© 2017 Avaya Inc. All rights reserved. 1 Avaya Confidential and Privileged – Prepared at the Direction of Counsel PROJECT ARROWHEAD DIP OVERVIEW JANUARY 2017 Subject to NDA EXHIBIT 99.10
© 2017 Avaya Inc. All rights reserved. 2 Confidential - DRAFT - Subject to NDA DISCLAIMER This presentation and the information contained herein are being made available to you pursuant to a potential transaction under Project Arrowhead (the "Transaction") and may not be used for any other purpose. This Presentation does not purport to be all-inclusive or to necessarily contain all the information that you may desire in learning more about Avaya. By accepting this Presentation, you agree that you will, prior to entering into any agreement with respect to any Transaction, perform your own independent investigation and analysis. You acknowledge that you will rely on your own independent evaluation and analysis and not on the information contained herein. This Presentation may not be used, and by your acceptance of this Presentation you agree that you will not use this Presentation, for any other purpose. Neither Avaya nor any of its affiliates or representatives has made or makes any representation or warranty, express or implied, as to the accuracy or completeness of the information contained herein or any other written or oral communication transmitted or made available to you. Avaya and its respective affiliates and representatives expressly disclaim any and all liability based, in whole or in part, on such information, errors therein or omissions therefrom. Certain statements contained in this Presentation are forward-looking statements provided by Avaya, including statements about its latest financial outlook, projected revenue, projected operating costs, projected free cash flow, future financial and operational performance, planned and unrealized future savings, capital structure alternatives, as well as statements about future growth plans and drivers. These statements may be identified by the use of forward-looking terminology such as "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "might," "plan," "potential," "predict," "should," "will" or "would" or the negative thereof or other variations thereof or other comparable terminology. Avaya has based these forward-looking statements on its current expectations, assumptions, estimates and projections. While Avaya believes these are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond its control. These and other important factors may cause its actual results, performance, or achievements to differ materially from any future results, performance, or achievements expressed or implied by these forward-looking statements. For a list and description of such risks and uncertainties, please refer to Avaya's filings with the SEC that are available at www.sec.gov and in particular, its 2015 Form 10-K filed with the SEC on November 23, 2015. No representations or warranties are made as to the accuracy or reasonableness of such assumptions or the projections or forward looking statements based thereon, and Avaya disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Only those representations and warranties which may be made in a definitive written agreement relating to a Transaction, when and if executed, and subject to any limitations and restrictions as may be specified in such definitive agreement, shall have any legal effect. The contents of this Presentation are confidential and proprietary to Avaya and are being furnished to you pursuant and subject to the confidentiality agreement (the "Confidentiality Agreement") executed by you . By accepting this Presentation, you acknowledge that you are bound by the terms of such Confidentiality Agreement. This Presentation may not be photocopied, reproduced, or distributed to others at any time without the prior written consent of Avaya. In making available this Presentation, Avaya does not undertake any obligation to provide you with access to any additional information or to update any of the information contained in this Presentation at any time. Your receipt of this Presentation does not create, nor is it intended to create, a binding and enforceable contract or commitment between Avaya and you or any other party with respect to consummation of a Transaction. This Presentation may not be relied upon by any party as the basis for any such contract or commitment. Consummation of any Transaction is subject to, among other things, the execution of a definitive agreement in writing.
© 2017 Avaya Inc. All rights reserved. 3 Confidential - DRAFT - Subject to NDA Pre-filing Post-filing 2017 2017 2017 2017 2017 $ in millions FQ1 FQ2 FQ3 FQ4 FYE LFO Business Plan Proj. Proj. Proj. Proj. Proj. Total Revenue $834 $803 $780 $782 $3,198 Adjusted EBITDA $216 $215 $212 $206 $849 LFO Sensitivity Scenario Prelim. Proj. Proj. Proj. Proj. Total Revenue $870 $762 $704 $706 $3,043 Adjusted EBITDA $238 $166 $140 $149 $694 LFO SENSITIVITY SCENARIO The table below provides a comparison of quarterly FY2017 financial projections1 in the Company’s LFO business plan and the LFO sensitivity scenario developed for DIP sizing purposes LFO Sensitivity Scenario Assumptions Revenue projections under the LFO sensitivity scenario reflect business and filing-related weakness and a ~5-10% reduction vs. LFO forecast 2Q17 through 4Q17 Adjusted EBITDA projections reflect a ~20-30% reduction vs. the LFO case due to revenue headwinds coupled with the Company’s inability to achieve all identified cost reductions, slightly offset by an increase in addbacks related to recent pension accounting updates Notes: 1. Quarters shown are fiscal quarters; the Company's fiscal year runs through 9/30/2017
