8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): February 23, 2018

TELEPHONE AND DATA SYSTEMS, INC.
(Exact name of registrant as specified in its charter)
Delaware		001-14157	36-2669023
(State or other jurisdiction of		(Commission File Number)	(I.R.S. Employer Identification No.)
incorporation or organization)
30 North LaSalle Street, Suite 4000, Chicago, Illinois  60602
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code:  (312) 630-1900
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
□	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
□	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
□	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
□	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
□	Emerging growth company
□	If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Item 2.02.Results of Operations and Financial Condition

On February 23, 2018, Telephone and Data Systems, Inc. (TDS) issued a news release announcing itsresults of operationsfor the period ended December 31, 2017. A copy of the news release is attached hereto as Exhibit 99.1 and incorporated by reference herein.

The information in this Item 2.02 of Form 8-K is being “furnished” and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section, nor will any such information or exhibits be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, except as expressly set forth by specific reference in such filing.

Item 9.01.Financial Statements and Exhibits

(d)   The following exhibits are being filed herewith:

Exhibit Number	Description of Exhibits
99.1	Earnings Press Release dated February 23, 2018
99.2	Private Securities Litigation Reform Act of 1995 Safe Harbor Cautionary Statement

SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
		TELEPHONE AND DATA SYSTEMS, INC.
		(Registrant)
Date:	February 23, 2018
		By:	/s/ Douglas D. Shuma
			Douglas D. Shuma
			Senior Vice President - Finance and Chief Accounting Officer
			(principal financial officer and principal accounting officer)

EX-99.1

Exhibit 99.1 NEWS RELEASE

As previously announced, TDS will hold a teleconference February 23, 2018 at 9:30 a.m. CST. Listen to the call live via the Events & Presentations page of investors.tdsinc.com.

FOR IMMEDIATE RELEASE

TDS reports fourth quarter and full year 2017 results

Provides 2018 guidance

CHICAGO, (February 23, 2018) — Telephone and Data Systems, Inc. (NYSE:TDS) reported total operating revenues of $1,308 million for the fourth quarter of 2017, versus $1,293 million for the same period one year ago and Net income available to TDS common shareholders and related diluted earnings per share were $287million and $2.54, respectively, for the fourth quarter of 2017.  Excluding a benefit of $327million($282 million, non-GAAP, net of noncontrolling interests impacts) related to the enactment of new tax legislation, Net income available to TDS common shareholders and related diluted earnings per share excluding adjustments (non-GAAP) were $6 million and $0.05, respectively for the three months ended December 31, 2017, compared to a Net loss available to TDS common shareholders and related diluted loss per share of $5 million and $0.05, respectively, in the same period one year ago.

TDS reported total operating revenues of $5,044 million and $5,155 million for the years ended 2017 and 2016, respectively, and Net income available to TDS common shareholders and related diluted earnings per share were $153 million and $1.37, respectively, for the year ended 2017.  Excluding the benefit of $327million($282 million, non-GAAP, net of noncontrolling interests impacts) related to the enactment of new tax legislation and a loss on goodwill impairment of $262 million ($188 million, non-GAAP, net of tax and noncontrolling interest impacts) in the third quarter of 2017, Net income available to TDS common shareholders and related diluted earnings per share excluding adjustments (non-GAAP) were $59million and $0.53, respectively for the year ended December 31, 2017, compared to Net income available to TDS common shareholders and related diluted earnings per share of $43million and $0.39, respectively, for the year ended 2016.

“In 2017, the TDS family of companies continued to act on our long-term strategic goals,” saidLeRoy T.Carlson, Jr., TDS President and CEO. “U.S. Cellular successfully balanced customer growth with profitability, while TDS Telecom implemented its broadband strategy of driving broadband revenue and margin growth in its wireline and cable segments.

“U.S. Cellularprotected and grew its customer base through an award winning network and the successful marketing and sales of Total Plans, which include no hidden fees and an unlimited data option. With record low churn, the company achieved postpaid handset growth for the year. We continued to invest in U.S. Cellular’s high-quality network by increasing capacity and launching VoLTE, which is now fully operational in Iowa and Wisconsin. Tower rental revenues, accessories sales and device protection plan sales, along with effective cost management all worked to partially offset competitive pricing pressures.

“TDS Telecom continued to grow broadband services, bundling these with video and voice services. Several years of fiber investments led to growth in IPTV connections and to increased demand for higher broadband speeds, generating residential wireline revenue growth. Network investments in our cable properties also continue to see success, driving strong increases in broadband connections and cable revenues. This quarter we accomplished our seventh consecutive quarter of double-digit broadband cable connections growth. We also signed several small cable acquisitions to strengthen our existing markets, and are continuing to seek attractive cable properties.

“At OneNeck IT Solutions, lower spending by existing customers impacted equipment revenues, and associated hardware maintenance and service revenues. OneNeck remains focused on growing recurring revenues from high-margin services through a full portfolio of offerings. In 2017, our Colocation and Relia Cloud revenues grew nicely.”

1

2018 Estimated Results

Current estimates of full-year 2018 results for U.S. Cellular, TDS Telecom, and TDS are shown below. Such estimates represent management’s view as of February 23, 2018. Such forward-looking statements should not be assumed to be current as of any future date. TDS undertakes no duty to update such information, whether as a result of new information, future events, or otherwise. There can be no assurance that final results will not differ materially from such estimated results.

2018 EstimatedResults and Actual Results for the Year Ended December 31, 2017
	U.S. Cellular			Wireline and Cable (1)			TDS (1)(2)
	Estimate		Actual	Estimate		Actual	Estimate		Actual
(Dollars in millions)
Total operating revenues	$3,850-$4,050	$	3,890	$900-$950	$	919	$5,015-$5,265	$	5,044
Adjusted OIBDA (3)(4)	$625-$775	$	675	$290-$320	$	317	$925-$1,105	$	999
Adjusted EBITDA (3)	$765-$915	$	820	$300-$330	$	323	$1,075-$1,255	$	1,152
Capital expenditures	$500-$550	$	469	$270	$	201	$795-$845	$	694

2

The following tables providereconciliations of Net income to Adjusted OIBDA and Adjusted EBITDA for 2018 estimated resultsand actual results for the year endedDecember 31, 2017.  In providing 2018 estimated results, TDS has not completed the below reconciliation to Net income because it does not provide guidance for income taxes.  Although potentially significant, TDS believes that the impact of income taxes cannot be reasonably predicted; therefore, TDS is unable to provide such guidance. 

