Asset Retirement Obligation

12 Months Ended

Dec. 31, 2012

Disclosure Text Block

Asset Retirement Obligation

NOTE 11ASSET RETIREMENT OBLIGATIONS

Asset retirement obligations are included in Other deferred liabilities and credits in the Consolidated Balance Sheet.

In 2012 and 2011, U.S. Cellular and TDS Telecom performed a review of the assumptions and estimated costs related to asset retirement obligations. The results of the reviews (identified as “Revisions in estimated cash outflows”) and other changes in asset retirement obligations during 2012 and 2011, including the Divestiture Transaction, were as follows:

							Non-
			U.S.		TDS		Reportable		TDS
(Dollars in thousands)			Cellular		Telecom		Segment		Consolidated
Balance December 31, 2011			$	143,402	$	65,209	$	3,806	$	212,417
	Additional liabilities accrued			5,578		367		-		5,945
	Revisions in estimated cash outflows (1)			22,588		-		-		22,588
	Disposition of assets			(2,674)		(298)		-		(2,972)
	Accretion expense (2)			10,713		4,691		228		15,632
Balance December 31, 2012			$	179,607	$	69,969	$	4,034	$	253,610
Balance December 31, 2010			$	128,709	$	61,036	$	-	$	189,745
	Additional liabilities accrued			2,105		559		-		2,664
	Revisions in estimated cash outflows			5,888		-		-		5,888
	Acquisitions of assets			-		140		3,751		3,891
	Disposition of assets			(1,323)		(929)		-		(2,252)
	Accretion expense			8,023		4,403		55		12,481
Balance December 31, 2011			$	143,402	$	65,209	$	3,806	$	212,417
(1)		In 2012, U.S. Cellular included $14.9 million as a result of changes in expected settlement dates related to the Divestiture Transaction.
(2)		In 2012, U.S. Cellular included $0.2 million of incremental accretion related to the Divestiture Transaction.