Welcome to BT

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BT, an introductionBT is one of the world’s leading communications services companies, serving the needs of customers in the UK and in more than 170 countries worldwide

„Our job is to facilitate effective communication irrespective of geography, distance, time or complexity.”

Introduction

• Providing high quality telecommunications services since 1846

• Revenues of more than £18bn in 2012/13

• 89,000* employees globally

• £544m investment in global research and development in 2012/13

• Relationships with 25 universities globally, including Cambridge, MIT and Tsinghua

BT was the official communications services partner for the London 2012 Olympic and Paralympic Games.

We carried every call, byteof data, image and sports report for the Games.

A long track record of acting responsibly and supporting the communities to whom we deliver services.

We remain highly ranked in the Dow Jones Sustainability World Index achieving in 2012 a 92% rating, our best ever score.

* Equivalent full-time employees including both full and part time employees

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Our history

Our history

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Our history

Our history

1896The General Post Office (GPO) took the NTC trunk telephone service from private sector companies and become the monopoly supplier by 1912. It was running as Post Office Telecommunications until 1980 when renamed as British Telecom but remained part of the Post Office.

1981 The British Telecommunications Act transferred the responsibility for telecommunications services from the Post Office and created two separate corporations.

1982-84 The Government announced (1982) its intention to privatise British Telecom which realized on 6 August 1984 and 50 per cent of the shares were sold to the public this year.

1991British Telecom unveiled a new trading name (BT), new corporate identitiy and new organisational structure

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Our history

Our history

2003 BT unveiled its current corporate identitiy and brand values.

2005BT had strengthen its position as leading provider of communications solutions worldwide by a number of important acquisitions (Infonet, Albacom, Radianz) .

2005-2006September 2005 BT signed legally-binding Undertakings with Ofcom to help create a better regulatory framework for the UK telecoms industry. Openreach opened for business in January 2006 and reports directly into the BT CEO. It is responsible for managing the UK access network on behalf of the telecommunications industry.

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Our strategy

Our strategy* Equivalent full-time employees including both full and part time employees

BTGS revenue by sector 2012/13

Who are our customers? Experience and track record of delivery with a wide range of customers globally

© British Telecommunications plc Our customers 8

A global leader in managed networked IT services

We serve:

• 94% of the FTSE100 companies

• 74% of the Fortune 500 companies

• 100% of Interbrand’s top 50 annual ranking of the world’s most valuable brands

• The world’s top stock exchanges, leading broker-dealers and biggest banks.

• National and local government organisations and other public sector bodies in the UK and in 16 countries around the world.

Experience, and a track record

• Around 7,000 corporate and public sector customers across more than 170 countries

• Widely recognised as market leader by industry watchers

“An organization with a working strategy and an increasingly appealing portfolio” Current Analysis 2012

46%

26%

19%

6% 3%

Corporate customers

Public sector (UK and overseas)

Financial institutions

Transit

Other global carriers

Our customer references Examples o f some o f our cus tomers f rom 2012/13

Our customers 9

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What industries are they in?Building our business around industry challenges, with industry-specific solutions

Our customers

Our customers

Global Pharma Global Manufacturing

Global Banking and Financial Markets Global Government Global Health Global Telecom

Markets

Global LogisticsGlobal Consumer Packaged Goods

Global Mining, Oil and Gas

These are

manufactured,

consumable goods that

have a quick shelf

turnover

This is focused on the

global wholesale

market in traditional

and IP traffic

This addresses the

whole of the financial

services sector

This addresses the

needs of the extractive

sector

These customers

focus on the

distribution of physical

goods

This is focused on the

UK Government as well

as selected global

opportunities

This is focused on UK

healthcare providers

as well as selected

global opportunities

These customers

produce the world’s

physical goods

These customers

produce the world’s

medicines

Global Systems Integrators

These are global

systems integrators

and business process

outsourcing customers

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What solutions do we provide?Bringing together a broad portfolio of services into an integrated solution

Our solutions© British Telecommunications plc 11

BT AdviseKnowledge that deliversOur professional services team deliver value by aligning our services to our customers’ business objectives and optimising implementation.

BT OneBT ContactBT AssureBT ComputeBT Connect

Customer

Our solutions 12

BT Assure:

Security that matters• Security Intelligence• Assure Continuity• Assure Identity• Managed Security Services

BT Compute:

Services that adapt• Private Compute• On Demand Compute• Telehousing

BT Connect:

Networks that think• IP Connect • Ethernet Connect• Internet Connect • Enterprise Connect• Private Line Connect• SHDS Connect• Optical Connect• Connect Applications• Diamond IP • Access Services• Enterprise broadband

BT One:

Communications that unify• One Voice• One Collaborate• One Enterprise• One Cloud

BT Contact:

Relationships that grow• Auto Contact• Multi-channel Contact• Cloud Contact• Networked Expertise• Inbound Contact

“BT Global Services has a strong portfolio of services that touches on all the key communications needs of enterprises”

Current Analysis, 2011

What solutions do we provide?Bringing together a broad portfolio of services into an integrated solution

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Overall leader BT is the only company with double-digit market share in each region. TPI, 2011

Satellite services provider

in 112 countries

Over 2.8m UK Wi-Fi locations

1,277 core fibre Ethernet nodes

5,745 UK telephone exchange buildings

Telehousing facilities in 9 countries

9 security operation centres in 5 countriesIP/MPLS services available

in 197 countries

7 global development centres

in 4 countries

How do we make our network ‘work’ globally?

