Rebuilding our Infrastructure for a Sustainable Environment Local Observations and Current Challenges of our Post Catastrophe Revitalization

Cox’s Story In August 2005 Our system was in disarray, we lost services to our customers in Orleans, St. Bernard, Jefferson and St Charles. Our crisis team (senior managers) was permanently housed in our Baton Rouge headquarters. October 2005 We guesstimated we were looking at a loss of 40% of our customer base and were dealing with severe human capital shortages. (Non-emergency employees were displaced from New York to California)

Cox’s Rebuild We began an aggressive rebuild in early October 05 By January 1 st of 06 we were able to feed 72% of our market and service 89% of our returned customers Then our attention turned to a long term region strategy which led to commitments from our parent company of over 500 million U.S. dollars for the next 4 years At a Glance Cox New Orleans Basic subscribers before Katrina: 257,000 (homes connected) Basic subscribers end 2006: 183,000 Decrease: 74,000 (homes lost) Service area: Orleans, Jefferson, St. Charles and St. Bernard parishes.

Challenges (one perspective) The entire Gulf Coast is in competition for residents (human capital) We need to choose to perform our activities differently than other communities (metropolitan areas) – show the strength of our levees and the ports A sustainable long term strategic position requires trade-offs ( Michael Porter, Harvard Business School) - Look for opportunities that compliment the tourism and sociocultural difference of Orleans, and manage crime. Reposition ourselves to match other communities when things work-well, but work on bringing in innovation through technology based schooling as a catalyst to growth

When asked - am I concerned about the future? I quote Colin Powel – who says, “ think perpetual optimism! ”