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Make more possible Rogers Communications Inc. | 2018 Annual Report Our Purpose To connect Canadians to a world of possibilities and the memorable moments that matter most in their lives 2 ROGERS COMMUNICATIONS INC. 2018 ANNUAL REPORT About Rogers We are a team of proud Canadians dedicated to making more possible for our customers each and every day. Our founder, Ted Rogers, believed in the power of communication to enrich, entertain and embolden Canadians. He followed in his father’s footsteps, and at the age of 27, purchased his first radio station, CHFI. From these modest beginnings, we have grown to become a formidable technology company. A company devoted to delivering the very best in wireless, residential and media to Canadians and Canadian businesses. Table of Contents PAGE 3 PAGE 4 PAGE 6 PAGE 8 About A Message A Message A Year Rogers from Edward from Joe in Review PAGE 10 PAGE 11 PAGE 12 PAGE 146 Senior Executive Directors 2018 Corporate and Officers Financial Report Shareholder Information 2018 ANNUAL REPORT ROGERS COMMUNICATIONS INC. 3 A MESSAGE FROM EDWARD Edward Rogers Chair, Board of Directors Rogers Communications Inc. My Fellow Shareholders, Rogers was founded almost 60 years ago through has delivered strong and consistent long-term results the purchase of a single radio station. Even during for all shareholders. Over the past 10 years, Rogers has those early entrepreneurial days, Ted Rogers’ goal was generated total shareholder returns of 178%, and the to not only build a successful business for the long-term, company’s market value has doubled over the last 9 years. but to also build a great Canadian company; one that served the needs of its local communities while also While these strong results demonstrate the value of our contributing to the leadership and development of strategy, we understand there is always more work to be a young and growing nation. He understood that done. We have grown to become one of Canada’s most long-term focus, discipline and ongoing investment trusted brands as we now reach 98% of all Canadians would be required to achieve this goal and he incor- through our wireless, cable, business services, media and porated this thinking into the birth and growth sports operations. This is a significant responsibility that of Rogers Communications. Canadians entrust us to manage thoughtfully and is a relationship we will continue to invest in and respect. Building off these founding principles, Rogers delivered strong operational and financial results in 2018, as In 2018, our markets remained highly competitive across we led our industry in many financial and operational all of our businesses. While many of our businesses metrics. Under the leadership of our CEO, Joe Natale, continue to undergo change, we are well positioned to our management team and all 26,000 of our employees, embrace those changes and deliver leading next gener- Rogers made impressive progress on its strategic plan ation content, networks and products to our customers. and priorities, successfully balancing both short-term performance with long-term investments. In Wireless, we remained Canada’s largest provider with more than 10.7 million subscribers. In 2018 we delivered Our results in 2018 build on our multi-decade com- industry leading revenue and profitability growth, mitment to invest for the long-term, and this approach improved customer loyalty, and continued to make the 4 ROGERS COMMUNICATIONS INC. 2018 ANNUAL REPORT “ I have full confidence in our management team to continue to make the Rogers organization better every day.” key investments required to build one of the fastest and Rogers is strong and well positioned for the future. I have most secure 5G networks in the world. Going forward, full confidence in our management team to continue to we are committed to making significant investments in make the Rogers organization better every day. We will this business to improve customer service and ensure work hard to earn our position as leaders in our industry, Canadians have access to the most powerful, secure in our country and in our communities as we make the and reliable networks. ongoing investments to enrich the lives of Canadians. In our Cable business we have made investments to I want to thank the Rogers board of directors for their bring our customers the most innovative and forward- contributions and confidence. With their leadership we looking television experience available anywhere with have strengthened our Board governance and practices. the launch last year of Ignite TV. Today, we provide the They bring a tremendous amount of experience and fastest and most reliable Internet speeds across our ability to our Board and its subcommittees and their entire cable footprint, which has been achieved by the counsel has been invaluable. multi-decade investments we