Optimum Communications, Inc.

Previous wording

We principally provide broadband communications and video services in the United States and market our services under the Optimum brand. We deliver broadband, video, telephony, and mobile services to approximately 4.5 million residential and business customers across our footprint. Our footprint extends across 21 states (primarily in the New York metropolitan area and various markets in the south-central United States) through a fiber-rich hybrid-fiber coaxial ("HFC") broadband network and a FTTH network with approximately 9.9 million total passings as of June 30, 2025. Additionally, we offer news programming and advertising services.

Current wording

We principally provide broadband communications and video services in the United States and market our services under the Optimum brand. We deliver broadband, video, telephony, and mobile services to approximately 4.4 million residential and business customers across our footprint. Our footprint extends across 21 states (primarily in the New York metropolitan area and various markets in the south-central United States) through a fiber-rich hybrid-fiber coaxial ("HFC") broadband network and a FTTH network with approximately 9.9 million total passings as of September 30, 2025. Additionally, we offer news programming and advertising services.

Previous wording

We derive revenue principally through monthly charges to residential customers of our broadband, video, telephony and mobile services. We also derive revenue from digital video recorder, video-on-demand ("VOD"), pay-per-view, installation and home shopping commissions. Our residential broadband, video, telephony and mobile services accounted for approximately 42%, 31%, 3%, and 2%, respectively, of our consolidated revenue for the six months ended June 30, 2025. We also derive revenue from the sale of a wide and growing variety of products and services to both large enterprise and small and medium-sized business ("SMB") customers, including broadband, telephony, networking, video, and mobile services. For the six months ended June 30, 2025, 17% of our consolidated revenue was derived from these business services. In addition, we derive revenue from the sale of advertising inventory available on the programming carried on our cable television systems, as well as other systems (linear revenue), digital advertising, data analytics and affiliation fees for news programming, which accounted for approximately 5% of our consolidated revenue for the six months ended June 30, 2025. Our other revenue (which primarily consists of mobile equipment revenue) for the three months ended June 30, 2025 accounted for approximately 1% of our consolidated revenue.

Current wording

We derive revenue principally through monthly charges to residential customers of our broadband, video, telephony and mobile services. We also derive revenue from digital video recorder, video-on-demand ("VOD"), pay-per-view, installation and home shopping commissions. Our residential broadband, video, telephony and mobile services accounted for approximately 41%, 31%, 3%, and 2%, respectively, of our consolidated revenue for the nine months ended September 30, 2025. We also derive revenue from the sale of a wide and growing variety of products and services to both large enterprise and small and medium-sized business ("SMB") customers, including broadband, telephony, networking, video, and mobile services. For the nine months ended September 30, 2025, 17% of our consolidated revenue was derived from these business services. In addition, we derive revenue from the sale of advertising inventory available on the programming carried on our cable television systems, as well as other systems (linear revenue), digital advertising, data analytics and affiliation fees for news programming, which accounted for approximately 5% of our consolidated revenue for the nine months ended September 30, 2025. Our other revenue (which primarily consists of mobile equipment revenue) for the three months ended September 30, 2025 accounted for approximately 1% of our consolidated revenue.

Previous wording

The following is a reconciliation of net income (loss) to Adjusted EBITDA (unaudited):

Current wording

The following is a reconciliation of net loss to Adjusted EBITDA (unaudited):

Previous wording

(a)Represents the estimated number of single residence homes, apartments and condominium units passed by our HFC and FTTH network in areas serviceable without further extending the transmission lines. In addition, it includes commercial establishments that have connected to our HFC and FTTH network. Broadband services were not available to approximately 25 thousand passings and telephony services were not available to approximately 450 thousand passings.

Current wording

(a)Represents the estimated number of single residence homes, apartments and condominium units passed by our HFC and FTTH network in areas serviceable without further extending the transmission lines. In addition, it includes commercial establishments that have connected to our HFC and FTTH network. Broadband services were not available to approximately 26 thousand passings and telephony services were not available to approximately 460 thousand passings.

