威訊通訊 (VZ) 2016 Q4 法說會逐字稿

Good morning and welcome to the Verizon fourth-quarter 2016 earnings conference call.

早上好，歡迎來到 Verizon 2016 年第四季度收益電話會議。

(Operator Instructions) Today's conference is being recorded.

（操作員說明）正在錄製今天的會議。

If you have any objections, you may disconnect at this time.

如果您有異議，此時您可以斷開連接。

It is now my pleasure to turn the call over to your host, Mr. Michael Stefanski, Senior Vice President, Investor Relations.

現在我很高興將電話轉給你的東道主，投資者關係高級副總裁邁克爾斯特凡斯基先生。

Thanks, Tori.

謝謝，托里。

Good morning and welcome to our fourth-quarter earnings conference call.

早上好，歡迎來到我們的第四季度收益電話會議。

This is Mike Stefanski and I am here with our Executive Vice President and Chief Financial Officer, Matt Ellis.

我是 Mike Stefanski，我和我們的執行副總裁兼首席財務官 Matt Ellis 在這裡。

As a reminder, our earnings release, financial and operating information, and the presentation slides, including a supplemental information slide, are available on the investor relations website.

提醒一下，我們的收益發布、財務和運營信息以及演示幻燈片，包括補充信息幻燈片，都可以在投資者關係網站上找到。

A replay and a transcript of this call will also be made available on our website.

本次通話的重播和文字記錄也將在我們的網站上提供。

Before we get started I would like to draw your attention to our Safe Harbor statement on slide two.

在我們開始之前，我想提請您注意我們在第二張幻燈片上的安全港聲明。

Information in this presentation contains statements about expected future events and financial results that are forward-looking and subject to risk and uncertainties.

本演示文稿中的信息包含有關預期未來事件和財務結果的前瞻性陳述，並受風險和不確定因素的影響。

Discussion of factors that may affect future results is contained in Verizon's filings with the SEC, which are available on our website.

Verizon 向美國證券交易委員會提交的文件中包含對可能影響未來結果的因素的討論，這些文件可在我們的網站上獲取。

This presentation contains certain non-GAAP financial measures.

本演示文稿包含某些非 GAAP 財務指標。

Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in the financial materials we have posted on our website.

這些非 GAAP 措施與最直接可比的 GAAP 措施的對賬包含在我們發佈在我們網站上的財務材料中。

The quarterly growth rates disclosed in our presentation slides and during our formal remarks are on a year-over-year basis unless otherwise noted as sequential.

在我們的演示幻燈片和我們的正式評論中披露的季度增長率是同比的，除非另有說明是連續的。

Before Matt goes through our results, I would like to highlight a few items.

在 Matt 查看我們的結果之前，我想強調幾個項目。

For the fourth quarter of 2016, we reported earnings of $1.10 per share and full-year earnings of $3.21 per share on a GAAP basis.

2016 年第四季度，我們報告的每股收益為 1.10 美元，全年每股收益為 3.21 美元（按 GAAP 計算）。

These reported results include a few nonoperational items that I would like to highlight.

這些報告的結果包括一些我想強調的非運營項目。

Our reported fourth-quarter earnings include a non-cash, pretax gain of about $1.6 billion.

我們報告的第四季度收益包括約 16 億美元的非現金稅前收益。

The largest item was the mark-to-market adjustment of our pension and OPEB liabilities, which was a pretax gain of roughly $1.8 billion.

最大的項目是我們的養老金和 OPEB 負債的按市值調整，這是大約 18 億美元的稅前收益。

This adjustment, which was primarily non-cash, was caused by an increase in the discount rate as well as other planned factors.

該調整主要為非現金調整，是由於貼現率上升以及其他計劃因素所致。

We also incurred pretax expenses of nearly $200 million, primarily related to severance costs under our existing separation plans.

我們還產生了近 2 億美元的稅前費用，主要與我們現有離職計劃下的遣散費有關。

The net impact of these items after tax approximated $1 billion, or $0.24 per share.

這些項目的稅後淨影響約為 10 億美元，或每股 0.24 美元。

Excluding the effect of these nonoperational items, adjusted earnings per share were $0.86 in the fourth quarter compared to $0.89 a year ago, a decline of 3.4%.

排除這些非運營項目的影響，第四季度調整後每股收益為 0.86 美元，而去年同期為 0.89 美元，下降 3.4%。

For the full year, adjusted earnings per share were $3.87 compared with $3.99 in 2015, a decrease of 3%.

全年調整後每股收益為 3.87 美元，與 2015 年的 3.99 美元相比下降了 3%。

Recall that our 2015 adjusted EPS included $0.13 of depreciation benefit related to the three Wireline properties that we sold to Frontier.

回想一下，我們 2015 年調整後的每股收益包括與我們出售給 Frontier 的三處 Wireline 物業相關的 0.13 美元折舊收益。

With that, I will now turn the call over to Matt.

有了這個，我現在將把電話轉給馬特。

Thanks, Mike.

謝謝，邁克。

Good morning to everyone on the call and thank you for joining us today.

大家早上好，感謝您今天加入我們。

I look forward to working with our investors and all of you who follow our stock in sharing progress on our strategy to deliver the promise of the digital world.

我期待與我們的投資者和所有關注我們股票的人一起分享我們在實現數字世界承諾的戰略方面取得的進展。

We are in a vibrant and exciting industry.

我們身處一個充滿活力和令人興奮的行業。

Our leadership position in wireless and fiber networks, as well as our loyal and high-quality customer base, is a reflection of our commitment to continuous improvement by our outstanding employees, which places us in a great position for long-term profitable growth.

我們在無線和光纖網絡領域的領先地位，以及我們忠誠和優質的客戶群，反映了我們對優秀員工持續改進的承諾，這使我們處於長期盈利增長的有利位置。

The continuous changes from technology advances and the competitive environment will provide us new opportunities to evolve and develop innovative solutions to continue to be a key player in this dynamic market.

技術進步和競爭環境的不斷變化將為我們提供新的機會來發展和開發創新解決方案，以繼續成為這個充滿活力的市場的關鍵參與者。

I am energized by those challenges and the great team we have and I am excited about the coming years.

這些挑戰和我們擁有的優秀團隊讓我充滿活力，我對未來幾年感到興奮。

My primary objective is to build on the strong foundation of this business and ensure we are always being responsible stewards of the Company by running the business as we have today as efficiently and effectively as possible, while investing responsibly to deliver long-term growth and shareholder value.

我的主要目標是鞏固這項業務的堅實基礎，並通過盡可能高效和有效地經營我們今天的業務，確保我們始終是公司負責任的管理者，同時負責任地投資以實現長期增長和股東價值。

Let's now move into an overview of 2016.

現在讓我們回顧一下 2016 年。

As expected, 2016 was a transformative year for Verizon.

正如預期的那樣，2016 年對 Verizon 來說是變革性的一年。

We demonstrated strong financial performance and returned value to our shareholders while repositioning the business.

在重新定位業務的同時，我們展示了強勁的財務業績並為股東帶來了價值回報。

Our core businesses are executing well in highly competitive markets and we are on track with our strategic priorities.

我們的核心業務在競爭激烈的市場中表現良好，並且我們的戰略重點正步入正軌。

During 2016 we completed Wireline divestitures of three markets, negotiated new contracts with our labor unions, executed successful 5G technical trials, and gained traction in new growth businesses.

2016 年，我們完成了三個市場的 Wireline 剝離，與我們的工會談判了新合同，成功進行了 5G 技術試驗，並在新的增長業務中獲得了牽引力。

Operationally, in Wireless, with our network leadership strategy, we added 1.3 million smartphone net adds and maintained industry-leading retail phone churn performance of less than 0.9% for the year after seven consecutive quarters.

在無線運營方面，憑藉我們的網絡領導戰略，我們增加了 130 萬部智能手機淨增加，並在連續七個季度之後保持了行業領先的零售電話流失率，全年低於 0.9%。

In Wireline, we restructured the segment and its cost structure.

在 Wireline 中，我們重組了該部門及其成本結構。

Overall, we delivered solid operational and financial results, which I will go into more detail in a few minutes.

總體而言，我們交付了穩健的運營和財務業績，我將在幾分鐘後詳細介紹。

Our capital allocation was consistent with our strategy.

我們的資本配置與我們的戰略一致。

We invested in adding capacity through densification of the 4G network, acquired telematics and smart city businesses, and extended ecosystems to monetize data traffic.

我們通過緻密化 4G 網絡投資增加容量，收購遠程信息處理和智慧城市業務，並擴展生態系統以通過數據流量獲利。

We reduced our unsecured debt and delivered strong value to our shareholders through the 10th consecutive increase in annualized dividends last September.

去年 9 月，我們連續第 10 次增加年化股息，從而減少了無擔保債務並為股東創造了強大的價值。

Entering 2017 we are confident with our strategy and priorities to serve customers and increase value.

進入 2017 年，我們對服務客戶和增加價值的戰略和優先事項充滿信心。

The foundation of our strategy is a network that is ubiquitous and reliable.

我們戰略的基礎是無處不在且可靠的網絡。

We will continue to invest in our networks, expand network capabilities, and advance ecosystems to offer value to our customers.

我們將繼續投資於我們的網絡，擴展網絡功能，並推進生態系統，為我們的客戶提供價值。

The execution of these priorities will allow us to lead at the network layer and develop innovative solutions to meet customer demands in the rapidly expanding mobile-first digital world.

這些優先事項的執行將使我們能夠在網絡層處於領先地位並開發創新的解決方案，以滿足快速擴展的移動優先數字世界中的客戶需求。

Now let's get right into the operating performance, starting with our consolidated results on slide 6.

現在讓我們直接進入運營績效，從我們在幻燈片 6 上的綜合結果開始。

Total operating revenue in the fourth quarter was $32.3 billion, a decline of 5.6%.

第四季度總營業收入為 323 億美元，下降 5.6%。

Consolidated 2016 revenue was $126.0 billion, representing a decline of 4.3%.

2016 年合併收入為 1260 億美元，下降 4.3%。

If we exclude revenues from the divested Wireline properties and AOL, which became part of our operations during the second half of 2015, adjusted operating revenue would have declined approximately 2.4%.

如果我們排除來自剝離的 Wireline 資產和 AOL 的收入（它們在 2015 年下半年成為我們業務的一部分），調整後的營業收入將下降約 2.4%。

Wireless revenue tracked with our expectations in the quarter as the shift from service revenue to equipment revenue across our base of customers is ongoing.

無線收入符合我們本季度的預期，因為我們的客戶群正在從服務收入向設備收入轉變。

Equipment revenue was seasonally strong, primarily led by new smartphone launches and equipment installment take rates.

設備收入季節性強勁，主要受新智能手機發布和設備分期付款率的帶動。

Wireline segment revenues continued recent trends, declining 3.1% with consumer growth of 0.2% for the quarter.

有線部門收入延續近期趨勢，下降 3.1%，本季度消費者增長 0.2%。

In our new businesses we are pleased with AOL's performance for the quarter and full year.

在我們的新業務中，我們對 AOL 本季度和全年的業績感到滿意。

In the fourth quarter, our digital media business, led by AOL, generated revenue of $532 million net of traffic acquisition costs.

第四季度，我們以美國在線為首的數字媒體業務產生了 5.32 億美元的收入（扣除流量獲取成本）。

This revenue is down about 5% year over year as expected, due to the revenue lift related to the Microsoft deal in the fourth quarter of 2015, but increased around 10% sequentially, in line with expectations.

由於 2015 年第四季度與微軟交易相關的收入提升，該收入如預期同比下降約 5%，但環比增長約 10%，符合預期。

Organically, Internet of Things revenue was $243 million, up 21% in the fourth quarter.

有機地，物聯網收入為 2.43 億美元，第四季度增長 21%。

We expect to sustain these strong trends.

我們希望維持這些強勁趨勢。

Including acquisitions, Internet of Things revenue increased more than 60% in the fourth quarter.

包括收購在內，第四季度物聯網收入增長超過60%。

Strong cost management across the business enabled us to drive profitability, including offsetting the lost earnings contribution from the divested Wireline markets.