				U.S. Cellular				Wireline and Cable (1)				TDS (1)(2)
				Estimate		Actual		Estimate		Actual		Estimate		Actual
(Dollars in millions)
Net income (GAAP)				N/A		15		N/A		N/A		N/A		157
Add back:
	Income tax benefit			N/A		(287)		N/A		N/A		N/A		(279)
Income (loss) before income
	taxes (GAAP)		$	10-160	$	(272)	$	80-110	$	125	$	5-185	$	(122)
Add back:
	Interest expense			110		113		–		–		170		170
	Depreciation, amortization and
		accretion expense		625		615		220		195		880		844
EBITDA (Non-GAAP) (3)			$	745-895	$	456	$	300-330	$	319	$	1,055-1,235	$	892
Add back:
	Loss on impairment of goodwill			–		370		–		–		–		262
	(Gain) loss on sale of business
		and other exit costs, net		–		(1)		–		–		–		(1)
	(Gain) loss on license sales and
		exchanges, net		–		(22)		–		–		–		(22)
	(Gain) loss on asset
		disposals, net		20		17		–		3		20		21
Adjusted EBITDA (Non-GAAP)(3)			$	765-915	$	820	$	300-330	$	323	$	1,075-1,255	$	1,152
Deduct:
	Equity in earnings of
		unconsolidated entities		130		137		–		–		130		137
	Interest and dividend income			10		8		5		5		15		15
	Other, net			–		–		5		–		5		1
Adjusted OIBDA (Non-GAAP)(3)(4)			$	625-775	$	675	$	290-320	$	317	$	925-1,105	$	999
Note: Totals may not foot due to rounding differences.
(1)		Effective January 1, 2018, HMS will be considered a non-reportable segment and will no longer be reported under TDS Telecom.  To be comparable with the 2018 estimated results, HMS actual results for the year ended 2017 have been included as part of TDS.  A reconciliation of Cable and Wireline actual results to TDS Telecom as reported for full year 2017 can be found on TDS' website at investors.tdsinc.com.
(2)		The TDS column includes U.S. Cellular, Cable and Wireline, HMS and also the impacts of consolidating eliminations, corporate operations and non-reportable segments, all of which are not presented above.
(3)		EBITDA, Adjusted EBITDA and Adjusted OIBDA are defined as net income adjusted for the items set forth in the reconciliation above.  EBITDA, Adjusted EBITDA and Adjusted OIBDA are not measures of financial performance under Generally Accepted Accounting Principles in the United States (GAAP) and should not be considered as alternatives to Net income or Cash flows from operating activities, as indicators of cash flows or as measures of liquidity.  TDS does not intend to imply that any such items set forth in the reconciliation above are non-recurring, infrequent or unusual; such items may occur in the future.  Management uses Adjusted EBITDA and Adjusted OIBDA as measurements of profitability, and therefore reconciliations to Net income are deemed appropriate.  Management believes Adjusted EBITDA and Adjusted OIBDA are useful measures of TDS’ operating results before significant recurring non-cash charges, gains and losses, and other items as presented above as they provide additional relevant and useful information to investors and other users of TDS’ financial data in evaluating the effectiveness of its operations and underlying business trends in a manner that is consistent with management’s evaluation of business performance.  Adjusted EBITDA shows adjusted earnings before interest, taxes, depreciation, amortization and accretion, and gains and losses, while Adjusted OIBDA reduces this measure further to exclude Equity in earnings of unconsolidated entities and Interest and dividend income in order to more effectively show the performance of operating activities excluding investment activities.  The table above reconciles EBITDA, Adjusted EBITDA and Adjusted OIBDA flow to the corresponding GAAP measure, Net income or Income (loss) before income taxes.
(4)		A reconciliation of Adjusted OIBDA (Non-GAAP) to Operating income (GAAP) for full year 2017 actual results can be found on TDS' website at investors.tdsinc.com.

3

Conference Call Information

TDS will hold a conference call on February 23, 2018, at 9:30 a.m. Central Time.

• Access the live call on the Events & Presentations page of investors.tdsinc.comor at https://www.webcaster4.com/Webcast/Page/1145/24672.
• .Access the call by phone at 877-407-8029 (US/Canada), no pass code required.

Before the call, certain financial and statistical information to be discussed during the call will be posted to investors.tdsinc.com. The call will be archived on the Events & Presentations page of investors.tdsinc.com.

About TDS

Telephone and Data Systems, Inc.(TDS), a Fortune 1000®company, provides wireless; cable and wireline broadband, TV and voice; and hosted and managed servicesto over6 million connections nationwide through its businesses,U.S. Cellular, TDS Telecom, OneNeck IT Solutions, and BendBroadband. Founded in 1969 and headquartered inChicago, TDS employed 9,900 people as ofDecember 31, 2017.

Visit www.tdsinc.comfor comprehensive financial information, including earnings releases, quarterly and annual filings, shareholder information and more.

Contacts

Jane W. McCahon, Senior Vice President - Corporate Relations and Corporate Secretary

312-592-5379

jane.mccahon@tdsinc.com

Julie D. Mathews, IRC, Director - Investor Relations

312-592-5341

julie.mathews@tdsinc.com

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995:All information set forth in this news release, except historical and factual information, represents forward-looking statements. This includes all statements about the company’s plans, beliefs, estimates, and expectations. These statements are based on current estimates, projections, and assumptions, which involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Important factors that may affect these forward-looking statements include, but are not limited to: intense competition; the ability to execute TDS’ business strategy; uncertainties in TDS’ future cash flows and liquidity and access to the capital markets; the ability to make payments on TDS and U.S. Cellular indebtedness or comply with the terms of debt covenants; impacts of any pending acquisitions/divestitures/exchanges of properties and/or licenses, including, but not limited to, the ability to obtain regulatory approvals, successfully complete the transactions and the financial impacts of such transactions; the ability of the company to successfully manage and grow its markets; the access to and pricing of unbundled network elements; the ability to obtain or maintain roaming arrangements with other carriers on acceptable terms; the state and federal telecommunications regulatory environment; the value of assets and investments; adverse changes in the ratings of TDS and U.S. Cellular debt securities by accredited ratings organizations; industry consolidation; advances in telecommunications technology; pending and future litigation; changes in income tax rates, laws, regulations or rulings; changes in customer growth rates, average monthly revenue per user, churn rates, roaming revenue and terms, the availability of wireless devices, or the mix of services and products offered by U.S. Cellular and TDS Telecom. Investors are encouraged to consider these and other risks and uncertainties that are discussed in the Form 8-K Current Report used by TDS to furnish this press release to the Securities and Exchange Commission, which are incorporated by reference herein.

