We study the following version of cut sparsification. Given a large edge-weighted network G with k terminal vertices, compress it into a smaller network H with the same terminals, such that every minimum terminal cut in H (i.e., the minimum cut separating a given subset of terminals from all other terminals) approximates the corresponding one in G, up to a factor q ≥ 1 that is called the quality. (The case q = 1 is known also as a mimicking network). We provide new insights about the structure of minimum terminal cuts, leading to new results for cut sparsifiers of planar graphs.Our first contribution identifies a subset of the minimum terminal cuts, which we call elementary, that generates all the others. Consequently, H is a cut sparsifier if and only if it preserves all the elementary terminal cuts (up to this factor q). This structural characterization can reduce the number of requirements, and thus lead to simpler proofs and to improved bounds on the size of H. For example, it leads to a small improvement in the mimicking-network size for planar graphs, which is actually near-optimal by a very recent lower bound [Karpov, Pilipczuk, and Zych-Pawlewicz, arXiv:1706.06086].Our second and main contribution is to refine the known bounds in terms of γ = γ(G), which is defined as the minimum number of faces that are incident to all the terminals in a planar graph G. We prove that the number of elementary terminal cuts is O((2k/γ) 2γ ) (compared to O(2 k ) terminal cuts), and furthermore obtain a mimicking-network of size O(γ2 2γ k 4 ), which is near-optimal as a function of γ by the aforementioned recent lower bound. The main challenge here is that the mimicking-network size is smaller than the number of elementary terminal cuts (requirements), and indeed our analysis breaks the elementary terminal cuts even further, and carefully counting these fragments yields a smaller number of requirements.Our third contribution is a duality between cut sparsification and distance sparsification for certain planar graphs, when the sparsifier H is required to be a minor of G. This duality connects problems that were previously studied separately, implying new results, new proofs of known results, and equivalences between open gaps.H instead of on G, using less resources like runtime and memory, or achieving better accuracy when the solution is approximate. This paradigm has lead to remarkable successes, such as faster runtimes for fundamental problems, and the introduction of important concepts, from spanners [PU89] to cut and spectral sparsifiers [BK15, ST11]. In these examples, H is a subgraph of G with the same vertex set but sparse, and is sometimes called an edge sparsifier. In contrast, we aim to reduce the number of vertices in G, using so-called vertex sparsifiers.In the vertex-sparsification scenario, G has k designated vertices called terminals, and the goal is to construct a small graph H that contains these terminals, and maintains some of their features inside G, like distances or cuts. Throughout, a k-terminal netw...