1 q17 external presentation 2017-05-03_final

LEVEL 3 COMMUNICATIONS
JULY 2016
First Quarter 2017 Results
May 3, 2017

2Issued on May 3, 2017
Cautionary Statement
Some statements made in this presentation are forward-looking in nature and are based on management's current
expectations or beliefs. These forward-looking statements are not a guarantee of performance and are subject to a
number of uncertainties and other factors, many of which are outside Level 3's control, which could cause actual
events to differ materially from those expressed or implied by the statements. Important factors that could prevent
Level 3 from achieving its stated goals include, but are not limited to, the company's ability to: increase revenue from
its services to realize its targets for financial and operating performance; develop and maintain effective business
support systems; manage system and network failures or disruptions; avert the breach of its network and computer
system security measures; develop new services that meet customer demands and generate acceptable margins;
manage the future expansion or adaptation of its network to remain competitive; defend intellectual property and
proprietary rights; manage risks associated with continued uncertainty in the global economy; manage continued or
accelerated decreases in market pricing for communications services; obtain capacity for its network from other
providers and interconnect its network with other networks on favorable terms; successfully integrate future
acquisitions; effectively manage political, legal, regulatory, foreign currency and other risks it is exposed to due to its
substantial international operations; mitigate its exposure to contingent liabilities; and meet all of the terms and
conditions of its debt obligations. Additional information concerning these and other important factors can be found
within Level 3's filings with the Securities and Exchange Commission. Statements in this presentation should be
evaluated in light of these important factors. Level 3 is under no obligation to, and expressly disclaims any such
obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, or
otherwise.

Forward Looking Statements
Except for the historical and factual information contained herein, the matters set forth in this communication, including statements regarding the expected
timing and benefits of the proposed transaction, such as efficiencies, cost savings, enhanced revenues, growth potential, market profile and financial
strength, and the competitive ability and position of the combined company, and other statements identified by words such as “will,” “estimates,”
“anticipates,” “believes,” “expects,” “projects,” “plans,” “intends,” “may,” “should,” “could,” “seeks” and similar expressions, are forward-looking
statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are
subject to a number of risks, uncertainties and assumptions, many of which are beyond our control. These forward-looking statements, and the assumptions
upon which they are based, (i) are not guarantees of future results, (ii) are inherently speculative and (iii) are subject to a number of risks and uncertainties.
Actual events and results may differ materially from those anticipated, estimated, projected or implied in those statements if one or more of these risks or
uncertainties materialize, or if underlying assumptions prove incorrect. Factors that could affect actual results include but are not limited to: the ability of
the parties to timely and successfully receive the required approvals for the combination from regulatory agencies free of conditions materially adverse to
the parties and from their respective shareholders; the possibility that the anticipated benefits from the proposed transaction cannot be fully realized or may
take longer to realize than expected; the possibility that costs, difficulties or disruptions related to the integration of Level 3’s operations with those of
CenturyLink will be greater than expected; the ability of the combined company to retain and hire key personnel; the effects of competition from a wide
variety of competitive providers, including lower demand for CenturyLink’s legacy offerings; the effects of new, emerging or competing technologies,
including those that could make the combined company’s products less desirable or obsolete; the effects of ongoing changes in the regulation of the
communications industry, including the outcome of regulatory or judicial proceedings relating to intercarrier compensation, interconnection obligations,
access charges, universal service, broadband deployment, data protection and net neutrality; adverse changes in CenturyLink’s or the combined company’s
access to credit markets on favorable terms, whether caused by changes in its financial position, lower debt credit ratings, unstable markets or otherwise;
the combined company’s ability to effectively adjust to changes in the communications industry, and changes in the composition of its markets and product
mix; possible changes in the demand for, or pricing of, the combined company’s products and services, including the combined company’s ability to
effectively respond to increased demand for high-speed broadband service; changes in the operating plans, capital allocation plans or corporate strategies of
the combined company, whether based on changes in market conditions, changes in the cash flows or financial position of the combined company, or
otherwise; the combined company’s ability to successfully maintain the quality and profitability of its existing product and service offerings and to introduce
new offerings on a timely and cost-effective basis; the adverse impact on the combined company’s business and network from possible equipment failures,
service outages, security breaches or similar events impacting its network; the combined company’s ability to maintain favorable relations with key business
partners, suppliers, vendors, landlords and financial institutions; the ability of the combined company to utilize net operating losses in amounts projected;
changes in the future cash requirements of the combined company; and other risk factors and cautionary statements as detailed from time to time in each
of CenturyLink’s and Level 3’s reports filed with the U.S. Securities and Exchange Commission (the “SEC”). Due to these risks and uncertainties, there can be
no assurance that the proposed combination or any other transaction described above will in fact be completed in the manner described or at all. You
should be aware that new factors may emerge from time to time and it is not possible for us to identify all such factors nor can we predict the impact of each
such factor on the proposed combination or the combined company. You should not place undue reliance on these forward-looking statements, which
speak only as of the date of this communication. Unless legally required, CenturyLink and Level 3 undertake no obligation and each expressly disclaim any
such obligation, to update publicly any forward-looking statements, whether as a result of new information, future events, changed events or otherwise.

