1. Chris Fowler General Counsel UK Commercial, BT plc

2. © British Telecommunications plc The parallels between telecoms business and the legal industry today? Commoditisation of traditional revenue streams Move from traditional usage / variable charging models to fixed / output based models Disruptive technology Lower regulatory barriers to entry – new entrants without the cost based of established providers –How has BT adapted?

3. © British Telecommunications plc Never confuse effort with results!

4. © British Telecommunications plc Ahead of the Game BT Legal’s vision is to be: a trusted partner delivering a business-focussed and competitive service to our customers to help them thrive in a changing world Simple by managing our people by what they do, not who they do it for Efficient by standardising what we do and providing our people with the tools to do things right first time Clear by clarifying our role & accountabilities and being supported to do it well Smart by being informed and knowing our function and business inside out… and outside in We will be… AC B D A1 Enhance know-how & training A2 Effective communications A3 Optimise financial planning B1 Shared services B2 Core legal services B3 Central operations C1 Rationalise & enhance tools C3 Purchasing excellence & optimise suppliers C2 Rationalise systems & processes D1 Role clarity & accountability D2 Leadership impact and people engagement D3 Performance management BT Legal Vision and Underpinning Transformation Themes 2

5. Data to drive business behaviour Contracts / Transaction documents are data points Data is driving a discussion on the value of a negotiation! Being forensic on legal’s involvement in the contracting cycle time Opportunity for law firms given their transactional data – game changer if it can be used with technology Legal cycle time

6. © British Telecommunications plc Using data to manage the BT legal business and demonstrate efficiency

7. © British Telecommunications plc How long is it with legal and how long with the BT Business?

8. © British Telecommunications plc Motor Claims Claims handling for 45000 vehicles Annual claims turnover 6000 Recover 94.5% ULR losses Comprehensive 3rd party intervention Public Liability Annual claims turnover 5800 Over 55% of injury claims rejected Pro active property repair service Employment Law Servicing a UK- wide workforce of 89000 Support deals worth over £2bn Includes all advocacy 300 tribunal claims annually Employers’ Liability 350 accident and disease claims annually Serious incident management Expertise includes noise, asbestos, stress Catastrophic injury An ABS entity that enables BT Legal to be managed on EBITDA not just GMC