Shareholders are advised that Telkom has commenced phase one of a two phase restructuring process (the 'Restructuring Process'). The Restructuring Process follows the technological shift to fibre, LTE/LTE-A as new sources of revenue, notwithstanding lower margins. This has been compounded by a rapid decline in their traditional high margin fixed voice business, in line with global trends. Although the multi-year transformation programme has reduced legacy fixed voice revenue contribution to Group revenue from 56% in fiscal year 2013 to 22% in fiscal year 2019, they have since seen an accelerated decline in fixed voice revenue in the second half of the financial year relative to the first half. The mobile business sustained its growth trajectory into the second half of the year from a higher base and continued to drive the overall Group revenue growth thus, offsetting the negative impact of the fixed voice revenue. However, the growth in the new revenue streams has not been sufficient to offset the negative impact on Group EBITDA, therefore Group EBITDA continues to be under pressure.