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2Q19 Earnings PresentationAugust 8, 2019
Windstream Holdings, Inc. claims the protection of the safe-harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are typically identified by words or phrases such as “will,” “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “target,” “forecast” and other words and terms of similar meaning. Forward-looking statements are subject to risks and uncertainties that could cause actual future events and results to differ materially from those expressed in the forward-looking statements.
Forward-looking statements include, but are not limited to, projections regarding our 2019 Financial Plan; certain revenue and contribution margin trends in our business units; expected sales growth and opportunities in strategic products and services and expansion of these products for our small and medium sized business customers; increasing broadband penetration levels and availability of faster broadband speeds to more households within our service areas; benefits of Project Excel and other activities to drive broadband speeds; expected net growth our broadband subscribers; anticipated benefits of the results of the recent fixed wireless spectrum auction; statements concerning the current arrangement and related payments with Uniti Group, Inc.; expectations regarding expense management activities, including interconnection expense, and the timing and benefit of such activities; and any other statements regarding plans, objectives, expectations and intentions and other statements that are not historical facts. These statements, along with other forward-looking statements regarding Windstream’s overall business outlook, are based on estimates, projections, beliefs, and assumptions that Windstream believes are reasonable but are not guarantees of future events, performance or results. Actual future events and results may differ materially from those expressed in these forward-looking statements as a result of a number of important factors.
Important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include risks and uncertainties relating to our voluntary filing for reorganization under Chapter 11 of the Bankruptcy Code (“Chapter 11 Cases”); our ability to pursue our business strategies and achieve our 2019 operational goals in light of the Chapter 11 Cases; diversion of management’s attention as a result of the Chapter 11 Cases; the volatility of our financial results due to the Chapter 11 Cases; risks associated with third party actions or motions in the Chapter 11 Cases; that the cost savings and expected synergies from the mergers with EarthLink Holdings Corp. and Broadview Networks Holdings, Inc. may not be fully realized or may take longer to realize than expected; that the expected benefits of cost reduction and expense management activities are not realized or adversely affect our sales and operational activities or are otherwise disruptive to our business and personnel; further adverse changes in economic conditions in markets served by the combined company; the impact of new, emerging, or competing technologies and our ability to utilize these technologies to provide services to our customers; general worldwide economic conditions and related uncertainties; and the effect of any changes in federal or state governmental regulations or statutes. For other risk factors that could cause actual results and events to differ materially from those expressed, please refer to our filings with the Securities and Exchange Commission. Windstream does not undertake any obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise.
Safe Harbor Statement
2
Participants
3
Tony ThomasChief Executive Officer
Bob GundermanChief Financial Officer & Treasurer
Chris KingVP, Investor Relations
Second Quarter 2019 Highlights
4
$450 million in adjusted OIBDAR $3.6 million sequential improvement
Consolidated adjusted OIBDAR marginof 35.0% Up 140 bps y-o-y
Interconnection and Synergy achievements remain on schedule
Consumer broadband growth of 1,900 subscribers in 2Q19Broadband subscriber growth of 2.7% year-over-year
High-Speed Internet bundle revenues up sequentially
Continued acceleration in SD-WANand Strategic SalesLargest SD-WAN provider in country todayCurrently installing approximately 600 new locations a monthStrategic sales were over 69% of total Enterprise sales in 2Q19; up from 55% in 1Q19
5
Kinetic Speed Addressability Chart
38%
50%
57%61%
69%
0% 8%12%
15%
40%
2015 2016 2017 2018 Today
25 Meg+ 100 Meg+
% of Homes in ILEC Footprint with Access to Available Speeds
Delivered Broadband Subscriber Growth in 2Q
6
16 consecutive months of consumer broadband unit growth (through June 2019)
11% improvement in sales compared to 1H18
Driven by Project Excel investments and efforts to extend faster broadband speed tiers to more customers across ILEC footprint
Expecting approx. 30,000 net subscriber additions in 2019
Net Broadband Adds (in thousands)
Significant Improvement in Broadband Subscriber Growth (in thousands)
-38 -35 -40 -45
1530
-50-30-10103050
2014 2015 2016 2017 2018 2019
-16.6
-11.6
-16.2
-21.8
2.3 1.9
-25
-20
-15
-10
-5
0
5
2Q14 2Q15 2Q16 2Q17 2Q18 2Q19
E
Improved Broadband Speed Capabilities
7
1GB Fiber Internet Service now expanded to 100,000 business locations
14%18%
21%24%
28%32%
36%
41%44%
47%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19
Customer Speed Distribution of 25 Mbps or Faster
Fixed Wireless Auction Results
8
Will be used to deliver speeds of up to 1 Gig per second
The spectrum and associated electronics and equipment will be wholly owned by Windstream.
In homes equipped with Gig service, consumers can engage in multiple bandwidth-intensive activities simultaneously – such as streaming music, 4K video and virtual reality applications and games – without buffering.
For businesses, Gig service enables next-generation network, cloud, voice, security and business continuity solutions.
Windstream successfully bidfor wireless spectrum
covering 5 million households(2 million ILEC households)
for $26.6 million
• Obtained 106 licenses for 450 MHz each in the 28 GHz band for $6.2 million
• Obtained 40 licenses for 100 MHz each in the 24 GHz band for $20.4 million
Accelerate Enterprise Strategic Products Adoption
9
Strategic products are defined as: SD-WAN, UCaaS, OfficeSuite, and associated network access products and services
~$280MAnnualized Strategic
Product Revenue (based on 2Q19 results)
43%Strategic Product
Revenue Growth Y-O-Y
Strategic Revenue % ofTotal Enterprise Service Revenue
535K+UCaaS Seats
Installed
~600SD-WAN Endpoint
Locations Installed Every Month
10
Expanding Windstream’s SD-WAN PortfolioVALUE PROPOSITION:SD-WAN with Fortinet enables a more cost-effective and highly secure solution with next generation firewall options that are integrated into the SD-WAN device.
Consolidating SD-WAN and security into a single device eliminates the complexity of managing two CPE devices and provides a consolidated installation footprint.
DIFFERENTIATORS:
Digital Experience
WE Connect, Mobile
Integrated Securityon same
appliance,PCI (Q3)
Customer Experienceinstallation,
management, monitoring,
maintenance
Flexibilityaccess agnostic,
purchasing options, design
options, Professional
Services
Cloud Core powered,
cloud aware solution
+ SD-WAN + NGFW Security on same appliance
+ Essential SD-WAN Capabilities
+ Best in class Next Generation Firewall (NGFW)
+ Diverse portfolio of CPE options to fit diverse deployments
+ Gartner Challenger for SD-WAN and Leader for Security Services
Price
Feature-rich
Windstream named in 2019 Gartner® Magic Quadrant for Unified Communications as a Service, Worldwide
11
Our first-time inclusion demonstrates emerging recognition, growth of OfficeSuite UC® solution and the unique combination of proprietary technology with a full range of network services.
Gartner recognized Windstream based on completeness of vision and ability to execute.
This validates that our strategy to become a “software powerhouse” is being
recognized in the market.*Gartner, Magic Quadrant for Unified Communications as a Service, Worldwide, Daniel O’Connell, Megan Fernandez, et al., 30 July 2019. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner’s research organization and should not be construed as statements of fact. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.
Adjusted Results Reporting Changes Effective 2Q19
12
Now reflects all non-Enterprise revenue from within geographic territory of ILEC
Small business revenue and wholesale revenue broken out separately
• Shifted certain small business customers from Enterprise to Kinetic that reside within the ILEC territory
• Shifted wholesale customers that reside within the ILEC territory from Wholesale to Kinetic
• Shifted government and resale customers from Wholesale to Enterprise
• Allocated certain corporate expenses (primarily property taxes) to the segments
• Reflects revenue break-out of core, strategic, legacy and other revenues
• Core revenues consist of dynamic IP, dedicated Internet access, MPLS, integrated voice and data, long-distance and managed services
• Strategic revenues consist of SD-WAN, UCaaS(including OfficeSuite), and associated network access products and services
• Legacy revenues consist of TDM voice and data services
• Other revenues consist of administrative service fees, subscriber line charges and non-recurring usage-based LD revenues
• Reflects revenue for products leveraging nationwide network outside of geographic territory of ILEC
• Core revenues consist of revenues from fiber connections, data transport and wireless backhaul services
2Q19 Financial Results
13
(1) Operating results for the consumer CLEC business sold on December 31, 2018 have been excluded from all prior periods(2) Adjusted OIBDAR is adjusted OIBDA before the annual cash payment due under the Uniti arrangement(3) Adjusted OIBDA is operating income (loss) before depreciation and amortization and goodwill impairment, excluding expense associated with the arrangement with Uniti, pension
expense, share-based compensation expense, restructuring charges, merger, integration and certain other costs(4) Margins are calculated by dividing the respective profitability measures by total revenues and sales.