Additional Information
In connection with the proposed combination, CenturyLink filed a registration statement on Form S-4 with the SEC (Registration Statement No.
333-215121), which was declared effective by the SEC on February 13, 2017. CenturyLink and Level 3 have filed a joint proxy statement/prospectus
and will file other relevant documents concerning the proposed transaction with the SEC. CenturyLink and Level 3 began mailing the definitive joint
proxy statement/prospectus to their respective security holders on or about February 13, 2017. The definitive joint proxy statement/prospectus,
dated as of February 13, 2017, contains important information about CenturyLink, Level 3, the proposed combination and related
matters. INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE DEFINITIVE JOINT PROXY STATEMENT/PROSPECTUS AND ANY OTHER
RELEVANT DOCUMENTS FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED COMBINATION OR INCORPORATED BY REFERENCE IN THE
DEFINITIVE JOINT PROXY STATEMENT/PROSPECTUS CAREFULLY BECAUSE THEY CONTAIN IMPORTANT INFORMATION. Investors and security
holders may obtain the definitive joint proxy statement/prospectus and the filings that are incorporated by reference in the definitive joint proxy
statement/prospectus, as well as other filings containing information about CenturyLink and Level 3, free of charge, at the website maintained by
the SEC at www.sec.gov. Investors and security holders may also obtain these documents free of charge by directing a request to CenturyLink, 100
CenturyLink Drive, Monroe, Louisiana 71203, Attention: Corporate Secretary, or to Level 3, 1025 Eldorado Boulevard, Broomfield, Colorado 80021,
Attention: Investor Relations.

1Q17 Highlights
Reaffirmed Full Year 2017 financial outlook
Adjusted EBITDA(1) grew to $725 million
Lowered Leverage Ratio(2) to 3.1x
Generated Free Cash Flow(1) of $173 million
(1) 1Q17 results exclude $20 million of acquisition-related expenses, of which $18 million were non-cash expenses and $2 million were cash expenses
(2) Excludesacquisition-related expenses of $35 million in LTM Adjusted EBITDA

CNS Revenue
(1) Level 3 measures revenue churn as disconnects of Core Network Services
(CNS) monthly recurring revenue as a percentage of CNS revenue. This
calculation excludes churn from customers who disconnected existing service
in a particular location but replaced it with new services in the same location.
The calculation also excludes usage.
CNS Revenue
($ in millions)
1Q17 CNS Revenue Performance
Revenue
Constant Currency
YoY%
YoY%
Total CNS 0.1% 0%
Enterprise 3.0% 3.1%
Enterprise(ex UK Gov’t) 3.3% 3.5%
Wholesale (7.4%) (8.0%)
North America (0.4%) (0.4%)
Enterprise 2.1% 2.1%
Wholesale (7.1%) (7.1%)
EMEA (1.0%) (7.9%)
Enterprise 5.4% (0.9%)
Wholesale (7.5%) (14%)
UK Government (15%) (26%)
Latin America 6.8% 14%
Enterprise 13% 22%
Wholesale (13%) (7.7%)
1Q17 CNS Revenue Churn(1)1.2%
$1,946 $1,946
1Q16 1Q17

