8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report: May 5, 2016

CINCINNATI BELL INC.

(Exact Name of Registrant as Specified in its Charter)

Ohio	001-8519	31-1056105
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

221 East Fourth Street

Cincinnati, OH 45202

(Address of Principal Executive Office)

Registrant's telephone number, including area code: (513) 397-9900

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Section 2 - Financial Information

Item 2.02Results of Operations and Financial Condition

On May 5, 2016, Cincinnati Bell Inc. reported its financial results for the first quarter 2016. The earnings release is attached as Exhibit 99.1.

Section 7 - Regulation FD

Item 7.01     Regulation FD Disclosure

On May 5, 2016, Theodore H. Torbeck, the Company's president and chief executive officer, and Leigh R. Fox, the Company's chief financial officer, will present first quarter 2016 results. The presentation will be webcast both live and on-demand. To listen, go to the Investor Relations section of www.cincinnatibell.com, click on the Webcasts/Presentations tab and follow the instructions for accessing the webcast.

A copy of the presentation to be made during the meeting is attached to this Current Report as Exhibit 99.2.

The information in Items 2.02 and 7.01 and the exhibits attached to this Current Report as Exhibit 99.1 and 99.2 are being furnished and shall not be deemed "filed" for purposes of Section 18 of the Securities Act of 1934 or otherwise subject to the liabilities of that Section nor shall they be deemed incorporated by reference into any filing under the Securities Act of 1933 or the Securities Act of 1934, except as shall be expressly stated by specific reference in such filing.

Item 9.01Financial Statements and Exhibits.

(c)	Exhibit No.	Description
	Exhibit 99.1	Press release dated May 5, 2016
	Exhibit 99.2	Presentation made during the Cincinnati Bell first quarter 2016 earnings conference call on May 5, 2016

Cautionary Statement Concerning Forward-Looking Statements

This report and the documents incorporated by reference herein contain forward-looking statements regarding future events and results that are subject to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, are statements that could be deemed forward-looking statements. These statements are based on current expectations, estimates, forecasts, and projections about the industries in which we operate and the beliefs and assumptions of our management. Words such as “expects,” “anticipates,” “predicts,” “projects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “continues,” “endeavors,” “strives,” “may,” or variations of such words and similar expressions are intended to identify such forward-looking statements. In addition, any statements that refer to projections of future financial performance, anticipated growth and trends in businesses, and other characterizations of future events or circumstances are forward-looking statements. Readers are cautioned these forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties, which could cause actual results to differ materially and adversely from those reflected in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in this release and those discussed in other documents the company filed with the Securities and Exchange Commission (SEC). More information on potential risks and uncertainties is available in our recent filings with the SEC, including Cincinnati Bell's Form 10-K report, Form 10-Q reports and Form 8-K reports. Actual results may differ materially and adversely from those expressed in any forward-looking statements. The company undertakes no obligation to revise or update any forward-looking statements for any reason. The forward-looking statements included in this report represent company estimates as of May 5, 2016. Cincinnati Bell anticipates that subsequent events and developments will cause its estimates to change.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

		CINCINNATI BELL INC.
Date:	May 5, 2016	By:	/s/ Christopher J. Wilson
			Christopher J. Wilson
			Vice President, General Counsel and Secretary

EXHIBIT INDEX

Exhibit No.	Description
99.1	Press release dated May 5, 2016
99.2	Presentation made during the Cincinnati Bell first quarter 2016 earnings conference call on May 5, 2016

EX-99.1

Cincinnati Bell Reports First Quarter 2016 Results

HIGHLIGHTS

• Strong first quarter Adjusted EBITDA¹ of $77 million, with Adjusted EBITDA margins² of 27 percent

• Revenue from strategic products totaled $152 million, up 21 percent compared to prior year

• Entertainment and Communications revenue totaled $190 million, up $2 million from a year ago - Fioptics revenue was up 37 percent year-over-year

• Record-high first quarter Fioptics video and internet subscriber net activations

• Strategic IT Services and Hardware revenue increased 18 percent compared to the prior year

CINCINNATI - May 5, 2016 - Cincinnati Bell Inc. (NYSE:CBB) today announced financial results for the first quarter of 2016, highlighted by strategic revenue totaling $152 million, increasing 21 percent over the prior year on strong demand for IT services and fiber products. Fioptics video subscribers totaled 120,000 at the end of the first quarter, up 24,200 compared to the same period in 2015. Total internet subscribers were at a record-high 292,400 subscribers at the end of the first quarter, up 19,700 compared to a year ago. In the first quarter of 2016, we passed an additional 21,700 units with Fioptics, which is now available to 454 thousand addresses within Greater Cincinnati.

"Our first quarter results were outstanding and we are well positioned to achieve our financial targets for the year," said Ted Torbeck, president and chief executive officer. Torbeck also added, "Consumer demand for Fioptics has exceeded our expectations as we continue to generate year-over-year Entertainment and Communications revenue growth. For our business customers we are accelerating the transition to fiber based products and increasing the focus of our IT solutions."

CONSOLIDATED RESULTS³ 

Consolidated revenue for the first quarter of 2016 was $289 million, down $4 million from the prior year due to the cyclical nature of Telecom and IT hardware sales. Operating income for the quarter totaled $30 million and Adjusted EBITDA equaled $77 million. Net income was $7 million resulting in diluted earnings per share of $0.02.

