Welcome to MasTec's Third Quarter 2015 Earnings Conference Call initially broadcast on November 4, 2015. Let me remind participants that today's call is being recorded. At this time, I'd like to turn the call over to Marc Lewis, MasTec's Vice President in Investor Relations. Please go ahead, sir.

Thank you, Eric, and good morning, everyone. Welcome to MasTec's third quarter 2015 earnings conference call. The following statement is made pursuant to the safe harbor for forward-looking statements described in the Private Securities Litigation Reform Act of 1995. In these communications we may make certain statements that are forward-looking such as statements regarding MasTec's future results, plans and anticipated trends in the industries where we operate. These forward-looking statements are the company's expectations on the day of the initial broadcast of this conference call and the company does not undertake to update these expectations based on subsequent events or knowledge. Various risks, uncertainties and assumptions are detailed in our press releases and filings with the SEC. Should one or more of these risks or uncertainties materialize or should any of our underlying assumptions prove incorrect, actual results may differ significantly from the results expressed or implied in these communications. In today's remarks by management we will be discussing continuing operations and adjusted financial metrics as discussed and reconciled in yesterday's press release and supporting schedules. In addition, we may use certain non-GAAP financial measures in this conference call. A reconciliation of any non-GAAP financial measures not reconciled in these comments to the most comparable GAAP financial measure can be found in our earnings press release table, our 10-Q, our 10-K or in the Investors and News section of our website located at mastec.com. Also note that comparisons to 2014, comparable numbers are made to the restated quarterly numbers as filed in our 2014 10-K and our 2015 10-Qs. With us today we have José Mas, our CEO; and George Pita, our Executive Vice President and CFO. The format of the call will be opening remarks and analysis by José followed by a financial review from George. These discussions will…

Thank you. And we'll go first to Matt Duncan with Stephens.

Hey. Good morning, guys. José Ramón Mas - President, Chief Executive Officer & Director: Good morning, Matt.

José, I want to start by talking about the Oil and Gas segment where it looks like you're still seeing very good prospects. I think last quarter it was $1 billion, $1.0 billion, expected in bookings by year end. Now it's $1.5 billion. Can you maybe give us a little color on what you're adding to the backlog there? José Ramón Mas - President, Chief Executive Officer & Director: It's more projects. Today the – and I think we're really trying to send the message across, right? The industry's doing great; the oil and gas market per se has tons of opportunities available to it, a lot of them for 2016 but quite frankly there's a lot of conversations right now about 2017 projects, even into 2018. As far as we can see out for the next three to five years it looks like it's going to be an unbelievable run. And quite frankly, the amount of business that's out there available for 2016 is extremely high and we're getting our share of it.

Okay. Understood. And then the second question from me just in the communications business, AT&T I believe on their call talked about being ready for the one-truck role in some markets in November. I'm just curious if that's on par with the expectation that you guys had. And then remind us what your expectation is of how your relationship with them is going to work on DirecTV installs going forward. My recollection is as long as it's just DirecTV that's still going to be MasTec. But just if you could provide some clarity there that'd be great. José Ramón Mas - President, Chief Executive Officer & Director: Look, so far we're really excited with the new integration, the new team. It's obviously a new company, although a lot of the same things are in place and business as usual continues. We're excited about what our business looks like for 2016 with them. We've obviously had an enormous amount of dialog. We're very encouraged by it. We think we've got a lot of opportunities and a lot of ways in which we could ultimately potentially grow our business. But right now we do expect them to do some single-truck roles. It will affect us in some markets; it won't affect us in others. But quite frankly, they're doing a really good job. Obviously you've got a much bigger customer base as you throw in the U-verse video customers. We're seeing the benefit of that and it's really not impacting our business to a great nature in either direction right now, which is good.

Okay. Thanks. I'll hop back in queue. José Ramón Mas - President, Chief Executive Officer & Director: Thank you.

