Appendix
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Slide 31: Supplemental Information
Appendix Supplemental Information Forthe 3 months ended Farthe merits anced (omounts in thausaeds Deood Dees Dieta Dees breorest Expense Breakwe: cash Fay: luPC ereadband Bank Facity azz —@asaoey | con20.516) ca2s4900) UGC converte Notes 2338) gar IVT nk Facity 1858) @pe7) 62) ats) lis uo senior Noe
Slide 32: Supplemental Information - Revenue
Slide 33: Telekom
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Slide 34: Supplemental Information - Revenue
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Slide 35: Supplemental Information - Revenue
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Slide 36: Supplemental Information
Supplemental Informati aro 17,2005 ‘out eo nrg Hoe, ream Page 38 4. Represents the etlent ofthe MovieCerCinenora ontract in 0, Total coatsin 0404 of approximately Samm, aswell asa raduettn noah of ‘Pim rated payment ofall oorued expanses. Pease rferto our 1k ae of Deo. 2, 2004 fortunher ‘etal
Slide 37: Supplemental Information - Operating Cash Flow
Supplemental Informati perating Cash Flo Travan (Ty hora (Oana teuding Fete urge 66 exop: 200s 2002 H cs H cs “Te nede ron S mms 5 Im 5 wre IB § mss IK ewe 388 612 os France eri Wa tom uae ams howe 238 ss ‘ast “ea Tes woe Seon Sige saa i900 nts trae ein 12505 3500 336 Wie gary 829 “mire Ep Bis, awa
Slide 38: Appendix
ppendix
Slide 39: Searchable text section of graphics shown above
Searchable text section of graphics shown above Uni tedGlobalCom, Inc. [GRAPHIC] Janco 10th Annual Media & Telecommunications Conference Denver, Colorado March 17, 2005 [LOGO] “ Saf e Harbor” [GRAPHIC] Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Forward Looking
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