Previous wording

(e)Mobile lines represent the number of residential and business customers’ wireless connections, which include mobile phone handsets and other mobile wireless connected devices. An individual customer relationship may have multiple mobile lines. The total mobile ending lines as of June 30, 2025, March 31, 2025 and June 30, 2024 include approximately 10.8 thousand, 7.5 thousand and 2.5 thousand lines related to business customers, respectively. The service revenue related to these business customers is reflected in business services and wholesale in the table above.

Current wording

(e)Mobile lines represent the number of residential and business customers’ wireless connections, which include mobile phone handsets and other mobile wireless connected devices. An individual customer relationship may have multiple mobile lines. The total mobile ending lines as of September 30, 2025, June 30, 2025 and September 30, 2024 include approximately 14.2 thousand, 10.8 thousand and 3.0 thousand lines related to business customers, respectively. The service revenue related to these business customers is reflected in business services and wholesale in the table above.

Previous wording

Comparison of Results for the Three and Six Months Ended June 30, 2025 compared to the Three and Six Months Ended June 30, 2024

Current wording

Comparison of Results for the Three and Nine Months Ended September 30, 2025 compared to the Three and Nine Months Ended September 30, 2024

Previous wording

Broadband revenue for the three and six months ended June 30, 2025 was $885,139 and $1,784,700, respectively, and $914,989 and $1,831,983 for the three and six months ended June 30, 2024, respectively. Broadband revenue is derived principally through monthly charges to residential subscribers of our broadband services. Broadband revenue decreased $29,850 (3%) and $47,283 (3%) for the three and six months ended June 30, 2025 compared to the three and six months ended June 30, 2024. The decreases were due primarily to declines in broadband customers, partially offset by higher average recurring broadband revenue per broadband subscriber, primarily driven by certain rate increases.

Current wording

Broadband revenue for the three and nine months ended September 30, 2025 was $873,449 and $2,658,149, respectively, and $913,417 and $2,745,400 for the three and nine months ended September 30, 2024, respectively. Broadband revenue is derived principally through monthly charges to residential subscribers of our broadband services. Broadband revenue decreased $39,968 (4%) and $87,251 (3%) for the three and nine months ended September 30, 2025 compared to the three and nine months ended September 30, 2024, respectively. The decrease for the three months ended September 30, 2025 compared to the same period in 2024 was due primarily to declines in broadband customers and lower average recurring broadband revenue per broadband subscriber. The decrease for the nine months ended September 30, 2025 compared to the same period in 2024 was due primarily to declines in broadband customers, partially offset by higher average recurring broadband revenue per broadband subscriber, primarily driven by certain rate increases.

Previous wording

Video revenue for the three and six months ended June 30, 2025 was $660,540 and $1,326,108, respectively, and $739,445 and $1,495,039 for the three and six months ended June 30, 2024, respectively. Video revenue is derived principally through monthly charges to residential customers of our video services. Video revenue decreased $78,905 (11%) and $168,931 (11%) for the three and six months ended June 30, 2025 compared to the three and six months ended June 30, 2024. The decreases were due primarily to declines in video customers, partially offset by higher average recurring video revenue per video customer, primarily driven by certain rate increases. For the six months ended June 30, 2025, customer credits attributable to the temporary interruption of certain video programming also contributed to the decline.

Current wording

Video revenue for the three and nine months ended September 30, 2025 was $645,207 and $1,971,315, respectively, and $715,117 and $2,210,156 for the three and nine months ended September 30, 2024, respectively. Video revenue is derived principally through monthly charges to residential customers of our video services. Video revenue decreased $69,910 (10%) and $238,841 (11%) for the three and nine months ended September 30, 2025 compared to the three and nine months ended September 30, 2024, respectively. The decreases were due primarily to declines in video customers, partially offset by higher average recurring video revenue per video customer, primarily driven by certain rate increases. For the nine months ended September 30, 2025, customer credits attributable to the temporary interruption of certain video programming also contributed to the year-over-year decline.

Previous wording

Telephony revenue for the three and six months ended June 30, 2025 was $64,633 and $131,045, respectively, and $71,703 and $142,668 for the three and six months ended June 30, 2024, respectively. Telephony revenue is derived principally through monthly charges to residential customers of our telephony services. Telephony revenue decreased $7,070 (10%) and $11,623 (8%) for the three and six months ended June 30, 2025 compared to the three and six months ended June 30, 2024. The decreases were due primarily to declines in telephony customers, partially offset by higher average recurring telephony revenue per telephony customer.