Customer
1Q17
$ in MM
% of
1Q17
CNS
Revenue
% of
Customers
1Q17/4Q16
CNS
Revenue
Change %
Global
Accounts
$200 17% 0.3% 0.2%
$20K and up
per month
$703 59% 7% 1.1%
$2K to $20K
per month
$225 19% 28% 0.6%
Less than
$2K per
month
$63 5% 65% 3.0%
Total $1,191 100% 100% 1.0%
North America Enterprise CNS Revenue
Note: Percentages may not foot due to rounding
Revenue by Customer Spend
Continued focus on customer experience
initiatives and retention

75%
25%
Enterprise Wholesale
95%
5%
1Q17 Revenue Mix
CNS Revenue by Region CNS Revenue by Customer Type
82%
9%
9%
North America EMEA Latin America
Total Revenue by Currency Total Revenue Mix
USD
GBP
EUR
BRL
Other
CNS
WVS
90%
4%
2%
2%
2%

1Q17 CNS Services Revenue
CNS Revenue by Service Type CNS Revenue by Service Type
0.7%
0.7%
Constant Currency
0.7%
0.3%
(2.2%)
(2.3%)
(1.2%)
(0.7%)
As Reported
Constant Currency
As Reported
Constant Currency
As Reported
Constant Currency
As Reported
$146M
Colocation &
Data Center
Voice Services
$295M
Transport & Fiber
$581M
$924M
IP & Data Services
47%
30%
15%
8%
IP & Data
Transport &
Fiber
Colocation &
Data Center
Voice Services
Note: Growth rates are on a Year-over-Year basis.

Network Access Costs & Operating Expenses
Network Access Costs & Margin
($ in millions)
Network Related Expenses(NRE)
and SG&A(1)(2)
($ in millions)
(1) Excludesnon-cash compensation expenseof $7 million and $6 million in NRE and $40 million and $42 million in SG&A for 1Q16 and 1Q17, respectively
(2) 1Q17 NRE and SG&A. expenses include $20 million of acquisition-related expenses
$694 $691
66.2% 66.3%
1Q16 1Q17
Network Access Costs Network Access Margin
$331 $330
$316 $322
1Q16 1Q17
NRE SG&A
$652$647

$213
$173
1Q16 1Q17
$710
$725
34.6%
35.4%
1Q16 1Q17
Adjusted EBITDA Adjusted EBITDA Margin
Adjusted EBITDA & Free Cash Flow
Adjusted EBITDA
($ in millions)
Free Cash Flow
($ in millions)
(1) (1)
Net Debt to Adjusted EBITDA Ratio(2) 3.1x
(1) 1Q17 results exclude $20 million of acquisition-related expenses, of which $18 million were non-cash expenses and $2 million were cash expenses
(2) Excludesacquisition-related expenses of $35 million in LTM Adjusted EBITDA

2017 Business Outlook
Adjusted EBITDA
Free Cash Flow
GAAP Interest Expense(1)
Cash Interest Expense
Capital Expenditures
Depreciation & Amortization
Non-Cash Compensation
Cash Income Tax
$2.94 to $3.00 billion
$1.10 to $1.16 billion
$540 million
$520 million
16% of Total Revenue
$1.35 billion
$170 million
$40 million
Outlook Metric
Full Year Income Tax Rate Approximately 38%
(1) Updated GAAP interest expense outlook to $540 million from $570 million for the full year 2017.