© 2017 Avaya Inc. All rights reserved. 4 Confidential - DRAFT - Subject to NDA DIP SIZING ANALYSIS Projection Period 1/21 - 12/29 Operating Cash Flow 214,907 Less: Principal, interest & fees (363,959) Less: Professional fees (161,212) Less: Foreign obligations escrow account (75,000) Less: L/C collateralization and utility deposit (69,313) Less: ABL paydown (105,000) Net cash flow: 1/21 - 12/29 (559,577) Cash balance at 1/20 116,678 Less: Net cash flow: 1/21 - 12/29 (559,577) Less: Exit costs (159,000) Less: Potential additional restructuring spend (25,000) Less: Minimum Liquidity (100,000) Potential DIP Need (726,899)$ Projected cash balance at filing 116,678 Less: Net cash flow: 1/21 - 12/29 (559,577) Plus: DIP Borrowings 717,750 Cash balance @ 12/29 274,851 Less: Exit costs (159,000) Cash post emergence 115,851$ Sources Cash post emergence 115,851 Exit financing 859,149 975,000$ Uses WholeCo cash 250,000 DIP Term Loan 725,000 975,000$
© 2017 Avaya Inc. All rights reserved. 5 Confidential - DRAFT - Subject to NDA SOURCES AND USES 30 Day Sources & Uses 1 Amount Amount Sources ($000s) Uses ($000s) DIP Loan 425,000 Negative Op. Cash Flow 14,877 4 Less: OID 2 (4,250) Interest & Financing Fees 59,605 Total Sources 420,750 L/C collateralization 68,813 Professional Fees 3,618 4 Domestic ABL 55,000 Foreign ABL 50,000 Cash Pooling Support Account 75,000 Cash to Balance Sheet 93,837 Total Uses 420,750 60 Day Sources & Uses 3 Amount Amount Sources ($000s) Uses ($000s) DIP Loan 425,000 Negative Op. Cash Flow 7,621 4 Less: OID 2 (4,250) Interest & Financing Fees 64,469 Total Sources 420,750 L/C collateralization 68,813 Professional Fees 12,468 4 Domestic ABL 55,000 Foreign ABL 50,000 Cash Pooling Support Account 75,000 Cash to Balance Sheet 87,380 Total Uses 420,750 Notes: 1) Represents the period from 01/21/17 to 02/17/17 2) Assumes OID of 1.0% 3) Represents the period from 01/21/17 to 03/24/17 4) Excludes foreign operations
© 2017 Avaya Inc. All rights reserved. 6 Confidential - DRAFT - Subject to NDA DIP BUDGET – GLOBAL (Page 1 of 3) Project Arrowhead - Global Weekly Cash Flow Forecast DRAFT ($ in 000's) LFO 5/10 Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Week 10 Week 11 Week 12 Week 13 Week 14 Week 15 Week 16 Week 17 1/21 1/28 2/4 2/11 2/18 2/25 3/4 3/11 3/18 3/25 4/1 4/8 4/15 4/22 4/29 5/6 5/13 1/27 2/3 2/10 2/17 2/24 3/3 3/10 3/17 3/24 3/31 4/7 4/14 4/21 4/28 5/5 5/12 5/19 CONSOLIDATED Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast AR Collection 77,309$ 75,666$ 55,982$ 71,147$ 68,034$ 65,722$ 45,170$ 65,189$ 51,494$ 137,251$ 43,730$ 34,990$ 39,383$ 68,776$ 67,314$ 49,802$ 63,293$ Special Collection - - - - - - - - - - - - - - - - - Other Receipts 250 1,292 250 250 250 1,292 250 250 250 310 1,232 250 250 250 1,292 250 250 Total Cash Receipts 77,559 76,958 56,232 71,397 68,284 67,014 45,420 65,439 51,744 137,561 44,962 35,240 39,633 69,026 68,606 50,052 63,543 Vendor Payments (39,559) (35,334) (84,326) (42,142) (28,998) (11,021) (75,892) (11,452) (14,200) (14,265) (69,564) (12,958) (19,052) (22,614) (9,263) (61,820) (15,844) Payroll (25,043) (20,301) (4,196) (9,986) (41,882) (34,629) (4,084) (10,209) (9,430) (57,972) (5,347) (10,408) (6,086) (52,206) (12,186) (7,546) (7,442) Severance (939) (2,858) (1,457) (582) (476) (1,410) (899) (488) (451) (1,512) - (779) (684) (939) (2,858) (1,457) (582) Taxes (2,151) (2,487) (5,060) (5,905) (6,208) (2,418) (3,388) (3,916) (5,743) (2,269) (1,319) (5,980) (9,043) (2,151) (2,992) (4,555) (5,905) Pension (119) (766) (33) - (119) (10,431) (761) - (120) (790) - (33) - (119) (766) (33) - Benefits (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) Other Payments (533) (338) (321) (463) (250) (466) (411) (250) (250) (348) (385) (269) (250) (533) (250) (409) (463) Total Operating Cash Disbursements (69,744) (64,984) (96,794) (61,978) (79,334) (63,276) (86,834) (29,214) (31,594) (80,056) (78,015) (33,327) (36,515) (81,461) (29,716) (78,721) (31,636) OPERATING CASH FLOW 7,816 11,974 (40,562) 9,419 (11,050) 3,738 (41,414) 36,225 20,149 57,505 (33,053) 1,914 3,118 (12,436) 38,890 (28,669) 31,907 Principal - - - - - - - - - - - - - - - - - Interest and Financing Fees (58,099) (1,505) - - - (4,864) - - - (5,377) (48,365) - - (49,742) (5,135) - - Total Financing Cash Disbursements (58,099) (1,505) - - - (4,864) - - - (5,377) (48,365) - - (49,742) (5,135) - - L/C Collateralization (68,813) - - - - - - - - - - - - - - - - Professional Fees (198) (3,225) (125) (1,070) (190) (3,800) (65) (380) (5,415) (3,050) (8) (1,700) (8,780) - (2,758) (1,700) (7,330) Other - - - - - - - - - - - - - - - - - Total Restructuring Disbursements (69,011) (3,225) (125) (1,070) (190) (3,800) (65) (380) (5,415) (3,050) (8) (1,700) (8,780) - (2,758) (1,700) (7,330) NET CASH FLOW (119,294) 7,244 (40,687) 8,349 (11,240) (4,926) (41,480) 