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Liberty Global Reports Fiscal 2012 Results

  Liberty Global Reports Fiscal 2012 Results

Record Subscriber Additions for Q4 and Full-Year 2012

Best Quarter of the Year for Revenue & OCF Growth in Q4

Achieved or Exceeded All 2012 Guidance Targets

Business Wire

ENGLEWOOD, Colo. -- February 13, 2013

Liberty Global, Inc. (“Liberty Global,” “LGI,” or the “Company”) (NASDAQ:
LBTYA, LBTYB and LBTYK), today announces financial and operating results for
the year and three months (“Q4”) ended December 31, 2012. Highlights for the
full year compared to the same period for 2011 (unless noted), include:^1

  *Organic RGU^2 additions increased 34% to 1.6 million in 2012, including
    465,000 in Q4
  *Revenue of $10.3 billion, reflecting rebased^3 growth of 6%
  *Operating Cash Flow (“OCF”)^4 of $4.9 billion, representing rebased growth
    of 4%
  *Operating income increased 9% to $2.0 billion
  *Adjusted Free Cash Flow (“Adjusted FCF”)^5 of $1.0 billion, up 31%
  *2012 stock repurchases totaled approximately $1.0 billion

Liberty Global President and CEO Mike Fries stated, “2012 was a great year for
our company and we finished on a high note, reporting our strongest subscriber
growth ever in the fourth quarter. For the full year we added 1.6 million
organic RGUs, including 465,000 in Q4 alone. These record results were driven
by the success of our triple-play bundles, which leverage our superior
broadband speeds and resulted in record annual broadband internet and
telephony subscriber additions. At the same time, we made significant progress
on our product roadmap with the introduction in the Dutch market of Horizon
TV, our revolutionary media and entertainment platform. Within five short
months we have sold over 100,000 subscriptions and have over 200,000 unique
users enjoying our on-line and multiscreen services in the Netherlands. In
January of 2013, we introduced Horizon TV in Switzerland and the response has
been overwhelmingly positive.”

“Our strength in subscriber additions helped fuel rebased revenue growth of 7%
in the fourth quarter to $2.7 billion, which was our best quarterly result in
five years. Also in Q4, rebased OCF increased 6% to $1.3 billion, consistent
with our expectation for accelerated growth in the second half of 2012. From
an Adjusted Free Cash Flow perspective, we delivered over $1.0 billion for the
full year, a 31% increase compared to 2011. Having achieved or exceeded all of
our 2012 guidance targets, we are bullish regarding our 2013 prospects and
began the year with strong operating momentum.”

“Our positive outlook also stems from our recent announcement of the pending
acquisition of Virgin Media,^6 a financially and strategically accretive
combination that reinforces our position as Europe’s largest and most advanced
broadband communications company. We expect to close the acquisition in the
second quarter following regulatory and shareholder approvals.”

“From a balance sheet perspective, we finished the fourth quarter with cash
and equivalents in excess of $3 billion^7 and total liquidity^8 of more than
$5 billion. In addition, we continued to opportunistically refinance our debt
and take advantage of strong capital markets, further extending our maturity
profile and lowering our fully-swapped borrowing cost,^9 which is down 80
basis points to 7.2% compared to a year ago. We remain committed to our
levered equity strategy for value creation, as we repurchased approximately $1
billion of stock in 2012, bringing our cumulative total to over $9 billion
since we formed LGI back in 2005.”

Subscriber Statistics

At December 31, 2012, we provided our 19.8 million unique customers with 34.8
million services, consisting of 18.3 million video, 9.2 million broadband
internet and 7.3 million telephony subscriptions. As compared to year-end
2011, we increased our RGU base by 6% or over 2.0 million RGUs. This growth
was largely attributable to our 1.6 million organic RGU additions and the
Puerto Rican OneLink acquisition in Q4. During 2012, we increased our combined
double- and triple-play customers by nearly 1.0 million or 12% (inclusive of
acquisitions) to over 9.0 million bundled customers or 46% of our customer
base. As a result, our bundling ratio increased from 1.68x RGUs per customer
at the end of 2011 to 1.76x RGUs per customer at the end of 2012.

We added 465,000 RGUs in the fourth quarter and 1.6 million RGUs for full-year
2012. Both results represent record activity levels, reflecting year-over-year
growth of 22% and 34%, respectively. Our RGU additions for the three months
and the year ended December 31, 2012 include 28,000 and 89,000 RGUs,
respectively, relating to small office home office (“SOHO”) RGUs.^10

Geographically, our European operations accounted for 92% of our total RGU
additions in 2012. Of particular note, our German operation (Unitymedia
KabelBW) delivered a record 768,000 net additions in 2012, which comprised
nearly half of our subscriber growth, as we successfully implemented our
“Go-for-Growth” strategy. As compared to our 2011 results, our German business
increased its RGU additions by 69% and by 4% if adjusted to include a full
year of Kabel BW results in 2011, as opposed to the two weeks that were
included in our actual 2011 results.

Our other operations in western Europe^11 added 373,000 RGUs collectively in
2012, reflecting year-over-year growth of 5%. This growth was derived from
improved subscriber performances in Switzerland, Austria and Belgium, offset
by a year-over-year decline in our Dutch business, which faced a more
competitive environment during the second half of 2012. Rounding out our
European footprint, our Central and Eastern European (“CEE”) region added
329,000 RGUs in 2012, our highest annual total since 2007 in that region.
Additionally, our Chilean and Puerto Rican operations contributed 105,000 and
20,000, respectively.

In terms of our TV business, we lost 287,000 video subscribers (including just
28,000 in Q4) in 2012, which reflected a 7% improvement compared to our video
losses in 2011 and represents our lowest annual video attrition in five years
in absolute terms despite a significantly larger footprint. We finished 2012
with a digital video base of 9.1 million RGUs, as we added 920,000 digital
cable RGUs (including 217,000 in Q4) during the year. As a result, our digital
penetration^12 increased to 52% compared to 46% at year-end 2011. We expect
that our opportunity to continue driving digital upgrades will be enhanced by
our recently launched Horizon TV product and with nearly 8.5 million analog
video subscribers, we remain confident in the video growth opportunity. The
take-up of Horizon TV in the Dutch market remained robust during the fourth
quarter, and the early results so far in Switzerland have been very positive.
We look forward to launching Horizon TV in Germany and Ireland later this
year.

Overall subscriber growth was powered by our market-leading double- and
triple-play bundles, with our superior broadband internet products serving as
the key competitive differentiator. As a result of the strong demand from
within our customer base, we added over 900,000 broadband internet subscribers
(including 249,000 in Q4) and over 970,000 telephony subscribers (including
244,000 in Q4) reflecting year-over-year growth of 19% and 32%, respectively,
both of which represent record annual additions.

Revenue

For the three months and year ended December 31, 2012, we reported
consolidated revenue of $2.7 billion and $10.3 billion, reflecting
year-over-year growth rates of 14% and 8%, respectively, compared to the prior
year. The performance in both periods resulted primarily from the positive
contribution of acquisitions, principally Kabel BW, as well as our record
organic RGU growth. When adjusting for the impact of acquisitions and FX, we
achieved year-over-year rebased revenue growth of 7% and 6% for the
three-month and full-year 2012 periods, respectively. These results compare to
5% rebased growth that we reported last year for both the fourth quarter and
full-year 2011 periods.

Our fourth quarter rebased revenue growth reflects our strongest quarterly
performance of 2012 and our fastest growth quarter in five years, driven by
triple-play and mobile subscriber growth. Of particular note, our best
performing operations were Germany and Belgium, which delivered rebased
revenue growth of 13% and 9%, respectively. Turning to our annual results and
similar to the fourth quarter, our rebased revenue growth of 6% was our best
top-line performance in five years. Our western European operations generated
7% year-over-year rebased growth, led by Germany and Belgium with 11% and 8%,
respectively.

Operating Cash Flow

OCF increased 14% to $1.3 billion and 9% to $4.9 billion for the three months
and year ended December 31, 2012, respectively, compared to the corresponding
prior year periods. Similar to our top-line performance, our reported OCF
growth reflects the positive impacts of acquisitions as well as organic
growth, partially offset by the negative impact of foreign currency movements.
Adjusting for FX and acquisitions, we achieved rebased OCF growth of 6% and 4%
for the quarter and year ended December 31, 2012, respectively. Our Q4 rebased
OCF growth was aided somewhat by the aggregate impact of certain non-recurring
items included in our Belgium results.

For 2012, we delivered year-over-year rebased OCF growth of 7% in our western
European operations, with particularly strong contributions from our Irish,
German and Dutch businesses, which grew at 11%, 10%, and 6%, respectively. In
addition, UPC Cablecom in Switzerland improved its rebased OCF growth to 5% in
2012, its strongest result in the last four years. Rounding out our footprint,
CEE’s rebased OCF was flat for the second year in a row, while our Chilean
operation reported a 7% decline in rebased OCF for 2012, due to a
year-over-year increase of approximately $50 million in the incremental OCF
deficit related to our wireless project. Without the incremental impact of the
Chilean wireless project, our consolidated LGI year-over-year rebased OCF
growth would have improved to 5% for the year ended December 31, 2012.

Our consolidated OCF margin^13 modestly increased year-over-year by 20 basis
points to 45.9% for Q4 and by 10 basis points to 47.2% for 2012. For the full
year, our OCF margin improved in both our Western European and CEE regions,
with Western Europe positively impacted by our consolidation of Kabel BW. In
addition, each of our Austrian, Irish, Dutch and Swiss operations delivered
year-over-year OCF margin increases. Largely offsetting these gains, our
Chilean and Belgian businesses experienced year-over-year OCF margin declines
of approximately 500 and 140 basis points, respectively, due in part to the
impact of wireless for both operations.

