					TDS Telecom
Three Months Ended or as of June 30, 2015			U.S. Cellular		Wireline		Cable		HMS		TDS Telecom Eliminations		TDS Telecom Total		Corporate, Eliminations and Other		Total
(Dollars in thousands)
Operating revenues
	Services		$	824,373	$	175,413	$	44,545	$	29,467	$	(1,358)	$	248,067	$	(1,790)	$	1,070,650
	Equipment and product sales			151,294		557		70		46,119		–		46,746		7,705		205,745
		Total operating revenues		975,667		175,970		44,615		75,586		(1,358)		294,813		5,915		1,276,395
Cost of services (excluding Depreciation, amortization
	and accretion expense reported below)			196,276		62,604		19,849		21,954		(1,293)		103,114		762		300,152
Cost of equipment and products				253,671		597		15		38,566		–		39,178		5,601		298,450
Selling, general and administrative				362,971		49,200		13,764		10,969		(65)		73,868		(1,409)		435,430
Depreciation, amortization and accretion				150,581		41,203		8,860		6,573		–		56,636		3,887		211,104
(Gain) loss on asset disposals, net				5,399		1,010		(1,668)		27		–		(631)		(16)		4,752
(Gain) loss on sale of business and other exit costs, net				(1,705)		(3,054)		–		–		–		(3,054)		(830)		(5,589)
(Gain) loss on license sales and exchanges, net				(25)		–		–		–		–		–		–		(25)
Operating income (loss)				8,499		24,410		3,795		(2,503)		–		25,702		(2,080)		32,121
Equity in earnings of unconsolidated entities				35,584		9		–		–		–		9		(181)		35,412
Interest and dividend income				8,969		647		8		9		–		664		484		10,117
Interest expense				(20,154)		290		143		(485)		–		(52)		(13,713)		(33,919)
Other, net				91		(15)		2		107		–		94		17		202
Income (loss) before income taxes				32,989		25,341		3,948		(2,872)		–		26,417		(15,473)		43,933
Income tax expense (benefit) (1)				13,079										10,625		(6,271)		17,433
Net income (loss)				19,910										15,792		(9,202)		26,500
Add back:
Depreciation, amortization and accretion				150,581		41,203		8,860		6,573		–		56,636		3,887		211,104
(Gain) loss on asset disposals, net				5,399		1,010		(1,668)		27		–		(631)		(16)		4,752
(Gain) loss on sale of business and other exit costs, net				(1,705)		(3,054)		–		–		–		(3,054)		(830)		(5,589)
(Gain) loss on license sales and exchanges, net				(25)		–		–		–		–		–		–		(25)
Interest expense				20,154		(290)		(143)		485		–		52		13,713		33,919
Income tax expense (benefit) (1)				13,079										10,625		(6,271)		17,433
Adjusted EBITDA (2)			$	207,393	$	64,210	$	10,997	$	4,213	$	–	$	79,420	$	1,281	$	288,094

Investments in unconsolidated entities			$	325,857	$	3,804	$	–	$	–	$	–	$	3,804	$	34,544	$	364,205
Total assets			$	6,596,619	$	1,351,221	$	568,494	$	284,067	$	–	$	2,203,782	$	185,911	$	8,986,312
Capital expenditures			$	133,666	$	31,722	$	11,926	$	9,422	$	–	$	53,070	$	1,864	$	188,600

							TDS Telecom
Three Months Ended or as of June 30, 2014			U.S. Cellular			Wireline				Cable			HMS			TDS Telecom Eliminations			TDS Telecom Total			Corporate, Eliminations and Other			Total
(Dollars in thousands)
Operating revenues
	Services		$	843,473		$		180,297		$	22,484		$	27,575		$	(298)		$	230,058		$	(1,352)		$	1,072,179
	Equipment and product sales			114,300				431			–			40,361			–			40,792			9,121			164,213
		Total operating revenues			957,773				180,728			22,484			67,936			(298)			270,850			7,769			1,236,392
Cost of services (excluding Depreciation, amortization
	and accretion expense reported below)			187,131				64,305			11,394			21,301			(249)			96,751			2,606			286,488
Cost of equipment and products				271,978				481			–			33,875			–			34,356			6,677			313,011
Selling, general and administrative				404,252				47,708			6,285			12,376			(49)			66,320			330			470,902
Depreciation, amortization and accretion				148,337				41,827			4,557			6,791			–			53,175			3,055			204,567
(Gain) loss on asset disposals, net				6,893				514			425			44			–			983			27			7,903
(Gain) loss on sale of business and other exit costs, net				(10,511)				–			–			–			–			–			13,122			2,611
Operating income (loss)				(50,307)				25,893			(177)			(6,451)			–			19,265			(18,048)			(49,090)
Equity in earnings of unconsolidated entities				33,120				4			–			–			–			4			1,666			34,790
Interest and dividend income				1,573				490			1			22			–			513			665			2,751
Interest expense				(14,336)				677			30			(439)			–			268			(13,830)			(27,898)
Other, net				100				(95)			–			45			–			(50)			–			50
Income (loss) before income taxes				(29,850)				26,969			(146)			(6,823)			–			20,000			(29,547)			(39,397)
Income tax expense (benefit) (1)				(10,399)																7,962			(11,234)			(13,671)
Net income (loss)				(19,451)																12,038			(18,313)			(25,726)
Add back:
Depreciation, amortization and accretion				148,337				41,827			4,557			6,791			–			53,175			3,055			204,567
(Gain) loss on asset disposals, net				6,893				514			425			44			–			983			27			7,903
(Gain) loss on sale of business and other exit costs, net				(10,511)				–			–			–			–			–			13,122			2,611
Interest expense				14,336				(677)			(30)			439			–			(268)			13,830			27,898
Income tax expense (benefit) (1)				(10,399)				–			–			–			–			7,962			(11,234)			(13,671)
Adjusted EBITDA (2)			$	129,205		$		68,633		$	4,806		$	451		$	–		$	73,890		$	487		$	203,582