For more information about TDS and its subsidiaries, visit:

TDS: www.tdsinc.com

U.S. Cellular: www.uscellular.com

TDS Telecom: www.tdstelecom.com

OneNeck IT Solutions: www.oneneck.com

4

United States Cellular Corporation
Summary Operating Data (Unaudited)
As of or for the Quarter Ended					12/31/2017		9/30/2017		6/30/2017		3/31/2017		12/31/2016
Retail Connections
	Postpaid
		Total at end of period				4,518,000		4,513,000		4,478,000		4,455,000		4,482,000
		Gross additions				177,000		191,000		174,000		146,000		187,000
			Feature phones			5,000		7,000		7,000		7,000		7,000
			Smartphones			128,000		132,000		116,000		88,000		109,000
			Connected devices			44,000		52,000		51,000		51,000		71,000
		Net additions (losses)				5,000		35,000		23,000		(27,000)		(2,000)
			Feature phones			(15,000)		(15,000)		(15,000)		(19,000)		(21,000)
			Smartphones			33,000		44,000		34,000		(9,000)		(4,000)
			Connected devices			(13,000)		6,000		4,000		1,000		23,000
		ARPU (1)			$	44.12	$	43.41	$	44.60	$	45.42	$	45.19
		ABPU (Non-GAAP)(2)			$	56.69	$	54.71	$	55.19	$	55.82	$	55.43
		ARPA (3)			$	118.05	$	116.36	$	119.73	$	121.88	$	120.67
		ABPA (Non-GAAP)(4)			$	151.68	$	146.65	$	148.15	$	149.78	$	148.02
		Churn rate (5)				1.27%		1.16%		1.13%		1.29%		1.41%
			Handsets			1.00%		0.96%		0.91%		1.08%		1.23%
			Connected devices			2.84%		2.33%		2.35%		2.55%		2.49%
	Prepaid
		Total at end of period				519,000		515,000		484,000		480,000		484,000
		Gross additions				83,000		102,000		73,000		78,000		83,000
		Net additions (losses)				4,000		31,000		3,000		(4,000)		4,000
		ARPU(1)			$	32.42	$	33.12	$	33.52	$	33.66	$	33.25
		Churn rate (5)				5.09%		4.75%		4.93%		5.69%		5.44%
Total connections at end of period (6)						5,096,000		5,089,000		5,023,000		4,996,000		5,031,000
Market penetration at end of period
	Consolidated operating population					31,834,000		31,834,000		32,089,000		32,089,000		31,994,000
	Consolidated operating penetration(7)					16%		16%		16%		16%		16%
Capital expenditures (millions)					$	213	$	112	$	84	$	61	$	171
Total cell sites in service						6,460		6,436		6,421		6,417		6,415
Owned towers						4,080		4,051		4,044		4,041		4,040
(1)		Average Revenue Per User (ARPU) - metric which is calculated by dividing a revenue base by an average number of connections and by the number of months in the period.  These revenue bases and connection populations are shown below:
			▪	Postpaid ARPU consists of total postpaid service revenues and postpaid connections.
			▪	Prepaid ARPU consists of total prepaid service revenues and prepaid connections.
(2)		Average Billings Per User (ABPU) - non-GAAP metric which is calculated by dividing total postpaid service revenues plus equipment installment plan billings by the average number of postpaid connections and by the number of months in the period.  Refer to the end of this release for a reconciliation of this metric to its most comparable GAAP metric.
(3)		Average Revenue Per Account (ARPA) - metric which is calculated by dividing total postpaid service revenues by the average number of postpaid accounts and by the number of months in the period.
(4)		Average Billings Per Account (ABPA) - non-GAAP metric which is calculated by dividing total postpaid service revenues plus equipment installment plan billings by the average number of postpaid accounts and by the number of months in the period.  Refer to the end of this release for a reconciliation of this metric to its most comparable GAAP metric.
(5)		Churn rate represents the percentage of the connections that disconnect service each month.  These rates represent the average monthly churn rate for each respective period.
(6)		Includes reseller and other connections.
(7)		Market penetration is calculated by dividing the number of wireless connections at the end of the period by the total population of consolidated operating markets as estimated by Nielsen.

5

TDS Telecom
Summary Operating Data (Unaudited)
As of or for the Quarter Ended			12/31/2017		9/30/2017		6/30/2017		3/31/2017		12/31/2016
TDS Telecom
Wireline
	Residential connections
		Voice (1)		290,600		298,200		304,600		308,200		310,600
		Broadband (2)		228,600		229,900		230,200		228,500		229,500
		IPTV (3)		48,600		47,200		46,200		45,200		45,300
		Wireline residential connections		567,700		575,300		581,000		581,900		585,400
	Total residential revenue per connection(4)		$	46.21	$	46.07	$	46.39	$	45.17	$	44.27
	Commercial connections
		Voice (1)		143,000		146,900		150,500		154,000		157,400
		Broadband(2)		20,600		20,900		21,000		21,200		21,400
		managedIP (5)		146,500		147,600		149,700		150,300		150,900
		Wireline commercial connections		310,100		315,300		321,200		325,500		329,700
	Total Wireline connections			877,800		890,700		902,200		907,400		915,200
Cable
	Cable Connections
		Broadband (6)		153,300		143,800		140,300		137,800		133,700
		Video(7)		101,800		97,900		97,900		97,600		99,000
		Voice(8)		60,100		58,900		58,700		59,000		59,600
		Cable connections		315,100		300,600		297,000		294,300		292,400
Numbers may not foot due to rounding.
(1)		The individual circuits connecting a customer to Wireline’s central office facilities.
(2)		The number of Wireline customers provided high-capacity data circuits via various technologies, including DSL and dedicated internet circuit technologies.
(3)		The number of Wireline customers provided video services using IP networking technology.
(4)		Total residential revenue per connection is calculated by dividing total Wireline residential revenue by the average number of Wireline residential connections and by the number of months in the period.
(5)		The number of telephone handsets, data lines and IP trunks providing communications using IP networking technology.
(6)		Billable number of lines into a building for high-speed data services.
(7)		Generally, a home or business receiving video programming counts as one video connection. In counting bulk residential or commercial connections, such as an apartment building or hotel, connections are counted based on the number of units/rooms within the building receiving service.
(8)		Billable number of lines into a building for voice services.