Appendix

Financial & Operational Metrics (1Q17)
Customers
 Total: ~48,000
 96% Enterprise
 4% Wholesale
Headcount
 Total Employees: ~12,600
 QBHC: ~1,180
On-Net Buildings
 Total: 47,200
 78% North America
 17% Latin America
 5% EMEA
Shares Outstanding
 361 million
U.S. Federal NOL Balance
 $9.0 billion as of 12/31/16
Net Debt to Adjusted
EBITDA ratio
(Excluding acquisition-related expenses)
 3.1x
 Focused on the low end of
target leverage range of 3 to 4
times
Revenue Metrics Operational Metrics Financial Metrics
CNS Revenue by
Geography
 82% North America
 9% EMEA
 9% Latin America
CNS Revenue by
Product Group
 47% IP & Data
 30% Transport & Fiber
 15% Voice Services
 8% Colocation & Data
Center
CNS vs. WVS Revenue
 95% CNS
 5% WVS
CNS Revenue by
Channel
 75% Enterprise
 25% Wholesale
Total Revenue by Currency
 90% USD
 4% GBP
 2% EUR
 2% BRL
 2% All Other Currencies
CNS Revenue by Currency
 90% USD
 4% GBP
 3% EUR
 2% BRL
 1% All Other Currencies
Capital Expenditures as a
Percent of Total Revenue
 18%
CNS Revenue Churn
 1.2% (monthly)

Non-GAAP Reconciliation

Schedule to Reconcile to Non-GAAP Financial Metrics
Pursuant to Regulation G, the company is hereby providing definitions of non-GAAP financial metrics and
reconciliations to the most directly comparable GAAP measures.
The following describes and reconciles those financial measures as reported under accounting principles
generally accepted in the United States (GAAP) with those financial measures as adjusted by the items
detailed below and presented in the accompanying news release. These calculations are not prepared in
accordance with GAAP and should not be viewed as alternatives to GAAP. In keeping with its historical
financial reporting practices, the company believes that the supplemental presentation of these calculations
provides meaningful non-GAAP financial measures to help investors understand and compare business
trends among different reporting periods on a consistent basis.
In addition, measures referred to in the accompanying news release as being calculated “on a constant
currency basis” or "in constant currency terms" are non-GAAP metrics intended to present the relevant
information assuming a constant exchange rate between the two periods being compared. Such metrics are
calculated by applying the currency exchange rates used in the preparation of the prior period financial results
to the subsequent period results

Core Network Services Revenue includes revenue from colocation and datacenter services, transport and
fiber, IP and data services, and voice services (local and enterprise).
Network Access Costs includes leased capacity, right-of-way costs, access charges, satellite transponder
lease costs and other third party costs directly attributable to providing access to customer locations from the
Level 3 network, but excludes Network Related Expenses, and depreciation and amortization. Network
Access Costs do not include any employee expenses or impairment expenses; these expenses are allocated
to Network Related Expenses or Selling, General and Administrative Expenses.
Network Related Expenses includes certain expenses associated with the delivery of services to customers
and the operation and maintenance of the Level 3 network, such as facility rent, utilities, maintenance and
other costs, each related to the operation of its communications network, as well as salaries, wages and
related benefits (including non-cash stock-based compensation expenses) associated with personnel who are
responsible for the delivery of services, operation and maintenance of its communications network, and
accretion expense on asset retirement obligations, but excludes depreciation and amortization.
Network Access Margin ($) is defined as total Revenue less Network Access Costs from the Consolidated
Statements of Income, and excludes Network Related Expenses.
Network Access Margin (%) is defined as Network Access Margin ($) divided by total Revenue.
Management believes that network access margin is a relevant metric to provide to investors, as it is a metric
that management uses to measure the margin available to the company after it pays third party network
services costs; in essence, a measure of the efficiency of the company’s network.

