# EDGAR Filing Document

**Accession Number:** 0000716133
**File Stem:** 0001193125-26-221460
**Filing Date:** 2026-5
**Character Count:** 125865
**Document Hash:** 4bde2b777bbf44180fdf10ec21c26862
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001193125-26-221460.hdr.sgml**: 20260513

**ACCESSION NUMBER**: 0001193125-26-221460

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 70

**CONFORMED PERIOD OF REPORT**: 20260331

**FILED AS OF DATE**: 20260513

**DATE AS OF CHANGE**: 20260513

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** CINCINNATI BELL INC
- **CENTRAL INDEX KEY:** 0000716133
- **STANDARD INDUSTRIAL CLASSIFICATION:** TELEPHONE COMMUNICATIONS (NO RADIO TELEPHONE) [4813]
- **ORGANIZATION NAME:** 06 Technology
- **EIN:** 311056105
- **STATE OF INCORPORATION:** OH
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-08519
- **FILM NUMBER:** 26972851

**BUSINESS ADDRESS:**
- **STREET 1:** 221 E FOURTH ST
- **CITY:** CINCINNATI
- **STATE:** OH
- **ZIP:** 45202
- **BUSINESS PHONE:** 513-397-9900

**MAIL ADDRESS:**
- **STREET 1:** P O BOX 2301
- **CITY:** CINCINNATI
- **STATE:** OH
- **ZIP:** 45201

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** BROADWING INC
- **DATE OF NAME CHANGE:** 20000512

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** CINCINNATI BELL INC /OH/
- **DATE OF NAME CHANGE:** 19920703

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** CBI INC
- **DATE OF NAME CHANGE:** 19830814

?xml version='1.0' encoding='ASCII'? 10-Q

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D.C. 20549**

**FORM** 10-Q

☒ **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** 

**For the Quarterly Period Ended** **March 31,** 2026

☐ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the transition period from to** 

**Commission File Number** 1-8519

CINCINNATI BELL INC.

---

| | |
|:---|:---|
| Ohio | 31-1056105 |
| **(State of Incorporation)** | **(I.R.S. Employer Identification No.)** |

---

221 East Fourth Street**,** Cincinnati**,** Ohio 45202

**(Address of principal executive offices) (Zip Code)**

**(**513**)** 397-9900

**(Registrant's telephone number, including area code)**

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☐ No ☒

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (**§** 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company" and "emerging growth company" in Rule 12b-2 of the Exchange Act. (Check one):

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | ☐ | Accelerated filer | ☐ |
| Non-accelerated filer | ☒ | Smaller reporting company | ☐ |
|  |  | Emerging growth company | ☐ |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

Securities Registered Pursuant to Section 12(b) of the Act:

**As of March 31, 2026, there were 100 common shares of the Company outstanding, all of which were held by Red Fiber Parent LLC. The Company is filing this Form 10-Q with the SEC on a voluntary basis.**

------

**TABLE OF CONTENTS**

**<u>PART I. Financial Information</u>**

---

| | | |
|:---|:---|:---|
| Description |  | Page |
| Item 1. | Financial Statements |  |
|  | [<u>Condensed Consolidated Statements of Operations (Unaudited)</u>](#condensed_consolidated_statements_operat) | 1 |
|  | [<u>Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited)</u>](#condensed_consolidated_comprehensive_inc) | 2 |
|  | [<u>Condensed Consolidated Statements of Equity (Deficit) (Unaudited)</u>](#condensed_consolidated_shareowners_equit) | 3 |
|  | [<u>Condensed Consolidated Balance Sheets (Unaudited)</u>](#condensed_consolidated_bs) | 4 |
|  | [<u>Condensed Consolidated Statements of Cash Flows (Unaudited)</u>](#condensed_consolidate_cash_flows) | 5 |
|  | [<u>Notes to Condensed Consolidated Financial Statements (Unaudited)</u>](#notes_to_condensed_consolidated_financia) | 6 |
| Item 2. | [<u>Management's Discussion and Analysis of Financial Condition and Results of Operations</u>](#item_2___managements_discussion_analysis) | 22 |
| Item 3. | [<u>Quantitative and Qualitative Disclosures about Market Risk</u>](#item_3___quantitative_qualitative_disclo) | 31 |
| Item 4. | [<u>Controls and Procedures</u>](#item_4___controls_procedures) | 31 |
|  | **<u>PART II. Other Information</u>** |  |
| Item 1. | [<u>Legal Proceedings</u>](#item_1___legal_proceedings) | 32 |
| Item 1A. | [<u>Risk Factors</u>](#item_1a___risk_factors) | 32 |
| Item 2. | [<u>Unregistered Sales of Equity Securities and Use of Proceeds</u>](#item_2___unregistered_sales_equity_secur) | 32 |
| Item 3. | [<u>Default upon Senior Securities</u>](#item_3___defaults_upon_senior_securities) | 32 |
| Item 4. | [<u>Mine Safety Disclosure</u>](#item_4___mine_safety_disclosure) | 32 |
| Item 5. | [<u>Other Information</u>](#item_5___or_information) | 32 |
| Item 6. | [<u>Exhibits</u>](#item_6___exhibits) | 33 |
|  | [<u>Signatures</u>](#signatures) | 34 |

---

------

Cincinnati Bell Inc.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Dollars in millions)

(Unaudited)

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended <br>March 31,** | **Three Months Ended <br>March 31,** |
|  | **2026** | **2025** |
| **Revenue** | $283.6 | $276.4 |
| **Costs and expenses** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of services and products, excluding items below | 112.9 | 122.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative, excluding items below | 65.5 | 55.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 85.4 | 84.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and severance related charges | 18.2 | 3.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;Transaction and integration costs |  | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating costs and expenses | 282.0 | 265.7 |
| **Operating income** | 1.6 | 10.7 |
| Interest expense | 27.8 | 33.1 |
| Other components of pension and postretirement benefit plans benefit | (0.1) | (1.4) |
| Other income, net | (14.2) | (7.1) |
| Loss from continuing operations before income taxes | (11.9) | (13.9) |
| Income tax (benefit) expense | (2.6) | 0.5 |
| Loss from continuing operations | (9.3) | (14.4) |
| Loss from discontinued operations (net of tax) |  | (13.9) |
| **Net loss** | $(9.3) | $(28.3) |

---

The accompanying notes are an integral part of the condensed consolidated financial statements.

------

Cincinnati Bell Inc.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(Dollars in millions)

(Unaudited)

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended <br>March 31,** | **Three Months Ended <br>March 31,** |
|  | **2026** | **2025** |
| Net loss | $(9.3) | $(28.3) |
| Other comprehensive income (loss), net of tax: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Defined benefit plans: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net gain arising from remeasurement during the period, net of tax of $0.4 |  | 1.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of prior service benefits included in loss from continuing operations, net of tax of $0.0, ($0.1) | (0.2) | (0.1) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amortization of net actuarial gain included in loss from continuing operations, net of tax of ($0.3), ($0.3) | (1.0) | (0.9) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Settlement gains reclassified to loss from continuing operations, net of tax of ($0.2) |  | (0.8) |
| Total other comprehensive loss | (1.2) | (0.6) |
| Total comprehensive loss | $(10.5) | $(28.9) |

---

The accompanying notes are an integral part of the condensed consolidated financial statements.

------

Cincinnati Bell Inc.

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (DEFICIT)

(Dollars in millions)

(Unaudited)

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Additional Paid-in** |  | **Accumulated Other<br>Comprehensive** |  |
|  | **Capital** | **Accumulated Deficit** | **Income (Loss)** | **Total** |
| Balance at December 31, 2025 | $2316.1 | $(589.6) | $36.8 | $1763.3 |
| Net loss |  | (9.3) |  | (9.3) |
| Other comprehensive loss |  |  | (1.2) | (1.2) |
| Balance at March 31, 2026 | $2316.1 | $(598.9) | $35.6 | $1752.8 |
| Balance at December 31, 2024 | $2316.1 | $(480.1) | $35.0 | $1871.0 |
| Net loss |  | (28.3) |  | (28.3) |
| Other comprehensive loss |  |  | (0.6) | (0.6) |
| Balance at March 31, 2025 | $2316.1 | $(508.4) | $34.4 | $1842.1 |

---

The accompanying notes are an integral part of the condensed consolidated financial statements.

------

Cincinnati Bell Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Dollars in millions)

(Unaudited)

---

| | | |
|:---|:---|:---|
|  | **March 31, 2026** | **December 31, 2025** |
| **Assets** |  |  |
| Current assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cash and cash equivalents | $9.0 | $40.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Receivables, less allowances of $17.9 and $16.3 | 83.4 | 85.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;Inventory, materials and supplies | 120.9 | 107.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;Prepaid expenses | 21.1 | 25.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other current assets | 6.9 | 103.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 241.3 | 361.9 |
| Property, plant and equipment, net | 2922.7 | 2887.8 |
| Operating lease right-of-use assets | 75.2 | 77.3 |
| Goodwill | 530.5 | 530.5 |
| Intangible assets, net | 288.0 | 300.2 |
| Other noncurrent assets | 80.7 | 76.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total assets | $4138.4 | $4234.5 |
| **Liabilities and Shareowners' Equity** |  |  |
| Current liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Current portion of long-term debt | $26.9 | $26.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | 183.2 | 162.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;Unearned revenue and customer deposits | 53.8 | 49.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued taxes | 10.0 | 10.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued interest | 1.8 | 0.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued payroll and benefits | 24.1 | 36.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accrued restructuring | 14.3 | 0.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other current liabilities | 23.9 | 121.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 338.0 | 409.1 |
| Long-term debt, less current portion | 1675.0 | 1679.9 |
| Operating lease liabilities | 76.2 | 77.9 |
| Pension and postretirement benefit obligations | 91.5 | 92.2 |
| Pole license agreement obligation | 33.9 | 34.7 |
| Deferred income tax liabilities | 28.4 | 31.3 |
| Other noncurrent liabilities | 142.6 | 146.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities | 2385.6 | 2471.2 |
| Shareowners' equity |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Additional paid-in capital | 2316.1 | 2316.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated deficit | (598.9) | (589.6) |
| &nbsp;&nbsp;&nbsp;&nbsp;Accumulated other comprehensive income | 35.6 | 36.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total shareowners' equity | 1752.8 | 1763.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total liabilities and shareowners' equity | $4138.4 | $4234.5 |

---

The accompanying notes are an integral part of the condensed consolidated financial statements.

------

Cincinnati Bell Inc.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Dollars in millions)

(Unaudited)

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
|  | **2026** | **2025** |
| **Cash flows from operating activities** |  |  |
| Net loss | $(9.3) | $(28.3) |
| Adjustments to reconcile net loss to net cash provided by operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 85.4 | 84.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;Provision for credit loss on receivables | 2.5 | 3.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Unrealized (gain) loss on interest rate swaps | (6.7) | 5.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Noncash portion of interest expense | 2.4 | 2.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Deferred income taxes | (2.6) | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;Pension and other postretirement payments in excess of expense | (2.2) | (3.9) |
| &nbsp;&nbsp;&nbsp;&nbsp;Loss on sale of discontinued operations |  | 14.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other, net | (0.3) | (1.0) |
| Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Increase) decrease in receivables | (0.5) | 3.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;Decrease in inventory, materials, supplies, prepaid expenses and other current assets | 89.5 | 0.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Increase (decrease) in accounts payable | 30.1 | (6.5) |
| &nbsp;&nbsp;&nbsp;&nbsp;Decrease in accrued and other current liabilities | (96.5) | (54.1) |
| &nbsp;&nbsp;&nbsp;&nbsp;Decrease (increase) in other noncurrent assets | 1.2 | (2.9) |
| &nbsp;&nbsp;&nbsp;&nbsp;Increase (decrease) in other noncurrent liabilities | 0.3 | (5.0) |
| Net cash provided by operating activities | 93.3 | 14.4 |
| **Cash flows from investing activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Capital expenditures | (120.3) | (143.2) |
| &nbsp;&nbsp;&nbsp;&nbsp;Other, net | 1.5 |  |
| Net cash used in investing activities | (118.8) | (143.2) |
| **Cash flows from financing activities** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from issuance of long-term debt |  | 3.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;Proceeds from borrowings on receivables facilities | 43.4 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Payments on receivables facilities | (29.1) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Repayment of debt | (20.8) | (48.1) |
| &nbsp;&nbsp;&nbsp;&nbsp;Payment of debt issuance costs |  | (0.3) |
| Net cash used in financing activities | (6.5) | (44.5) |
| Net decrease in cash, cash equivalents and restricted cash | (32.0) | (173.3) |
| Cash, cash equivalents and restricted cash at beginning of period | 43.3 | 465.8 |
| Cash, cash equivalents and restricted cash at end of period | $11.3 | $292.5 |
| Noncash investing and financing transactions: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Acquisition of property on account | $50.6 | $72.0 |

---

The accompanying notes are an integral part of the condensed consolidated financial statements.