Operating Income

For the three months and year ended December 31, 2012, our reported operating
income increased by 23% and 9% to $501 million and $2.0 billion, respectively,
as compared to the corresponding prior year periods. The increase in each
period was largely due to higher revenue and lower operating expenses as
measured as a percentage of revenue. These factors were partially offset by
increases in depreciation and amortization expense.

Net Earnings/Loss Attributable to LGI Stockholders

For the three months ended December 31, 2012, we reported a net loss
attributable to LGI stockholders (“Net Loss”) of $331 million or $1.27 per
basic and diluted share. This compares to a Net Loss of $435 million or $1.58
per basic and diluted share for the prior year period. The year-over-year
improvement in our Net Loss resulted from, among other factors, better foreign
currency transaction, operating income and income tax expense results that
were only partially offset by adverse changes in the mark-to-market
adjustments of our derivative instruments and higher interest expense.

For the year ended December 31, 2012, we reported net earnings attributable to
LGI stockholders (“Net Earnings”) of $323 million or $1.21 per basic and
diluted share, which includes the positive impact of a $924 million gain on
the disposition of our Austar interest in the second quarter of 2012. For the
corresponding 2011 period, we reported a Net Loss of $773 million or $2.93 per
basic and diluted share.

Our basic and diluted per share calculations utilized weighted average common
shares of 261 million and 267 million for the three months and year ended
December 31, 2012. Furthermore, our 263 million shares outstanding at October
29, 2012 declined modestly to 257 million shares outstanding at February 8,
2013.

Capital Expenditures and Free Cash Flow

For the year ended December 31, 2012, we reported capital expenditures of $1.9
billion, reflecting a decline of $43 million from 2011. As a percentage of
revenue, our capital expenditures decreased from 20.3% in 2011 to 18.3% in
2012. This annual decline was attributable in large part to our working
capital efforts, as our non-cash vendor financing and capital lease
arrangements were $170 million higher year-over-year. With respect to our
additions to property and equipment,^14 we realized a 30 basis point decline
to 22.1% of revenue in 2012 as compared to 2011, despite our stronger
subscriber growth in 2012.

We generated $894 million of Free Cash Flow in 2012, reflecting an improvement
of 33% compared to the prior year, due largely to the impact of the Kabel BW
acquisition, improved working capital management, including the positive net
impact of our vendor financing arrangements, and increased OCF generation.Our
Adjusted FCF, which primarily excludes costs associated with our Chilean
wireless project, was $1.0 billion for 2012, an increase of 31%
year-over-year, well ahead of our guidance of mid-teens growth for the full
year.

Leverage and Liquidity

At December 31, 2012, we had total debt^15 of $27.5 billion, cash and cash
equivalents of $2.0 billion and adjusted cash and cash equivalent balances of
$3.1 billion after taking into consideration the $1.1 billion of restricted
cash that was released from restrictions after completion of the LGI Telenet
Tender Offer.^16 As compared to the third quarter of 2012, our reported debt
increased by $1.1 billion and our cash position decreased by $200 million. The
increase in debt is largely attributable to the closing of our Puerto Rican
OneLink transaction in the fourth quarter, which increased our total debt by
approximately $500 million.

During 2012, we completed opportunistic financing transactions at Unitymedia
KabelBW, UPC Holding and Telenet, which enabled us to extend our maturity
profile and lower our borrowing cost and, in some cases, raise new capital. At
year-end 2012, approximately 86% of our total debt was due in 2017 and beyond,
and our fully-swapped borrowing cost was 7.2%, an 80 basis point decline
compared to our fully-swapped borrowing cost of 8.0% at the end of last year.
In early 2013, we issued €500 million ($660 million) of 5.125% senior secured
notes in Germany, with the proceeds to be used to refinance existing 8.125%
senior secured notes.

At December 31, 2012, our consolidated liquidity was approximately $5.3
billion, including adjusted cash of $3.1 billion (of which $1.8 billion was at
the parent level) and $2.2 billion in aggregate borrowing capacity, as
represented by the maximum undrawn commitments under each of our credit
facilities.^17

In terms of our leverage posture, we ended 2012 with gross and net leverage
ratios^18 of 5.5x and 4.9x, respectively. After excluding the $1.1 billion
loan that is backed by the shares we hold in Sumitomo Corporation, our
adjusted gross and net debt ratios decline to 5.3x and 4.7x, respectively, up
slightly from our third quarter levels.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995, including our
expectations with respect to our operating momentum and 2013 prospects,
including our expectations for continued organic growth in subscribers, the
penetration of our advanced services, and our ARPU per customer; our
assessment of the strength of our balance sheet, our liquidity and access to
capital markets, including our borrowing availability, potential uses of our
excess capital, including for acquisitions and continued stock buybacks, our
ability to continue to do opportunistic refinancings and debt maturity
extensions and the adequacy of our currency and interest rate hedges; our
expectations with respect to the timing and impact of our expanded roll-out of
advanced products and services, including Horizon TV; our insight and
expectations regarding competitive and economic factors in our markets,
statements regarding the acquisition of Virgin Media, including the
anticipated consequences and benefits of the acquisition and the targeted
close date for the transaction, the availability of accretive M&A
opportunities and the impact of our M&A activity on our operations and
financial performance and other information and statements that are not
historical fact. These forward-looking statements involve certain risks and
uncertainties that could cause actual results to differ materially from those
expressed or implied by these statements. These risks and uncertainties
include the continued use by subscribers and potential subscribers of the
Company's services and willingness to upgrade to our more advanced offerings,
our ability to meet challenges from competition and economic factors, the
continued growth in services for digital television at a reasonable cost, the
effects of changes in technology, law and regulation, our ability to obtain
regulatory approval and satisfy the conditions necessary to close acquisitions
and dispositions, our ability to achieve expected operational efficiencies and
economies of scale, our ability to generate expected revenue and operating
cash flow, control property and equipment additions as measured by percentage
of revenue, achieve assumed margins and control the phasing of our FCF, our
ability to access cash of our subsidiaries and the impact of our future
financial performance and market conditions generally, on the availability,
terms and deployment of capital, fluctuations in currency exchange and
interest rates, the continued creditworthiness of our counterparties, the
ability of vendors and suppliers to timely meet delivery requirements, as well
as other factors detailed from time to time in the Company's filings with the
Securities and Exchange Commission including our most recently filed Form
10-K. These forward-looking statements speak only as of the date of this
release. The Company expressly disclaims any obligation or undertaking to
disseminate any updates or revisions to any forward-looking statement
contained herein to reflect any change in the Company's expectations with
regard thereto or any change in events, conditions or circumstances on which
any such statement is based.

About Liberty Global

Liberty Global is the leading international cable company, with operations in
13 countries. We connect people to the digital world and enable them to
discover and experience its endless possibilities. Our market-leading
television, broadband internet and telephony services are provided through
next-generation networks and innovative technology platforms that connect 20
million customers who subscribe to 35 million services as of December 31,
2012.

Liberty Global’s consumer brands include UPC, Unitymedia, KabelBW, Telenet and
VTR. Our operations also include Chellomedia, our content division, UPC
Business, a commercial services division and Liberty Global Ventures, our
investment fund. For more information, please visit www.lgi.com.

    
      We began accounting for Austar United Communications Limited (“Austar”)
      as a discontinued operation effective December 31, 2011. The results of
^1    operations, subscriber metrics and cash flows of Austar have been
      classified as a discontinued operation for all periods presented.
      Accordingly, the financial and statistical information presented herein
      includes only our continuing operations, unless otherwise indicated.

      Please see page 20 for the definition of revenue generating units
      (“RGUs”). Organic figures exclude RGUs of acquired entities at the date
^2    of acquisition, but include the impact of changes in RGUs from the date
      of acquisition. All subscriber/RGU additions or losses refer to net
      organic changes, unless otherwise noted.

      For purposes of calculating rebased growth rates on a comparable basis
      for all businesses that we owned during 2011 and 2012, we have adjusted
      our historical revenue and OCF for the three months and year ended
      December 31, 2011 to (i) include the pre-acquisition revenue and OCF of
      certain entities acquired during 2011 and 2012 in the respective 2011
^3    rebased amounts to the same extent that the revenue and OCF of such
      entities are included in our 2012 results, (ii) exclude a small
      disposition to the extent that the revenue and OCF are included in our
      2011 results and (iii) reflect the translation of our rebased amounts
      for the 2011 periods at the applicable average exchange rates that were
      used to translate our 2012 results. Please see page 11 for supplemental
      information.

^4    Please see page 14 for our operating cash flow definition and the
      required reconciliation.

      Free Cash Flow (“FCF”) is defined as net cash provided by our operating
      activities, plus (i) excess tax benefits related to the exercise of
      stock incentive awards and (ii) cash payments for direct acquisition
      costs, less (a) capital expenditures, as reported in our consolidated
      cash flow statements, (b) principal payments on vendor financing
      obligations and (c) principal payments on capital leases (exclusive of
      the portions of the network lease in Belgium and the duct leases in
^5    Germany that we assumed in connection with certain acquisitions), with
      each item excluding any cash provided or used by our discontinued
      operations. We also present Adjusted FCF, which adjusts FCF to eliminate
      the incremental FCF deficit associated with the VTR Wireless mobile
      initiative and, during 2011, the payments associated with the capital
      structure of the predecessor of Unitymedia KabelBW GmbH (“Old
      Unitymedia”). Please see page 16 for more information on FCF and
      Adjusted FCF and the required reconciliations.