Adjusted EBITDA is defined as net income (loss) from the Consolidated Statements of Income before income
taxes, total other income (expense), non-cash impairment charges, depreciation and amortization and non-cash
stock compensation expense.
Adjusted EBITDA Margin is defined as Adjusted EBITDA divided by total Revenue.
Management believes that Adjusted EBITDA and Adjusted EBITDA Margin are relevant and useful metrics to
provide to investors, as they are an important part of the company’s internal reporting and are key measures used
by Management to evaluate profitability and operating performance of the company and to make resource
allocation decisions. Management believes such measures are especially important in a capital-intensive industry
such as telecommunications. Management also uses Adjusted EBITDA and Adjusted EBITDA Margin to compare
the company’s performance to that of its competitors and to eliminate certain non-cash and non-operating items in
order to consistently measure from period to period its ability to fund capital expenditures, fund growth, service
debt and determine bonuses. Adjusted EBITDA excludes non-cash impairment charges and non-cash stock
compensation expense because of the non-cash nature of these items. Adjusted EBITDA also excludes interest
income, interest expense and income taxes because these items are associated with the company’s capitalization
and tax structures. Adjusted EBITDA also excludes depreciation and amortization expense because these non-
cash expenses primarily reflect the impact of historical capital investments, as opposed to the cash impacts of
capital expenditures made in recent periods, which may be evaluated through cash flow measures. Adjusted
EBITDA excludes the gain (or loss) on extinguishment and modification of debt and other, net because these items
are not related to the primary operations of the company.
There are limitations to using Adjusted EBITDA as a financial measure, including the difficulty associated with
comparing companies that use similar performance measures whose calculations may differ from the company’s
calculations. Additionally, this financial measure does not include certain significant items such as interest income,
interest expense, income taxes, depreciation and amortization, non-cash impairment charges, non-cash stock
compensation expense, the gain (or loss) on extinguishment and modification of debt and net other income
(expense). Adjusted EBITDA and Adjusted EBITDA Margin should not be considered a substitute for other
measures of financial performance reported in accordance with GAAP.

Debt is defined as total gross debt, including capital leases from the Footnotes to the Consolidated Financial
Statements.
Net Debt to Last Twelve Months (LTM) Adjusted EBITDA Ratio is defined as Debt, reduced by cash and
cash equivalents and divided by LTM Adjusted EBITDA Excluding Acquisition-Related Expenses.
Unlevered Cash Flow is defined as net cash provided by (used in) operating activities less capital
expenditures, plus cash interest paid and less interest income all as disclosed in the Consolidated Statements
of Cash Flows or the Consolidated Statements of Income. Management believes that Unlevered Cash Flow is
a relevant metric to provide to investors, as it is an indicator of the operational strength and performance of
the company and, measured over time, provides management and investors with a sense of the underlying
business’ growth pattern and ability to generate cash. Unlevered Cash Flow excludes cash used for
acquisitions and debt service and the impact of exchange rate changes on cash and cash equivalents
balances.
There are material limitations to using Unlevered Cash Flow to measure the company’s cash performance as
it excludes certain material items such as payments on and repurchases of long-term debt, interest income,
cash interest expense and cash used to fund acquisitions. Comparisons of Level 3’s Unlevered Cash Flow to
that of some of its competitors may be of limited usefulness since Level 3 does not currently pay a significant
amount of income taxes due to net operating loss carryforwards, and therefore, generates higher cash flow
than a comparable business that does pay income taxes. Additionally, this financial measure is subject to
variability quarter over quarter as a result of the timing of payments related to accounts receivable and
accounts payable and capital expenditures. Unlevered Cash Flow should not be used as a substitute for net
change in cash and cash equivalents in the Consolidated Statements of Cash Flows.