Entertainment and Communications Segment

• Entertainment and Communications revenue for the quarter totaled $190 million, up 3 percent compared to the prior year after excluding revenue from services provided to our discontinued wireless operations.

◦ Fioptics revenue for the quarter was $58 million, up 37 percent from the prior year.

◦ Strategic revenue for business and carrier customers totaled $48 million for the quarter, up $6 million year-over-year after excluding revenue for services provided to our discontinued wireless operations in the prior year.

• Operating income and Adjusted EBITDA for the quarter totaled $28 million and $72 million, respectively.

IT Services and Hardware Segment

• Revenue of $103 million for the quarter was down 5 percent compared to the prior year.

◦ Strategic revenue was $48 million in the quarter, up 18 percent over the prior year.

◦ Telecom and IT hardware revenue was $48 million for the quarter, compared to $61 million in the first quarter of 2015.

• Operating income and Adjusted EBITDA for the quarter totaled $7 million and $10 million, respectively.

2016 Outlook

Cincinnati Bell reaffirms its financial guidance for 2016:

Category	2016 Guidance
Revenue	$1.2 billion
Adjusted EBITDA	$303 million*

*Plus or minus 2 percent

Conference Call/Webcast

Cincinnati Bell will host a conference call on May 5 at 10:00 a.m. (ET) to discuss its results for the first quarter of 2016. A live webcast of the call will be available via the Investor Relations section of www.cincinnatibell.com. The conference call dial-in number is (877) 856-1968. Callers located outside of the U.S. and Canada may dial (719) 325-4863. A taped replay of the conference call will be available approximately one hour after the conclusion of the call until 1:00 p.m. on Thursday, May 19, 2016. For U.S. callers, the replay will be available at (888) 203-1112. For callers outside of the U.S. and Canada, the replay will be available at (719) 457-0820. The replay reference number is 4545816. An archived version of the webcast will also be available in the Investor Relations section of www.cincinnatibell.com.

Safe Harbor Note

This release and the documents incorporated by reference herein contain forward-looking statements regarding future events and our future results that are subject to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, are statements that could be deemed forward-looking statements. These statements are based on current expectations, estimates, forecasts, and projections about the industries in which we operate and the beliefs and assumptions of our management. Words such as “expects,” “anticipates,” “predicts,” “projects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “continues,” “endeavors,” “strives,” “may,” variations of such words and similar expressions are intended to identify such forward-looking statements. In addition, any statements that refer to projections of our future financial performance, our anticipated growth and trends in our businesses, and other characterizations of future events or circumstances are forward-looking statements. Readers are cautioned these forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties, which could cause our actual results to differ materially and adversely from those reflected in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in this release and those discussed in other documents we file with the Securities and Exchange Commission (SEC). More information on potential risks and uncertainties is available in our recent filings with the SEC, including Cincinnati Bell's Form 10-K report, Form 10-Q reports and Form 8-K reports. Actual results may differ materially and adversely from those expressed in any forward-looking statements. We undertake no obligation to revise or update any forward-looking statements for any reason.

Use of Non-GAAP Financial Measures

This press release contains information about adjusted earnings before interest, taxes, depreciation and amortization (Adjusted EBITDA), Adjusted EBITDA margin, net debt, net income excluding special items and free cash flow. These are non-GAAP financial measures used by Cincinnati Bell management when evaluating results of operations and cash flow. Management believes these measures also provide users of the financial statements with additional and useful comparisons of current results of operations and cash flows with past and future periods. Non-GAAP financial measures should not be construed as being more important than comparable GAAP measures. Detailed reconciliations of these non-GAAP financial measures to comparable GAAP financial measures have been included in the tables distributed with this release and are available in the Investor Relations section of www.cincinnatibell.com.

¹Adjusted EBITDA provides a useful measure of operational performance. The company defines Adjusted EBITDA as GAAP operating income plus depreciation, amortization, restructuring charges, (gain) loss on sale or disposal of assets, transaction costs, curtailment gain (loss), asset impairments, components of pension and other retirement plan costs (including interest costs, asset returns, and amortization of actuarial gains and losses), and other special items. Adjusted EBITDA should not be considered as an alternative to comparable GAAP measures of profitability and may not be comparable with the measure as defined by other companies.

²Adjusted EBITDA margin provides a useful measure of operational performance. The company defines Adjusted EBITDA margin as Adjusted EBITDA divided by revenue. Adjusted EBITDA margin should not be considered as an alternative to comparable GAAP measures of profitability and may not be comparable with the measure as defined by other companies.

³Consolidated Results for the three months ended March 31, 2015 report our former wireless segment results as discontinued operations. Effective March 31, 2015, the Company no longer provides wireless services.

Free cash flow provides a useful measure of operational performance, liquidity and financial health. The company defines free cash flow as cash provided by (used in) operating, financing and investing activities, adjusted for the issuance and repayment of debt, debt issuance costs, the repurchase of common stock, and the proceeds from the sale or the use of funds from the purchase of business operations, including transaction costs. Free cash flow should not be considered as an alternative to net income (loss), operating income (loss), cash flow from operating activities, or the change in cash on the balance sheet and may not be comparable with free cash flow as defined by other companies. Although the company feels that there is no comparable GAAP measure for free cash flow, the attached financial information reconciles free cash flow to the net increase (decrease) in cash and cash equivalents.

Net debt provides a useful measure of liquidity and financial health. The company defines net debt as the sum of the face amount of short-term and long-term debt, unamortized premium and/or discount and unamortized note issuance costs, offset by cash and cash equivalents.

