Note 20 – Supplemental Guarantor Financial Information

The Senior Notes, New Notes and Original Notes are fully and unconditionally guaranteed on an unsecured, unsubordinated, joint and several basis by the Company's existing and future 100%-owned direct and indirect domestic subsidiaries that are guarantors of the Company's Credit Facility or other outstanding indebtedness (the "Guarantors"). The Company's subsidiaries organized outside of the U.S. and certain domestic subsidiaries (collectively, the "Non-Guarantors") do not guarantee Senior Notes, New Notes and Original Notes. The subsidiary guarantees with respect to the Senior Notes, New Notes and Original Notes are subject to release in certain customary circumstances including upon sale of a majority of the capital stock or substantially all of the assets of the subsidiary guarantor; if the guarantee under our Credit Facility and other indebtedness is released or discharged (other than due to payment under such guarantee); or when the requirements for legal defeasance are satisfied or the obligations are discharged in accordance with the indenture.

The following supplemental financial information sets forth the Condensed Consolidating Balance Sheets and the Condensed Consolidating Statements of Operations and Cash Flows for the Parent Company (MasTec, Inc.), the Guarantor Subsidiaries on a combined basis, the Non-Guarantor Subsidiaries on a combined basis and the eliminations necessary to arrive at the information for the Company as reported on a consolidated basis. Eliminations represent adjustments to eliminate investments in subsidiaries and intercompany balances and transactions between or among MasTec, Inc., the Guarantor Subsidiaries and the Non-Guarantor Subsidiaries. Investments in subsidiaries are accounted for using the equity method for this presentation. Information for periods prior to 2011 is not presented as MasTec, Inc. is a holding company with no independent assets or operations, and the Company's subsidiaries that did not guarantee the Senior Notes, New Notes and Original Notes were minor in all periods prior to 2011, individually and in the aggregate, as such term is defined under the rules and regulations of the SEC.

CONDENSED CONSOLIDATING BALANCE SHEET

DECEMBER 31, 2011 (in thousands)


	MasTec, Inc			Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Eliminations			Consolidated MasTec, Inc.
Assets
Current assets	$			$	764,922	$	57,588		$	—		$	822,510
Property and equipment, net		—			253,929		12,654			—			266,583
Goodwill and other intangible assets, net		—			895,563		30,233			—			925,796
Net investments in and advances to (from) consolidated affiliates		811,966			117,978		(41,830	)		(888,114	)		—
Other assets		7,119			52,382		6,755			—			66,256

Total assets	$	819,085		$	2,084,774	$	65,400		$	(888,114	)	$	2,081,145

Liabilities and Shareholders' Equity
Current liabilities	$	(15	)	$	547,813	$	32,449		$	—		$	580,247
Long-term debt		—			460,638		87			—			460,725
Other liabilities		—			207,828		21,138			—			228,966

Total liabilities	$	(15	)	$	1,216,279	$	53,674			—		$	1,269,938

Total equity	$	819,100		$	868,495	$	11,726		$	(888,114	)	$	811,207

Total liabilities and equity	$	819,085		$	2,084,774	$	65,400		$	(888,114	)	$	2,081,145

CONDENSED CONSOLIDATING STATEMENTS OF OPERATIONS

DECEMBER 31, 2011 (in thousands)


	MasTec, Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Consolidated MasTec, Inc.
Revenue	$	—		$	2,895,102		$	113,875		$	—		$	3,008,977
Costs of revenue, excluding depreciation and amortization		—			2,499,018			107,073			—			2,606,091
Depreciation and amortization		—			72,832			2,396			—			75,228
General and administrative expenses		2,530			138,435			7,467			—			148,432
Interest expense, net		—			34,307			116			—			34,423
Gain on remeasurement of equity interest in acquiree		—			(29,041	)		—			—			(29,041	)
Other (income) expense, net		—			(66	)		(117	)		—			(183	)

Income (loss) before provision for income taxes	$	(2,530	)	$	179,617		$	(3,060	)	$	—		$	174,027
Provision (benefit) for income taxes		989			(70,822	)		1,778						(68,055	)
Equity in income from subsidiaries, net of tax		107,513			—			—			(107,513	)		—

Net income (loss)	$	105,972		$	108,795		$	(1,282	)	$	(107,513	)	$	105,972
Net loss attributable to non-controlling interests		—			—			(29	)		—			(29	)

Net income (loss) attributable to MasTec	$	105,972		$	108,795		$	(1,253	)	$	(107,513	)	$	106,001

CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS

DECEMBER 31, 2011 (in thousands)


	MasTec, Inc.			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Consolidated MasTec, Inc.
Net cash provided by (used in) operating activities	$	(939	)	$	21,729		$	(14,964	)	$	—	$	5,826

Cash flows used in investing activities:
Cash paid for acquisitions, net, including contingent consideration		(31,236	)		(44,716	)		(9,443	)		—		(85,395	)
Capital expenditures		—			(71,615	)		(95	)		—		(71,710	)
Proceeds from sale of assets		—			5,887			340			—		6,227
Proceeds from sales or redemptions of investments		—			4,600			—			—		4,600
Investments in life insurance policies		(284	)		—			—			—		(284	)

Net cash used in investing activities	$	(31,520	)	$	(105,844	)	$	(9,198	)	$	—	$	(146,562	)

Cash flows (used in) provided by financing activities:
Proceeds from credit facility		—			370,411			—			—		370,411
Repayments of credit facility		—			(310,411	)		—			—		(310,411	)
Proceeds from other borrowings		—			14,906			—			—		14,906
Repayments of other borrowings		—			(13,956	)		—			—		(13,956	)
Payments of capital lease obligations		—			(16,422	)		(36	)		—		(16,458	)
Proceeds from stock options exercises and other share-based awards		12,542			—			—			—		12,542
Excess tax benefit from stock-based compensation		—			7,766			—			—		7,766
Purchases of treasury stock		(75,000	)		—			—			—		(75,000	)
Payments of financing costs		—			(6,589	)		—			—		(6,589	)
Net financing activities and advances (to) from consolidated affiliates		94,917			(122,573	)		27,656			—		—

Net cash (used in) provided by financing activities	$	32,459		$	(76,868	)	$	27,620		$	—	$	(16,789	)

Net increase (decrease) in cash and cash equivalents		—			(160,983	)		3,458			—		(157,525	)
Net effect of currency translation on cash		—			—			201			—		201
Cash and cash equivalents - beginning of period		—			177,223			381			—		177,604

Cash and cash equivalents - end of period	$	—		$	16,240		$	4,040		$	—	$	20,280