整個業務的強大成本管理使我們能夠提高盈利能力，包括抵消剝離的有線市場的收益貢獻損失。

On a consolidated full-year basis, excluding nonoperational items, EBITDA totaled $44.8 billion and EBITDA margin was 35.5%.

在綜合全年基礎上，不包括非運營項目，EBITDA 總計 448 億美元，EBITDA 利潤率為 35.5%。

Now let's turn to cash flows and the balance sheet on slide 7.

現在讓我們轉到幻燈片 7 的現金流量和資產負債表。

In 2016, cash flows from operations totaled $22.7 billion, which is impacted by payments of cash income taxes of $3.2 billion associated with the gain on the divested wireline properties.

2016 年，運營產生的現金流量總計 227 億美元，這是受到與剝離的有線資產收益相關的 32 億美元現金所得稅支付的影響。

Full-year capital spending of $17.1 billion was just below our guidance of $17.2 billion to $17.7 billion.

全年資本支出為 171 億美元，略低於我們 172 億美元至 177 億美元的指引。

Free cash flow for the year totaled $5.7 billion, which does not include the proceeds from on-balance-sheet securitization transactions.

全年自由現金流總計 57 億美元，其中不包括資產負債表內證券化交易的收益。

In the second half of 2016, we shifted to on-balance-sheet securitization of our equipment receivables as it provides us a lower overall cost of funding.

2016 年下半年，我們轉向設備應收賬款的資產負債表內證券化，因為它為我們提供了較低的總體融資成本。

As we have previously noted, the proceeds from our on-balance-sheet securitization program are reflected in the cash flows and financing.

正如我們之前所指出的，我們資產負債表內證券化計劃的收益反映在現金流和融資中。

During the fourth quarter, we generated cash proceeds of about $2.4 billion from on-balance-sheet securitization, for a total of $5.0 billion during the second half of the year.

第四季度，我們通過資產負債表內證券化產生了約 24 億美元的現金收益，下半年總計 50 億美元。

Our balance sheet is strong and provides us with financial flexibility to grow the business.

我們的資產負債表強勁，為我們提供了發展業務的財務靈活性。

We ended the year with $108.1 billion of gross debt, which comprised of $103.1 billion of unsecured debt and $5 billion of on-balance-sheet securitizations.

我們年底的總債務為 1081 億美元，其中包括 1031 億美元的無擔保債務和 50 億美元的資產負債表內證券化債務。

Our year-end unsecured debt balance was lower by $6.6 billion from the prior year.

我們的年末無擔保債務餘額比上一年減少了 66 億美元。

We remain on track to return to our pre-Vodafone credit-rating profile by the 2018 to 2019 timeframe.

我們仍有望在 2018 年至 2019 年的時間框架內恢復到沃達丰之前的信用評級狀況。

Now let's move into a review of the segments starting with Wireless on slide 8.

現在讓我們從幻燈片 8 上的“無線”開始回顧這些部分。

In the Wireless business, we are delivering a balanced operational performance in a highly-competitive environment.

在無線業務中，我們在競爭激烈的環境中提供平衡的運營績效。

Total Wireless operating revenue declined 1.5% in the quarter to $23.4 billion.

本季度無線運營總收入下降 1.5% 至 234 億美元。

For the full year, operating revenue totaled $89.2 billion, a decline of 2.7%.

全年營業收入總計 892 億美元，下降 2.7%。

Service revenue of $16.3 billion declined 4.9% for the quarter as compared to the 5.2% decline in the third quarter.

本季度服務收入為 163 億美元，下降 4.9%，而第三季度下降 5.2%。

For the full year, service revenue declined 5.4%.

全年服務收入下降 5.4%。

Overall, service revenue trends are consistent with the postpaid base migrations to unsubsidized service pricing.

總體而言，服務收入趨勢與向無補貼服務定價的後付費基本遷移一致。

Approximately 67% of our postpaid customers are now on unsubsidized pricing, which is ahead of our expectations, due to higher volumes in the fourth quarter.

由於第四季度的銷量增加，我們大約 67% 的後付費客戶現在採用無補貼定價，這超出了我們的預期。

Service revenue plus device payment plan billings increased 1.7% in the fourth quarter and 2.0% for the full year.

第四季度服務收入加上設備支付計劃賬單增長 1.7%，全年增長 2.0%。

This deceleration in trend is due to the strong migration of customers in the second half of the year to unsubsidized pricing as customers fulfilled their prior service contracts.

這種趨勢減速是由於客戶在今年下半年強烈轉向無補貼定價，因為客戶履行了他們之前的服務合同。

We are also seeing strong migrations to our new pricing structure that we launched midyear with safety mode and carryover data.

我們還看到了向我們年中推出的具有安全模式和結轉數據的新定價結構的強烈遷移。

While these plans have resulted in greater-than-expected optimization, they improved customer satisfaction and retention.

雖然這些計劃帶來了超出預期的優化，但它們提高了客戶滿意度和保留率。

Recently we launched a single-line pricing plan to improve our competitive position in that segment.

最近，我們推出了一項單線定價計劃，以提高我們在該領域的競爭地位。

Equipment revenue increased to $5.7 billion, up 6.2% for the fourth quarter and 3.5% for the full year.

設備收入增至 57 億美元，第四季度增長 6.2%，全年增長 3.5%。

The percentage of phone activations on device payment plans increased to approximately 77% in the fourth quarter, compared with about 70% in the third quarter and about 67% in the fourth quarter of 2015.

設備支付計劃的電話激活百分比在第四季度增加到約 77%，而第三季度和 2015 年第四季度分別為約 70% 和約 67%。

We expect the first-quarter take rate for device payment plans to be similar to 4Q as two-year service contracts are no longer available for upgrades by the embedded base.

我們預計第一季度設備支付計劃的採用率將與第四季度相似，因為兩年期服務合同不再適用於嵌入式基地的升級。

At the end of the quarter, approximately 46% of our postpaid phone customers had a device payment plan.

在本季度末，我們大約 46% 的後付費電話客戶有設備付款計劃。

Improving the cost structure of our Wireless segment is a priority.

改善我們無線部門的成本結構是當務之急。

We see additional opportunities to increase efficiencies in our operating model through the continued application of our Verizon Lean Six Sigma processes.

通過繼續應用我們的 Verizon 精益六西格碼流程，我們看到了提高運營模式效率的更多機會。

On total revenues, our EBITDA wireless margin was 36.9% for the fourth quarter and 43.8% for the year.

就總收入而言，我們第四季度的 EBITDA 無線利潤率為 36.9%，全年為 43.8%。

In terms of profitability, we generated $8.6 billion of EBITDA in the quarter, a decrease of 5.2%.

就盈利能力而言，本季度我們產生了 86 億美元的 EBITDA，下降了 5.2%。

For the full year, total EBITDA was $39.0 billion, an increase of 0.2%.

全年，EBITDA 總額為 390 億美元，增長 0.2%。

As expected, the equipment promotional activity in the quarter was elevated given the holiday season.

正如預期的那樣，由於假期旺季，本季度的設備促銷活動有所增加。

We will remain competitive in the marketplace.

我們將在市場上保持競爭力。

In the fourth quarter, overall traffic on LTE increased by approximately 49%, while we extended our lead in the industry's third-party performance studies across the country.

第四季度，LTE 的整體流量增長了約 49%，同時我們擴大了在全國行業第三方性能研究中的領先地位。

Wireless capital spending totaled $3.5 billion in the quarter and $11.2 billion for the full year.

本季度無線資本支出總計 35 億美元，全年總計 112 億美元。

Now let's turn to slide 9 and take a closer look at Wireless connections growth.

現在讓我們轉到幻燈片 9，仔細看看無線連接的增長情況。

In the fourth quarter, we added high-quality retail postpaid net additions of 591,000 with a sequential improvement in the number of 4G smartphone and total phone net adds.

第四季度，我們增加了 591,000 部優質零售後付費淨增數，4G 智能手機數量和手機淨增數環比有所改善。

We added 552,000 new 4G smartphones in the quarter, which are partially offset by a net decline in 3G smartphones, resulting in 456,000 net new smartphones.

我們在本季度增加了 552,000 部新的 4G 智能手機，部分被 3G 智能手機的淨下降所抵消，導致淨新智能手機 456,000 部。

Total postpaid phone net adds totaled 167,000, which included a net decline of basic phones.

後付費電話淨增總數為 167,000 部，其中包括基本電話的淨減少。

Tablet net additions totaled 196,000, which was 764,000 less than last year, due to lower gross adds and higher churn resulting from previous years' promotions.

平板電腦淨增加總計 196,000 台，比去年減少 764,000 台，這是由於前幾年的促銷導致總增加量減少和流失率增加。

Full-year postpaid net additions of 2.3 million included 1.8 million of 4G smartphones and 1.4 million 4G tablets.

全年後付費淨增 230 萬部，其中包括 180 萬部 4G 智能手機和 140 萬部 4G 平板電腦。

The primary offset to these net additions was net declines in basic phones and 3G smartphones.

這些淨增加的主要抵消是基本電話和 3G 智能手機的淨下降。

Postpaid gross additions improved sequentially to 4.2 million for the fourth quarter and to 15.4 million for the full year.

第四季度後付費總增加量環比增加至 420 萬，全年增加至 1540 萬。

Our disciplined focus on customer retention resulted in retail postpaid phone churn of less than 0.9%.

我們對客戶保留的嚴格關注導致零售後付費電話流失率低於 0.9%。

Overall, our retail postpaid churn increased year over year due to higher tablet churn to 1.1%.

總體而言，由於平板電腦客戶流失率增至 1.1%，我們的零售後付費客戶流失率同比增長。

Total postpaid device activations totaled 13.1 million in the quarter, down 1.9%, and 43.2 million for the full year, down 7.3%.

本季度後付費設備總激活量為 1310 萬，下降 1.9%，全年為 4320 萬，下降 7.3%。

About 85% of these activations were phones, with tablets accounting for the majority of the other device activations.

這些激活中約有 85% 是手機，平板電腦佔其他設備激活的大部分。

About 8.3% of our retail postpaid base upgraded to a new device in the fourth quarter, up sequentially and consistent with prior year.

第四季度約有 8.3% 的零售後付費基礎升級到新設備，與去年同期持平。

During the quarter 8.6 million phones were activated on device payment plans.

本季度有 860 萬部手機激活了設備支付計劃。

Net prepaid devices declined by 9,000 in the quarter, compared to a decline of 157,000 in the prior year.

本季度淨預付費設備減少了 9,000 台，而去年同期減少了 157,000 台。

We are seeing sustained year-over-year improvement in retail prepaid.

我們看到零售預付業務同比持續改善。

We ended the year with 114.2 million total retail connections, excluding wholesale and Internet of Things connections.

截至年底，我們的零售連接總數為 1.142 億，不包括批發和物聯網連接。

Our industry-leading postpaid connections base grew 2.1% to 108.8 million and our prepaid connections totaled 5.4 million.

我們行業領先的後付費連接基數增長了 2.1%，達到 1.088 億，我們的預付費連接總數達到 540 萬。

Let's move next to our Wireline segment, starting with a review of our consumer and mass markets revenue performance on slide 10.

讓我們轉到我們的有線線路部分，首先回顧幻燈片 10 上我們的消費者和大眾市場收入表現。

In the Wireline segment consumer revenue increased 0.2% and mass markets, which includes small business, declined 0.2% in the fourth quarter.

在有線業務領域，第四季度消費者收入增長 0.2%，包括小型企業在內的大眾市場收入下降 0.2%。

For the full year, consumer revenues expanded by 0.4% and mass markets declined by 0.3%.

全年來看，消費者收入增長了 0.4%，大眾市場收入下降了 0.3%。

Fios total revenue again increased 4.4% in the fourth quarter and increased 4.6% in 2016.

Fios 總收入在第四季度再次增長 4.4%，2016 年增長 4.6%。

Fios revenue growth was primarily driven by an increase in the total customer base and strong demand for higher internet speeds.

Fios 收入增長的主要原因是總客戶群的增加和對更高互聯網速度的強烈需求。

In Fios internet, we added 68,000 net customers for the quarter and 235,000 for the year.

在 Fios 互聯網中，我們本季度增加了 68,000 名淨客戶，全年增加了 235,000 名。

We now have a total of about 5.7 million Fios internet subscribers, representing 40.4% penetration.