$450 million in adjusted OIBDAR
Sequential improvement in adjusted OIBDAR
Consolidated adjusted OIBDAR margin of 35.0% represents 140 bps improvement over 2Q18 margins
Highest consolidated adjusted OIBDAR margin post-EarthLink acquisition
Enterprise margin up 120 bps y-o-y and 160 bps sequentially
Wholesale margins at record-high
Over $960 million in liquidity at quarter end
Financial Overview (1) 2018 2019 2019Q1 Q2 Q3 Q4 YE Q1 Q2
Revenue Kinetic $538 $532 $525 $519 $2,114 $514 $509Enterprise $755 $752 $737 $723 $2,968 $696 $673Wholesale $98 $97 $96 $94 $385 $93 $88
Segment Service Revenue $1,391 $1,381 $1,359 $1,336 $5,467 $1,302 $1,270Product Sales $19 $20 $20 $17 $75 $18 $16
Total Revenue and Sales $1,409 $1,401 $1,379 $1,353 $5,542 $1,321 $1,287
Contribution MarginKinetic $325 $315 $308 $308 $1,256 $309 $303Enterprise $127 $147 $145 $143 $562 $133 $139Wholesale $70 $70 $68 $66 $274 $63 $65
Segment Contribution Margin $522 $532 $521 $517 $2,092 $504 $508
Shared Expenses $61 $61 $64 $61 $246 $57 $57Adjusted OIBDAR (1) (2) (3) (4) $462 $471 $457 $456 $1,846 $447 $450
Margin % 32.7% 33.6% 33.1% 33.7% 33.3% 33.8% 35.0%
Segment Contribution Margin %Kinetic 59.9% 58.4% 57.8% 58.6% 58.7% 59.2% 58.7%
Enterprise 16.5% 19.2% 19.3% 19.5% 18.6% 18.8% 20.4% Wholesale 71.4% 72.2% 70.9% 70.0% 71.1% 67.7% 73.8%
2018(Dollars in Millions)
Sheet1
Financial Overview (1) 2018201820192019
Q1Q2Q3Q4YEQ1Q2
Revenue
Kinetic$538$532$525$519$2,114$514$509
Enterprise$755$752$737$723$2,968$696$673
Wholesale$98$97$96$94$385$93$88
Segment Service Revenue$1,391$1,381$1,359$1,336$5,467$1,302$1,270
$0
Product Sales$19$20$20$17$75$18$16
Total Revenue and Sales$1,409$1,401$1,379$1,353$5,542$1,321$1,287
Contribution Margin
Kinetic$325$315$308$308$1,256$309$303
Enterprise$127$147$145$143$562$133$139
Wholesale$70$70$68$66$274$63$65
Segment Contribution Margin$522$532$521$517$2,092$504$508
Shared Expenses$61$61$64$61$246$57$57
Adjusted OIBDAR (1) (2) (3) (4)$462$471$457$456$1,846$447$450
Margin %32.7%33.6%33.1%33.7%33.3%33.8%35.0%
Segment Contribution Margin %
Kinetic59.9%58.4%57.8%58.6%58.7%59.2%58.7%
Enterprise16.5%19.2%19.3%19.5%18.6%18.8%20.4%
Wholesale71.4%72.2%70.9%70.0%71.1%67.7%73.8%
Expanding Enterprise MarginsAnnual Interconnect Cost Reductions Greater than 10%
2Q19 annualized run-rate of almost $1.2 billion in interconnection expenses; annualized decline of over 10%
Legacy TDM represents almost $700 million of annualized expenses and last mile TDM access is falling by more than 25% a year
Cost improvements from migrating customer from other carrier networks to on-net fiber solutions and continued network grooming efforts to contract our legacy TDM network access costs
Increasing leverage of access-agnostic technologies such as SD-WAN and UCaaS
Significant Interconnection Cost Reduction Opportunities Remain
Interconnection Expenses (in millions)
14
2Q19 2Q vs. 1QAnnualized Sequential
TDM 400 (6.3%)IP/Ethernet 347 (2.0%)
Last Mile Access 747 (4.3%)TDM 298 (3.3%)IP/Ethernet 9 (2.0%)
Network Access 307 (3.2%) 0 0%Voice/Other 139 (27.5%)
Interconnect 1,193 (7.5%)
Var May
ReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReporting
ProformaProformaProformaProformaCurrent_ForecastProformaCurrent_ForecastProformaCurrent_ForecastProformaCurrent_Forecast
FY18FY18FY18FY18FY18FY18FY18FY18FY18FY17FY18
FebMarAprMayMayQ-T-D(May)Q-T-D(May)Y-T-D(May)Y-T-D(May)Y-T-D(May)Y-T-D(May)
Interconnect Expense3 MO PRIORMTDQTDYTDY/Y
FebMarAprMayMayMayMayMayMayMayMayGrowth %
EntityFWGAccountActualActualActualActualForecastB/(W)InitiativesCodingCommentsActualForecastB/(W)ActualForecastB/(W)'17'18
WindstreamCost Center excluding M&IDS1 AccessDS1 Access- 0- 0- 0- 0- 0- 0$ (0.1)- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IWireless AccessWireless Access- 0- 0- 0- 0- 0- 0$ 0.2- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IDS3 and AboveDS3 and Above- 0- 0- 0- 0- 0- 0$ (0.3)- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IEthernet Over FiberEthernet Over Fiber- 0- 0- 0- 0- 0- 0$ 0.0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IEthernet Over HFCEthernet Over HFC- 0- 0- 0- 0- 0- 0$ 0.0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IMPLS/Frame Relay/VPNMPLS/Frame Relay/VPN- 0- 0- 0- 0- 0- 0$ 0.1- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IInternational AccessInternational Access- 0- 0- 0- 0- 0- 0$ 0.0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IDS0DS0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IOff-Net ResaleOff-Net Resale- 0- 0- 0- 0- 0- 0$ (0.3)- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ICustomer Disconnect HoldsCustomer Disconnect Holds- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Customer Access- 0- 0- 0- 0- 0- 0$ (0.2)$ (0.4)- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ICharter DCharter D- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IDSLDSL- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IHyperlink InterconnectHyperlink- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ISecurity VASSecurity VAS- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IWeb Hosting InterconnectWeb Hosting- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IConsumer Interconnect OtherConsumer Other- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Consumer Interconnect- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamConsumer CLEC InterconnectNon-Recurring ChargesConsumer NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Consumer Interconnect- 0- 0- 0- 0- 0- 0$ - 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IMetro BackhaulMetro Backhaul- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IOther BackhaulOther Backhaul- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IColocation ChargesColocation Charges- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ILonghaulLonghaul- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&INetwork CoreNetwork Core- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IInternet TransitInternet Transit- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IBroadband AccessBroadband Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IBuilding AccessBuilding Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IENNI AccessENNI Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Network Access- 0- 0- 0- 0- 0- 0$ 0.0$ 0.5Initiatives in line with plan.- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IPole Attachment RentPole Attachment Rent- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IFiber & ConduitFiber & Conduit- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IIRU Lease ExpenseIRU Lease Expense- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IRack & Floor SpaceRack & Floor Space- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ISwitch & Central OfficeSwitch & Central Office- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IOther Leased FacilitiesOther Leased Facilities- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IPole Attachment NRCPole Attachment NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ILeased Network Facilities - NRCLeased Network Facilities - NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Leased Network Facility- 0- 0- 0- 0- 0- 0$ 0.0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ILD MRCLD MRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ISS7 ExpenseSS7 Expense- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ICaller IDCaller ID- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IRecip CompRecip Comp- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ILocal TransitLocal Transit- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IDirectory ListingDirectory Listing- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IOperator ServicesOperator Services- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IDirectory AssistanceDirectory Assistance- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&I8YY Expense8YY Expense- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IWireless UsageWireless Usage- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IVoice Non-RecurringVoice Non-Recurring- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IWholesale LD UsageWholesale LD Usage- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ILong Distance UsageLong Distance Usage- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Voice- 0- 0- 0- 0- 0- 0$ 1.0$ (0.1)- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ISettlement ChargesSettlement Charges- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&INon-Exempt TaxesNon-Exempt Taxes- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IFractionalFractional- 0- 0- 0- 0- 0- 0OOP backbilling months and removal of grooms discos.- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IBB/MRC OOP DisputesBB/MRC OOP Disputes- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IMRC Charges OOPMRC Charges OOP- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IMRC Projects OOPMRC Projects OOP- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IMRC Ethernet OOPMRC Ethernet OOP- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IEarly Termination FeeEarly Termination Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ICancellation FeeCancellation Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IDisconnect FeeDisconnect Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ILate FeeLate Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IExpedite FeeExpedite Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IProject FeeProject Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IRepairs and Maintenance FeeRepairs and Maintenance Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ICreditsCredits- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IDisputes ReservesDisputes Reserves- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IBuilding Access NRCBuilding Access NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IOther InterconnectOther Interconnect- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Non-Recurring Charges- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamConsumer CLEC InterconnectNon-recurring ChargesConsumer NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Non-Recurring Charges- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IAT&TAT&T- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&ICenturylinkCenturylink- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IFrontierFrontier- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
WindstreamCost Center excluding M&IVerizonVerizon- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Spend Plan Credit- 0- 0- 0- 0- 0- 0$ 0.1CTL Spend Plans - L3 Shortfall- 0- 0- 0- 0- 0- 0- 0- 00%
Interconnect Expense- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Var Apr
Windstream excl BroadviewReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReporting
WindstreamProformaProformaProformaProformaCurrent_ForecastProformaCurrent_ForecastProformaCurrent_ForecastProformaCurrent_Forecast
Windstream excl BroadviewFY18FY18FY18FY18FY18FY18FY18FY18FY18FY17FY18
JanFebMarAprAprQ-T-D(Apr)Q-T-D(Apr)Y-T-D(Apr)Y-T-D(Apr)Y-T-D(Apr)Y-T-D(Apr)
Interconnect Expense3 MO PRIORMTDQTDYTDY/Y
JanFebMarAprAprAprAprAprAprAprAprGrowth %
EntityFWGAccountActualActualActualActualForecastB/(W)CommentsActualForecastB/(W)ActualForecastB/(W)'17'18
Windstream excl BroadviewCost Center excluding M&IDS1 AccessDS1 Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IWireless AccessWireless Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IDS3 and AboveDS3 and Above- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IEthernet Over FiberEthernet Over Fiber- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IEthernet Over HFCEthernet Over HFC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IMPLS/Frame Relay/VPNMPLS/Frame Relay/VPN- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IInternational AccessInternational Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IDS0DS0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IOff-Net ResaleOff-Net Resale- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ICustomer Disconnect HoldsCustomer Disconnect Holds- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Customer Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ICharter DCharter D- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IDSLDSL- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IHyperlink InterconnectHyperlink- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ISecurity VASSecurity VAS- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IWeb Hosting InterconnectWeb Hosting- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IConsumer Interconnect OtherConsumer Other- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Consumer Interconnect- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewConsumer CLEC InterconnectNon-Recurring ChargesConsumer NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Consumer Interconnect- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IMetro BackhaulMetro Backhaul- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IOther BackhaulOther Backhaul- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IColocation ChargesColocation Charges- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ILonghaulLonghaul- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&INetwork CoreNetwork Core- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IInternet TransitInternet Transit- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IBroadband AccessBroadband Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IBuilding AccessBuilding Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IENNI AccessENNI Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Network Access- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IPole Attachment RentPole Attachment Rent- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IFiber & ConduitFiber & Conduit- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IIRU Lease ExpenseIRU Lease Expense- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IRack & Floor SpaceRack & Floor Space- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ISwitch & Central OfficeSwitch & Central Office- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IOther Leased FacilitiesOther Leased Facilities- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IPole Attachment NRCPole Attachment NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ILeased Network Facilities - NRCLeased Network Facilities - NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Leased Network Facility- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ILD MRCLD MRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ISS7 ExpenseSS7 Expense- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ICaller IDCaller ID- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IRecip CompRecip Comp- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ILocal TransitLocal Transit- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IDirectory ListingDirectory Listing- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IOperator ServicesOperator Services- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IDirectory AssistanceDirectory Assistance- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&I8YY Expense8YY Expense- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IWireless UsageWireless Usage- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IVoice Non-RecurringVoice Non-Recurring- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IWholesale LD UsageWholesale LD Usage- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ILong Distance UsageLong Distance Usage- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Voice- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ISettlement ChargesSettlement Charges- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&INon-Exempt TaxesNon-Exempt Taxes- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IFractionalFractional- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IBB/MRC OOP DisputesBB/MRC OOP Disputes- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IMRC Charges OOPMRC Charges OOP- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IMRC Projects OOPMRC Projects OOP- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IMRC Ethernet OOPMRC Ethernet OOP- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IEarly Termination FeeEarly Termination Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ICancellation FeeCancellation Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IDisconnect FeeDisconnect Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ILate FeeLate Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IExpedite FeeExpedite Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IProject FeeProject Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IRepairs and Maintenance FeeRepairs and Maintenance Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ICreditsCredits- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IDisputes ReservesDisputes Reserves- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IBuilding Access NRCBuilding Access NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IOther InterconnectOther Interconnect- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Non-Recurring Charges- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewConsumer CLEC InterconnectNon-recurring ChargesConsumer NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Non-Recurring Charges- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IAT&TAT&T- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&ICenturylinkCenturylink- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IFrontierFrontier- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Windstream excl BroadviewCost Center excluding M&IVerizonVerizon- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Spend Plan Credit- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Interconnect Expense- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00%
Plan Grid
Ledger Type
ProForma
2018
March
WindstreamFWG Customer Access Expense76,655,334
WindstreamFWG Consumer Interconnect Exp4,920,525
WindstreamFWG Network Access Expense31,464,514
WindstreamFWG Spend Plan Credits(819,328)
WindstreamFWG Non-Recurring Charges6,303,443
WindstreamFWG Intercompany Circuits23,788,763
WindstreamFWG Intercompany Eliminations - Interconnect(23,757,662)
WindstreamFWG Interconnect excluding Voice118,555,589
WindstreamFWG Leased Network Facilities15,146,378
WindstreamFWG Voice9,126,770
WindstreamFWGInterconnect Expense142,828,737
Earnings Release
ReportingReportingReportingReportingReportingReporting
ProformaProformaProformaProformaProformaProforma
FY18FY18FY18FY17FY18FY17
Q-T-D(Jun)Q-T-D(Mar)Q-T-D(Jun)Q-T-D(Jun)Y-T-D(Jun)Y-T-D(Jun)
Interconnect Total
QTD Jun '18QTD Mar '18Q1 to Q2QTD Jun '18QTD Jun '17Q1 to Q1YTD Jun '18YTD Jun '17Y / Y
EntityFWGAccountActualActualVarActualActualVarActualActualVar
Windstream_ConsolidatedCC_EXCLEXTCustomer Access ExpenseCustomer Access- 0- 0- 0- 0- 0- 0- 0- 0- 0
Windstream_ConsolidatedCC_EXCLEXTConsumer Interconnect ExpConsumer Interconnect- 0- 0- 0- 0- 0- 0- 0- 0- 0
Windstream_ConsolidatedCC_EXCLEXTNetwork Access ExpenseNetwork Access- 0- 0- 0- 0- 0- 0- 0- 0- 0
Windstream_ConsolidatedCC_EXCLEXTNon-Recurring ChargesNon-Recurring Charges- 0- 0- 0- 0- 0- 0- 0- 0- 0
Windstream_ConsolidatedCC_EXCLEXTLeased Network FacilitiesLeased Network Facilities- 0- 0- 0- 0- 0- 0- 0- 0- 0
Windstream_ConsolidatedCC_EXCLEXTVoiceVoice- 0- 0- 0- 0- 0- 0- 0- 0- 0
Windstream_ConsolidatedCC_EXCLEXTSpend Plan CreditsSpend Plan- 0- 0- 0- 0- 0- 0- 0- 0- 0
Total Expense- 0- 0- 0A- 0- 0- 0B- 0- 0- 0C
WindstreamCC_EXCLEXTInterconnect Expense- 0- 0- 0- 0- 0- 0- 0- 0- 0
ABetter due to continued MRC initiative wins $12.7M. Rachel to speak to Organic.