Investments in unconsolidated entities			$	270,215		$		3,810		$	–		$	–		$	–		$	3,810		$	34,636		$	308,661
Total assets			$	6,298,967		$		1,408,809		$	287,809		$	335,680		$	–		$	2,032,298		$	376,404		$	8,707,669
Capital expenditures			$	143,927		$		27,370		$	7,181		$	10,628		$	–		$	45,179		$	1,575		$	190,681

					TDS Telecom
Six Months Ended or as of June 30, 2015			U.S. Cellular		Wireline		Cable		HMS		TDS Telecom Eliminations		TDS Telecom Total		Corporate, Eliminations and Other		Total
(Dollars in thousands)
Operating revenues
	Services		$	1,652,584	$	351,104	$	88,026	$	57,883	$	(2,038)	$	494,975	$	(3,818)	$	2,143,741
	Equipment and product sales			288,328		1,001		158		78,664		–		79,823		16,096		384,247
		Total operating revenues		1,940,912		352,105		88,184		136,547		(2,038)		574,798		12,278		2,527,988
Cost of services (excluding Depreciation, amortization
	and accretion expense reported below)			386,953		125,031		39,797		41,982		(1,886)		204,924		1,922		593,799
Cost of equipment and products				491,972		1,160		75		65,696		–		66,931		11,528		570,431
Selling, general and administrative				731,939		94,869		26,389		23,659		(152)		144,765		(3,234)		873,470
Depreciation, amortization and accretion				297,666		83,212		17,579		13,008		–		113,799		6,214		417,679
(Gain) loss on asset disposals, net				9,650		1,528		(986)		(43)		–		499		(20)		10,129
(Gain) loss on sale of business and other exit costs, net				(113,182)		(3,054)		–		–		–		(3,054)		(13,136)		(129,372)
(Gain) loss on license sales and exchanges, net				(122,898)		–		–		–		–		–		–		(122,898)
Operating income (loss)				258,812		49,359		5,330		(7,755)		–		46,934		9,004		314,750
Equity in earnings of unconsolidated entities				70,055		13		–		–		–		13		(15)		70,053
Interest and dividend income				16,535		1,102		13		23		–		1,138		829		18,502
Interest expense				(40,118)		591		243		(985)		–		(151)		(27,480)		(67,749)
Other, net				196		(33)		3		14		–		(16)		18		198
Income (loss) before income taxes				305,480		51,032		5,589		(8,703)		–		47,918		(17,644)		335,754
Income tax expense (benefit) (1)				120,580										18,805		(5,932)		133,453
Net income (loss)				184,900										29,113		(11,712)		202,301
Add back:
Depreciation, amortization and accretion				297,666		83,212		17,579		13,008		–		113,799		6,214		417,679
(Gain) loss on asset disposals, net				9,650		1,528		(986)		(43)		–		499		(20)		10,129
(Gain) loss on sale of business and other exit costs, net				(113,182)		(3,054)		–		–		–		(3,054)		(13,136)		(129,372)
(Gain) loss on license sales and exchanges, net				(122,898)		–		–		–		–		–		–		(122,898)
Interest expense				40,118		(591)		(243)		985		–		151		27,480		67,749
Income tax expense (benefit) (1)				120,580										18,805		(5,932)		133,453
Adjusted EBITDA (2)			$	416,834	$	132,127	$	21,939	$	5,247	$	–	$	159,313	$	2,894	$	579,041