------

**NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)**

**1. Description of Business and Accounting Policies**

**Description of Business** — Cincinnati Bell Inc. and its consolidated subsidiaries ("Cincinnati Bell," "we," "our," "us" or the "Company") provides diversified telecommunications and technology services. The Company generates a large portion of its revenue by serving customers in two distinct regions. These regions are defined by the Company as 1) Midwest, which includes Cincinnati, Ohio, a radius of approximately 25 miles around Cincinnati, Ohio, including parts of northern Kentucky and southeastern Indiana ("Greater Cincinnati"), communities around Dayton and Columbus, Ohio and 2) Hawaii, which includes the island of Oahu and the neighboring islands. The Company operates its business through one reportable segment, Network. All revenue is generated from U.S. operations.

On February 2, 2024, the Company entered into a definitive purchase agreement (the "Purchase Agreement") with TowerBrook Capital Partners ("TowerBrook") in which TowerBrook would acquire the CBTS and OnX businesses (the "Disposal Group" or the "Divested Business") from the Company for a purchase price of $670.0 million. On December 2, 2024, Cincinnati Bell completed the transaction. Pursuant to terms of the Purchase Agreement, TowerBrook acquired the Divested Business for the purchase price of $670.0 million plus an incremental $18.4 million for certain working capital changes that occurred between the date of the Purchase Agreement and December 2, 2024. During the twelve months ended December 31, 2025, a post-closing selling price adjustment and completion of other Purchase Agreement provisions in connection with the sale resulted in adjustments of pre-tax $16.3 million ($15.7 million after tax) recorded to discontinued operations which reduced the previously reported pre-tax gain on the sale of the Disposal Group of $93.7 million to $77.4 million. The pre-tax $16.3 million adjustment consisted of: i) $14.5 million of post-closing adjustments defined in the Purchase Agreement recorded in the first quarter of 2025 that was paid in April 2025 and ii) a $1.8 million estimated liability recorded that is expected to be paid in 2026 for tax-related items that are owed TowerBrook per the terms of the Purchase Agreement.

**Basis of Presentation —** The Condensed Consolidated Financial Statements of the Company have been prepared pursuant to the rules and regulations of the SEC and, in the opinion of management, include all adjustments necessary for a fair statement of the results of operations, other comprehensive income, financial position and cash flows for each period presented.

The adjustments referred to above are of a normal and recurring nature. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") have been condensed or omitted pursuant to SEC rules and regulations for interim reporting.

These Condensed Consolidated Financial Statements should be read in conjunction with the Company's 2025 Annual Report on Form 10-K. The December 31, 2025 Condensed Consolidated Balance Sheet data was derived from audited financial statements but does not include all required annual disclosures.

**Business Combinations —** In accounting for business combinations, we apply the accounting requirements of Accounting Standards Codification 805 ("ASC 805"), "Business Combinations," which requires the recording of net assets of acquired businesses at fair value. In developing fair value estimates for acquired assets and assumed liabilities, management analyzes a variety of factors including market data, estimated future cash flows of the acquired operations, industry growth rates, current replacement cost for fixed assets, and market rate assumptions for contractual obligations. Such a valuation requires management to make significant estimates and assumptions, particularly with respect to the intangible assets. In addition, any contingent consideration is presented at fair value at the date of acquisition, and transaction costs are expensed as incurred. The Company reports in its Condensed Consolidated Financial Statements provisional amounts for the items for which accounting is incomplete. Goodwill is adjusted for any changes to provisional amounts made within the measurement period.

**Use of Estimates —** Preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported. Actual results could differ from those estimates. In the normal course of business, the Company is subject to various regulatory and tax proceedings, lawsuits, claims and other matters. The Company believes adequate provision has been made for all such asserted and unasserted claims in accordance with U.S. GAAP. Such matters are subject to many uncertainties and outcomes that are not predictable with assurance.

**Accounting Policies —** The complete summary of significant accounting policies is included in the notes to the consolidated financial statements as presented in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025.

**Variable Interest Entity —** The Company holds an interest in a limited liability company, Digital Access Ohio LLC ("DAO"), that is considered a variable interest entity ("VIE") in accordance with the guidance of ASC 810 "Consolidation." DAO is considered a VIE as it has insufficient equity capital to finance its activities without additional financial support. The Company is the primary beneficiary of DAO as it has the power over the activities that most significantly impact the economic performance of DAO and has the obligation to absorb expected losses and the right to receive expected benefits that could be significant to DAO. As a result, the Company consolidated DAO, and all significant intercompany accounts have been eliminated. For the three months ended March 31, 2026 and 2025, results of operations of DAO were not significant.

------

Funding of DAO is provided in the form of cash contributions, debt issuance and grants that include a free standing warrant that allows the holder of the warrant at its option to convert the warrant into a class A-2 share of DAO at any time during the period commencing on the 2<sup>nd</sup> anniversary of the funding agreement and ending on the 10th anniversary of the funding agreement date. The Company has recorded the fair value associated with the warrant to "Other noncurrent liabilities" on the Condensed Consolidated Balance Sheets. The Company will continue to assess whether it has a controlling financial interest in DAO and whether it is the primary beneficiary at each reporting period.

**Cash, Cash Equivalents and Restricted Cash —** Cash consists of funds held in bank accounts. Cash equivalents consist of short-term, highly liquid investments with original maturities of three months or less. Restricted cash as of March 31, 2026 and December 31, 2025 consists of funds held in an escrow account and funds held by DAO. Restricted cash is included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the Condensed Consolidated Statements of Cash Flows. A reconciliation of cash, cash equivalents and restricted cash to the Condensed Consolidated Balance Sheets follows:

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| | | |
|:---|:---|:---|
| **<u>(dollars in millions)</u>** | **March 31, 2026** | **December 31, 2025** |
| Cash and cash equivalents | $9.0 | $40.5 |
| Restricted cash included in Other noncurrent assets | 2.3 | 2.8 |
| Cash, cash equivalents and restricted cash per Condensed Consolidated Statements of Cash Flows | $11.3 | $43.3 |

---

**Goodwill —** Goodwill represents the excess of the purchase price consideration over the fair value of net assets acquired and recorded in connection with business acquisitions. Goodwill is allocated at the business segment level. Goodwill is tested for impairment on an annual basis or when events or changes in circumstances indicate that such assets may be impaired. If the net book value of the reporting unit exceeds its fair value, an impairment loss is recognized. An impairment loss is measured as the excess of the carrying value of goodwill of a reporting unit over its fair value.

**Indefinite-Lived Intangible Assets —** Intangible assets represent purchased assets that lack physical substance but can be separately distinguished from goodwill because of contractual or legal rights, or because the asset is capable of being separately sold or exchanged. Federal Communications Commission ("FCC") licenses for wireless spectrum and other perpetual licenses represent indefinite-lived intangible assets. The Company may renew the wireless licenses in a routine manner every ten years for a nominal fee, provided the Company continues to meet the service and geographic coverage provisions required by the FCC. Intangible assets not subject to amortization are tested for impairment annually, or when events or changes in circumstances indicate that the asset might be impaired.

**Long-Lived Assets —** Management reviews the carrying value of property, plant and equipment and other long-lived assets, including intangible assets with definite lives, when events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. An impairment loss is recognized when the estimated future undiscounted cash flows expected to result from the use of an asset (or group of assets) and its eventual disposition is less than its carrying amount. An impairment loss is measured as the amount by which the asset's carrying value exceeds its estimated fair value. Long-lived intangible assets are amortized based on the estimated economic value generated by the asset in future years.

The Company defers costs incurred with the implementation of a cloud computing arrangement ("CCA") that is a service contract. The deferred implementation costs of cloud computing arrangements are amortized on a straight-line basis over the term of the CCA, generally ranging from 5 - 8 years, in general and administrative expenses on Consolidated Statements of Operations and Comprehensive Income. The eligible implementation costs incurred of a CCA are included in other assets on the Consolidated Balance Sheets, and in operating cash flows of the Consolidated Statements of Cash Flows. The deferred CCA implementation costs were $16.9 million and $16.6 million with accumulated amortization of $1.1 million and $0.6 million for the period ended March 31, 2026 and December 31, 2025, respectively.

**Accounting for Impacts of Involuntary Events and Contingencies —** Assets destroyed or damaged as a result of involuntary events are written off or reduced in carrying value to their salvage value. When recovery of all or a portion of the amount of property damage loss or other covered expenses through insurance proceeds is demonstrated to be probable, a receivable is recorded and offsets the loss or expense up to the amount of the total loss or expense. Proceeds ultimately received from insurance claims for business interruption, direct expenditures and amounts for capital assets in excess of net book value will be recorded to results of operations when collected. No gain is recorded until all contingencies related to the insurance claim have been resolved.

In August 2023, wildfires ignited on Maui and Hawaii islands and spread rapidly due to extreme wind conditions caused in part by Hurricane Dora which traveled 800 miles offshore west of Maui. The fires caused widespread damage to Lahaina town on the island of Maui and the surrounding area, including physical loss and damage to certain of the Company's fiber and copper assets and Company owned equipment located on customer premises. The Company experienced the loss of business income immediately following the fires and is expected to continue to experience loss of business income for an unknown amount of time. The Company has filed insurance claims for the physical loss and damages experienced in Lahaina and for business income losses. The Company has received life to date insurance reimbursements of $8.9 million related to this claim that exceeded the net book value related to the physical loss and damage claims.

The Company's Hawaiian Telcom subsidiary, along with many other parties, including governmental entities, landowners, utilities and other telecommunication providers, has been named as a defendant in multiple civil lawsuits brought by individual plaintiffs, a putative class, and

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subrogation plaintiffs in state and federal court in Hawaii arising out of the August 2023 windstorm and wildfires on the island of Maui. Among other things, the lawsuits allege that the defendants were responsible for, and/or were negligent in failing to prevent, the wildfires that led to severe destruction of property and loss of life. Hawaiian Telcom has denied any responsibility for the damages caused by the wildfires.

The parties to the litigation, including Hawaiian Telcom, have engaged in confidential mediation and discussions regarding a global settlement of the litigation. On August 2, 2024, the defendants, individual plaintiffs, and class plaintiffs entered into a term sheet contemplating a global resolution of all claims arising out of the August 2023 windstorm and wildfires on Maui that does not include any admission of liability in which the defendants would collectively pay an aggregate of $4.037 billion. The settlement also would resolve all claims among the defendants. Hawaiian Telcom's contribution is a total of $100.0 million and includes the $2.5 million previously contributed for the One 'Ohana Fund. The individual and class plaintiffs and the defendants subsequently agreed to an Individual Settlement Agreement and a Class Settlement Agreement memorializing the final terms on November 23, 2024. At December 31, 2025, the Company had recorded a liability of $97.5 million to "Other current liabilities" in the Condensed Consolidated Balance Sheets offset by an insurance receivable included in "Other current assets." The Class Settlement Agreement was subsequently approved by the court on January 26, 2026.