And we'll go next to Andy Wittmann with Robert W. Baird. Andrew John Wittmann - Robert W. Baird & Co., Inc. (Broker): Hi. Thanks. I guess for George, the Walterdale Bridge project that you mentioned in your comments, 65% complete and I guess they're – given the weather that one's going to stop for the winter. What's the expected cash drag, do you think, to get that one completed? Or is there still cash that you might have to pay to finish up that project? George L. Pita - Chief Financial Officer & Executive Vice President: We – at this point we think we've incorporated all the losses that have – that we expect from the project. Obviously it's 65% complete. From a cash perspective I don't think it's going to be a major drain for us going forward. I mean our – really it's a recognition of the losses which we've been doing on a proportional basis. As I mentioned in my remarks, there's also a number of things we're evaluating to pursue some recovery with that, but that's not yet been fully developed, so we haven't reflected that. So it should not be a significant cash issue for us going forward. Andrew John Wittmann - Robert W. Baird & Co., Inc. (Broker): Okay. Great. And then just other items here. It looked like in the quarter you elected to sell some receivables. I was kind of curious as to the impetus for that. It was about $29 million. Can you just give us some color on why and is this something we should expect more of or less of in the future? George L. Pita - Chief Financial Officer & Executive Vice President: Nothing – it's nothing new. It's something we've been doing since the fourth quarter of…

Next will be Tahira Afzal with KeyBanc Capital Markets.

Hi, folks. Quite a long year, huh? José Ramón Mas - President, Chief Executive Officer & Director: Yes, it has been. Morning, Tahira.

Morning. I guess, you know, José, you've clearly built a broad-based backlog in all three segments. What we hear from AT&T should point to really a lot of the spending troughing of one of your core clients going forward. So really, I guess the questions I have are mostly on the execution side. We know on the electric transmission side, some of your peers have been talking about exceptional amounts of competitive pressure. How do we get comfortable around what you've been booking over the last quarter in terms of pricing and risk, let's say maybe versus even a couple of years ago. José Ramón Mas - President, Chief Executive Officer & Director: So I'm going to break it out in the different segments because I actually think it's a great question and we really tried to spend a lot of time today talking about margins despite significant revenue decline. So if you – and I'm going to start with – I'm going to leave Transmission to the end. But if we look at our Communications business, and I really can't say it enough, right, we've really struggled in our Wireless business this year. The struggles have primarily been related to revenues and our customers' CapEx. I think we've ad nauseam talked about those issues over the last few quarters as it related to some of our bigger customers but we're very confident that we're going to see a very strong rebound to revenues as it relates to Wireless. We think we're going to get back to a more normalized level. It's actually a very large component of our Communications segment. The fact, in our opinion, that we've been able to slightly increase margins in our Communications business despite the revenue issues that we had – have there I think…

Got it. Okay, José. And then George, how should we think about free cash flow for next year? A lot of your businesses are going to start ramping up again. How does that influence working capital next year? George L. Pita - Chief Financial Officer & Executive Vice President: Well, I think working capital, if you do the calculation, there should be some usage of working capital next year, depending on the level of growth. I think we said that DSOs would be in the 80s kind of number, in the mid 80s, so there will be some usage of that next year, but we will still generate significant free cash flow, again, depending on how you model out the expansion that we have coming into 2016. I think we'll – given all that, absent additional investment, M&A or other items, we would expect to delever in 2016.

Got it. Thank you very much, folks. José Ramón Mas - President, Chief Executive Officer & Director: Thank you, Tahira.

The next question is from Jason Wangler with Wunderlich.

Hey. Good morning, guys. And George, maybe if I could just add to that question, as you look at 2016 you've got the covenant on the debt facility taken care of. Is there a time when you look to – back to the share buyback program and getting something authorized? Or is it simply right now paying some of that debt back before you start to look on that side? George L. Pita - Chief Financial Officer & Executive Vice President: Well, look we always... José Ramón Mas - President, Chief Executive Officer & Director: I'm going to answer the question. I think it's all opportunistic, so it really depends on where we're at. Obviously we think our share is extremely undervalued. We're obviously trying to be prudent around that where we stand from our capital structure, but I think it's highly dependent on where we're at at any given point in time.

Okay. And as far as the $1.5 billion you mentioned to be added to backlog here in the next couple of months, is – try not to be too specific because – hopefully getting an answer out of it, but is there anything in Mexico that's included in that? Or is that all simply U.S.-based stuff making anything coming out of Mexico incremental? José Ramón Mas - President, Chief Executive Officer & Director: What we've talked about today is all U.S., making anything in Mexico incremental.

