John E. Rooney

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• John E. Rooney
• President and CEO, U.S. Cellular
• LeRoy T. Carlson, Jr.
• President and CEO, TDS
• Smith Barney Citigroup 15th Annual Entertainment,
  Media Telecommunications Conference
• January 10, 2005

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Safe Harbor
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 companys
plans, beliefs, estimates and expectations. These
statements are based on current estimates and
projections, 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 changes in
circumstances or events that may affect the
ability of USM to start up the operations of the
licensed areas involved in the ATT Wireless
transaction completed in August 2003 the
ability of U.S. Cellular to successfully manage
and grow the operations of the Chicago MTA and
newly launched markets changes in the overall
economy changes in competition in the markets in
which TDS and U.S. Cellular operate advances in
telecommunications technology, including Voice
over Internet Protocol the impact of local
number portability changes to access and pricing
of unbundled network elements changes in the
telecommunications regulatory environment
changes in the value of investments, including
variable prepaid forward contracts changes in
the capital markets that could adversely impact
the availability, cost and terms of financing an
adverse change in the ratings afforded TDS and
U.S. Cellular debt securities by nationally
accredited ratings organizations pending and
future litigation acquisitions/divestitures of
properties and/or licenses and changes in
customer growth rates, average monthly service
revenue per unit, churn rates, roaming rates and
the mix of products and services offered in TDS
and U.S. Cellular markets. Investors are
encouraged to consider these and other risks and
uncertainties that are discussed in documents
filed by TDS and USM with the Securities and
Exchange Commission.
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U.S. Cellularas of 9/30/04

• 7th largest wireless service provider 2nd
  largest regional carrier
• Total population - 45.6 million
• 4.8 million customers
• 10.6 market penetration
• Focused on exceptional customer experience
• Admirably low churn rate
• Pervasive distribution 2,300 points of
  presence
• Extensive network ... 4,713 cell sites
• Well positioned in our markets

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Postpay Churn lt 2Six-year track record and
still strong
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U.S. Cellular Strategy

• Positioned as a regional carrier
• Differentiate with exceptional customer service
• Network quality
• Broad distribution
• Dedicated people
• Deploy CDMA 1X technology in all markets
• Strategically strengthen regional footprint

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Strengthening the Footprint

• Sold Daytona Beach to MetroPCS Dec. 2004
• Sold two small markets and investment interests
  to ALLTEL Dec. 2004
• Sold South Texas markets to ATT Wireless Feb.
  2004
• Exchanged wireless properties with ATT Wireless
  Aug. 2003
• Acquired Chicago market Aug. 2002

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Chicago Update

• Brand awareness up substantially
• Market share up year-over-year
• Top-notch network
• Increased distribution points
• Rated top carrier for service quality

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AWE Property Exchange Improved competitive
position in Midwest and Northeast markets

• Announced March 2003, closed Aug. 2003
• Excellent fit with USMs strategy
• Strengthen regional footprint through
  acquisitions or trades
• Build on strengths and exit other markets
• Have built out and launched 3 marketsOklahoma
  City Lincoln, NE and Portland, ME
• Expect to launch Missouri markets in late 2005

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Divestitures Exited markets not strategic to
companys long-term success

• South Texas to AWE - Feb. 2004 97 M
• 25 MHz licenses 1.3 M pops, 150 cell sites and
  76,000 customers
• High prepaid mix and heavy roaming market
• Alltel sale - Dec. 2004 81 M
• Two 25 MHz operating markets in FL and OH
• Seven small investment interests in Ohio, N.C.,
  Miss., Wis. 268,000 pops
• Daytona Beach to MetroPCS - Dec. 04 8.5 M
• 20 MHz Block C license

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CDMA 1X Initiative

• Improved voice capacity and coverage
  cost-effective use of wireless spectrum
• Enables offering of high-speed data products
• Recently completed the 3-year project
• Ahead of schedule, below planned cost
• Total cost to build CDMA ... 300 million