The Class Settlement Agreement permitted claimants to opt out of the Class Settlement. As of March 31, 2026, some plaintiffs who "opted out" of the Class Settlement Agreement have not signed individual agreements and releases to join the global settlement. The defendants are continuing in their efforts to resolve these claims through the $500 million holdback fund that is part of the global settlement. The Company intends to vigorously defend itself in the litigation if a definitive settlement of all open litigation is ultimately not achieved.

During the first quarter of 2026, the Company's insurance carriers paid the full $97.5 million obligation directly into the One 'Ohana Fund. An amount of $94.2 million was paid into the Individual Settlement Fund and $3.3 million was paid into the Class Settlement Fund. As a result, the related insurance receivable was fully relieved while the case remains open subject to legal release, and no amounts remain outstanding related to the global settlement of the litigation as of March 31, 2026. The cash flow activity related to the receipt of the insurance proceeds and payment of the liability is presented as "Cash flows from operating activities."

**Income and Operating Taxes**

*Income taxes* — In accordance with ASC 740-270, the Company's income tax provision for interim periods is determined through the use of an estimated annual effective tax rate applied to year-to-date ordinary income/loss plus or minus the tax effects of discrete items. The income tax provision for the three months ended March 31, 2026 for continuing operations was a benefit of $2.6 million on a reported loss before income tax of $11.9 million. The tax benefit reported is higher than the $2.5 million benefit expected at statutory rates, due primarily to adjustments to valuation allowances on net operating loss deferred tax assets.

*Operating taxes —* Certain operating taxes such as property, sales, use, and gross receipts taxes are reported as expenses in operating income primarily within cost of services. These taxes are not included in income tax expense because the amounts to be paid are not dependent on our level of income. Liabilities for audit exposures are established based on management's assessment of the probability of payment. The provision for such liabilities is recognized as property, plant and equipment, operating tax expense, or depreciation expense depending on the nature of the audit exposure. Upon resolution of an audit, any remaining liability not paid is released against the account in which it was originally recorded. Certain telecommunication taxes and surcharges that are collected from customers are also recorded as revenue; however, in accordance with ASC 606, revenue associated with these charges is excluded from the transaction price.

**Derivative Financial Instruments —** The Company accounts for derivative financial instruments by recognizing derivative instruments as either assets or liabilities in the Condensed Consolidated Balance Sheets at fair value and recognizing the resulting gains or losses as adjustments to the Condensed Consolidated Statements of Operations or "Accumulated other comprehensive income." The Company does not hold or issue derivative financial instruments for trading or speculative purposes.

For derivative instruments that hedge the exposure to variability in expected future cash flows that are designated and qualify as cash flow hedges, the gain or loss on the derivative instrument is reported as a component of "Accumulated other comprehensive income" in stockholder's equity and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. To receive hedge accounting treatment, cash flow hedges must be highly effective in offsetting changes to expected future cash flows on hedged transactions. Derivatives that do not qualify as hedges are adjusted to fair value through earnings in the current period. All cash flows associated with the Company's derivative instruments are classified as operating activities in the Condensed Consolidated Statements of Cash Flows.

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**Segment —** The Company provides products and services that can be categorized as Data, Video, Voice or Other that represent 100% of the Company's consolidated sales from continuing operations. The Company aggregates its products and services delivered across all geographical markets into one reportable segment due to the products and services having similar economic characteristics with similar long-term financial performance. In addition, the Company's geographical markets offer customers similar products, have similar distribution methods, operate in similar regulatory environments, purchase the majority of capital required to build the network to deliver the services from similar (and in many cases identical) vendors, and serve similar types of customers. Operating divisions are organized primarily on a legal entity basis so that the operating division management team can be responsive to local needs and can execute company strategic plans and initiatives throughout the locations in their operating division. The legal entity basis of organization reflects how the business is managed and how the Company's Chief Executive Officer, who acts as the Company's chief operating decision maker, assesses performance internally. All of the Company's continuing operations are domestic.

**Recently Issued Accounting Standards**

*Accounting Standards yet to be Adopted*

In November 2024, the FASB issued ASU No. 2024-03, Disaggregation of Income Statement Expenses ("DISE"), which aims to increase expense reporting requirements, with enhanced disclosure surrounding the nature of expenses presented within the income statement, including selling expenses. The ASU is effective for public business entities for annual reporting periods beginning after December 15, 2026 and interim reporting periods within annual reporting periods beginning after December 15, 2027. The amendments within this ASU will be applied on a prospective basis with the option for retrospective application. The Company is currently evaluating the effects of this standard on its consolidated financial statements and related disclosures and will adopt the standard for the annual period beginning January 1, 2027.

In September 2025, the FASB issued ASU No. 2025-06, Intangibles - Goodwill and Other - Internal Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software ("ASU 2025-06") which removes the prescriptive software development stages and replaces them with a probable-to-complete recognition threshold. The amendments in this update are effective for annual reporting periods beginning after December 15, 2027, and interim reporting periods within those annual reporting periods. Early adoption is permitted as of the beginning of an annual reporting period. The update may be applied using a prospective, modified or retrospective transition approach. The Company is currently evaluating the effects of ASU 2025-06 on its consolidated financial statements and related disclosures.

In December 2025, the FASB issued ASU No. 2025-11, Interim Reporting (Topic 270): Narrow Scope Improvements, which clarifies the scope of ASC 270 for entities that provide interim financial statements and notes in accordance with U.S. GAAP, provides form and content guidance, consolidates interim disclosure requirements across the Codification, and introduces a disclosure principle requiring reporting of material events or changes occurring since the end of the most recent annual reporting period. The amendments are effective for public business entities for interim reporting periods within fiscal years beginning after December 15, 2027, and for all other entities for interim reporting periods within fiscal years beginning after December 15, 2028. Early adoption is permitted, with prospective or retrospective transition allowed. The Company is evaluating the impact of ASU 2025-11 on its interim financial statement presentation and related disclosures.

In December 2025, the FASB issued No. ASU 2025-12, Codification Improvements, which makes non-substantive technical corrections, clarifications, and other incremental improvements to various Topics in the Codification. Notable clarifications include (among others) disclosure scope for lease receivables arising from sales-type or direct financing leases and transfers of receivables from contracts with customers. The amendments are effective for annual reporting periods beginning after December 15, 2026, including interim periods within those annual periods. Early adoption is permitted. Entities may apply the amendments prospectively or retrospectively. The Company is currently evaluating the effects of ASU 2025-12 on its consolidated financial statements and related disclosures.

Other accounting standards that have been issued or proposed by the FASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on the Company's consolidated financial statements upon adoption.

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**2. Revenue**

The Company provides products and services that can be categorized as Data, Video, Voice or Other to both residential and commercial customers.

Residential customers have implied month-to-month contracts. Commercial customers, with the exception of contracts associated with the Southeast Asia to United States ("SEA-US") trans-Pacific submarine cable system, typically have contracts with an initial duration of one to five years and automatically renew on a month-to-month basis. Customers are invoiced on a monthly basis for services rendered. Contracts for projects that are included within the Other revenue stream are typically short in duration and less than one year. Contracts associated with the SEA-US cable system typically range from 15 to 25 years and payment is prepaid.

The Company has elected the practical expedient described in ASC 606-10-32-18 that allows an entity to not adjust the promised amount of consideration for the effects of a significant financing component if the entity expects that the period of time between the transfer of a promised good or service to the customer and when the customer pays for such good or service will be one year or less. Customers are typically billed immediately upon the rendering of services or the delivery of products. Payment terms for customers are between 30 and 120 days. The Company recognizes a financing component associated with the up-front payments for services to be delivered under indefeasible right of use ("IRU") contracts for fiber circuit capacity. The IRU contracts typically have a duration ranging from 15 to 25 years.

**Performance Obligations**

A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, or a series of distinct goods or services, and is the unit of account defined in ASC Topic 606. The transaction price identified in the contract is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. Contract modifications for changes to services provided are routine throughout the term of our contracts. In most instances, contract modifications are for the addition or reduction of services that are distinct, and price changes are based on the stand-alone selling price of the service and, as such, are accounted for on a prospective basis as a new contract.

Goods and services are sold individually, or a contract may include multiple goods or services. For contracts with multiple goods and services, the transaction price identified in the contract is allocated to each performance obligation using the stand-alone selling price of each distinct good or service in the contract.

Performance obligations are satisfied either over time as services are performed or at a point in time. Substantially all of our service revenue is recognized over time. For services transferred over time, the Company has elected the practical expedient to recognize revenue based on amounts invoiced to the customer as the Company has concluded that the invoice amount directly corresponds with the value of services provided to the customer. Management considers this a faithful depiction of the transfer of control as services are provided evenly over the month and are substantially the same over the life of the contract. As the Company has elected the practical expedients detailed at ASC 606-10-50-13, revenue for these unsatisfied performance obligations that will be billed in future periods has not been disclosed.

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As of March 31, 2026, our estimated revenue, including a financing component, expected to be recognized in the future related to performance obligations associated with customer contracts that are unsatisfied (or partially unsatisfied) is $203.3 million. IRU revenue is recognized over the contract term as the services are provided, with certain contracts extending for periods of up to 30 years. The expected revenue to be recognized for existing customer contracts is as follows:

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| | |
|:---|:---|
| **<u>(dollars in millions)</u>** |  |
| Nine months ending December 31, 2026 | $20.5 |
| 2027 | 43.9 |
| 2028 | 30.3 |
| 2029 | 10.7 |
| 2030 | 10.7 |
| Thereafter | 87.2 |

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The Company has identified four distinct performance obligations, namely Data, Voice, Video, and Other. For each of the Data, Voice, and Video services, service is delivered to the customer continuously and in a substantially similar manner for each period of the agreement, the customer takes full control over the services as the service is delivered, and as such, Data, Voice, and Video are identified to be a series of distinct services. Products and services provided can be categorized into three main categories consisting of Strategic, Legacy and Other. The Strategic and Legacy categories may include one or more of the aforementioned performance obligations. Data services include internet access, digital subscriber lines, ethernet, routed network services, SONET (Synchronous Optical Network), dedicated internet access, wavelength, digital signal, IRU revenue and revenue associated with the SEA-US cable system. Voice services include traditional and fiber voice lines, switched access, digital trunking, consumer and business long distance calling, and certain communications services including data and VoIP services, tailored solutions that include converged IP communications of data, voice and mobility applications, MPLS (Multi-Protocol Label Switching) and conferencing services. Video services are offered through our fiber network to residential and commercial customers based on various standard plans with the opportunity to add premium channels. To receive video services, customers have the option to use the Company's set top boxes that are billed as part of the monthly recurring service. Set top boxes are not considered a separate performance obligation from video because the customer has no alternative use for the equipment.

Products and services not included in Data, Voice or Video are included in Other revenue and are comprised of wire care, time and materials projects, advertising, management of distributed antenna systems, certain pass through fees including processing, franchise, and regulatory fees, subsidized fiber build projects and other fees that are generally nonrecurring in nature.

Other revenue also includes revenue contributed by Hawaiian Telcom for the sale of hardware products and maintenance contracts as well as installation projects and cloud services which include storage, SLA-based monitoring and management, cloud computing and cloud consulting. The sale of hardware products and maintenance contracts is recognized at a point in time while transfer of control of the other products and services is evaluated on an individual project basis and can occur over time or at a point in time.