我們現在共有約 570 萬 Fios 互聯網用戶，滲透率為 40.4%。

In Fios Video, we added 21,000 net customers in the quarter and 59,000 for the year, and now have a total of 4.7 million Fios video subscribers, which represents a 34.3% penetration.

在 Fios 視頻中，我們在本季度增加了 21,000 名淨客戶，全年增加了 59,000 名，現在共有 470 萬名 Fios 視頻用戶，滲透率為 34.3%。

Similar to prior quarters, we continue to see strong demand for custom TV offerings.

與前幾個季度類似，我們繼續看到對定制電視產品的強勁需求。

Our One Fiber initiative in Boston is progressing as expected and we launched consumer and business services to customers late in the fourth quarter.

我們在波士頓的 One Fiber 計劃按預期進展，我們在第四季度末向客戶推出了消費者和企業服務。

We continue to innovate with our Fios platform, utilizing our fiber assets and earlier this month we introduced Instant Internet, which is a new service that offers both upload and download speeds of 750 megabits per second.

我們繼續創新我們的 Fios 平台，利用我們的光纖資產，本月早些時候我們推出了 Instant Internet，這是一項提供每秒 750 兆比特的上傳和下載速度的新服務。

This service was introduced in New York, New Jersey, Philadelphia, and Richmond, and other markets will see the service soon.

這項服務已在紐約、新澤西、費城和里士滿推出，其他市場很快就會看到這項服務。

Let's turn to slide 11 and cover enterprise and wholesale, as well as the Wireline segment in total.

讓我們轉到幻燈片 11 並涵蓋企業和批發，以及總共的有線部分。

Global enterprise revenue declined 4.5% and, on a constant currency basis, was down about 4% in the fourth quarter.

全球企業收入下降 4.5%，按固定匯率計算，第四季度下降約 4%。

For the full year, global enterprise revenue declined 3.6% and on a constant currency basis was down about 3%.

全年，全球企業收入下降 3.6%，按固定匯率計算下降約 3%。

In our wholesale business, as expected, revenues declined 7.5% in the fourth quarter due to the impact of nonrecurring items in the prior year.

在我們的批發業務中，正如預期的那樣，由於去年非經常性項目的影響，第四季度的收入下降了 7.5%。

For the year, wholesale revenue declined 4.9%.

全年批發收入下降 4.9%。

Total operating revenues for the Wireline segment declined 3.1% in the quarter and 2.3% for the full year.

有線業務部門的總營業收入在本季度下降了 3.1%，全年下降了 2.3%。

The impacts of the labor contract, workforce reduction, and tight cost control supported improved profitability while maintaining strong customer satisfaction.

勞動合同、裁員和嚴格的成本控制的影響支持提高盈利能力，同時保持強大的客戶滿意度。

The segment EBITDA margin was 24.1% for the quarter and 19.6% for the year.

該部門本季度的 EBITDA 利潤率為 24.1%，全年為 19.6%。

We expect to see continuing improvement on an annual basis with seasonal fluctuations.

我們預計隨著季節性波動，每年都會持續改善。

Capital spending in Wireline was $1.6 billion in the fourth quarter and totaled $4.5 billion for the year.

第四季度 Wireline 的資本支出為 16 億美元，全年總計 45 億美元。

Regarding our pending Wireline transactions, we expect the acquisition of XO Communications to close in the first quarter and the data center transaction to close in the second quarter.

關於我們未決的 Wireline 交易，我們預計對 XO Communications 的收購將在第一季度完成，數據中心交易將在第二季度完成。

Let's move next to slide 12 to discuss our strategic position.

接下來讓我們轉到幻燈片 12 來討論我們的戰略地位。

Entering 2017, we are confident in our strategy and priorities for future growth and profitability.

進入 2017 年，我們對未來增長和盈利的戰略和重點充滿信心。

The foundation of the three-tier strategy begins with our commitment to invest in our best-in-class networks.

三層戰略的基礎始於我們對投資一流網絡的承諾。

Above the network layer resides our platform layer, which we are developing and creating new business models to monetize the ever-increasing digital traffic growth.

網絡層之上是我們的平台層，我們正在開發和創建新的商業模式，以通過不斷增長的數字流量增長獲利。

Our goal is to be the trusted provider of connecting people and things and providing scalable solutions and analytics.

我們的目標是成為連接人與物並提供可擴展解決方案和分析的值得信賴的提供商。

Network quality and leadership is the cornerstone of this strategy and at the forefront of our brand value proposition to our customers.

網絡質量和領先地位是這一戰略的基石，也是我們向客戶提出的品牌價值主張的重中之重。

Today we are the largest and most reliable 4G network in the country, with market-leading fiber assets.

今天，我們是美國最大、最可靠的 4G 網絡，擁有市場領先的光纖資產。

To expand our network leadership, we are executing on our strategic efforts to densify the 4G network, increase fiber resources, and enhance spectral efficiency.

為了擴大我們的網絡領導地位，我們正在執行我們的戰略努力，以緻密化 4G 網絡、增加光纖資源並提高頻譜效率。

As I noted earlier, we have initiated our next-generation fiber network deployments in Boston.

正如我之前提到的，我們已經在波士頓啟動了下一代光纖網絡部署。

Fiber is an important element of our Wireless networks, as it allows us to strengthen our 4G LTE capacity while also preparing for 5G.

光纖是我們無線網絡的重要組成部分，因為它使我們能夠增強 4G LTE 容量，同時也為 5G 做好準備。

Our pending XO Communications acquisition will add to our fiber footprint and provide us with additional metro rings in 45 out of the top 50 US markets.

我們即將完成的 XO Communications 收購將增加我們的光纖足跡，並為我們在美國前 50 大市場中的 45 個提供額外的城域網。

5G wireless technology is a focus for us.

5G 無線技術是我們關注的焦點。

We are now launching about 10 precommercial pilots across the country with multiple use cases, including dense urban and suburban neighborhoods.

我們現在正在全國范圍內啟動大約 10 個商業前試點，具有多個用例，包括密集的城市和郊區社區。

Our goal is to test the 5G fixed wireless technology in different environments in order to successfully operationalize 5G products for a commercial launch.

我們的目標是在不同環境中測試 5G 固定無線技術，以便成功實施 5G 產品以進行商業發布。

As noted earlier, we are expanding platforms and building new business models to monetize digital mobile video traffic on our network.

如前所述，我們正在擴展平台並構建新的商業模式，以通過我們網絡上的數字移動視頻流量獲利。

In our media assets, AOL's content and ad tech capabilities have enhanced our video offerings.

在我們的媒體資產中，AOL 的內容和廣告技術能力增強了我們的視頻產品。

With a focus on delivering timely short-form versions of video clips, we have seen digital video consumption gain traction in the last year.

由於專注於及時提供短格式的視頻剪輯，我們看到數字視頻消費在去年獲得了吸引力。

At the content and solutions layer of our three-tier strategy the combination of AOL, go90, and other content has enabled cross-platform sharing.

在我們的三層戰略的內容和解決方案層，AOL、go90 和其他內容的結合實現了跨平台共享。

This strategy expands our distribution and revenue opportunities globally across carriers and networks.

這一戰略擴大了我們在全球範圍內跨運營商和網絡的分銷和收入機會。

We have seen increased usage in the go90 application through this exchange and we are expanding our unique content offerings.

通過這次交流，我們看到 go90 應用程序的使用量有所增加，並且我們正在擴展我們獨特的內容產品。

The average daily usage in go90 was consistent sequentially at about 30 minutes per viewer with less than 20% set of traffic served on the Verizon Wireless network in the second half of the year.

go90 的平均每日使用量連續保持在每位觀眾約 30 分鐘，下半年 Verizon Wireless 網絡提供的流量不到 20%。

We are actively leveraging our content portfolio and have strategically focused on an ad-supported model.

我們正在積極利用我們的內容組合，並在戰略上專注於廣告支持的模式。

In 2016, through our joint venture with Hearst, we launched unique content through Complex Media and AwesomenessTV and we are looking forward to expanding these offerings this year.

2016 年，通過我們與赫斯特的合資企業，我們通過 Complex Media 和 AwesomenessTV 推出了獨特的內容，我們期待今年擴大這些產品。

In addition, our extensive digital rights portfolio, including sports such as NFL and NBA, provided enhanced viewing experiences such as launching Stream Pass to Verizon Wireless customers across multiple demographics.

此外，我們廣泛的數字版權組合（包括 NFL 和 NBA 等體育節目）提供了增強的觀看體驗，例如向 Verizon Wireless 的多個人口統計客戶推出 Stream Pass。

Our pending Yahoo acquisition would further increase our opportunity to scale in the digital media space with its 1 billion-plus monthly average unique viewers.

我們即將完成的雅虎收購將進一步增加我們在數字媒體領域擴大規模的機會，其每月平均獨立觀眾超過 10 億。

We are still working with Yahoo to assess the impact of the breaches and we have not yet reached any final conclusions yet.

我們仍在與雅虎合作評估違規行為的影響，我們尚未得出任何最終結論。

The Internet of Things, including telematics, is an area of opportunity that is rapidly growing as the connected world expands.

物聯網（包括遠程信息處理）是一個充滿機遇的領域，隨著互聯世界的擴展而迅速發展。

Ubiquitous and reliable coverage to support the vast number of devices expected on these various platforms is a competitive advantage and we are developing this ecosystem to leverage our best-in-class networks, while providing solutions to verticals such as transportation, energy, agriculture, and smart cities.

無處不在且可靠的覆蓋範圍可以支持這些不同平台上預期的大量設備，這是一種競爭優勢，我們正在開發這個生態系統以利用我們一流的網絡，同時為交通、能源、農業和智慧城市。

The great example of this is in the telematics space, with acquisitions of both Telogis and Fleetmatics we became the market share leader.

這方面的一個很好的例子是在遠程信息處理領域，通過收購 Telogis 和 Fleetmatics，我們成為了市場份額的領導者。

Our smart city solutions continue to progress and the business is augmented with the acquisitions of Sensity and LQD WiFi.

我們的智慧城市解決方案繼續取得進展，並且通過收購 Sensity 和 LQD WiFi 擴大了業務。

As a result, we now have a deep inventory of solutions on our IoT platform to provide to our customers.

因此，我們現在在我們的物聯網平台上擁有大量解決方案，可以提供給我們的客戶。

Overall, we are confident in our ability to execute, deliver results, and return value to our shareholders while continuously transforming the business.

總的來說，我們對我們在不斷轉變業務的同時執行、交付成果和為股東回報價值的能力充滿信心。

As we look at our current and pending assets in the media and IoT businesses, we will be focused on integrating these assets by increasing global scale organically and further enhancing cross-platform content sharing opportunities.

當我們審視我們在媒體和物聯網業務中的現有和未決資產時，我們將專注於通過有機地擴大全球規模和進一步加強跨平台內容共享機會來整合這些資產。

Collectively, these assets allow us to participate in the global ecosystem of the connected world.

總的來說，這些資產使我們能夠參與互聯世界的全球生態系統。

We see a clear path to revenue contributions from these integrated assets, which will drive returns to the overall business in a less capital-intensive manner.

我們看到了從這些綜合資產中獲得收入貢獻的明確途徑，這將以資本密集度較低的方式推動整體業務的回報。

Now let's turn to slide 13 to review 2017 priorities.

現在讓我們轉到幻燈片 13 來回顧 2017 年的優先事項。

In 2017 our focus will be leveraging our network leadership position.

2017 年，我們的重點將是利用我們的網絡領導地位。

We will focus on retaining and growing our high-quality customer base in both Wireless and Wireline, while balancing profitability in this dynamic environment.

我們將專注於保留和發展我們在無線和有線領域的優質客戶群，同時在這個動態環境中平衡盈利能力。

Enhancing ecosystems in media and the Internet of Things, led by telematics, will further drive the monetization of our network and solutions both domestic and globally.

在遠程信息處理的引領下，增強媒體和物聯網生態系統將進一步推動我們在國內和全球的網絡和解決方案的貨幣化。

We expect full-year consolidated revenue on an organic basis to be fairly consistent with that of 2016, with improvement in Wireless service revenue and equipment revenue trends.