Okay. Just wanted to clarify. Thank you.

The next question is from Alex Rygiel with FBR. Alex J. Rygiel - FBR Capital Markets & Co.: Good morning, José. José Ramón Mas - President, Chief Executive Officer & Director: Good morning, Alex. How are you? Alex J. Rygiel - FBR Capital Markets & Co.: Pretty good. Clearly it sounds like oil and gas opportunities are going to ramp pretty quickly in 2016 and wireless is going to rebound. Can you help us to sort of understand do we start to see that ramp in the first quarter or are we waiting for the summertime and the second half of the year to really see that coming through your P&L? José Ramón Mas - President, Chief Executive Officer & Director: I think it obviously increases in the second quarter, especially as a lot of the weather-related areas become fully workable, but I do think you'll see impact in Q1 as well. Alex J. Rygiel - FBR Capital Markets & Co.: And then as it relates to some of the underperforming projects that you've experienced in the last couple of quarters, obviously the issues with the bridge will likely continue but how many other projects are yet to be completed that have underperformed? And of those, if there are any, when would you expect them to be completed? José Ramón Mas - President, Chief Executive Officer & Director: It's a good question. Right, so we've got the bridge in Canada. Acciona is the lead in that project so we really don't have much day-to-day involvement whatsoever other than we originally did on that project a long time ago. We had the Bow Lake Wind Project in Canada which was a problem earlier this year, which was a slight problem in the quarter as well, which I think has depressed power gen margins. That project's done, right, so I think ex that, that business is doing really well. We don't really have any other projects where we've had difficulties in that market. And even as you look at our Transmission business, right, I think it's really interesting and important to note we don't have projects in huge loss positions. We've got a lot of projects that in closeouts faded, so they went from a higher profit margin to a lower profit margin, which obviously impacted the year results. But I think overall some of those projects are actually still in good standing. We've had a couple of we've struggled with. Most of that has been cleaned out. So I think as we look going into the fourth quarter we're pretty clean on projects, right? We don't have a lot of troubled projects. Whatever we have left we expect to complete by yearend. So I think we're going into 2016 with a lot more of a clean slate. Alex J. Rygiel - FBR Capital Markets & Co.: Thank you. I'll get back in queue. José Ramón Mas - President, Chief Executive Officer & Director: Thank you, Alex.

The next question is from John Rogers with D.A. Davidson. John Bergstrom Rogers - D.A. Davidson & Co.: A couple of things relative to backlog. José, specifically on the Communications backlog, a lot of that work is MSAs and I believe the estimates of what you expect to be done and I was just wondering especially with the Wireline business, how much assurance do you have that this work will actually get executed into 2016? And has it changed at all, especially with the AT&T DirecTV merger? José Ramón Mas - President, Chief Executive Officer & Director: So we've actually, as it relates to a lot of our Communications business, it's been a lot more project-driven as we've looked at backlog related to, for example, on the Wireline side as you mentioned, it's very project-specific driven, so it's not so much of the MSA-type calculation. So I think it's a much more solid calculation. John Bergstrom Rogers - D.A. Davidson & Co.: Okay. Good. And then can – and in terms of your confidence relative to the Wireline business, the – I mean do you actually have orders in hand for that? Or it's just customer conversations? I mean, I'm sorry, the Wireless business? José Ramón Mas - President, Chief Executive Officer & Director: The Wireless business. John Bergstrom Rogers - D.A. Davidson & Co.: Yeah. Yeah. José Ramón Mas - President, Chief Executive Officer & Director: So look, the Wireless business is changing. I think there is great opportunities. I think our customer base today is more broad-based than it's historically been. Obviously AT&T is our largest customer and will continue to be. We're bullish about their sentiments going into 2016 with what we know. But we're also growing with other customers. We're growing with some of the tower…

The next question is from Dan Mannes with Avondale Partners.

Thanks. Good morning, everyone. José Ramón Mas - President, Chief Executive Officer & Director: Morning, Dan.