35,845 14,734 49,078 (81,426) 214 (5,662) (62,178) 30,997 (30,369) 24,577 Beginning Cash 116,678 312,634 319,877 279,190 584,539 573,299 568,373 526,893 562,738 577,473 626,551 545,126 545,339 539,677 477,500 508,496 478,128 Net Cash Flow (119,794) 7,244 (40,687) 8,349 (11,240) (4,926) (41,480) 35,845 14,734 49,078 (81,426) 214 (5,662) (62,178) 30,997 (30,369) 24,577 ABL (Repay)/Draw (105,000) - - - - - - - - - - - - - - - - DIP (Repay)/Draw 420,750 - - 297,000 - - - - - - - - - - - - - Ending Cash 312,634 319,877 279,190 584,539 573,299 568,373 526,893 562,738 577,473 626,551 545,126 545,339 539,677 477,500 508,496 478,128 502,705 Cash Pooling Support (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) UNRESTRICTED CASH 237,634$ 244,877$ 204,190$ 509,539$ 498,299$ 493,373$ 451,893$ 487,738$ 502,473$ 551,551$ 470,126$ 470,339$ 464,677$ 402,500$ 433,496$ 403,128$ 427,705$ Cas h Rece ipt s De bt Ser vic e No n- Rec urr ing Op era tin g Dis bur sem ent s Liq uid ity
© 2017 Avaya Inc. All rights reserved. 7 Confidential - DRAFT - Subject to NDA DIP BUDGET – GLOBAL (Page 2 of 3) Project Arrowhead - Global Weekly Cash Flow Forecast DRAFT ($ in 000's) LFO 5/10 Week 18 Week 19 Week 20 Week 21 Week 22 Week 23 Week 24 Week 25 Week 26 Week 27 Week 28 Week 29 Week 30 Week 31 Week 32 Week 33 Week 34 5/20 5/27 6/3 6/10 6/17 6/24 7/1 7/8 7/15 7/22 7/29 8/5 8/12 8/19 8/26 9/2 9/9 5/26 6/2 6/9 6/16 6/23 6/30 7/7 7/14 7/21 7/28 8/4 8/11 8/18 8/25 9/1 9/8 9/15 CONSOLIDATED Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast AR Collection 60,524$ 58,468$ 40,184$ 57,994$ 45,810$ 122,101$ 42,187$ 33,756$ 37,994$ 66,350$ 64,939$ 48,046$ 61,061$ 58,389$ 56,405$ 38,766$ 55,948$ Special Collection - - - - - - - - - - - - - - - - - Other Receipts 250 1,292 250 250 250 310 1,232 250 250 250 1,292 250 250 250 1,292 250 250 Total Cash Receipts 60,774 59,760 40,434 58,244 46,060 122,411 43,419 34,006 38,244 66,600 66,231 48,296 61,311 58,639 57,697 39,016 56,198 Vendor Payments (14,778) (9,506) (70,141) (9,153) (11,745) (11,873) (65,872) (11,359) (16,250) (19,681) (7,964) (55,281) (14,054) (13,117) (8,429) (62,530) (8,118) Payroll (12,093) (59,674) (5,239) (10,209) (9,430) (67,435) (5,347) (10,408) (6,086) (40,745) (27,293) (7,546) (7,442) (12,093) (58,662) (5,239) (10,209) Severance (476) (1,370) (939) (488) (451) (1,512) - (779) (684) (939) (2,858) (1,457) (582) (476) (1,370) (939) (488) Taxes (6,208) (925) (4,881) (3,916) (5,743) (2,269) (1,319) (5,980) (9,043) (2,151) (2,992) (4,555) (5,905) (6,208) (925) (4,881) (3,916) Pension (119) (766) (761) - (120) (790) - (33) - (119) (766) (33) - (119) (766) (761) - Benefits (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) Other Payments (250) (250) (628) (250) (250) (348) (385) (269) (250) (533) (250) (409) (463) (250) (250) (628) (250) Total Operating Cash Disbursements (36,824) (73,891) (85,488) (25,415) (30,639) (85,627) (75,823) (30,227) (35,213) (65,568) (45,023) (70,681) (31,347) (33,664) (73,302) (76,378) (25,880) OPERATING CASH FLOW 23,950 (14,131) (45,055) 32,828 15,421 36,784 (32,404) 3,779 3,031 1,031 21,209 (22,386) 29,964 24,976 (15,605) (37,362) 30,318 Principal - - - - - - - - - - - - - - - - - Interest and Financing Fees - (5,307) - - - (5,206) - - - (50,201) (5,307) - - - (5,307) - - Total Financing Cash Disbursements - (5,307) - - - (5,206) - - - (50,201) (5,307) - - - (5,307) - - L/C Collateralization - - - - - - - - - - - - - - - - - Professional Fees (190) (2,933) (6,428) (6,990) (380) (2,750) (8) (1,700) (7,520) - (2,758) (1,700) (7,340) (380) (3,058) (4,890) (2,080) Other - - - - - - - - - - - - - - - - - Total Restructuring Disbursements (190) (2,933) (6,428) (6,990) (380) (2,750) (8) (1,700) (7,520) - (2,758) (1,700) (7,340) (380) (3,058) (4,890) (2,080) NET CASH FLOW 23,760 (22,371) (51,482) 25,838 15,041 28,828 (32,411) 2,079 (4,489) (49,169) 13,144 (24,086) 22,624 24,596 (23,969) (42,252) 28,238 Beginning Cash 502,705 526,465 504,094 452,612 478,451 493,492 522,320 489,908 491,987 487,498 438,329 451,473 427,387 450,011 474,607 450,638 408,386 Net Cash Flow 23,760 (22,371) (51,482) 25,838 15,041 28,828 (32,411) 2,079 (4,489) (49,169) 13,144 (24,086) 22,624 24,596 (23,969) (42,252) 28,238 ABL (Repay)/Draw - - - - - - - - - - - - - - - - - DIP (Repay)/Draw - - - - - - - - - - - - - - - - - Ending Cash 526,465 504,094 452,612 478,451 493,492 522,320 489,908 491,987 487,498 438,329 451,473 427,387 450,011 474,607 450,638 408,386 436,624 Cash Pooling Support (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) UNRESTRICTED CASH 451,465$ 429,094$ 377,612$ 403,451$ 418,492$ 447,320$ 414,908$ 416,987$ 412,498$ 363,329$ 376,473$ 352,387$ 375,011$ 399,607$ 375,638$ 333,386$ 361,624$ Cas h Rece ipt s De bt Ser vic e No n- Rec urr ing Op era tin g Dis bur sem ent s Liq uid ity