BBetter due to continued MRC initiative wins $51M offset by decreased Spend Plan Credits ($13.5M) from exiting the AT&T Spend Plan at end of 2017 and lower tier achievement on Centurylink in 2018. Rachel to speak to Organic.
CBetter due to continued MRC initiative wins $100M offset by decreased Spend Plan Credits ($25M) from exiting the AT&T Spend Plan at end of 2017 and lower tier achievement on Centurylink in 2018. Rachel to speak to Organic.
Initiative Calculator:
MO 1MO 2MO 3TOTAL
Q11,5091,6791,3774,564
Q21,4731,1061,6254,203
Q11,5093,1884,5649,261
Q26,0377,1438,76821,948
12,687
APRMAYJUNJULAUGSEPOCTNOVDECJANFEBMARTOTAL
Q2 171,0451,2441,3491,2952,3421,1691,1591,2561,0941,5091,6791,3773,638
Q2 181,4731,1061,6254,203
Q2 171,0452,2893,6384,9347,2768,4459,60410,86011,95413,46315,14216,5186,972
Q2 1817,99119,09720,72257,809
50,837
JANFEBMARAPRMAYJUNJULAUGSEPOCTNOVDECTOTAL
Q2 171,7341,4091,0441,0451,2441,3491,2952,3421,1691,1591,2561,0944,187
Q2 181,5091,6791,3771,4731,1061,6254,564
Q2 171,7343,1434,1875,2336,4767,8269,12111,46312,63213,79115,04716,14128,599
Q2 1817,65019,32920,70622,17823,28424,909128,057
99,457
1Q 19
ReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReporting
InvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestor
FY17FY17FY17FY17FY17FY17FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY19FY19FY19FY17FY17FY18FY18FY18FY18FY19
JulAugSepOctNovDecJanFebMarAprMayJunJulAugSepOctNovDecJanFebMarQ-T-D(Sep)Q-T-D(Dec)Q-T-D(Mar)Q-T-D(Jun)Q-T-D(Sep)Q-T-D(Dec)Q-T-D(Mar)
Interconnect ExpenseBY MONTH
FY17FY17FY17FY17FY17FY17FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY19FY19FY19FY17FY17FY18FY18FY18FY18FY19
JulAugSepOctNovDecJanFebMarAprMayJunJulAugSepOctNovDecJanFebMarQ-T-D(Sep)Q-T-D(Dec)Q-T-D(Mar)Q-T-D(Jun)Q-T-D(Sep)Q-T-D(Dec)Q-T-D(Mar)
EntityFWGAccountActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActual
CustomerTDM150145136129124115107
CustomerIP/Ethernet95959596949389
CLEC Consumer- 0- 0- 0- 0- 0- 0- 0
NetworkTDM86838183827877
NetworkIP/Ethernet1414134222
Hardcode Update in Old FileTDM112
IP/Ethernet(11)(2)
W/ Hardcode Update in Old FileTDM9185827877
IP/Ethernet22222
Total Interconnect excl LNF367359356346330331322
391384379367352- 0- 0
WindstreamCost Center excluding M&IDS1 AccessDS1 Access33.232.732.131.631.130.730.129.028.427.927.126.426.525.825.124.423.522.922.421.721.497.993.487.581.477.470.865.6TDM
WindstreamCost Center excluding M&IWireless AccessWireless Access0.30.30.30.30.30.30.30.30.40.30.20.20.20.20.20.20.20.20.20.20.20.91.01.10.70.50.50.5IP/Ethernet
WindstreamCost Center excluding M&IDS3 and AboveDS3 and Above3.63.63.33.43.23.12.92.82.72.72.92.82.72.62.62.52.42.42.22.22.110.59.68.48.47.97.36.5TDM
WindstreamCost Center excluding M&IEthernet Over FiberEthernet Over Fiber30.030.730.730.630.330.330.430.330.031.030.730.430.230.029.829.729.329.127.927.527.291.491.290.692.290.088.182.6IP/Ethernet
WindstreamCost Center excluding M&IEthernet Over HFCEthernet Over HFC0.40.60.70.70.70.80.80.80.90.91.01.01.01.11.21.41.31.41.71.81.91.72.22.52.93.34.05.5IP/Ethernet
WindstreamCost Center excluding M&IMPLS/Frame Relay/VPNMPLS/Frame Relay/VPN0.60.60.60.50.50.50.50.50.50.30.10.10.10.10.10.10.10.10.10.10.11.81.61.40.50.40.30.2TDM
WindstreamCost Center excluding M&IInternational AccessInternational Access0.30.30.20.20.20.20.20.20.20.00.00.0- 0- 0- 0- 0- 0- 0- 0- 0- 00.70.70.60.1- 0- 0- 0IP/Ethernet
WindstreamCost Center excluding M&IDS0DS05.25.85.75.65.55.65.55.55.35.25.15.15.04.95.04.84.84.74.64.54.516.616.716.315.415.014.313.6TDM
WindstreamCost Center excluding M&IOff-Net ResaleOff-Net Resale7.08.38.18.08.07.87.67.67.57.77.97.87.97.67.67.47.37.36.96.96.823.423.822.823.323.122.020.6TDM
WindstreamCost Center excluding M&ICustomer Disconnect HoldsCustomer Disconnect Holds- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0TDM
Customer Access80.582.881.781.079.979.378.477.075.976.175.073.873.772.471.670.568.968.066.164.964.2245.0240.2231.3224.9217.6207.4195.1
WindstreamCost Center excluding M&ICharter DCharter D- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0CLEC Consumer
WindstreamCost Center excluding M&IDSLDSL- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0CLEC Consumer
WindstreamCost Center excluding M&IHyperlink InterconnectHyperlink- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0CLEC Consumer
WindstreamCost Center excluding M&ISecurity VASSecurity VAS- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0CLEC Consumer
WindstreamCost Center excluding M&IWeb Hosting InterconnectWeb Hosting- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0CLEC Consumer
WindstreamCost Center excluding M&IConsumer Interconnect OtherConsumer Other- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0CLEC Consumer
Consumer MRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0
WindstreamConsumer CLEC InterconnectNon-Recurring ChargesConsumer NRC- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(0.0)0.0- 0(0.0)0.00.1(0.0)0.0(0.0)- 0- 0- 0- 00.00.1(0.0)
Consumer Interconnect- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(0.0)0.0- 0- 0- 0- 0(0.0)0.0(0.0)- 0- 0- 0- 00.00.1(0.0)
WindstreamCost Center excluding M&IMetro BackhaulMetro Backhaul17.517.817.817.116.716.416.115.915.616.217.016.916.816.516.015.615.615.415.515.414.953.250.347.750.249.446.645.8TDM
WindstreamCost Center excluding M&IOther BackhaulOther Backhaul0.30.30.30.20.20.20.20.20.20.10.00.00.00.00.00.00.00.00.00.00.00.80.70.70.10.00.00.0TDM
WindstreamCost Center excluding M&IColocation ChargesColocation Charges8.79.09.09.09.09.09.09.18.99.29.29.39.29.19.09.09.09.09.19.19.026.727.127.027.627.427.027.2TDM
WindstreamCost Center excluding M&ILonghaulLonghaul2.42.32.32.32.22.22.12.12.01.20.10.00.00.00.00.00.00.00.00.00.07.06.76.21.30.00.00.0IP/Ethernet
WindstreamCost Center excluding M&INetwork CoreNetwork Core0.10.10.10.10.10.10.10.10.10.00.00.00.00.00.00.00.0- 00.00.0- 00.30.30.20.00.00.00IP/Ethernet
WindstreamCost Center excluding M&IInternet TransitInternet Transit0.10.20.20.20.10.10.10.10.10.10.10.10.10.10.10.10.20.20.10.10.20.40.40.40.30.40.50.4IP/Ethernet
WindstreamCost Center excluding M&IBroadband AccessBroadband Access0.10.10.10.10.10.10.10.10.10.00.00.00.00.00.00.00.00.00.00.00.00.20.20.20.00.00.00.0IP/Ethernet
WindstreamCost Center excluding M&IBuilding AccessBuilding Access0.40.40.40.40.40.40.40.40.40.40.40.40.40.50.50.40.50.50.50.50.51.11.21.21.31.41.41.4IP/Ethernet
WindstreamCost Center excluding M&IENNI AccessENNI Access1.61.61.61.61.61.61.61.61.60.90.20.20.20.20.10.10.10.10.10.10.14.84.94.71.30.50.40.4IP/Ethernet
Network Access31.131.831.731.030.530.129.729.529.028.227.027.026.826.425.825.325.425.225.325.324.794.591.788.382.279.075.975.3
WindstreamCost Center excluding M&IILEC - NetworkNetwork ILEC1.91.91.91.81.81.81.81.81.71.71.71.61.61.61.61.51.51.51.41.31.25.65.55.35.04.84.63.9TDM
WindstreamCost Center excluding M&IPole Attachment RentPole Attachment Rent3.33.23.23.23.23.23.33.33.33.33.33.33.33.33.33.33.33.33.33.33.39.79.79.89.89.89.810.0
WindstreamCost Center excluding M&IFiber & ConduitFiber & Conduit2.02.32.32.32.32.32.32.32.32.22.12.12.12.02.12.02.02.02.02.02.06.66.96.96.46.26.06.1
WindstreamCost Center excluding M&IIRU Lease ExpenseIRU Lease Expense2.42.42.42.42.42.42.42.52.42.52.62.72.82.92.93.03.03.03.03.13.17.27.27.37.88.69.09.2
WindstreamCost Center excluding M&IRack & Floor SpaceRack & Floor Space1.61.71.71.81.91.81.81.71.81.51.51.31.11.01.01.01.01.01.01.01.05.15.55.34.33.12.92.9
WindstreamCost Center excluding M&ISwitch & Central OfficeSwitch & Central Office3.23.33.33.33.43.43.53.53.53.53.53.53.63.63.63.63.63.63.73.73.79.910.210.410.510.710.811.1
WindstreamCost Center excluding M&IOther Leased FacilitiesOther Leased Facilities1.82.02.01.91.91.71.71.71.71.81.71.71.71.71.71.71.71.71.61.61.75.85.55.15.25.25.04.9