Current wording

Telephony revenue for the three and nine months ended September 30, 2025 was $61,791 and $192,836, respectively, and $69,877 and $212,545 for the three and nine months ended September 30, 2024, respectively. Telephony revenue is derived principally through monthly charges to residential customers of our telephony services. Telephony revenue decreased $8,086 (12%) and $19,709 (9%) for the three and nine months ended September 30, 2025 compared to the three and nine months ended September 30, 2024, respectively. The decreases were due primarily to declines in telephony customers, partially offset by higher average recurring telephony revenue per telephony customer.

Previous wording

Mobile service revenue for the three and six months ended June 30, 2025 was $37,621 and $74,320, respectively, and $27,479 and $52,372 for the three and six months ended June 30, 2024, respectively. The increases of $10,142 (37%) and $21,948 (42%) for the three and six months ended June 30, 2025 compared to the three and six months ended June 30, 2024 were primarily due to increases in mobile customers as compared to the prior periods.

Current wording

Mobile service revenue for the three and nine months ended September 30, 2025 was $42,277 and $116,597, respectively, and $30,563 and $82,935 for the three and nine months ended September 30, 2024, respectively. The increases of $11,714 (38%) and $33,662 (41%) for the three and nine months ended September 30, 2025 compared to the three and nine months ended September 30, 2024, respectively, were primarily due to increases in mobile lines as compared to the prior periods.

Previous wording

Business services and wholesale revenue for the three and six months ended June 30, 2025 was $361,788 and $725,333, respectively, and $369,290 and $734,151 for the three and six months ended June 30, 2024, respectively. Business services and wholesale revenue is derived primarily from the sale of fiber-based telecommunications services to the business market, and the sale of broadband, video, telephony, and mobile services to SMB customers.

Current wording

Business services and wholesale revenue for the three and nine months ended September 30, 2025 was $361,886 and $1,087,219, respectively, and $366,355 and $1,100,506 for the three and nine months ended September 30, 2024, respectively. Business services and wholesale revenue is derived primarily from the sale of fiber-based telecommunications services to the business market, and the sale of broadband, video, telephony, and mobile services to SMB customers.

Previous wording

Business services and wholesale revenue decreased $7,502 (2%) and $8,818 (1%) for the three and six months ended June 30, 2025 compared to the three and six months ended June 30, 2024, respectively. The decreases were primarily due to decreases in SMB customers and lower average recurring revenue per SMB customer, partially offset by increases in revenue from our Lightpath business.

Current wording

Business services and wholesale revenue decreased $4,469 (1%) and $13,287 (1%) for the three and nine months ended September 30, 2025 compared to the three and nine months ended September 30, 2024, respectively. The decreases were primarily due to decreases in SMB customers and lower average recurring revenue per SMB customer, partially offset by increases in revenue from our Lightpath business.

Previous wording

News and advertising revenue for the three and six months ended June 30, 2025 was $118,771 and $221,181, respectively, and for the three and six months ended June 30, 2024 was $105,280 and $211,005, respectively. News and advertising revenue is primarily derived from the sale of (i) advertising inventory available on the programming carried on our cable television systems, as well as other systems (linear revenue), (ii) digital advertising, (iii) data analytics, and (iv) affiliation fees for news programming.

Current wording

News and advertising revenue for the three and nine months ended September 30, 2025 was $105,863 and $327,044, respectively, and $117,682 and $328,687 for the three and nine months ended September 30, 2024, respectively. News and advertising revenue is primarily derived from the sale of (i) advertising inventory available on the programming carried on our cable television systems, as well as other systems (linear revenue), (ii) digital advertising, (iii) data analytics, and (iv) affiliation fees for news programming.

Previous wording

News and advertising revenue increased $13,491 (13%) and $10,176 (5%) for the three and six months ended June 30, 2025, as compared to the three and six months ended June 30, 2024. The increases were primarily due to revenue associated with an acquisition in the third quarter of 2024.