The Company uses multiple methods to determine stand-alone selling prices. For internet products categorized as Strategic, included within the Data performance obligation, and Voice, Legacy Data and Other performance obligations, stand-alone selling prices are determined based on a list price, discount off of list price, a tariff rate, a margin percentage range, or a minimum margin percentage.

For the sale of hardware products, the Company evaluated whether it is the principal or the agent. The Company has concluded it acts as an agent because it does not control the inventory before it is transferred to customers, it does not have the ability to direct the product to anyone besides the purchasing customer, and it does not integrate the hardware with any of its own goods or services. Based on this assessment, the performance obligation is to arrange a sale of hardware between the vendor and the customer. In the instance where there is an issue with the hardware, the Company coordinates with the manufacturer to facilitate a return in accordance with the standard manufacturer warranty. Hardware returns are not significant to the Company.

For hardware sales, revenue is recognized net of the cost of product and is recognized when the hardware is either shipped or delivered in accordance with the terms of the contract. For certain projects within Voice and Other, revenue is recognized when the customer communicates acceptance of the services performed. For contracts with freight on board shipping terms, management has elected to account for shipping and handling as activities to fulfill the promise to transfer the good, and, therefore has not evaluated whether shipping and handling activities are promised services to its customers.

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**Contract Balances** 

The Company recognizes incremental fulfillment costs as an asset when installation expenses are incurred as part of performing the agreement for Data, Voice and Video product offerings in which the contract life is longer than one year. These fulfillment costs are amortized ratably over the expected life of the customer, which is representative of the expected period of benefit of the asset capitalized. The expected life of the customer is determined utilizing the average churn rate for each product. The Company calculates average churn based on the historical average customer life. We also recognize an asset for incremental fulfillment costs for certain Voice services that require us to incur installation and provisioning expenses and are amortized over the average contract term. Customer churn rates and average contract term assumptions are reviewed on an annual basis. Fulfillment costs are capitalized to "Other noncurrent assets." The related amortization expense is recorded to "Cost of services and products."

The Company recognizes an asset for the incremental costs of acquiring a contract with a customer if we expect the benefit of those costs to be longer than one year. We have determined that certain sales incentive programs related to Data, Voice and Video services meet the requirements to be capitalized. The contract asset established for the costs of acquiring a contract is recorded to "Other noncurrent assets." Sales incentives are amortized ratably over the period that services are delivered using either an average churn rate or average contract term, both representative of the expected period of benefit of the asset capitalized. Customer churn rates and average contract term assumptions are reviewed on an annual basis. The related amortization expense is recorded to "Selling, general and administrative."

Management has elected to use the practical expedient detailed in ASC 340-40-25-4 to expense any costs to fulfill a contract and costs to obtain a contract as they are incurred when the amortization period would have been one year or less. This practical expedient has been applied to fulfillment costs that include installation costs associated with wiring projects. In addition, this practical expedient has been applied to acquisition costs associated with revenue from certain Voice projects.

The following table presents the activity for the Company's contract assets:

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| | | | |
|:---|:---|:---|:---|
| **<u>(dollars in millions)</u>** | **Fulfillment Costs** | **Costs of Acquisition** | **Total** |
| Balance as of December 31, 2025 | $4.8 | $28.0 | $32.8 |
| Additions | 0.3 | 2.9 | 3.2 |
| Amortization | (0.4) | (2.0) | (2.4) |
| Balance as of March 31, 2026 | $4.7 | $28.9 | $33.6 |

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The Company recognizes a liability for cash received up-front for IRU contracts. At March 31, 2026 and December 31, 2025, $11.3 million and $4.7 million, respectively, of contract liabilities were included in "Other current liabilities." At March 31, 2026 and December 31, 2025, $95.2 million and $97.7 million, respectively, of contract liabilities were included in "Other noncurrent liabilities."

**Disaggregated Revenue**

The following table presents revenues disaggregated by product and service lines:

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| | | |
|:---|:---|:---|
|  | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
| **<u>(dollars in millions)</u>** | **2026** | **2025** |
| Data | $163.5 | $156.3 |
| Video | 40.5 | 38.8 |
| Voice | 48.2 | 55.4 |
| Other | 31.4 | 25.9 |
| Total Revenue | $283.6 | $276.4 |

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**3. Goodwill and Intangible Assets**

**Goodwill**

As of March 31, 2026 and December 31, 2025, the goodwill balance totaled $530.5 million. No impairment losses were recognized in goodwill for the three months ended March 31, 2026 and 2025.

**Intangible Assets**

The Company's intangible assets consisted of the following:

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **March 31, 2026** | **March 31, 2026** | **March 31, 2026** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Gross Carrying** | **Accumulated** | **Net** | **Gross Carrying** | **Accumulated** | **Net** |
| **<u>(dollars in millions)</u>** | **Amount** | **Amortization** | **Amount** | **Amount** | **Amortization** | **Amount** |
| Intangible assets subject to amortization |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Customer relationships | $545.0 | $(273.4) | $271.6 | $545.0 | $(261.2) | $283.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Trade names | 22.4 | (20.9) | 1.5 | 22.4 | (20.9) | 1.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Technology | 1.1 | (0.6) | 0.5 | 1.1 | (0.6) | 0.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total | 568.5 | (294.9) | 273.6 | 568.5 | (282.7) | 285.8 |
| Intangible assets not subject to amortization |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;FCC licenses and spectrum usage rights | 7.6 |  | 7.6 | 7.6 |  | 7.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;Perpetual licenses | 6.8 |  | 6.8 | 6.8 |  | 6.8 |
| Total intangible assets | $582.9 | $(294.9) | $288.0 | $582.9 | $(282.7) | $300.2 |

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The finite-lived intangible assets are amortized over their useful lives based on a number of assumptions, including the estimated period of economic benefit and utilization.

Amortization expense for finite-lived intangible assets was $12.2 million and $13.3 million for the three months ended March 31, 2026 and 2025, respectively. No impairment losses were recognized on intangible assets for the three months ended March 31, 2026 and 2025.

The estimated useful lives for each finite-lived intangible asset class are as follows:

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| | |
|:---|:---|
| Customer relationships | 15 years |
| Trade names | 3 to 10 years |
| Technology | 7 years |

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The annual estimated amortization expense for future years is as follows:

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| | |
|:---|:---|
| **<u>(dollars in millions)</u>** |  |
| Nine months ending December 31, 2026 | $36.7 |
| 2027 | 44.4 |
| 2028 | 39.8 |
| 2029 | 35.2 |
| 2030 | 30.6 |
| Thereafter | 86.9 |
| Total | $273.6 |

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**4. Debt and Other Financing Arrangements**

The Company's debt consists of the following:

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| | | |
|:---|:---|:---|
| **<u>(dollars in millions)</u>** | **March 31, 2026** | **December 31, 2025** |
| Current portion of long-term debt: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Credit Agreement - Term B Loans | $16.3 | $16.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance lease liabilities | 10.6 | 10.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Current portion of long-term debt | 26.9 | 26.6 |
| Long-term debt, less current portion: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Network Receivables Facility | 14.3 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Credit Agreement - Term B Loans | 1578.3 | 1582.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;Various Cincinnati Bell Telephone notes <sup>(1)</sup> | 71.1 | 85.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Digital Access Ohio Advance | 10.3 | 10.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Finance lease liabilities | 30.1 | 32.9 |
|  | 1704.1 | 1711.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net unamortized discount | (4.2) | (4.5) |
| &nbsp;&nbsp;&nbsp;&nbsp;Unamortized note issuance costs | (24.9) | (27.0) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Long-term debt, less current portion | 1675.0 | 1679.9 |
| Total debt | $1701.9 | $1706.5 |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)As of March 31, 2026 and December 31, 2025, the net carrying amount of the Various Cincinnati Bell Telephone notes included an unamortized fair value adjustment recorded on the Company's merger date, September 7, 2021, of $3.2 million and $4.2 million, respectively. The adjustment is amortized over the life of the notes and is recorded as a reduction of interest expense.

**Credit Agreement**

The Company had no outstanding borrowings on the Credit Agreement's revolving credit facility, leaving $400.0 million available for borrowings as of March 31, 2026. The revolving credit facility matures in August 2028, and the Term B-1 Loans, Term B-3 Loans and Term B-5 Loans under the Credit Agreement mature in November 2028.

**Accounts Receivable Securitization Facility**

As of March 31, 2026, the Company had $14.3 million in borrowings and $26.6 million of letters of credit outstanding under the Network Receivables Facility, leaving $19.1 million remaining availability on the total borrowing capacity of $60.0 million. The maximum borrowing limit for loans and letters of credit under the Network Receivables Facility is $60.0 million, in the aggregate. The available borrowing capacity on the facility is calculated monthly based on the quantity and quality of outstanding accounts receivable, and thus may be lower than the maximum borrowing limit.

Under the Network Receivables Facility, certain U.S. subsidiaries, as originators, sell their respective trade receivables on a continuous basis to Cincinnati Bell Funding LLC ("CBF"), wholly-owned consolidated subsidiary of the Company. Although CBF is a wholly-owned consolidated subsidiary of the Company, CBF is legally separate from the Company and each of the Company's other subsidiaries. Upon and after the sale or contribution of the accounts receivable to CBF, such accounts receivable are legally assets of CBF and, as such, are not available to creditors of other subsidiaries or the parent company.

**Cincinnati Bell Telephone Notes ("CBT Notes")**

CBT Notes consist of remaining principal of 6.30% unsecured senior notes due 2028, which are guaranteed on a subordinated basis by the Company but not its subsidiaries. The CBT Notes may be redeemed at any time and are subject to customary events of default.

In the first quarter of 2026, the Company redeemed $13.7 million of the CBT Notes resulting in a nominal gain on extinguishment of debt.

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**5. Leases**

**Lessee Disclosures**

The Company primarily leases real estate for offices, retail stores and central offices, as well as equipment, cell towers, designated space on third party towers and fleet vehicles. Upon adoption of ASC 842, the Company elected not to recognize leases with terms of one-year or less on the balance sheet.

Supplemental balance sheet information related to the Company's leases is as follows:

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| | | | |
|:---|:---|:---|:---|
| **<u>(dollars in millions)</u>** | **Balance Sheet Location** | **March 31, 2026** | **December 31, 2025** |
| Operating lease assets, net of amortization | Operating lease right-of-use assets | $75.2 | $77.3 |
| Finance lease assets, net of amortization | Property, plant and equipment, net | 22.5 | 23.3 |
| Operating lease liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Current operating lease liabilities | Other current liabilities | 6.6 | 6.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;Noncurrent operating lease liabilities | Operating lease liabilities | 76.2 | 77.9 |
| Total operating lease liabilities |  | 82.8 | 84.8 |
| Finance lease liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Current finance lease liabilities | Current portion of long-term debt | 10.6 | 10.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Noncurrent finance lease liabilities | Long-term debt, less current portion | 30.1 | 32.9 |
| Total finance lease liabilities |  | $40.7 | $43.2 |

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.

Supplemental cash flow information related to leases is as follows:

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| | | |
|:---|:---|:---|
|  | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
| **<u>(dollars in millions)</u>** | **2026** | **2025** |
| **Supplemental Cash Flows Information** |  |  |
| Cash paid for amounts included in the measurement of lease liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating cash flows from finance leases | $0.8 | $0.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating cash flows from operating leases | $1.8 | $1.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;Financing cash flows from finance leases | $2.6 | $3.7 |
| Right-of-use assets obtained in exchange for lease obligations: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;New operating leases\* | $(0.3) | $0.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;New finance leases | $— | $3.9 |

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\*Includes lease modification and termination events that result in net increases or net decreases to the ROU asset.