WindstreamCost Center excluding M&IPole Attachment NRCPole Attachment NRC0.0(0.3)0.1(0.3)0.0(0.2)(0.3)(0.4)(0.0)(0.0)0.00.1(0.1)(0.0)0.0(0.1)(0.2)0.00.1(0.2)0.0(0.2)(0.4)(0.7)0.1(0.1)(0.3)(0.0)
WindstreamCost Center excluding M&ILeased Network Facilities - NRCLeased Network Facilities - NRC0.40.4(0.2)0.5(0.4)(0.1)0.20.50.20.1(0.2)0.30.10.2(0.3)(0.0)0.10.10.50.31.00.60.00.90.20.00.21.8
Leased Network Facility14.715.014.915.314.814.514.915.015.114.814.614.814.514.714.314.514.414.615.314.915.844.644.645.044.243.543.546.0
WindstreamCost Center excluding M&ILD MRCLD MRC1.21.21.21.21.21.21.11.11.11.41.81.91.81.81.71.71.61.82.01.81.83.73.63.35.15.45.05.5
WindstreamCost Center excluding M&ISS7 ExpenseSS7 Expense0.50.60.50.50.60.60.50.50.50.40.80.40.30.40.40.30.30.30.30.30.31.61.71.61.71.10.90.9
WindstreamCost Center excluding M&ICaller IDCaller ID0.30.30.30.30.40.40.30.30.40.40.40.40.30.30.30.30.30.30.30.30.30.91.01.01.11.01.00.9
WindstreamCost Center excluding M&IRecip CompRecip Comp0.40.40.40.40.40.40.40.30.40.30.20.20.20.20.10.10.10.10.10.10.11.11.11.10.80.40.30.2
WindstreamCost Center excluding M&ILocal TransitLocal Transit0.20.20.20.20.20.20.20.20.20.20.20.20.20.10.20.20.20.20.20.20.20.60.60.50.50.50.60.6
WindstreamCost Center excluding M&IDirectory ListingDirectory Listing0.50.50.50.50.50.50.50.40.40.40.40.40.40.40.40.40.40.40.40.40.41.61.41.41.21.11.11.1
WindstreamCost Center excluding M&IOperator ServicesOperator Services0.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.10.10.10.10.10.10.0
WindstreamCost Center excluding M&IDirectory AssistanceDirectory Assistance0.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.40.40.40.30.30.30.3
WindstreamCost Center excluding M&I8YY Expense8YY Expense0.20.40.30.20.20.20.30.20.20.20.20.20.20.20.20.30.20.20.20.20.20.90.60.70.70.70.70.5
WindstreamCost Center excluding M&IWireless UsageWireless Usage0.20.20.10.00.10.00.00.10.20.00.00.00.00.00.00.00.00.00.00.00.00.40.10.30.10.10.10.1
WindstreamCost Center excluding M&IVoice Non-RecurringVoice Non-Recurring(0.1)(0.2)(0.0)(0.1)(0.1)(0.1)(0.0)(0.0)(0.1)0.1(0.2)0.1(0.2)(0.3)(0.0)0.20.00.20.0(0.1)0.1(0.3)(0.3)(0.1)(0.0)(0.5)0.40.1
WindstreamCost Center excluding M&IWholesale LD UsageWholesale LD Usage0.10.00.0(0.0)0.00.0(0.0)(0.0)(0.0)0.00.0(0.0)(0.0)0.0(0.0)(0.0)0.00.00.00.00.00.10.0(0.0)0.00.00.00.0
WindstreamCost Center excluding M&ILong Distance UsageLong Distance Usage6.16.56.26.25.65.35.75.15.24.84.85.05.05.25.05.75.55.86.96.36.118.717.116.014.615.217.119.3
Voice9.710.29.89.79.18.79.18.48.78.58.88.98.48.68.49.48.89.410.59.69.529.727.426.226.225.427.529.6
WindstreamINTCNCT_excl_CON Settlement ChargesSettlement Charges0.40.30.30.40.40.30.30.30.40.30.30.10.20.20.20.20.2(0.1)- 0(0.3)- 01.01.11.10.60.50.3(0.3)
WindstreamINTCNCT_excl_CON Non-Exempt TaxesNon-Exempt Taxes0.50.40.50.70.60.50.60.60.60.60.80.60.90.70.70.70.60.70.70.70.91.51.81.82.02.32.12.2
WindstreamINTCNCT_excl_CON Fractional - InstallationFractional - Installation- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 01.21.31.31.8- 0- 0- 0- 0- 01.24.4
WindstreamINTCNCT_excl_CON Fractional - DisconnectFractional - Disconnect- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(1.6)(1.4)(1.4)(1.5)- 0- 0- 0- 0- 0(1.6)(4.3)
WindstreamINTCNCT_excl_CON Fractional - ProjectFractional - Project- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(0.2)(0.0)0.00.1- 0- 0- 0- 0- 0(0.2)0.1
WindstreamINTCNCT_excl_CON Fractional - Rate ChangeFractional - Rate Change- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00.4(0.1)0.10.4- 0- 0- 0- 0- 00.40.4
WindstreamINTCNCT_excl_CON Fractional - OtherFractional - Other0.5(0.4)(0.3)(0.4)(0.3)(0.1)0.10.2(0.2)(0.0)0.3(0.2)0.4(1.1)(0.2)(0.4)(0.4)0.00.4(0.1)0.1(0.1)(0.8)0.10.1(0.8)(0.8)0.3
WindstreamINTCNCT_excl_CON BB/MRC OOP DisputesBB/MRC OOP Disputes(0.4)(2.4)(0.1)(1.3)(0.7)(0.4)(0.3)(1.5)(0.2)(1.5)(2.1)0.2(3.5)1.8(2.9)(0.7)(1.8)(0.0)0.10.1(0.1)(3.0)(2.3)(2.0)(3.4)(4.6)(2.5)0.1
WindstreamINTCNCT_excl_CON Disputes - Cost AvoidanceDisputes - Cost Avoidance- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(2.3)(1.6)(2.0)(2.9)- 0- 0- 0- 0- 0(2.3)(6.4)
WindstreamINTCNCT_excl_CON Disputes - InitiativeDisputes - Initiative- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(1.9)(0.6)(0.7)(2.0)- 0- 0- 0- 0- 0(1.9)(3.2)
WindstreamINTCNCT_excl_CON Disputes - OptimizationDisputes - Optimization- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00.20.40.3(0.0)- 0- 0- 0- 0- 00.20.6
WindstreamINTCNCT_excl_CON MRC Charges OOPMRC Charges OOP0.50.50.40.10.20.30.60.00.20.71.60.50.30.50.30.40.60.0(0.3)(0.1)0.11.30.50.92.71.11.0(0.3)
WindstreamINTCNCT_excl_CON MRC Projects OOPMRC Projects OOP0.40.50.10.10.50.50.90.91.10.80.81.80.70.81.00.81.50.82.10.91.31.01.12.93.42.63.14.3
WindstreamINTCNCT_excl_CON MRC Ethernet OOPMRC Ethernet OOP0.10.10.10.10.30.10.00.00.10.10.10.20.1- 0- 0- 0- 0- 0- 0- 0- 00.30.60.20.40.1- 0- 0
WindstreamINTCNCT_excl_CON Early Termination FeeEarly Termination Fee- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0
WindstreamINTCNCT_excl_CON Cancellation FeeCancellation Fee0.00.00.00.0(0.0)(0.0)- 0- 0- 0- 0(0.0)- 0(0.0)(0.0)(0.0)0.0(0.0)- 0- 0- 0- 00.0(0.0)- 0(0.0)(0.0)0.0- 0
WindstreamINTCNCT_excl_CON Disconnect FeeDisconnect Fee0.10.20.10.10.10.10.00.10.10.00.10.00.00.00.10.00.1- 00.0- 0- 00.40.20.20.10.10.10.0
WindstreamINTCNCT_excl_CON Late FeeLate Fee0.30.30.20.30.30.30.50.60.60.40.20.10.80.30.40.10.61.91.61.92.10.80.91.60.71.62.75.6
WindstreamINTCNCT_excl_CON Expedite FeeExpedite Fee(0.0)- 00.00.00.0- 00.00.00.0(0.0)- 0- 0- 0(0.0)- 0- 0- 0(0.0)- 0- 0- 0- 00.00.0(0.0)(0.0)(0.0)- 0
WindstreamINTCNCT_excl_CON Project FeeProject Fee0.30.40.50.50.51.00.30.40.30.40.90.80.70.80.50.30.90.10.00.20.21.21.91.02.11.91.30.4
WindstreamINTCNCT_excl_CON Repairs and Maintenance FeeRepairs and Maintenance Fee0.00.00.0- 00.0- 0- 0(0.0)- 0- 0(0.0)(0.0)(0.0)(0.0)(0.0)(0.0)(0.0)0.00.0- 0- 00.00.0(0.0)(0.0)(0.0)0.00.0
WindstreamINTCNCT_excl_CON CreditsCredits(0.2)(0.5)(0.4)(0.5)(0.4)(0.4)(0.3)(0.3)(0.2)(0.2)(0.0)(0.7)(0.3)(0.3)(0.3)(0.3)(0.3)(0.2)(0.2)(0.4)(0.7)(1.2)(1.3)(0.9)(0.8)(0.9)(0.8)(1.3)
WindstreamINTCNCT_excl_CON Disputes ReservesDisputes Reserves- 0- 0- 0(0.0)(0.0)(0.0)- 0(0.0)- 0- 0- 0- 0- 0- 0- 0- 0- 00.0- 00.0- 0- 0(0.0)(0.0)- 0- 00.00.0
WindstreamINTCNCT_excl_CON Building Access NRCBuilding Access NRC0.10.00.00.00.00.10.00.00.00.00.00.00.00.00.00.00.00.61.50.91.20.10.10.10.00.00.63.6
WindstreamINTCNCT_excl_CON Other InterconnectOther Interconnect0.3(2.3)0.3(0.0)0.00.2(0.0)0.01.5(0.2)1.21.00.3(0.1)(0.1)(0.0)0.21.20.10.00.5(1.7)0.21.51.90.11.30.7
Non-Recurring Charges (Includes Access Telephone)2.8(2.9)1.6(0.1)1.62.52.91.44.21.34.04.40.73.8(0.3)4.35.17.07.45.15.61.54.18.59.74.116.318.1
WindstreamCost Center excluding M&IAT&TAT&T(2.0)(2.1)(2.1)(2.0)(2.0)(3.3)(0.1)- 0- 0- 0- 0- 00.2- 0- 0- 0- 0- 0- 0- 0- 0(6.1)(7.3)(0.1)- 00.2- 0- 0
WindstreamCost Center excluding M&ICenturylinkCenturylink(1.0)(1.2)(1.1)(1.1)(1.1)(0.5)(1.0)(1.1)(0.8)(0.8)(0.6)(0.5)(0.8)(0.8)0.3- 0(0.8)0.00.00.10.0(3.3)(2.7)(2.9)(1.9)(1.3)(0.8)0.1
WindstreamCost Center excluding M&IFrontierFrontier- 00.1- 0- 0- 0- 0- 0- 0- 0- 0- 00.10.00.1- 0- 00.00.1- 00.10.00.1- 0- 00.10.10.10.1
WindstreamCost Center excluding M&IVerizonVerizon- 0- 0- 0- 0- 0(0.0)- 0- 0- 0- 0- 0- 0- 00.0- 0- 0- 0- 0- 0- 0- 0- 0(0.0)- 0- 00.0- 0- 0
Spend Plan Credit(3.0)(3.2)(3.2)(3.1)(3.1)(3.8)(1.1)(1.1)(0.8)(0.8)(0.6)(0.4)(0.6)(0.7)0.3- 0(0.8)0.10.00.20.0(9.4)(10.0)(3.0)(1.8)(1.0)(0.7)0.2
Interconnect Expense137.7135.5138.3135.6134.6133.1135.6132.0133.9129.7130.5130.3125.0126.8121.6125.4123.3125.8125.9121.2121.1411.5403.4401.5390.4373.4374.6368.2
111.0108.9111.1331.1322.3
Summ1Q19
Last Tweleve Months4Q vs. 3Q1Q vs. 4Q
