Q4 and Year ended 31 December 2012

Financial Results Presentation

23 January 2013

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The following presentation contains forward looking statements by the Management of Bahrain Telecommunications Company (Batelco), relating to financial trends for future periods, compared to the results for previous periods (the statements).

The statements:

contain expressions of future expectations or opinions (including but not limited to the financial conditions, results of operations and businesses, and related plans and objectives of Batelco), which are based upon Batelco’s current views and best estimation having regard to current information, prevailing uncertainties in the market place and an ever changing regulatory environment and other factors, many of which are outside Batelco’s control;

are based upon information and assumptions known to date and are subject to various known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those in the statements as originally made;

include projected performance targets of Batelco; and

should not be construed as a representation, forecast or projection as to future performance of Batelco as the actual performance of Batelco may vary significantly from such targets and consequently you should rely upon your own enquiries, evaluation, and analysis in relation to the statements.

Where reference is made in the presentation to “BD” it means Bahraini Dinars and “USD or $” means US dollars unless otherwise indicated. Any discrepancies between individual amounts and totals are due to rounding.

Forward looking Statement – important note

Year Ended 31 December 2012 - Key Highlights

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YTD Dec 2012 Gross Revenues of BD 305M

YTD Dec 2012 EBITDA of BD 102M. Normalized EBITDA1 at ~BD 123M with 40% margins

YTD Dec 2012 Net Profits of BD 60M

Healthy Cash and bank balances of BD 95M despite significant one-off capital investments in Q1 2012

Low Debt balance of BD 18M. Net Debt/EBITDA at -0.8x

International operations contribute 41% of revenues and 39% of EBITDA in line with previously communicated diversification strategy of the Group

Group subscribers at ~7.8M. Higher QoQ and YoY (excl. STel subscribers)

Total cash dividends of 25 Fils per share amounting to BD 36M approved by Board and recommended for shareholders’ approval. Interim dividend of 15 fils per share amounting to BD 21.6M was declared and paid in Q3 2012. In addition, 10% Bonus share also approved for shareholders’ approval

3G launched in Jordan with ~123k subscriber additions by end of 2012

1 Normalised for restructuring expenses, M&A costs, one-off revenue adjustments and incremental 3G and electricity costs

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1. Q4 and Year Ended 31 December 2012 Results Review

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Q4 2012- Resilient Performance

Despite competitive pressures across MENA markets, Net Profit of BD17.8M was reported for Q4 2012 with a healthy EBITDA margin of 37%. Margins higher QoQ

Totals and Percentages may vary due to rounding

1Certain costs have been reclassified from Non-staff Opex to Outpayments and COS2. YTD 2012 staff costs include one-off restructuring charge. 116 staff released during the year under redundancy program

Gross Revenues by Geography(after inter-segment eliminations)

BD M

2012 2011 Var

Bahrain (% of total)

178.859%

202.962%

Jordan 92.730%

88.927%

Other Countries

33.211%

35.211%

Total 304.7 327.0

Revenues diversified by segment & geographies

Totals and Percentages may vary due to rounding

12%

4%

6%

7%

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Profit *BDM

2012 2011 Var

Bahrain (Note 1) 45.8 67.8

Jordan(Note 2) 9.8 13.6

Other Countries(Note 3)

9.7 2.5

Total 65.3 83.9

32%

28%

300%

22%

*Total Profit refers to Profit before Non-Controlling Interest

Note 1: Profitability impacted by intense competition in mobile market, higher restructuring costs and one-offs.

Note 2: Profitability impacted by higher electricity costs and aggressive 3G roll out costs

Note 3: Higher QNet Profitability in addition to STel re-classification to held -for- sale in Q2 2011

Gross Revenues by ProductAs % of Total Revenues

2012 2011

Revenues Product Profile

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Mobile revenues contribution lower due to steep decline in Bahrain revenues

Other revenues higher due to higher handset and equipment sales in Bahrain1

1 Higher handset/devices costs also led to the margin erosions across the Group

CAPEX AND LIQUIDITY PROFILE

Capex/Revenue Ratio (~23%) reflects investments in 3G License & Building acquisition in Jordan. Excluding these one-off items, normalized Capex/Revenue ratio would be 13%

Totals and Percentages may vary due to rounding 8

1 One off capital expenditures (3G License and Building acquisition) excluded for calculation of normalized free cash flow2 Simple FCF = EBITDA –Capex payments3 Borrowings to finance Atheeb Rights Issue and Umniah general purpose financing

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2. Operational Review

Group Subscriber Summary

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1Based on subscriber definitions followed by each OpCo in respective country2 In Bahrain and Jordan, Mobile subscribers include voice , data and dongles subscribers

Q4 2012 Q3 2012 % change Q4 2011 % change

Mobile Subscribers1 (K subs)

Subsidiaries

Batelco Bahrain 702 681 3 739 (5)

Umniah 2,382 2,377 - 2,306 3

Sub-Total 3,084 3,058 1 3,045 1

Associates

Sabafon 4,112 3,778 9 3,094 33

STel - - - 3,549 (100)

Sub-Total 4,112 3,778 9 6,643 (38)

Grand Total (Mobile Subscribers) 7,196 6,836 5 9,688 (26)

Total Broadband Subscribers 450 381 18 297 52

Total Fixed Subscribers 162 162 - 171 (5)

Overall, Group subscribers at ~7.8M. Higher QoQ and YoY (excl. STel subscribers)

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3. Key Initiatives

2013 Key Initiatives1. CWC M&I Acquisition

Focus on timely completion of CWC Monaco & Islands transaction Raise ~USD 650M financing ( bond) with favorable pricing Ensure timely and smooth integration and buildup of synergies within enlarged group

2. Bahrain – Batelco Focus on retention of High Value Customers – GEAR including data customers growth Cost leadership program (BD 20M savings Post 2014)

3. Jordan – Umniah Post 3G launch customer retention and acquisition Support Opex reduction initiatives in Jordan to off-set impact of increased electricity costs

and tighter market conditions

4. Saudi – Atheeb Continue to support company transformation into B2B provider

5. Yemen – Sabafon Support the company to achieve profitability growth and regain market share

6. M&A Pursue further growth via acquisition of established operators

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4. Appendices

Consolidated Statement of Financial Position as at 31 December 2012

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Consolidated Income Statement for the year ended 31 December 2012

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Consolidated Statement of Cash Flowsfor the year ended 31 December 2012

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More information

Batelco Investor Relations

Principal Analyst, Investor Relations Telephone +973 17884557

Fax +093 17611898e-mail Investor@batelcogroup.com

Batelco Media RelationTelephone +973 17884557

Group General Manager Fax +973 17611898Media Relations e-mail Ahmed.Aljanahi@batelcogroup.com