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2 Stock Market Ticker ISIN code Bloomberg code Nasdaq code Reuters code First Market of Euronext Brussels PROX BE PROX BB PROX-BT PROX BR Since March 2004, Proximus shares have been listed on Euronext Brussels under the ticker symbol BELG until its replacement by PROX on 22 June 2015 following the successful rebranding of the legal company name from Belgacom to Proximus". The Proximus share is included a.o. in the following indices: BEL 20, STOXX Europe 600 Telecommunications index, STOXX Europe 600 and FTSE Eurofirst 300 index. The Proximus share closed 2016 at EUR 27.36, 8.8% below the last closing price of This compares to a 15.8% decline for the European Telecom sector (STOXX EUR 600 Telecom). In 2016 the Telecom sector was the worst performing sector in Europe, underperforming the global market. This in spite of the sector showing an improving business performance from the prior year, with decent quarterly financial results, meeting or exceeding consensus expectations, and solid shareholder return. The Telecom underperformance was however driven by vaporizing hopes on consolidation and multiple regulatory headwinds. This came on top of the macro-driven volatility on the overall market. 2 I Proximus Group Annual Report 2016

3 Proximus share price evolution 2016 vs. 3 indices (in %- rebased) 20% 15% 10% 5% 0% -5% -10% -15% -20% -25% -30% 31/12/ /01/ /02/ /03/ /04/ /05/ /06/ /07/ /08/ /09/ /10/ /11/2016 PROXIMUS STOXX Eur 600 Telecom STOXX Eur 600 BEL 20 (Source: Nasda Proximus share price evolution compared to a number of European peers (in %- rebased) 20% 15% 10% 5% 0% -5% -10% -15% -20% -25% -30% 04/01/ /02/ /03/ /04/ /05/ /06/ /07/ /08/ /09/ /10/ /11/ /12/2016 PROXIMUS KPN TELEKOM AUSTRIA TELEFONICA BT GROUP PLC ORANGE DEUTSCHE TELEKOM TDC TELENET ORANGE BELGIUM (Source: Nasdaq) Proximus Group Annual Report 2016 I 3

4 Share information Share price high Share price low Share price at 31 December Annual trading volume (number of shares) 181,364, ,569, ,786, ,139, ,753, ,802, ,825, ,368,090 Average trading volume per day (number of shares) 708, , , , , , , ,327 Number of outstanding shares 320,614, ,482, ,648, ,321, ,759, ,230, ,003, ,637,103 W eighted average number of outstanding shares 320,475, ,138, ,963, ,011, ,987, ,119, ,767, ,316,200 Market capitalization at 31 December (billion EUR) Key data per share - on reported basis EBITDA Earnings Price/earnings at 31 December Ordinary dividend (gross) Interim-dividend (gross) Gross dividend yield % 8.700% 9.00% 11.20% 10.10% 4.98% 5.00% 5.48% Key data per share - on underlying basis EBITDA NA NA NA NA NA Earnings NA NA NA NA NA Price/earnings at 31 December 2 NA NA NA NA NA Calculation based on number of outstanding shares & last closing price of the respective year 2 Based on weighted average number of outstanding shares, corresponds to the Net Income (Group Share) 3 Based on the last closing price of the respective year Proximus main shareholder is the Belgian Government, owning 53.5% of the company s shares. Proximus itself held 4.6% of its own shares end The free float represented 41.9%. Proximus share ownership 31 December 2016 Number of shares % shares % Voting rights % Dividend rights Number of shares with voting rights Number of shares with dividend rights Belgian state 180,887, % 56.1% 55.9% 180,887, ,887,569 Proximus own shares 15,388, % 0.0% 0.4% 0 1,167,056 Free-float 141,749, % 43.9% 43.8% 141,749, ,749,534 Total 338,025, % 100.0% 100.0% 322,637, ,804,159 4 I Proximus Group Annual Report 2016

United Kingdom 7% 7% 25% Free float 42% Proximus shares ownership Germany Benelux Nordics 9% 8% Institutional shares per geography Belgian State 53% France Rest of Europe Rest of World 17% 8% 19%

institutional shareholders. Proximus main institutional shareholders are located in the United States and the United Kingdom followed by Benelux and France.