© 2017 Avaya Inc. All rights reserved. 8 Confidential - DRAFT - Subject to NDA DIP BUDGET – GLOBAL (Page 3 of 3) Project Arrowhead - Global Weekly Cash Flow Forecast DRAFT ($ in 000's) LFO 5/10 Week 35 Week 36 Week 37 Week 38 Week 39 Week 40 Week 41 Week 42 Week 43 Week 44 Week 45 Week 46 Week 47 Week 48 Week 49 49 Week Total 9/16 9/23 9/30 10/7 10/14 10/21 10/28 11/4 11/11 11/18 11/25 12/2 12/9 12/16 12/23 1/21 9/22 9/29 10/6 10/13 10/20 10/27 11/3 11/10 11/17 11/24 12/1 12/8 12/15 12/22 12/29 12/29 CONSOLIDATED Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast AR Collection 44,194$ 117,794$ 40,941$ 32,759$ 36,871$ 64,389$ 63,020$ 46,626$ 59,256$ 56,664$ 54,739$ 37,621$ 54,295$ 42,888$ 114,313$ 2,895,544$ Special Collection - - - - - - - - - - - - - - - - Other Receipts 250 310 250 250 250 250 310 250 250 250 310 250 250 250 310 20,824 Total Cash Receipts 44,444 118,104 41,191 33,009 37,121 64,639 63,330 46,876 59,506 56,914 55,049 37,871 54,545 43,138 114,623 2,916,369 Vendor Payments (10,431) (10,550) (65,908) (11,355) (16,241) (19,675) (7,960) (55,281) (14,054) (13,117) (8,429) (62,530) (8,118) (10,431) (10,550) (1,302,785) Payroll (9,430) (57,050) (5,347) (10,408) (6,086) (37,650) (27,069) (5,003) (9,986) (12,093) (53,145) (5,239) (10,209) (9,430) (65,053) (997,299) Severance (451) (1,512) - (779) (684) (939) (2,858) (1,457) (582) (476) (1,370) (939) (488) (451) (1,512) (48,670) Taxes (5,743) (2,269) (1,319) (5,980) (9,043) (2,151) (2,992) (4,555) (5,905) (6,208) (925) (4,881) (3,916) (5,743) (2,269) (207,208) Pension (120) (790) - (33) - (119) (766) (33) - (119) (766) (761) - (120) (790) (23,663) Benefits (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (104,600) Other Payments (250) (348) (385) (269) (250) (533) (250) (409) (463) (250) (250) (628) (250) (250) (348) (17,237) Total Operating Cash Disbursements (27,824) (75,418) (74,359) (31,724) (33,704) (63,967) (43,295) (69,638) (32,390) (35,164) (66,285) (77,878) (24,380) (29,324) (81,921) (2,701,462) OPERATING CASH FLOW 16,619 42,686 (33,168) 1,285 3,418 672 20,035 (22,762) 27,116 21,751 (11,237) (40,007) 30,165 13,814 32,702 214,907 Principal - - - - - - - - - - - - - - - - Interest and Financing Fees - (4,964) (48,608) - - (50,566) (5,307) - - - (5,135) - - - (4,964) (363,959) Total Financing Cash Disbursements - (4,964) (48,608) - - (50,566) (5,307) - - - (5,135) - - - (4,964) (363,959) L/C Collateralization - - - - - - - - - - - - - - - (68,813) Professional Fees (6,540) (1,000) (2,258) (1,700) (7,130) (190) (3,258) (1,700) (7,240) (380) (3,600) (4,715) (4,855) (7,320) (18,430) (161,212) Other - - - - - - - - - - - - - - - - Total Restructuring Disbursements (6,540) (1,000) (2,258) (1,700) (7,130) (190) (3,258) (1,700) (7,240) (380) (3,600) (4,715) (4,855) (7,320) (18,430) (230,025) NET CASH FLOW 10,079 36,721 (84,034) (415) (3,712) (50,084) 11,471 (24,462) 19,876 21,371 (19,972) (44,722) 25,310 6,494 9,308 (379,077) Beginning Cash 436,624 446,703 483,425 399,390 398,975 395,263 345,179 356,650 332,188 352,064 373,434 353,462 308,740 334,050 340,543 116,678 Net Cash Flow 10,079 36,721 (84,034) (415) (3,712) (50,084) 11,471 (24,462) 19,876 21,371 (19,972) (44,722) 25,310 6,494 9,308 (379,577) ABL (Repay)/Draw - - - - - - - - - - - - - - - (105,000) DIP (Repay)/Draw - - - - - - - - - - - - - - - 717,750 Ending Cash 446,703 483,425 399,390 398,975 395,263 345,179 356,650 332,188 352,064 373,434 353,462 308,740 334,050 340,543 349,851 349,851 Cash Pooling Support (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) UNRESTRICTED CASH 371,703$ 408,425$ 324,390$ 323,975$ 320,263$ 270,179$ 281,650$ 257,188$ 277,064$ 298,434$ 278,462$ 233,740$ 259,050$ 265,543$ 274,851$ 274,851$ Cas h Rece ipt s De bt Ser vic e No n- Rec urr ing Op era tin g Dis bu rse me nts Liq uid ity
© 2017 Avaya Inc. All rights reserved. 9 Confidential - DRAFT - Subject to NDA DIP BUDGET – US (Page 1 of 3) Project Arrowhead - US Weekly Cash Flow Forecast 27 DRAFT 62 ($ in 000's) Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Week 10 Week 11 Week 12 Week 13 Week 14 Week 15 Week 16 Week 17 1/21 1/28 2/4 2/11 2/18 2/25 3/4 3/11 3/18 3/25 4/1 4/8 4/15 4/22 4/29 5/6 5/13 1/27 2/3 2/10 2/17 2/24 3/3 3/10 3/17 3/24 3/31 4/7 4/14 4/21 4/28 5/5 5/12 5/19 DOMESTIC Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast AR Collection 41,683$ 40,797$ 30,184$ 38,360$ 36,682$ 35,436$ 24,354$ 35,148$ 27,764$ 74,002$ 23,578$ 18,866$ 21,234$ 37,082$ 36,294$ 26,852$ 34,126$ Special Collection - - - - - - - - - - - - - - - - - Other Receipts 250 1,232 250 250 250 1,232 250 250 250 250 1,232 250 250 250 1,232 250 250 Total Cash Receipts 41,933 42,029 30,434 38,610 36,932 36,668 24,604 35,398 28,014 74,252 24,810 19,116 21,484 37,332 37,526 27,102 34,376 Vendor Payments (27,233) (25,061) (49,687) (28,675) (19,012) (6,594) (40,469) (6,853) (8,292) (8,288) (37,948) (7,511) (11,261) (13,176) (5,445) (35,303) (9,102) Payroll (11,861) (8,334) (1,026) (5,306) (30,815) (17,116) (1,026) (5,306) (1,026) (39,265) (1,026) (5,306) (1,026) (39,024) (1,026) (3,569) (2,763) Severance - - - - - - - - - - - - - - - - - Taxes (500) (500) (100) - (3,000) (500) (100) - (3,000) (500) (50) (50) (3,000) (500) (500) (100) - Pension - - - - - - - - - - - - - - - - - Benefits (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) Other Payments (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) Total Operating Cash Disbursements (41,244) (37,044) (52,463) (37,131) (54,477) (27,359) (43,245) (15,309) (13,968) (51,204) (40,674) (16,017) (16,937) (55,850) (8,621) (42,122) (13,515) OPERATING CASH FLOW 688 4,984 (22,030) 1,480 (17,545) 9,308 (18,641) 20,089 14,046 23,048 (15,864) 3,099 4,547 (18,518) 28,905 (15,020) 20,861 Principal - - - - - - - - - - - - - - - - - Interest