So first a follow-up on electric. When you look at the third quarter results, could you maybe discuss how much variance was there in the third quarter versus your previous expectations and where that stemmed from, i.e. under-utilization or fade? And then contrast that with your confidence in a recovery to closer to breakeven in the fourth quarter. George L. Pita - Chief Financial Officer & Executive Vice President: Dan, sure. This is George. Yeah, during the third quarter, as I mentioned, we really – that the revenue levels for the transmission business were less than we expected. That impacted us from a direct margin perspective as well as utilization of our overhead. So that was definitely a factor in the under-performance during the third quarter. We also had a handful of project close-outs and project inefficiencies that hit us during the quarter. And that impacted our expectation during the quarter. So as I mentioned earlier, a lot of that we think is behind us at this point. And not necessarily they were all lost projects, but they were just reductions of margins and finalization of some projects. And then we also indicated we had some pretty significant legal costs incurred during the quarter in connection with some of these, the resolution of some items. As we look forward into the fourth quarter, we believe that we're going to improve results from the third quarter because of a combination of a little bit of a sequential increase in revenue. We think the revenue levels will grow in the fourth quarter given some of the projects that we've got awarded and in process, coupled with, again, the non-recurrence of some of those project issues and then a much lower level of legal costs. And the combination of those three will give us confidence in that we think we'll see improved results on the transmission business in the fourth quarter.

Sure. And then a couple questions on the Oil and Gas business. And I don't mean to pile on here about delays, but can you talk a little bit more about maybe the issues surrounding the project that slipped a little bit from Q3 and Q4? Was that regulatory? Was it economic? Was it weather? And then a little bit on the projects that are not in backlog but that you've been awarded. Where are they, particularly on the regulatory side, and how close are they to actually getting the key regulatory approvals, because that seems to be probably one of the key gating factors to you guys moving ahead? José Ramón Mas - President, Chief Executive Officer & Director: Yes. So specifically on the project mentioned in the fourth quarter, it's a project where as a company we have multiple segments and legs. Some of them actually did perform in Q3 completely as expected. Some of them were slightly delayed, and a lot of that had to do with permitting issues. The projects weren't slated to start concurrently. So there was a slight delay in one of those projects which is I think the prepared remarks what we talked about. When we think of the other projects, look, every one of these projects are large, they're complex. What we can say about most of these projects is materials have been ordered, and in many cases, all of the materials are already on the ground. A number of permits – a lot of these projects start without full permitting or full right of way actually completed. And they continue those aspects of the project even as you begin construction. So I'd say all of the projects are in some way in those ranges. I think there's work ready to be done on basically all of them at this point, but you wait until a certain point until you actually start. We feel good about the schedules that are in place. We've been active on these projects and talking about these projects for a long period of time. These awards have – they drag out a little bit. We've felt confident about winning this work for a long time. We've got it. We understand what's required of us and we feel good. I mean, could there be a month or two delays on projects? Sure. And I think we're going to build that into what we say. I don't think it will have a significant impact on the full year as we look at 2016 either way.

Got it. Thanks.

The next question is from William Bremer with Maxim Group.

Good morning, gentlemen. José Ramón Mas - President, Chief Executive Officer & Director: Morning, Bill.

First, George, congrats on the DSO improvement. Very nicely done. We've been waiting for that for quite some time. José, I want to go right to Mexico since many of my colleagues have taken all my questions. Can you give us an idea of the size, the scope you're seeing down there? Is there a need to possibly build a greenfield operation down there? Or just give us a sense of how you expect to execute these, and I guess more importantly to guys like us, are the margins comparable or even better? José Ramón Mas - President, Chief Executive Officer & Director: So a couple things, right. We're now, I think, operating in Mexico in multiple businesses. So we've been in Mexico for a while now on our Wireless side. It's obviously been a small operation. I think the opportunities there drastically changed when our largest customer entered the market. We have a physical presence there. We have people. We have bodies. We have offices that have been supporting that industry. So I think that's really just taking advantage of the opportunities that present themselves over the future. I think as you read about what some of the – what our primary customer there is doing and their plans for the future, it's pretty exciting and we hope to play in role in that, and over time, grow that. As it relates to the bigger opportunities that we have in country, they're really more around what we've been focused on is Oil and Gas. Although quite frankly, I think in the near term transmission will also be an opportunity down there. As it relates to Oil and Gas, we've been in country now for well over a year. We've got personnel. We continue to build our team. We're in a position where we're ready to go to work. We don't have – I think we've got a lot of different methods in which we could ultimately do the construction and I think it's going to depend on overall workload and what we win. But again, like everything else, a lot of these contracts have long cycles to them. Each contract is different and they kind of take a life of their own. As we've seen in the U.S., a lot of these projects, we've been talking about them from quarters and I think we're finally going to see a lot of those come to fruition in the fourth quarter. I think we're in a similar boat in Mexico where we've got some good opportunities we've been working on. And we're hoping that sooner rather than later we're in a position to execute some of those.

