Cablevision Holding S.A.

Good morning and welcome to Cablevision Holdings conference call. My name is Jamie and I will be your conference operator today. After the speaker's remarks, there will be a question and answer session. You may submit your questions throughout the event by clicking in the submit a question box on your screens. Today we will discuss Cablevision Holdings results for the nine months and third quarter 2021. This call is for investors and analysts only. Therefore, questions from the media will not be taken at this time. However, if you are a member of the media and have questions, please contact FIG Corporate Communications following the call. I will now introduce our speakers, Mrs. Samantha Olivieri, Head of Investor Relations, and Ms. Valentina Lopez, Senior Analyst. Additionally, Mr. Sebastian Bardengo, Executive Director and Chairman, will also be available for today's question and answer session. The team will be discussing the results as per the earnings release distributed last Tuesday, November 9th. If you have not received the report or need any assistance during today's call, please contact FIG Corporate Communications in New York at 917-691-4047 or the company in Buenos Aires at 5411 CBH has also posted the webcast presentation that can be found at www.cvh.com.ar under the IR section. Comments made by management may contain forward-looking statements about Cablevision Holdings' future performance, plans, strategies, and targets. Such statements are subject to uncertainties that could cause Cablevision Holdings' actual results and operations to differ materially. Such uncertainties include but are not limited to the effects of the impact and duration of the COVID-19 pandemic, new or ongoing industry and economic regulations, possible changes in demand for Cablevision Holdings' products and services, and the effects of more general factors such as changes in the general market, economy, or in regulatory conditions. We ask that you refer to the disclaimer in the earnings report or presentation for additional information regarding forward-looking statements. It is now my pleasure to turn the conference call over to Mrs. Samantha Olivieri. Ma'am, please go ahead.

Thank you, Jamie. Good morning, everyone, and thank you for joining us. Today's call will begin with a discussion of recent events then move forward to a brief macro overview and to the company's income statements and operating results, followed by a review of the financial position. Before discussing our results for the quarter, let me share with you the latest regulatory decisions by the Argentine government. Please move to slide four. The Argentine government issued The Decree 690-2020, later confirmed by the Congress, declaring mobile, fixed-voice, broadband, and pay-to-be as public essential services and freezing their prices until the end of 2020, while then stating INACOM as a regulatory agency in charge of enforcing the decree and regulating the industry prices. In May 2021, the Second Chamber of the Federal Court of Appeals on Administrative Litigation Matters granted TELECOM a preliminary injunction suspending the effects of Sections 1, 2, 3, 4, 5, and 6 of Decree 690-20 and of NACOM Resolutions No. 1466-2020, 1467-2020, and 204-21. On June 18, 2021, the Second Chamber of the Federal Court of Appeals on Administrative Litigation Matters resolved by majority to reject the extraordinary appeals filed by the national government and ENACOM against the injunction granted in favor of Telecom. In October 2021, the same court extended the injunction granted in favor of Telecom for an additional period of six months. As a consequence of such injunction, Telecom may manage the pricing policy of its services as before the Decree 690-2020. Now, we will continue with an update of the tender offer process. Then we will move on to a brief macro overview and to the company's operating results, followed by the review of the financial position. Let's move to page 5, where you will see a summary of the relevant aspects of the change of control tender offer. As we mentioned in our last call, by the end of December 2019, a first-instance judge of the Federal Administrative Litigation Matters Court admitted the claim filed by Mr. Vurgenio in his capacity as a shareholder of Cablevision Holdings and resolved that on basis of paragraph K, Article 32 of the Resolution 779-2018, issued by the CMV, Regulating Capital Market Law No. 26831, passed in May 2018, CVH no longer had an obligation to launch a mandatory tender offer as a result of the change of control in Telecom Argentina. While CVH did not appeal the Court's decision and agreed with the position of the claimant, the CMV appealed such a decision with the Court of Appeals. For those unfamiliar with the term, CMV is Comisión Nacional de Valores, which is the local equivalent of the SEC. In September 2020, the Court dismissed the appeal filed by CMV and confirmed the decision of the first instance court in favor of the claimant, Mr. Daniel Burgueña. Later, in October 2020, the Federal Court of Appeals denied CMV's request to have the case heard by the Argentine Supreme Court Recurso Extraordinario, and the CMV filed a complaint against this decision with the Supreme Court. Now it is the Supreme Court that has to evaluate if it will or not accept the case. There's no timeframe to do so. Finally, I want to mention that the legal proceedings about the price of the tender offer filed by the CVH with the Federal Civil and Commercial Court is still waiting for the first instance decision. We will keep the public informed about any news relating the tender offer process. Having gone through the discussion of the TO process, please let me pass the call to Valentina.

Thank you, Samantha. I will continue with the macro overview. Let's move on to slide six. Argentina's economy is going through a deep crisis with no precedents, worsened by the COVID-19 pandemic. And even though the second wave has been overcome and the economy has shown some level of recovery, the risk derived from new variants is turning the context more worrisome and challenging. Moreover, the midterm elections are taking place in this complex scenario, and from a macroeconomic and financial perspective, its results are decisive in the government strategy moving forward. In addition, the costs associated with the required macroeconomic adjustment needed to address the prevailing imbalances will likely be greater, given the negotiations with the IMF to avoid the chance of falling into arrears next year. Regarding the economic activity, after a plunge of 2020, it has started a recovery path, but at a slower pace than the countries of the region. GDP is expected to close the third quarter of 2021 with an increase of 9% and 2.2% on an annual basis and compared to the previous quarter, respectively. As a result of such expectations, the economic growth forecast has been revised upward to around 8% by the end of the year, mainly driven by the easing of restrictions during the second half of 2021 and the economic activities returning to normal. However, a slower dynamic is expected for the coming quarter. It is worth noting that the evolution of economic activity has come with increasing inflation. As we can see in the consumer price index graph, even though the government is tightening price controls and reinforcing its intervention on the FX market as the main way to anchor inflation, prices keep accelerating at a higher than expected rate. increasing more than salary, regulated tariffs, and official FX rate. At the end of September of 2021, inflation was 52.5% on an annual basis, the highest rate registered in the year, even above the 36.1% inflation registered in 2020. Regarding the current account and fiscal balances, as we can see in the graph, Argentina has registered another period of current account surplus, mainly fostered by the effects of tourist restrictions, and a high primary fiscal deficit. On the fiscal front, even though the primary fiscal account had a positive performance during the first half of 2021, public spending has accelerated since June, ahead of elections, and is expected to maintain this low pace until the end of the year, accounting for a primary fiscal deficit of 3.8% in terms of GDP. Lastly, it is important to mention that the central bank growth results remain weak, currently accounting around $42.5 billion, especially considering the sovereign foreign debt profile. As we can see in the last graph of the slide, even considering that Argentina has been benefited from the IMF's special drawing rights to boost its effects research, a consistent and comprehensive macroeconomic program with the IMF is crucial in the short term to ease the burden of death maturity. Coming up, we expect the Argentine economy to continue to show high levels of difficulties, especially considering that there is not a clear macroeconomic path. We still believe that a new agreement with the IMF is critical to achieve lower economic uncertainty. In this sense, the main challenges that the current administration will also face are the reduction of the fiscal and monetary imbalances, the ability to contain inflation as the economic activity recovers, and the maintenance of the current health situation, which has allowed the normalization of economic activities. Now I will pass the call back to Samantha.