TDS Telecom
Capital Expenditures (Unaudited)
Quarter Ended	12/31/2017		9/30/2017		6/30/2017		3/31/2017		12/31/2016
(Dollars in millions)
Wireline	$	55	$	41	$	33	$	17	$	26
Cable		20		14		12		9		13
HMS		2		2		4		6		5
	$	76	$	58	$	49	$	33	$	45
Numbers may not foot due to rounding.

6

Telephone and Data Systems, Inc.
Consolidated Statement of Operations Highlights
(Unaudited)
								2017 vs. 2016
								Increase
Three Months Ended December 31,				2017		2016		(Decrease)
(Dollars and shares in millions, except per share amounts)
Operating revenues
	U.S. Cellular (1)			$	1,029	$	1,006	2%
	TDS Telecom				275		283	(3)%
	All Other (2)				4		4	12%
					1,308		1,293	1%
Operating expenses
	U.S. Cellular
		Expenses excluding depreciation, amortization and accretion			877		861	2%
		Depreciation, amortization and accretion			155		156	(1)%
		(Gain) loss on asset disposals, net			4		6	(34)%
		(Gain) loss on license sales and exchanges, net			(3)		(3)	(24)%
					1,033		1,020	1%
	TDS Telecom
		Expenses excluding depreciation, amortization and accretion			196		212	(8)%
		Depreciation, amortization and accretion			56		56	-
		(Gain) loss on asset disposals, net			1		1	51%
		(Gain) loss on license sales and exchanges, net			–		(1)	N/M
					253		269	(6)%
	All Other(2)
		Expenses excluding depreciation and amortization			4		4	4%
		Depreciation and amortization			2		2	(7)%
					5		5	(2)%
			Total operating expenses		1,291		1,294	-
Operating income (loss)
	U.S. Cellular (1)				(4)		(14)	75%
	TDS Telecom				22		14	52%
	All Other (2)				(1)		(1)	29%
					17		(1)	>100%
Investment and other income (expense)
	Equity in earnings of unconsolidated entities				36		30	18%
	Interest and dividend income (1)				4		3	15%
	Interest expense				(42)		(43)	3%
	Other, net				–		–	(23)%
		Total investment and other income (expense) (1)			(2)		(10)	75%
Income (loss) before income taxes					15		(11)	>100%
	Income tax benefit				(319)		(6)	>(100)%
Net income (loss)					334		(5)	>100%
	Less: Net income attributable to noncontrolling interests, net of tax				47		–	>100%
Net income (loss) available to TDS common shareholders				$	287	$	(5)	>100%
Basic weighted average shares outstanding					111		110	1%
Basic earnings (loss) per share available to TDS common shareholders				$	2.59	$	(0.05)	>100%
Diluted weighted average shares outstanding					112		110	2%
Diluted earnings (loss) per share available to TDS common shareholders				$	2.54	$	(0.05)	>100%
N/M - Percentage change not meaningful
Numbers may not foot due to rounding.
(1)	Equipment installment plan interest income is reflected as a component of Service revenues consistent with an accounting policy change effective January 1, 2017.  All prior period numbers have been recast to conform to this accounting change.
(2)	Consists of TDS corporate, intercompany eliminations and all other business operations not included in the U.S. Cellular and TDS Telecom segments.

7

Telephone and Data Systems, Inc.
Consolidated Statement of Operations Highlights
(Unaudited)
								2017 vs. 2016
								Increase
Year Ended December 31,				2017		2016		(Decrease)
(Dollars and shares in millions, except per share amounts)
Operating revenues
	U.S. Cellular			$	3,890	$	3,990	(3)%
	TDS Telecom				1,140		1,151	(1)%
	All Other (1)				14		14	1%
					5,044		5,155	(2)%
Operating expenses
	U.S. Cellular
		Expenses excluding depreciation, amortization and accretion			3,215		3,321	(3)%
		Depreciation, amortization and accretion			615		618	-
		Loss on impairment of goodwill			370		–	N/M
		(Gain) loss on asset disposals, net			17		22	(22)%
		(Gain) loss on sale of business and other exit costs, net			(1)		–	>(100)%
		(Gain) loss on license sales and exchanges, net			(22)		(19)	(17)%
					4,194		3,942	6%
	TDS Telecom
		Expenses excluding depreciation, amortization and accretion			817		856	(5)%
		Depreciation, amortization and accretion			222		224	(1)%
		Loss on impairment of goodwill			35		–	N/M
		(Gain) loss on asset disposals, net			4		4	(21)%
		(Gain) loss on license sales and exchanges, net			–		(1)	N/M
					1,077		1,084	(1)%
	All Other(1)
		Expenses excluding depreciation and amortization			13		11	18%
		Depreciation and amortization			7		8	(9)%
		Loss on impairment of goodwill (2)			(143)		–	N/M
		(Gain) loss on asset disposals, net			–		1	>(100)%
		(Gain) loss on sale of business and other exit costs, net			–		(1)	N/M
					(122)		18	>(100)%
			Total operating expenses		5,149		5,044	2%
Operating income (loss)
	U.S. Cellular				(304)		48	>(100)%
	TDS Telecom				63		67	(7)%
	All Other (1)				136		(4)	>100%
					(105)		111	>(100)%
Investment and other income (expense)
	Equity in earnings of unconsolidated entities				137		140	(2)%
	Interest and dividend income				15		11	42%
	Interest expense				(170)		(170)	-
	Other, net				1		–	>100%
		Total investment and other income (expense)			(17)		(19)	12%
Income (loss) before income taxes					(122)		92	>(100)%
	Income tax expense (benefit)				(279)		40	>(100)%
Net income					157		52	>100%
	Less: Net income attributable to noncontrolling interests, net of tax				4		9	(55)%
Net income available to TDS common shareholders				$	153	$	43	>100%
Basic weighted average shares outstanding					111		110	1%
Basic earnings per share available to TDS common shareholders				$	1.39	$	0.39	>100%
Diluted weighted average shares outstanding					112		111	1%
Diluted earnings per share available to TDS common shareholders				$	1.37	$	0.39	>100%
N/M - Percentage change not meaningful
Numbers may not foot due to rounding.
(1)	Consists of TDS corporate, intercompany eliminations and all other business operations not included in the U.S. Cellular and TDS Telecom segments.
(2)	During the third quarter of 2017, U.S. Cellular recorded a goodwill impairment of $370 million while TDS recorded a goodwill impairment of the U.S. Cellular reporting unit of $227 million.  Prior to 2009, TDS accounted for U.S. Cellular's share repurchases as step acquisitions, allocating a portion of the share repurchase value to TDS' Goodwill.  Further, goodwill was impaired at the TDS level in 2003 but not at the U.S. Cellular level, effectively resulting in a lower basis of goodwill attributable to the U.S. Cellular reporting unit rather than at U.S. Cellular itself.  Consequently, U.S. Cellular's Goodwill on a stand-alone basis and any resulting impairment of Goodwill does not equal the TDS consolidated Goodwill related to U.S. Cellular.