Net income excluding special items in total and per share provides a useful measure of operating performance. Net income excluding special items should not be considered as an alternative to comparable GAAP measures of profitability and may not be comparable with net income excluding special items as defined by other companies.

About Cincinnati Bell Inc.

With headquarters in Cincinnati, Ohio, Cincinnati Bell Inc. (CBB) provides integrated communications solutions – including local and long distance voice, data, high-speed Internet and video – that keep residential and business customers in Greater Cincinnati and Dayton connected with each other and with the world. In addition, enterprise customers across the United States rely on CBTS, a wholly-owned subsidiary, for efficient, scalable office communications systems and end-to-end IT solutions. For more information, please visit www.cincinnatibell.com.

Cincinnati Bell Inc.
Consolidated Statements of Operations
(Unaudited)
(Dollars in millions, except per share amounts)
				Three Months Ended
				March 31,						Change
				2016			2015			$			%
	Revenue			$	288.9		$	292.9		$	(4.0	)	(1)%
	Costs and expenses
		Cost of services and products		162.7			166.2			(3.5		)	(2)%
		Selling, general and administrative		53.2			52.2			1.0			2%
		Depreciation and amortization		43.4			32.6			10.8			33%
		Other		—			4.8			(4.8		)	n/m
			Operating income	29.6			37.1			(7.5		)	(20)%
	Interest expense			20.3			32.7			(12.4		)	(38)%
	Gain on extinguishment of debt			(2.4		)	—			(2.4		)	n/m
	Other expense, net			—			3.5			(3.5		)	n/m
	Income from continuing operations before income taxes			11.7			0.9			10.8			n/m
	Income tax expense			4.7			0.6			4.1			n/m
	Income from continuing operations			7.0			0.3			6.7			n/m
	Income from discontinued operations, net of tax			—			48.9			(48.9		)	n/m
	Net income			7.0			49.2			(42.2		)	(86)%
	Preferred stock dividends			2.6			2.6			—			0%
	Net income applicable to common shareowners			$	4.4		$	46.6		$	(42.2	)	(91)%
	Basic and diluted net earnings per common share
			Earnings (loss) from continuing operations	$	0.02		$	(0.01	)
			Earnings from discontinued operations	—			0.23
	Basic and diluted net earnings per common share			$	0.02		$	0.22
	Weighted average common shares outstanding
		(in millions)
		- Basic		210.0			209.2
		- Diluted		210.4			209.2

Cincinnati Bell Inc.
Income Statements by Segment
(Unaudited)
(Dollars in millions)
			Three Months Ended
			March 31,				Change
			2016		2015		$			%
	Entertainment and Communications
	Revenue
		Data	$	85.2	$	81.2	$	4.0		5%
		Voice	70.2		75.7		(5.5		)	(7)%
		Video	29.0		21.4		7.6			36%
		Services and other	5.9		9.8		(3.9		)	(40)%
		Total revenue	190.3		188.1		2.2			1%
	Operating costs and expenses
		Cost of services and products	87.8		81.5		6.3			8%
		Selling, general and administrative	34.6		35.0		(0.4		)	(1)%
		Depreciation and amortization	40.2		29.5		10.7			36%
		Other*	—		0.8		(0.8		)	n/m
		Total operating costs and expenses	162.6		146.8		15.8			11%
	Operating income		$	27.7	$	41.3	$	(13.6	)	(33)%
	IT Services and Hardware
	Revenue
		Professional Services	$	26.2	$	24.1	$	2.1		9%
		Management and Monitoring	8.1		7.3		0.8			11%
		Unified Communications	10.1		9.6		0.5			5%
		Cloud Services	10.2		6.1		4.1			67%
		Telecom and IT hardware	47.9		60.5		(12.6		)	(21)%
		Total revenue	102.5		107.6		(5.1		)	(5)%
	Operating costs and expenses
		Cost of services and products	78.6		86.4		(7.8		)	(9)%
		Selling, general and administrative	13.5		13.4		0.1			1%
		Depreciation and amortization	3.2		3.1		0.1			3%
		Other*	—		3.6		(3.6		)	n/m
		Total operating costs and expenses	95.3		106.5		(11.2		)	(11)%
	Operating income		$	7.2	$	1.1	$	6.1		n/m
		*Other includes restructuring charges and loss on sale or disposal of assets (net).

Cincinnati Bell Inc.
Revenues by Segment
(Unaudited)
(Dollars in millions)
				Three Months Ended
				March 31,				Change
				2016		2015		$			%
Entertainment and Communications
	Consumer
		Strategic
			Data	$	23.5	$	15.9	$	7.6		48%
			Voice	5.2		4.8		0.4			8%
			Video	28.5		21.0		7.5			36%
			Services and other	0.9		1.0		(0.1		)	(10)%
				58.1		42.7		15.4			36%
		Legacy
			Data	12.2		13.3		(1.1		)	(8)%
			Voice	19.8		23.0		(3.2		)	(14)%
			Services and other	1.1		1.4		(0.3		)	(21)%
				33.1		37.7		(4.6		)	(12)%
		Integration
			Services and other	1.1		3.5		(2.4		)	(69)%
	Total consumer revenue			$	92.3	$	83.9	$	8.4		10%
	Business
		Strategic
			Data	$	23.6	$	21.9	$	1.7		8%
			Voice	12.0		9.9		2.1			21%
			Video	0.5		0.4		0.1			25%
			Services and other	0.4		0.7		(0.3		)	(43)%
				36.5		32.9		3.6			11%
		Legacy
			Data	5.4		6.1		(0.7		)	(11)%
			Voice	29.0		32.2		(3.2		)	(10)%
			Services and other	0.3		0.4		(0.1		)	(25)%
				34.7		38.7		(4.0		)	(10)%
		Integration
			Services and other	0.4		0.8		(0.4		)	(50)%
	Total business revenue			$	71.6	$	72.4	$	(0.8	)	(1)%
	Carrier
		Strategic
			Data	$	11.0	$	10.6	$	0.4		4%
		Legacy
			Data	9.5		13.4		(3.9		)	(29)%
			Voice	4.2		5.8		(1.6		)	(28)%
			Services and other	1.7		2.0		(0.3		)	(15)%
				15.4		21.2		(5.8		)	(27)%
	Total carrier revenue			$	26.4	$	31.8	$	(5.4	)	(17)%
Total Entertainment and Communications Revenue				$	190.3	$	188.1	$	2.2		1%