      On February 5, 2013, Liberty Global and Virgin Media Inc. (“Virgin
      Media”) (NASDAQ: VMED; LSE: VMED) announced that they have entered into
      an agreement, subject to shareholder and regulatory approvals, pursuant
      to which Liberty Global will acquire Virgin Media in a stock and cash
^6    merger. Under the terms of the agreement, Virgin Media shareholders will
      receive $17.50 in cash, 0.2582 Liberty Global Series A shares and 0.1928
      Liberty Global Series C shares for each Virgin Media share that they
      hold. Please see our press release dated February 5, 2013 for further
      details.

      Refers to cash at the parent and non-operating subsidiaries.
      Additionally, our cash and cash equivalents balance for these purposes
^7    includes $1,069 million of restricted cash that was released from
      restrictions after completion of the LGI Telenet Tender Offer (see
      below).

      Liquidity refers to our consolidated cash and cash equivalents plus our
^8    aggregate unused borrowing capacity, as represented by the maximum
      undrawn commitments under our subsidiaries’ applicable facilities
      without regard to covenant compliance calculations.

      Our fully-swapped debt borrowing cost represents the weighted average
      interest rate on our aggregate variable and fixed rate indebtedness
^9    (excluding capital lease obligations), including the effects of
      derivative instruments, original issue premiums or discounts and
      commitment fees, but excluding the impact of financing costs.

      Certain of our business-to-business (“B2B”) revenue is derived from SOHO
      subscribers that pay a premium price to receive enhanced service levels
      along with video, internet or telephony services that are the same or
      similar to the mass marketed products offered to our residential
      subscribers. Effective January 1, 2012, we recorded non-organic
      adjustments to begin including the SOHO subscribers of our UPC/Unity
      Division in our RGU and customer counts. As a result, all mass marketed
^10   products provided to SOHOs, whether or not accompanied by enhanced
      service levels and/or premium prices, are now included in the respective
      RGU and customer counts of our broadband communications operations, with
      only those services provided at premium prices considered to be “SOHO
      RGUs” or “SOHO customers.” With the exception of our B2B SOHO
      subscribers, we generally do not count customers of B2B services as
      customers or RGUs for external reporting purposes. RGU, customer,
      bundling and ARPU amounts presented for periods prior to January 1, 2012
      have not been restated to reflect this change.

      References to western Europe include our operations in Germany, the
^11   Netherlands, Switzerland, Austria and Ireland, as well as in Belgium.
      References to our Western Europe reporting segment include the
      aforementioned countries, with the exception of Belgium.

^12   Digital penetration is calculated by dividing the number of digital
      cable RGUs by the total number of digital and analog cable RGUs.

^13   OCF margin is calculated by dividing OCF by total revenue for the
      applicable period.

      Our property and equipment additions include our capital expenditures,
^14   as reported in our consolidated cash flow statements, and the impacts of
      related changes in our current liabilities and amounts that are financed
      under vendor financing or capital lease arrangements.

^15   Total debt includes capital lease obligations.

      On December 17, 2012, we launched a voluntary and conditional cash
      public offer, at an offer price of €35.00 per share, for (i) all of
      Telenet's issued shares that we did not already own or that were not
      held by Telenet and (ii) certain of Telenet’s outstanding vested and
      unvested employee warrants (the “LGI Telenet Tender”). Pursuant to the
      LGI Telenet Tender, which was completed on February 1, 2013, we acquired
^16   (i) 9,497,637 of Telenet’s issued shares, and (ii) 3,000 of the
      outstanding and vested warrants. In connection with the launch of the
      LGI Telenet Tender, we were required to place €1,143 million ($1,508
      million) of cash into a restricted account. On February 1, 2013, we used
      €333 million ($439 million) of this restricted cash account to fund the
      LGI Telenet Tender and the remaining amount was released from
      restrictions.

      The $2.2 billion amount reflects the aggregate unused borrowing
      capacity, as represented by the maximum undrawn commitments under our
^17   subsidiaries’ applicable facilities without regard to covenant
      compliance calculations. Upon completion of Q4 2012 compliance
      reporting, we would expect to be able to borrow approximately $1.8
      billion of this aggregate borrowing capacity.

      Our gross and net debt ratios are defined as total debt and net debt to
      annualized OCF of the latest quarter. Net debt is defined as total debt
      less cash and cash equivalents. Additionally, our cash and cash
^18   equivalent balance for these purposes includes approximately $1,069
      million of restricted cash that was released from restrictions after
      completion of the LGI Telenet Tender Offer. For our adjusted ratios, the
      debt amount excludes the loan that is backed by the shares we hold in
      Sumitomo Corporation.


Liberty Global, Inc.
Condensed Consolidated Balance Sheets
                                                   December 31,
                                                     2012          2011
ASSETS                                               in millions
Current assets:
Cash and cash equivalents                            $ 2,038.9      $ 1,651.2
Trade receivables, net                                 1,031.0        910.5
Deferred income taxes                                  98.4           345.2
Current assets of discontinued operation               —              275.6
Other current assets                                  557.5        592.6
Total current assets                                   3,725.8        3,775.1
                                                                    
Restricted cash                                        1,516.7        23.3
Investments                                            950.1          975.2
Property and equipment, net                            13,437.6       12,868.4
Goodwill                                               13,877.6       13,289.3
Intangible assets subject to amortization, net         2,581.3        2,812.5
Long-term assets of discontinued operation             —              770.1
Other assets, net                                     2,218.6      1,895.3
                                                                    
Total assets                                         $ 38,307.7    $ 36,409.2
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable                                     $ 774.0        $ 645.7
Deferred revenue and advance payments from             849.7          847.6
subscribers and others
Current portion of debt and capital lease              363.5          184.1
obligations
Derivative instruments                                 569.9          601.2
Accrued interest                                       351.8          295.4
Accrued programming                                    251.0          213.1
Current liabilities of discontinued operation          —              114.1
Other accrued and current liabilities                 1,460.4      1,268.6
Total current liabilities                              4,620.3        4,169.8
                                                                    
Long-term debt and capital lease obligations           27,161.0       24,573.8
Long-term liabilities of discontinued operation        —              746.5
Other long-term liabilities                           4,441.3      3,987.7
Total liabilities                                     36,222.6     33,477.8
                                                                    
                                                                    
Commitments and contingencies
                                                                    
Equity:
Total LGI stockholders                                 2,210.0        2,805.4
Noncontrolling interests                              (124.9   )    126.0
Total equity                                          2,085.1      2,931.4
                                                                    
Total liabilities and equity                         $ 38,307.7    $ 36,409.2
                                                                      

Liberty Global, Inc.
Condensed
Consolidated                                    
Statements of
Operations
                                                   
                       Three months ended          Year ended
                       December 31,                December 31,
                       2012         2011          2012          2011
                       in millions, except per share amounts
                       
Revenue                $ 2,730.2    $ 2,404.5    $ 10,310.8    $ 9,510.8  
                                                                  
Operating costs and
expenses:
Operating (other
than depreciation
and amortization)        973.5         868.4         3,617.5        3,379.4
(including
stock-based
compensation)
Selling, general and
administrative
(including               524.2         462.2         1,936.1        1,780.4
stock-based
compensation)
Depreciation and         681.4         618.7         2,691.1        2,457.0
amortization
Impairment,
restructuring and       50.4        47.1        83.0         75.6     
other operating
items, net
                        2,229.5     1,996.4     8,327.7      7,692.4  
Operating income        500.7       408.1       1,983.1      1,818.4  
                                                                  
Non-operating income
(expense):
Interest expense         (448.6  )     (368.3  )     (1,677.4 )     (1,455.2 )
Interest and             3.6           10.8          42.3           73.2
dividend income
Realized and
unrealized gains
(losses) on              (456.0  )     43.6          (1,069.9 )     (60.4    )
derivative
instruments, net
Foreign currency
transaction gains        281.5         (374.7  )     436.3          (572.6   )
(losses), net
Realized and
unrealized gains
(losses) due to
changes in fair          (28.6   )     50.8          (29.9    )     (155.1   )
values of certain
investments and
debt, net
Gains (losses) on
debt modification,       (188.3  )     0.3           (215.8   )     (218.4   )
extinguishment and
conversion, net
Gains due to changes     —             —             52.5           —
in ownership
Other income            (3.9    )    0.3         (4.5     )    (5.7     )
(expense), net
                        (840.3  )    (637.2  )    (2,466.4 )    (2,394.2 )
Loss from continuing
operations before        (339.6  )     (229.1  )     (483.3   )     (575.8   )
income taxes
Income tax benefit      17.0        (209.1  )    (89.0    )    (231.7   )
(expense)
Loss from continuing    (322.6  )    (438.2  )    (572.3   )    (807.5   )
operations
Discontinued
operation:
Earnings from
discontinued             —             17.9          35.5           136.5
operation, net of
taxes
Gain on disposal of
discontinued            —           —           924.1        —        
operation, net of
taxes
                        —           17.9        959.6        136.5    
Net earnings (loss)      (322.6  )     (420.3  )     387.3          (671.0   )
Net earnings
attributable to         (8.7    )    (14.7   )    (64.5    )    (101.7   )
noncontrolling
interests
Net earnings (loss)
attributable to LGI    $ (331.3  )   $ (435.0  )   $ 322.8       $ (772.7   )
stockholders
                                                                  
                                                                  
Basic and diluted
earnings (loss)
attributable to LGI
stockholders per
share:
Continuing             $ (1.27   )   $ (1.61   )   $ (2.31    )   $ (3.21    )
operations
Discontinued            —           0.03        3.52         0.28     
operation
                       $ (1.27   )   $ (1.58   )   $ 1.21        $ (2.93    )
                                                                             

Liberty Global, Inc.                               Year ended
                                                  December 31,
Condensed Consolidated Statements of Cash Flows
                                                   2012          2011
Cash flows from operating activities:              in millions
Net earnings (loss)                                $ 387.3        $ (671.0   )
Earnings from discontinued operation                (959.6   )    (136.5   )
Loss from continuing operations                      (572.3   )     (807.5   )
                                                                  