Investments in unconsolidated entities			$	325,857	$	3,804	$	–	$	–	$	–	$	3,804	$	34,544	$	364,205
Total assets			$	6,596,619	$	1,351,221	$	568,494	$	284,067	$	–	$	2,203,782	$	185,911	$	8,986,312
Capital expenditures			$	200,126	$	52,163	$	23,552	$	14,251	$	–	$	89,966	$	3,145	$	293,237

					TDS Telecom
Six Months Ended or as of June 30, 2014			U.S. Cellular		Wireline		Cable		HMS		TDS Telecom Eliminations		TDS Telecom Total		Corporate, Eliminations and Other		Total
(Dollars in thousands)
Operating revenues
	Services		$	1,697,086	$	357,230	$	44,987	$	54,951	$	(979)	$	456,189	$	(854)	$	2,152,421
	Equipment and product sales			186,498		984		–		76,093		–		77,077		16,358		279,933
		Total operating revenues		1,883,584		358,214		44,987		131,044		(979)		533,266		15,504		2,432,354
Cost of services (excluding Depreciation, amortization
	and accretion expense reported below)			367,738		128,705		22,349		38,247		(894)		188,407		6,301		562,446
Cost of equipment and products				542,452		964		–		64,342		–		65,306		11,900		619,658
Selling, general and administrative				799,816		94,228		12,663		27,211		(85)		134,017		738		934,571
Depreciation, amortization and accretion				316,090		84,563		8,918		13,469		–		106,950		6,446		429,486
(Gain) loss on asset disposals, net				8,827		759		490		78		–		1,327		179		10,333
(Gain) loss on sale of business and other exit costs, net				(17,411)		–		–		–		–		–		13,122		(4,289)
(Gain) loss on license sales and exchanges, net				(91,446)		–		–		–		–		–		–		(91,446)
Operating income (loss)				(42,482)		48,995		567		(12,303)		–		37,259		(23,182)		(28,405)
Equity in earnings of unconsolidated entities				70,195		4		–		–		–		4		1,918		72,117
Interest and dividend income				2,457		1,175		2		42		–		1,219		1,561		5,237
Interest expense				(29,198)		1,341		35		(860)		–		516		(27,923)		(56,605)
Other, net				186		(149)		–		179		–		30		(6)		210
Income (loss) before income taxes				1,158		51,366		604		(12,942)		–		39,028		(47,632)		(7,446)
Income tax expense (benefit) (1)				2,205										15,508		(19,727)		(2,014)
Net income (loss)				(1,047)										23,520		(27,905)		(5,432)
Add back:
Depreciation, amortization and accretion				316,090		84,563		8,918		13,469		–		106,950		6,446		429,486
(Gain) loss on asset disposals, net				8,827		759		490		78		–		1,327		179		10,333
(Gain) loss on sale of business and other exit costs, net				(17,411)		–		–		–		–		–		13,122		(4,289)
(Gain) loss on license sales and exchanges, net				(91,446)		–		–		–		–		–		–		(91,446)
Interest expense				29,198		(1,341)		(35)		860		–		(516)		27,923		56,605
Income tax expense (benefit) (1)				2,205		–		–		–		–		15,508		(19,727)		(2,014)
Adjusted EBITDA (2)			$	246,416	$	135,347	$	9,977	$	1,465	$	–	$	146,789	$	38	$	393,243

Investments in unconsolidated entities			$	270,215	$	3,810	$	–	$	–	$	–	$	3,810	$	34,636	$	308,661
Total assets			$	6,298,967	$	1,408,809	$	287,809	$	335,680	$	–	$	2,032,298	$	376,404	$	8,707,669
Capital expenditures			$	233,508	$	50,268	$	13,400	$	13,379	$	–	$	77,047	$	2,724	$	313,279

(1)		Income tax expense (benefit) is not provided at the individual segment level for Wireline, Cable and HMS. TDS calculates income tax expense for “TDS Telecom Total”.

(2)		Adjusted earnings before interest, taxes, depreciation, amortization and accretion (“Adjusted EBITDA”) is a segment measure reported to the chief operating decision maker for purposes of making decisions about allocating resources to the segments and assessing their performance. Adjusted EBITDA is defined as net income, adjusted for the items set forth in the reconciliation above. Adjusted EBITDA excludes these items in order to show operating results on a more comparable basis from period to period. From time to time, TDS may also exclude other items from Adjusted EBITDA if such items help reflect operating results on a more comparable basis. TDS does not intend to imply that any of such items that are excluded are non-recurring, infrequent or unusual; such items may occur in the future. TDS believes Adjusted EBITDA is a useful measure of TDS’ operating results before significant recurring non-cash charges, discrete gains and losses, and other items as indicated above.