Free Cash Flow is defined as net cash provided by (used in) operating activities less capital expenditures as
disclosed in the Consolidated Statements of Cash Flows. Management believes that Free Cash Flow is a
relevant metric to provide to investors, as it is an indicator of the company’s ability to generate cash to service
its debt. Free Cash Flow excludes cash used for acquisitions, principal repayments and the impact of
exchange rate changes on cash and cash equivalents balances.
There are material limitations to using Free Cash Flow to measure the company’s performance as it excludes
certain material items such as principal payments on and repurchases of long-term debt and cash used to
fund acquisitions. Comparisons of Level 3’s Free Cash Flow to that of some of its competitors may be of
limited usefulness since Level 3 does not currently pay a significant amount of income taxes due to net
operating loss carryforwards, and therefore, generates higher cash flow than a comparable business that
does pay income taxes. Additionally, this financial measure is subject to variability quarter over quarter as a
result of the timing of payments related to interest expense, accounts receivable and accounts payable and
capital expenditures. Free Cash Flow should not be used as a substitute for net change in cash and cash
equivalents on the Consolidated Statements of Cash Flows.
Outlook
In order to provide our outlook with respect to non-GAAP metrics, we are required to indicate a range for
GAAP measures that are components of the reconciliation of the non-GAAP metric. The provision of these
ranges is in no way meant to indicate that the company is explicitly or implicitly providing an outlook on those
GAAP components of the reconciliation. In order to reconcile the non-GAAP financial metric to GAAP, the
company has to use ranges for the GAAP components that arithmetically add up to the non-GAAP financial
metric. While the company feels reasonably comfortable about the outlook for its non-GAAP financial metrics,
it fully expects that the ranges used for the GAAP components will vary from actual results. We will consider
our outlook of non-GAAP financial metrics to be accurate if the specific non-GAAP metric is met or exceeded,
even if the GAAP components of the reconciliation are different from those provided in an earlier
reconciliation.

1Q16 FX 1Q16 FX
CNS Revenue ($ in millions) 1Q17
1Q17
Constant
Currency 1Q16(2)
1Q17/
1Q16
%Change
1Q17
Constant
Currency/
1Q16
%Change(3)
North America 1,594$ 1,594$ 1,601$ (0.4)% (0.4)%
Wholesale 403$ 403$ 434$ (7.1)% (7.1)%
Enterprise 1,191$ 1,191$ 1,167$ 2.1 % 2.1 %
EMEA 175$ 188$ 190$ (7.9)% (1.0)%
Wholesale 55$ 59$ 64$ (14.1)% (7.5)%
Enterprise 106$ 113$ 107$ (0.9)% 5.4 %
UK Government 14$ 16$ 19$ (26.3)% (15.5)%
Latin America 177$ 166$ 155$ 14.2 % 6.8 %
Wholesale 36$ 34$ 39$ (7.7)% (13.0)%
Enterprise 141$ 132$ 116$ 21.6 % 13.5 %
Total CNS Revenue 1,946$ 1,948$ 1,946$ —% 0.1 %
Wholesale 494$ 496$ 537$ (8.0)% (7.4)%
Enterprise(1)
1,452$ 1,452$ 1,409$ 3.1 % 3.0 %
Total CNS Revenue 1,946$ 1,948$ 1,946$ —% 0.1 %
Wholesale Voice Services 102 102 105 (2.9)% (3.6)%
Total Revenue 2,048$ 2,050$ 2,051$ (0.1)% (0.1)%
EMEA Total w/o UK Govt 161$ 172$ 171$ (5.8)% 0.6 %
Total CNS w/o UK Govt 1,932$ 1,932$ 1,927$ 0.3 % 0.3 %
Enterprise w/o UK Govt 1,438$ 1,436$ 1,390$ 3.5 % 3.3 %
Level 3 Communications, Inc. and Consolidated Subsidiaries
Constant Currency
(1)
Includes UK Government
(2)
The 2016 results have been adjusted to reflect changes made to customer assignments between the
wholesale and enterprise channels as of the beginning of 2017.
(3)
Percentages are calculated using whole numbers. Minor differences may exist due to rounding.