Cincinnati Bell Inc.
Revenues by Segment
(Unaudited)
(Dollars in millions)
				Three Months Ended
				March 31,				Change
				2016		2015		$			%
IT Services and Hardware
	Business
		Strategic
			Professional services	$	22.3	$	20.6	$	1.7		8%
			Management and monitoring	8.1		7.3		0.8			11%
			Unified communications	7.5		6.7		0.8			12%
			Cloud services	10.2		6.1		4.1			67%
				48.1		40.7		7.4			18%
		Integration
			Professional services	3.9		3.5		0.4			11%
			Unified communications	2.6		2.9		(0.3		)	(10)%
			Telecom and IT hardware	47.9		60.5		(12.6		)	(21)%
				54.4		66.9		(12.5		)	(19)%
Total IT Services and Hardware Revenue				$	102.5	$	107.6	$	(5.1	)	(5)%

Cincinnati Bell Inc.
Segment Information
(Unaudited)
(Dollars in millions)
			Three Months Ended
			March 31,						Change
			2016			2015			$			%
	Revenue
		Entertainment and Communications	$	190.3		$	188.1		$	2.2		1%
		IT Services and Hardware	102.5			107.6			(5.1		)	(5)%
		Eliminations	(3.9		)	(2.8		)	(1.1		)	39%
		Total revenue	$	288.9		$	292.9		$	(4.0	)	(1)%
	Cost of Services and Products
		Entertainment and Communications	$	87.8		$	81.5		$	6.3		8%
		IT Services and Hardware	78.6			86.4			(7.8		)	(9)%
		Eliminations	(3.7		)	(1.7		)	(2.0		)	n/m
		Total cost of services and products	$	162.7		$	166.2		$	(3.5	)	(2)%
	Selling, General and Administrative
		Entertainment and Communications	$	34.6		$	35.0		$	(0.4	)	(1)%
		IT Services and Hardware	13.5			13.4			0.1			1%
		Corporate and eliminations	5.1			3.8			1.3			34%
		Total selling, general and administrative	$	53.2		$	52.2		$	1.0		2%
	Depreciation and Amortization
		Entertainment and Communications	$	40.2		$	29.5		$	10.7		36%
		IT Services and Hardware	3.2			3.1			0.1			3%
		Total depreciation and amortization	$	43.4		$	32.6		$	10.8		33%
	Other*
		Entertainment and Communications	$	—		$	0.8		$	(0.8	)	n/m
		IT Services and Hardware	—			3.6			(3.6		)	n/m
		Corporate	—			0.4			(0.4		)	n/m
		Total other	$	—		$	4.8		$	(4.8	)	n/m
	Operating Income
		Entertainment and Communications	$	27.7		$	41.3		$	(13.6	)	(33)%
		IT Services and Hardware	7.2			1.1			6.1			n/m
		Corporate	(5.3		)	(5.3		)	—			0%
		Total operating income	$	29.6		$	37.1		$	(7.5	)	(20)%
		* Other includes restructuring charges and loss on sale or disposal of assets (net).

Cincinnati Bell Inc.
Segment Metric Information
(Unaudited)
(In thousands)
			March 31,	December 31,	September 30,	June 30,	March 31,
			2016	2015	2015	2015	2015
	Residential voice lines
		Legacy voice lines	138.7	146.4	153.5	161.5	170.5
		Fioptics voice lines	74.4	71.4	68.0	64.2	60.0
		Total residential voice lines	213.1	217.8	221.5	225.7	230.5
	Business voice lines
		Legacy voice lines	208.9	215.4	220.1	227.5	233.0
		VoIP lines*	107.0	89.5	86.9	82.4	73.9
		Total business voice lines	315.9	304.9	307.0	309.9	306.9
	Total voice lines		529.0	522.7	528.5	535.6	537.4
	Long distance lines		334.0	339.7	344.6	349.7	355.5
	Internet subscribers
		DSL	127.9	133.7	137.7	142.7	149.6
		Fioptics	164.5	153.7	143.6	132.4	123.1
	Total internet subscribers		292.4	287.4	281.3	275.1	272.7
	Fioptics video subscribers		120.0	114.4	108.8	101.5	95.8
	Fioptics units passed		453.7	432.0	408.1	382.3	357.6
	*	VoIP lines include Fioptics business voice lines.

