- Altice Europe N.V. (“Altice Europe”) continues to deliver on its three-pillar strategy: improve customer experience to drive better KPIs, invest in and own best-in-class proprietary fixed and mobile infrastructure and leverage its unique content assets.
- Altice Europe sees the benefits of intensified operational focus and accelerated momentum in Q2 2018:
o Exceptional customer acquisition again in the second quarter in France:
- B2C fixed base grew for the second quarter in a row with +13k net additions (vs. -16k losses in Q2 2017), including a strong fiber performance (+56k, +60% vs. Q2 2017); management continues to focus on operational processes, bringing churn to the lowest level ever since Altice took control, while reducing retention cost;
- B2C mobile postpaid base grew by +211k net additions (vs. +34k in Q2 2017, +520%), supported by the successful launch of the new commercial offers in March, further churn reduction and a massive reduction in complaints (-50%);
o Consistent improvements in customer service metrics have been achieved, leading to an inflection in customer perception and satisfaction;
o Portugal B2C fixed base grew YoY, the first time in more than 5 years. It grew for the third quarter in a row with unique customer net additions in Q2 2018 of +6k (vs. -12k in Q2 2017), while fixed and mobile churn has continued to reduce to the lowest level ever. Fiber customer net additions were +46k in Q2 2018 (vs. +33k in Q2 2017, +40%), supported by the rapid expansion of fiber coverage, and mobile postpaid net additions were +38k (+125% vs. Q2 2017); MEO’s network investment and successful convergent strategy is leading to an inflection in revenue growth, with B2C revenues growing sequentially for the first time in near 2 years.
- Altice Europe revenue on a constant currency (CC) basis declined -2.3% YoY ex-VAT benefit2 or -3.8% reported YoY in Q2 2018.
- Altice Europe Adjusted EBITDA3 on a CC basis declined -5.5% YoY ex-VAT benefit or -9.1% reported YoY in Q2 2018, a margin of 37.8% (-2.3% pts YoY vs. 40.1% in Q2 2017).
- Significant investment in networks, customer premise equipment and innovative new services with total capital expenditure for Altice Europe of €773m in Q2 2018 (a decrease vs. €861m in Q2 2017):
o Leading fiber4 operator in France reaching over 11.5 million homes passed as of Q2 2018 and major wins in fiber contracts in the quarter reaching almost 2 million homes to be passed. In mobile, 97% 4G mobile population coverage and extended 4G+ mobile network;


1 All financials are shown under IFRS 15 accounting standard. Financials shown above are pro forma defined as results of Altice Europe
new perimeter as if the planned spin-off of Altice USA had occurred on 1/1/17 and excluding the press titles within the AMG France
business ("France - Media" segment) as if the disposals occurred on 1/1/17. Altice USA considered as third-party and not included in group
eliminations from 1/1/18. Segments are shown on a pro forma standalone reporting basis, Group figures are shown on a pro forma
consolidated basis. Financials include the contribution from Teads from Q3 2017 onwards. In addition, financials for Altice Europe exclude
the international wholesale voice business (exclusivity for sale announced on March 12, 2018) and green.ch AG and Green Datacenter AG
in Switzerland (following closing announced on February 12, 2018) from 1/1/17.
2 Excluding benefit of lower VAT for some press/TV bundles implemented in 2016; loss of benefit from March 2018 following VAT law
change.
3 See reconciliation of non-GAAP performance measures to operating profit for the three months period ended on page 19 of this release.
4 FTTB and FTTH homes passed.


o Leading fiber operator in Portugal reaching 4.3 million homes passed as of Q2 2018 and 98.5% 4G
mobile population coverage (73% 4G+ mobile population coverage). MEO also finished the single-
RAN mobile network modernization this quarter.
- Creation of one of the largest European TowerCos:
o Altice France has entered into an exclusivity agreement in partnership with KKR, and PT Portugal
has reached an agreement with a Consortium including Morgan Stanley Infrastructure Partners and
Horizon Equity Partners regarding the sale of equity stakes in their telecommunication mobile tower
businesses in France and Portugal for a total cash consideration of €2.5bn5;
o Altice Europe will continue to provide best-in-class telecommunication services to its subscribers and
at the same time benefit from the incremental EBITDA generated from mutualizing the towers;
o The new TowerCo will be uniquely placed to grow through its unique portfolio of sites positioned in
strategic locations and benefiting from a low colocation ratio.
- Further strengthening of diversified capital structure through successful asset disposals and refinancing
activity:
o Agreement to sell 1,049 mobile sites in the Dominican Republic, for $170m6;
o Successful refinancing at Altice France to redeem in full its $4.0bn 2022 Senior Secured Notes.