1Q16 FX 1Q16 FX
Core Network Services Revenue 1Q16 1Q17
1Q17
Constant
Currency
1Q17/ 1Q16
%Change
1Q17
Constant
Currency/
1Q16
%Change(2)
Colocation and Datacenter Services 147$ 146$ 145$ (0.7)% (1.2)%
Transport and Fiber 579 581 583 0.3 % 0.7 %
IP and Data Services 918 924 924 0.7 % 0.7 %
Voice Services (Local and Enterprise) 302 295 296 (2.3)% (2.2)%
Total Core Network Services 1,946$ 1,946$ 1,948$ —% 0.1 %
Wholesale Voice Services 105 102 102 (2.9)% (2.4)%
Total Revenue 2,051$ 2,048$ 2,050$ (0.1)% —%
($ in millions)
(1)
The 2016 results have been adjusted to reflect changes made to customer assignments between the
wholesale and enterprise channels as of the beginning of 2017.
(2)
Percentages are calculated using whole numbers. Minor differences may exist due to rounding.

($ in millions) 1Q16 1Q17
Net Income 128$ 95$
Income Tax Expense 90 70
Total Other Expense 144 172
Depreciation and Amortization Expense 301 320
Non-Cash Compensation Expense 47 48
Adjusted EBITDA 710$ 705$
Add back: Acquisition-Related Expenses — 20
Adjusted EBITDA Excluding Acquisition-Related Expenses 710$ 725$
Total Revenue 2,051$ 2,048$
Adjusted EBITDA Margin 34.6 % 34.4 %
Adjusted EBITDA Excluding Acquisition-Related Expenses Margin 34.6 % 35.4 %
Adjusted EBITDA

Cash Flows
($ in millions) 1Q16 1Q17(1)
Net Cash Provided by Operating Activities 510$ 539$
Capital Expenditures (297) (368)
Free Cash Flow 213$ 171$
Cash Interest Paid 112 153
Interest Income (1) (1)
Unlevered Cash Flow 324$ 322$
(1)
Includes $2 million of cash used for CenturyLink acquisition-related expenses.

($ in millions) 2Q16 3Q16 4Q16 1Q17
Total:
LTM
Total Revenue 2,056$ 2,033$ 2,032$ 2,048$ 8,169$
Network Access Costs (676) (675) (680) (691) (2,722)
Network Related Expenses (339) (337) (332) (336) (1,344)
Selling, General and Administrative Expenses (357) (348) (346) (364) (1,415)
Add back: Non-Cash Compensation Expenses 31 43 35 48 157
Adjusted EBITDA 715$ 716$ 709$ 705$ 2,845$
Add back: Acquisition-Related Expenses — — 15 20 35
Adjusted EBITDA Excluding Acquisition-Related Expenses 715$ 716$ 724$ 725$ 2,880$
LTM Adjusted EBITDA

($ in millions)
Debt 11,009$
Cash and Cash Equivalents (1,947)
Net Debt 9,062$
Adjusted EBITDA Excluding Acquisition-Related Expenses(1) 2,880$
Net Debt to LTM Adjusted EBITDA Ratio 3.1
Net Debt to LTM Adjusted EBITDA ratio as of March 31, 2017
(1)
Please refer to the computation on Slide 25

($ in millions) Low High
Net Income 500$ 590$
Income Tax Expense 330 360
Total Other Expense 570 550
Depreciation and Amortization Expense 1,360 1,340
Non-Cash Compensation Expense 180 160
Adjusted EBITDA 2,940$ 3,000$
($ in millions) Low High
Net Cash Provided by Operating Activities 2,420$ 2,520$
Capital Expenditures (1,320) (1,360)
Free Cash Flow 1,100$ 1,160$
Range
Free Cash Flow Outlook
Twelve Months Ended December 31, 2017
Range
Outlook
Adjusted EBITDA Outlook
Twelve Months Ended December 31, 2017

1 q17 external presentation 2017-05-03_final

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1 q17 external presentation 2017-05-03_final