Current wording

News and advertising revenue decreased $11,819 (10%) and $1,643 for the three and nine months ended September 30, 2025, as compared to the three and nine months ended September 30, 2024, respectively. The decreases were primarily due to a decrease in political advertising revenue, partially offset by an increase in revenue associated with an acquisition in the third quarter of 2024.

Previous wording

Other revenue for the three and six months ended June 30, 2025 was $18,711 and $36,798, respectively, and $12,569 and $24,472 for the three and six months ended June 30, 2024, respectively. Other revenue includes revenue from sales of mobile equipment and other miscellaneous revenue streams. Other revenue increased $6,142 (49%) and $12,326 (50%) for the three and six months ended June 30, 2025, as compared to the three and six months ended June 30, 2024. The increases were primarily due to higher mobile equipment sales during 2025 as compared to the same periods in 2024.

Current wording

Other revenue for the three and nine months ended September 30, 2025 was $17,637 and $54,435, respectively, and $14,689 and $39,161 for the three and nine months ended September 30, 2024, respectively. Other revenue includes revenue from sales of mobile equipment and other miscellaneous revenue streams. Other revenue increased $2,948 (20%) and $15,274 (39%) for the three and nine months ended September 30, 2025, as compared to the three and nine months ended September 30, 2024, respectively. The increases were primarily due to higher mobile equipment sales during 2025 as compared to the same periods in 2024.

Previous wording

Programming and other direct costs for the three and six months ended June 30, 2025 amounted to $662,690 and $1,333,221, respectively, and $719,460 and $1,463,347 for the three and six months ended June 30, 2024, respectively. Programming and other direct costs include cable programming costs, which are costs paid to programmers (net of amortization of any incentives received from programmers for carriage) for cable content (including costs of VOD and pay-per-view) and are generally paid on a per-customer basis. These costs are impacted by changes in contractual rates, changes in the number of customers receiving certain programming services, new channel launches, and channel drops. These costs also include interconnection, call completion, circuit and transport fees paid to other telecommunication companies for the transport and termination of voice and data services, which typically vary based on rate changes and the level of usage by our customers. These costs also include franchise fees which are payable to the state governments and local municipalities where we operate and are primarily based on a percentage of certain categories of revenue derived from the provision of video service over our cable systems, which vary by state and municipality. These costs change in relation to changes in such categories of revenues or rate changes. Additionally, these costs include the cost of media for advertising spots sold, the cost of mobile devices sold to our customers and direct costs of providing mobile services.

Current wording

Programming and other direct costs for the three and nine months ended September 30, 2025 amounted to $639,012 and $1,972,233, respectively, and $711,330 and $2,174,677 for the three and nine months ended September 30, 2024, respectively. Programming and other direct costs include cable programming costs, which are costs paid to programmers (net of amortization of any incentives received from programmers for carriage) for cable content (including costs of VOD and pay-per-view) and are generally paid on a per-customer basis. These costs are impacted by changes in contractual rates, changes in the number of customers receiving certain programming services, new channel launches, and channel drops. These costs also include interconnection, call completion, circuit and transport fees paid to other telecommunication companies for the transport and termination of voice and data services, which typically vary based on rate changes and the level of usage by our customers. These costs also include franchise fees which are payable to the state governments and local municipalities where we operate and are primarily based on a percentage of certain categories of revenue derived from the provision of video service over our cable systems, which vary by state and municipality. These costs change in relation to changes in such categories of revenues or rate changes. Additionally, these costs include the cost of media for advertising spots sold, the cost of mobile devices sold to our customers and direct costs of providing mobile services.

Previous wording

The decreases in programming and other direct costs of $56,770 (8%) and $130,126 (9%) for the three and six months ended June 30, 2025 as compared to the three and six months ended June 30, 2024 were primarily attributable to the following:

Current wording

The decreases in programming and other direct costs of $72,318 (10%) and $202,444 (9%) for the three and nine months ended September 30, 2025 as compared to the three and nine months ended September 30, 2024, respectively, were primarily attributable to the following:

Previous wording

Programming costs aggregated $497,520 and $1,002,276, for the three and six months ended June 30, 2025, respectively, and $575,125 and $1,170,827 for the three and six months ended June 30, 2024, respectively. Our programming costs in 2025 will continue to be impacted by changes in the number of video customers, and by changes in programming rates, the latter of which we expect will increase.