- Alain Weill, CEO of Altice Europe, as a sign of confidence in the future performance of the business,
purchased 10.4m shares in Altice Europe.
- Announced separation of Altice USA Inc. (“Altice USA”) from Altice N.V. became effective on June 8,
2018. In connection with the separation, Altice N.V. changed its name to "Altice Europe N.V.".
Patrick Drahi, founder of Altice Europe, said: “Since the beginning of 2018, Altice Europe has continuously delivered on its operational turnaround plan, showing continuous improvements in subscriber trends. In France, we have gained more than half a million customers already since the beginning of this year. Altice
Europe is already winning back market shares and will return to growth. Our customers remain our first priority, and we have a unique asset base with expanding premium proprietary infrastructure in both fiber and mobile
and content assets to further improve their satisfaction.
This quarter, we set up new tower partnerships in France and Portugal with prestigious partners, KKR, Morgan Stanley Infrastructure Partners and Horizon Equity Partners. We will create a leading European tower
business, including the #1 in France. Both tower businesses will be uniquely positioned to grow as they provide increasingly important infrastructure services to operators in both markets. These transactions underline the
significant underlying value of Altice Europe’s business and assets, which is also unique in its fiber proprietary expanding infrastructure.
In parallel, we have successfully refinanced part of our debt and made significant further progress on the execution of our non-core asset disposal program, strengthening further our long-term balance sheet position.
Last and very importantly, we now have a strong and unified management team which is leading the Group to full recovery.”
August 2, 2018: Altice Europe N.V. (Euronext: ATC and ATCB), today announces financial and operating results for the quarter ended June 30, 2018.
5 In France, the transaction will be subject to customary conditions precedent for this type of transactions, with closing of the transaction
(subject to regulatory approvals) expected to occur in Q4 2018; in Portugal, the transaction is expected to close during Q3 2018 and is
subject to the effective demerger and customary closing conditions. €2.5bn include build-to-suit agreements.
6 In the Dominican Republic, the transaction is expected to close during Q3 2018 and is subject to the effective demerger and customary
closing conditions.