Okay, gentlemen. Thank you. José Ramón Mas - President, Chief Executive Officer & Director: Thanks.

The next question is from Vishal Shah with Deutsche Bank.

Hi. Thanks for taking my question. José, you talked about improving profitability in the Transmission segment. Can you maybe talk about the timing as to when we can expect some of that, some of the actions you're taking to show in terms of profitability – breakeven in that segment? And also as you look at the Wireless Communications business, what kind of margins should we be modeling in the long run for that segment now given the new levels of CapEx? Thank you. José Ramón Mas - President, Chief Executive Officer & Director: Well, I think George discussed the – how we're feeling about the fourth quarter as it relates to Transmission and how we think we can get much closer to our breakeven there in a very short period of time. And so I would reiterate George's comments. I think we've got a lot of things working in that business. We expect some revenue increase, but more importantly, we expect a project mix in the type of projects and some of the projects that we've changed estimates to complete on, I think a lot of that is behind us. And I think you'll see that flow through in the fourth quarter. As it relates to our Wireless business, look, I'd say the same thing, we're not in a position today to give guidance, obviously, for 2016. But I'd say the same directional commentary, right? When you look at our historical margins and what we were able to achieve in periods where we had solid revenue, we did much better. So in 2013, our Communications margins exceeded 12.5 points, which is obviously significantly more than they are today. Our Oil and Gas margins for the year were at 13 points, which obviously is a lot more than we are today. That was a couple years ago when we were growing and revenues were strong. We've obviously had issues over the last 18 months. And with the amount of work that we expect, quite frankly, we're hoping that over time we can beat what we historically did. We're far away from that. We're at a different place today. We need to start executing; we need to start having small wins, and we get that. So as we come out with 2016, we'll obviously be prudent around our public projections. And even internally, what we're thinking and how we're managing that. So I think those are some of the things to think about as you think about our business longer term.

Thank you. José Ramón Mas - President, Chief Executive Officer & Director: Thanks, Vishal.

The next question is from Adam Thalhimer with BB&T Capital Markets. Adam Robert Thalhimer - BB&T Capital Markets: Hi. Good morning, guys. José Ramón Mas - President, Chief Executive Officer & Director: Good morning, Adam. Adam Robert Thalhimer - BB&T Capital Markets: José, did I hear you right that communications revenue, you said up 10% next year? And what's the biggest driver there? José Ramón Mas - President, Chief Executive Officer & Director: No. I said that about power generation revenues. Adam Robert Thalhimer - BB&T Capital Markets: Okay. And then can you help us with the Transmission, just the bidding environment, the pricing environment, what you're seeing in the Transmission market in the U.S.? José Ramón Mas - President, Chief Executive Officer & Director: Yeah. It's a very competitive landscape. I think historically there's been two types of projects, there's been smaller projects and then there's been larger projects that I think is really where we built a lot of our growth and where we built a lot of the foundation of what we built in Transmission was around larger projects. There's no question that there have been less larger project awards this year. I think there is an enormous amounts of projects that will be awarded and there's an enormous amount of backlog of projects that are in queue and I think we're going to see that shortly and a bunch of those are going to pop out which I think is going to help the entire industry in a pretty sizeable fashion. In the meantime the work that's been out there is smaller in nature. It's quite frankly not a place where we've historically done well. And it's really not a place where we're super focused either. We've got some business around that but we're planning to continue to build our business more so towards the larger projects and I think that's part of the issues that we're having in 2015 as some of those – some of that work wasn't there. Adam Robert Thalhimer - BB&T Capital Markets: Okay. Thank you. José Ramón Mas - President, Chief Executive Officer & Director: Thanks.