Current wording

Programming costs for the three and nine months ended September 30, 2025 aggregated $471,116 and $1,473,392, respectively, and $549,928 and $1,720,755 for the three and nine months ended September 30, 2024, respectively. Our programming costs in 2025 will continue to be impacted by changes in the number of video customers, and by changes in programming rates, the latter of which we expect will increase.

Previous wording

Other operating expenses for the three and six months ended June 30, 2025 amounted to $696,867 and $1,395,053, respectively, and $670,542 and $1,344,792 for the three and six months ended June 30, 2024, respectively. Other operating expenses include staff costs and employee benefits including salaries of company employees and related taxes, benefits and other employee related expenses, as well as third-party labor costs. Other operating expenses also include network management and field service costs, which represent costs associated with the maintenance of our broadband network, including costs of certain customer connections and other costs associated with providing and maintaining services to our customers.

Current wording

Other operating expenses for the three and nine months ended September 30, 2025 amounted to $650,454 and $2,045,507, respectively, and $674,564 and $2,019,356 for the three and nine months ended September 30, 2024, respectively. Other operating expenses include staff costs and employee benefits including salaries of company employees and related taxes, benefits and other employee related expenses, as well as third-party labor costs. Other operating expenses also include network management and field service costs, which represent costs associated with the maintenance of our broadband network, including costs of certain customer connections and other costs associated with providing and maintaining services to our customers.

Previous wording

The increases in other operating expenses of $26,325 (4%) and $50,261 (4%) for the three and six months ended June 30, 2025 as compared to the three and six months ended June 30, 2024 were attributable to the following:

Current wording

The increase (decrease) in other operating expenses of $(24,110) (4%) and $26,151 (1%) for the three and nine months ended September 30, 2025 as compared to the three and nine months ended September 30, 2024, respectively, were attributable to the following:

Previous wording

Restructuring, impairments and other operating items for the three and six months ended June 30, 2025 amounted to $66,826 and $88,448, respectively, as compared to $(46,599) and $4,654 for the three and six months ended June 30, 2024, respectively, and comprised the following:

Current wording

Restructuring, impairments and other operating items for the three and nine months ended September 30, 2025 amounted to $1,568,120 and $1,656,568, respectively, as compared to $10,871 and $15,525 for the three and nine months ended September 30, 2024, respectively, and comprised the following:

Previous wording

(a)Amounts for the 2025 periods reflect estimated amounts relating to certain legal matters, including adjustments to these estimates, and costs to early terminate contracts with vendors.

Current wording

(b)Amounts for the 2025 periods reflect estimated amounts for certain legal matters, including adjustments to these estimates, and costs to early terminate contracts with vendors.

Previous wording

(b)Amounts for the three and six months ended June 30, 2024 include a credit resulting from the waiver of a payment obligation in June 2024 related to a patent infringement settlement agreement reached in the fourth quarter of 2022 and a credit resulting from the indemnification from a supplier related to this matter. Offsetting these credits was an expense, net of insurance recoveries, in connection with the settlement of other significant litigation and costs to early terminate contracts with vendors.

Current wording

(c)Amount for the nine months ended September 30, 2024 includes a credit resulting from the waiver of a payment obligation in June 2024 related to a patent infringement settlement agreement reached in the fourth quarter of 2022 and a credit resulting from the indemnification from a supplier related to this matter. Offsetting these credits was an expense, net of insurance recoveries, in connection with the settlement of other significant litigation and costs to early terminate contracts with vendors.

Previous wording

In July 2025, we completed the sale of certain tower assets for approximately $60,000, subject to post-closing adjustments and taxes. In connection with the sale, we entered into a master license agreement with the buyer under which we have access to space on certain towers for an initial term of five years. We expect to recognize a gain on this transaction in the third quarter of 2025.