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**6. Financial Instruments and Fair Value Measurements**

**Fair Value Measurements**

The Company defines fair value as the price that would be received to sell an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date. To increase consistency and comparability in fair value measurements, the Company uses a three-level hierarchy that prioritizes the use of observable inputs. The three levels are:

Level 1 — Quoted market prices for identical instruments in an active market;

Level 2 — Quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (i.e., interest rates, yield curves, etc.), and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs); and

Level 3 — Unobservable inputs that reflect management's determination of assumptions that market participants would use in pricing the asset or liability. These inputs are developed based on the best information available, including our own data.

The determination of where an asset or liability falls in the hierarchy requires significant judgment.

**Cash Flow Hedging**

*Cash Flow Hedges Not Designated as Hedging Instruments*

The Company uses non-designated cash flow hedges including interest rate swap agreements and interest rate cap agreements to minimize its exposure to interest rate fluctuations on variable rate debt borrowings. Interest rate swaps involve the exchange of fixed and variable rate interest payments and do not represent an actual exchange of the underlying notional amounts between parties. Interest rate caps provide that the counterparty will pay the purchaser at the end of each contractual period in which the index interest rate exceeds the contractually agreed upon cap rate.

In the fourth quarter of 2025, the Company entered into four forward starting non-amortizing interest rate swaps to convert variable rate debt to fixed rate debt. The interest rate swaps have notional amounts of $75.0 million, $25.0 million, $150.0 million and $50.0 million resulting in interest payments based on an average fixed rate per swap of 3.2178%, 3.2340%, 3.2115% and 3.2200%, respectively, plus the applicable margin per the requirements in the Credit Agreement. The interest rate swaps will commence in June 2026 and expire in July 2028.

In the third quarter of 2025, the Company entered into four forward starting non-amortizing interest rate swaps to convert variable rate debt to fixed rate debt. The interest rate swaps have notional amounts of $225.0 million, $150.0 million, $125.0 million and $100.0 million resulting in interest payments based on an average fixed rate per swap of 3.1475%, 3.1530%, 3.1570% and 3.1615%, respectively, plus the applicable margin per the requirements in the Credit Agreement. The interest rate swaps will commence in June 2026 and expire in July 2028.

In the first quarter of 2023, the Company entered into three forward starting non-amortizing interest rate swaps to convert variable rate debt to fixed rate debt. The interest rate swaps have notional amounts of $150.0 million, $150.0 million and $100.0 million resulting in interest payments based on an average fixed rate per swap of 3.6875%, 3.6500% and 3.5095%, respectively, plus the applicable margin per the requirements in the Credit Agreement. The interest rate swaps expire in March 2027.

In the second quarter of 2022, the Company entered into three forward starting non-amortizing interest rate swaps to convert variable rate debt to fixed rate debt. The interest rate swaps have notional amounts of $175.0 million, $115.0 million and $85.0 million resulting in interest payments based on an average fixed rate per swap of 2.9185%, 2.8520% and 2.8605%, respectively, plus the applicable margin per the requirements in the Credit Agreement. The interest rate swaps expire in May 2026.

In the second quarter of 2022, the Company entered into two interest rate cap agreements to limit exposure to interest rate risk on variable rate debt. The interest rate caps each have a cap rate of 3.0% with notional amounts of $200.0 million and $175.0 million and deferred premiums of $6.7 million and $5.3 million, respectively. The deferred premiums will be paid on a monthly basis over the term of the respective interest rate cap. The interest rate caps expire in May 2026.

The fair value of the Company's interest rate swaps and interest rate caps are impacted by the credit risk of both the Company and its counterparties. The Company has agreements with its derivative financial instrument counterparties that contain provisions providing that if the Company defaults on the indebtedness associated with its derivative financial instruments, then the Company could also be declared in default on its derivative financial instruments obligations. In addition, the Company minimizes nonperformance risk on its derivative instruments by evaluating the creditworthiness of its counterparties, which are limited to major banks and financial institutions.

------

The Company does not apply hedge accounting to the interest rate swaps and interest rate caps and records all mark-to-market adjustments directly to "Other income, net" in the Condensed Consolidated Statements of Operations. The fair values of the interest rate swaps and interest rate caps are categorized as Level 2 in the fair value hierarchy as they are based on well-recognized financial principles and available market data.

As of March 31, 2026, the fair values of the interest rate swaps and interest rate caps are recorded in the Condensed Consolidated Balance Sheets as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **<u>(dollars in millions)</u>** | **Balance Sheet Location** | **March 31, 2026** | **Quoted Prices in<br>active markets<br>Level 1** | **Significant<br>observable inputs<br>Level 2** | **Significant<br>unobservable inputs <br>Level 3** |
| Assets: |  |  |  |  |  |
| Interest Rate Swap | Other current assets | $3.0 | $— | $3.0 | $— |
| Interest Rate Swap | Other noncurrent assets | $4.4 | $— | $4.4 | $— |
| Liabilities: |  |  |  |  |  |
| Interest Rate Swap | Other current liabilities | $0.1 | $— | $0.1 | $— |
| Interest Rate Swap | Other noncurrent liabilities | $0.4 | $— | $0.4 | $— |
| Interest Rate Cap | Other current liabilities | $0.1 | $— | $0.1 | $— |

---

As of December 31, 2025, the fair values of the interest rate swaps and interest rate caps are recorded in the Condensed Consolidated Balance Sheets as follows:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **<u>(dollars in millions)</u>** | **Balance Sheet Location** | **December 31, 2025** | **Quoted Prices in<br>active markets<br>Level 1** | **Significant<br>observable inputs<br>Level 2** | **Significant<br>unobservable inputs <br>Level 3** |
| Assets: |  |  |  |  |  |
| Interest Rate Swap | Other current assets | $1.4 | $— | $1.4 | $— |
| Interest Rate Swap | Other noncurrent assets | $0.5 | $— | $0.5 | $— |
| Liabilities: |  |  |  |  |  |
| Interest Rate Swap | Other current liabilities | $1.0 | $— | $1.0 | $— |
| Interest Rate Swap | Other noncurrent liabilities | $0.5 | $— | $0.5 | $— |
| Interest Rate Cap | Other current liabilities | $0.3 | $— | $0.3 | $— |

---

The following table summarizes the location of losses (gains) in the Condensed Consolidated Statements of Operations that were recognized during the three months ended March 31, 2026 and 2025, in addition to the derivative contract type:

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Three Months Ended <br>March 31,** | **Three Months Ended <br>March 31,** |
| **<u>(dollars in millions)</u>** | **Statement of Operations Location** | **2026** | **2025** |
| Interest Rate Swap | Other income, net | $(7.3) | $2.6 |
| Interest Rate Cap | Other income, net | $(0.1) | $0.6 |

---

**Disclosure on Financial Instruments**

The carrying values of the Company's financial instruments approximate the estimated fair values as of March 31, 2026 and December 31, 2025, except for the Company's long-term debt and other financing arrangements. The carrying and fair values of these items are as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **March 31, 2026** | **March 31, 2026** | **December 31, 2025** | **December 31, 2025** |
| **<u>(dollars in millions)</u>** | **Carrying Value** | **Fair Value** | **Carrying Value** | **Fair Value** |
| Long-term debt, including current portion\* | $1686.1 | $1685.7 | $1690.3 | $1692.4 |
| Other financing arrangements | 37.0 | 34.2 | 37.8 | 37.7 |

---

\*Excludes finance leases, other financing arrangements and note issuance costs

The fair value of our long-term debt was based on closing or estimated market prices of the Company's debt at March 31, 2026 and December 31, 2025, which is considered Level 2 of the fair value hierarchy. The fair value of the other financing arrangements was calculated using a discounted cash flow model that incorporates current borrowing rates for obligations of similar duration, which is considered Level 3 of the fair value hierarchy. As of March 31, 2026, the current borrowing rate was estimated by applying the Company's credit spread to the risk-free rate for a similar duration borrowing.

------

**7. Pension and Postretirement Plans**

As of March 31, 2026, the Company sponsors two noncontributory defined benefit plans: one for eligible employees in Cincinnati and Hawaii, and one supplemental, nonqualified, unfunded plan for certain former senior executives. The Company also sponsors a postretirement health and life insurance plan in Cincinnati, and two postretirement health and life insurance plans for Hawaiian Telcom employees.

Lump sum payments of $8.7 million, resulting in a reduction of the benefit obligation of $8.7 million, were made in the first quarter of 2025. The Company recorded a pension settlement gain of $1.0 million in the first quarter of 2025 as a result of the lump sum payments to the plan participants exceeding the sum of the service cost and the interest cost components of the net pension cost.

In the first quarter of 2025, as a result of the sale of the Disposal Group and restructuring activities carried out by the Company in the fourth quarter of 2024 (described in Note 1), certain participants of the Cincinnati postretirement benefit plan for management employees are no longer eligible for retiree life insurance benefits as the service component was not satisfied as of their termination date. As a result of the participant changes, curtailment accounting was triggered in the first quarter of 2025 and a gain of $0.2 million was recorded.

In accordance with ASC 715, only the service cost component of net benefit cost is eligible for capitalization, which was immaterial for the three months ended March 31, 2026 and 2025.

Pension and postretirement (benefits) costs are as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
|  | **2026** | **2025** | **2026** | **2025** |
| **<u>(dollars in millions)</u>** | **Pension Benefits** | **Pension Benefits** | **Postretirement and Other Benefits** | **Postretirement and Other Benefits** |
| Service cost | $— | $— | $— | $0.1 |
| Other components of pension and postretirement benefit plans expense: |  |  |  |  |
| &nbsp;&nbsp;Interest cost on projected benefit obligation | 3.2 | 3.9 | 1.2 | 1.3 |
| &nbsp;&nbsp;Expected return on plan assets | (3.0) | (4.0) |  |  |
| &nbsp;&nbsp;Amortization of: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Prior service benefit |  |  | (0.2) | (0.2) |
| &nbsp;&nbsp;&nbsp;&nbsp;Actuarial gain | (0.1) | (0.1) | (1.2) | (1.1) |
| Pension settlement gain |  | (1.0) |  |  |
| Postretirement curtailment gain |  |  |  | (0.2) |
| Pension / postretirement (benefit) cost | $0.1 | $(1.2) | $(0.2) | $(0.1) |

---

Amortization of prior service benefit and actuarial gain in the three months ended March 31, 2026 and 2025 represent reclassifications from accumulated other comprehensive income.

For the three months ended March 31, 2026, contributions to the qualified pension plans were $0.5 million, and contributions to the non-qualified pension plans were $0.4 million. For the three months ended March 31, 2025, contributions to the qualified pension plans were $0.4 million, and contributions to the non-qualified pension plans were $0.8 million. Based on current assumptions, contributions are expected to be approximately $2 million to the qualified pension plans and $1 million to the non-qualified pension plans in 2026.

For the three months ended March 31, 2026 and 2025, contributions to our postretirement plans were $1.2 million and $1.4 million, respectively. Management expects to make total cash payments of approximately $7 million related to its postretirement health plans in 2026.

------

**8. Equity**

**Accumulated Other Comprehensive Income (Loss)**

The changes in accumulated other comprehensive income (loss) by component, which were comprised entirely of changes in unrecognized net periodic pension and postretirement benefit (cost), were as follows:

---

| | |
|:---|:---|
| **<u>(dollars in millions)</u>** | **Unrecognized<br>Net Periodic<br>Pension and<br>Postretirement<br>Benefit (Cost)** |
| Balance as of December 31, 2025 | $36.8 |
| Reclassifications, net (a) | (1.2) |
| Balance as of March 31, 2026 | $35.6 |
| Balance as of December 31, 2024 | $35.0 |
| Remeasurement of benefit obligations | 1.2 |
| Reclassifications, net (a) | (1.8) |
| Balance as of March 31, 2025 | $34.4 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)These reclassifications are included in the other components of net periodic pension and postretirement benefit plans expense and represent amortization of prior service benefit and actuarial gain, net of tax and settlement gains, net of tax. The other components of net periodic pension and postretirement benefit plans expense are recorded in "Other components of pension and postretirement benefit plans benefit" on the Condensed Consolidated Statements of Operations. See Note 7 for further disclosures.