and Financing Fees (58,099) (1,505) - - - (4,864) - - - (5,377) (48,365) - - (49,742) (5,135) - - Total Financing Cash Disbursements (58,099) (1,505) - - - (4,864) - - - (5,377) (48,365) - - (49,742) (5,135) - - L/C Collateralization (68,813) - - - - - - - - - - - - - - - - Professional Fees (198) (2,225) (125) (1,070) (190) (2,800) (65) (380) (5,415) (2,050) (8) (1,700) (8,780) - (1,758) (1,700) (7,330) Other (500) - - - - - - - - - - - - - - - - Total Restructuring Disbursements (69,511) (2,225) (125) (1,070) (190) (2,800) (65) (380) (5,415) (2,050) (8) (1,700) (8,780) - (1,758) (1,700) (7,330) NET CASH FLOW (126,922) 1,254 (22,155) 410 (17,735) 1,644 (18,706) 19,709 8,631 15,621 (64,237) 1,399 (4,233) (68,261) 22,012 (16,720) 13,531 Receipts - - - - - - - - - - - - - - - - - Payments (50,000) - - - - - - - - - - - - - - - - Intercompany, net (50,000) - - - - - - - - - - - - - - - - NET CASH FLOW POST INTERCOMPANY (176,922) 1,254 (22,155) 410 (17,735) 1,644 (18,706) 19,709 8,631 15,621 (64,237) 1,399 (4,233) (68,261) 22,012 (16,720) 13,531 Beginning Cash 14,275 203,103 204,357 182,203 479,612 461,877 463,521 444,815 464,523 473,155 488,776 424,539 425,937 421,704 353,444 375,456 358,736 Net Cash Flow (126,922) 1,254 (22,155) 410 (17,735) 1,644 (18,706) 19,709 8,631 15,621 (64,237) 1,399 (4,233) (68,261) 22,012 (16,720) 13,531 ABL (Repay)/Draw (55,000) - - - - - - - - - - - - - - - - DIP (Repay)/Draw 420,750 - - 297,000 - - - - - - - - - - - - - Transfer (To) / From Foreign (50,000) - - - - - - - - - - - - - - - - Ending Cash 203,103 204,357 182,203 479,612 461,877 463,521 444,815 464,523 473,155 488,776 424,539 425,937 421,704 353,444 375,456 358,736 372,267 Cash Pooling Support (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) UNRESTRICTED CASH 128,103$ 129,357$ 107,203$ 404,612$ 386,877$ 388,521$ 369,815$ 389,523$ 398,155$ 413,776$ 349,539$ 350,937$ 346,704$ 278,444$ 300,456$ 283,736$ 297,267$ Ca sh Rece ipt s De bt Se rvi ce Int erC o No n- Rec ur rin g Op era tin g Dis bu rse me nts Liq uid ity
© 2017 Avaya Inc. All rights reserved. 10 Confidential - DRAFT - Subject to NDA DIP BUDGET – US (Page 2 of 3) Project Arrowhead - US Weekly Cash Flow Forecast DRAFT ($ in 000's) Week 18 Week 19 Week 20 Week 21 Week 22 Week 23 Week 24 Week 25 Week 26 Week 27 Week 28 Week 29 Week 30 Week 31 Week 32 Week 33 Week 34 5/20 5/27 6/3 6/10 6/17 6/24 7/1 7/8 7/15 7/22 7/29 8/5 8/12 8/19 8/26 9/2 9/9 5/26 6/2 6/9 6/16 6/23 6/30 7/7 7/14 7/21 7/28 8/4 8/11 8/18 8/25 9/1 9/8 9/15 DOMESTIC Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast AR Collection 32,633$ 31,524$ 21,666$ 31,268$ 24,699$ 65,833$ 22,746$ 18,200$ 20,485$ 35,774$ 35,013$ 25,905$ 32,922$ 31,482$ 30,412$ 20,902$ 30,165$ Special Collection - - - - - - - - - - - - - - - - - Other Receipts 250 1,232 250 250 250 250 1,232 250 250 250 1,232 250 250 250 1,232 250 250 Total Cash Receipts 32,883 32,756 21,916 31,518 24,949 66,083 23,978 18,450 20,735 36,024 36,245 26,155 33,172 31,732 31,644 21,152 30,415 Vendor Payments (8,486) (5,463) (40,146) (5,259) (6,741) (6,812) (37,746) (6,513) (9,320) (11,285) (4,567) (31,690) (8,057) (7,520) (4,832) (35,846) (4,654) Payroll (1,026) (43,315) (1,026) (5,306) (1,026) (48,728) (1,026) (5,306) (1,026) (27,564) (16,132) (3,569) (2,763) (1,026) (42,303) (1,026) (5,306) Severance - - - - - - - - - - - - - - - - - Taxes (3,000) (500) (100) - (3,000) (500) (50) (50) (3,000) (500) (500) (100) - (3,000) (500) (100) - Pension - - - - - - - - - - - - - - - - - Benefits (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) Other Payments (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) Total Operating Cash Disbursements (15,661) (50,928) (44,422) (12,215) (13,917) (57,690) (41,972) (13,519) (16,496) (40,999) (24,349) (37,010) (13,969) (13,196) (50,785) (38,622) (13,110) OPERATING CASH FLOW 17,221 (18,172) (22,506) 19,304 11,032 8,393 (17,994) 4,932 4,240 (4,975) 11,896 (10,855) 19,203 18,536 (19,141) (17,470) 17,306 Principal - - - - - - - - - - - - - - - - - Interest and Financing Fees - (5,307) - - - (5,206) - - - (50,201) (5,307) - - - (5,307) - - Total Financing Cash Disbursements - (5,307) - - - (5,206) - - - (50,201) (5,307) - - - (5,307) - - L/C Collateralization - - - - - - - - - - - - - - - - - Professional Fees (190) (1,933) (6,428) (6,990) (380) (1,750) (8) (1,700) (7,520) - (1,758) (1,700) (7,340) (380) (2,058) (4,890) (2,080) Other - - - - - - - - - - - - - - - - - Total Restructuring Disbursements (190) (1,933) (6,428) (6,990) (380) (1,750) (8) (1,700) (7,520) - (1,758) (1,700) (7,340) (380) (2,058) (4,890) (2,080) NET CASH FLOW 17,031 (25,411) (28,933) 12,314 10,652 1,436 (18,002) 3,232 (3,280) (55,176) 4,832 (12,555) 11,863 18,156 (26,505) (22,360) 15,226 Receipts - - - - - - - - - - - - - - - - - Payments - - - - - - - - - - - - - - - - - Intercompany, net - - - - - - - - - - - - - - - - - NET CASH FLOW POST INTERCOMPANY 17,031 (25,411) (28,933) 12,314 10,652 1,436 (18,002) 3,232 (3,280) (55,176) 4,832 (12,555) 11,863 18,156 (26,505) (22,360) 15,226 Beginning Cash 372,267 389,298 363,887 334,954 347,267 357,919 359,356 341,354 344,585 341,305 286,129 290,961 278,407 290,269 308,425 281,920 259,559 Net Cash Flow 17,031 (25,411) (28,933) 12,314 10,652 1,436 (18,002) 3,232 (3,280) (55,176) 4,832 (12,555) 11,863 18,156 (26,505) (22,360) 15,226 ABL (Repay)/Draw - - - - - - - - - - - - - - - - - DIP (Repay)/Draw - - - - - - - - - - - - - - - - - Transfer (To) / From Foreign - - - - - - - - - - - - - - - - - Ending Cash 389,298 363,887 334,954 347,267 357,919 359,356 341,354 344,585 341,305 286,129 290,961 278,407 290,269 308,425 281,920 259,559 274,785 Cash Pooling Support (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) UNRESTRICTED CASH 314,298$ 288,887$ 259,954$ 272,267$ 282,919$ 284,356$ 266,354$ 269,585$ 266,305$ 211,129$ 215,961$ 203,407$ 215,269$ 233,425$ 206,920$ 184,559$ 199,785$ Ca sh Rece ipt s De bt Se rvi ce Int erC o No n- Rec ur rin g Op era tin g Dis bu rse me nts Liq uid ity