Cincinnati Bell Inc.
Net Debt and Common Shares Outstanding
(Unaudited)
(Dollars and shares in millions)
		March 31,			December 31,
		2016			2015
Receivables Facility		$	46.5		$	17.6
Corporate Credit Agreement - Tranche B Term Loan		526.5			527.9
8 3/8% Senior Notes due 2020		478.5			478.5
7 1/4% Senior Notes due 2023		26.3			26.3
Various Cincinnati Bell Telephone notes		98.9			128.7
Capital leases and other debt		73.1			68.3
Net unamortized discount		(1.6		)	(1.7		)
Unamortized note issuance costs		(7.4		)	(8.0		)
	Total debt	1,240.8			1,237.6
Less: Cash and cash equivalents		(7.9		)	(7.4		)
	Net debt (as defined by the company)	$	1,232.9		$	1,230.2
Corporate Credit Agreement availability		$	175.0		$	175.0
Common shares outstanding		210.0			209.9

Cincinnati Bell Inc.
Reconciliation of Net Income (GAAP) to Adjusted EBITDA (Non-GAAP)
(Unaudited)
(Dollars in millions)
			Three Months Ended March 31, 2016
			Entertainment & Communications			IT Services & Hardware			Corporate			Total Company
	Net income (GAAP)											$	7.0
	Add:
		Income tax expense										4.7
		Interest expense										20.3
		Gain on extinguishment of debt										(2.4		)
	Operating income (GAAP)		$	27.7		$	7.2		$	(5.3	)	$	29.6
	Add:
		Depreciation and amortization	40.2			3.2			—			43.4
		Pension and other retirement plan expenses	3.7			—			0.5			4.2
	Adjusted EBITDA (Non-GAAP)		$	71.6		$	10.4		$	(4.8	)	$	77.2
	Adjusted EBITDA Margin		38		%	10		%	—			27		%
			Three Months Ended March 31, 2015
			Entertainment & Communications			IT Services & Hardware			Corporate			Total Company
	Net income (GAAP)											$	49.2
	Less:
		Income from discontinued operations, net of tax										48.9
	Income from continuing operations (GAAP)											$	0.3
	Add:
		Income tax expense										0.6
		Interest expense										32.7
		Other expense, net										3.5
	Operating income (GAAP)		$	41.3		$	1.1		$	(5.3	)	$	37.1
	Add:
		Depreciation and amortization	29.5			3.1			—			32.6
		Restructuring charges	0.8			2.2			0.4			3.4
		Loss on sale or disposal of assets	—			1.4			—			1.4
		Pension and other retirement plan expenses	3.8			—			0.5			4.3
	Adjusted EBITDA (Non-GAAP)		$	75.4		$	7.8		$	(4.4	)	$	78.8
	Adjusted EBITDA Margin		40		%	7		%	—			27		%
	Year-over-year dollar change in Adjusted EBITDA		$	(3.8	)	$	2.6		$	(0.4	)	$	(1.6	)
	Year-over-year percentage change in Adjusted EBITDA		(5		)%	33		%	9		%	(2		)%

Cincinnati Bell Inc.
Consolidated Statements of Cash Flows
(Unaudited)
(Dollars in millions)
			Three Months Ended
			March 31,
			2016			2015
	Cash provided by operating activities		$	66.0		$	6.3
		Capital expenditures	(62.4		)	(57.9		)
		Dividends received from CyrusOne	2.1			6.0
		Other, net	(0.1		)	(0.1		)
	Cash used in investing activities		(60.4		)	(52.0		)
		Net increase in corporate credit and receivables facilities with initial maturities less than 90 days	28.9			7.5
		Repayment of debt	(30.9		)	(3.3		)
		Dividends paid on preferred stock	(2.6		)	(2.6		)
		Other, net	(0.5		)	(0.4		)
	Cash (used in) provided by financing activities		(5.1		)	1.2
	Net increase (decrease) in cash and cash equivalents		0.5			(44.5		)
	Cash and cash equivalents at beginning of period		7.4			57.9
	Cash and cash equivalents at end of period		$	7.9		$	13.4
	Reconciliation of GAAP Cash Flow to
		Free Cash Flow (as defined by the company)
	Net increase (decrease) in cash and cash equivalents		$	0.5		$	(44.5	)
	Adjustments:
		Net increase in corporate credit and receivables facilities with initial maturities less than 90 days	(28.9		)	(7.5		)
		Repayment of debt	30.9			3.3
		Discontinued operations*	3.4			13.0
		Decommissioning of wireless towers	1.7			—
		Free cash flow	7.6			(35.7		)
	Income tax payments		$	0.6		$	—
	*For the quarter ended March 31, 2016 and 2015, discontinued wireless operations generated free cash flow of ($3.4) million and ($13.0) million, respectively. Wireless operations are now reported as discontinued operations within the consolidated financial statements.