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**9. Restructuring and Severance**

Liabilities have been established for employee separations. A summary of activity in the restructuring liability is shown below:

---

| | |
|:---|:---|
| **<u>(dollars in millions)</u>** | **Employee Separation** |
| Balance as of December 31, 2025 | $0.8 |
| Charges | 18.2 |
| Payments | (4.7) |
| Balance as of March 31, 2026 | $14.3 |

---

In the fourth quarter of 2024, the Company executed a restructuring plan consisting of an organizational restructuring to centralize the Company's management, align resources with strategic product lines and reduce costs associated with certain functions (the "Organizational Restructuring"). The Organizational Restructuring has resulted in the elimination of positions and termination of employment for certain employees in the Network segment. During the first quarter of 2026, the Company recorded severance charges of $18.2 million related to the continuation of the Organizational Restructuring, including the 2026 Voluntary Separation Program ("2026 VSP") and the Involuntary Separation Program ("ISP"). Individuals participating in the 2026 VSP are eligible for enhanced benefits and have established exit dates no later than December 31, 2026. These charges were recorded in the first quarter of 2026 at the time management resolved to eliminate the positions and are expected to be fully paid in 2026.

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**10. Business Segment Information**

The Company's operations are managed and reported to its Chief Executive Officer ("CEO"), the Company's chief operating decision maker ("CODM"). The CODM evaluates the performance of two regions, Midwest, which services customers through our altafiber brand, and Hawaii, which services customers through our Hawaiian Telcom brand, and allocates resources based on geography. These operating segments are aggregated into one reportable segment, Network, due to similarities in the nature and economics of the regions, suppliers utilized, operating processes, and long-term financial performance. The accounting policies for the Network segment are consistent with those described in the Description of Business and Accounting Policies.

The CODM uses Operating Income to evaluate income or loss generated from each region and to guide decisions on capital investments. These decisions may include capital expenditures and/or acquisitions. See Note 2 for a description of the Company's disaggregated revenues by product line. Significant segment expenses are presented in the Company's consolidated statements of operations. Additional disaggregated significant segment expenses that are reviewed by the CODM, that are not separately presented on the Company's consolidated statements of operations, are presented below. Segment asset information is not used by the CODM to allocate resources.

Certain corporate administrative expenses have been allocated to the Network segment based upon the nature of the expense.

Our business segment information is as follows:

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
| **<u>(dollars in millions)</u>** | **2026** | **2025** |
| **Revenue** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Network | $283.6 | $276.4 |
| Total revenue | $283.6 | $276.4 |
| **Operating income (loss)** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Network | $16.4 | $16.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;Corporate | (14.8) | (5.6) |
| Total operating income (loss) | $1.6 | $10.7 |
| **Expenditures for long-lived assets** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Network | $120.0 | $140.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;Corporate | 0.3 | 2.8 |
| Total expenditures for long-lived assets | $120.3 | $143.2 |
| **Depreciation and amortization** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Network | $84.3 | $84.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;Corporate | 1.1 |  |
| Total depreciation and amortization | $85.4 | $84.6 |

---

The following table provides information about the Network segment significant expenses that are reviewed by the CODM, that are not separately presented on the Company's consolidated statements of operations:

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
| **<u>(dollars in millions)</u>** | **2026** | **2025** |
| **Network Revenue** | $283.6 | $276.4 |
| Less: Significant and other segment expenses |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Employee and related costs | 43.4 | 45.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;Programming expense | 34.1 | 34.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Network expense | 5.8 | 7.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Contract services | 20.9 | 22.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other expenses | 60.5 | 62.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization expense | 84.3 | 84.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and severance related charges | 18.2 | 3.7 |
| **Network operating costs and expenses** | 267.2 | 260.1 |
| **Network operating income** | $16.4 | $16.3 |

---

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**Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations**

**Cautionary Statement Concerning Forward-Looking Statements**

This Quarterly Report on Form 10-Q and the documents incorporated by reference herein contain forward-looking statements regarding future events and results that are subject to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, are statements that could be deemed forward-looking statements. These statements are based on current expectations, estimates, forecasts, and projections about the industries in which we operate and the beliefs and assumptions of our management. Words such as "expects," "anticipates," "predicts," "projects," "intends," "plans," "believes," "seeks," "estimates," "continues," "endeavors," "strives," "may," "will," "proposes," "potential," "could," "should," "outlook" or variations of such words and similar expressions are intended to identify such forward-looking statements. In addition, any statements that refer to projections of future financial performance, anticipated growth and trends in businesses, and other characterizations of future events or circumstances are forward-looking statements. Readers are cautioned these forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties, which could cause actual results to differ materially and adversely from those reflected in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in this Quarterly Report on Form 10-Q and, in particular, the risks discussed under the caption "Risk Factors" in Part II, Item 1A, and those discussed in other documents the Company filed with the Securities and Exchange Commission ("SEC"). Actual results may differ materially and adversely from those expressed in any forward-looking statements. The Company undertakes no obligation to revise or update any forward-looking statements for any reason.

**Introduction**

This Management's Discussion and Analysis section provides an overview of Cincinnati Bell Inc.'s financial condition as of March 31, 2026 and the results of operations for the three months ended March 31, 2026 and 2025. This discussion should be read in conjunction with the accompanying Condensed Consolidated Financial Statements and accompanying notes as well as the Company's Annual Report on Form 10-K for the year ended December 31, 2025. Results for interim periods may not be indicative of results for the full year or any other interim period.

**Business Overview**

Cincinnati Bell Inc. and its consolidated subsidiaries ("Cincinnati Bell," "we," "our," "us" or the "Company") provide integrated communications that keep consumer and enterprise customers connected with each other and with the world. We provide Data, Video, and Voice solutions to consumer and enterprise customers over an expanding fiber network and a legacy copper network. The Company serves customers in two distinct regions. These regions are defined by the Company as 1) Midwest, which consists of Cincinnati, Ohio, a radius of approximately 25 miles around Cincinnati, Ohio, including parts of northern Kentucky and southeastern Indiana ("Greater Cincinnati"), and communities around Dayton and Columbus, Ohio that is served through our altafiber brand and 2) Hawaii, which consists of the island of Oahu and the neighboring islands that is served through our Hawaiian Telcom brand. The Company operates its businesses through one reportable business segment.

During 2025, the U.S. announced a variety of trade-related actions, including the imposition of tariffs on imports from several countries. In response, many countries announced their own retaliatory tariffs. These associated tariffs are complex and continue to evolve as negotiations occur. We continue to evaluate the impact of global tariffs and trade restrictions on our business and operations. In February 2026, a Supreme Court ruling invalidated certain tariffs previously imposed. As the global economic environment, trade and tariff negotiations continue to evolve, the Company will continue to evaluate the exposure and work to mitigate these costs.

We are monitoring recent developments related to the conflict in the Middle East and the potential impact on our operations, including increased prices and lower availability of fuel, which can result in adverse effects on our operations, primarily in Hawaii. As a result, the impacts to our business may include higher cost of capital, increased expenses and lower profitability. The conflict did not have a material impact on our operations in the three months ended March 31, 2026.

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**<u>Discussion of Results of Operations</u>**

The Company provides products and services in which revenue is categorized as Strategic, Legacy, or Other. Cincinnati Bell Telephone Company LLC ("CBT"), a subsidiary of the Company, is the incumbent local exchange carrier ("ILEC") for a geography that covers a radius of approximately 25 miles around Cincinnati, Ohio, and includes parts of northern Kentucky and southeastern Indiana. CBT has operated in this territory for over 150 years. In 2022, the Company announced that we will begin doing business as "altafiber" and started our network expansion outside of this territory to provide fiber services to adjacent markets. Voice and data services that are delivered beyond the Company's ILEC territory, particularly in Dayton, Mason, and Columbus, Ohio, are provided through the operations of Cincinnati Bell Extended Territories LLC ("CBET"), a subsidiary of CBT. On July 2, 2018, the Company acquired Hawaiian Telcom. Hawaiian Telcom is the ILEC for the State of Hawaii and the largest full-service provider of communications services and products in the state. Originally incorporated in Hawaii in 1883 as Mutual Telephone Company, Hawaiian Telcom has a strong heritage of over 140 years as Hawaii's communications carrier. Its services are offered on all of Hawaii's major islands, with recent expansion of its video service from Oahu to the other major islands. On May 2, 2022, the Company acquired Agile IWG Holdings, LLC ("Agile"), based in Canton, Ohio. Agile leases wireless infrastructure assets to third parties and provides connectivity through hybrid fiber wireless data networks primarily to customers in Ohio and Pennsylvania.

Strategic revenue includes internet access for speeds that meet or exceed 100 megabits per second and Enterprise Fiber, each categorized below as Data, as well as Video. Enterprise Fiber products include metro-ethernet, dedicated internet access, wavelength, IRU contracts, connectivity services provided by Agile, and wireless backhaul to macro-towers and small cells. Hawaiian Telcom Enterprise Fiber revenue also includes revenue from the SEA-US cable system. As enterprise customers migrate from legacy products and copper-based technology, our metro-ethernet product becomes the preferred method of transport due to its ability to support multiple applications on a single physical connection.

Legacy revenue include internet access for speeds of less than 100 megabits per second, traditional voice lines, consumer and business long distance, switched access, digital trunking, DSL, DS0, DS1, DS3, and other value-added services such as caller identification, voicemail, call waiting and call return. Legacy products also include certain communications services including data and VoIP services, tailored solutions that include converged IP communications of data, voice and mobility applications, MPLS (Multi-Protocol Label Switching) and conferencing services.

Other revenue is comprised of wire care, time and materials projects, advertising, management of distributed antenna systems, certain pass-through fees such as franchise fees and regulatory fees, other fees that are not billed on a monthly recurring basis, and subsidized fiber build project revenue related to extending the Company's fiber network in the Midwest territory subsidized through our UniCity program and in Hawaii subsidized through a customer contract. Other revenue also includes revenue contributed by Hawaiian Telcom for the sale of hardware and maintenance contracts as well as installation projects and cloud services which include storage, SLA-based monitoring and management, cloud computing and cloud consulting.