Current wording

(d)In July 2025, we completed the sale of certain tower assets for $59,908 and recorded a gain of $55,114. In connection with the sale, we entered into a master license agreement with the buyer pursuant to which we maintain access to space on certain of those towers for an initial term of five years.

Previous wording

(c)Includes costs related to our workforce management initiatives, including costs related to a voluntary retirement program.

Current wording

(e)Includes costs related to our workforce management initiatives, including costs related to a voluntary retirement program.

Previous wording

Depreciation and amortization for the three and six months ended June 30, 2025 amounted to $409,697 and $828,182, respectively, as compared to $395,770 and $784,161 for the three and six months ended June 30, 2024, respectively.

Current wording

Depreciation and amortization for the three and nine months ended September 30, 2025 amounted to $415,308 and $1,243,490, respectively, as compared to $386,342 and $1,170,503 for the three and nine months ended September 30, 2024, respectively.

Previous wording

The increase in depreciation and amortization of $13,927 (4%) and $44,021 (6%) for the three and six months ended June 30, 2025 as compared to the three and six months ended June 30, 2024 was due to increased depreciation related to asset additions in 2024 and 2025, partially offset by decreased expense related to assets that had become fully depreciated. In addition, the increase for the six months ended June 30, 2025 included certain losses related to the disposal of plant and equipment and accelerated depreciation.

Current wording

The increase in depreciation and amortization of $28,966 (7%) and $72,987 (6%) for the three and nine months ended September 30, 2025 as compared to the three and nine months ended September 30, 2024, respectively, were due to increased depreciation related to asset additions in 2024 and 2025, partially offset by decreased expense related to assets that had become fully depreciated. In addition, the increase for the nine months ended September 30, 2025, as compared to the same period in 2024, included certain losses related to the disposal of plant and equipment and accelerated depreciation.

Previous wording

Adjusted EBITDA amounted to $803,812 and $1,602,826 for the three and six months ended June 30, 2025, respectively, as compared to $867,177 and $1,713,732 for the three and six months ended June 30, 2024, respectively.

Current wording

Adjusted EBITDA amounted to $830,657 and $2,433,483 for the three and nine months ended September 30, 2025, respectively, as compared to $861,976 and $2,575,708 for the three and nine months ended September 30, 2024, respectively.

Previous wording

The decreases in Adjusted EBITDA of $63,365 (7%) and $110,906 (6%) for the three and six months ended June 30, 2025 as compared to the three and six months ended June 30, 2024 were due to decreases in revenue, partially offset by net decreases in operating expenses during 2025 (excluding depreciation and amortization, share-based compensation, restructuring, impairments and other operating items), as discussed above.

Current wording

The decreases in Adjusted EBITDA of $31,319 (4%) and $142,225 (6%) for the three and nine months ended September 30, 2025 as compared to the three and nine months ended September 30, 2024, respectively, were due to decreases in revenue, partially offset by net decreases in operating expenses during 2025 (excluding depreciation and amortization, share-based compensation, restructuring, impairments and other operating items), as discussed above.

Previous wording

Free Cash Flow (Deficit) was $28,446 and $(140,195) for the three and six months ended June 30, 2025 as compared to $(40,927) and $22,639 for the three and six months ended June 30, 2024. The increase in Free Cash Flow of $69,373 for the three months ended June 30, 2025 as compared to the three months ended June 30, 2024 was due to an increase in net cash provided by operating activities, partially offset by an increase in capital expenditures. The decrease of $162,834 for the six months ended June 30, 2025 as compared to the six months ended June 30, 2024 was due to a decrease in net cash provided by operating activities and an increase in capital expenditures.

Current wording

Free Cash Flow (Deficit) was $(178,072) and $(318,267) for the three and nine months ended September 30, 2025, respectively, as compared to $76,865 and $99,504 for the three and nine months ended September 30, 2024, respectively. The decreases in Free Cash Flow of $254,937 and $417,771 for the three and nine months ended September 30, 2025 as compared to the three and nine months ended September 30, 2024, respectively, were due to decreases in net cash provided by operating activities and increases in capital expenditures.

