Uniti : Citi 2021 Global TMT West Conference Presentation

Citi

2021 Global TMT West Conference

January 7, 2021

Safe Harbor

Certain statements in this presentation may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended from time to time. Those forward-looking statements include all statements that are not historical statements of fact, including, without limitation, our business strategies, growth prospects, industry trends, sales opportunities, impacts of the settlement with Windstream, and operating and financial performance.

Words such as "anticipate(s)," "expect(s)," "intend(s)," "estimate(s)," "foresee(s)," "plan(s)," "believe(s)," "may," "will," "would," "could," "should," "seek(s)" and similar expressions, or the negative of these terms, are intended to identify such forward-looking statements. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could lead to actual results differing materially from those projected, forecasted or expected. Although we believe that the assumptions underlying the forward-looking statements are reasonable, we can give no assurance that our expectations will be attained. Factors which could materially alter our expectations include, but are not limited to, the future prospects of Windstream; changes in the accounting treatment of our settlement with Windstream; our ability to delever and achieve the 'covenant reversion date' under our secured notes due 2025, which would permit us to pay additional dividends to shareholders; the ability and willingness of our customers to meet and/or perform their obligations under any contractual arrangements entered into with us, including master lease arrangements; the ability of our customers to comply with laws, rules and regulations in the operation of the assets we lease to them; the ability and willingness of our customers to renew their leases with us upon their expiration, and the ability to reposition our properties on the same or better terms in the event of nonrenewal or in the event we replace an existing tenant; the adverse impact of litigation affecting us or our customers; our ability to renew, extend or obtain contracts with significant customers (including customers of the businesses we acquire); the availability of and our ability to identify suitable acquisition opportunities and our ability to acquire and lease the respective properties on favorable terms; the risk that we fail to fully realize the potential benefits of acquisitions or have difficulty integrating acquired companies; our ability to generate sufficient cash flows to service our outstanding indebtedness; our ability to access debt and equity capital markets (including to fund required payments pursuant to our settlement with Windstream); the impact on our business or the business of our customers as a result of credit rating downgrades and fluctuating interest rates; our ability to retain our key management personnel; our ability to qualify or maintain our status as a real estate investment trust ("REIT"); changes in the U.S. tax law and other state, federal or local laws, whether or not specific to REITs; covenants in our debt agreements that may limit our operational flexibility; our expectations regarding the effect of the COVID-19 pandemic on our results of operations and financial condition; other risks inherent in the communications industry and in the ownership of communications distribution systems, including potential liability relating to environmental matters and illiquidity of real estate investments; and additional factors described in our reports filed with the SEC. Uniti expressly disclaims any obligation to release publicly any updates or revisions to any of the forward-looking statements set forth in this presentation to reflect any change in its expectations or any change in events, conditions or circumstances on which any statement is based.

This presentation may contain certain supplemental measures of performance that are not required by, or presented in accordance with, accounting principles generally accepted in the United States ("GAAP"). Such measures should not be considered as alternatives to GAAP. Further information with respect to and reconciliations of such measures to the nearest GAAP measure can be found herein.

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Uniti's Investment Highlights(1)

• Strong Business Fundamentals Proving Resilient
• • ~ 97% of Uniti's Revenue is Recurring with Adjusted EBITDA Margins Near 80%(1)
  • Over $8 Billion of Revenues Under Contract with ~ 9 Years of Contract Term Remaining
  • Monthly Churn of ~0.3%
• Proven Lease-Up at Attractive Incremental Margins
• • ~ 93% of 3Q20 Bookings at Uniti Fiber are from Non-Wireless Opportunities
  • ~$225 million of Proceeds from OpCo-PropCo and IRU Transactions in Past 2 Years(2)
  • Windstream Agreement Expands Leasable Fiber Network Capacity By ~90%
• Strengthened Balance Sheet and Liquidity
• • ~$484 Million of Available Liquidity(3)
  • Current Liquidity Covers Expected Requirements Through 2021
• Proven Proprietary M&A Pipeline
• Valuable Communications Real Estate Portfolio

Substantial Valuation Discount Relative to Infrastructure REITs

(1)	Excluding DOT/ITS construction and Talk America Services.
(2)	Includes upfront proceeds from Everstream transaction, which is expected to close in 2Q21.	2
(3)	As of September 30, 2020. Includes unrestricted cash and cash equivalents, and undrawn borrowing availability under our revolving credit agreement.

Many Attractive End Markets Rely on Fiber

A

Cloud Infrastructure

&

Data Compute &

B

Fiber

Wired Data

C

Towers

Wireless Data

Services

Storage

Connectivity

Connectivity

Macro

Wireless

C

B

Massive MIMO LTE-Pro and 5G

C

Small Cell / DAS

C

Towers

FTTH

Hyperscale Fiber

Cable

B Backhaul

Wireline

Edge

A

Computing

Edge

A

Computing

Fiber Backhaul

Retail / Interconnection

A

B

(FTTT/ FTTE)

Metro Data Centers

C Outdoor DAS

				Edge
			Computing			A		Edge
				B	FTTH		A
			Fiber			Computing	Hyperscale Data
Macro		B		Cable		Fiber		A
	Backhaul				Center Campus
Towers				B	Wireline
					Wholesale
C				Metro Fiber		A
				Data Center
			A	Data Center
			Managed Infra/Cloud Services
				B		Managed Infra /
				Fiber Backhaul
	Edge				Cloud Services	A
	A
	Computing						Hyperscale
								Cloud Services

Fiber is the Critical Component to Enabling Today's Communications Infrastructure

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