have committed. Finally, I also want to thank our shareholders for your Rogers has also established a terrific mix of assets in support of Rogers. We are an energized and enthusiastic sports and media. Today we are the national leader in organization looking forward to continuing to invest, sports, local radio, publishing, home shopping and TV compete and serve our customers in this growing, programming. This mix positions us well for the future, changing and exciting media and communications as these industries continue to adapt to the changing industry in the coming years. viewing and listening preferences of Canadians. Like the coast-to-coast fans that proudly cheer on our Edward S. Rogers teams in person or through our broadcasts, we are Chair of the Board very proud of Rogers’ national sports presence and the Rogers Communications Inc. contribution it makes to Canada’s cultural fabric. We have the country’s only national baseball team in the Toronto Blue Jays. We have co-ownership in the country’s only national basketball team in the Raptors, and we exclu- sively manage the NHL national broadcast rights to Canada’s national pastime. We are thrilled to offer these cherished assets to Canadians and will continue to invest in these entities for the enjoyment of future generations. 2018 ANNUAL REPORT ROGERS COMMUNICATIONS INC. 5 A MESSAGE FROM JOE Joe Natale President and CEO Rogers Communications Inc. Dear Shareholders, I believe we play a meaningful role in the lives of investing to be at the centre of this opportunity. We are Canadians each and every day. At the heart of it, making the right investments to bring this world to we connect people, businesses and communities Canadians. I am incredibly proud of our team and their to each other, and to the world around them. efforts to make this possible for our customers. Consumers and businesses rely on our technology 2018 accomplishments services now, more than ever. To us, it is more than The right team and culture is the critical foundation watching a movie, exploring the web or messaging to building a high-performing company. From my each other. We want the promise of technology to perspective, we have one of the best teams in our deliver a world of possibilities – stronger human industry globally. In 2018, we achieved global best- connections, healthier lives, growth and prosperity, in-class employee engagement and we were named memorable experiences – to unleash all it has to offer one of Canada’s Top 100 Employers. society. This is a significant responsibility and it is one we deliver with tremendous pride and passion. Our team’s #1 priority is putting our customers first in everything we do. Our customer-first mindset is perme- We are in the very early stages of the modern digital ating the hearts and minds of our team and it is starting age. As a country, we are on the cusp of the next major to show up in our performance. Last year, we delivered phase of innovation and investment. Soon, 5G will usher our best Wireless customer loyalty in 10 years. We saw in solutions and capabilities that are as typical as the substantial improvements in customer adoption of our 4G services we enjoy today – services that arrived with web and mobile apps. Most importantly, we listened great promise only a few short years ago, and now play carefully to our customers’ feedback and introduced a central role in our everyday life. At Rogers, we are hundreds of service improvements. 6 ROGERS COMMUNICATIONS INC. 2018 ANNUAL REPORT We began our journey to bring Canadians the Con- of Canadians. We are extremely proud of our volunteer- nected Home of the future with the launch of Ignite TV. ing, community grants and Ted Rogers Scholarship Fund. Our world-class Internet platform and our Connected Overall, we contributed over $60 million to 1,900 chari- Home roadmap will continue to be sources of compe- ties across Canada, awarded 313 scholarships, and titive advantage as we enable Canadians with this volunteered 20,000 hours. powerful set of solutions. We made strategic investments in our networks and “ Our team’s #1 priority technology, the lifeblood of our business. We upgraded is putting our customers our 4G network to make it 5G-ready, announcing a key strategic partnership with Ericsson, the 5G first in everything we do.” partner of choice. Our investments allow us to deliver the right customer experiences today, and the right Looking ahead capabilities tomorrow. As I look to the future, we remain committed to becoming a world-class technology company. A company relent- We delivered on our financial guidance, generating lessly focused on growing our core business, investing in the best financial and subscriber performance in almost our future and delivering a strong return to shareholders. a decade. We grew total revenue by 5% and adjusted We are on a journey to becoming one of the best brands EBITDA by 9%.