Previous wording

Interest expense, net was $444,659 and $872,675 for the three and six months ended June 30, 2025 as compared to $442,955 and $880,096 for the same periods in the prior year. The increase of $1,704 and decrease of $7,421 (1%) for the three and six months ended June 30, 2025 as compared to the three and six months ended June 30, 2024 were attributable to the following:

Current wording

Interest expense, net was $459,124 and $1,331,799 for the three and nine months ended September 30, 2025 as compared to $448,168 and $1,328,264 for the same periods in the prior year. The increase of $10,956 (2%) and $3,535 for the three and nine months ended September 30, 2025 as compared to the three and nine months ended September 30, 2024, respectively, were attributable to the following:

Previous wording

Gain (loss) on interest rate swap contracts, net was $430 and $(1,289) for the three and six months ended June 30, 2025 compared to $13,574 and $55,877 for the three and six months ended June 30, 2024. These amounts primarily represent the change in the fair value of our interest rate swap contracts. These swap contracts are not designated as hedges for accounting purposes. The gains for the three and six months ended June 30, 2024 included gains related to our CSC Holdings interest rate swap agreements with an aggregate notional value of $3,000,000 that were terminated in September 2024.

Current wording

Gain (loss) on interest rate swap contracts, net was $1,147 and $(142) for the three and nine months ended September 30, 2025, respectively, compared to $(45,657) and $10,220 for the three and nine months ended September 30, 2024, respectively. These amounts primarily represent the change in the fair value of our interest rate swap contracts. These swap contracts are not designated as hedges for accounting purposes. The loss for the three months ended September 30, 2024 includes a $52,943 loss related to the early termination of the CSC Holdings interest rate swap agreements with an aggregate notional value of $3,000,000.

Previous wording

Loss on extinguishment of debt and write-off of deferred financing costs amounted to $1,693 for the three and six months ended June 30, 2025, and $7,035 for the six months ended June 30, 2024 and related to the following:

Current wording

Loss on extinguishment of debt and write-off of deferred financing costs amounted to $1,693 and $7,035 for the nine months ended September 30, 2025 and 2024, respectively, and related to the following:

Previous wording

Other expense, net amounted to $834 and $1,797 for the three and six months ended June 30, 2025 compared to $1,486 and $3,031 for the three and six months ended June 30, 2024. These amounts include the non-service benefit or cost components of our pension plans.

Current wording

Other expense, net amounted to $591 and $2,388 for the three and nine months ended September 30, 2025, respectively, compared to $1,495 and $4,526 for the three and nine months ended September 30, 2024, respectively. These amounts include the non-service benefit or cost components of our pension plans.

Previous wording

For the three and six months ended June 30, 2025, we recorded a tax benefit of $47,647 and $63,611 on pre-tax loss of $135,633 and $222,868, respectively, resulting in an effective tax rate that was higher than the U.S. statutory tax rate. The higher rate is due to the impact of state tax expense, certain non-deductible expenses, and tax deficiencies on share-based compensation. As part of state tax expense, the rate increased in the three months ended June 30, 2025 due to a discrete adjustment of $6,823, primarily driven by the enacted extension of the Connecticut corporate surtax.

Current wording

For the three and nine months ended September 30, 2025, we recorded a tax benefit of $1,397 and $65,008 on pre-tax loss of $1,623,352 and $1,846,220, respectively, resulting in an effective tax rate that was lower than the U.S. statutory tax rate. The lower rate is primarily due to the nonrecognition for tax purposes of the intangible impairment charge during the three and nine months ended September 30, 2025.

Previous wording

For the three and six months ended June 30, 2024, we recorded a tax expense of $49,013 and $51,937 on pre-tax income of $70,715 and $60,743, respectively, resulting in an effective tax rate that was higher than the U.S. statutory tax rate. The higher tax rate was primarily due to the impact of increased state tax expense, primarily from a discrete adjustment during the three months ended June 30, 2024 of $19,472 from the enacted corporate tax rate increase in New Jersey. In addition, the higher rate is due to the impact of certain non-deductible expenses and tax deficiencies on share-based compensation.

