Leading fixed-line and mobile telecommunications operator in Austria. Almost full domestic coverage with fourth-generation mobile and investments in higher fixed-line broadband speeds. Key player in several Central and Eastern European mobile markets, complemented by an expanding fixed-line offering. Continued competitive pressure for mobile business domestically and in several international markets. Partly inflexible cost structure in Austria. Exposure to very high country risk in Belarus. S&P Global Ratings-adjusted debt to EBITDA of less than 3x and funds from operations (FFO) to debt of at least 30% in our forecast. Declared appetite for mergers and acquisitions (M&A) and lack of explicit leverage targets. Constrained free operating cash flow (FOCF), due to significant network investments and restructuring costs. Exposure of EBITDA and cash