我們預計全年綜合收入在有機基礎上與 2016 年相當一致，無線服務收入和設備收入趨勢有所改善。

We also expect full-year consolidated adjusted EPS trends to be similar to consolidated revenue trends.

我們還預計全年綜合調整後每股收益趨勢與綜合收入趨勢相似。

Additionally, we are targeting the following for 2017: consolidated capital spending between $16.8 billion and $17.5 billion; minimum pension funding requirement of approximately $600 million; and in terms of income taxes, we expect our effective tax rate for financial reporting purposes to be in the range of 34% to 36%, based on current legislation.

此外，我們 2017 年的目標如下： 綜合資本支出在 168 億美元至 175 億美元之間；最低養老金資金需求約為 6 億美元；在所得稅方面，我們預計根據現行立法，我們用於財務報告目的的有效稅率將在 34% 至 36% 的範圍內。

We will execute on the long-term strategy to position the business for the future.

我們將執行長期戰略，為未來的業務定位。

With that I will turn the call back to Mike so we can get to your questions.

有了這個，我會把電話轉回給邁克，這樣我們就可以回答你的問題。

Thank you, Matt.

謝謝你，馬特。

Tori, we are now ready to take questions.

Tori，我們現在準備好提問了。

(Operator Instructions) Simon Flannery, Morgan Stanley.

（操作員說明）西蒙弗蘭納里，摩根士丹利。

Thanks very much.

非常感謝。

Good morning.

早上好。

Matt, maybe we could start with the last point on the guidance.

馬特，也許我們可以從指南的最後一點開始。

Can you just give us a reconciliation of the new guidance versus the previous GDP-type growth and normal type EPS?

你能給我們一個新指導與之前 GDP 類型增長和正常類型 EPS 的對比嗎？

What are the changes that are causing that?

造成這種情況的變化是什麼？

And on EPS specifically, can you just help us reconcile what the base number that you will be using for sort of a flat kind of organic number would be, for all the adjustments with Frontier and the labor dispute, etc.?

特別是在 EPS 上，您能否幫助我們調和您將用於某種統一有機數字的基數，用於 Frontier 的所有調整和勞資糾紛等？

Thank you.

謝謝。

Thank you, Simon, for the question.

西蒙，謝謝你提出這個問題。

Good morning.

早上好。

Let's start with the outlook we gave this morning and I'll start with the revenue.

讓我們從今天早上給出的展望開始，我將從收入開始。

As you saw from that, we said we expect to see it consistent with 2016 on an organic basis and we continue to see the revenue trajectory of the business improve.

正如您從中看到的那樣，我們表示我們希望看到它在有機的基礎上與 2016 年保持一致，並且我們繼續看到業務的收入軌蹟有所改善。

So as you saw in the release, we expect that to be fairly consistent on an organic basis, so this is an improvement over 2016, when revenue declined 2.4% on a comparable basis.

因此，正如您在新聞稿中看到的那樣，我們預計這在有機基礎上相當一致，因此這比 2016 年有所改善，當時收入在可比基礎上下降了 2.4%。

Let's unpack that for a second and see how we get to that improvement from the negative 2.4% up to something that's more comparable.

讓我們先分析一下，看看我們如何從負 2.4% 提高到更具可比性的水平。

Obviously, the major driver is Wireless, where total revenue was down 2.7% last year and service revenue was down 5.4%.

顯然，主要驅動力是無線，去年總收入下降 2.7%，服務收入下降 5.4%。

So if we look into the service revenue component there, that trajectory improved throughout the year.

因此，如果我們研究那裡的服務收入部分，全年的軌跡都會有所改善。

We started in the first quarter of 2016 down 6.2%.

我們從 2016 年第一季度開始下降 6.2%。

We ended the year in the fourth quarter down 4.9% and the year as a whole averaged down 5.4%, as I said.

正如我所說，我們在第四季度結束了這一年，下降了 4.9%，全年平均下降了 5.4%。

So as we expect that trend to continue to get better, we should see a better number year over year in Wireless service revenue.

因此，當我們預計這一趨勢將繼續好轉時，我們應該會看到無線服務收入同比增長。

Equipment revenue should also be higher, given the higher device payment take rate, which we expect to be similar to what we saw in the fourth quarter, which was at 77%.

考慮到更高的設備支付率，設備收入也應該更高，我們預計這與我們在第四季度看到的相似，為 77%。

And so obviously improvement in Wireless will be the biggest factor year over year.

因此，顯然無線的改進將是同比增長的最大因素。

And as you look at the other parts of the business, we expect Wireline revenue trends to be similar to 2016; and then media co, we expect that will continue to build off the progress made last year.

當您查看業務的其他部分時，我們預計 Wireline 的收入趨勢與 2016 年相似；然後是媒體公司，我們預計這將繼續鞏固去年取得的進展。

And then within the IoT businesses, obviously including telematics, that grew at 21% in the fourth quarter and we expect that business to continue to grow at a very healthy pace.

然後在物聯網業務中，顯然包括遠程信息處理，第四季度增長了 21%，我們預計該業務將繼續以非常健康的速度增長。

So, on a combined basis, we are confident in seeing a better revenue trajectory in 2017 than last year.

因此，綜合來看，我們有信心看到 2017 年的收入軌跡比去年更好。

When you talk about the -- how we gave the outlook on revenue versus what we've been saying previously, I think the biggest item you've got to look at in there is Wireless service revenue.

當你談論我們如何給出收入前景與我們之前所說的相比時，我認為你必須關注的最大項目是無線服務收入。

So we continue to make good progress transitioning the base to unsubsidized service pricing.

因此，我們繼續在將基礎服務定價轉變為無補貼服務定價方面取得良好進展。

As customers come out of their two-year subsidy plans, we see them quickly migrate to the unsubsidized service pricing.

隨著客戶退出為期兩年的補貼計劃，我們看到他們迅速轉向無補貼的服務定價。

We ended the year with 67% of postpaid customers now on those unsubsidized pricing plans.

到年底，我們有 67% 的後付費客戶現在使用這些無補貼的定價計劃。

And so, while we were happy to have seen the acceleration, it does provide a headwind to service revenue.

因此，雖然我們很高興看到這種加速，但它確實對服務收入造成了不利影響。

And then additionally within service revenue, we saw a higher level of migrations than in past pricing changes to the plans that we introduced in the middle of last year.

然後另外在服務收入中，我們看到了比過去對我們在去年年中推出的計劃的定價變化更高水平的遷移。

That functionality of those new plans appealed to our base and we saw customers take advantage of that and optimize their plans.

這些新計劃的功能吸引了我們的基礎，我們看到客戶利用這一點並優化了他們的計劃。

So those two developments especially have essentially pushed out our expectation of the timing of service revenue to return to year-over-year growth from the end of 2017 into 2018.

因此，這兩個發展尤其從根本上推遲了我們對服務收入從 2017 年底到 2018 年恢復同比增長的預期。

And so then, as you look at the earnings side of it, obviously the largest driver of EPS changes is what happens in the Wireless service revenue.

然後，當您查看它的收益方面時，顯然 EPS 變化的最大驅動力是無線服務收入中發生的變化。

Obviously, with service revenue being $66 billion, more than [half](corrected by company after the call) of our total revenue, it's the largest driver.

顯然，服務收入為 660 億美元，超過我們總收入的[一半]（公司在電話會議後更正），它是最大的驅動力。

So that's -- we continue to work through that service review migration.

這就是 - 我們將繼續完成服務審查遷移。

It is offset by the strong cost management we have had across the business and that has been a hallmark of our performance over the past few years, using the Verizon Lean Six Sigma program that you've heard us talk about previously.

它被我們在整個業務中擁有的強大成本管理所抵消，這一直是我們過去幾年業績的標誌，使用您之前聽過我們談論的 Verizon 精益六西格碼計劃。

And that will continue to produce significant benefits in 2017.

這將在 2017 年繼續產生顯著效益。

We will also see a full-year benefit in 2017 from the new labor contract.

我們還將在 2017 年看到新勞動合同帶來的全年收益。

So when you factor in all of the above, we expect to produce strong earnings again in 2017.

因此，當您考慮到上述所有因素時，我們預計 2017 年將再次產生強勁的收益。

And we talked about the trend we expect on EPS.

我們談到了我們對 EPS 的預期趨勢。

You've obviously got the impact in 2016 of one year of the Frontier properties in the first quarter and obviously the work stoppage, but in total it will be around -- the revenue lines, they will be around where we were in 2016 as the baseline of our view for 2017.

你顯然在 2016 年第一季度受到 Frontier 物業一年的影響，顯然停工，但總的來說 - 收入線，它們將在我們 2016 年的水平附近，因為我們 2017 年觀點的基線。

Okay.

好的。

So just to be clear, on the EPS, we should take the EPS that you reported for 2016 as the base for 2017?

所以要明確一點，關於每股收益，我們應該將您報告的 2016 年每股收益作為 2017 年的基礎？

That's a reasonable starting point, yes.

這是一個合理的起點，是的。

Okay, great.

好的，太好了。

Then just one last thing on the optimization; has that sort of faded at this point or is that -- is that still continuing at quite a pace?

然後是關於優化的最後一件事；在這一點上，這種情況已經消退了，還是——這種情況仍在以相當快的速度持續下去？

Was that kind of a three- or four-month effect?

那是一種三四個月的效果嗎？

Are you still seeing a lot of that going on?

你還看到很多這樣的事情嗎？

We are seeing that still continue, but we saw it at certainly an aggressive pace initially after we launched those plans.

我們看到這種情況仍在繼續，但在我們啟動這些計劃後，我們最初看到它的步伐肯定是激進的。

That just means the base moved quicker to those plans than we'd seen in other changes.

這只是意味著基地比我們在其他變化中看到的更快地轉向這些計劃。

So we're excited that we launched product features that were of high level of interest to our customers.

因此，我們很高興推出了客戶非常感興趣的產品功能。

Great.

偉大的。

Thanks, Matt.

謝謝，馬特。

Phil Cusick, JPMorgan.

菲爾庫西克，摩根大通。

Thanks.

謝謝。

Just a follow-up first on Simon's question.

先跟進一下 Simon 的問題。

Can you give us explicitly what the revenue number you're looking at in 2016 as sort of the normal number, as well as the earnings number?

您能否明確告訴我們您在 2016 年看到的收入數字是正常數字還是收益數字？

Yes, the normal number for 2016 would be the comparable against the down 2.4% when you adjust out for the acquisitions over the course of the couple of years.

是的，2016 年的正常數字與過去幾年的收購調整後的下降 2.4% 相當。

Sorry (multiple speakers) so exactly the dollar number that we should be starting with as the baseline to build from.

抱歉（多位發言者），所以我們應該從美元數字開始作為構建的基線。

I'll come back to you on that one to say we refer off the down 2.4% year over year.

我會在那個問題上回過頭來告訴你，我們提到了同比下降 2.4%。

It adjusts out for the transactions in both 2016 and also the AOL introduction in 2015.

它針對 2016 年的交易和 2015 年 AOL 的引入進行了調整。

So when you adjust for both of those, the number --.

因此，當您針對這兩者進行調整時，數字——。

Right, and I'm just -- I'm sorry; go ahead, Mike.

是的，我只是——對不起；繼續，邁克。

I was just going to say we will get you that exact number because it is both taking out Frontier for the first quarter as well as we do make an adjustment because we didn't have a full year of AOL.

我只是想說我們會為您提供確切的數字，因為它既剔除了第一季度的 Frontier，而且我們確實進行了調整，因為我們沒有全年的 AOL。

So that's how we get to the negative 2.4%.

這就是我們達到負 2.4% 的原因。

But effectively what we are saying is that, organically, that was not including any of the growth for new businesses; that would be the consistent number.

但實際上我們所說的是，有機地，這不包括任何新業務的增長；那將是一致的數字。

But we will get you that exact number.

但我們會給你那個確切的數字。

Okay.

好的。

Then just to make sure; when you talk about better trends -- and it sounds like you are looking for stability -- that revenue number you are looking for dollars of stability year over year; not stable down-tick in percentages, correct?

然後只是為了確定；當你談論更好的趨勢時——聽起來你在尋求穩定——你在尋找年復一年穩定的收入數字；百分比不穩定，對嗎？

Correct.