Current wording

For the three and nine months ended September 30, 2024, we recorded a tax benefit (expense) of $9,892 and $(42,045) on pre-tax income (loss) of $(50,727) and $10,016, respectively. For the three months ended September 30, 2024, the effective tax rate was lower than the U.S. statutory tax rate primarily due to the increase in tax deficiencies on share-based compensation. For the nine months ended September 30, 2024, the effective tax rate was higher than the U.S. statutory rate, due to increased state tax expense, primarily from a discrete adjustment of $19,472 from the enacted corporate tax rate increase in New Jersey. In addition, the higher rate for this nine month period is due to the impact of certain non-deductible expenses and tax deficiencies on share-based compensation.

Previous wording

The following is a reconciliation of CSC Holdings' net income to Adjusted EBITDA (unaudited):

Current wording

The following is a reconciliation of CSC Holdings' net loss to Adjusted EBITDA (unaudited):

Previous wording

For financing purposes, CSC Holdings is structured as a restricted group (the "Restricted Group") and an unrestricted group, which includes certain designated subsidiaries and investments (the "Unrestricted Group"). The Restricted Group is comprised of CSC Holdings and substantially all of its wholly-owned operating subsidiaries. These Restricted Group subsidiaries are subject to the covenants and restrictions of the CSC Holdings’ credit facility and indentures governing the notes issued by CSC Holdings.

Current wording

For financing purposes, CSC Holdings is structured as a restricted group (the "CSC Holdings Restricted Group") and an unrestricted group, which includes certain designated subsidiaries. The CSC Holdings Restricted Group is comprised of CSC Holdings and all of its wholly-owned operating subsidiaries, except for Cablevision Lightpath and certain of its designated subsidiaries, and Cablevision Funding and certain special-purpose entities formed or transferred to Cablevision Funding in connection with the Loan and Security Agreement (defined below). These CSC Holdings Restricted Group subsidiaries are subject to the covenants and restrictions of the CSC Holdings’ credit facility and indentures governing the notes issued by CSC Holdings.

Previous wording

Presented below is financial information that reflects a reconciliation of net income (loss) to Adjusted EBITDA for the three and six months ended June 30, 2025 and 2024 (unaudited).

Current wording

Presented below is financial information that reflects a reconciliation of net income (loss) to Adjusted EBITDA for the three and nine months ended September 30, 2025 and 2024 (unaudited).

Previous wording

Altice USA has no operations independent of its subsidiaries. Funding for our subsidiaries has generally been provided by cash flow from their respective operations, cash on hand and borrowings under the CSC Holdings revolving credit facility and the proceeds from the issuance of debt securities and borrowings under syndicated term loan facilities. Our decision as to the use of cash generated from operating activities, cash on hand, borrowings under the revolving credit facility or accessing the capital or credit markets has been based upon an ongoing review of the funding needs of the business, the optimal allocation of cash resources, the timing of cash flow generation, the cost of borrowing under the revolving credit facility, and market conditions (including cost and availability of capital) in the debt capital and syndicated loan markets. We calculate net leverage ratios for our CSC Holdings Restricted Group and Lightpath debt silos as net debt to L2QA EBITDA (Adjusted EBITDA for the two most recent consecutive fiscal quarters multiplied by 2.0).

Current wording

Altice USA has no operations independent of its subsidiaries. Funding for our subsidiaries has generally been provided by (i) cash flow from their respective operations, (ii) cash on hand, (iii) borrowings under the CSC Holdings and Lightpath revolving credit facilities and (iv) proceeds from the issuance of debt securities and borrowings under syndicated term loan facilities or receivables facility loans. Our decision as to the use of cash generated from operating activities, cash on hand, borrowings under revolving credit facilities or accessing the capital or credit markets has been based upon an ongoing review of the funding needs of the business, the optimal allocation of cash resources, the timing of cash flow generation, the cost of borrowing under revolving credit facilities, and market conditions (including cost and availability of capital) in the debt capital and syndicated loan markets. We calculate net leverage ratios for our CSC Holdings Restricted Group and Lightpath debt silos as net debt to L2QA EBITDA (Adjusted EBITDA for the two most recent consecutive fiscal quarters multiplied by 2.0). We calculate the net leverage ratio for our NYC ABS debt silo as net debt to annualized run-rate net cash flow based on recent collections (multiplying the most recent three-month period of collections by four).