With our network expertise at the core of what we do

Working together

BT’s global data WAN capabilities are threatening in the international market, because the service provider operates one of the largest international MPLS networks supporting the ‘BT Connect’ portfolio, which encompasses IP VPN and Ethernet VPN and multiple value-added ICT servicesCurrent Analysis - BT IP Connect Global, Hybrid VPN, Ethernet Connect Assessment, Joel Stradling, April 2012

19 global service

centres in 12 countries

Investment in global research and developmentInnovating with customers, partners and universities

© British Telecommunications plc Our solutions 14

“We work with a lot of suppliers and your showcases are the best in the world. We have been to Adastral a number of times over the past two years and are always amazed by the breath of innovation that you have created”.

Steve Wotton, Head of IT, Tesco

• One of the largest technology investors in R&D in the UK

• A total worldwide portfolio of more than 4,300 patents and applications

• BT has invested more than £3.8bn in R&D over the last five years

• More than 17,000 scientists and technologists

• Global development centres in the UK, India, Malaysia

• R&D and innovation centres in the UK, US, Israel, UAE, India and China

• Dedicated innovation-scanning teams covering the US, Asia, Europe and the Middle East

Universities Government

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The official communications services partnerfor the London 2012 Olympic and Paralympic Games

Investing for the futureNote: due to BT Group Partner Agreement conditions with LOCOG, this slide can only be used with individual customers

80,000 connections across 94 locations

5,500km of internal cabling

Up to 60Gb of information carried each second

1,800 wireless access points

16,500 telephone lines

14,000 mobile

SIM cards

10,000 cable

TV outlets

642,000

man-hours

Over 800 people

on the ground at

Games’ Time

Prosperity Program - Expanding in high-growth regions

© British Telecommunications plc

Achieving double digit revenue growth across the three regions

Our solutions 16

BT in Turkey, Middle East & Africa

BT in Asia Pacific

Asia Pacific Latin America Turkey, Middle East & Africa

• Delivered on our 3 year plan to double the size of our business

• 7 technology showcases – 2 additional planned in APAC in 2013

• Launched a Global IP Exchange hub in Singapore

• Established an Asia Pacific Health Practice

• Opened a new global shared services centre in Malaysia

• 75 new logos since the launch of the investment programme

• Expanded infrastructure and network reach across Brazil, Mexico and Colombia

• More than 40,000 customer connections

• Launched BT Ethernet Connect, BT Assure, BT Compute, BT Contact, BT One and BT Conferencing

• 42 new customers signed within the first year of the programme

• 9 products and services launched into the region

• 3 new network nodes launched in the Middle East

• New expanded offices opened in Durban and Johannesburg in South Africa and new office planned for Istanbul

BT in Latin America

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BT in Hungary

BT in Hungary

BT in Hungary operates one of the top 10 shared service centres in two locations, Budapest and Debrecen.

„Our mission is to contribute to BT’s business transformation strategy through consolidating, standardizing and optimising business processes, improve performance and productivity in order to provide a better service to our customers.”

• First office in Budapest in 1999

• Debrecen office opened in December, 2007

• Incentive agreement with government for generating employment

• Good relationship with universities locally

• Family friendly workplace award in 2012

• Membership in organisations: HEBC, HOA

Headcount development

• December 1999: 3 employees• December 2002: 12 employees• December 2005: 75 employees• December 2007: 280 employees• December 2011: 560 employees• December 2012 : 690 employees•Today: 1300+ employees

Key Figures

• Serving more than 3000 customers globally• Employees speaking 19 languages• Average age is 27.5• Internal business partners save up to 60% operational cost after transition

EMEA RegionalOperations Centre

„ROC”

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Facts and Figures

Facts and Figures

1300+ employees

Average age:

27,519

languages

>85%graduate

4+12functions

Supporting12 BUs

across15 countires

Average languages

spoken:

2,5

94% plans to stay

long term

Average churn:

16%

3000+Customers supported

100+role model awards p.a.

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BT Global Centres of Excellence

Centres of Excellence

India, Gurgaon

Hungary, Budapest & Debrecen

Brazil, Sao Paulo

What we can offer:• 24-hr cover, 365 days a year• Teams in all major regions• Local language support• Low operational cost• World-class quality service

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Regional Operations Centre, Hungary

ROC, Hungary

Budapest / IP West Office Central location Less than 30 mins by taxi from

Liszt Ferenc Airport (BUD) New BT office opened in

October 2007 and continuously growing since then

Debrecen / Dexium Office Hungary’s second city - 2 hours by

train/car from Budapest Direct flight from Luton airport,

London University with ~30.000 students Very supportive local government

and university BT Office opened in December 2007

Thank you!