正確的。

Not down 2% [revenue] (multiple speakers)?

不下降 2% [收入]（多位發言者）？

Correct.

正確的。

Consistent on a dollar basis year over year and we get there through seeing improvements in the trend on the service revenue trajectory, the equipment revenue trajectory, so in total across Wireless.

以美元為基礎逐年保持一致，我們通過看到服務收入軌跡、設備收入軌跡以及整個 Wireless 的總體趨勢的改善來實現這一目標。

And then also the newer businesses, whether it be media co or across the Internet of Things businesses, we continue to expect to see those -- the revenue from those businesses improve in 2017.

然後還有較新的業務，無論是媒體公司還是整個物聯網業務，我們繼續期待看到這些業務——這些業務的收入在 2017 年有所改善。

Okay, that makes sense.

好的，這是有道理的。

Then on earnings is it $3.86 that we are using as the baseline from 2016 to jump off into 2017?

那麼在收益方面，我們使用 2016 年的 3.86 美元作為基線跳轉到 2017 年嗎？

Or is that a different number?

或者那是一個不同的數字？

I'd go off of the $3.87 that we had on an adjusted basis, adjusting out for the mark-to-market and other items.

我會放棄我們在調整後的 3.87 美元，調整按市價計價和其他項目。

$3.87, got it.

3.87 美元，明白了。

Then if I -- just to add one more new one.

然後，如果我-- 再添加一個新的。

You talked about the GAAP tax 34% to 36%.

你談到了 34% 到 36% 的 GAAP 稅。

How should we think about cash taxes in 2017 under the current legislation?

根據現行立法，我們應該如何考慮 2017 年的現金稅？

We would expect cash taxes to converge towards the effective tax rate during 2017.

我們預計 2017 年現金稅將趨向於有效稅率。

So a higher cash tax rate in 2017 than 2016?

那麼 2017 年的現金稅率會比 2016 年高嗎？

Yes, the cash tax is just purely on income.

是的，現金稅僅針對收入。

Obviously our cash taxes for 2016 did include $3.2 billion of taxes related to the Frontier transaction.

顯然，我們 2016 年的現金稅確實包括與 Frontier 交易相關的 32 億美元稅款。

We would expect to have cash taxes in 2017 related to the disposal of the data centers when that occurs at a lower level, but on the organic tax on earnings, we would expect the cash taxes to be closer to the ETR during the course of 2017.

我們預計 2017 年將徵收與數據中心處置相關的現金稅，當這種情況發生在較低水平時，但關於收益的有機稅，我們預計現金稅將在 2017 年期間更接近 ETR .

Okay.

好的。

And do you have any initial thought on what the different plans of tax changes could be?

你對不同的稅收變化計劃有什麼初步想法嗎？

Anything you can help us as we model out the different impacts from order adjustments and things like that?

當我們模擬訂單調整和類似事情的不同影響時，您能幫我們什麼忙？

As we look at taxes we certainly -- look, it's a little too soon to tell.

當我們審視稅收時，我們當然 - 看，現在下結論還為時過早。

We certainly are supportive of changes in the tax legislation.

我們當然支持修改稅法。

We believe that we need to get to a more competitive tax environment and we look forward to working with Congress and the new administration as they try and put new tax rates forward.

我們認為，我們需要營造一個更具競爭力的稅收環境，我們期待著與國會和新政府合作，因為他們試圖提出新的稅率。

Certainly a reduction in the rate would be beneficial.

當然，降低利率將是有益的。

100% expensing of CapEx would be beneficial initially, but the plans being discussed also include items such as removal of the interest expense deduction.

資本支出的 100% 支出最初將是有益的，但正在討論的計劃還包括取消利息支出扣除等項目。

And then, as you mentioned, we are all trying to understand exactly how border adjustability may or may not work.

然後，正如您提到的，我們都在嘗試準確了解邊界可調整性可能會或可能不會起作用。

So certainly believe that tax reform would be a benefit to us, whichever year is the first year it applies to.

因此，當然相信稅制改革對我們有利，無論哪一年是它適用的第一年。

Whether it applies to 2017 or whether it initially applied to 2018, it would definitely -- we are definitely seeing it being a benefit to the cash taxes we pay.

無論它適用於 2017 年還是最初適用於 2018 年，它肯定會 - 我們肯定會看到它對我們支付的現金稅有好處。

But given the uncertainty on the specifics of the plans, it's a little too soon to say exactly how much that could be.

但鑑於計劃細節的不確定性，現在就確切說出多少還為時過早。

Can you give us an idea of within your CapEx and OpEx what, either a dollar or a percent, comes from overseas?

您能否告訴我們在您的資本支出和運營支出中有多少美元或百分比來自海外？

Then I'll stop, sorry.

那我就停下來，對不起。

I don't think we've disclosed that number previously, so we would have to go back and look that up.

我認為我們之前沒有透露過這個數字，所以我們必須回去查一下。

But, no, we are not going to disclose that at this time.

但是，不，我們現在不打算透露這一點。

Thanks very much.

非常感謝。

Phil, there is a reconciliation of the number for revenue that we are using in our financials that we released this morning on our website, but the number is $121.8 billion.

菲爾，我們今天早上在我們網站上發布的財務數據中使用的收入數字是對賬的，但這個數字是 1218 億美元。

So $121.8 billion would be the base for the revenue as we discussed.

因此，正如我們所討論的那樣，1218 億美元將成為收入的基礎。

Thanks, Mike.

謝謝，邁克。

Great.

偉大的。

John Hodulik, UBS.

約翰·霍杜里克，瑞銀。

Great, thanks.

十分感謝。

Maybe another follow-up on the guidance.

也許是該指南的另一個後續行動。

Matt, obviously there's a lot of moving parts, but with the revenue trends and EPS trends sort of mirroring each other it seems to suggest roughly sort of flattish margins.

馬特，顯然有很多變動的部分，但隨著收入趨勢和每股收益趨勢相互反映，這似乎表明利潤率大致持平。

But you're leaving the year with real strength in wireline profitability, so first of all, if you could talk about what's driving that.

但是你將以有線盈利能力的真正實力離開這一年，所以首先，如果你能談談是什麼推動了這一點。

And the expectation is for that to continue.

並且期望這種情況會繼續下去。

Does that imply that the margins on the Wireless side looking out into 2017 should be flat to maybe even down?

這是否意味著展望 2017 年無線方面的利潤率應該持平甚至下降？

And maybe talk a little bit about that trend, especially given the help that you should see from the removal of subsidies in the year.

也許談談這種趨勢，特別是考慮到今年取消補貼應該帶來的幫助。

Thanks, John, for the question.

約翰，謝謝你提出這個問題。

Starting off with Wireline, certainly Wireline had a good result in the fourth quarter.

從 Wireline 開始，當然 Wireline 在第四季度取得了不錯的成績。

I would tell you, as we said in our prepared remarks, that we would expect Wireline margins for 2017 and the year as a whole to be higher than they were in 2016.

我會告訴你，正如我們在準備好的評論中所說，我們預計 2017 年和全年的 Wireline 利潤率將高於 2016 年。

And you will see some seasonal fluctuations in there, as we typically do, so I would tell you it would be reasonable to expect Wireline margins for the year as a whole to be in the low 20%s compared to the 19% that we saw for 2016.

你會看到那裡有一些季節性波動，就像我們通常所做的那樣，所以我會告訴你，與我們看到的 19% 相比，預計全年的 Wireline 利潤率將處於 20% 的低位是合理的2016 年。

So we see a lot of improvements going through the business there.

所以我們看到那裡的業務有很多改進。

Obviously, we're going to have the full-year benefit of the new labor contract through there and we continue to manage costs in that business very closely in line with the revenue trajectories.

顯然，我們將通過那裡獲得新勞動合同的全年收益，我們將繼續根據收入軌跡非常密切地管理該業務的成本。

We continue to see kind of similar revenue trajectories for the enterprise and wholesale businesses and are excited about the Fios business, which was up last year 4.6% on a full-year basis for Fios revenues, and we continue to have more open-for-sale properties there that creates opportunities as we head into 2017.

我們繼續看到企業和批發業務有類似的收入軌跡，並對 Fios 業務感到興奮，該業務去年 Fios 收入全年增長 4.6%，我們繼續有更多的開放-在我們進入 2017 年之際，在那裡銷售能夠創造機會的房產。

On overall margins, and you talk about the Wireless margins, this always comes back to where the service revenue trajectory is going to be.

在整體利潤率上，你談到無線利潤率，這總是回到服務收入軌蹟的位置。

And so we certainly see improvements in service revenue year over year, but we do go into the year off that 4.9% jump-off point from the fourth quarter and we expect to see that continue to improve as we head into 2017.

因此，我們當然會看到服務收入同比有所改善，但我們確實從第四季度的 4.9% 跳轉點進入今年，我們預計在進入 2017 年時會繼續改善。

But as I said, we now see the point at which we get back to year-over-year positive number pushing out into 2018.

但正如我所說，我們現在看到我們回到 2018 年同比正數的地步。

And so I would expect us to continue to have very strong margins in the Wireless business, but it's going to be off of that service revenue trajectory continuing to be slightly negative, though in an improving direction.

因此，我希望我們在無線業務中繼續保持非常強勁的利潤率，但它將脫離服務收入軌跡，繼續略微負增長，儘管朝著改善的方向發展。

Do you think that on a net basis you can keep those Wireless margins flattish?

你認為在淨基礎上你能保持這些無線利潤持平嗎？

Yes, we will continue to aim to produce strong margins in that business and certainly believe that we have the ability to maintain a premium pricing in the market.

是的，我們將繼續致力於在該業務中產生可觀的利潤率，並且當然相信我們有能力在市場上保持溢價。

That will certainly be our aim as we go through the year.

這肯定是我們今年的目標。

Great.

偉大的。

Thanks, Matt.

謝謝，馬特。

David Barden, Bank of America Merrill Lynch.

大衛·巴登，美銀美林。

Thanks for taking the questions.

感謝您提出問題。

I guess two if I could.

如果可以的話，我猜是兩個。

First, Matt, obviously a lot of focus on the guidance.

首先，馬特，顯然非常注重指導。

Taking maybe $2 billion to $3 billion of revenue out of that number; it feels like something has changed on the ground competitively that is making you have to really get more aggressive on the EIP side and then the promotional side.

從這個數字中扣除 20 億到 30 億美元的收入；感覺在競爭方面已經發生了一些變化，這讓你必須在 EIP 方面變得更加積極，然後是促銷方面。

Do you feel like Verizon needs to go to market more aggressively with an unlimited product, like each of your competitors has and is kind of leading with these days?

您是否覺得 Verizon 需要更積極地向市場投放無限量的產品，就像您的每個競爭對手現在已經並且正在領先一樣？

If you could talk about your view; we all knew Fran's views on the economics of that, but I would love to hear what your perspective is on the necessity that you do that and your ability to do that if you chose to.

如果你能談談你的看法；我們都知道 Fran 對此的經濟學觀點，但我很想听聽您對這樣做的必要性以及您選擇這樣做的能力的看法。

Then the second thing, just now with Ajit Pai's elevation to the Chair, do we have greater clarity on the likelihood that we're going to be getting rid of the privacy rules specifically aimed at telecom; also the opportunity to maybe more aggressively monetize broadband?

然後是第二件事，就在 Ajit Pai 升任主席之後，我們是否更加清楚我們將擺脫專門針對電信的隱私規則的可能性？還有可能更積極地將寬帶貨幣化的機會嗎？

Could you talk a little bit about some of the opportunities and actions that you might be taking right now to prepare for the next regulatory wave?

您能否談談您現在可能正在採取的一些機會和行動來為下一波監管浪潮做準備？

Thanks.

謝謝。

Thank you, David.

謝謝你，大衛。

I'll start with your first question.

我將從你的第一個問題開始。

As we look at our market position, it's based off the product offering and we have the best network performance out there, which is a major criteria in the user experience.

當我們審視我們的市場地位時，它基於產品供應，我們擁有最好的網絡性能，這是用戶體驗的主要標準。

Despite the claims of others, third-party studies continue to demonstrate the superiority of our network and this network leadership position, obviously, allows us to maintain a premium price for our service in the marketplace.