Adjustments to reconcile loss from continuing
operations to net cash provided by operating        3,430.8        3,370.2
activities
Net cash provided by operating activities of        61.2         173.6    
discontinued operation
Net cash provided by operating activities           2,919.7      2,736.3  
                                                                  
Cash flows from investing activities:
Capital expenditures                                 (1,883.6 )     (1,927.0 )
Proceeds received upon disposition of                1,055.4        —
discontinued operation, net of disposal costs
Cash paid in connection with acquisitions, net       (215.7   )     (1,980.5 )
of cash acquired
Increase in escrow account, net                      —              (127.5   )
Other investing activities, net                      14.7           6.3
Net cash provided (used) by investing activities
of discontinued operation, including                (51.7    )    18.4     
deconsolidated cash
Net cash used by investing activities               (1,080.9 )    (4,010.3 )
                                                                  
Cash flows from financing activities:
Borrowings of debt                                   5,981.9        5,622.8
Repayments and repurchases of debt and capital       (4,376.1 )     (4,520.5 )
lease obligations
Increase in restricted cash related to the LGI       (1,464.1 )     —
Telenet Tender
Repurchase of LGI common stock                       (970.3   )     (912.6   )
Distributions by subsidiaries to noncontrolling      (335.9   )     (417.1   )
interest owners
Payment of financing costs, debt premiums and        (229.8   )     (254.3   )
exchange offer consideration
Contributions by noncontrolling interest owners      115.1          26.7
to subsidiaries
Net cash paid related to derivative instruments      (108.4   )     (80.4    )
Change in cash collateral                            59.6           (64.6    )
Payment of net settled employee withholding          (56.8    )     (117.5   )
taxes on stock incentive awards
Excess tax benefits from stock-based                 7.2            37.7
compensation
Other financing activities, net                      (92.2    )     34.6
Net cash used by financing activities of            —            (102.5   )
discontinued operation
Net cash used by financing activities               (1,469.8 )    (747.7   )
                                                                  
Effect of exchange rate changes on cash:
Continuing operations                                28.2           30.0
Discontinued operation                              (9.5     )    4.3      
Total                                               18.7         34.3     
                                                                  
Net increase (decrease) in cash and cash
equivalents:
Continuing operations                                387.7          (2,081.2 )
Discontinued operation                              -            93.8     
Net increase (decrease) in cash and cash             387.7          (1,987.4 )
equivalents
                                                                  
Cash and cash equivalents:
Beginning of year                                   1,651.2      3,847.5  
End of year                                          2,038.9        1,860.1
Less cash and cash equivalents of discontinued      —            (208.9   )
operation at end of year
Cash and cash equivalents of continuing            $ 2,038.9     $ 1,651.2  
operations at end of year
                                                                  
Cash paid for interest - continuing operations     $ 1,562.6      $ 1,329.2
Cash paid for interest - discontinued operation     29.0         54.2     
Total                                              $ 1,591.6     $ 1,383.4  
Net cash paid for taxes – continuing operations    $ 11.8        $ 54.9     
                                                                             

Revenue and Operating Cash Flow

In the following tables, we present revenue and operating cash flow by
reportable segment of our continuing operations for the three months and year
ended December 31, 2012, as compared to the corresponding prior year periods.
All of the reportable segments derive their revenue primarily from broadband
communications services, including video, broadband internet and telephony
services. Most reportable segments also provide B2B services. At December 31,
2012, our operating segments in the UPC/Unity Division provided broadband
communications services in 10 European countries and direct-to-home (“DTH”)
services to customers in the Czech Republic, Hungary, Romania and Slovakia
through a Luxembourg-based organization that we refer to as "UPC DTH." Our
Other Western Europe segment includes our broadband communications operating
segments in Austria and Ireland. Our Central and Eastern Europe segment
includes our broadband communications operating segments in the Czech
Republic, Hungary, Poland, Romania and Slovakia. The UPC/Unity Division's
central and other category includes (i) the UPC DTH operating segment, (ii)
costs associated with certain centralized functions, including billing
systems, network operations, technology, marketing, facilities, finance and
other administrative functions and (iii) intersegment eliminations within the
UPC/Unity Division. Telenet provides video, broadband internet and telephony
services in Belgium. In Chile, the VTR Group includes VTR, which provides
video, broadband internet and telephony services, and VTR Wireless, which
provides mobile services through a combination of its own wireless network and
certain third-party wireless access arrangements. Our corporate and other
category includes (i) less significant consolidated operating segments that
provide (a) broadband communications services in Puerto Rico and (b)
programming and other services primarily in Europe and Latin America and (ii)
our corporate category. Intersegment eliminations primarily represent the
elimination of intercompany transactions between our broadband communications
and programming operations, primarily in Europe. Beginning in the fourth
quarter of 2012, the management responsibility for certain of our operations
in Switzerland was transferred to our Austrian operations and, accordingly,
such operations are now reported within our Other Western Europe segment.
Segment information for all periods presented has been retrospectively revised
to reflect this change. We present only the reportable segments of our
continuing operations in the tables below.

For purposes of calculating rebased growth rates on a comparable basis for all
businesses that we owned during 2012, we have adjusted our historical revenue
and OCF for the three months and year ended December 31, 2011 to (i) include
the pre-acquisition revenue and OCF of certain entities acquired during 2011
and 2012 in our rebased amounts for the three months and year ended December
31, 2011 to the same extent that the revenue and OCF of such entities are
included in our results for the three months and year ended December 31, 2012,
(ii) exclude the pre-disposition revenue and OCF of a small studio business
that was disposed of at the beginning of 2012 from our rebased amounts for the
three months and year ended December 31, 2011 and (iii) reflect the
translation of our rebased amounts for the three months and year ended
December 31, 2011 at the applicable average foreign currency exchange rates
that were used to translate our results for the three months and year ended
December 31, 2012. The acquired entities that have been included in whole or
in part in the determination of our rebased revenue and OCF for the three
months ended December 31, 2011 include Kabel BW, OneLink and five small
entities in Europe. The acquired entities that have been included in whole or
in part in the determination of our rebased revenue and OCF for the year ended
December 31, 2011 include Kabel BW, Aster, OneLink and seven small entities in
Europe. We have reflected the revenue and OCF of the acquired entities in our
2011 rebased amounts based on what we believe to be the most reliable
information that is currently available to us (generally pre-acquisition
financial statements), as adjusted for the estimated effects of (i) any
significant differences between GAAP and local generally accepted accounting
principles, (ii) any significant effects of acquisition accounting
adjustments, (iii) any significant differences between our accounting policies
and those of the acquired entities and (iv) other items we deem appropriate.
We do not adjust pre-acquisition periods to eliminate non-recurring items or
to give retroactive effect to any changes in estimates that might be
implemented during post-acquisition periods. As we did not own or operate the
acquired businesses during the pre-acquisition periods, no assurance can be
given that we have identified all adjustments necessary to present the revenue
and OCF of these entities on a basis that is comparable to the corresponding
post-acquisition amounts that are included in our historical results or that
the pre-acquisition financial statements we have relied upon do not contain
undetected errors. The adjustments reflected in our rebased amounts have not
been prepared with a view towards complying with Article 11 of Regulation S-X.
In addition, the rebased growth percentages are not necessarily indicative of
the revenue and OCF that would have occurred if these transactions had
occurred on the dates assumed for purposes of calculating our rebased amounts
or the revenue and OCF that will occur in the future. The rebased growth
percentages have been presented as a basis for assessing growth rates on a
comparable basis,  and are not presented as a measure of our pro forma
financial performance. Therefore, we believe our rebased data is not a
non-GAAP financial measure as contemplated by Regulation G or Item 10 of
Regulation S-K.

In each case, the following tables present (i) the amounts reported by each of
our reportable segments for the comparative periods, (ii) the U.S. dollar
change and percentage change from period to period and (iii) the percentage
change from period to period on a rebased basis:

Revenue           Three months ended         Increase            Increase
                   December 31,                (decrease)           (decrease)
                   2012         2011          $          %        Rebased %
                   in millions, except % amounts
UPC/Unity
Division:
Germany            $ 615.4       $ 391.9       $ 223.5     57.0     13.0
The Netherlands      314.4         313.8         0.6       0.2      3.9
Switzerland          325.5         319.0         6.5       2.0      3.8
Other Western       220.1       218.6       1.5      0.7     4.4    
Europe
Total Western        1,475.4       1,243.3       232.1     18.7     7.6
Europe
Central and          285.9         285.3         0.6       0.2      (0.9   )
Eastern Europe
Central and         30.6        29.7        0.9      3.0     —      
other
Total UPC/Unity      1,791.9       1,558.3       233.6     15.0     6.1
Division
Telenet              513.3         487.6         25.7      5.3      9.3
(Belgium)
VTR Group            248.3         214.6         33.7      15.7     7.6
(Chile)
Corporate and        196.9         164.1         32.8      20.0     —
other
Intersegment        (20.2   )    (20.1   )    (0.1  )   (0.5 )   —      
eliminations
Total              $ 2,730.2    $ 2,404.5    $ 325.7    13.5    6.5    
                                                                           