------

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
| **<u>(dollars in millions)</u>** | **2026** | **2025** | **Change** | **% Change** |
| Revenue: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Data | $163.5 | $156.3 | $7.2 | 5% |
| &nbsp;&nbsp;&nbsp;&nbsp;Video | 40.5 | 38.8 | 1.7 | 4% |
| &nbsp;&nbsp;&nbsp;&nbsp;Voice | 48.2 | 55.4 | (7.2) | (13)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 31.4 | 25.9 | 5.5 | 21% |
| &nbsp;&nbsp;&nbsp;&nbsp;Total Revenue | 283.6 | 276.4 | 7.2 | 3% |
| Operating costs and expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Cost of services and products | 112.9 | 122.1 | (9.2) | (8)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling, general and administrative | 51.8 | 49.7 | 2.1 | 4% |
| &nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 84.3 | 84.6 | (0.3) | 0% |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and severance related charges | 18.2 | 3.7 | 14.5 | n/m |
| &nbsp;&nbsp;&nbsp;&nbsp;Total operating costs and expenses | 267.2 | 260.1 | 7.1 | 3% |
| Operating income+ | $16.4 | $16.3 | $0.1 | 1% |
| Operating margin | 5.8% | 5.9% |  | (0.1 pts) |
| Capital expenditures+ | $120.0 | $140.4 | $(20.4) | (15)% |

---

+ Excludes certain Corporate expenditures that have not been allocated to the business segment

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **March 31,** | **March 31,** | **March 31,** | **March 31,** |
| **<u>Metrics information (in thousands):</u>** | **2026** | **2025** | **Change** | **% Change** |
| ***Midwest*** |  |  |  |  |
| **Strategic** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Internet subscribers\* | 394.6 | 373.1 | 21.5 | 6% |
| &nbsp;&nbsp;&nbsp;&nbsp;Video subscribers | 100.6 | 109.6 | (9.0) | (8)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Enterprise Fiber - Ethernet Bandwidth | 17975 | 16450 | 1525 | 9% |
| &nbsp;&nbsp;&nbsp;&nbsp;FTTP Addresses\*\* | 991.7 | 912.9 | 78.8 | 9% |
| **Legacy** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Internet subscribers\*\*\* | 9.3 | 15.3 | (6.0) | (39)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Voice Lines | 163.6 | 190.2 | (26.6) | (14)% |

---

\* Subscribers with internet speeds of 100mbps or more

\*\* Fiber-to-the-Premise

\*\*\* Subscribers with internet speeds of less than 100mbps

------

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **March 31,** | **March 31,** | **March 31,** | **March 31,** |
| **<u>Metrics information (in thousands):</u>** | **2026** | **2025** | **Change** | **% Change** |
| ***Hawaii*** |  |  |  |  |
| **Strategic** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Internet subscribers\* | 134.1 | 111.1 | 23.0 | 21% |
| &nbsp;&nbsp;&nbsp;&nbsp;Video subscribers | 39.1 | 34.8 | 4.3 | 12% |
| &nbsp;&nbsp;&nbsp;&nbsp;Enterprise Fiber - Ethernet Bandwidth | 10408 | 8474 | 1934 | 23% |
| &nbsp;&nbsp;&nbsp;&nbsp;FTTP Addresses\*\* | 482.0 | 418.4 | 63.6 | 15% |
| **Legacy** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Internet subscribers\*\*\* | 14.7 | 22.6 | (7.9) | (35)% |
| &nbsp;&nbsp;&nbsp;&nbsp;Voice Lines | 137.2 | 149.4 | (12.2) | (8)% |

---

\* Subscribers with internet speeds of 100mbps or more

\*\* Fiber-to-the-Premise

\*\*\* Subscribers with internet speeds of less than 100mbps

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** | **Three Months Ended March 31,** |
|  | **2026** | **2026** | **2026** | **2025** | **2025** | **2025** |
| **<u>(dollars in millions)</u>** | **Midwest** | **Hawaii** | **Total** | **Midwest** | **Hawaii** | **Total** |
| ***Revenue*** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Strategic |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Internet | $86.1 | $23.8 | $109.9 | $79.3 | $19.0 | $98.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Enterprise Fiber | 23.7 | 15.4 | 39.1 | 24.7 | 14.7 | 39.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Video | 33.1 | 7.4 | 40.5 | 31.6 | 7.2 | 38.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total Strategic | 142.9 | 46.6 | 189.5 | 135.6 | 40.9 | 176.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;Legacy |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Voice | 27.6 | 20.6 | 48.2 | 33.1 | 22.3 | 55.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Internet | 2.1 | 2.3 | 4.4 | 3.7 | 3.2 | 6.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Data | 6.3 | 3.8 | 10.1 | 7.2 | 4.5 | 11.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total Legacy | 36.0 | 26.7 | 62.7 | 44.0 | 30.0 | 74.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;Other | 15.7 | 15.7 | 31.4 | 11.3 | 14.6 | 25.9 |
| Total Network Revenue | $194.6 | $89.0 | $283.6 | $190.9 | $85.5 | $276.4 |

---

------

*<u>Total Network Revenue</u>*

Revenue totaling $283.6 million for the three months ended March 31, 2026 increased $7.2 million compared to the same period in 2025 as increased Strategic revenue primarily due to the increase in the Strategic Internet subscriber base more than offset the decrease in Legacy revenue.

*<u>Strategic</u>*

Strategic revenue for the three months ended March 31, 2026 increased $13.0 million compared to the same period in 2025 primarily due to the increase in the subscriber base for internet. The internet subscriber base continues to increase as we focus attention on growing the strategic internet subscriber base, adding 4,800 strategic internet subscribers in the Midwest and 6,100 strategic internet subscribers in Hawaii in the three months ended March 31, 2026. In the Midwest, we passed 16,600 addresses in the three months ended March 31, 2026 primarily related to multi-dwelling units and single family homes in the areas surrounding Dayton, Ohio and Columbus, Ohio. In Hawaii our accelerated fiber build pace enabled us to pass 14,700 addresses during the period. The Average Revenue Per User ("ARPU") for the three months ended March 31, 2026 increased for internet in both the Midwest and Hawaii compared to the same period in 2025 primarily due to price increases and more customers subscribing to higher broadband tiers.

Enterprise Fiber revenue for the three months ended March 31, 2026 decreased $0.3 million compared to the same period in 2025 due to decreased revenue in the Midwest of $1.0 million, primarily associated with nonrecurring projects that were completed in the prior year. In addition, revenue was favorably impacted in each geography as a result of customers migrating from legacy product offerings to higher bandwidth fiber solutions as evidenced by the 9% and 23% increases in Ethernet Bandwidth in the Midwest and Hawaii, respectively.

*<u>Legacy</u>*

Legacy revenue decreased $11.3 million for the three months ended March 31, 2026 compared to the same period in 2025 due to the decline in voice lines and internet subscribers. Voice lines declined 14% and 8% in the Midwest and Hawaii, respectively, as traditional voice lines become less relevant. Legacy internet subscribers continue to decrease in the Midwest and Hawaii as subscribers demand the higher speeds that can be provided by fiber. In addition, declines in DS1, DS3 and digital trunking have contributed to the Legacy revenue decline for the three months ended March 31, 2026 compared to the same period in 2025 as customers migrate away from these solutions to fiber-based solutions.

*<u>Other</u>*

Other revenue increased $5.5 million for the three months ended March 31, 2026 compared to the same period in 2025 year primarily due to professional services and hardware revenue from the completion of nonrecurring projects in the Midwest for the construction and implementation of large Wi-Fi networks.

**Operating Costs and Expenses**

Cost of services and products decreased $9.2 million for the three months ended March 31, 2026 compared to the same period in 2025 primarily due to decreased payroll expense of $1.2 million due to reduced headcount, decreased video content costs of $0.7 million due to fewer subscribers and decreased network related expenses of $1.7 million related to the decommissioning of certain copper assets as customers continue to migrate from copper-based services to fiber-based services.

SG&A expenses increased $2.1 million for the three months ended March 31, 2026 compared to the same period in 2025 primarily due to increased advertising expenses of $2.4 million.

Depreciation and amortization expense decreased $0.3 million for the three months ended March 31, 2026 compared to the same period in 2025 primarily due to decreased amortization related to customer relationships that utilize an accelerated amortization convention. Decreased amortization expense was partially offset by increased depreciation expense from the continued capital investment to expand and upgrade the Company's fiber network and related capacity.

Restructuring and severance charges of $18.2 million were recorded in the first quarter of 2026 related to a continuation of a voluntary severance program offered to certain bargained employees in the first quarter of 2026 in addition to further headcount reductions from Involuntary Severance Program actions.

------

**Capital Expenditures**

Capital expenditures are incurred to expand our fiber network, upgrade and increase capacity for our networks, and to maintain our fiber and copper networks. The Company is focused on building FTTP addresses, and during the three months ended March 31, 2026 we passed 16,600 FTTP addresses in the Midwest.

Midwest capital expenditures decreased $26.1 million for the three months ended March 31, 2026 compared to the same period in 2025 primarily due to network upgrades that were completed in the prior year and decreased fleet vehicle purchases.

Hawaii capital expenditures increased $5.7 million for the three months ended March 31, 2026 compared to the same period in 2025 due to increased network construction expenditures, partially offset by decreased real estate purchases. In Hawaii, we passed 14,700 FTTP addresses during the three months ended March 31, 2026.

**Corporate**

Corporate is comprised primarily of general and administrative costs that have not been allocated to the Network business segment and transaction and integration costs. Corporate costs totaled $14.8 million and $5.6 million in three months ended March 31, 2026 and 2025, respectively. Corporate costs increased $9.2 million for the three months ended March 31, 2026 compared to the same period in 2025 primarily due to $1.7 million of increased payroll related expenses and $2.5 million of additional costs related to the Company's Transformation Project that are no longer deferred. Additionally, the Company incurred $2.5 million of consulting fees related to a nonrecurring project that the Company launched in the fourth quarter of 2025. Increased amortization expense of $0.5 million and depreciation expense of $1.1 million was also recorded in the quarter due to software assets related to the Company's Transformation Project placed in service in the third quarter of 2025 and the first quarter of 2026.

Interest expense decreased $5.3 million for the three months ended March 31, 2026 compared to the same period in 2025 primarily due to lower interest rates on the Company's Term Loans.

Other components of pension and postretirement benefit plans benefit decreased for the three months ended March 31, 2026 compared to the same period in 2025 primarily due to a settlement gain of $1.0 million recorded in the first quarter of 2025 related to lump sum payments funded by the Hawaii defined benefit plan for union employees.

Other income, net totaled $14.2 million for the three months ended March 31, 2026 primarily due to a patronage distribution of $6.4 million from one of the syndicated lenders of the Term B-1 Loans and Term B-3 Loans in the Company's Credit Agreement, in addition to a net gain associated with the Company's interest rate swap agreements and interest rate cap agreements of $7.4 million.

Other income, net totaled $7.1 million for the three months ended March 31, 2025 primarily due to interest income of $3.8 million and a patronage distribution of $6.7 million from one of the syndicated lenders of the Term B-1 Loans and Term B-3 Loans in the Company's Credit Agreement. Income was partially offset by a net loss associated with the Company's interest rate swap agreements and interest rate cap agreements of $3.3 million.

Loss from continuing operations before income taxes totaled $11.9 million for the three months ended March 31, 2026, resulting in a decrease of $2.0 million compared to the same period in 2025 as a result of the previously discussed trends.

The income tax provision for the three months ended March 31, 2026 for continuing operations was a benefit of $2.6 million on a reported loss before income tax of $11.9 million. The tax benefit reported is higher than the $2.5 million benefit expected at statutory rates, due primarily to adjustments to valuation allowances on net operating loss deferred tax assets.

In the three months ended March 31, 2025, a tax expense was reported in continuing operations, despite a loss before income tax, due most notably to additional valuation allowances recorded in that comparable period.

------

**<u>Financial Condition, Liquidity, and Capital Resources</u>**

As of March 31, 2026, the Company had an accumulated deficit of $598.9 million and $1,701.9 million of outstanding indebtedness.

The Company's primary source of cash is generated by operations. The Company generated $93.3 million and $14.4 million of cash flows from operations during the three months ended March 31, 2026 and 2025, respectively. As of March 31, 2026, the Company had $428.1 million of short-term liquidity, comprised of $9.0 million of cash and cash equivalents, $400.0 million of undrawn capacity on our Revolving Credit Facility due 2028 and $19.1 million available under the Network Receivables Facility.

As of March 31, 2026, the Company had $14.3 million in borrowings and $26.6 million of letters of credit outstanding under the Network Receivables Facility, leaving $19.1 million remaining availability on the total borrowing capacity of $60.0 million. Capacity on the Network Receivables Facility is calculated and will continue to be calculated based on the quantity and quality of outstanding accounts receivables.

In March 2025, the Company executed an amendment to the Network Receivables Facility that increased the maximum borrowing limit for loans and letters of credit to $60.0 million, extended the termination date to March 2028 and extended the renewal date to March 2027.

One of the syndicated lenders of the Term B-1 Loans and Term B-3 Loans in the Credit Agreement is a cooperative bank owned by its customers. Annually, this bank distributes patronage in the form of cash and stock in the cooperative based on the Company's average outstanding loan balance. The Company will recognize the patronage, generally as declared, in "Other income, net." The stock component will be recognized at its stated cost basis. The Company received $6.4 million and $6.7 million in patronage dividends in the three months ended March 31, 2026 and 2025, respectively.