儘管有其他人的說法，但第三方研究繼續證明我們網絡的優越性，而這一網絡領導地位顯然使我們能夠在市場上為我們的服務維持高價。

So as I look at it, our service revenues plus installment billing, so the total amount we're actually billing a customer each month, that increased 2% in 2016.

因此，在我看來，我們的服務收入加上分期付款，即我們每月實際向客戶收取的總金額，在 2016 年增長了 2%。

So that demonstrates our offerings continue to be a competitive and resonate in the marketplace.

因此，這表明我們的產品繼續具有競爭力並在市場上引起共鳴。

We constantly monitor the competitive market; look for opportunities to compete more effectively.

我們不斷監控競爭激烈的市場；尋找更有效競爭的機會。

An example of that, we recently launched new single-line pricing which we believe was an underpenetrated market for us.

例如，我們最近推出了新的單線定價，我們認為這對我們來說是一個滲透不足的市場。

Our pricing is disciplined to provide a return for our premium service.

我們的定價是有紀律的，可以為我們的優質服務提供回報。

There is a number of different offers out there.

那裡有許多不同的優惠。

We saw some folks go to unlimited; we saw some bundling of content and so on in the marketplace.

我們看到有些人去無限；我們在市場上看到了一些內容捆綁等。

We continue to assess where we are in there, and as I say, I think our results -- we had 167,000 net phone adds in the quarter, so I believe our positioning continues to be competitive.

我們繼續評估我們在那裡的位置，正如我所說，我認為我們的結果——我們在本季度增加了 167,000 部電話，所以我相信我們的定位仍然具有競爭力。

We constantly look at to what's out there.

我們不斷地關注那裡的情況。

Unlimited is one of the things that some of our competition has at this point in time; that's not something we feel the need to do.

Unlimited 是目前我們的一些競爭對手所擁有的東西之一；這不是我們認為需要做的事情。

But as I say, we continually monitor the market and we will see where we head in the future.

但正如我所說，我們會持續監控市場，我們會看到未來的發展方向。

In terms of your second question, so look, there's a lot of changes going on in DC right now.

關於你的第二個問題，你看，華盛頓現在正在發生很多變化。

Obviously yesterday we saw the announcement that, as you mentioned, of Ajit Pai and so that may have a number of impacts across the regulatory space, but I think it's just too soon to tell exactly where we are going to be.

很明顯，昨天我們看到了公告，正如你提到的，Ajit Pai 可能會對整個監管領域產生許多影響，但我認為現在確切地說出我們將要達到的位置還為時過早。

We look forward to working with the regulators, whether it's the FCC or others.

我們期待與監管機構合作，無論是 FCC 還是其他監管機構。

The other thing that I would mention, though, as you think about that, we make investments for many years given the nature of the business that we are in.

不過，我要提到的另一件事，正如你所想的那樣，鑑於我們所從事的業務的性質，我們進行了多年的投資。

And our investments aren't focused on just who happens to be in office today.

我們的投資並不僅僅關註今天碰巧在職的人。

We're making investments that are for 10-plus years and I think our record stands for itself, that irrespective whoever the administration is run by and the regulatory regime, that we are effective.

我們正在進行 10 多年的投資，我認為我們的記錄不言而喻，無論政府由誰管理，無論監管制度如何，我們都是有效的。

And that will continue to be how we focus our investments.

這將繼續是我們集中投資的方式。

I'd say we look forward to working with the new administration and the new leadership in the FCC, and we expect to continue to be competitive in whatever environment we are operating in.

我想說的是，我們期待與新政府和 FCC 的新領導層合作，我們希望在我們所處的任何環境中繼續保持競爭力。

Craig Moffett, MoffettNathanson.

克雷格·莫菲特、莫菲特·內桑森。

Good morning, guys.

早上好傢伙。

I wanted to step back to a bigger picture question, if I could.

如果可以的話，我想回到一個更大的問題。

Matt, given the comments that you made in the press release about getting the balance sheet back to the pre-Vodafone deal levels, how much room does that leave you before 2018, 2019 for strategic transactions?

馬特，考慮到你在新聞稿中關於將資產負債表恢復到沃達丰交易前水平的評論，在 2018 年、2019 年之前你有多少戰略交易空間？

There's been a lot of speculation about the types of things that you might do in this new environment, whether it's content or wireline or spectrum or none of the above.

關於您在這個新環境中可能做的事情的類型，有很多猜測，無論是內容、有線、頻譜還是以上都不是。

I wonder if you could just give us some thoughts on how much flexibility you have and how you think about the various vectors of opportunity for you.

我想知道您是否可以就您擁有多少靈活性以及您如何看待適合您的各種機會向量給我們一些想法。

Thanks, Craig.

謝謝，克雷格。

As you mentioned, we have been on this path to getting back to the pre-Vodafone credit metrics by 2018-2019 and that is part of our overall capital allocation.

正如您所提到的，我們一直走在這條道路上，以在 2018-2019 年之前恢復到沃達丰之前的信用指標，這是我們整體資本配置的一部分。

We have been able to be consistent with investing in our networks on a continuous basis, making that improvement in the balance sheet, and also returning value to shareholders.

我們能夠持續不斷地投資於我們的網絡，改善資產負債表，並為股東帶來回報。

And since the Vodafone transaction we've had a number of activities that we have done, whether that be AOL, some of the other acquisitions in IoT, such as Fleetmatics.

自 Vodafone 交易以來，我們已經完成了許多活動，無論是 AOL 還是物聯網領域的其他一些收購，例如 Fleetmatics。

We've also divested of businesses, whether it be the Tower transaction as an example.

我們還剝離了業務，例如 Tower 交易。

And so we have been able to continually make strategic transactions while staying consistent to each part of that capital allocation policy.

因此，我們能夠持續進行戰略交易，同時與資本配置政策的每一部分保持一致。

That will be our intent to continue to do so.

這將是我們繼續這樣做的意圖。

As we head into 2017, we believe that we will be able to continue to maintain that capital allocation policy that allows us to deliver on all three of those key areas.

在進入 2017 年之際，我們相信我們將能夠繼續維持資本配置政策，使我們能夠在所有這三個關鍵領域取得成果。

Matt, can you comment on how you think about the various options out there, whether it's content or wireline or spectrum or something else?

Matt，你能評論一下你如何看待那裡的各種選擇，無論是內容、有線、頻譜還是其他什麼？

Obviously, look, I'm not going to comment on any specific combinations that have been rumored over the years and certainly we are not able to talk specifically about spectrum right now, given that we are in the incentive auction.

顯然，看，我不會評論多年來傳聞的任何特定組合，當然我們現在不能具體談論頻譜，因為我們正在進行激勵拍賣。

So we will continue to look for opportunities to expand and grow the business.

因此，我們將繼續尋找機會擴大和發展業務。

Lowell and I are completely aligned that we will be disciplined in any investment activity.

洛厄爾和我完全一致，我們將在任何投資活動中遵守紀律。

We evaluate all options, whether that is build, buy, or partner for our strategic positioning, and the key criteria is creating long-term value for the business and shareholders.

我們根據戰略定位評估所有選項，無論是構建、購買還是合作，關鍵標準是為企業和股東創造長期價值。

We will continue to look for the right things to do to position the business to be successful in the future.

我們將繼續尋找正確的做法，使企業在未來取得成功。

And that is -- we do that on an everyday basis and we will continue to do so.

那就是——我們每天都這樣做，而且我們將繼續這樣做。

And I think we've successfully done that over the past few years.

我認為我們在過去幾年中已經成功地做到了這一點。

Thanks, Matt.

謝謝，馬特。

Mike Rollins, Citigroup.

邁克·羅林斯，花旗集團。

Thanks and good morning.

謝謝，早上好。

Two, if I could.

兩個，如果可以的話。

First, if you could talk about how the 5G business case is progressing from a financial perspective.

首先，請問您能否從財務角度談談 5G 業務案例的進展情況。

And, Matt, what are the key metrics that you are looking for from the team that's working on the business case to facilitate a green light of commercial deployment?

而且，馬特，您正在從致力於業務案例的團隊中尋找哪些關鍵指標來促進商業部署的綠燈？

Is there certain costs metrics, like per home passed, or certain other metrics that you are focused on?

是否有特定的成本指標，例如每家通過，或您關注的某些其他指標？

Then, just if I could follow-up on a clarification.

然後，如果我可以跟進澄清的話。

I think you mentioned that in terms of thinking about flat organic revenue for 2017, you took the revenue for 2016 and you subtracted the divestiture of markets to Frontier and you subtracted AOL.

我想你提到，在考慮 2017 年持平的有機收入時，你將 2016 年的收入減去對 Frontier 的市場剝離，然後減去 AOL。

Can you help us think through what the add-backs then are for 2017 with the number of pending and completed acquisitions that you announced and are still in progress?

您能否幫助我們考慮一下 2017 年的增補以及您宣布的和仍在進行中的未決和已完成收購的數量？

Thanks.

謝謝。

Thanks, Mike.

謝謝，邁克。

Let me start off with 5G.

讓我從 5G 開始。

Look, we had good progress in 2016, as we discussed throughout the year.

看，正如我們全年討論的那樣，我們在 2016 年取得了良好的進展。

We had a number of technical trials and lab scale trials which we completed and so we've now moved on to the next phase of that, which is some of these commercial scale pilots that are getting underway right now in about 10 different locations around the country.

我們完成了一些技術試驗和實驗室規模的試驗，所以我們現在進入下一階段，其中一些商業規模的試點目前正在全球大約 10 個不同的地點進行國家。

We are very excited about the opportunities that 5G brings.

我們對 5G 帶來的機遇感到非常興奮。

We will see how those trials go and we look forward to sharing progress with you on those as we move forward throughout the year.

我們將看到這些試驗的進展情況，並期待在我們全年推進的過程中與您分享這些試驗的進展。

You asked around key metrics.

您詢問了關鍵指標。

I think it's going to be the same as any major investment we could be looking at, just a combination of what's the cost to rollout 5G.

我認為這將與我們可能考慮的任何重大投資相同，只是推出 5G 的成本的組合。

We get into questions about how -- the distance from the node; how many homes can you cover from any particular node?

我們開始討論如何——與節點的距離；您可以從任何特定節點覆蓋多少個家庭？

What speeds can we get?

我們能達到什麼速度？

What's the cost of putting that there, etc., etc.?

把它放在那裡等等的成本是多少？

XO obviously brings something to that by adding additional fiber to the base as we think about rolling out the infrastructure needed for 5G.

當我們考慮推出 5G 所需的基礎設施時，XO 顯然通過在基礎上增加額外的光纖來帶來一些東西。

And -- but it's the same as any investment, Mike.

而且 - 但它與任何投資都一樣，邁克。

We are going to look at the revenue opportunity we think we can get based off of the results of the tests that are underway right now, compare that with the cost, and if it provides a great return for shareholders, we will certainly move ahead with launching commercially.

我們將根據目前正在進行的測試結果，研究我們認為可以獲得的收入機會，將其與成本進行比較，如果它能為股東帶來豐厚的回報，我們肯定會繼續商業啟動。

And if -- it will be the same as any other investment; we will look at it the same way.

如果——它將與任何其他投資一樣；我們將以同樣的方式看待它。

In terms of your second question on 2016, you're right; the baseline is reducing the Frontier divestiture and also AOL, because we only had it for partially -- part of the year in 2015.

關於 2016 年的第二個問題，你是對的；基線正在減少 Frontier 資產剝離和 AOL，因為我們只在 2015 年的部分時間擁有它。

So then if you think about total revenue for 2017, it would include obviously the full year of AOL this year.

那麼如果你考慮 2017 年的總收入，它顯然會包括 AOL 今年的全年收入。

We expect XO to kick in later this quarter.

我們預計 XO 將在本季度晚些時候推出。

We expect the IoT businesses -- you're going to have the full year of Fleetmatics and Telogis and the other IoT acquisitions.

我們期待物聯網業務——你將擁有全年的 Fleetmatics 和 Telogis 以及其他物聯網收購。

And then, assuming the Yahoo transaction closes, you will have the revenue from there, too.