8

Telephone and Data Systems, Inc.
Consolidated Statement of Cash Flows
(Unaudited)
Year Ended December 31,				2017		2016
(Dollars in millions)
Cash flows from operating activities
	Net income			$	157	$	52
	Add (deduct) adjustments to reconcile net income to net
	cash flows from operating activities
		Depreciation, amortization and accretion			844		850
		Bad debts expense			95		102
		Stock-based compensation expense			46		42
		Deferred income taxes, net			(369)		22
		Equity in earnings of unconsolidated entities			(137)		(140)
		Distributions from unconsolidated entities			136		93
		Loss on impairment of goodwill			262		–
		(Gain) loss on asset disposals, net			21		27
		(Gain) loss on sale of business and other exit costs, net			(1)		(1)
		(Gain) loss on license sales and exchanges, net			(22)		(20)
		Noncash interest			3		3
		Other operating activities			–		(3)
	Changes in assets and liabilities from operations
		Accounts receivable			(61)		(23)
		Equipment installment plans receivable			(261)		(246)
		Inventory			6		4
		Accounts payable			(7)		36
		Customer deposits and deferred revenues			(4)		(52)
		Accrued taxes			37		60
		Accrued interest			–		(1)
		Other assets and liabilities			31		(23)
			Net cash provided by operating activities		776		782
Cash flows from investing activities
	Cash paid for additions to property, plant and equipment				(685)		(636)
	Cash paid for acquisitions and licenses				(218)		(53)
	Cash paid for investments				(100)		–
	Cash received from divestitures and exchanges				21		21
	Federal Communications Commission deposit				–		(143)
	Other investing activities				1		3
			Net cash used in investing activities		(981)		(808)
Cash flows from financing activities
	Issuance of long-term debt				–		2
	Repayment of long-term debt				(17)		(12)
	TDS Common Shares reissued for benefit plans, net of tax payments				4		9
	U.S. Cellular Common Shares reissued for benefit plans, net of tax payments				1		6
	Repurchase of TDS Common Shares				–		(3)
	Repurchase of U.S. Cellular Common Shares				–		(5)
	Repurchase of TDS Preferred Shares				(1)		–
	Dividends paid to TDS shareholders				(69)		(65)
	Payment of debt issuance costs				(2)		(4)
	Distributions to noncontrolling interests				(4)		(1)
	Other financing activities				11		14
			Net cash used in financing activities		(77)		(59)
Net decrease in cash, cash equivalents and restricted cash					(282)		(85)
Cash, cash equivalents and restricted cash (1)
	Beginning of period				904		989
	End of period			$	622	$	904
(1)		As of December 31, 2017, TDS early adopted ASU 2016-18 on a retrospective basis which requires that restricted cash be presented with Cash and cash equivalents in the Statement of Cash Flows.  The Statement of Cash Flows includes restricted cash of $3 million and $4 million as of December 31, 2017 and 2016, respectively.

9

Telephone and Data Systems, Inc.
Consolidated Balance Sheet Highlights
(Unaudited)
ASSETS
December 31,			2017		2016
(Dollars in millions)
Current assets
	Cash and cash equivalents		$	619	$	900
	Short-term investments			100		–
	Accounts receivable from customers and others, net			961		851
	Inventory, net			145		151
	Prepaid expenses			112		115
	Income taxes receivable			2		10
	Other current assets			27		32
		Total current assets		1,966		2,059
Assets held for sale				10		8
Licenses				2,232		1,895
Goodwill				509		766
Franchise rights				255		244
Other intangible assets, net				24		33
Investments in unconsolidated entities				453		451
Other investments				–		1
Property, plant and equipment, net				3,424		3,555
Other assets and deferred charges				422		434
Total assets			$	9,295	$	9,446

10

Telephone and Data Systems, Inc.
Consolidated Balance Sheet Highlights
(Unaudited)
LIABILITIES AND EQUITY
December 31,				2017		2016
(Dollars and shares in millions, except per share amounts)
Current liabilities
		Current portion of long-term debt		$	20	$	12
		Accounts payable			368		365
		Customer deposits and deferred revenues			223		229
		Accrued interest			11		11
		Accrued taxes			64		44
		Accrued compensation			126		127
		Other current liabilities			106		99
			Total current liabilities		918		887
Deferred liabilities and credits
		Deferred income tax liability, net			552		922
		Other deferred liabilities and credits			495		453
Long-term debt, net					2,437		2,433
Noncontrolling interests with redemption features					1		1
Equity
	TDS shareholders' equity
		Series A Common and Common Shares, par value $.01			1		1
		Capital in excess of par value			2,413		2,386
		Treasury shares, at cost			(669)		(698)
		Accumulated other comprehensive income (loss)			(1)		1
		Retained earnings			2,525		2,454
			Total TDS shareholders' equity		4,269		4,144
	Preferred shares				–		1
	Noncontrolling interests				623		605
		Total equity			4,892		4,750
Total liabilities and equity				$	9,295	$	9,446