3Q174Q171Q182Q183Q184Q181Q19LTM% OfBet / (Wor)Bet / (Wor)
TDM1511471391311261151074788.8%7.1%
IP/Ethernet959595969493893711.3%4.4%
Last Mile Access24624223422722020719584963%5.6%5.9%
TDM89848178773203.1%1.5%
IP/Ethernet432229-2.2%2.0%
Network Access928783807932924%3.0%1.6%
Voice/Other145142535350434819413%13.1%-10.6%`
Interconnect3913843793673523313221,373100%6.0%2.7%
Annualized1,5651,5361,5171,4691,4101,3251,28924.2%10.7%
Final 1Q19 Table
2Q192Q vs. 1Q
AnnualizedSequential
TDM400(6.3%)
IP/Ethernet347(2.0%)
Last Mile Access747(4.3%)
TDM298(3.3%)
IP/Ethernet9(2.0%)
Network Access307(3.2%)
- 00.0%
Voice/Other139(27.5%)
Interconnect1,193(7.5%)
4Q18
ReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReporting
InvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestor
FY17FY17FY17FY17FY17FY17FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY17FY17FY18FY18FY18FY18
JulAugSepOctNovDecJanFebMarAprMayJunJulAugSepOctNovDecQ-T-D(Sep)Q-T-D(Dec)Q-T-D(Mar)Q-T-D(Jun)Q-T-D(Sep)Q-T-D(Dec)
Interconnect ExpenseBY MONTH
FY17FY17FY17FY17FY17FY17FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY18FY17FY17FY18FY18FY18FY18
JulAugSepOctNovDecJanFebMarAprMayJunJulAugSepOctNovDecQ-T-D(Sep)Q-T-D(Dec)Q-T-D(Mar)Q-T-D(Jun)Q-T-D(Sep)Q-T-D(Dec)
EntityFWGAccountActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActual
CustomerTDM151147139131126116
CustomerIP/Ethernet959595969493
CLEC Consumer- 0- 0- 0- 0- 0- 0
NetworkTDM868381838278
NetworkIP/Ethernet141413422
Hardcode Update in Old FileTDM112
IP/Ethernet(11)(2)
W/ Hardcode Update in Old FileTDM91858278
IP/Ethernet2222
Total Interconnect excl LNF391384380367352341
391384379367352- 0
WindstreamCost Center excluding M&IDS1 AccessDS1 Access33.232.732.131.631.130.730.129.028.427.927.126.426.525.825.124.423.522.997.993.487.581.477.470.8TDM
WindstreamCost Center excluding M&IWireless AccessWireless Access0.30.30.30.30.30.30.30.30.40.30.20.20.20.20.20.20.20.20.91.01.10.70.50.5IP/Ethernet
WindstreamCost Center excluding M&IDS3 and AboveDS3 and Above3.63.63.33.43.23.12.92.82.72.72.92.82.72.62.62.52.42.410.59.68.48.47.97.3TDM
WindstreamCost Center excluding M&IEthernet Over FiberEthernet Over Fiber30.030.730.730.630.330.330.430.330.031.030.730.430.230.029.829.729.329.191.491.290.692.290.088.1IP/Ethernet
WindstreamCost Center excluding M&IEthernet Over HFCEthernet Over HFC0.40.60.70.70.70.80.80.80.90.91.01.01.01.11.21.41.31.41.72.22.52.93.34.0IP/Ethernet
WindstreamCost Center excluding M&IMPLS/Frame Relay/VPNMPLS/Frame Relay/VPN0.60.60.60.50.50.50.50.50.50.30.10.10.10.10.10.10.10.11.81.61.40.50.40.3TDM
WindstreamCost Center excluding M&IInternational AccessInternational Access0.30.30.20.20.20.20.20.20.20.00.00.0- 0- 0- 0- 0- 0- 00.70.70.60.1- 0- 0IP/Ethernet
WindstreamCost Center excluding M&IDS0DS05.25.85.75.65.55.65.55.55.35.25.15.15.04.95.04.84.84.716.616.716.315.415.014.3TDM
WindstreamCost Center excluding M&IOff-Net ResaleOff-Net Resale7.08.38.18.08.07.87.67.67.57.77.97.87.97.67.67.47.37.323.423.822.823.323.122.0TDM
WindstreamCost Center excluding M&ICustomer Disconnect HoldsCustomer Disconnect Holds0.20.30.40.60.80.80.80.80.80.80.70.80.70.70.60.40.50.50.82.22.42.22.01.4TDM
Customer Access80.783.182.081.680.680.179.277.876.776.975.774.674.473.172.170.969.468.5245.8242.3233.7227.1219.6208.8
WindstreamCost Center excluding M&ICharter DCharter D2.62.52.42.42.32.32.22.22.12.12.02.02.01.91.91.91.81.87.57.06.66.15.75.4CLEC Consumer
WindstreamCost Center excluding M&IDSLDSL1.31.31.21.21.21.21.11.11.01.01.01.00.90.90.90.90.90.93.83.53.23.02.82.7CLEC Consumer
WindstreamCost Center excluding M&IHyperlink InterconnectHyperlink1.01.31.51.51.41.51.41.31.21.21.11.01.21.11.00.91.01.13.84.43.83.23.23.1CLEC Consumer
WindstreamCost Center excluding M&ISecurity VASSecurity VAS0.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.70.70.70.70.70.7CLEC Consumer
WindstreamCost Center excluding M&IWeb Hosting InterconnectWeb Hosting0.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.40.40.40.40.40.4CLEC Consumer
WindstreamCost Center excluding M&IConsumer Interconnect OtherConsumer Other0.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.60.60.60.50.50.5CLEC Consumer
Consumer MRC5.45.65.85.75.55.55.25.14.94.84.74.54.64.44.34.24.34.316.816.615.214.013.312.7
WindstreamConsumer CLEC InterconnectNon-Recurring ChargesConsumer NRC0.00.2(0.0)0.00.1(0.3)(0.1)(0.3)0.00.2(0.3)0.10.6(0.2)0.20.10.60.60.2(0.2)(0.4)0.10.61.3
Consumer Interconnect5.45.85.75.75.65.25.14.94.95.14.44.65.24.34.44.34.94.917.016.514.914.113.914.1
WindstreamCost Center excluding M&IMetro BackhaulMetro Backhaul17.117.317.416.916.616.216.015.815.616.217.617.217.016.716.215.915.715.451.849.747.451.049.947.0TDM
WindstreamCost Center excluding M&IOther BackhaulOther Backhaul0.30.30.30.20.20.20.20.20.20.10.00.00.00.00.00.00.00.00.80.70.70.10.00.0TDM
WindstreamCost Center excluding M&IColocation ChargesColocation Charges8.79.09.09.09.09.09.09.18.99.29.29.39.29.19.09.09.09.026.727.127.027.627.427.0TDM
WindstreamCost Center excluding M&ILonghaulLonghaul2.42.32.32.32.22.22.12.12.01.20.10.00.00.00.00.00.00.07.06.76.21.30.00.0IP/Ethernet
WindstreamCost Center excluding M&INetwork CoreNetwork Core0.10.10.10.10.10.10.10.10.10.00.00.00.00.00.00.00.0- 00.30.30.20.00.00.0IP/Ethernet
WindstreamCost Center excluding M&IInternet TransitInternet Transit0.10.20.20.20.10.10.10.10.10.10.10.10.10.10.10.10.20.20.40.40.40.30.40.5IP/Ethernet
WindstreamCost Center excluding M&IBroadband AccessBroadband Access0.10.10.10.10.10.10.10.10.10.00.00.00.00.00.00.00.00.00.20.20.20.00.00.0IP/Ethernet
WindstreamCost Center excluding M&IBuilding AccessBuilding Access0.40.40.40.40.40.40.40.40.40.40.40.40.40.50.50.40.50.51.11.21.21.31.41.4IP/Ethernet
WindstreamCost Center excluding M&IENNI AccessENNI Access1.61.61.61.61.61.61.61.61.60.90.20.20.20.20.10.10.10.14.84.94.71.30.50.4IP/Ethernet
Network Access30.631.231.230.730.330.029.629.429.028.227.627.326.926.626.025.625.525.293.191.088.083.079.576.3
WindstreamCost Center excluding M&IILEC - NetworkNetwork ILEC2.32.42.32.12.02.01.91.91.81.71.11.41.51.41.31.21.51.57.16.15.64.24.24.2TDM
WindstreamCost Center excluding M&IPole Attachment RentPole Attachment Rent3.33.23.23.23.23.23.33.33.33.33.33.33.33.33.33.33.33.39.79.79.89.89.89.8
WindstreamCost Center excluding M&IFiber & ConduitFiber & Conduit2.02.32.32.32.32.32.32.32.32.22.12.12.12.02.12.02.02.06.66.96.96.46.26.0
WindstreamCost Center excluding M&IIRU Lease ExpenseIRU Lease Expense2.42.42.42.42.42.42.42.52.42.52.62.72.82.92.93.03.03.07.27.27.37.88.69.0
WindstreamCost Center excluding M&IRack & Floor SpaceRack & Floor Space1.61.71.71.81.91.81.81.71.81.51.51.31.11.01.01.01.01.05.15.55.34.33.12.9
WindstreamCost Center excluding M&ISwitch & Central OfficeSwitch & Central Office3.23.33.33.33.43.43.53.53.53.53.53.53.63.63.63.63.63.69.910.210.410.510.710.8
WindstreamCost Center excluding M&IOther Leased FacilitiesOther Leased Facilities1.82.02.01.91.91.71.71.71.71.81.71.71.71.71.71.71.71.75.85.55.15.25.25.0
WindstreamCost Center excluding M&IPole Attachment NRCPole Attachment NRC0.0(0.3)0.1(0.3)0.0(0.2)(0.3)(0.4)(0.0)(0.0)0.00.1(0.1)(0.0)0.0(0.1)(0.2)0.0(0.2)(0.4)(0.7)0.1(0.1)(0.3)
WindstreamCost Center excluding M&ILeased Network Facilities - NRCLeased Network Facilities - NRC0.40.4(0.2)0.5(0.4)(0.1)0.20.50.20.1(0.2)0.30.10.2(0.3)(0.0)0.10.10.60.00.90.20.00.2
Leased Network Facility14.715.014.915.314.814.514.915.015.114.814.614.814.514.714.314.514.414.644.644.645.044.243.543.5
WindstreamCost Center excluding M&ILD MRCLD MRC1.21.21.21.21.21.21.11.11.11.41.81.91.81.81.71.71.61.83.73.63.35.15.45.0
WindstreamCost Center excluding M&ISS7 ExpenseSS7 Expense0.50.60.50.50.60.60.50.50.50.40.80.40.30.40.40.30.30.31.61.71.61.71.10.9
WindstreamCost Center excluding M&ICaller IDCaller ID0.30.30.30.30.40.40.30.30.40.40.40.40.30.30.30.30.30.30.91.01.01.11.01.0