Cincinnati Bell Inc.
Free Cash Flow (as defined by the company)
(Unaudited)
(Dollars in millions)
	Free Cash Flow for the three months ended March 31, 2015	$	(35.7	)
	Decrease in Adjusted EBITDA	(1.6		)
	Increase in capital expenditures	(4.5		)
	Decrease in interest payments	13.2
	Decrease in pension and postretirement payments and contributions	2.1
	Change in working capital and other	34.1
	Free Cash Flow for the three months ended March 31, 2016	$	7.6

Cincinnati Bell Inc.
Capital Expenditures
(Unaudited)
(Dollars in millions)
	Three Months Ended
	Mar. 31, 2016		Dec. 31, 2015		Sep. 30, 2015		Jun. 30, 2015		Mar. 31, 2015
Entertainment and Communications	$	60.3	$	76.0	$	69.4	$	70.1	$	54.0
IT Services and Hardware	2.0		1.9		3.8		4.4		3.9
Corporate	0.1		—		—		0.1		—
Total capital expenditures	$	62.4	$	77.9	$	73.2	$	74.6	$	57.9

Cincinnati Bell Inc.
Normalized Statements of Operations (Non-GAAP) - Reconciliation to Reported Results
(Unaudited)
(Dollars in millions, except per share amounts)
											Three
				Three							Months Ended
				Months Ended							March 31, 2016
				March 31, 2016							Before Special Items
				(GAAP)			Special Items				(Non-GAAP)
	Revenue			$	288.9		$	—			$	288.9
	Costs and expenses
		Cost of services and products		162.7			—				162.7
		Selling, general and administrative		53.2			—				53.2
		Depreciation and amortization		43.4			—				43.4
			Operating income	29.6			—				29.6
	Interest expense			20.3			—				20.3
	Gain on extinguishment of debt			(2.4		)	2.4			[A]	—
	Income before income taxes			11.7			(2.4		)		9.3
	Income tax expense			4.7			(0.9		)		3.8
	Net Income			7.0			(1.5		)		5.5
	Preferred stock dividends			2.6			—				2.6
	Net income applicable to common shareowners			$	4.4		$	(1.5	)		$	2.9
	Weighted average diluted common shares			210.4			210.4				210.4
	Diluted earnings per common share*			$	0.02		$	(0.01	)		$	0.01
	Normalized results have been adjusted for the following (pretax adjustments are tax effected at 36%):
A	Gain on extinguishment of debt related to the redemption of $29.8 million of the outstanding CBT Notes due 2028 at an average redemption price of 91.130%.
*	Diluted earnings per common share has been calculated independently for the results above. Therefore, the sum of the per share amounts will not necessarily equal the per share results for the Before Special Items (Non-GAAP) results.

Cincinnati Bell Inc.
Normalized Statements of Operations (Non-GAAP) - Reconciliation to Reported Results
(Unaudited)
(Dollars in millions, except per share amounts)
										Three
				Three						Months Ended
				Months Ended						March 31, 2015
				March 31, 2015						Before Special Items
				(GAAP)		Special Items				(Non-GAAP)
	Revenue			$	292.9	$	—			$	292.9
	Costs and expenses
		Cost of services and products		166.2		—				166.2
		Selling, general and administrative		52.2		—				52.2
		Depreciation and amortization		32.6		—				32.6
		Restructuring charges		3.4		(3.4		)	[A]	—
		Loss on sale or disposal of assets, net		1.4		(1.4		)	[B]	—
			Operating income	37.1		4.8				41.9
	Interest expense			32.7		—				32.7
	Other expense, net			3.5		—				3.5
	Income from continuing operations before income taxes			0.9		4.8				5.7
	Income tax expense			0.6		1.7				2.3
	Income from continuing operations			0.3		3.1				3.4
	Income from discontinued operations, net of tax			48.9		(48.9		)		—
	Net income			49.2		(45.8		)		3.4
	Preferred stock dividends			2.6		—				2.6
	Net income applicable to common shareowners			$	46.6	$	(45.8	)		$	0.8
	Weighted average diluted common shares			209.2		209.2				210.0
	Diluted earnings per common share*			$	0.22	$	(0.22	)		$	0.00
	Normalized results have been adjusted for the following (pretax adjustments are tax effected at 36%):
A	Restructuring charges consist of employee severance and project costs to identify opportunities to further integrate the business markets within our Entertainment and Communications segment and IT Services and Hardware segment.
B	Loss is attributable to the sale of assets associated with discontinuing our cyber-security product offering.
*	Diluted earnings per common share have been calculated independently for the results above. Therefore, the sum of the per share amounts will not necessarily equal the per share results for the Before Special Items (Non-GAAP) results.

Cincinnati Bell Inc.
Reconciliation of Operating Income (GAAP) Guidance to Adjusted EBITDA (Non-GAAP) Guidance
(Unaudited)
(Dollars in millions)
	2016 Operating Income (GAAP) Guidance	$	105
	Add:
	Depreciation and amortization	180
	Pension and other retirement plan expenses	15
	Other	3
	2016 Adjusted EBITDA (Non-GAAP) Guidance	$	303	*
	* Plus or minus 2 percent

CONTACT:

Cincinnati Bell Inc.

Investor contact:

Josh Duckworth, 513-397-2292

Joshua.Duckworth@cinbell.com

Media contact:

Jane Weiler, 513-397-9941

Jane.Weiler@cinbell.com

EX-99.2

Cincinnati Bell First Quarter 2016 Results May 5, 2016

Today's Agenda Highlights, Segment Results and Financial Overview Ted Torbeck, President & Chief Executive Officer Question & Answer 2

Safe Harbor This presentation and the documents incorporated by reference herein contain forward-looking statements regarding future events and our future results that are subject to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, are statements that could be deemed forward-looking statements. These statements are based on current expectations, estimates, forecasts, and projections about the industries in which we operate and the beliefs and assumptions of our management. Words such as “expects,” “anticipates,” “predicts,” “projects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” “continues,” “endeavors,” “strives,” “may,” variations of such words and similar expressions are intended to identify such forward-looking statements. In addition, any statements that refer to projections of our future financial performance, our anticipated growth and trends in our businesses, and other characterizations of future events or circumstances are forward-looking statements. Readers are cautioned these forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties, which could cause our actual results to differ materially and adversely from those reflected in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in this release and those discussed in other documents we file with the Securities and Exchange Commission (SEC). More information on potential risks and uncertainties is available in our recent filings with the SEC, including Cincinnati Bell’s Form 10-K report, Form 10-Q reports and Form 8-K reports. Actual results may differ materially and adversely from those expressed in any forward-looking statements. We undertake no obligation to revise or update any forward-looking statements for any reason. 3