11

Telephone and Data Systems, Inc.
Balance Sheet Highlights
(Unaudited)
		December 31, 2017
		U.S.		TDS		TDS Corporate		Intercompany		TDS
		Cellular		Telecom		& Other		Eliminations		Consolidated
(Dollars in millions)
Cash and cash equivalents		$	352	$	24	$	243	$	–	$	619
Affiliated cash investments			–		362		–		(362)		–
		$	352	$	386	$	243	$	(362)	$	619
Short-term investments		$	50	$	–	$	50	$	–	$	100
Licenses, goodwill and other intangible
	assets	$	2,223	$	793	$	4	$	–	$	3,020
Investment in unconsolidated entities			415		4		41		(7)		453
		$	2,638	$	797	$	45	$	(7)	$	3,473
Property, plant and equipment, net		$	2,320	$	1,081	$	23	$	–	$	3,424
Long-term debt, net:
	Current portion	$	18	$	1	$	1	$	–	$	20
	Non-current portion		1,622		2		813		–		2,437
		$	1,640	$	3	$	814	$	–	$	2,457

12

TDS Telecom Highlights
(Unaudited)
							2017 vs. 2016
							Increase
Three Months Ended December 31,			2017		2016		(Decrease)
(Dollars in millions)
Wireline
Operating revenues
	Residential		$	79	$	78		1%
	Commercial			48		52		(7)%
	Wholesale			48		44		9%
		Total service revenues		175		174		1%
	Equipment and product sales			–		–		(30)%
				176		174		1%
Operating expenses
	Cost of services			64		66		(4)%
	Cost of equipment and products			–		1		(41)%
	Selling, general and administrative expenses			47		49		(5)%
	Expenses excluding depreciation, amortization and accretion			111		116		(5)%
	Depreciation, amortization and accretion			37		40		(7)%
	(Gain) loss on license sales and exchanges, net			–		(1)		N/M
				148		156		(5)%
	Operating income		$	28	$	19		48%
Cable
Operating revenues
	Residential		$	44	$	38		16%
	Commercial			10		11		(8)%
				54		49		10%
Operating expenses
	Cost of services			25		24		1%
	Selling, general and administrative expenses			15		13		15%
	Expenses excluding depreciation, amortization and accretion			40		38		6%
	Depreciation, amortization and accretion			12		9		31%
	(Gain) loss on asset disposals, net			1		1		46%
				53		47		11%
	Operating income		$	1	$	1		(23)%
HMS
Operating revenues
	Service revenues		$	27	$	28		(5)%
	Equipment and product sales			21		34		(37)%
				48		61		(22)%
Operating expenses
	Cost of services			20		21		(2)%
	Cost of equipment and products			17		28		(37)%
	Selling, general and administrative expenses			10		12		(17)%
	Expenses excluding depreciation, amortization and accretion			48		60		(21)%
	Depreciation, amortization and accretion			7		7		1%
				55		67		(19)%
	Operating loss		$	(7)	$	(6)		(22)%
Intercompany revenues			$	(2)	$	(1)		(29)%
Intercompany expenses				(2)		(1)		(29)%
Total TDS Telecom operating income			$	22	$	14		52%
N/M – Percentage change not meaningful
Numbers may not foot due to rounding.

13

TDS Telecom Highlights
(Unaudited)
							2017 vs. 2016
							Increase
Year Ended December 31,			2017		2016		(Decrease)
(Dollars in millions)
Wireline
Operating revenues
	Residential		$	319	$	309		3%
	Commercial			199		212		(6)%
	Wholesale			195		175		12%
		Total service revenues		713		696		2%
	Equipment and product sales			1		2		(33)%
				714		698		2%
Operating expenses
	Cost of services			258		258		-
	Cost of equipment and products			2		2		(16)%
	Selling, general and administrative expenses			191		197		(3)%
	Expenses excluding depreciation, amortization and accretion			451		458		(1)%
	Depreciation, amortization and accretion			151		159		(5)%
	(Gain) loss on asset disposals, net			1		2		(35)%
	(Gain) loss on license sales and exchanges, net			–		(1)		N/M
				603		618		(2)%
	Operating income		$	111	$	80		40%
Cable
Operating revenues
	Residential		$	169	$	147		15%
	Commercial			37		38		(4)%
				206		185		11%
Operating expenses
	Cost of services			98		94		4%
	Selling, general and administrative expenses			54		51		6%
	Expenses excluding depreciation, amortization and accretion			151		144		5%
	Depreciation, amortization and accretion			44		37		21%
	(Gain) loss on asset disposals, net			2		2		(7)%
				198		183		8%
	Operating income		$	8	$	2		>100%
HMS
Operating revenues
	Service revenues		$	111	$	119		(6)%
	Equipment and product sales			114		155		(26)%
				225		273		(18)%
Operating expenses
	Cost of services			83		82		1%
	Cost of equipment and products			95		128		(26)%
	Selling, general and administrative expenses			42		48		(13)%
	Expenses excluding depreciation, amortization and accretion			220		259		(15)%
	Depreciation, amortization and accretion			28		29		(4)%
	Loss on impairment of goodwill			35		–		N/M
				282		288		(2)%
	Operating loss		$	(57)	$	(14)		>(100)%
Intercompany revenues			$	(5)	$	(5)		(9)%
Intercompany expenses				(5)		(5)		(9)%
Total TDS Telecom operating income			$	63	$	67		(7)%
N/M – Percentage change not meaningful
Numbers may not foot due to rounding.

14

Telephone and Data Systems, Inc.
Financial Measures and Reconciliations
(Unaudited)
Free Cash Flow
		Three Months Ended December 31,				Year Ended December 31,
		2017		2016		2017		2016
(Dollars in millions)
Cash flows from operating activities (GAAP)		$	155	$	144	$	776	$	782
Less: Cash paid for additions to property, plant and equipment			287		209		685		636
	Free cash flow (Non-GAAP)(1)	$	(132)	$	(65)	$	91	$	146
(1)	Management uses Free cash flow as a liquidity measure and it is defined as Cash flows from operating activities less Cash paid for additions to property, plant and equipment.  Free cash flow is a non-GAAP financial measure which TDS believes may be useful to investors and other users of its financial information in evaluating liquidity, specifically, the amount of net cash generated by business operations after deducting Cash paid for additions to property, plant and equipment.