然後，假設雅虎交易結束，你也將從那裡獲得收入。

So when you think about building on the number that Mike mentioned, the $121 billion, you got all those things to layer on top of that to get to the expectation for the full year.

因此，當您考慮以 Mike 提到的 1210 億美元的數字為基礎時，您將所有這些東西疊加在上面，以達到全年的預期。

Obviously, as it relates to pending transactions, it will be contingent on the timing of those as well.

顯然，由於它涉及未決交易，因此也取決於這些交易的時間。

So hopefully that answers your question on that.

所以希望這能回答你的問題。

Thanks very much.

非常感謝。

Brett Feldman, Goldman Sachs.

布雷特費爾德曼，高盛。

Thanks for taking the question.

感謝您提出問題。

If I look at your CapEx guidance for the full year, it essentially seems you're guiding to flat, plus or minus a reasonable range.

如果我看一下你全年的資本支出指導，基本上你似乎在指導持平，加上或減去一個合理的範圍。

I was hoping you could maybe unpack that a little bit.

我希望你能稍微解壓一下。

And just thinking about your network strategy and your product strategy, what areas are you accelerating capital investment inside the business?

想想你的網絡戰略和產品戰略，你在哪些領域加速了企業內部的資本投資？

Maybe where do you feel like you've done a good job building out your network where it needs to be?

也許您覺得自己在哪些方面做得很好，在需要的地方建立了您的網絡？

Thanks.

謝謝。

Thanks, Brett.

謝謝，布雷特。

As you think about the CapEx, as you say, the number is reasonably consistent year after year and that's something you've seen from us for a number of years.

當你想到資本支出時，正如你所說，這個數字年復一年地相當穩定，這是你多年來從我們這裡看到的。

But, as you say, within that it changes over time.

但是，正如您所說，它會隨著時間而變化。

So within LTE our spending continues to transition from coverage to densifying the network.

因此，在 LTE 中，我們的支出繼續從覆蓋轉向密集網絡。

And that continues to evolve as we leverage new technologies around radio and hardware and software and then refarming our spectrum within 4G and densifying with small cell.

隨著我們利用圍繞無線電和硬件和軟件的新技術，然後在 4G 內重新分配我們的頻譜並通過小型蜂窩進行緻密化，這種情況會繼續發展。

So you will continue to see that densification of the 4G network.

因此，您將繼續看到 4G 網絡的密集化。

And that includes how we put fiber out there, which obviously is needed for the 4G network, but also is something that we think about for prepositioning for 5G.

這包括我們如何鋪設光纖，這顯然是 4G 網絡所需要的，但也是我們為 5G 預置考慮的事情。

So you will continue to see that.

所以你會繼續看到這一點。

You will continue to see us launch additional parts of LTE Advanced as we go through that.

隨著我們的發展，您將繼續看到我們推出 LTE Advanced 的其他部分。

We had the initial launch of that last year.

我們在去年首次推出了該產品。

We expect additional features to come during the course of this year and we will continue to expand our C-RAN architecture.

我們預計今年會推出更多功能，並且我們將繼續擴展我們的 C-RAN 架構。

So within Wireless you should expect to see the spending continue to move to make the network more efficient on a cost-per-gig basis going forward.

因此，在 Wireless 中，您應該期望看到支出繼續增加，以提高網絡在每千兆成本基礎上的效率。

Then, as we've mentioned, fiber is a consistent part of our business so that is something you should expect to see us continue in.

然後，正如我們已經提到的，光纖是我們業務的一貫組成部分，因此您應該期望看到我們繼續這樣做。

We've talked about what we're doing in Boston; you should continue to see us do that.

我們已經討論了我們在波士頓所做的事情；你應該繼續看到我們這樣做。

Some of the other businesses aren't -- as we've said previously, they are not as capital intensive as our network business, so you should expect to see that CapEx will continue to be focused on the network side of the business as we go into 2017.

其他一些業務不是——正如我們之前所說，它們不像我們的網絡業務那樣資本密集，所以你應該期望看到資本支出將繼續專注於業務的網絡方面，因為我們進入2017年。

Just a quick question as a follow-up around where you're investing; you talked about the precommercial, the 5G commercial trials you're running.

只是一個簡短的問題，作為您投資地點的後續行動；你談到了預商用，你正在運行的 5G 商業試驗。

Are those predominantly within your wireline footprint?

這些主要在您的有線線路覆蓋範圍內嗎？

Or do you actually think that when you are ready to go commercial you have a business case to go in whatever markets look like they have the best demographics, regardless of whether you are an incumbent wireline provider or not?

或者你真的認為當你準備好商業化時，你有一個商業案例可以進入任何看起來擁有最佳人口統計數據的市場，無論你是否是現有的有線提供商？

It's not just in the ILEC footprint; it's across the country and we certainly see the opportunity to deploy 5G solutions across the country as well.

這不僅僅是在 ILEC 的足跡中；它遍布全國，我們當然也看到了在全國部署 5G 解決方案的機會。

Once we get comfortable with it, they are ready to be launched out on a commercial basis.

一旦我們對它感到滿意，它們就可以在商業基礎上推出。

So you could do One Fibers in markets across the country, not just in Boston?

所以你可以在全國各地的市場上做 One Fibers，而不僅僅是在波士頓？

Yes, certainly we're looking at how we would support the 5G network across the country, both in and outside the ILEC footprint.

是的，我們當然正在研究如何在 ILEC 足跡內外支持全國的 5G 網絡。

Thank you.

謝謝。

Mike McCormack, Jefferies.

邁克麥科馬克，傑富瑞。

Thanks.

謝謝。

Matt, maybe just a clarification on your comments regarding service revenue turning positive.

馬特，也許只是澄清你對服務收入轉正的評論。

Just give us a sense; obviously optimization continues, but is that predicated on a stable pricing environment in your view?

給我們一個感覺；顯然優化仍在繼續，但您認為這是否以穩定的定價環境為前提？

Secondly, on the retention side, it looks like you've got about a 21% delta between those that are on unsubsidized plans versus those making device payments.

其次，在留存率方面，使用無補貼計劃的用戶與使用設備付費的用戶之間似乎存在大約 21% 的差值。

Is that fair?

這公平嗎？

And then, as we think about that, how much of that is bring your own device versus off-contract versus your own retention efforts?

然後，正如我們所考慮的那樣，其中有多少是您自己的設備與合同外的設備以及您自己的保留努力？

And then, if you don't mind, a final one.

然後，如果你不介意，最後一個。

Based on our math, it looks like you still have about 13.1-ish-million feature phones out there, so non-smartphones.

根據我們的計算，看起來您仍然有大約 1310 萬部功能手機，所以是非智能手機。

What is the strategy to try to move those over to smartphones or try to retain them to prevent headwinds on handsets as we look into 2017?

當我們展望 2017 年時，嘗試將這些轉移到智能手機或嘗試保留它們以防止手機出現逆風的策略是什麼？

Thanks, Mike; I'll start with the last one.

謝謝，邁克；我將從最後一個開始。

Look, we certainly like it when customers migrate from feature phones to an LTE smartphone, but we are also very happy for those customers that just want a feature phone.

看，當客戶從功能手機遷移到 LTE 智能手機時，我們當然喜歡它，但我們也為那些只想要功能手機的客戶感到非常高興。

They are not looking for the additional functionality, but they want to be connected to a great network.

他們不是在尋找額外的功能，而是希望連接到一個強大的網絡。

We are very happy to continue to have those as customers and we look forward to continuing to have offerings that meet their needs as well.

我們很高興繼續擁有這些客戶，我們也期待繼續提供滿足他們需求的產品。

In terms of service revenue, and I think you talked about the gap between the 46% of our customers who have a device payment plan and the 67% of our base who now are on unsubsidized pricing.

在服務收入方面，我想你談到了我們有設備支付計劃的 46% 的客戶與現在享受無補貼定價的 67% 的客戶之間的差距。

That's a factor of as customers come out of their two-year service contracts and they move over to that pricing without necessarily upgrading a handset and we expect that will continue.

這是一個因素，因為客戶結束了他們的兩年服務合同，他們轉向該定價而不必升級手機，我們預計這種情況將繼續下去。

That delta between those two numbers will be those customers who have either come out of two-year subsidy and moved over to the unsubsidized pricing.

這兩個數字之間的差值將是那些已經退出兩年補貼並轉向無補貼定價的客戶。

They could be -- we now have customers who took out a device payment plan over two years ago who have completed those payments and are now no longer making a device payment every month.

他們可能是——我們現在有客戶在兩年多前製定了設備付款計劃，他們已經完成了這些付款，現在不再每月進行設備付款。

And as you say, BYOD continues to be part of that base, too.

正如您所說，BYOD 也將繼續成為該基地的一部分。

So you should expect there continue to be a delta between those two numbers, because not everyone on unsubsidized pricing is going to have a current device plan.

所以你應該預料到這兩個數字之間會繼續存在差異，因為並不是每個享受無補貼定價的人都會有當前的設備計劃。

We see that continuing as we go into the year and part of the (multiple speakers) migrating over to device payment.

隨著我們進入這一年和部分（多個演講者）遷移到設備支付，我們看到這種情況仍在繼續。

Sorry, just a clarification.

對不起，只是一個澄清。

I guess I'm trying to get to how much of that -- I'm sorry to interrupt -- but the actual percentage of that that is you going into actively retain customers that are still on contract, to reduce their price point without losing a customer.

我想我正在嘗試了解其中有多少 - 抱歉打斷 - 但實際百分比是你要積極留住仍在合同中的客戶，以降低他們的價格點而不損失一個客戶。

Is there some component of that as well?

這也有一些組成部分嗎？

Yes, the vast majority of our two-year customers who have gone on to the unsubsidized pricing is when they've come to the end of that.

是的，我們絕大多數使用無補貼定價的兩年期客戶都已經走到了盡頭。

We typically -- customer has to get through their two-year price plan, if they are on that two-year service contract, before they would then be able to come to the unsubsidized pricing.

我們通常 - 客戶必須完成他們的兩年價格計劃，如果他們有兩年的服務合同，然後他們才能獲得無補貼的定價。

When you look at our churn, I think what you're trying to get to is that phone churn that was below 0.9%.

當您查看我們的客戶流失率時，我認為您想要了解的是低於 0.9% 的電話客戶流失率。

And that is not because we are bringing customers onto that pricing before they've moved there.

這並不是因為我們在客戶搬到那里之前就把他們帶到了那個定價上。

I think that continued strong churn represents the value our base sees in the service they get and the high quality of the network that they have when they are a Verizon customer.

我認為持續強勁的客戶流失代表了我們的基礎在他們獲得的服務中看到的價值以及他們作為 Verizon 客戶時擁有的高質量網絡。

It's only when they come out of their two-year contract do they move over to -- have the opportunity to move over to unsubsidized pricing.

只有當他們結束兩年的合同時，他們才會轉向 - 有機會轉向無補貼定價。

Thanks for the clarification.

感謝您的澄清。

Just on the service revenue expectations, is that -- stable pricing is the expectation there or expecting additional promotions as we look at 2017?

就服務收入預期而言，我們對 2017 年的預期是穩定的定價還是預期的額外促銷活動？

Yes, we expect to continue to compete in the marketplace as throughout 2016.

是的，我們希望在整個 2016 年繼續參與市場競爭。

We did various promotions throughout the year; I would expect us to continue to at different times of the year have different promotions out there.

我們全年都做了各種促銷活動；我希望我們繼續在一年中的不同時間進行不同的促銷活動。

But I expect, based off that, we will compete effectively in the marketplace.

但我預計，基於此，我們將在市場上有效競爭。

Great.

偉大的。

Thank you, Matt.

謝謝你，馬特。

Amir Rozwadowski, Barclays.

Amir Rozwadowski，巴克萊銀行。

Thanks very much and good morning.

非常感謝，早上好。

Just a quick follow-up on Brett's questions on fiber.

只是快速跟進布雷特關於纖維的問題。

Specifically, how should we think about your future fiber needs?

具體來說，我們應該如何考慮您未來的光纖需求？

It seems like in some context you are willing to shed certain assets, but have also acquired others, and are also working with third-party providers.

