A Message From Jim Kennedy and Jimmy Hayes

At the dawn of the space age, America’s quest to explore new worlds relied upon the efforts of a group of daring risk-takers. After years of sacrifice and setbacks, they achieved success – and wrote the first chapters in our nation’s amazing story of space exploration.

These pioneering astronauts were said to possess “the right stuff,” a unique combination of skills that set them apart. Those special qualities were not easy to define, but when you saw “the right stuff” in action, you recognized it at once.

As we reflect on 2005, a year of transition and challenge for our company, it’s clear that same special spirit to excel and overcome adversity burns bright within Cox Enterprises. Yes, having “the right stuff” means being bold, enduring risk and embracing technology to achieve success. Just as important, it also demands two qualities deeply ingrained in the Cox tradition – integrity and trust. For more than a century, these have been hallmarks of how we conduct our business and how we treat our customers and one another.

These are much more than management slogans. In fact, they are deeply held values brought to life every day by thousands of Cox employees on the front lines of our 300 businesses across America. Sometimes these contributions earn recognition. Countless others, equally valuable, are never touched by the spotlight.

The Right Stuff is Right Here

Two valuable components of our culture are experience and continuity. That is why, across all Cox subsidiaries, we encourage promoting from within, offering maximum opportunity for employees to progress in their careers.

So it’s no surprise that in a year of transition, we saw two accomplished company leaders – Dennis Berry and Jim Robbins – succeeded in their operational roles by company veterans. As members of our Board, Dennis and Jim will continue to contribute their expertise and insight to help chart our future course. We are excited about the new leadership that has stepped up and pleased that we can maintain the company’s unique and consistent approach to serving our customers and growing our businesses.

The Right Stuff in the Future

Continued growth and profitability for our company requires the right combination of businesses, each configured to adapt to rapidly changing market conditions. Another feature of our success has been a sound, strategic mix of cash-generating enterprises that provide the fuel to build and acquire new ventures with high growth potential.

That time-tested model benefits every Cox employee – ensuring that we have the resources we need to remain fiscally sound and that we can offer new, more challenging opportunities to talented people. It also provides the flexibility to make major strategic adjustments when necessary – such as returning Cox Communications to private ownership.

The Right Stuff in Action

A commitment to community, customers and employees has been integral to our company’s approach to its businesses for more than a century. The catastrophic hurricanes of 2005 created unprecedented challenges for us all. As you will read in the following pages, the response by Cox employees – who worked to overcome disruptions to our business and reached out to thousands of those in need – exemplified the very best qualities of commitment and service.

As we celebrate in this report the challenges met and overcome in 2005, even more important is the knowledge that, all around us, there are talented and trusted colleagues, unafraid to tackle tough problems, bold enough to innovate and meet our customers’ needs in exciting new ways, and committed to the high standards of integrity and service that have been our touchstone for more than 100 years. Thanks for another great year.

Jim Kennedy
Chairman and Chief Executive Officer

Jimmy Hayes
President and Chief Operating Officer