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Data easyedgeSM

• easyedgeSM Download Applications (BREWTM)
• Applications games news traffic calendar
• Launched nwebSM Nov. 17 enables Internet access
• easyedgeSM Picture Messaging (MMS)
• Take, send or receive photos
• easyedgeSM Wireless Modem Service
• Wireless Internet access for laptops e-mail
  calendar
• Available in select areas to business customers

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Financing Activities

• Over the last 12 months, we have
• Redeemed
• 163.3 M of LYONS
• 250 M of 7.25 notes due 2007
• Sold
• 330 M 30-year 7.5 notes
• 544 M 30-year 6.7 notes in two tranches
• Amended existing 325 million revolver and
  increased to 700 M through December 2009

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USM Excellent Prospects

• Proven Strategy
• Financially Strong
• Extensive network
• Terrific people dynamic organization
• Positive momentum

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• LEROY T. CARLSON, JR.

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TDS

• Diversified telecommunication company with nearly
  6 million customers in 36 states
• U.S. Cellular (82 owned) - wireless
• TDS Telecom (100 owned) wireline
• ILEC and CLEC operations
• Fortune 500 company
• Strong balance sheet
• Investment grade

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TDS Telecom - ILEC

• 7th largest independent U.S. telco
• Rural company status
• 725,500 access line equivalents in 28 states
• 104,800 Internet (dial-up) accounts
• 33,000 DSL mostly residential
• 289,000 long distance lines
• Vertical services

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TDS Telecom - CLEC

• Principally a facilities-based company in five
  states 87 on-switch
• 412,500 access line equivalents
• Targeted selling to business and
  communications-intensive residential
• Deep penetration in chosen markets
• Provisions principally with one RBOC (SBC)

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TDS Telecoms Overall StrategyRepositioning into
a Broadband Communications Company

• Provide outstanding customer service
• Protect and grow current markets
• Develop and market new products and
  services, with strong focus on data and
  triple-play

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Strategic Areas of Focus

• Market Development
• Market Fortification
• Public Policy Advocacy
• Process Productivity Improvement

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Market Development

• Grow in clusters through potential combination
  of
• Acquisitions
• Build-out variations
• New technologies
• Trialing
• Fiber to the Premise (FTTP)
• Voice Over IP (VOIP)
• Wireless data

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Market Fortification

• Proactively address substitution technologies
  by
• Developing new products and services
• Enhancing existing services increasing market
  share, penetration and profitability,
  particularly of high-speed data services
• Growing the CLEC within its existing markets

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DSL Facts - ILEC

• 78 markets, 33,000 customers, fast growth
• DSL lines up 71 YOY Q3 2004
• Primarily consumer based
• Product bundles
• DISH satellite / DSL long distance / DSL, etc.
• DSL modems Wi-Fi enabled

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Public Policy Advocacy

• Champion TDSs position to ensure favorable
  regulatory treatment
• Telecom regulatory environment complex and
  convoluted
• Several key issues currently under review
• Universal Service Fund
• Inter-carrier compensation

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Productivity Improvement

• Create efficiencies by optimizing cross-
  functional processes
• Leveraging management and process infrastructures
  to jointly support ILEC and CLEC operations
• Pursuing cost-effective initiatives, such as
  innovative online purchasing system

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TDS - Financial Strategies

• Ultimate goal generate profitable growth and
  build shareholder value
• Four financial objectives toward that goal
• 10-15 compound annual revenue growth rate over
  five years
• Return cost of capital in each business
• Generate shareholder returns gt comparable
  companies
• Target A- investment-grade credit rating

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TDS Excellent Prospects

• Full-service provider with strong, established
  wireless and wireline operations
• Strong business units
• Well positioned in existing markets
• Proven business strategies focused on
  
  
  customer satisfaction, network quality
  and competitive product offerings.
• Experienced management teams
• Financially strong
• Dedicated workforce of 11,200 people