在某些情況下，您似乎願意放棄某些資產，但也收購了其他資產，並且還在與第三方提供商合作。

In some cases, overbuilding in areas such as Boston.

在某些情況下，波士頓等地區的過度建設。

What I'm trying to understand is that based on your actions, it seems as though not all fiber assets are created equal.

我想了解的是，根據您的行為，似乎並非所有光纖資產都是平等的。

And so how do you get to the point where you have the right fixed assets in the right locations to support your network vision?

那麼，您如何才能在正確的位置擁有正確的固定資產來支持您的網絡願景呢？

And I've just got a brief follow-up.

我剛剛得到了一個簡短的跟進。

Good morning, Amir.

早上好，阿米爾。

Thank you for that.

謝謝你。

Fiber is going to be a critical asset for us.

光纖將成為我們的重要資產。

It's a critical asset today and it will certainly continue to be so as we go into the future.

它在今天是一項重要資產，而且在我們走向未來時肯定會繼續如此。

One thing it allows us to do -- and this certainly is within our footprint -- is it replaces the core copper networks that have served us well over the years.

它允許我們做的一件事——這當然在我們的足蹟之內——就是它取代了多年來為我們提供良好服務的核心銅線網絡。

But from a capability standpoint and also just a maintenance standpoint, it certainly makes a lot of sense for us to continue to replace copper with fiber.

但從功能和維護的角度來看，繼續用光纖代替銅纜對我們來說當然很有意義。

Then, as you say, fiber is going to be critical for us as we densify 4G and think about 5G.

然後，正如您所說，隨著我們密集化 4G 並考慮 5G，光纖對我們來說將變得至關重要。

That explains why the XO transaction was interesting to us; getting those metro rings in 45 of the top 50 markets.

這就解釋了為什麼我們對 XO 交易感興趣；在排名前 50 位的市場中的 45 個獲得這些地鐵環線。

The other thing you have seen us do in Boston was really look at this One Fiber approach, which was building a network in a way that provides a common fiber infrastructure to serve a number of different needs, whether that be consumers in in-home or out-of-home, and then obviously our small, medium, and enterprise customers, too.

您看到我們在波士頓做的另一件事是真正了解這種 One Fiber 方法，它以一種提供通用光纖基礎設施的方式構建網絡，以滿足許多不同的需求，無論是家庭消費者還是家庭消費者。出門在外，顯然還有我們的中小型和企業客戶。

So you should continue to see us deploy fiber.

所以你應該繼續看到我們部署光纖。

How we deploy that fiber can differ from location to location.

我們如何部署該光纖可能因位置而異。

We certainly look where it makes sense for us to own the fiber, but if there is ways for us to partner with other people or they can build the fiber on our behalf, we certainly do that as well.

我們當然會尋找對我們擁有光纖有意義的地方，但如果我們有辦法與其他人合作，或者他們可以代表我們建造光纖，我們當然也會這樣做。

So it's a location-by-location, case-by-case basis.

因此，這是逐個位置、逐個案例的基礎。

We look at the economics and we decide the best way to get to the fiber assets that we need.

我們著眼於經濟學，然後決定獲得所需光纖資產的最佳方式。

And we think about that it's not just the fiber assets that we need for what we are doing today, but as we think about the network going out into the future.

我們認為，這不僅僅是我們今天正在做的事情所需要的光纖資產，而且當我們考慮未來的網絡時。

You should continue to see us make investments in fiber as we go forward and position the network to service the business well into the future.

在我們前進的過程中，您應該繼續看到我們對光纖進行投資，並將網絡定位為為未來的業務提供良好服務。

Great.

偉大的。

Just a quick follow-up on your 2017 outlook.

快速跟進您的 2017 年展望。

What type of factors do you take into account on any potential changes to the competitive landscape?

對於競爭格局的任何潛在變化，您會考慮哪些類型的因素？

In particular, Comcast has highlighted that they expect to launch their WiFi MVNO strategy in the back half of the year.

特別是，Comcast 強調他們希望在今年下半年推出他們的 WiFi MVNO 戰略。

Given you folks are partnered there, I was wondering what you are factoring in with respect to that partnership in terms of size and impact to both your financials and potentially the competitive landscape.

鑑於你們在那里合作，我想知道你們在規模和對你們財務和潛在競爭格局的影響方面考慮了什麼。

Yes, so as I think about -- look, we know they said they expect to launch that later in the year.

是的，正如我所想的——看，我們知道他們說他們希望在今年晚些時候推出。

We'll have to wait to see what it is.

我們將不得不等著看它是什麼。

As we've said previously, look, we've been in the wholesale business for many years.

正如我們之前所說，看，我們從事批發業務已有多年。

We are happy to be in that business and we would sign that agreement again if the opportunity came up.

我們很高興從事這項業務，如果有機會，我們會再次簽署該協議。

But, look, we don't expect that to necessarily have a major impact during the course of 2017.

但是，你看，我們預計這不一定會在 2017 年期間產生重大影響。

They've got a lot of work to do there and I'll let them talk about their strategy on that.

他們在那裡有很多工作要做，我會讓他們談談他們的戰略。

But as I think about the competitive environment as a whole, I would expect it to continue to evolve in ways that -- some of which we may guess and others of which we will have to wait and see how they play out.

但當我考慮整個競爭環境時，我希望它會繼續以這樣的方式發展——其中一些我們可能會猜測，而另一些我們將不得不等待，看看它們如何發揮作用。

But what I would remind you is that we've seen many different competitive environments over the past 15, 20 years in wireless and I think the one constant has been the way that we have always competed effectively whatever the environment.

但我要提醒你的是，在過去的 15 年、20 年裡，我們在無線領域看到了許多不同的競爭環境，我認為一個不變的是我們在任何環境下始終有效競爭的方式。

And I would highly expect us to do the same thing in 2017.

我非常希望我們在 2017 年做同樣的事情。

Thank you for your questions.

謝謝你的問題。

Tori, before we end the call I would like to turn the call back to Matt.

Tori，在我們結束通話之前，我想把電話轉回給 Matt。

Thanks, Mike.

謝謝，邁克。

I would like to close this session with a few key points.

我想以幾個要點結束本次會議。

In 2016 we delivered solid results in a competitive environment.

2016 年，我們在競爭激烈的環境中取得了可觀的成績。

We added quality customers while leading the industry in network performance and customer retention.

我們增加了優質客戶，同時在網絡性能和客戶保留方面處於行業領先地位。

We had solid financial results generating cash flow and shareholder return.

我們取得了穩健的財務業績，產生了現金流和股東回報。

We are confident in our strategy and priorities led by investing in our networks, creating platforms to further monetize data usage, maintaining a disciplined capital allocation model, and returning value to our shareholders.

我們對我們的戰略和優先事項充滿信心，投資於我們的網絡，創建平台以進一步將數據使用貨幣化，維持有紀律的資本分配模型，並為我們的股東回報價值。

We are positioning the Company for long-term growth.

我們正在為公司的長期增長定位。

A key foundational element for our vision of the future is to be the trusted network provider.

我們未來願景的一個關鍵基礎要素是成為值得信賴的網絡提供商。

Our strong network assets will enable us to be a centerpiece of this new connected world of people and things and give us the opportunity to participate globally in advancing digital ecosystems.

我們強大的網絡資產將使我們成為這個人與物互聯的新世界的核心，並使我們有機會參與全球數字生態系統的發展。

We look forward to the opportunities ahead of us to create value for our customers and shareholders.

我們期待著為我們的客戶和股東創造價值的機會。

Thank you for your time today.

謝謝你今天的時間。

Ladies and gentlemen, this does conclude the conference call for today.

女士們，先生們，今天的電話會議到此結束。

Thank you for your participation and for using Verizon conference services.

感謝您的參與和使用 Verizon 會議服務。

You may now disconnect.

您現在可以斷開連接。

COMPANY DISCLAIMERS

公司免責聲明

Important Additional Information and Where to Find It

重要的附加信息以及在哪裡可以找到它

On September 9, 2016, Yahoo!

2016 年 9 月 9 日，雅虎！

Inc.

公司

("Yahoo") filed with the Securities and Exchange Commission (the "SEC") a preliminary proxy statement regarding the proposed sale of Yahoo's operating business to Verizon Communications Inc.

(“Yahoo”) 向美國證券交易委員會 (“SEC”) 提交了一份關於將雅虎運營業務出售給 Verizon Communications Inc. 的初步委託書。

("Verizon") and related transactions, and the definitive version of which will be sent or provided to Yahoo stockholders.

（“Verizon”）和相關交易，其最終版本將發送或提供給雅虎股東。

BEFORE MAKING ANY VOTING DECISION, YAHOO'S STOCKHOLDERS ARE STRONGLY ADVISED TO READ YAHOO'S PROXY STATEMENT IN ITS ENTIRETY (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO WHEN THEY BECOME AVAILABLE) AND ANY OTHER DOCUMENTS FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTIONS OR INCORPORATED BY REFERENCE THEREIN BECAUSE THEY CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTIONS.

在做出任何投票決定之前，強烈建議雅虎的股東完整閱讀雅虎的委託書（包括任何修訂或補充，當它們可用時）以及提交給美國證券交易委員會的與擬議交易有關的任何其他文件部分或通過引用併入其中因為它們包含有關擬議交易的重要信息。

Investors and stockholders can obtain a free copy of Yahoo's proxy statement, any amendments or supplements to the proxy statement, and other documents filed by Yahoo with the SEC in connection with the proposed transactions for no charge at the SEC's website at www.sec.gov, on the Investor Relations page of Yahoo's website investor.yahoo.net or by writing to Investor Relations, Yahoo!

投資者和股東可以在美國證券交易委員會的網站 www.sec.gov 上免費獲得雅虎代理聲明的副本、代理聲明的任何修改或補充，以及雅虎向美國證券交易委員會提交的與擬議交易有關的其他文件。 ，在雅虎網站 investor.yahoo.net 的投資者關係頁面上或寫信給投資者關係部，雅虎！

Inc., 701 First Avenue, Sunnyvale, CA 94089.

Inc., 701 First Avenue, Sunnyvale, CA 94089。

Yahoo and its directors and executive officers, as well as Verizon and its directors and executive officers, may be deemed participants in the solicitation of proxies from Yahoo's investors and stockholders in connection with the proposed transactions.

雅虎及其董事和執行官，以及 Verizon 及其董事和執行官，可能被視為就擬議交易向雅虎投資者和股東征集委託書的參與者。

Information concerning the ownership of Yahoo securities by Yahoo's directors and executive officers is included in their SEC filings on Forms 3, 4 and 5, and additional information is also available in Yahoo's annual report on Form 10-K for the year ended December 31, 2015, as amended, and Yahoo's proxy statement for its 2016 annual meeting of stockholders filed with the SEC on May 23, 2016.

有關雅虎董事和高管持有雅虎證券的信息包含在他們提交給美國證券交易委員會的表格 3、4 和 5 中，其他信息也可在雅虎截至 2015 年 12 月 31 日的年度報告表格 10-K 中找到，經修訂，以及雅虎於 2016 年 5 月 23 日向美國證券交易委員會提交的 2016 年度股東大會委託書。

Information about Verizon's directors and executive officers is set forth in Verizon's annual report on Form 10-K for the year ended December 31, 2015 and Verizon's proxy statement for its 2016 annual meeting of stockholders filed with the SEC on March 21, 2016.

有關 Verizon 董事和執行官的信息載於 Verizon 截至 2015 年 12 月 31 日止年度的 10-K 表格年度報告和 Verizon 於 2016 年 3 月 21 日向美國證券交易委員會提交的 2016 年股東年會委託書。

Information regarding Yahoo's directors, executive officers and other persons who may, under the rules of the SEC, be considered participants in the solicitation of proxies in connection with the proposed transactions, including their respective interests by security holdings or otherwise, also will be set forth in the definitive proxy statement relating to the proposed transactions when it is filed with the SEC.

根據美國證券交易委員會的規定，雅虎董事、執行官和其他可能被視為與擬議交易有關的委託書徵集參與者的信息，包括他們各自持有的證券或其他利益，也將列出在向美國證券交易委員會提交的與擬議交易相關的最終代理聲明中。

These documents may be obtained free of charge from the sources indicated above.

這些文件可從上述來源免費獲得。