15

Non-GAAP Adjustments

The following non-GAAP financial measures present certain information in the table below excluding the effect of the goodwill impairment charge, enactment of H.R.1, originally referred to as the Tax Cuts and Jobs Act(the Tax Act) and other related tax effectsand noncontrolling interests impacts.  The goodwill impairment charge, which occurred in the third quarter of 2017, and the deferred tax benefit are being excluded in this presentation, as they cause current operations of TDS not to be comparable with prior periods.  TDS believes these measures may be useful to investors and other users of its financial information when comparing the current period financial results with periods that were not impacted by such items.

		Three Months Ended				Year Ended
		December 31,				December 31,
Year ended December 31,		2017		2016		2017		2016
(Dollars in millions, except per share amounts)
Net income (loss) available to TDS common shareholders (GAAP)		$	287	$	(5)	$	153	$	43
Adjustments:
	Loss on impairment of goodwill		–		–		262		–
	Tax benefit on impairment of goodwill(1)		–		–		(22)		–
	Noncontrolling interests impact (2)		–		–		(52)		–
	Subtotal of Non-GAAP goodwill adjustments		–		–		188		–
	Effect of the Tax Act		(327)		–		(327)		–
	Noncontrolling interests impact (2)		45		–		45		–
	Subtotal of Non-GAAP tax reform adjustments		(282)		–		(282)		–
Subtotal of Non-GAAP adjustments			(282)		–		(94)		–
Net income (loss) available to TDS common shareholders excluding adjustments (Non-GAAP)		$	6	$	(5)	$	59	$	43
Diluted earnings (loss) per share available to TDS common shareholders (GAAP)		$	2.54	$	(0.05)	$	1.37	$	0.39
Adjustments:
	Loss on impairment of goodwill		–		–		2.34		–
	Tax benefit on impairment of goodwill(1)		–		–		(0.20)		–
	Noncontrolling interests impact on goodwill impairment (2)		–		–		(0.46)		–
	Effect of the Tax Act		(2.91)		–		(2.92)		–
	Noncontrolling interests impact on tax reform (2)		0.42		–		0.40		–
Diluted earnings (loss) per share available to TDS common shareholders excluding adjustments (Non-GAAP)		$	0.05	$	(0.05)	$	0.53	$	0.39
Note:  Totals may not foot due to rounding differences.
(1)	Tax benefit represents the amount associated with the tax-amortizable portion of the loss on goodwill impairment.
(2)	Noncontrolling interests, net of tax, includes noncontrolling public shareholders' share in U.S. Cellular for similar adjustments recorded on U.S. Cellular's consolidated financial statements.

16

Postpaid ABPU and Postpaid ABPA

U.S. Cellular presents Postpaid ABPU and Postpaid ABPA to reflect the revenue shift from Service revenues to Equipment and product sales resulting from the increased adoption of equipment installment plans.  Postpaid ABPU and Postpaid ABPA, as previously defined herein, are non-GAAP financial measures which U.S. Cellular believes are useful to investors and other users of its financial information in showing trends in both service and equipment and product sales revenues received from customers.

For the Quarter Ended			12/31/2017		9/30/2017		6/30/2017		3/31/2017		12/31/2016
(Dollars and connection counts in millions)
Calculation of Postpaid ARPU
Postpaid service revenues		$	598	$	586	$	597	$	608	$	607
Average number of postpaid connections			4.52		4.50		4.47		4.46		4.48
Number of months in period			3		3		3		3		3
	Postpaid ARPU (GAAP metric)	$	44.12	$	43.41	$	44.60	$	45.42	$	45.19
Calculation of Postpaid ABPU
Postpaid service revenues		$	598	$	586	$	597	$	608	$	607
Equipment installment plan billings			170		152		142		139		138
	Total billings to postpaid connections	$	768	$	738	$	739	$	747	$	745
Average number of postpaid connections			4.52		4.50		4.47		4.46		4.48
Number of months in period			3		3		3		3		3
	Postpaid ABPU (Non-GAAP metric)	$	56.69	$	54.71	$	55.19	$	55.82	$	55.43
Calculation of Postpaid ARPA
Postpaid service revenues		$	598	$	586	$	597	$	608	$	607
Average number of postpaid accounts			1.69		1.68		1.66		1.66		1.68
Number of months in period			3		3		3		3		3
	Postpaid ARPA (GAAP metric)	$	118.05	$	116.36	$	119.73	$	121.88	$	120.67
Calculation of Postpaid ABPA
Postpaid service revenues		$	598	$	586	$	597	$	608	$	607
Equipment installment plan billings			170		152		142		139		138
	Total billings to postpaid accounts	$	768	$	738	$	739	$	747	$	745
Average number of postpaid accounts			1.69		1.68		1.66		1.66		1.68
Number of months in period			3		3		3		3		3
	Postpaid ABPA (Non-GAAP metric)	$	151.68	$	146.65	$	148.15	$	149.78	$	148.02

17

EX-99.2

Exhibit 99.2

PRIVATE SECURITIES LITIGATION REFORMACT OF 1995

SAFE HARBOR CAUTIONARY STATEMENT

This Form8-K and/or press release attached to this Form8-K contain statements that are not based on historical facts and represent forward-looking statements, as this term is defined in the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, that address activities, events or developments that TDS intends, expects, projects, believes, estimates, plans or anticipates will or may occur in the future are forward-looking statements. The words “believes,” “anticipates,” “estimates,” “expects,” “plans,” “intends,” “projects” and similar expressions are intended to identify these forward-looking statements, but are not the exclusive means of identifying them. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, events or developments to be significantly different from any future results, events or developments expressed or implied by such forward-looking statements. Such risks, uncertainties and other factors include those set forth below, as more fully described under “Risk Factors” in the most recent filing of TDS’ Form10-K, as updated by any TDS Form10-Q filed subsequent to such Form10-K.Each of the following risks could have a material adverse effect on TDS’ business, financial condition or results of operations.  However, such factors are not necessarily all of the important factors that could cause actual results, performance or achievements to differ materially from those expressed in, or implied by, the forward-looking statements contained in this document. Other unknown or unpredictable factors also could have material adverse effects on future results, performance or achievements. TDS undertakes no obligation to update publicly any forward-looking statements whether as a result of new information, future events or otherwise. You should carefully consider the Risk Factors in the most recent filing of TDS’ Form10-K, as updated by any TDS Form10-Q filed subsequent to such Form10-K, the following factors and other information contained in, or incorporated by reference into, this Form8-K and/or press release attached to this Form8-K to understand the material risks relating to TDS’ business, financial condition or results of operations.