FY 2018 Guidance - Reiterated
Under IFRS 15, Altice Europe is expected to generate operating free cash flow7 of between €2.3bn to €2.5bn, excluding the Altice TV segment. Altice France is expected to generate operating free cash flow of between €1.5bn to €1.6bn. Considering its current very strong commercial momentum, Altice France is generating higher acquisition costs and client capex, to the benefit of future growth. As such, it is likely Altice France will end 2018 at the low end of the €1.5bn to €1.6bn guidance range.
Altice Europe reiterates plans to grow revenue, and expand Adjusted EBITDA and cash flow margins, over the medium- to long-term. Other Significant Events
? On July 30, 2018, Altice Europe announced its subsidiary Altice Dominicana had reached an agreement with Phoenix Tower International, a portfolio company of Blackstone, for the sale of 100% in the tower company Teletorres del Caribe that will comprise 1,049 sites currently operated by Altice Dominicana.
The transaction values Teletorres del Caribe at an enterprise value of $170m. The transaction is expected to close during Q3 2018 and is subject to the effective de-merger and customary closing conditions.
? On July 18, 2018, Altice Europe announced it had successfully priced and allocated for its Altice France SA ("Altice France") credit pool €1.0bn and $1.75bn of new 8.5-year Senior Secured Notes, bearing a coupon of 5.875% and 8.125% respectively. The proceeds from this transaction, in conjunction with the proceeds raised through the $2.5 bn of new Term Loans priced earlier this month, will be used by Altice France to redeem in full its $4.0bn May 2022 6.0% Senior Secured Notes and €1.0bn May 2022 5.375% Senior Secured Notes.
? On July 16, 2018, Altice Europe announced it had successfully priced and allocated for its Altice France credit pool $2.5bn of new 8-year Term Loans B’s, bearing interest at a margin of 400bps over LIBOR.
Closing of the new financing is subject to closing conditions and the proceeds will be used by Altice France to call a portion of its $4.0bn May 2022 6.0% Senior Secured Notes.
? On June 20, 2018, Altice Europe announced its subsidiary Altice France entered into an exclusivity agreement with KKR for the sale of 49.99% of the equity in the to be formed tower company (“SFR TowerCo”) that will comprise 10,198 sites currently operated by SFR. The envisaged transaction values SFR TowerCo at an enterprise value of €3.6bn, representing a multiple of 18.0x 2017 pro forma EBITDA of €200m. In addition, a build-to-suit agreement for 1,200 new sites between SFR and SFR TowerCo is expected to generate approximately €250m in additional proceeds to SFR within the next 4 years. The transaction will be subject to customary conditions precedent for this type of transactions in France.
Closing of the transaction, which will be subject to regulatory approvals, is expected to occur in Q4 2018.
? On June 20, 2018, Altice Europe announced its subsidiary PT Portugal reached an agreement with a Consortium including Morgan Stanley Infrastructure Partners and Horizon Equity Partners for the sale of 75% in the to be formed tower company (“Towers of Portugal” or “ToP”) that will comprise 2,961 sites currently operated by Altice Portugal. The transaction values Towers of Portugal at an enterprise value of €660m, representing a multiple of 18.9x 2017 pro forma EBITDA of €35m. In addition, a build-to-suit agreement for 400 new sites between MEO and ToP is expected to generate approximately €60m in additional proceeds to MEO within the next 4 years. The transaction is expected to close during Q3 2018 and is subject to the effective demerger and customary closing conditions.
? On April 20, 2018, the CSA announced its approval for the acquisition of an additional stake in NextRadioTV by Altice France. The convergence between Telecom and Media, initiated since July 2015 with the acquisition of 49% of NextRadioTV by Altice (then acquired in 2016 by Altice France), has reached a new step by obtaining all clearance to acquire the remaining 51% stake held by News Participations (NP) in Groupe News Participation.
? On April 5, 2018, Altice France acquired the minority stake held by NP in Altice Content Luxembourg (ACL) for the amount of €100m by exercising the call option it held on NP’s 25% stake in ACL.
? Update on Altice USA separation (‘Spin-Off’ or ‘Split’):
o On June 8, 2018, Altice Europe and Altice USA announced that the planned separation of Altice USA from Altice Europe (the "Separation") had been implemented. The Separation took place by way of a special distribution in kind by Altice Europe of its 67.2% interest in Altice USA to Altice Europe shareholders out of Altice Europe's share premium reserve (the "Distribution")8. Altice Europe instructed its agent to transfer to each shareholder of Altice Europe as of 18:00 CET on May 23, 2018, the Distribution record date, 0.4163 shares of Altice USA common stock for every share held by such shareholder in Altice Europe's capital on the Distribution record date;
o On June 6, 2018, Altice USA paid a $1.5bn cash dividend to all shareholders, including $1.1bn to Altice Europe.
? In the spirit of enhanced accountability and transparency, Altice Europe also announced on January 8, 2018, that Altice Europe will reorganize its structure comprising Altice France (including French Overseas Territories), Altice International and a newly formed Altice TV subsidiary. This includes integrating Altice's support services businesses into their respective markets and bundling Altice Europe's premium content activities into one separately funded operating unit with its own P&L. This reorganization of Altice Europe is now almost complete, and further steps were taken in Q2 2018 as follows:

7 Operating free cash flow (“OpFCF”) defined as Adjusted EBITDA less capex.

see & read more on
http://altice.net/sites/default/files/pdf/Altice-Europe-NV-%20Q2-2018-Pro-Forma-Results.pdf

tijd 09.16
De AEX houdt zich goed op 572,29 -0,59 -0,10% Altice EUR 2,691 -18,7ct vol. 1,6 milj.