© 2017 Avaya Inc. All rights reserved. 11 Confidential - DRAFT - Subject to NDA DIP BUDGET – US (Page 3 of 3) Project Arrowhead - US Weekly Cash Flow Forecast DRAFT ($ in 000's) Week 35 Week 36 Week 37 Week 38 Week 39 Week 40 Week 41 Week 42 Week 43 Week 44 Week 45 Week 46 Week 47 Week 48 Week 49 49 Week Total 9/16 9/23 9/30 10/7 10/14 10/21 10/28 11/4 11/11 11/18 11/25 12/2 12/9 12/16 12/23 1/21 9/22 9/29 10/6 10/13 10/20 10/27 11/3 11/10 11/17 11/24 12/1 12/8 12/15 12/22 12/29 12/29 DOMESTIC Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast AR Collection 23,828$ 63,511$ 22,074$ 17,663$ 19,880$ 34,717$ 33,979$ 25,139$ 31,949$ 30,552$ 29,513$ 20,284$ 29,274$ 23,124$ 61,634$ 1,561,191$ Special Collection - - - - - - - - - - - - - - - - Other Receipts 250 250 250 250 250 250 250 250 250 250 250 250 250 250 250 20,106 Total Cash Receipts 24,078 63,761 22,324 17,913 20,130 34,967 34,229 25,389 32,199 30,802 29,763 20,534 29,524 23,374 61,884 1,581,297 Vendor Payments (5,979) (6,048) (37,783) (6,510) (9,310) (11,279) (4,563) (31,690) (8,057) (7,520) (4,832) (35,846) (4,654) (5,979) (6,048) (760,945) Payroll (1,026) (38,343) (1,026) (5,306) (1,026) (24,468) (15,908) (1,026) (5,306) (1,026) (36,787) (1,026) (5,306) (1,026) (46,346) (567,245) Severance - - - - - - - - - - - - - - - - Taxes (3,000) (500) (50) (50) (3,000) (500) (500) (100) - (3,000) (500) (100) - (3,000) (500) (42,100) Pension - - - - - - - - - - - - - - - - Benefits (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (2,900) (1,400) (104,600) Other Payments (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (250) (12,250) Total Operating Cash Disbursements (11,655) (48,041) (40,508) (15,016) (14,986) (39,397) (22,622) (35,966) (15,013) (14,696) (43,769) (40,122) (11,610) (13,155) (54,544) (1,487,140) OPERATING CASH FLOW 12,423 15,720 (18,184) 2,897 5,144 (4,431) 11,607 (10,577) 17,187 16,106 (14,005) (19,588) 17,915 10,219 7,341 94,157 Principal - - - - - - - - - - - - - - - - Interest and Financing Fees - (4,964) (48,608) - - (50,566) (5,307) - - - (5,135) - - - (4,964) (363,959) Total Financing Cash Disbursements - (4,964) (48,608) - - (50,566) (5,307) - - - (5,135) - - - (4,964) (363,959) L/C Collateralization - - - - - - - - - - - - - - - (68,813) Professional Fees (6,540) - (2,258) (1,700) (7,130) (190) (2,258) (1,700) (7,240) (380) (2,600) (4,715) (4,855) (7,320) (17,430) (149,212) Other - - - - - - - - - - - - - - - (500) Total Restructuring Disbursements (6,540) - (2,258) (1,700) (7,130) (190) (2,258) (1,700) (7,240) (380) (2,600) (4,715) (4,855) (7,320) (17,430) (218,525) NET CASH FLOW 5,883 10,756 (69,050) 1,197 (1,986) (55,187) 4,043 (12,277) 9,947 15,726 (21,741) (24,303) 13,060 2,899 (15,054) (488,328) Receipts - - - - - - - - - - - - - - - - Payments - - - - - - - - - - - - - - - (50,000) Intercompany, net - - - - - - - - - - - - - - - (50,000) NET CASH FLOW POST INTERCOMPANY 5,883 10,756 (69,050) 1,197 (1,986) (55,187) 4,043 (12,277) 9,947 15,726 (21,741) (24,303) 13,060 2,899 (15,054) (538,328) Beginning Cash 274,785 280,668 291,424 222,374 223,571 221,585 166,398 170,441 158,164 168,110 183,836 162,096 137,793 150,852 153,751 14,275 Net Cash Flow 5,883 10,756 (69,050) 1,197 (1,986) (55,187) 4,043 (12,277) 9,947 15,726 (21,741) (24,303) 13,060 2,899 (15,054) (488,328) ABL (Repay)/Draw - - - - - - - - - - - - - - - (55,000) DIP (Repay)/Draw - - - - - - - - - - - - - - - 717,750 Transfer (To) / From Foreign - - - - - - - - - - - - - - - (50,000) Ending Cash 280,668 291,424 222,374 223,571 221,585 166,398 170,441 158,164 168,110 183,836 162,096 137,793 150,852 153,751 138,697 138,697 Cash Pooling Support (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) (75,000) UNRESTRICTED CASH 205,668$ 216,424$ 147,374$ 148,571$ 146,585$ 91,398$ 95,441$ 83,164$ 93,110$ 108,836$ 87,096$ 62,793$ 75,852$ 78,751$ 63,697$ 63,697$ Ca sh Rece ipt s De bt Se rvi ce Int erC o No n- Rec ur rin g Op era tin g Dis bu rse me nts Liq uid ity