WindstreamCost Center excluding M&IRecip CompRecip Comp0.40.40.40.40.40.40.40.30.40.30.20.20.20.20.10.10.10.11.11.11.10.80.40.3
WindstreamCost Center excluding M&ILocal TransitLocal Transit0.20.20.20.20.20.20.20.20.20.20.20.20.20.10.20.20.20.20.60.60.50.50.50.6
WindstreamCost Center excluding M&IDirectory ListingDirectory Listing0.50.50.50.50.50.50.50.40.40.40.40.40.40.40.40.40.40.41.61.41.41.21.11.1
WindstreamCost Center excluding M&IOperator ServicesOperator Services0.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.10.10.10.10.10.1
WindstreamCost Center excluding M&IDirectory AssistanceDirectory Assistance0.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.40.40.40.30.30.3
WindstreamCost Center excluding M&I8YY Expense8YY Expense0.20.40.30.20.20.20.30.20.20.20.20.20.20.20.20.30.20.20.90.60.70.70.70.7
WindstreamCost Center excluding M&IWireless UsageWireless Usage0.20.20.10.00.10.00.00.10.20.00.00.00.00.00.00.00.00.00.40.10.30.10.10.1
WindstreamCost Center excluding M&IVoice Non-RecurringVoice Non-Recurring(0.1)(0.2)(0.0)(0.1)(0.1)(0.1)(0.0)(0.0)(0.1)0.1(0.2)0.1(0.2)(0.3)(0.0)0.20.00.2(0.3)(0.3)(0.1)(0.0)(0.5)0.4
WindstreamCost Center excluding M&IWholesale LD UsageWholesale LD Usage0.10.00.0(0.0)0.00.0(0.0)(0.0)(0.0)0.00.0(0.0)(0.0)0.0(0.0)- 00.00.00.10.0(0.0)0.00.00.0
WindstreamCost Center excluding M&ILong Distance UsageLong Distance Usage6.16.56.26.25.65.35.75.15.24.84.85.05.05.25.05.75.55.818.717.116.014.615.217.1
Voice9.710.29.89.79.18.79.18.48.78.58.88.98.48.68.49.48.89.429.727.426.226.225.427.5
WindstreamINTCNCT_excl_CON Settlement ChargesSettlement Charges0.40.30.30.40.40.30.30.30.40.30.30.10.20.20.20.20.2(0.1)1.01.11.10.60.50.3
WindstreamINTCNCT_excl_CON Non-Exempt TaxesNon-Exempt Taxes0.50.40.50.70.60.50.60.60.60.60.80.60.90.70.70.70.60.71.51.81.82.02.32.1
WindstreamINTCNCT_excl_CON Fractional - InstallationFractional - Installation- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 01.2- 0- 0- 0- 0- 01.2
WindstreamINTCNCT_excl_CON Fractional - DisconnectFractional - Disconnect- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(1.6)- 0- 0- 0- 0- 0(1.6)
WindstreamINTCNCT_excl_CON Fractional - ProjectFractional - Project- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(0.2)- 0- 0- 0- 0- 0(0.2)
WindstreamINTCNCT_excl_CON Fractional - Rate ChangeFractional - Rate Change- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00.4- 0- 0- 0- 0- 00.4
WindstreamINTCNCT_excl_CON Fractional - OtherFractional - Other0.5(0.4)(0.3)(0.4)(0.3)(0.1)0.10.2(0.2)(0.0)0.3(0.2)0.4(1.1)(0.2)(0.4)(0.4)0.0(0.1)(0.8)0.10.1(0.8)(0.8)
WindstreamINTCNCT_excl_CON BB/MRC OOP DisputesBB/MRC OOP Disputes(0.4)(2.4)(0.1)(1.3)(0.6)(0.4)(0.3)(1.5)(0.2)(1.5)(2.1)0.2(3.5)1.8(2.9)(0.7)(1.8)(0.0)(2.9)(2.3)(2.0)(3.4)(4.6)(2.5)
WindstreamINTCNCT_excl_CON Disputes - Cost AvoidanceDisputes - Cost Avoidance- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(2.3)- 0- 0- 0- 0- 0(2.3)
WindstreamINTCNCT_excl_CON Disputes - InitiativeDisputes - Initiative- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0(1.9)- 0- 0- 0- 0- 0(1.9)
WindstreamINTCNCT_excl_CON Disputes - OptimizationDisputes - Optimization- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 0- 00.2- 0- 0- 0- 0- 00.2
WindstreamINTCNCT_excl_CON MRC Charges OOPMRC Charges OOP0.50.50.40.10.20.30.60.00.20.71.60.50.30.50.30.40.60.01.30.50.92.71.11.0
WindstreamINTCNCT_excl_CON MRC Projects OOPMRC Projects OOP0.40.50.10.10.50.50.90.91.10.80.81.80.70.81.00.81.50.80.91.12.93.42.63.1
WindstreamINTCNCT_excl_CON MRC Ethernet OOPMRC Ethernet OOP0.10.10.10.10.30.10.00.00.10.10.10.20.1- 0- 0- 0- 0- 00.30.60.20.40.1- 0
WindstreamINTCNCT_excl_CON Early Termination FeeEarly Termination Fee0.61.31.11.11.51.11.21.01.01.10.41.11.11.50.81.11.02.23.03.73.32.53.44.2
WindstreamINTCNCT_excl_CON Cancellation FeeCancellation Fee0.20.40.40.30.40.40.30.30.50.30.20.20.40.40.20.30.3(0.0)1.01.11.10.71.10.6
WindstreamINTCNCT_excl_CON Disconnect FeeDisconnect Fee0.10.20.10.10.10.10.00.10.10.00.10.00.00.00.10.00.1- 00.40.20.20.10.10.1
WindstreamINTCNCT_excl_CON Late FeeLate Fee0.30.30.20.30.30.30.50.60.60.40.20.10.80.30.40.10.61.90.80.81.60.71.62.7
WindstreamINTCNCT_excl_CON Expedite FeeExpedite Fee0.00.00.00.00.00.00.0(0.0)0.00.00.00.00.00.00.00.00.00.10.10.10.00.00.00.1
WindstreamINTCNCT_excl_CON Project FeeProject Fee0.30.40.50.50.50.90.30.40.30.40.90.80.70.80.50.30.90.11.21.91.02.11.91.3
WindstreamINTCNCT_excl_CON Repairs and Maintenance FeeRepairs and Maintenance Fee0.70.80.70.70.60.60.50.50.50.50.20.60.50.60.40.50.70.72.21.91.51.31.51.9
WindstreamINTCNCT_excl_CON CreditsCredits(0.2)(0.5)(0.4)(0.5)(0.3)(0.4)(0.3)(0.3)(0.2)(0.2)(0.0)(0.7)(0.3)(0.3)(0.3)(0.3)(0.3)(0.2)(1.2)(1.3)(0.9)(0.8)(0.9)(0.8)
WindstreamINTCNCT_excl_CON Disputes ReservesDisputes Reserves0.0- 0- 0(0.0)(0.0)(0.0)- 0(0.0)- 0- 0- 0- 0- 0- 0- 0- 0- 00.00.0(0.0)(0.0)- 0- 00.0
WindstreamINTCNCT_excl_CON Building Access NRCBuilding Access NRC0.10.00.00.00.00.10.00.00.00.00.00.00.00.00.00.00.00.00.10.10.10.00.00.1
WindstreamINTCNCT_excl_CON Other InterconnectOther Interconnect0.3(2.2)0.3(0.0)0.00.2(0.0)0.01.5(0.2)1.21.00.3(0.1)(0.1)(0.0)0.21.7(1.7)0.21.51.90.11.9
Non-Recurring Charges4.3(0.3)3.82.14.24.65.03.16.33.24.86.42.76.41.13.04.23.97.810.814.414.310.111.1
WindstreamCost Center excluding M&IAT&TAT&T(2.0)(2.1)(2.1)(2.0)(2.0)(3.3)(0.1)- 0- 0- 0- 0- 00.2- 0- 0- 0- 0- 0(6.1)(7.3)(0.1)- 00.2- 0
WindstreamCost Center excluding M&ICenturylinkCenturylink(1.0)(1.2)(1.1)(1.1)(1.1)(0.5)(1.0)(1.1)(0.8)(0.8)(0.6)(0.5)(0.8)(0.8)0.3- 0(0.8)0.0(3.3)(2.7)(2.9)(1.9)(1.3)(0.8)
WindstreamCost Center excluding M&IFrontierFrontier- 00.1- 0- 0- 0- 0- 0- 0- 0- 0- 00.10.00.1- 0- 00.00.10.1- 0- 00.10.10.1
WindstreamCost Center excluding M&IVerizonVerizon- 0- 0- 0- 0- 0(0.0)- 0- 0- 0- 0- 0- 0- 00.0- 0- 0- 0- 0- 0(0.0)- 0- 00.0- 0
Spend Plan Credit(3.0)(3.2)(3.2)(3.1)(3.1)(3.8)(1.1)(1.1)(0.8)(0.8)(0.6)(0.4)(0.6)(0.7)0.3- 0(0.8)0.1(9.4)(10.0)(3.0)(1.8)(1.0)(0.7)
Interconnect Expense144.8144.3146.6144.0143.5141.2143.6139.4141.7137.5136.4137.6132.9134.4128.0128.9127.8128.2435.6428.7424.7411.4395.3384.8
Summ4Q
Last Tweleve Months3Q vs. 2Q4Q vs. 3Q
3Q174Q171Q182Q183Q184Q18LTM% OfBet / (Wor)Bet / (Wor)
TDM1511471391311261165124.2%7.7%
IP/Ethernet9595959694933772.1%1.3%
Last Mile Access24624223422722020988961%3.3%4.9%
TDM898481783324.0%3.1%
IP/Ethernet43221112.8%-2.4%
Network Access9287838034224%4.3%3.0%
Voice/Other1451425353505220915%6.8%-4.5%`
Interconnect3913843793673523411,440100%4.0%3.1%
Annualized1,5651,5361,5171,4691,4101,36516.2%12.6%
1,6001,6001,6001,6001,6001,600
2.2%4.0%5.2%8.2%11.9%14.7%
Please Update below Table
3Q183Q vs 2Q4Q182Q vs. 1Q
AnnualizedSequentialAnnualizedSequential
TDM5034.2%TDM4657.7%
IP/Ethernet3752.1%IP/Ethernet3711.3%
Last Mile Access8793.3%Last Mile Access8354.9%
TDM3234.0%TDM3133.1%
IP/Ethernet912.8%IP/Ethernet9(2.4%)
Network Access3324.3%Network Access3223.0%
0.0%00.0%
Voice/Other1996.8%Voice/Other208(4.5%)
Interconnect1,4104.0%Interconnect1,365.413.1%
3Q18
ReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReporting
InvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestor
FY17FY17FY17FY17FY17FY17FY18FY18FY18FY18FY18FY18FY18FY18FY18FY17FY17FY18FY18FY18
JulAugSepOctNovDecJanFebMarAprMayJunJulAugSepQ-T-D(Sep)Q-T-D(Dec)Q-T-D(Mar)Q-T-D(Jun)Q-T-D(Sep)
Interconnect ExpenseBY MONTH
FY17FY17FY17FY17FY17FY17FY18FY18FY18FY18FY18FY18FY18FY18FY18FY17FY17FY18FY18FY18
JulAugSepOctNovDecJanFebMarAprMayJunJulAugSepQ-T-D(Sep)Q-T-D(Dec)Q-T-D(Mar)Q-T-D(Jun)Q-T-D(Sep)
EntityFWGAccountActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActualActual
CustomerTDM151147139131126
CustomerIP/Ethernet9595959694
CLEC Consumer- 0- 0- 0- 0- 0
NetworkTDM8381788281
NetworkIP/Ethernet15151442
