Interim Management Statement

AnnouNcement

25 July 2013

cable & wireless communications plc

interim management statement

This interim management statement provides an update on the performance and financial position of the Group since the year ended 31 March 2013. Interim results for the period ending 30 September 2013 are expected to be announced on 7 November 2013.

Highlights

·; Group trading performance in line with outlook indicated at 2012/13 results

·; Continued data usage growth across portfolio

·; Increase in Jamaica mobile subscribers following further regulatory change

·; Strategy to refocus group progressing well with completion of Macau disposal

·; Major cost reduction plans progressing as anticipated

Group Trading Performance

Overall Group trading performance is in line with the outlook indicated at 2012/13 results. We have seen further growth in mobile data revenue across the Group, most notably in Panama, although this has been balanced by the anticipated continued decline in fixed voice.

With our renewed focus on the pan-America region we have accelerated a number of investments to improve services for our customers. We have recently launched a 4G/HSPA+ service in St Lucia, the first player in the market to do so, and rolled out LIME TV in Cayman. BTC in The Bahamas is now in its third year with CWC and we continue to invest to improve service delivery. The business has delivered solid progress in its financial performance together with a much improved product offering for its customers and the Bahamas will be one of our first geographies to launch an LTE service later this year. Ahead of anticipated requirements driven by ongoing data usage growth we will look to secure spectrum assets as appropriate across our businesses.

In May, the announcement of a further reduction in mobile termination rates in Jamaica provided another important step in creating a level regulatory playing field for all market players. Whilst it is early days, following the launch of a competitive new price plan we have seen a pick-up in customer numbers. As noted at the full year, market conditions in the rest of the Caribbean remain difficult, particularly in the Eastern Caribbean and Barbados. Monaco is trading positively and in line with our expectations.

The major cost reduction plan we announced at the full year is proceeding as anticipated. Furthermore, we are already seeing the benefits of the restructuring performed last year, with opex in the Caribbean down 5% against Q1 in the prior year. Following the outsourcing of certain field force functions in Jamaica we have seen an improvement in installation and repair times. At the group level, we have advanced our plan to create a combined regional headquarters closer to our operations and have recently secured new premises in Miami.

Group Net Debt

At 30 June 2013, Group net debt was $263 million, a decrease of $1,388 million since 31 March 2013 following receipt of disposal proceeds.

Progress on disposals

On 20 June 2013, CWC completed the sale of its 51% stake in Companhia de Telecomunicações de Macau S.A.R.L. ("CTM") to CITIC Telecom International Holdings Limited. At completion of the Disposal, CWC received total cash proceeds of US$807 million comprising consideration of US$750 million (on a cash and debt free basis) plus US$57 million representing the estimated proportionate share of net cash in CTM attributable to CWC and initial working capital adjustments.

We are continuing to progress the Seychelles and Monaco disposals but at this time there is no further update.

Key Performance Indicators

Cable & Wireless Communications will also host a conference call for investors and analysts. The details are:

Date: Thursday 25 July 2013

Time: 7:30 (BST)

Details: Cable & Wireless Communications Plc Q1 IMS

UK: +44 (0)203427 1900

US: +1 646 254 3362

Confirmation Code: 5357270

Participants will have to quote the above code when dialling into the conference.

Audio playback of the call will be available shortly after the call finishes until 1 August 2013. The details for the playback are:

UK: +44 (0)20 3427 0598

US: +1 347 366 9565

Replay Access Code: 5357270

ENDS

About Cable & Wireless Communications

Cable & Wireless Communications is a full-service communications business. We operate leading communications businesses offering mobile, broadband and domestic and international fixed line services in most of our markets as well as pay TV, data centre and hosting, carrier and managed service solutions. Our operations are focused on providing our customers - consumers, businesses, governments - with world-class service. We are the market leader in most products we offer and territories we serve. For more information visit www.cwc.com.

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