© 2017 Avaya Inc. All rights reserved. 12 Confidential - DRAFT - Subject to NDA DIP BUDGET – FOREIGN (Page 1 of 3) Project Arrowhead - Foreign Weekly Cash Flow Forecast DRAFT ($ in 000's) Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Week 10 Week 11 Week 12 Week 13 Week 14 Week 15 Week 16 Week 17 1/21 1/28 2/4 2/11 2/18 2/25 3/4 3/11 3/18 3/25 4/1 4/8 4/15 4/22 4/29 5/6 5/13 1/27 2/3 2/10 2/17 2/24 3/3 3/10 3/17 3/24 3/31 4/7 4/14 4/21 4/28 5/5 5/12 5/19 INTERNATIONAL Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast AR Collection 35,626$ 34,869$ 25,798$ 32,786$ 31,352$ 30,287$ 20,816$ 30,041$ 23,730$ 63,249$ 20,152$ 16,125$ 18,149$ 31,694$ 31,020$ 22,950$ 29,167$ Special Collection - - - - - - - - - - - - - - - - - Other Receipts - 60 - - - 60 - - - 60 - - - - 60 - - Total Cash Receipts 35,626 34,929 25,798 32,786 31,352 30,347 20,816 30,041 23,730 63,309 20,152 16,125 18,149 31,694 31,080 22,950 29,167 Vendor Payments (12,326) (10,273) (34,639) (13,467) (9,986) (4,427) (35,422) (4,599) (5,909) (5,976) (31,615) (5,447) (7,791) (9,438) (3,818) (26,517) (6,742) Payroll (13,181) (11,967) (3,170) (4,680) (11,067) (17,514) (3,058) (4,903) (8,404) (18,707) (4,321) (5,102) (5,060) (13,181) (11,160) (3,977) (4,680) Severance (939) (2,858) (1,457) (582) (476) (1,410) (899) (488) (451) (1,512) - (779) (684) (939) (2,858) (1,457) (582) Taxes (1,651) (1,987) (4,960) (5,905) (3,208) (1,918) (3,288) (3,916) (2,743) (1,769) (1,269) (5,930) (6,043) (1,651) (2,492) (4,455) (5,905) Pension (119) (766) (33) - (119) (10,431) (761) - (120) (790) - (33) - (119) (766) (33) - Other Payments (283) (88) (71) (213) - (216) (161) - - (98) (135) (19) - (283) - (159) (213) Total Operating Cash Disbursements (28,499) (27,939) (44,331) (24,847) (24,857) (35,917) (43,589) (13,905) (17,627) (28,852) (37,341) (17,310) (19,578) (25,611) (21,095) (36,599) (18,122) OPERATING CASH FLOW 7,127 6,989 (18,533) 7,939 6,496 (5,570) (22,773) 16,136 6,103 34,457 (17,188) (1,185) (1,429) 6,083 9,985 (13,649) 11,046 Principal - - - - - - - - - - - - - - - - - Interest and Financing Fees - - - - - - - - - - - - - - - - - Total Financing Cash Disbursements - - - - - - - - - - - - - - - - - Deposits - - - - - - - - - - - - - - - - - Professional Fees - (1,000) - - - (1,000) - - - (1,000) - - - - (1,000) - - Other - - - - - - - - - - - - - - - - - Total Restructuring Disbursements - (1,000) - - - (1,000) - - - (1,000) - - - - (1,000) - - NET CASH FLOW 7,127 5,989 (18,533) 7,939 6,496 (6,570) (22,773) 16,136 6,103 33,457 (17,188) (1,185) (1,429) 6,083 8,985 (13,649) 11,046 Receipts 50,000 - - - - - - - - - - - - - - - - Payments - - - - - - - - - - - - - - - - - Intercompany, net 50,000 - - - - - - - - - - - - - - - - NET CASH FLOW POST INTERCOMPANY 57,127 5,989 (18,533) 7,939 6,496 (6,570) (22,773) 16,136 6,103 33,457 (17,188) (1,185) (1,429) 6,083 8,985 (13,649) 11,046 Beginning Cash 102,403 109,531 115,520 96,987 104,927 111,422 104,852 82,079 98,215 104,318 137,775 120,587 119,402 117,973 124,056 133,041 119,392 Net Cash Flow 7,127 5,989 (18,533) 7,939 6,496 (6,570) (22,773) 16,136 6,103 33,457 (17,188) (1,185) (1,429) 6,083 8,985 (13,649) 11,046 ABL (Repay)/Draw (50,000) - - - - - - - - - - - - - - - - Transfer (To) / From Domestic 50,000 - - - - - - - - - - - - - - - - Ending Cash 109,531 115,520 96,987 104,927 111,422 104,852 82,079 98,215 104,318 137,775 120,587 119,402 117,973 124,056 133,041 119,392 130,438 Restricted Cash - - - - - - - - - - - - - - - - - UNRESTRICTED CASH 109,531$ 115,520$ 96,987$ 104,927$ 111,422$ 104,852$ 82,079$ 98,215$ 104,318$ 137,775$ 120,587$ 119,402$ 117,973$ 124,056$ 133,041$ 119,392$ 130,438$ Ca sh Rece ipt s De bt Ser vic e Int erC o Op era tin g Dis bu rse me nts No n- Rec urr ing Liq uid ity
© 2017 Avaya Inc. All rights reserved. 13 Confidential - DRAFT - Subject to NDA DIP BUDGET – FOREIGN (Page 2 of 3) Project Arrowhead - Foreign Weekly Cash Flow Forecast DRAFT ($ in 000's) Week 18 Week 19 Week 20 Week 21 Week 22 Week 23 Week 24 Week 25 Week 26 Week 27 Week 28 Week 29 Week 30 Week 31 Week 32 Week 33 Week 34 5/20 5/27 6/3 6/10 6/17 6/24 7/1 7/8 7/15 7/22 7/29 8/5 8/12 8/19 8/26 9/2 9/9 5/26 6/2 6/9 6/16 6/23 6/30 7/7 7/14 7/21 7/28 8/4 8/11 8/18 8/25 9/1 9/8 9/15 INTERNATIONAL Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast AR Collection 27,891$ 26,944$ 18,518$ 26,725$ 21,110$ 56,268$ 19,441$ 15,556$ 17,509$ 30,576$ 29,926$ 22,141$ 28,139$ 26,908$ 25,993$ 17,865$ 25,782$ Special Collection - - - - - - - - - - - - - - - - - Other Receipts - 60 - - - 60 - - - - 60 - - - 60 - - Total Cash Receipts 27,891 27,004 18,518 26,725 21,110 56,328 19,441 15,556 17,509 30,576 29,986 22,141 28,139 26,908 26,053 17,865 25,782 Vendor Payments (6,292) (4,043) (29,995) (3,894) (5,003) (5,061) (28,125) (4,846) (6,931) (8,396) (3,397) (23,590) (5,998) (5,598) (3,597) (26,684) (3,464) Payroll (11,067) (16,358) (4,213) (4,903) (8,404) (18,707) (4,321) (5,102) (5,060) (13,181) (11,160) (3,977) (4,680) (11,067) (16,358) (4,213) (4,903) Severance (476) (1,370) (939) (488) (451) (1,512) - (779) (684) (939) (2,858) (1,457) (582) (476) (1,370) (939) (488) Taxes (3,208) (425) (4,781) (3,916) (2,743) (1,769) (1,269) (5,930) (6,043) (1,651) (2,492) (4,455) (5,905) (3,208) (425) (4,781) (3,916) Pension (119) (766) (761) - (120) (790) - (33) - (119) (766) (33) - (119) (766) (761) - Other Payments - - (378) - - (98) (135) (19) - (283) - (159) (213) - - (378) - Total Operating Cash Disbursements (21,162) (22,963) (41,067) (13,200) (16,721) (27,936) (33,851) (16,708) (18,718) (24,570) (20,674) (33,672) (17,377) (20,468) (22,517) (37,756) (12,771) OPERATING CASH FLOW 6,729 4,040 (22,549) 13,525 4,389 28,391 (14,410) (1,153) (1,209) 6,006 9,312 (11,531) 10,761 6,440 3,536 (19,891) 13,012 Principal - - - - - - - - - - - - - - - - - Interest and Financing Fees - - - - - - - - - - - - - - - - - Total