5 United Kingdom 7% 7% 25% Free float 42% Proximus shares ownership Germany Benelux Nordics 9% 8% Institutional shares per geography Belgian State 53% France Rest of Europe Rest of World 17% 8% 19% Source : Shareholder analysis September 2016 % of identified institutional shareholders - Nasdaq Of the shares in free float, about 20% are held by retail investors and the remainder essentially by institutional shareholders. Proximus main institutional shareholders are located in the United States and the United Kingdom followed by Benelux and France. End of period ,021,384 Options exercised during ,579 Discount Purchase Plan employee -9,773 End of period ,388,032 End-2016, Proximus held 15,388,032 treasury shares, representing 4.6% of the total number of shares. In the course of 2016, 9,773 treasury shares were used in a Discounted Share Purchase Plan, and 201,579 options were exercised 1. The voting rights of the treasury shares are suspended by law. The dividend rights of the treasury shares acquired in 2004 are also suspended, whereas the dividend rights for shares acquired as from 2005 are cancelled. Under Belgian law, companies are prohibited from owning more than 20% of their outstanding share capital. 1 For more information, please refer to the Remuneration Report Proximus Group Annual Report 2016 I 5

6 According to Proximus' bylaws, the thresholds as from which a shareholding needs to be disclosed have been set at 3% and 7.5%, in addition to the legal thresholds of 5% and each multiple of 5%. According to the last received notification from Blackrock Inc. on 23 September 2015, their shareholding in Proximus reached 3.0%. attached to own shares held by Proximus are suspended. To Proximus knowledge, no other shareholder owned 3% or more of Proximus outstanding shares as at 31 December Notifications of important shareholdings to be made according to the Law of 2 May 2007 or Proximus bylaws should be sent to: On 31 December 2016, Proximus held in aggregate 15,388,032 shares, representing 4.6% of the total number of outstanding shares. Pursuant to Belgian law, the voting rights FSMA on trp.fin@fsma.be Proximus on investor.relations@proximus.com Proximus Investor Relations (IR) aims at ensuring open communication with the Belgian and international investment world on a regular basis. Through transparent, consistent dialog with investors and financial analysts, the Group strives for a fair share value based on high-quality financial information. To keep Proximus current and potential shareholders informed, Proximus management speaks to the financial community on a regular basis. Each quarterly results announcement is followed by a conference call or investor/analyst presentation during which maximum time is reserved for a questions & answers session. Twice a year, typically following the full-year and half-year results, Proximus organizes a roadshow with top management covering the most important money centers of Europe and the United States. Furthermore, Proximus has participated in several major international investment conferences. In between these events, meetings and conference calls are held with senior management. In all these activities, management is supported by the Investor Relations team (IR). The Proximus IR team offers daily support to the retail and institutional shareholders as well as to the sell-side analysts. A strict quiet period is observed before the communication of the quarterly results. The start of the quiet period is published on the Proximus Investor Relations website. 6 I Proximus Group Annual Report 2016

7 Shareholder return policy Proximus commits to an attractive shareholder remuneration policy by returning, in principle, most of its annual free cash flow to its shareholders. The return of free cash flow either through dividends or through share buybacks will be reviewed on an annual basis in order to keep strategic financial flexibility for future growth, organically or via selective M&A, with a clear focus on value creation. This also includes confirming appropriate levels of distributable reserves. The shareholder remuneration policy is based on a number of assumptions regarding future business and market evolutions, and may be subject to change in case of unforeseen risks or events outside the company s control. Shareholder return from the financial year 2016 On 23 February 2017, the Board of Directors decided to propose an ordinary dividend of EUR 1.00 per share to the Annual Shareholder Meeting of 19 April As a result, Proximus expects to return a dividend of EUR 1.50 gross per share for the 2016 full-year results, in line with its provided 3-year dividend outlook for After approval by the Annual Shareholder Meeting, the normal dividend will be paid on 28 April 2017, with record date on 27 April 2017 and ex-dividend date on 26 April This brings the total declared dividend over the result of 2016 to EUR 486 million. Proximus continues to award its shareholders with an attractive and sustainable dividend. Mid- December 2016, when announcing its Fiber-for- Belgium project, Proximus management stated its intention to pay out a stable yearly dividend of EUR 1.50 per share for the next 3 years to come, provided Proximus financial performance is in line with its expectations. 19 April 2017 Annual General Shareholder meeting 26 April 2017 Ex-dividend listing of shares 5 May 2017 Announcement of Q results 28 July 2017 Announcement of Q results 27 October 2017 Announcement of Q results Note that these dates may be subject to change Proximus Group Annual Report 2016 I 7

Financial overview. Jari Kinnunen CFO

Financial overview. Jari Kinnunen CFO Financial overview Jari Kinnunen CFO 1 Financial performance 2 Capital management 3 Cost allocation change 4 CFO priorities Financial performance Revenue growth continues, 2/3 with mid-single digits CAGR