                 Year ended                  Increase            Increase
                  December 31,                 (decrease)           (decrease)
                  2012          2011          $          %        Rebased %
                  in millions, except % amounts
UPC/Unity
Division:
Germany           $ 2,311.0      $ 1,450.0     $ 861.0     59.4     11.4
The Netherlands     1,229.1        1,273.4       (44.3 )   (3.5 )   4.4
Switzerland         1,259.8        1,282.6       (22.8 )   (1.8 )   3.8
Other Western      848.4        893.3       (44.9 )   (5.0 )   2.7    
Europe
Total Western       5,648.3        4,899.3       749.0     15.3     6.7
Europe
Central and         1,115.7        1,122.5       (6.8  )   (0.6 )   (0.6   )
Eastern Europe
Central and        115.7        122.7       (7.0  )   (5.7 )   —      
other
Total UPC/Unity     6,879.7        6,144.5       735.2     12.0     5.4
Division
Telenet             1,918.0        1,918.5       (0.5  )   —        8.1
(Belgium)
VTR Group           940.6          889.0         51.6      5.8      6.4
(Chile)
Corporate and       655.8          645.2         10.6      1.6      —
other
Intersegment       (83.3    )    (86.4   )    3.1      3.6     —      
eliminations
Total             $ 10,310.8    $ 9,510.8    $ 800.0    8.4     5.8    
                                                                           

Operating Cash    Three months ended          Increase              Increase
Flow                                                            
                  December 31,                (decrease)            (decrease)
                  2012         2011          $          %         Rebased %
                  in millions, except % amounts
UPC/Unity
Division:
Germany           $ 366.2       $ 227.0       $ 139.2     61.3      14.8
The Netherlands     191.9         185.3         6.6       3.6       7.5
Switzerland         185.2         178.9         6.3       3.5       5.5
Other Western      110.0       100.7       9.3      9.2      13.1   
Europe
Total Western       853.3         691.9         161.4     23.3      10.8
Europe
Central and         144.9         134.9         10.0      7.4       6.2
Eastern Europe
Central and        (46.5   )    (35.2   )    (11.3 )   (32.1 )   —      
other
Total UPC/Unity     951.7         791.6         160.1     20.2      9.0
Division
Telenet             227.3         229.3         (2.0  )   (0.9  )   3.0
(Belgium)
VTR Group           82.2          80.7          1.5       1.9       (4.9   )
(Chile)
Corporate and      (6.8    )    (2.1    )    (4.7  )   N.M.      —      
other
Total             $ 1,254.4    $ 1,099.5    $ 154.9    14.1     5.6    
                                                                    
Total
(excluding VTR                                                      6.5    
Wireless)^1
                                                                           

                  Year ended                  Increase              Increase
                                                                
                  December 31,                (decrease)            (decrease)
                  2012         2011          $          %         Rebased %
                  in millions, except % amounts
UPC/Unity
Division:
Germany           $ 1,364.3     $ 863.7       $ 500.6     58.0      10.2
The Netherlands     737.1         755.3         (18.2 )   (2.4  )   5.6
Switzerland         717.9         721.9         (4.0  )   (0.6  )   5.2
Other Western      407.7       418.7       (11.0 )   (2.6  )   5.4    
Europe
Total Western       3,227.0       2,759.6       467.4     16.9      7.4
Europe
Central and         555.1         548.0         7.1       1.3       0.0
Eastern Europe
Central and        (163.1  )    (140.5  )    (22.6 )   (16.1 )   —      
other
Total UPC/Unity     3,619.0       3,167.1       451.9     14.3      5.5
Division
Telenet             940.7         967.0         (26.3 )   (2.7  )   5.4
(Belgium)
VTR Group           314.2         341.2         (27.0 )   (7.9  )   (7.3   )
(Chile)
Corporate and      (4.3    )    7.0         (11.3 )   N.M.      —      
other
Total             $ 4,869.6    $ 4,482.3    $ 387.3    8.6      4.1    
                                                                    
Total
(excluding VTR                                                      5.2    
Wireless)^1
                                                                           

N.M. - Not Meaningful.

Operating Cash Flow Definition and Reconciliation

Operating cash flow is the primary measure used by our chief operating
decision maker to evaluate segment operating performance. Operating cash flow
is also a key factor that is used by our internal decision makers to (i)
determine how to allocate resources to segments and (ii) evaluate the
effectiveness of our management for purposes of annual and other incentive
compensation plans. As we use the term, operating cash flow is defined as
revenue less operating and selling, general and administrative expenses
(excluding stock-based compensation, depreciation and amortization, provisions
for litigation and impairment, restructuring and other operating items). Other
operating items include (i) gains and losses on the disposition of long-lived
assets, (ii) direct acquisition costs, such as third-party due diligence,
legal and advisory costs, and (iii) other acquisition-related items, such as
gains and losses on the settlement of contingent consideration. Our internal
decision makers believe operating cash flow is a meaningful measure and is
superior to available GAAP measures because it represents a transparent view
of our recurring operating performance that is unaffected by our capital
structure and allows management to (i) readily view operating trends, (ii)
perform analytical comparisons and benchmarking between segments and (iii)
identify strategies to improve operating performance in the different
countries in which we operate. We believe our operating cash flow measure is
useful to investors because it is one of the bases for comparing our
performance with the performance of other companies in the same or similar
industries, although our measure may not be directly comparable to similar
measures used by other public companies. Operating cash flow should be viewed
as a measure of operating performance that is a supplement to, and not a
substitute for, operating income, net earnings (loss), cash flow from
operating activities and other GAAP measures of income or cash flows. A
reconciliation of total segment operating cash flow to our operating income is
presented below.

                      Three months ended         Year ended
                       December 31,                December 31,
                       2012         2011          2012          2011
                       in millions
Total segment
operating cash flow    $ 1,254.4     $ 1,099.5     $ 4,869.6      $ 4,482.3
from continuing
operations
Stock-based              (21.9   )     (25.6   )     (112.4   )     (131.3   )
compensation expense
Depreciation and         (681.4  )     (618.7  )     (2,691.1 )     (2,457.0 )
amortization
Impairment,
restructuring and       (50.4   )    (47.1   )    (83.0    )    (75.6    )
other operating
items, net
Operating income       $ 500.7      $ 408.1      $ 1,983.1     $ 1,818.4  
                                                                             

ARPU per Customer Relationship

The following table provides ARPU per customer relationship^2 for the
indicated periods:

                    Three months ended Dec. 31,            FX Neutral
                     2012            2011         % Change   % Change^3
UPC/Unity Division   €     24.84      €   23.77    4.5%       3.3%
Telenet              €     48.11      €   44.51    8.1%       8.1%
VTR                  CLP   30,830     CLP 30,572   0.8%       0.8%
LGI Consolidated     $     37.90      $   37.54    1.0%       2.8%
                                                              

Summary of Debt, Capital Lease Obligations and Cash and Cash Equivalents

The following table^4 details the U.S. dollar equivalent balances of our
third-party consolidated debt, capital lease obligations and cash and cash
equivalents at December 31, 2012:

                                   Capital      Debt and       Cash
                                     Lease         Capital Lease   and Cash
                        Debt^5       Obligations   Obligations     Equivalents
                        in millions
LGI and its
non-operating           $ 1,243.4    $  13.6       $   1,257.0     $  701.3
subsidiaries
UPC Holding               12,627.5      32.9           12,660.4       41.6
(excluding VTR Group)
Unitymedia KabelBW        6,841.6       937.1          7,778.7        26.7
Telenet                   4,666.2       405.1          5,071.3        1,196.0
Liberty Puerto Rico       663.9         0.6            664.5          2.4
VTR Group^6               91.9          0.3            92.2           44.3
Other operating          0.4          —             0.4           26.6
subsidiaries
Total LGI               $ 26,134.9   $  1,389.6    $   27,524.5      2,038.9
                                                                   
Restricted cash for
LGI Telenet Tender                                                   1,069.0
released
on 2/1/13
Adjusted cash                                                      $  3,107.9
position
                                                                   

Capital Expenditures

The table below highlights the categories of our property and equipment
additions for the indicated periods and reconciles those additions to the
capital expenditures that we present in our consolidated statements of cash
flows:

                           Three months ended      Year ended
                            December 31,             December 31,
                            2012       2011         2012         2011
                            in millions, except % amounts
Customer premises           $ 205.2     $ 180.6      $ 896.1       $ 720.5
equipment
Scalable infrastructure       137.9       169.2        387.6         441.1
Line extensions               79.3        67.4         261.6         258.0
Upgrade/rebuild               85.4        99.5         350.5         322.9
Support capital               119.9       150.0        361.5         375.0
Other, including             10.7      7.4        16.8        14.1    
Chellomedia
Property and equipment        638.4       674.1        2,274.1       2,131.6
additions
Assets acquired under
capital-related vendor        (94.2 )     (42.7  )     (246.5  )     (101.4  )
financing
arrangements
Assets acquired under         (17.6 )     (11.5  )     (63.1   )     (38.2   )
capital leases
Changes in current
liabilities related to       (93.7 )    (108.6 )    (80.9   )    (65.0   )
capital expenditures
Total capital               $ 432.9    $ 511.3     $ 1,883.6    $ 1,927.0 
expenditures^7
                                                                   
Property and equipment        23.4  %     28.0   %     22.1    %     22.4    %
additions as % of revenue
Capital expenditures as %     15.9  %     21.3   %     18.3    %     20.3    %
of revenue
                                                                   

Free Cash Flow and Adjusted Free Cash Flow Definition and Reconciliation

We define free cash flow as net cash provided by our operating activities,
plus (i) excess tax benefits related to the exercise of stock incentive awards
and (ii) cash payments for direct acquisition costs, less (a) capital
expenditures, as reported in our consolidated cash flow statements, (b)
principal payments on vendor financing obligations and (c) principal payments
on capital leases (exclusive of the portions of the network lease in Belgium
and the duct leases in Germany that we assumed in connection with certain
acquisitions), with each item excluding any cash provided or used by our
discontinued operations. We believe that our presentation of free cash flow
provides useful information to our investors because this measure can be used
to gauge our ability to service debt and fund new investment opportunities.
Free cash flow should not be understood to represent our ability to fund
discretionary amounts, as we have various mandatory and contractual
obligations, including debt repayments, which are not deducted to arrive at
this amount. Investors should view free cash flow as a supplement to, and not
a substitute for, GAAP measures of liquidity included in our consolidated cash
flow statements. The following table provides the reconciliation of our
continuing operations’ net cash provided by operating activities to FCF and
Adjusted FCF for the indicated periods:

                                                
                        Three months ended         Year ended

                        December 31,               December 31,
                        2012         2011         2012          2011
                        in millions
Net cash provided by
operating activities    $ 1,033.5     $ 837.6      $ 2,858.5      $ 2,562.7
of continuing
operations
Excess tax benefits
from stock-based          3.5           4.4          7.2            37.7
compensation^8
Cash payments for
direct acquisition        14.3          2.6          33.8           19.6
costs^9
Capital expenditures      (432.9  )     (511.3 )     (1,883.6 )     (1,927.0 )
Principal payments on
vendor financing          (44.8   )     (6.6   )     (104.7   )     (10.0    )
obligations
Principal payments on
certain capital          (8.1    )    (3.2   )    (17.5    )    (11.4    )
leases
FCF                     $ 565.5      $ 323.5     $ 893.7       $ 671.6    
                                                                  
FCF                     $ 565.5       $ 323.5      $ 893.7        $ 671.6
Payments associated
with Old Unitymedia’s     —             —            —              12.9
pre-acquisition
capital structure^10
FCF deficit of VTR       28.3        44.1       139.8        106.5    
Wireless
Adjusted FCF            $ 593.8      $ 367.6     $ 1,033.5     $ 791.0    
                                                                             

RGUs, Customers and Bundling^11

The following table provides information on the breakdown of our RGUs and
customer base and highlights our customer bundling metrics at December 31,
2012, September 30, 2012, and December 31, 2011:

                              September                     Q4’12 /    Q4’12 /
              December 31,  30,           December 31,  Q3’12     Q4’11
               2012^12        2012           2011           (%         (%
                                                            Change)    Change)
Total RGUs
Total Video    18,308,500     18,222,600     18,405,500     0.5   %    (0.5  %)
RGUs
Total
Broadband      9,244,300      8,909,300      8,159,300      3.8   %    13.3  %
Internet
RGUs
Total
Telephony      7,281,700     7,003,400     6,225,300     4.0   %    17.0  %
RGUs
Liberty
Global         34,834,500     34,135,300     32,790,100     2.0   %    6.2   %
Consolidated
                                                                       
Total
Customers
UPC/Unity      16,250,300     16,191,200     16,116,300     0.4   %    0.8   %
Division
Telenet        2,122,700      2,134,000      2,198,500      (0.5  %)   (3.4  %)
VTR            1,144,400      1,129,500      1,101,800      1.3   %    3.9   %
Other          270,800       124,700       121,600       117.2 %    122.7 %
Liberty
Global         19,788,200     19,579,400     19,538,200     1.1   %    1.3   %
Consolidated
                                                                       
Total
Single-Play    10,727,200     10,820,100     11,455,800     (0.9  %)   (6.4  %)
Customers
Total
Double-Play    3,075,700      2,962,700      2,913,100      3.8   %    5.6   %
Customers
Total
Triple-Play    5,985,300      5,796,600      5,169,300      3.3   %    15.8  %
Customers
                                                                       
%
Double-Play
Customers
UPC/Unity      13.1       %   12.8       %   12.6       %   2.3   %    4.0   %
Division
Telenet        29.9       %   29.5       %   28.2       %   1.4   %    6.0   %
VTR            20.7       %   20.5       %   21.2       %   1.0   %    (2.4  %)
Liberty
Global         15.5       %   15.1       %   14.9       %   2.6   %    4.0   %
Consolidated
                                                                       
%
Triple-Play
Customers
UPC/Unity      27.9       %   27.1       %   23.9       %   3.0   %    16.7  %
Division
Telenet        40.5       %   39.4       %   35.6       %   2.8   %    13.8  %
VTR            46.1       %   46.7       %   45.2       %   (1.3  %)   2.0   %
Liberty
Global         30.2       %   29.6       %   26.5       %   2.0   %    14.0  %
Consolidated
                                                                       
RGUs per
Customer
Relationship
UPC/Unity      1.69           1.67           1.60           1.2   %    5.6   %
Division
Telenet        2.11           2.08           1.99           1.4   %    6.0   %
VTR            2.13           2.14           2.12           (0.5  %)   0.5   %
Liberty
Global         1.76           1.74           1.68           1.1   %    4.8   %
Consolidated
                                                                             

^1   Represents our consolidated rebased growth rate, excluding the
      incremental OCF deficit of VTR Wireless.
      ARPU per customer relationship refers to the average monthly
      subscription revenue per average customer relationship and is calculated
      by dividing the average monthly subscription revenue (excluding
      installation, late fees and mobile services revenue) for the indicated
      period, by the average of the opening and closing balances for customer
      relationships for the period. Customer relationships of entities
      acquired during the period are normalized. Unless otherwise indicated,
^2    ARPU per customer relationship for the UPC/Unity Division and LGI
      Consolidated are not adjusted for currency impacts. ARPU per customer
      relationship amounts reported for periods prior to January 1, 2012 have
      not been restated to reflect the January 1, 2012 change in our reporting
      of SOHO RGUs. In addition, it should be noted that ARPU per customer
      relationship for the UPC/Unity Division and for LGI Consolidated is
      adversely impacted by the inclusion of KBW for the full period in Q4
      2012.
      The FX-neutral change represents the percentage change on a
^3    year-over-year basis adjusted for FX impacts and is calculated by
      adjusting the prior year figures to reflect translation at the foreign
      currency rates used to translate the current year amounts.
^4    Except as otherwise indicated, the amounts reported in the table include
      the named entity and its subsidiaries.
^5    Debt amounts for UPC Holding and Telenet include senior secured notes
      issued by special purpose entities that are consolidated by each.
^6    Of these amounts, VTR Wireless accounts for $92 million of the debt and
      $9 million of the cash of VTR Group.
      The capital expenditures that we report in our consolidated cash flow
      statements do not include amounts that are financed under vendor
^7    financing or capital lease arrangements. Instead, these expenditures are
      reflected as non-cash additions to our property and equipment when the
      underlying assets are delivered, and as repayments of debt when the
      related principal is repaid.
      Excess tax benefits from stock-based compensation represent the excess
      of tax deductions over the related financial reporting stock-based
^8    compensation expense. The hypothetical cash flows associated with these
      excess tax benefits are reported as an increase to cash flows from
      financing activities and a corresponding decrease to cash flows from
      operating activities in our consolidated cash flow statements.
^9    Represents costs paid during the period to third parties directly
      related to acquisitions.
      Represents derivative payments on the pre-acquisition capital structure
      of Old Unitymedia during the post-acquisition period. These payments
      were reflected as a reduction of cash provided by operations in our
^10   condensed consolidated cash flow statements for the year ended December
      31, 2011. Old Unitymedia’s pre-acquisition debt was repaid on March 2,
      2010 with part of the proceeds of the debt incurred for the Unitymedia
      acquisition.
      The RGU, customer and bundling statistics reported for periods prior to
^11   January 1, 2012 have not been restated to reflect the January 1, 2012
      change in our reporting of SOHO RGUs.
^12   The December 31, 2012 amounts are impacted by the November 9, 2012
      Puerto Rico OneLink transaction.
      

                  Consolidated Operating Data – December 31, 2012
                                                                          Video                                                                               Internet                            Telephony
                   Homes        Two-way      Customer            Total        Analog Cable      Digital Cable     DTH               MMDS              Total        Homes                                Homes
                   Passed^(1)   Homes        Relationships^(3)   RGUs^(4)     Subscribers^(5)  Subscribers^(6)  Subscribers^(7)  Subscribers^(8)  Video        Serviceable^(9)  Subscribers^(10)   Serviceable^(11)  Subscribers^(12)
                                Passed^(2)
UPC/Unity
Division:
Germany            12,567,900   12,162,400   7,049,100           11,140,700   4,503,600         2,185,900         —                 —                 6,689,500    12,162,400        2,219,200          12,162,400         2,232,000
The                2,825,200    2,810,800    1,731,800           3,685,500    651,600           1,078,000         —                 —                 1,729,600    2,823,500         1,025,400          2,820,700          930,500
Netherlands^(13)
Switzerland^(13)   2,074,700    1,825,400    1,485,600           2,464,400    842,500           606,000           —                 —                 1,448,500    2,292,000         594,500            2,323,900          421,400
Austria            1,313,400    1,297,400    733,000             1,408,000    199,400           335,900           —                 —                 535,300      1,297,300         490,700            1,265,400          382,000
Ireland            862,900      737,200      538,800             988,800      63,000            337,800           —                 45,600            446,400      737,200           304,300            715,000            238,100
Total Western      19,644,100   18,833,200   11,538,300          19,687,400   6,260,100         4,543,600         —                 45,600            10,849,300   19,312,400        4,634,100          19,287,400         4,204,000
Europe
Poland             2,667,900    2,537,600    1,472,000           2,616,000    546,000           756,300           —                 —                 1,302,300    2,537,600         854,700            2,527,600          459,000
Hungary            1,525,700    1,508,300    1,029,600           1,760,300    306,900           327,100           242,900           —                 876,900      1,508,300         486,600            1,510,700          396,800
Romania            2,082,800    1,708,000    1,177,600           1,733,900    428,700           423,600           319,700           —                 1,172,000    1,708,000         333,000            1,646,200          228,900
Czech Republic     1,345,200    1,236,900    745,300             1,217,300    76,100            406,000           102,200           —                 584,300      1,236,900         439,900            1,234,200          193,100
Slovakia           495,500      464,800      287,500             425,600      84,100            123,100           54,300            1,100             262,600      433,600           103,800            431,800            59,200
Total CEE          8,117,100    7,455,600    4,712,000           7,753,100    1,441,800         2,036,100         719,100           1,100             4,198,100    7,424,400         2,218,000          7,350,500          1,337,000
Total UPC/Unity    27,761,200   26,288,800   16,250,300          27,440,500   7,701,900         6,579,700         719,100           46,700            15,047,400   26,736,800        6,852,100          26,637,900         5,541,000
                                                                                                                                                                                                                           