Financing Cash Disbursements - - - - - - - - - - - - - - - - - Deposits - - - - - - - - - - - - - - - - - Professional Fees - (1,000) - - - (1,000) - - - - (1,000) - - - (1,000) - - Other - - - - - - - - - - - - - - - - - Total Restructuring Disbursements - (1,000) - - - (1,000) - - - - (1,000) - - - (1,000) - - NET CASH FLOW 6,729 3,040 (22,549) 13,525 4,389 27,391 (14,410) (1,153) (1,209) 6,006 8,312 (11,531) 10,761 6,440 2,536 (19,891) 13,012 Receipts - - - - - - - - - - - - - - - - - Payments - - - - - - - - - - - - - - - - - Intercompany, net - - - - - - - - - - - - - - - - - NET CASH FLOW POST INTERCOMPANY 6,729 3,040 (22,549) 13,525 4,389 27,391 (14,410) (1,153) (1,209) 6,006 8,312 (11,531) 10,761 6,440 2,536 (19,891) 13,012 Beginning Cash 130,438 137,167 140,208 117,659 131,184 135,573 162,964 148,555 147,402 146,193 152,200 160,512 148,981 159,742 166,181 168,718 148,827 Net Cash Flow 6,729 3,040 (22,549) 13,525 4,389 27,391 (14,410) (1,153) (1,209) 6,006 8,312 (11,531) 10,761 6,440 2,536 (19,891) 13,012 ABL (Repay)/Draw - - - - - - - - - - - - - - - - - Transfer (To) / From Domestic - - - - - - - - - - - - - - - - - Ending Cash 137,167 140,208 117,659 131,184 135,573 162,964 148,555 147,402 146,193 152,200 160,512 148,981 159,742 166,181 168,718 148,827 161,839 Restricted Cash - - - - - - - - - - - - - - - - - UNRESTRICTED CASH 137,167$ 140,208$ 117,659$ 131,184$ 135,573$ 162,964$ 148,555$ 147,402$ 146,193$ 152,200$ 160,512$ 148,981$ 159,742$ 166,181$ 168,718$ 148,827$ 161,839$ Ca sh Rece ipt s De bt Ser vic e Int erC o Op era tin g Dis bu rse me nts No n- Rec urr ing Liq uid ity
© 2017 Avaya Inc. All rights reserved. 14 Confidential - DRAFT - Subject to NDA DIP BUDGET – FOREIGN (Page 3 of 3) Project Arrowhead - Foreign Weekly Cash Flow Forecast DRAFT ($ in 000's) Week 35 Week 36 Week 37 Week 38 Week 39 Week 40 Week 41 Week 42 Week 43 Week 44 Week 45 Week 46 Week 47 Week 48 Week 49 49 Week Total 9/16 9/23 9/30 10/7 10/14 10/21 10/28 11/4 11/11 11/18 11/25 12/2 12/9 12/16 12/23 1/21 9/22 9/29 10/6 10/13 10/20 10/27 11/3 11/10 11/17 11/24 12/1 12/8 12/15 12/22 12/29 12/29 INTERNATIONAL Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast AR Collection 20,366$ 54,283$ 18,867$ 15,096$ 16,991$ 29,672$ 29,042$ 21,487$ 27,307$ 26,113$ 25,225$ 17,337$ 25,021$ 19,764$ 52,679$ 1,334,354$ Special Collection - - - - - - - - - - - - - - - - Other Receipts - 60 - - - - 60 - - - 60 - - - 60 718 Total Cash Receipts 20,366 54,343 18,867 15,096 16,991 29,672 29,102 21,487 27,307 26,113 25,285 17,337 25,021 19,764 52,739 1,335,072 Vendor Payments (4,451) (4,502) (28,125) (4,846) (6,931) (8,396) (3,397) (23,590) (5,998) (5,598) (3,597) (26,684) (3,464) (4,451) (4,502) (541,840) Payroll (8,404) (18,707) (4,321) (5,102) (5,060) (13,181) (11,160) (3,977) (4,680) (11,067) (16,358) (4,213) (4,903) (8,404) (18,707) (430,054) Severance (451) (1,512) - (779) (684) (939) (2,858) (1,457) (582) (476) (1,370) (939) (488) (451) (1,512) (48,670) Taxes (2,743) (1,769) (1,269) (5,930) (6,043) (1,651) (2,492) (4,455) (5,905) (3,208) (425) (4,781) (3,916) (2,743) (1,769) (165,108) Pension (120) (790) - (33) - (119) (766) (33) - (119) (766) (761) - (120) (790) (23,663) Other Payments - (98) (135) (19) - (283) - (159) (213) - - (378) - - (98) (4,987) Total Operating Cash Disbursements (16,169) (27,378) (33,851) (16,708) (18,718) (24,570) (20,674) (33,672) (17,377) (20,468) (22,517) (37,756) (12,771) (16,169) (27,378) (1,214,322) OPERATING CASH FLOW 4,197 26,965 (14,984) (1,612) (1,726) 5,103 8,428 (12,185) 9,930 5,645 2,768 (20,419) 12,250 3,595 25,361 120,750 Principal - - - - - - - - - - - - - - - - Interest and Financing Fees - - - - - - - - - - - - - - - - Total Financing Cash Disbursements - - - - - - - - - - - - - - - - Deposits - - - - - - - - - - - - - - - - Professional Fees - (1,000) - - - - (1,000) - - - (1,000) - - - (1,000) (12,000) Other - - - - - - - - - - - - - - - - Total Restructuring Disbursements - (1,000) - - - - (1,000) - - - (1,000) - - - (1,000) (12,000) NET CASH FLOW 4,197 25,965 (14,984) (1,612) (1,726) 5,103 7,428 (12,185) 9,930 5,645 1,768 (20,419) 12,250 3,595 24,361 108,750 Receipts - - - - - - - - - - - - - - - 50,000 Payments - - - - - - - - - - - - - - - - Intercompany, net - - - - - - - - - - - - - - - 50,000 NET CASH FLOW POST INTERCOMPANY 4,197 25,965 (14,984) (1,612) (1,726) 5,103 7,428 (12,185) 9,930 5,645 1,768 (20,419) 12,250 3,595 24,361 158,750 Beginning Cash 161,839 166,035 192,000 177,016 175,404 173,678 178,781 186,209 174,024 183,953 189,598 191,366 170,947 183,197 186,792 102,403 Net Cash Flow 4,197 25,965 (14,984) (1,612) (1,726) 5,103 7,428 (12,185) 9,930 5,645 1,768 (20,419) 12,250 3,595 24,361 108,750 ABL (Repay)/Draw - - - - - - - - - - - - - - - (50,000) Transfer (To) / From Domestic - - - - - - - - - - - - - - - 50,000 Ending Cash 166,035 192,000 177,016 175,404 173,678 178,781 186,209 174,024 183,953 189,598 191,366 170,947 183,197 186,792 211,154 211,154 Restricted Cash - - - - - - - - - - - - - - - - UNRESTRICTED CASH 166,035$ 192,000$ 177,016$ 175,404$ 173,678$ 178,781$ 186,209$ 174,024$ 183,953$ 189,598$ 191,366$ 170,947$ 183,197$ 186,792$ 211,154$ 211,154$ Ca sh Rece ipt s De bt Se rvi ce Int erC o Op era tin g Dis bu rse me nts No n- Rec ur rin g Liq uid ity