Non GAAP Financial Measures This presentation contains information about adjusted earnings before interest, taxes, depreciation and amortization (Adjusted EBITDA), Adjusted EBITDA margin, net debt and free cash flow. These are non-GAAP financial measures used by Cincinnati Bell management when evaluating results of operations and cash flow. Management believes these measures also provide users of the financial statements with additional and useful comparisons of current results of operations and cash flows with past and future periods. Non-GAAP financial measures should not be construed as being more important than comparable GAAP measures. Detailed reconciliations of Adjusted EBITDA, net debt and free cash flow (including the Company’s definition of these terms) to comparable GAAP financial measures can be found in the earnings release on our website at www.cincinnatibell.com within the Investor Relations section. 4

Ted Torbeck President & Chief Executive Officer 5

Highlights and Financial Overview $188 $75 $108 $8 $(4)$(3) $190 $72 $103 $10 $(5)$(4) 6 Entertainment & Communications IT Services & Hardware Eliminations Corporate Revenue RevenueAdjusted EBITDA Adjusted EBITDA $293 $289 $79 $77 Q1 2015 Q1 2016 ▪ Strong first quarter Adjusted EBITDA of $77 million, with Adjusted EBITDA margins of 27% ▪ Revenue from strategic products totaled $152 million, up 21% compared to prior year ▪ Entertainment and Communications revenue totaled $190 million, up $2 million from prior year Fioptics Revenue totaled $58 million, up 37% year-over-year Record-high first quarter Fioptics video and internet subscriber net activations ▪ Strategic IT Services and Hardware revenue increased 18% compared to the prior year First Quarter 2016 Highlights __ __ ($ in millions)

Revenue Adj. EBITDA Adj. EBITDA Margin Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 $188 $182 $185 $188 $190 $75 $70 $68 $69 $72 40% 39% 37% 37% 38% Entertainment & Communications Revenue and Adjusted EBITDA [1] [1] Revenue for backhaul services provided to our discontinued wireless operations totaled $3 million in Q1 2015 7 ▪ Strategic revenues for the quarter totaled $106 million, up 23% year-over-year ▪ Adjusted EBITDA totaled $72 million in the first quarter, resulting in Adjusted EBITDA margins of 38% ▪ Record-high total internet subscribers of 292,400 at the end of the first quarter, up 19,700 subs compared to a year ago ▪ Voice line loss was 2% – improved from 6% in the prior year Business lines increased 3% Residential line decreased 8% __ __ ($ in millions)

Legacy IntegrationStrategic [2] 8 Q1 2015 Q1 2016 $43 $47 $60 $50 Entertainment & Communications Business & Consumer Markets $104 $98 Business & Carrier Market Revenue [1] Entertainment & Communications Business Integration revenue totaled $1 million in Q1 2015 and Q1 2016 Entertainment & Communications Consumer Integration revenue totaled $4 million in Q1 2015 and $1 million in Q1 2016 [2] Revenue for backhaul services provided to our discontinued wireless operations totaled $3 million in 2015 Consumer Market Revenue Q1 2015 Q1 2016 $43 $58 $37 $33 $84 $92 ▪ Fioptics revenue increased 37% compared to the prior year - more than offsetting legacy declines ▪ Integration revenue decreased due to no longer selling Verizon wireless handsets in our retail stores ▪ Business revenue totaled $72 million, consistent with the prior year ▪ Carrier revenue was $26 million, down $5 million from 2015 due primarily to no longer providing backhaul services to our discontinued wireless operations [1] ($ in millions) Y/Y (17)% 9% Y/Y (12)% 36%

9 Q1 2015 Q1 2016 $21 $29 $15 $22$6 $7 $42 $58 Fioptics Update Fioptics Revenue Q1 2015 Q1 2016 96 120123 165 65 83 Total Fioptics Subscribers Video Internet Voice ▪ Fioptics is available to 454 thousand addresses, or 57% of Greater Cincinnati Passed 22 thousand new addresses in Q1 2016 ▪ Fioptics Penetration: Video – 26%, Internet – 36%, Voice – 18% ▪ Total video churn was 2.4% for the quarter Single-family churn was 1.9% Apartment churn was 4.2% ▪ Fioptics monthly ARPU for the quarter was up approximately 6% from 2015. Q1 2016 ARPUs are as follows: Video – $83, Internet – $47, Voice – $28 __ __ __ ($ in millions) Y/Y 17% 47% 38%

Strategic Revenue Integration Revenue Adj. EBITDA Adj. EBITDA Margin Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 $41 $45 $46 $48 $48 $67 $61 $71 $56 $55 $8 $10 $10 $9 $10 7% 9% 9% 9% 10% IT Services & Hardware Revenue and Adjusted EBITDA 10 ▪ Revenue of $103 million for Q1 2016, down 5% from Q1 2015 Strategic Revenues totaled $48 million in Q1 2016, up 18% compared to the prior year Telecom & IT hardware revenue of $48 million for Q1 2016 was down from the prior year due to the cyclical nature of these sales ▪ Operating income and Adjusted EBITDA for the quarter totaled $7 million and 10 million, respectively ▪ Adjusted EBITDA margin was 10%, up from 7% a year ago $108 $106 $117 $104 $103 __ __ ($ in millions)