Telenet            2,868,800    2,868,800    2,122,700           4,479,100    549,200           1,573,500         —                 —                 2,122,700    2,868,800         1,387,700          2,868,800          968,700
(Belgium)
VTR (Chile)        2,861,100    2,330,400    1,144,400           2,435,700    163,200           769,300           —                 —                 932,500      2,330,400         825,500            2,322,100          677,700
Puerto Rico        702,400      702,400      270,800             479,200      —                 205,900           —                 —                 205,900      702,400           179,000            702,400            94,300
                                                                                                                                                                                                                           
Grand Total        34,193,500   32,190,400   19,788,200          34,834,500   8,414,300         9,128,400         719,100           46,700            18,308,500   32,638,400        9,244,300          32,531,200         7,281,700
                                                                                                                                                                                                                           

                  Subscriber Variance Table – December 31, 2012 vs. September 30, 2012
                                                                         Video                                                                              Internet                            Telephony
                   Homes        Two-way      Customer            Total       Analog Cable      Digital Cable     DTH               MMDS              Total       Homes                                Homes
                   Passed^(1)   Homes        Relationships^(3)   RGUs^(4)    Subscribers^(5)  Subscribers^(6)  Subscribers^(7)  Subscribers^(8)  Video       Serviceable^(9)  Subscribers^(10)   Serviceable^(11)  Subscribers^(12)
                                Passed^(2)
UPC/Unity
Division:
Germany            1,400        52,500       60,400              181,800     (61,300     )     37,100            —                 —                 (24,200 )   52,500            107,800            52,500             98,200
The                5,800        6,600        (30,200     )       2,000       (42,600     )     12,200            —                 —                 (30,400 )   6,500             12,100             6,700              20,300
Netherlands^(13)
Switzerland^(13)   (46,200  )   (15,200  )   (58,500     )       (30,300 )   (79,500     )     21,200            —                 —                 (58,300 )   (16,100    )      8,800              15,800             19,200
Austria            51,100       35,100       31,900              50,100      22,000            8,500             —                 —                 30,500      35,000            11,600             3,100              8,000
Ireland            (900     )   3,800       600                19,600     (4,500      )     1,700            —                 (2,300     )      (5,100  )   3,800            10,000            7,300              14,700      
Total Western      11,200      82,800      4,200              223,200    (165,900    )     80,700           —                 (2,300     )      (87,500 )   81,700           150,300           85,400             160,400     
Europe
Poland             18,200       24,100       8,200               56,200      (46,700     )     40,900            —                 —                 (5,800  )   24,100            34,600             24,600             27,400
Hungary            7,200        5,800        10,300              37,500      (13,600     )     13,300            10,900            —                 10,600      5,800             9,100              5,800              17,800
Romania            4,100        7,400        25,300              58,300      (17,700     )     19,400            23,600            —                 25,300      7,400             16,300             7,500              16,700
Czech Republic     3,200        3,200        1,000               2,800       3,800             (4,700     )      6,000             —                 5,100       3,200             300                3,300              (2,600      )
Slovakia           9,000       5,400       10,100             16,900     700              4,800            2,900             400              8,800      6,000            5,400             4,100              2,700       
Total CEE          41,700      45,900      54,900             171,700    (73,500     )     73,700           43,400            400              44,000     46,500           65,700            45,300             62,000      
Total UPC/Unity    52,900       128,700      59,100              394,900     (239,400    )     154,400           43,400            (1,900     )      (43,500 )   128,200           216,000            130,700            222,400
                                                                                                                                                                                                                         
Telenet            6,200        6,200        (11,300     )       33,100      (48,200     )     36,900            —                 —                 (11,300 )   6,200             24,500             6,200              19,900
(Belgium)
VTR (Chile)        41,500       52,000       14,900              19,100      (9,400      )     24,600            —                 —                 15,200      52,000            6,400              52,400             (2,500      )
Puerto Rico        348,600     348,600     146,100            252,100    —                125,500          —                 —                125,500    348,600          88,100            348,600            38,500      
                                                                                                                                                                                                                         
Grand Total        449,200     535,500     208,800            699,200    (297,000    )     341,400          43,400            (1,900     )      85,900     535,000          335,000           537,900            278,300     
                                                                                                                                                                                                                         
                                                                                                                                                                                                                         
ORGANIC CHANGE
SUMMARY:
UPC/Unity (excl.   40,500       72,000       (9,900      )       203,000     (184,900    )     116,500           43,400            (2,300     )      (27,300 )   71,700            106,100            75,900             124,200
Germany)
Germany            1,400       52,500      79,600             201,900    (43,500     )     37,800           —                 —                (5,700  )   52,500           108,700           52,500             98,900      
Total UPC/Unity    41,900       124,500      69,700              404,900     (228,400    )     154,300           43,400            (2,300     )      (33,000 )   124,200           214,800            128,400            223,100
Telenet            6,200        6,200        (11,300     )       33,100      (48,200     )     36,900            —                 —                 (11,300 )   6,200             24,500             6,200              19,900
(Belgium)
VTR (Chile)        41,500       52,000       14,900              19,100      (9,400      )     24,600            —                 —                 15,200      52,000            6,400              52,400             (2,500      )
Puerto Rico        400         400         3,000              8,000      —                1,300            —                 —                1,300      400              3,400             400                3,300       
Total Organic      90,000      183,100     76,300             465,100    (286,000    )     217,100          43,400            (2,300     )      (27,800 )   182,800          249,100           187,400            243,800     
Change
                                                                                                                                                                                                                         
Q4 2012
ADJUSTMENTS:
Acquisition - HU   1,300        1,000        600                 1,000       200               400               —                 —                 600         800               400                800                —
Acquisition - SK   7,000        1,700        8,000               9,100       6,600             400               —                 400               7,400       1,700             1,700              —                  —
Acquisition - PR   348,200      348,200      143,100             245,200     —                 124,200           —                 —                 124,200     348,200           84,700             348,200            36,300
Poland             2,700        1,500        —                   —           —                 —                 —                 —                 —           1,500             —                  1,500              —
adjustment
Germany            —            —            (19,200     )       (20,100 )   (17,800     )     (700       )      —                 —                 (18,500 )   —                 (900        )      —                  (700        )
adjustment
Switzerland        (47,900  )   (31,900  )   (30,700     )       (35,600 )   (30,700     )     —                 —                 —                 (30,700 )   (31,900    )      (4,900      )      —                  —
adjustment^(14)
Austria            47,900       31,900       30,700              35,600      30,700            —                 —                 —                 30,700      31,900            4,900              —                  —
adjustment^(14)
Puerto Rico        —           —           —                  (1,100  )   —                —                —                 —                —          —                —                 —                  (1,100      )
adjustment
Net Adjustments    359,200     352,400     132,500            234,100    (11,000     )     124,300          —                 400              113,700    352,200          85,900            350,500            34,500      
                                                                                                                                                                                                                         
Net Adds           449,200     535,500     208,800            699,200    (297,000    )     341,400          43,400            (1,900     )      85,900     535,000          335,000           537,900            278,300     
(Reductions)
                                                                                                                                                                                                                                     

