The tariffs announced by the U.S. Trade Representative that went into effect on September 24, 2018 impose additional costs on broadband devices and infrastructure equipment, ultimately taxing U.S. businesses and increasing the cost of providing competitive Internet services. ARRIS International plc ("ARRIS" or the Company") is working aggressively with partners and suppliers to transition production and supply chain for these devices and equipment outside of China,and expects to be mostly completed in the first half of 2019.

ARRIS is also continuing its education and advocacy efforts with the U.S. regulatory agencies and members of Congress, and coordinating with customers, industry consortiums, and other aligned partners.

Notwithstanding these efforts, ARRIS has implemented short term price adjustments to offset these increased tariff costs, particularly on lower margin products. Thus far, ARRIS has reached agreement with customers to address in excess of 80% of the approximately $30 million in tariff costs expected to be incurred in 2018.

Forward-Looking Statements

Statements made in this Current Report, including those related to the potential impact of the tariffs and plans to mitigate any impact of the tariffs, are forward-looking statements. These statements involve risks and uncertainties that may cause actual results to differ materially from those set forth in these statements. Among other things, the anticipated tariff costs are subject to a number of factors including product classification for U.S. Customs purposes (which may be changed), manufacturing locations and volumes of imports into the United States; increased costs may result in lower purchases by impacted customers; the timing of any manufacturing moves may be impacted by, among other things, availability of necessary equipment and components and the timing for certification of products manufactured in a new location.

These factors are not intended to be an all-encompassing list of risks and uncertainties that may affect the Company's business and results from operations. Additional information regarding these and other factors can be found in the Company's reports filed with the Securities and Exchange Commission, including its Form 10-Q for the quarter ended June 30, 2018. In providing forward-looking statements, the Company expressly disclaims any obligation to update these statements publicly or otherwise, whether as a result of new information, future events or otherwise, except as required by law.