Subsequent to September 30, 2024, the Company entered into an agreement to purchase over 7,000 communication sites in Central America from Millicom International Cellular S.A. for approximately $975.0 million in cash. This transaction is expected to close, subject to antitrust approvals and other closing conditions, some time in 2025.

The company intends to continue to grow its asset portfolio, domestically and internationally, primarily through tower acquisitions and the construction of new towers that meet internal return on invested capital criteria. During the nine months ended September 30, 2024, the company acquired 179 towers.

Site development revenues decreased $3.2 million for the three months ended September 30, 2024, as compared to the prior year, as a result of decreased carrier activity. Site development segment operating profit decreased $4.1 million for the three months ended September 30, 2024, as compared to the prior year, as a result of decreased carrier activity.

On January 25, 2024, the Company repaid its 2018 Term Loan and issued a new $2.3 billion Term Loan with a maturity date of January 25, 2031. This action demonstrates proactive management of the capital structure.

During the first quarter of 2024, the Company completed its assessment on the remaining estimated useful lives of its towers and intangible assets, resulting in a change from 15 years to 30 years. This change in useful lives is expected to reduce depreciation and amortization expense by approximately $411.5 million ($372.5 million after tax, or an increase of $3.45 per diluted share) for the year ended December 31, 2024.

The capital allocation strategy is aimed at increasing shareholder value through investment in quality assets that meet return criteria, stock repurchases when the stock price is below its intrinsic value, and by returning cash generated by operations in the form of cash dividends.

The company acknowledges interest rate risk relating to refinancing debt and the variable portion of the 2024 Term Loan. A hypothetical 1% increase in variable interest rates would increase interest expense by approximately 1.8% for the nine months ended September 30, 2024.

The company is exposed to market risk from changes in foreign currency exchange rates in connection with its operations in Brazil, Canada, Chile, Peru, Colombia, South Africa, the Philippines, Tanzania, and to a lesser extent, its markets in Central America. A hypothetical 10% adverse movement in the Brazilian Real would cause revenues and operating income to decline by approximately 1.3% and 1.0%, respectively.

The company acknowledges the risks associated with international operations, including risks relating to political or economic conditions, inflation, tax laws, currency restrictions and exchange rate fluctuations, legal or judicial systems, and land ownership.

The company acknowledges the increasing competitive environment in the markets in which it operates and the impact on its ability to retain and renew at anticipated lease rates its current customers and to identify and close sufficient volume of tower acquisitions that satisfy its investment criteria to meet its portfolio growth expectations.

The company acknowledges the impact of consolidation among wireless service providers, including on its churn rates.

The company acknowledges the ability of DISH Wireless to become and compete as a nationwide carrier.

The company believes that the site leasing business continues to be attractive due to its long-term contracts, built-in rent escalators, high operating margins, and low customer churn.

For any given tower, costs are relatively fixed over a monthly or an annual time period. As such, operating costs for owned towers do not generally increase as a result of adding additional customers to the tower.

The company believes its site leasing business is characterized by predictable operating costs, and minimal non-discretionary capital expenditures.

The company expects to grow its cash flows by adding tenants to its towers at minimal incremental costs by using existing tower capacity or requiring wireless service providers to bear all or a portion of the cost of tower modifications and executing monetary amendments as wireless service providers add or upgrade their equipment.

Because the company's towers are strategically positioned, they have historically experienced low tenant lease terminations as a percentage of revenue other than in connection with customer consolidation or cessations of a specific technology.

The company acknowledges the introduction of new technologies or changes in a tenant's business model that may make the tower leasing business less desirable to existing or potential tenants.

The capital allocation strategy is aimed at increasing shareholder value through investment in quality assets that meet return criteria, stock repurchases when the stock price is below its intrinsic value, and by returning cash generated by operations in the form of cash dividends.

In a high interest rate environment and when the company believes interest rates may stay higher for longer, they believe that debt repayments, especially of variable rate debt, may be an accretive use of excess capital.

The company currently utilizes stock repurchases as part of its capital allocation policy when it believes its share price is below its intrinsic value.

The Revolving Credit Facility incorporates sustainability-linked targets which will adjust the Revolving Credit Facility's applicable interest and commitment fee rates upward or downward based on how the company performs against those targets.

The rate reflected includes a 0.050% reduction in the applicable spread as a result of meeting certain sustainability-linked targets as of December 31, 2023. The rate reflected includes a 0.010% reduction in the applicable commitment fee as a result of meeting certain sustainability-linked targets as of December 31, 2023.

While sustainability-linked targets are mentioned in relation to the Revolving Credit Facility, the filing lacks detailed information on broader ESG initiatives, environmental commitments, social responsibility programs, or governance practices. The focus is primarily on financial performance and operational strategy.

The company states that the impact of inflation on its operations has not been material to date.

The company acknowledges that the impact of rising interest rates, due to actions by the Federal Reserve to combat inflation, has impacted, and is expected to continue to impact, its growth rate and future operating results.

Persistent high rates of inflation could adversely affect the company's future operating results particularly in light of the fact that its site leasing revenues are governed by long-term contracts with pre-determined pricing that they will not be able to increase in response to increases in inflation other than its contracts in South America, South Africa, the Philippines, and Tanzania which have inflationary index based rent escalators.