• Intense competition in the markets in which TDS operates could adversely affect TDS’ revenues or increase its costs to compete.
• A failure by TDS to successfully execute its business strategy (including planned acquisitions, spectrum acquisitions, divestitures and exchanges) or allocate resources or capital could have an adverse effect on TDS’ business, financial condition or results of operations.
• Uncertainty in TDS’ future cash flow and liquidity or in the ability to access capital, deterioration in the capital markets, other changes in TDS’ performance or market conditions, changes in TDS’ credit ratings or other factors could limit or restrict the availability of financing on terms and prices acceptable to TDS, which could require TDS to reduce its construction, development or acquisition programs, reduce the acquisition of spectrum licenses, and/or reduce or cease share repurchases and/or the payment of dividends.
• TDS has a significant amount of indebtedness which could adversely affect its financial performance and in turn adversely affect its ability to make payments on its indebtedness, comply with terms of debt covenants and incur additional debt.
• Changes in roaming practices or other factors could cause TDS’ roaming revenues to decline from current levels, roaming expenses to increase from current levels and/or impact TDS’ ability to service its customers in geographic areas where TDS does not have its own network, which could have an adverse effect on TDS’ business, financial condition or results of operations.
• A failure by TDS to obtain access to adequate radio spectrum to meet current or anticipated future needs and/or to accurately predict future needs for radio spectrum could have an adverse effect on TDS’ business, financial condition or results of operations.
• To the extent conducted by the FCC, TDS may participate in FCC auctions for additional spectrum or for funding in certain Universal Service programs in the future directly or indirectly and, during certain periods, will be subject to the FCC’s anti-collusion rules, which could have an adverse effect on TDS.
• Failure by TDS to timely or fully comply with any existing applicable legislative and/or regulatory requirements or changes thereto could adversely affect TDS’ business, financial condition or results of operations.
• An inability to attract people of outstanding potential, to develop their potential through education and assignments, and to retain them by keeping them engaged, challenged and properly rewarded could have an adverse effect on TDS' business, financial condition or results of operations.
• TDS’ assets and revenue are concentrated primarily in the U.S. telecommunications industry.  Consequently, its operating results may fluctuate based on factors related primarily to conditions in this industry.
• TDS’ smaller scale relative to larger competitors that may have greater financial and other resources than TDS could cause TDS to be unable to compete successfully, which could adversely affect its business, financial condition or results of operations.

• Changes in various business factors, including changes in demand, customer preferences and perceptions, price competition, churn from customer switching activity and other factors, could have an adverse effect on TDS’ business, financial condition or results of operations.
• Advances or changes in technology could render certain technologies used by TDS obsolete, could put TDS at a competitive disadvantage, could reduce TDS’ revenues or could increase its costs of doing business.
• Complexities associated with deploying new technologies present substantial risk and TDS’ investments in unproven technologies may not produce the benefits that TDS expects.
• TDS receives regulatory support and is subject to numerous surcharges and fees from federal, state and local governments, and the applicability and the amount of the support and fees are subject to great uncertainty, which could have an adverse effect on TDS’ business, financial condition or results of operations.
• Performance under device purchase agreements could have a material adverse impact on TDS' business, financial condition or results of operations.
• Changes in TDS’ enterprise value, changes in the market supply or demand for wireless licenses, wireline or cable markets or IT service providers, adverse developments in the businesses or the industries in which TDS is involved and/or other factors could require TDS to recognize impairments in the carrying value of its licenses, goodwill, franchise rights and/or physical assets or require re-evaluation of the indefinite-lived nature of such assets.
• Costs, integration problems or other factors associated with acquisitions, divestitures or exchanges of properties or licenses and/or expansion of TDS’ businesses could have an adverse effect on TDS’ business, financial condition or results of operations.
• A failure by TDS to complete significant network construction and systems implementation activities as part of its plans to improve the quality, coverage, capabilities and capacity of its network, support and other systems and infrastructure could have an adverse effect on its operations.
• Difficulties involving third parties with which TDS does business, including changes in TDS’ relationships with or financial or operational difficulties of key suppliers or independent agents and third party national retailers who market TDS’ services, could adversely affect TDS’ business, financial condition or results of operations.
• TDS has significant investments in entities that it does not control.  Losses in the value of such investments could have an adverse effect on TDS’ financial condition or results of operations.
• A failure by TDS to maintain flexible and capable telecommunication networks or information technology, or a material disruption thereof, could have an adverse effect on TDS’ business, financial condition or results of operations.
• TDS has experienced and, in the future, expects to experience cyber-attacks or other breaches of network or information technology security of varying degrees on a regular basis, which could have an adverse effect on TDS' business, financial condition or results of operations.
• The market price of TDS’ Common Shares is subject to fluctuations due to a variety of factors.
• Changes in facts or circumstances, including new or additional information, could require TDS to record charges relating to adjustments of amounts reflected in the financial statements, which could have an adverse effect on TDS’ business, financial condition or results of operations.
• Disruption in credit or other financial markets, a deterioration of U.S. or global economic conditions or other events could, among other things, impede TDS’ access to or increase the cost of financing its operating and investment activities and/or result in reduced revenues and lower operating income and cash flows, which would have an adverse effect on TDS’ business, financial condition or results of operations.
• Settlements, judgments, restraints on its current or future manner of doing business and/or legal costs resulting from pending and future litigation could have an adverse effect on TDS’ business, financial condition or results of operations.
• The possible development of adverse precedent in litigation or conclusions in professional studies to the effect that radio frequency emissions from wireless devices and/or cell sites cause harmful health consequences, including cancer or tumors, or may interfere with various electronic medical devices such as pacemakers, could have an adverse effect on TDS’ wireless business, financial condition or results of operations.

• Claims of infringement of intellectual property and proprietary rights of others, primarily involving patent infringement claims, could prevent TDS from using necessary technology to provide products or services or subject TDS to expensive intellectual property litigation or monetary penalties, which could have an adverse effect on TDS’ business, financial condition or results of operations.
• Certain matters, such as control by the TDS Voting Trust and provisions in the TDS Restated Certificate of Incorporation, may serve to discourage or make more difficult a change in control of TDS.
• Any of the foregoing events or other events could cause revenues, earnings, capital expenditures and/or any other financial or statistical information to vary from TDS’ forward-looking estimates by a material amount.