Lumen Technologies Investor Presentation — April 2021

Document content

Average Annual Total Returns for the Longleaf Partners Fund ( 3/31/21): Since Inception

(4/8/87): 10.19%, Ten Year: 7.23% , Five Year: 10.46%, One Year: 83.70 %. Average Annual

Total Returns for the S&P 500 ( 3/31/21): Since Inception (4/8/87): 10.40%, Ten Year:

13.91%, Five Year: 16.29%, One Year: 56.35%.

Returns reflect reinvested capital gains and dividends but not the dedu ction of taxes an

investor would pay on distributions or share redemptions. Performance data quoted

represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate s o that an investor’s

shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower or higher than the performance quoted.

Performance data current to the most recent month end may be obtained by vis iting

southeasternasset.com. The prospectus expense ratio before waivers is 1 .00%. Effective

August 12, 2019, Southeastern has contractually committed to limit operating expenses (excluding interest, taxes, brokerage commissions and extraordinary expenses) to 0.79% of

average net assets per year. This agreement is in effect through at least April 30, 2021 and may not be terminated before that date without Board approval.

Longleaf Partners Fund added 18.22% in the first quarter, nearly tripling the S&P 500’s

6.18% return. Every company was positive in the quarter, with last year’s largest COVID

laggards rebounding to help drive strong absolute and relative results. The Fund ’s

average 17% cash position was the only meaningful relative drag on returns, with stock selection (and strong stock -specific performance) within the Communications Services,

Consumer Discretionary and Financials sectors driving outperformance. We did not

own the banks and lower -quality companies that largely drove the large -cap value

Since we are bottom -up business appraisers and long -term business owners, the most

important driver of our long -term returns will always be stock selection. In a first

quarter that saw a lot of macro focus on interest rates and retail stock mania, we saw strong stock -specific returns across the portfolio with no significant detractors. Lumen

outperformed telecom peers as fears about its near- term cash flow recede with its

steady business mix improvement, yet it still trades at less than half of its private market value. CNX performed well on its way to $2/share of relatively low risk free cash

flow (FCF), and the market has still yet to recognize how much mo re of its earnings 2