Q1 2016 Free Cash Flow and Capital Expenditures Free Cash Flow Capital Expenditures Q1 2016 Adjusted EBITDA $ 77 Interest Payments (8) Capital Expenditures (62) Pension and OPEB Payments (3) Dividends from CyrusOne 2 Working Capital and Other 2 Free Cash Flow $ 8 Selected 2016 Free Cash Flow Items ▪ Interest payments ~ $75 million ▪ Pension and OPEB payments ~ $12 million ▪ CyrusOne dividends ~ $10 million ▪ Capital expenditures: $265 - $275 million Q1 2016 Construction $ 17 Installation 13 Value Added 7 Total Fioptics $ 37 Other Strategic 17 Total Strategic Investment 54 Maintenance 8 $ 62 11 ($ in millions)

2016 Guidance 2016 Guidance Revenue $ 1.2 billion Adjusted EBITDA $303 million* * Plus or minus 2 percent 12

Appendix 13

Consolidated Results ($ in millions, except per share amounts) Three Months Ended March 31, 2016 2015 Revenue $ 288.9 $ 292.9 Costs and expenses Cost of services and products 162.7 166.2 Selling, general and administrative 53.2 52.2 Depreciation and amortization 43.4 32.6 Other — 4.8 Operating Income 29.6 37.1 Interest expense 20.3 32.7 Gain on extinguishment of debt (2.4) — Other expense, net — 3.5 Income from continuing operations before income taxes 11.7 0.9 Income tax expense 4.7 0.6 Income from continuing operations 7.0 0.3 Income from discontinued operations, net of tax — 48.9 Net income 7.0 49.2 Preferred stock dividends 2.6 2.6 Net income applicable to common shareholders $ 4.4 $ 46.6 Basic and diluted net earnings per common share Earnings (loss) from continuing operations $ 0.02 $ (0.01) Earnings from discontinued operations — 0.23 Basic and diluted net earnings per common share $ 0.02 $ 0.22 . 14

Revenue Classifications - Entertainment and Communications Strategic Legacy Integration Data Voice Video Services and Other Fioptics Internet DSL (1) (> 10 meg) Ethernet Private Line MPLS (2) SONET (3) Dedicated Internet Access Wavelength Audio Conferencing Fioptics Voice VoIP (4) Fioptics Video Wiring Projects DSL (< 10 meg) DS0 (5), DS1, DS3 TDM (6) Traditional Voice Long Distance Switched Access Digital Trunking Advertising Directory Assistance Maintenance Information Services Wireless Handsets and Accessories 15 (1) Digital Subscriber Line (2) Multi-Protocol Label Switching (3) Synchronous Optical Network (4) Voice of Internet Protocol (5) Digital Signal (6) Time Division Multiplexing

Revenue Classifications - IT Services and Hardware Professional Services Unified Communications Cloud Services Monitoring and Management Telecom & IT Hardware Strategic Integration Consulting Staff Augmentation Voice Monitoring Managed IP Telephony Solutions Virtual Data Centers Storage Backup Network Monitoring/Management Security Installation Maintenance Hardware Software Licenses 16

Revenue – MD&A Strategic, Legacy and Integration ($ in millions) Q1 2016 Entertainment and Communications IT Services and Hardware Total Eliminations Total Strategic Data $ 58.1 $ — Voice 17.2 — Video 29.0 — Services and other 1.3 — Professional services — 22.3 Management and monitoring — 8.1 Unified communications — 7.5 Cloud services — 10.2 Total Strategic 105.6 48.1 153.7 (2.2) 151.5 Legacy Data $ 27.1 $ — Voice 53.0 — Services and other 3.1 — Total Legacy 83.2 — 83.2 (0.3) 82.9 Integration Services and other $ 1.5 $ — Professional services — 3.9 Unified communications — 2.6 Telecom and IT hardware — 47.9 Total Integration 1.5 54.4 55.9 (1.4) 54.5 Total Revenue $ 190.3 $ 102.5 $ 292.8 $ (3.9) $ 288.9 Eliminations 0.4 3.5 3.9 $ 189.9 $ 99.0 $ 288.9 17

Revenue – MD&A Strategic, Legacy and Integration ($ in millions) Q1 2015 Entertainment and Communications IT Services and Hardware Total Eliminations Total Strategic Data $ 48.4 $ — Voice 14.7 — Video 21.4 — Services and other 1.7 — Professional services — 20.6 Management and monitoring — 7.3 Unified communications — 6.7 Cloud services — 6.1 Total Strategic 86.2 40.7 126.9 (2.1) 124.8 Legacy Data $ 32.8 $ — Voice 61.0 — Services and other 3.8 — Total Legacy 97.6 — 97.6 (0.2) 97.4 Integration Services and other $ 4.3 $ — Professional services — 3.5 Unified communications — 2.9 Telecom and IT hardware — 60.5 Total Integration 4.3 66.9 71.2 (0.5) 70.7 Total Revenue $ 188.1 $ 107.6 $ 295.7 $ (2.8) $ 292.9 Eliminations 0.3 2.5 2.8 $ 187.8 $ 105.1 $ 292.9 18