Next will be Alex Rygiel with FBR. Alex J. Rygiel - FBR Capital Markets & Co.: José, a quick follow-up. In the past you've quantified how much 1-gigabit fiber you have in backlog. Could you do that again for us today? And then can you also bracket the number of customers you have that you're doing 1 gigabit for, and maybe the number of markets that you're doing 1 gigabit for? José Ramón Mas - President, Chief Executive Officer & Director: Yeah, Alex, I don't have that. I know that at one point we talked about specific gigabit awards and the total amount of those specific awards, may not all of the gigabit but specific gigabit awards. Look, today there's no question we're enhancing our capabilities there and we're working for more customers than we have in previous quarters. So I'd say we're working for a handful of customers today doing gigabit expansion. There's an enormous of opportunity. The bidding around gigabit opportunities is actually increasing. It's going to be a very active next couple of months and again we feel good about our prospects of getting some of that and continuing to build on backlog and our growth opportunities there from a revenue perspective. Alex J. Rygiel - FBR Capital Markets & Co.: And I suspect that your bidding opportunities for CAF-related programs is also picking up. Has any of that been awarded yet or have you won any CAF programs? And how should we think about the timing of those awards? Are they going to all play out in the fourth quarter or should it play out over the next 6 to 12 months? José Ramón Mas - President, Chief Executive Officer & Director: So you know it's interesting that you asked that, Alex. We're actually seeing two very distinct opportunities related to CAF. One is on the Wireline side as those companies are deploying gigabit services and we are participating there and we're excited about those opportunities and we do expect some of that to play out over at least the next two quarters. But for us almost more impactful is what it's doing to the Wireless business because there's a lot of carriers that have a Wireless bent toward what they're doing with CAF funds, so they're actually trying to provide Internet services to rural areas via wireless product and not wireline product, and that's a strategy that multiple carriers are enacting on. That's adding a whole different opportunity set base for our Wireless business that we're pretty excited about, both for 2016 and into the future. Alex J. Rygiel - FBR Capital Markets & Co.: Good luck. Thank you. José Ramón Mas - President, Chief Executive Officer & Director: Thanks.

The next question is from Tahira Afzal with KeyBanc Capital Markets.

Hey. José, a quick follow-up. As I've gone across the goals for different utilities there seems to be sort of a new emphasis on maybe doing more wind, et cetera – more renewables but specifically wind, I've heard it on several calls. Would love to get your thoughts around that as you head into next year? José Ramón Mas - President, Chief Executive Officer & Director: Well, I think our commentary around it was very positive, right. We're having with – if you back out our Canadian project, we're actually having an excellent year in that business, both from a revenue perspective and more importantly a margin perspective. We also said in today's prepared commentary that we think that that business could grow upwards of 10% next year, and the reason we're saying that is because we're seeing the amount of activity related to that. So you are right, I mean the amount of activity that we're seeing today we probably haven't seen since 2012, which was a huge year for us in that business. And we're excited about that. We've obviously got a lot of work to do there, but opportunity set there is – looks a lot more like 2012 than it does any other year we've had recently.

Right. And José, if I add up everything that you just said on a segment-by-segment basis, I mean are your revenues for next year – and I know you don't want to give guidance – but you kind of have on the revenue side. It seems like revenues of $5 billion, assuming all these trends stay intact, possible? José Ramón Mas - President, Chief Executive Officer & Director: We expect to have a really good year in 2016. I think we've been saying that for a couple quarters. I know we haven't been helping ourselves in 2015, which your first comment of the day, it's been a long year. It has been a long year. We're looking forward to getting it behind us because we're pretty excited about our future.

Thanks, José. José Ramón Mas - President, Chief Executive Officer & Director: Thank you.

This concludes today's question-and-answer session. Mr. Mas, at this time I will turn the conference back to you for any additional or closing remarks. José Ramón Mas - President, Chief Executive Officer & Director: Okay. I'd like to thank everybody for participating today. We recognize it's been a tough year. Again, we're looking forward to getting it behind us, updating you on our next call as we actually enter into 2016. So thank you for your continued interest.

This concludes today's call. Thank you for your participation.