Hardcode Update in Old FileTDM112
IP/Ethernet(11)(2)
W/ Hardcode Update in Old FileTDM898481
IP/Ethernet432
Total Interconnect excl LNF391.28383.98379.26367.29352.43
WindstreamCost Center excluding M&IDS1 AccessDS1 Access33.232.732.131.631.130.730.129.028.427.927.126.426.525.825.197.993.487.581.477.4TDM
WindstreamCost Center excluding M&IWireless AccessWireless Access0.30.30.30.30.30.30.30.30.40.30.20.20.20.20.20.91.01.10.70.5IP/Ethernet
WindstreamCost Center excluding M&IDS3 and AboveDS3 and Above3.63.63.33.43.23.12.92.82.72.72.92.82.72.62.610.59.68.48.47.9TDM
WindstreamCost Center excluding M&IEthernet Over FiberEthernet Over Fiber30.030.730.730.630.330.330.430.330.031.030.730.430.230.029.891.491.290.692.290.0IP/Ethernet
WindstreamCost Center excluding M&IEthernet Over HFCEthernet Over HFC0.40.60.70.70.70.80.80.80.90.91.01.01.01.11.21.72.22.52.93.3IP/Ethernet
WindstreamCost Center excluding M&IMPLS/Frame Relay/VPNMPLS/Frame Relay/VPN0.60.60.60.50.50.50.50.50.50.30.10.10.10.10.11.81.61.40.50.4TDM
WindstreamCost Center excluding M&IInternational AccessInternational Access0.30.30.20.20.20.20.20.20.20.00.00.0- 0- 0- 00.70.70.60.1- 0IP/Ethernet
WindstreamCost Center excluding M&IDS0DS05.25.85.75.65.55.65.55.55.35.25.15.15.04.95.016.616.716.315.415.0TDM
WindstreamCost Center excluding M&IOff-Net ResaleOff-Net Resale7.08.38.18.08.07.87.67.67.57.77.97.87.97.67.623.423.822.823.323.1TDM
WindstreamCost Center excluding M&ICustomer Disconnect HoldsCustomer Disconnect Holds0.20.30.40.60.80.80.80.80.80.80.70.80.70.70.60.82.22.42.22.0TDM
Customer Access80.783.182.081.680.680.179.277.876.776.975.774.674.473.172.1245.8242.3233.7227.1219.6
WindstreamCost Center excluding M&ICharter DCharter D2.62.52.42.42.32.32.22.22.12.12.02.02.01.91.97.57.06.66.15.7CLEC Consumer
WindstreamCost Center excluding M&IDSLDSL1.31.31.21.21.21.21.11.11.01.01.01.00.90.90.93.83.53.23.02.8CLEC Consumer
WindstreamCost Center excluding M&IHyperlink InterconnectHyperlink1.01.31.51.51.41.51.41.31.21.21.11.01.21.11.03.84.43.83.23.2CLEC Consumer
WindstreamCost Center excluding M&ISecurity VASSecurity VAS0.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.70.70.70.70.7CLEC Consumer
WindstreamCost Center excluding M&IWeb Hosting InterconnectWeb Hosting0.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.40.40.40.40.4CLEC Consumer
WindstreamCost Center excluding M&IConsumer Interconnect OtherConsumer Other0.20.20.20.20.20.20.20.20.20.20.20.20.20.20.20.60.60.60.50.5CLEC Consumer
Consumer Interconnect5.45.65.85.75.55.55.25.14.94.84.74.54.64.44.316.816.615.214.013.3
WindstreamConsumer CLEC InterconnectNon-Recurring ChargesConsumer NRC0.00.2(0.0)0.00.1(0.3)(0.1)(0.3)0.00.2(0.3)0.10.6(0.2)0.20.2(0.2)(0.4)0.10.6
Consumer Interconnect5.45.85.75.75.65.25.14.94.95.14.44.65.24.34.417.016.514.914.113.9
WindstreamCost Center excluding M&IMetro BackhaulMetro Backhaul18.518.818.718.117.717.317.0044416.8044516.5577017.2886918.7683818.3112218.1424917.8541217.3154355.953.050.454.453.3TDM
WindstreamCost Center excluding M&IOther BackhaulOther Backhaul0.30.30.30.30.20.20.20.20.30.10.00.00.00.00.00.90.70.70.10.0TDM
WindstreamCost Center excluding M&IColocation ChargesColocation Charges8.79.09.09.09.09.09.09.18.99.29.29.39.29.19.026.727.127.027.627.4TDM
WindstreamCost Center excluding M&ILonghaulLonghaul2.82.72.72.62.62.52.42.42.31.40.10.00.00.00.08.17.77.21.50.0IP/Ethernet
WindstreamCost Center excluding M&INetwork CoreNetwork Core0.10.10.10.10.10.10.10.10.10.00.00.00.00.00.00.30.30.30.10.0IP/Ethernet
WindstreamCost Center excluding M&IInternet TransitInternet Transit0.10.20.20.20.10.10.10.10.10.10.10.10.10.10.10.40.40.40.30.4IP/Ethernet
WindstreamCost Center excluding M&IBroadband AccessBroadband Access0.10.10.10.10.10.10.10.10.10.00.00.00.00.00.00.20.20.20.00.0IP/Ethernet
WindstreamCost Center excluding M&IBuilding AccessBuilding Access0.40.40.40.40.40.40.40.40.40.40.40.40.40.50.51.11.21.21.31.4IP/Ethernet
WindstreamCost Center excluding M&IENNI AccessENNI Access1.61.71.71.71.71.61.61.61.60.90.30.20.20.20.15.05.04.91.40.5IP/Ethernet
Network Access32.533.233.032.431.931.431.030.830.429.528.828.428.127.827.198.695.792.286.783.0
WindstreamCost Center excluding M&IPole Attachment RentPole Attachment Rent3.33.23.23.23.23.23.33.33.33.33.33.33.33.33.39.79.79.89.89.8
WindstreamCost Center excluding M&IFiber & ConduitFiber & Conduit2.02.32.32.32.32.32.32.32.32.22.12.12.12.02.16.66.96.96.46.2
WindstreamCost Center excluding M&IIRU Lease ExpenseIRU Lease Expense2.42.42.42.42.42.42.42.52.42.52.62.72.82.92.97.27.27.37.88.6
WindstreamCost Center excluding M&IRack & Floor SpaceRack & Floor Space1.61.71.71.81.91.81.81.71.81.51.51.31.11.01.05.15.55.34.33.1
WindstreamCost Center excluding M&ISwitch & Central OfficeSwitch & Central Office3.23.33.33.33.43.43.53.53.53.53.53.53.63.63.69.910.210.410.510.7
WindstreamCost Center excluding M&IOther Leased FacilitiesOther Leased Facilities1.82.02.01.91.91.71.71.71.71.81.71.71.71.71.75.85.55.15.25.2
WindstreamCost Center excluding M&IPole Attachment NRCPole Attachment NRC0.0(0.3)0.1(0.3)0.0(0.2)(0.3)(0.4)(0.0)(0.0)0.00.1(0.1)(0.0)0.0(0.2)(0.4)(0.7)0.1(0.1)
WindstreamCost Center excluding M&ILeased Network Facilities - NRCLeased Network Facilities - NRC0.40.4(0.2)0.5(0.4)(0.1)0.20.50.20.1(0.2)0.30.10.2(0.3)0.60.00.90.20.0
Leased Network Facility14.715.014.915.314.814.514.915.015.114.814.614.814.514.714.344.644.645.044.243.5
WindstreamCost Center excluding M&ILD MRCLD MRC1.31.31.31.31.31.21.21.21.11.52.02.01.91.91.83.93.83.55.45.7
WindstreamCost Center excluding M&ISS7 ExpenseSS7 Expense0.91.01.01.01.01.00.90.90.90.80.60.60.40.60.52.92.92.71.91.6
WindstreamCost Center excluding M&ICaller IDCaller ID0.30.30.30.30.40.40.30.30.40.40.40.40.30.30.30.91.01.01.11.0
WindstreamCost Center excluding M&IRecip CompRecip Comp0.40.40.40.40.40.40.40.30.40.30.20.20.20.20.11.11.11.10.80.4
WindstreamCost Center excluding M&ILocal TransitLocal Transit0.20.20.20.20.20.20.20.20.20.20.20.20.20.10.20.60.60.50.50.5
WindstreamCost Center excluding M&IDirectory ListingDirectory Listing0.50.50.50.50.50.50.50.40.40.40.40.40.40.40.41.61.41.41.21.1
WindstreamCost Center excluding M&IOperator ServicesOperator Services0.00.00.00.00.00.00.00.00.00.00.00.00.00.00.00.10.10.10.10.1
WindstreamCost Center excluding M&IDirectory AssistanceDirectory Assistance0.10.10.10.10.10.10.10.10.10.10.10.10.10.10.10.40.40.40.30.3
WindstreamCost Center excluding M&I8YY Expense8YY Expense0.20.40.30.20.20.20.30.20.20.20.20.20.20.20.20.90.60.70.70.7
WindstreamCost Center excluding M&IWireless UsageWireless Usage0.20.20.10.00.10.00.00.10.20.00.00.00.00.00.00.40.10.30.10.1
WindstreamCost Center excluding M&IVoice Non-RecurringVoice Non-Recurring(0.1)(0.2)(0.0)(0.1)(0.1)(0.1)(0.0)(0.0)(0.1)0.1(0.2)0.1(0.2)(0.3)(0.0)(0.3)(0.3)(0.1)(0.0)(0.5)
WindstreamCost Center excluding M&IWholesale LD UsageWholesale LD Usage0.10.00.0(0.0)0.00.0(0.0)(0.0)(0.0)0.00.0(0.0)(0.0)0.0(0.0)0.10.0(0.0)0.00.0
WindstreamCost Center excluding M&ILong Distance UsageLong Distance Usage6.16.56.26.25.65.35.75.15.24.84.85.05.05.25.018.717.116.014.615.2
Voice10.210.710.410.29.59.29.58.99.18.98.79.18.68.88.731.228.927.526.726.2
WindstreamCost Center excluding M&ISettlement ChargesSettlement Charges0.40.30.30.40.40.30.30.30.40.30.30.10.20.20.21.01.11.10.60.5
WindstreamCost Center excluding M&INon-Exempt TaxesNon-Exempt Taxes0.50.40.50.70.60.70.60.70.60.60.80.70.90.70.71.52.01.82.12.3
WindstreamCost Center excluding M&IFractionalFractional0.6(0.1)(0.2)(0.5)(0.3)(0.1)0.10.1(0.3)(0.0)0.2(0.5)0.4(1.1)(0.2)0.2(0.9)(0.1)(0.3)(0.9)
WindstreamCost Center excluding M&IBB/MRC OOP DisputesBB/MRC OOP Disputes(0.5)(2.4)(0.3)(1.3)(0.6)(0.7)(0.5)(1.8)(0.4)(1.5)(2.4)0.1(3.5)1.5(3.0)(3.1)(2.6)(2.7)(3.9)(5.0)