Footnotes for Operating Data and Subscriber Variance Tables
      
        Homes Passed are homes, residential multiple dwelling units or
        commercial units that can be connected to our networks without
        materially extending the distribution plant, except for direct-to-home
        (“DTH”) and Multi-channel Multipoint (“microwave”) Distribution System
        (“MMDS”) homes. Our Homes Passed counts are based on census data that
        can change based on either revisions to the data or from new census
^(1)    results. We do not count homes passed for DTH. With respect to MMDS,
        one MMDS customer is equal to one Home Passed. Due to the fact that we
        do not own the partner networks (defined below) used in Switzerland
        and the Netherlands (see note 13) or the unbundled loop and shared
        access network used by one of our Austrian subsidiaries, UPC Austria
        GmbH (“Austria GmbH”), we do not report homes passed for Switzerland’s
        and the Netherlands’ partner networks or the unbundled loop and shared
        access network used by Austria GmbH.
        Two-way Homes Passed are Homes Passed by those sections of our
        networks that are technologically capable of providing two-way
        services, including video, internet and telephony services. Due to the
^(2)    fact that we do not own the partner networks used in Switzerland and
        the Netherlands or the unbundled loop and shared access network used
        by Austria GmbH, we do not report two-way homes passed for
        Switzerland’s or the Netherlands’ partner networks or the unbundled
        loop and shared access network used by Austria GmbH.
        Customer Relationships are the number of customers who receive at
        least one of our video, internet or telephony services that we count
        as Revenue Generating Units (“RGUs”), without regard to which or to
        how many services they subscribe. To the extent that RGU counts
        include equivalent billing unit (“EBU”) adjustments, we reflect
        corresponding adjustments to our Customer Relationship counts. For
        further information regarding our EBU calculation, see Additional
^(3)    General Notes to Tables below. Customer Relationships generally are
        counted on a unique premises basis. Accordingly, if an individual
        receives our services in two premises (e.g., a primary home and a
        vacation home), that individual generally will count as two Customer
        Relationships. We exclude mobile customers from Customer
        Relationships. For Belgium, Customer Relationships only include
        customers who subscribe to an analog or digital cable service due to
        billing system limitations.
        Revenue Generating Unit is separately an Analog Cable Subscriber,
        Digital Cable Subscriber, DTH Subscriber, MMDS Subscriber, Internet
        Subscriber or Telephony Subscriber. A home, residential multiple
        dwelling unit, or commercial unit may contain one or more RGUs. For
        example, if a residential customer in our Austrian system subscribed
        to our digital cable service, telephony service and broadband internet
        service, the customer would constitute three RGUs. Total RGUs is the
        sum of Analog Cable, Digital Cable, DTH, MMDS, Internet and Telephony
        Subscribers. RGUs generally are counted on a unique premises basis
        such that a given premises does not count as more than one RGU for any
        given service. On the other hand, if an individual receives one of our
        services in two premises (e.g. a primary home and a vacation home),
^(4)    that individual will count as two RGUs for that service. Each bundled
        cable, internet or telephony service is counted as a separate RGU
        regardless of the nature of any bundling discount or promotion.
        Non-paying subscribers are counted as subscribers during their free
        promotional service period. Some of these subscribers may choose to
        disconnect after their free service period. Services offered without
        charge on a long-term basis (e.g., VIP subscribers, free service to
        employees) generally are not counted as RGUs. We do not include
        subscriptions to mobile services in our externally reported RGU
        counts. In this regard, our December 31, 2012 RGU counts exclude
        521,600, 132,400, 48,300, 34,500, 3,500 and 2,800 postpaid subscriber
        identification module (“SIM”) cards in service in Belgium, Germany,
        Chile, Poland, the Netherlands and Hungary, respectively, and 89,900
        prepaid SIM cards in service in Chile.
        Analog Cable Subscriber is a home, residential multiple dwelling unit
        or commercial unit that receives our analog cable service over our
        broadband network. The Analog Cable Subscriber counts reported for
        Germany and Switzerland also include subscribers who may use a
        purchased set-top box or other non-verifiable means to receive our
        basic digital cable channels without subscribing to any services that
^(5)    would require the payment of recurring monthly fees in addition to the
        basic analog service fee (“Basic Digital Cable Subscriber”). In
        Germany and Switzerland, our Basic Digital Cable Subscribers are
        attributable to the fact that our basic digital cable channels are not
        encrypted in certain portions of our footprint. In Europe, we have
        approximately 400,500 “lifeline” customers that are counted on a per
        connection basis, representing the least expensive regulated tier of
        video cable service, with only a few channels.
        Digital Cable Subscriber is a home, residential multiple dwelling unit
        or commercial unit that receives our digital cable service over our
        broadband network or through a partner network. We count a subscriber
        with one or more digital converter boxes that receives our digital
        cable service in one premises as just one subscriber. A Digital Cable
        Subscriber is not counted as an Analog Cable Subscriber. As we migrate
        customers from analog to digital cable services, we report a decrease
        in our Analog Cable Subscribers equal to the increase in our Digital
        Cable Subscribers. As discussed in further detail in note 5 above,
        Basic Digital Cable Subscribers are not included in the respective
^(6)    Digital Cable Subscriber counts reported for Germany and Switzerland.
        Subscribers in Belgium who receive digital cable service through a
        purchased digital set-top box, but do not subscribe to any services
        that would require the payment of a recurring monthly service fee in
        addition to the basic analog service fee, are counted as Digital Cable
        Subscribers to the extent that we are able to verify that such
        individuals are subscribing to our analog cable service. At December
        31, 2012, we included 173,000 of these subscribers in the Digital
        Cable Subscribers reported for Belgium. Subscribers to digital cable
        services provided by our operations in Switzerland and the Netherlands
        over partner networks receive analog cable services from the partner
        networks as opposed to our operations.
        DTH Subscriber is a home, residential multiple dwelling unit or
^(7)    commercial unit that receives our video programming broadcast directly
        via a geosynchronous satellite.
^(8)    MMDS Subscriber is a home, residential multiple dwelling unit or
        commercial unit that receives our video programming via MMDS.
        Internet Homes Serviceable are Two-way Homes Passed that can be
        connected to our network, or a partner network with which we have a
        service agreement, for the provision of broadband internet services if
^(9)    requested by the customer, building owner or housing association, as
        applicable. With respect to Austria GmbH, we do not report as Internet
        Homes Serviceable those homes served either over an unbundled loop or
        over a shared access network.
        Internet Subscriber is a home, residential multiple dwelling unit or
        commercial unit that receives internet services over our networks, or
        that we service through a partner network. Our Internet Subscribers in
        Austria include 73,000 digital subscriber line (“DSL”) subscribers of
        Austria GmbH that are not serviced over our networks. Our Internet
^(10)   Subscribers do not include customers that receive services from
        dial-up connections. In certain portions of our Germany market, we
        offer a 128Kbps wholesale internet service to housing associations on
        a bulk basis. Our Internet Subscribers in Germany include 6,500
        subscribers within such housing associations who have requested and
        received a modem that enables the receipt of this 128Kbps wholesale
        internet service.
        Telephony Homes Serviceable are Two-way Homes Passed that can be
        connected to our network, or a partner network with which we have a
        service agreement, for the provision of telephony services if
^(11)   requested by the customer, building owner or housing association, as
        applicable. With respect to Austria GmbH, we do not report as
        Telephony Homes Serviceable those homes served over an unbundled loop
        rather than our network.
        Telephony Subscriber is a home, residential multiple dwelling unit or
        commercial unit that receives voice services over our networks, or
^(12)   that we service through a partner network. Telephony Subscribers
        exclude mobile telephony subscribers. Our Telephony Subscribers in
        Austria include 59,000 subscribers of Austria GmbH that are not
        serviced over our networks.
        Pursuant to service agreements, Switzerland and, to a much lesser
        extent, the Netherlands offer digital cable, broadband internet and
        telephony services over networks owned by third-party cable operators
        (“partner networks”). A partner network RGU is only recognized if
        there is a direct billing relationship with the customer. Homes
        Serviceable for partner networks represent the estimated number of
        homes that are technologically capable of receiving the applicable
        service within the geographic regions covered by the applicable
        service agreements. Internet and Telephony Homes Serviceable with
^(13)   respect to partner networks have been estimated by our Switzerland
        operations. These estimates may change in future periods as more
        accurate information becomes available. At December 31, 2012,
        Switzerland’s partner networks account for 125,500 Customer
        Relationships, 236,500 RGUs, 91,900 Digital Cable Subscribers, 466,600
        Internet and Telephony Homes Serviceable, 83,500 Internet Subscribers,
        and 61,100 Telephony Subscribers. In addition, partner networks
        account for 454,100 of Switzerland’s digital cable homes serviceable
        that are not included in Homes Passed or Two-way Homes Passed in our
        December 31, 2012 subscriber table.
        During the fourth quarter of 2012, the management responsibility for
^(14)   certain of our operations in Switzerland was transferred to our
        Austrian operations resulting in a non-organic adjustment to record
        the transfer between these two operating segments.
        

Additional General Notes to Tables:

All of our subsidiaries provide telephony, broadband internet, data, video or
other business-to-business (“B2B”) services. Certain of our B2B revenue is
derived from small or home office (“SOHO”) subscribers that pay a premium
price to receive enhanced service levels along with video, internet or
telephony services that are the same or similar to the mass marketed products
offered to our residential subscribers. Effective January 1, 2012, we recorded
non-organic adjustments to begin including the SOHO subscribers of our
UPC/Unity Division in our RGU and customer counts. As a result, all mass
marketed products provided to SOHOs, whether or not accompanied by enhanced
service levels and/or premium prices, are now included in the respective RGU
and customer counts of our broadband communications operations, with only
those services provided at premium prices considered to be “SOHO RGUs” or
“SOHO customers.” With the exception of our B2B SOHO subscribers, we generally
do not count customers of B2B services as customers or RGUs for external
reporting purposes.

Certain of our residential and commercial RGUs are counted on an EBU basis,
including residential multiple dwelling units and commercial establishments,
such as bars, hotels and hospitals, in Chile and Puerto Rico and certain
commercial establishments in Europe (with the exception of Germany and
Belgium, where we do not count any RGUs on an EBU basis).Our EBUs are
generally calculated by dividing the bulk price charged to accounts in an area
by the most prevalent price charged to non-bulk residential customers in that
market for the comparable tier of service. As such, we may experience
variances in our EBU counts solely as a result of changes in rates. In
Germany, homes passed reflect the footprint, and two-way homes passed and
internet and telephony homes serviceable reflect the technological capability,
of our network up to the street cabinet, with drops from the street cabinet to
the building generally added, and in-home wiring generally upgraded, on an as
needed or success-based basis. In Belgium, Telenet leases a portion of its
network under a long-term capital lease arrangement. These tables include
operating statistics for Telenet’s owned and leased networks.

While we take appropriate steps to ensure that subscriber statistics are
presented on a consistent and accurate basis at any given balance sheet date,
the variability from country to country in (i) the nature and pricing of
products and services, (ii) the distribution platform, (iii) billing systems,
(iv) bad debt collection experience and (v) other factors add complexity to
the subscriber counting process. We periodically review our subscriber
counting policies and underlying systems to improve the accuracy and
consistency of the data reported on a prospective basis. Accordingly, we may
from time to time make appropriate adjustments to our subscriber statistics
based on those reviews.

Subscriber information for acquired entities is preliminary and subject to
adjustment until we have completed our review of such information and
determined that it is presented in accordance with our policies.

Contact:

Liberty Global, Inc.
Investor Relations:
Christopher Noyes, +1 303-220-6693
or
Oskar Nooij, +1 303-220-4218
or
Corporate Communications:
Hanne Wolf, +1 303-220-6678
or
Bert Holtkamp, +31 20-778-9800