The Company's primary uses of cash are for working capital requirements, capital expenditures and debt service and, to a lesser extent, to fund pension and retiree medical obligations. The Company believes that cash on hand, operating cash flows, its Revolving Credit Facility due 2028, its Network Receivables Facility, and the expectation that the Company will continue to have access to capital markets to refinance debt and other obligations as they mature and come due, should allow the Company to meet its cash requirements for the foreseeable future.

As of March 31, 2026, the Company was in compliance with the Credit Agreement covenants and ratios.

------

**Cash Flows**

Cash provided by operating activities during the three months ended March 31, 2026 totaled $93.3 million, an increase of $78.9 million compared to the same period in the prior year. The increase is primarily due to restructuring payments of $4.7 million in the first quarter of 2026, a decrease of $35.5 million compared to payments of $40.2 million in the same period in the prior year. In addition, decreased working capital outflows and lower interest payments of $4.9 million, primarily due to lower interest rates in the first quarter of 2026, contributed to higher operating cash flow.

Cash used in investing activities during the three months ended March 31, 2026 totaled $118.8 million, a decrease of $24.4 million compared to the same period in the prior year. Network capital expenditures decreased $20.4 million primarily due to network upgrades performed in the Midwest in the first quarter of 2025 and lower vehicle purchases. Additionally, Corporate capital expenditures decreased $2.5 million compared to the same period in the prior year due to reduced spend related to the Company's Transformation Project.

Cash used in financing activities during the three months ended March 31, 2026 totaled $6.5 million primarily due to repayments of $13.7 million of outstanding principal amounts of the Company's CBT Notes and required payments on the Company's Term Loans due 2028 of $4.1 million, partially offset by net borrowings on the Network Receivables Facility of $14.3 million.

Cash used in financing activities during the three months ended March 31, 2025 totaled $44.5 million primarily due to the extinguishment of the Company's existing Paniolo financing arrangement of $21.4 million and a repayment of $18.9 million to resolve a temporary overdraft resulting from a miscommunication on payroll dates and related funding requirements.

------

**<u>Regulatory Matters</u>**

Refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2025 for a complete description of regulatory matters. There were no material changes for the three months ended March 31, 2026.

**<u>Contingencies</u>**

In the normal course of business, the Company is subject to various regulatory and tax proceedings, lawsuits, claims and other matters. The Company believes adequate provision has been made for all such asserted and unasserted claims in accordance with accounting principles generally accepted in the United States. Such matters are subject to many uncertainties and outcomes that are not predictable with assurance.

**<u>Critical Accounting Policies</u>**

The Company's consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America. Application of these principles requires management to make estimates or judgments that affect the amounts reported in the accompanying Condensed Consolidated Financial Statements and information available as of the date of the financial statements. As this information changes, the financial statements could reflect different estimates or judgments.

The Company's most critical accounting policies and estimates are described in our Annual Report on Form 10-K for the year ended December 31, 2025.

**<u>Recently Issued Accounting Standards</u>**

The Company did not adopt any new accounting standards during the three months ended March 31, 2026. Furthermore, accounting standards that have been issued or proposed by the FASB or other standard-setting bodies that do not require adoption until a future date are not expected to have a material impact on the Company's condensed consolidated financial statements upon adoption.

------

**Item 3. Quantitative and Qualitative Disclosures about Market Risk**

Refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2025 for a description of the Company's market risks.

**Item 4. Controls and Procedures**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Evaluation of disclosure controls and procedures.

Cincinnati Bell Inc.'s management, with the participation of the Chief Executive Officer and Chief Financial Officer, have evaluated the effectiveness of the Company's disclosure controls and procedures (as defined in SEC Rule 13a-15(e)) as of the end of the period covered by this report. Based on this evaluation, Cincinnati Bell Inc.'s Chief Executive Officer and Chief Financial Officer have concluded that, as of the end of the period covered by this report, such controls and procedures were effective.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Changes in internal control over financial reporting.

Cincinnati Bell Inc.'s management, with the participation of the Chief Executive Officer and Chief Financial Officer, have evaluated any changes in the Company's internal control over financial reporting that occurred during the first quarter of 2026 and have concluded that, other than the changes described below, there were no other changes to Cincinnati Bell Inc.'s internal control over financial reporting during the first quarter of 2026 that materially affect, or are reasonably likely to materially affect, Cincinnati Bell Inc.'s internal control over financial reporting.

In connection with the evaluation described above, the Company is in the midst of a broad, multi-year, technology transformation project to modernize mainframe, middleware and legacy systems to achieve better process efficiencies across sourcing, project management, and accounting through the use of various solutions. Implementation of new accounting ERP modules for general ledger, project management, accounts payable, procurement and fixed asset management were implemented at the beginning of the first quarter of 2026 for Midwest and Corporate operations. Emphasis has been on the maintenance of effective internal controls and assessment of the design and operating effectiveness of key control activities throughout development and deployment of each phase.

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PART II. OTHER INFORMATION

**Item 1. Legal Proceedings**

Cincinnati Bell and its subsidiaries are involved in a number of legal proceedings. Liabilities are established for legal claims when losses associated with the claims are judged to be probable and the loss can be reasonably estimated. In many lawsuits and arbitrations, including most class action lawsuits, it is not possible to determine whether a liability has been incurred or to estimate the amount of the liability until the case is close to resolution, in which case a liability will not be recognized until that time. Based on information currently available, consultation with counsel, available insurance coverage and recognized liabilities, the Company believes that except as otherwise described in Note 1 of the Notes to Condensed Consolidated Financial Statements (Unaudited) included in Item 1 of Part I of this Form 10-Q the eventual outcome of all claims will not, individually or in the aggregate, have a material effect on the Company's financial position or results of operations.

**Item 1A. Risk Factors**

Refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2025 for a comprehensive listing of the Company's risk factors. There were no material changes for the three months ended March 31, 2026.

**Item 2. Unregistered Sales of Equity Securities and Use of Proceeds**

None.

**Item 3. Defaults upon Senior Securities**

None.

**Item 4. Mine Safety Disclosure**

None.

**Item 5. Other Information**

No reportable items.

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**Item 6. Exhibits**

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  |  |  | <u>Incorporated by Reference</u> | <u>Incorporated by Reference</u> |  |  |
| Exhibit<br><u>Number</u> | <br><u>Exhibit Description</u> | <br><u>Form</u> | <br><u>Filing Date</u> | <br><u>Exhibit No.</u> | <br><u>SEC File No.</u> | Filed<br><u>Herewith</u> |
| [<u>3.1</u>](https://www.sec.gov/Archives/edgar/data/716133/000156459022020783/ck716133-ex31_585.htm) | Second Amended Articles of Incorporation of Cincinnati Bell Inc. | 10-K | 5/19/2022 | 3.1 | 1-8519 |  |
| [<u>3.2</u>](https://www.sec.gov/Archives/edgar/data/716133/000095017024109587/ck0000716133-ex3_2.htm) | Fourth Amended and Restated Regulations of Cincinnati Bell Inc. | 8-K | 9/26/2024 | 3.2 | 1-8519 |  |
| [<u>10.1</u>](https://www.sec.gov/Archives/edgar/data/716133/000119312526121460/ck0000716133-ex10_1.htm) | Release of Claims by and between Christi H. Cornette and Cincinnati Bell Inc. dated March 19, 2026 | 8-K/A | 3/24/2026 | 10.1 | 1-8519 |  |
| [<u>31.1</u>](ck0000716133-ex31_1.htm) | Certificate of the Chief Executive Officer Pursuant to Rule 15d-14(a) |  |  |  |  | **+** |
| [<u>31.2</u>](ck0000716133-ex31_2.htm) | Certificate of the Chief Financial Officer Pursuant to Rule 15d-14(a) |  |  |  |  | **+** |
| 101 | The following financial statements from Cincinnati Bell Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 were formatted in iXBRL (Inline eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets, (ii) Condensed Consolidated Statements of Operations and Comprehensive Income (Loss), (iii) Condensed Consolidated Statements of Equity (Deficit), (iv) Condensed Consolidated Statements of Cash Flows, and (v) Notes to Condensed Consolidated Financial Statements. | The following financial statements from Cincinnati Bell Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 were formatted in iXBRL (Inline eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets, (ii) Condensed Consolidated Statements of Operations and Comprehensive Income (Loss), (iii) Condensed Consolidated Statements of Equity (Deficit), (iv) Condensed Consolidated Statements of Cash Flows, and (v) Notes to Condensed Consolidated Financial Statements. | The following financial statements from Cincinnati Bell Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 were formatted in iXBRL (Inline eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets, (ii) Condensed Consolidated Statements of Operations and Comprehensive Income (Loss), (iii) Condensed Consolidated Statements of Equity (Deficit), (iv) Condensed Consolidated Statements of Cash Flows, and (v) Notes to Condensed Consolidated Financial Statements. | The following financial statements from Cincinnati Bell Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 were formatted in iXBRL (Inline eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets, (ii) Condensed Consolidated Statements of Operations and Comprehensive Income (Loss), (iii) Condensed Consolidated Statements of Equity (Deficit), (iv) Condensed Consolidated Statements of Cash Flows, and (v) Notes to Condensed Consolidated Financial Statements. | The following financial statements from Cincinnati Bell Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 were formatted in iXBRL (Inline eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets, (ii) Condensed Consolidated Statements of Operations and Comprehensive Income (Loss), (iii) Condensed Consolidated Statements of Equity (Deficit), (iv) Condensed Consolidated Statements of Cash Flows, and (v) Notes to Condensed Consolidated Financial Statements. | The following financial statements from Cincinnati Bell Inc.'s Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 were formatted in iXBRL (Inline eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets, (ii) Condensed Consolidated Statements of Operations and Comprehensive Income (Loss), (iii) Condensed Consolidated Statements of Equity (Deficit), (iv) Condensed Consolidated Statements of Cash Flows, and (v) Notes to Condensed Consolidated Financial Statements. |
| 104 | Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101). | Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101). | Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101). | Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101). | Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101). | Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101). |

---

The Company's reports on Form 10-K, 10-Q, 8-K and other information are available free of charge at the following website: http://www.altafiber.com. The Company has ceased to be a registrant but continues to voluntarily file annual, quarterly and certain other information with the SEC due to contractual provisions included in certain indentures.

------

**<u>SIGNA</u><u>TURES</u>**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

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| | | |
|:---|:---|:---|
|  |  | Cincinnati Bell Inc. |
| Date: | May 13, 2026 | /s/ Joshua T. Duckworth |
|  |  | Joshua T. Duckworth |
|  |  | Chief Financial Officer |
| Date: | May 13, 2026 | /s/ Suzanne E. Maratta |
|  |  | Suzanne E. Maratta |
|  |  | Chief Accounting Officer |

---

------

## Exhibit 31.1

**Exhibit 31.1**

**Certifications**

I, Leigh R. Fox, Chief Executive Officer, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this quarterly report on Form 10-Q of Cincinnati Bell Inc;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure control and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | | |
|:---|:---|:---|
| Date: | May 13, 2026 | /s/ Leigh R. Fox |
|  |  | Leigh R. Fox |
|  |  | Chief Executive Officer |

---

------

## Exhibit 31.2

**Exhibit 31.2**

**Certifications**

I, Joshua T. Duckworth, Chief Financial Officer, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this quarterly report on Form 10-Q of Cincinnati Bell Inc;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure control and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | | |
|:---|:---|:---|
| Date: | May 13, 2026 | /s/ Joshua T. Duckworth |
|  |  | Joshua T. Duckworth |
|  |  | Chief Financial Officer |

---

------