WindstreamCost Center excluding M&IMRC Charges OOPMRC Charges OOP0.40.50.30.10.1(0.0)0.6(0.0)0.20.71.50.40.30.40.31.20.20.82.61.0
WindstreamCost Center excluding M&IMRC Projects OOPMRC Projects OOP0.40.50.10.10.50.50.90.91.10.80.81.80.70.81.01.01.12.93.42.6
WindstreamCost Center excluding M&IMRC Ethernet OOPMRC Ethernet OOP0.10.10.10.10.30.10.00.00.10.10.10.20.1- 0- 00.30.60.20.40.1
WindstreamCost Center excluding M&IEarly Termination FeeEarly Termination Fee0.61.31.11.11.71.31.41.11.31.30.51.61.81.71.03.04.13.83.44.6
WindstreamCost Center excluding M&ICancellation FeeCancellation Fee0.20.40.40.30.40.40.30.30.50.30.20.20.40.40.21.01.11.10.71.1
WindstreamCost Center excluding M&IDisconnect FeeDisconnect Fee0.10.20.10.10.10.10.00.10.10.00.10.00.00.00.10.40.20.20.10.1
WindstreamCost Center excluding M&ILate FeeLate Fee0.30.30.20.30.30.30.60.60.60.40.20.10.80.30.50.80.91.70.81.6
WindstreamCost Center excluding M&IExpedite FeeExpedite Fee0.00.00.00.00.00.00.0(0.0)0.00.00.00.00.00.00.00.10.10.00.00.0
WindstreamCost Center excluding M&IProject FeeProject Fee0.30.40.50.50.51.00.30.40.30.40.90.80.70.80.51.22.01.02.12.0
WindstreamCost Center excluding M&IRepairs and Maintenance FeeRepairs and Maintenance Fee0.70.80.70.70.60.60.50.50.50.50.20.60.50.60.42.31.91.51.31.5
WindstreamCost Center excluding M&ICreditsCredits(0.2)(0.5)(0.4)(0.5)(0.4)(0.4)(0.3)(0.3)(0.2)(0.2)(0.0)(0.7)(0.3)(0.3)(0.3)(1.2)(1.3)(0.9)(0.8)(0.9)
WindstreamCost Center excluding M&IDisputes ReservesDisputes Reserves0.0- 0- 0(0.0)(0.0)(0.0)- 0(0.0)- 0- 0- 0- 0- 0- 0- 00.0(0.0)(0.0)- 0- 0
WindstreamCost Center excluding M&IBuilding Access NRCBuilding Access NRC0.10.00.00.00.00.10.00.00.00.00.00.00.00.00.00.10.10.10.00.0
WindstreamCost Center excluding M&IOther InterconnectOther Interconnect0.3(2.3)0.30.00.00.2(0.0)0.01.5(0.2)1.21.00.3(0.1)(0.1)(1.7)0.21.52.00.1
Non-Recurring Charges4.3(0.0)3.82.14.34.34.92.86.33.44.56.53.26.21.38.010.714.014.410.7
WindstreamConsumer CLEC InterconnectNon-recurring ChargesConsumer NRC0.00.2(0.0)0.00.1(0.3)(0.1)(0.3)0.00.2(0.3)0.10.6(0.2)0.20.2(0.2)(0.4)0.10.6
Non-Recurring Charges4.30.23.72.14.44.04.82.66.33.74.26.63.86.11.48.210.513.714.511.3
WindstreamCost Center excluding M&IAT&TAT&T(2.0)(2.1)(2.1)(2.0)(2.0)(3.3)(0.1)- 0- 0- 0- 0- 00.2- 0- 0(6.1)(7.3)(0.1)- 00.2
WindstreamCost Center excluding M&ICenturylinkCenturylink(1.0)(1.2)(1.1)(1.1)(1.1)(0.5)(1.0)(1.1)(0.8)(0.8)(0.6)(0.5)(0.8)(0.8)0.3(3.3)(2.7)(2.9)(1.9)(1.3)
WindstreamCost Center excluding M&IFrontierFrontier- 00.1- 0- 0- 0- 0- 0- 0- 0- 0- 00.10.00.1- 00.1- 0- 00.10.1
WindstreamCost Center excluding M&IVerizonVerizon- 0- 0- 0- 0- 0(0.0)- 0- 0- 0- 0- 0- 0- 00.0- 0- 0(0.0)- 0- 00.0
Spend Plan Credit(3.0)(3.2)(3.2)(3.1)(3.1)(3.8)(1.1)(1.1)(0.8)(0.8)(0.6)(0.4)(0.6)(0.7)0.3(9.4)(10.0)(3.0)(1.8)(1.0)
Interconnect Expense144.8144.7146.5144.1143.7140.6143.4138.8141.7137.9135.8137.8134.0134.1128.4436.1428.4423.9411.5396.5
Summ3Q
Last Tweleve Months2Q vs. 1Q2Q182Q vs. 1Q
3Q174Q171Q182Q183Q18LTMBet / (Wor)AnnualizedSequential
TDM1511471391311265435.4%TDM5255.4%
IP/Ethernet9595959694380-1.0%IP/Ethernet383-1.0%
Last Mile Access2462422342272209232.8%Last Mile Access9092.8%0.62
TDM8984812535.1%TDM3365.1%
IP/Ethernet432828.5%IP/Ethernet1028.5%
Network Access9287832626.0%Network Access3476.0%0.24
Voice/Other145142535350298-0.2%Voice/Other214-0.2%0.15`
Interconnect3913843793673521,4833.2%Interconnect1,4693.2%
16000.1262004274
3523416938.2%
26745282754
(0)(0)
Please Update below Table
2Q182Q vs. 1Q3Q182Q vs. 1Q
AnnualizedSequentialAnnualizedSequential
TDM5255.4%TDM- 00.0%
IP/Ethernet383(1.0%)IP/Ethernet- 00.0%
Last Mile Access9092.8%Last Mile Access- 00.0%
TDM3365.1%TDM- 00.0%
IP/Ethernet1028.5%IP/Ethernet- 00.0%
Network Access3476.0%Network Access- 00.0%
Voice/Other214(0.2%)Voice/Other- 00.0%
Interconnect1,4693.2%Interconnect- 00.0%
2Q18
ReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReportingReporting
InvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestorInvestor
FY17FY17FY17FY17FY17FY17FY18FY18FY18FY18FY18FY18
JulAugSepOctNovDecJanFebMarAprMayJun
Interconnect ExpenseBY MONTH
FY17FY17FY17FY17FY17FY17FY18FY18FY18FY18FY18FY18
JulAugSepOctNovDecJanFebMarAprMayJun
EntityFWGAccountActualActualActualActualActualActualActualActualActualActualActualActual3Q174Q171Q182Q18
WindstreamCost Center excluding M&IDS1 AccessDS1 Access33.232.732.131.631.130.730.129.028.427.927.126.497.993.487.581.4TDM
WindstreamCost Center excluding M&IWireless AccessWireless Access0.30.30.30.30.30.30.30.30.40.30.20.20.91.01.10.7IP/Ethernet
WindstreamCost Center excluding M&IDS3 and AboveDS3 and Above3.63.63.33.43.23.12.92.82.72.72.92.810.59.68.48.4TDM
WindstreamCost Center excluding M&IEthernet Over FiberEthernet Over Fiber30.030.730.730.630.330.330.430.330.031.030.730.491.491.290.692.2IP/Ethernet
WindstreamCost Center excluding M&IEthernet Over HFCEthernet Over HFC0.40.60.70.70.70.80.80.80.90.91.01.01.72.22.52.9IP/Ethernet
WindstreamCost Center excluding M&IMPLS/Frame Relay/VPNMPLS/Frame Relay/VPN0.60.60.60.50.50.50.50.50.50.30.10.11.81.61.40.5TDM
WindstreamCost Center excluding M&IInternational AccessInternational Access0.30.30.20.20.20.20.20.20.20.00.00.00.70.70.60.1IP/Ethernet
WindstreamCost Center excluding M&IDS0DS05.25.85.75.65.55.65.55.55.35.25.15.116.616.716.315.4TDM
WindstreamCost Center excluding M&IOff-Net ResaleOff-Net Resale7.08.38.18.08.07.87.67.67.57.77.97.823.423.822.823.3TDM
WindstreamCost Center excluding M&ICustomer Disconnect HoldsCustomer Disconnect Holds0.20.30.40.60.80.80.80.80.80.80.70.80.82.22.42.2TDM
Customer Access80.783.182.081.680.680.179.277.876.776.975.774.6245.8242.3233.7227.1-0Check
WindstreamCost Center excluding M&ICharter DCharter D2.62.52.42.42.32.32.22.22.12.12.02.07.57.06.66.1CLEC Consumer
WindstreamCost Center excluding M&IDSLDSL1.31.31.21.21.21.21.11.11.01.01.01.03.83.53.23.0CLEC Consumer
WindstreamCost Center excluding M&IHyperlink InterconnectHyperlink1.01.31.51.51.41.51.41.31.21.21.11.03.84.43.83.2CLEC Consumer
WindstreamCost Center excluding M&ISecurity VASSecurity VAS0.20.20.20.20.20.20.20.20.20.20.20.20.70.70.70.7CLEC Consumer
WindstreamCost Center excluding M&IWeb Hosting InterconnectWeb Hosting0.10.10.10.10.10.10.10.10.10.10.10.10.40.40.40.4CLEC Consumer
WindstreamCost Center excluding M&IConsumer Interconnect OtherConsumer Other0.20.20.20.20.20.20.20.20.20.20.20.20.60.60.60.5CLEC Consumer
Consumer Interconnect5.45.65.85.75.55.55.25.14.94.84.74.516.816.615.214.037-0CheckFY18FY18FY18FY18FY18FY18
WindstreamConsumer CLEC InterconnectNon-Recurring ChargesJanFebMarAprMayJun
ActualActualActualActualActualActual
WindstreamCost Center excluding M&IMetro BackhaulMetro Backhaul18.518.818.718.117.717.319.819.619.319.018.818.355.953.058.756.0TDM-0.131
WindstreamCost Center excluding M&IOther BackhaulOther Backhaul0.30.30.30.30.20.21.01.01.00.40.00.00.90.73.00.4TDM-0.4
WindstreamCost Center excluding M&IColocation ChargesColocation Charges8.79.09.09.09.09.09.09.18.99.29.29.326.727.127.027.6TDM0.287
WindstreamCost Center excluding M&ILonghaulLonghaul2.82.72.72.62.62.50.20.20.10.10.10.08.17.70.60.2IP/Ethernet
WindstreamCost Center excluding M&INetwork CoreNetwork Core0.10.10.10.10.10.10.10.10.10.00.00.00.30.30.30.1IP/Ethernet
WindstreamCost Center excluding M&IInternet TransitInternet Transit0.10.20.20.20.10.10.10.10.10.10.10.10.40.40.40.3IP/Ethernet0.35
WindstreamCost Center excluding M&IBroadband AccessBroadband Access0.10.10.10.10.10.10.10.10.10.00.00.00.20.20.20.0IP/Ethernet
WindstreamCost Center excluding M&IBuilding AccessBuilding Access0.40.40.40.40.40.40.40.40.40.40.40.41.11.21.21.3IP/Ethernet
WindstreamCost Center excluding M&IENNI AccessENNI Access1.61.71.71.71.71.60.30.30.30.30.30.25.05.00.90.7IP/Ethernet-0.085
Network Access32.533.233.032.431.931.431.030.79330.35929.48128.828.498.695.792.286.7- 0Check0.02