CHICAGO, June 3, 2024 /PRNewswire/ -- Telephone and Data Systems, Inc. (NYSE: TDS), today announced the entry into a definitive agreement to sell its wholly owned subsidiaries OneNeck IT Solutions LLC and OneNeck Data Center Holdings LLC (together, "OneNeck") to US Signal Company, LLC. The transaction is subject to the satisfaction of customary closing conditions and is expected to close in the third quarter of 2024. No terms were disclosed. US Signal is acquiring all of the OneNeck operations, including it ...

Core Viewpoint - TDS has reached a definitive agreement to sell UScellular's wireless operations and approximately 30% of its spectrum assets to T-Mobile for $4.4 billion, which includes cash and assumed debt, aiming to enhance service and shareholder value while positioning UScellular for future growth [1][2]. Transaction Details - The sale includes UScellular's wireless operations and select spectrum assets for a total of $4.4 billion, with T-Mobile expected to become a long-term tenant on at least 2,015 additional towers owned by UScellular [2][4]. - UScellular retains approximately 70% of its total spectrum assets, which provides opportunities for future monetization [2]. - The transaction is anticipated to close in mid-2025, pending regulatory approvals and customary closing conditions [4]. Financial Implications - TDS will receive proceeds from the sale in proportion to its ownership of UScellular, which may be used for fiber expansion, reducing leverage, and potentially returning capital to shareholders [3]. - TDS has declared dividends for the second quarter of 2024 at approximately 20% of the previous level for its Common Shares and Series A shares, allowing for additional capital allocation towards growth initiatives [8]. Strategic Focus - TDS remains committed to expanding its fiber footprint and improving profitability, particularly in small and mid-sized suburban and rural communities across the United States [4]. - The transaction is seen as a strategic move to integrate UScellular's operations with T-Mobile to achieve necessary scale and investment for continued customer service delivery [2].

Telephone and Data Systems, Inc. (NYSE:TDS) Q1 2024 Earnings Conference Call May 3, 2024 10:00 AM ET Company Participants Colleen Thompson - Vice President, Corporate Relations Vicki Villacrez - Executive Vice President & Chief Financial Officer LT Therivel - President & Chief Executive Officer, UScellular Doug Chambers - Executive Vice President, Chief Financial Officer & Treasurer Michelle Brukwicki - Senior Vice President of Finance & Chief Financial Officer, TDS Telecom Conference Call Participants Ric ...

Safe Harbor Statement Under the Private Securities Litigation Corporate Update • Improved profitability 3 • Fixed wireless connections grew 42% • Continued mid-band deployment Gross Additions (in thousands) 87 96 106 114 124 1Q'23 2Q'23 3Q'23 4Q'23 1Q'24 Churn 1.06% 1.01% 1.11% 1.22% 1.03% 1.27%1.21% 1.30% 1.44% 1.22% Handsets Total Postpaid Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Net Additions (in thousands) scellula *uscellular. All information set forth in this presentation about Telephone and Data Systems, Inc., ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-14157 TELEPHONE AND DATA SYSTEMS, INC. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of in ...

Financial Performance - TDS reported total operating revenues of $1,262 million for Q1 2024, a decrease of 3.2% from $1,303 million in Q1 2023[3] - Net income attributable to TDS common shareholders was $12 million, compared to a net loss of $(9) million in the same period last year, resulting in diluted earnings per share of $0.10[3] - Net income attributable to TDS shareholders increased to $29 million in Q1 2024, compared to $8 million in Q1 2023[29] - Net income for the three months ended March 31, 2024, increased to $38 million, compared to $12 million in the same period of 2023, representing a 216.67% increase[32] - Total operating revenues for the three months ended March 31, 2024, were $266 million, up 5% from $253 million in the same period of 2023[40] - Free cash flow for TDS consolidated was $(20) million for the three months ended March 31, 2024, an improvement from $(293) million in the same period of 2023[42] - Cash flows from operating activities for TDS consolidated increased to $224 million in Q1 2024, compared to $46 million in Q1 2023[42] - The overall financial performance indicates strong growth and improved profitability metrics year-over-year[45] Revenue and Growth Metrics - UScellular's service revenues decreased by 2%, while postpaid ARPU grew by 3%[8] - Operating revenues for TDS Telecom grew by 5%, with residential revenues increasing by 10% year-over-year[8] - Total operating revenues for UScellular decreased by 4% to $950 million in Q1 2024 compared to $986 million in Q1 2023[29] - TDS Telecom's operating revenues increased by 5% to $266 million in Q1 2024, compared to $253 million in Q1 2023[29] - The company reported a 71% increase in expansion residential revenues, rising to $26 million in Q1 2024 from $15 million in Q1 2023[40] Customer Metrics - UScellular reported a total of 4,051,000 postpaid connections at the end of Q1 2024, a decrease of 1.3% from 4,106,000 in Q4 2023[22] - The average revenue per user (ARPU) for postpaid increased to $51.96 in Q1 2024, up from $51.61 in Q4 2023, reflecting a growth of 0.68%[22] - Total residential broadband connections increased by 8,100 during Q1 2024, reaching 547,900[26] - The churn rate for postpaid connections improved to 1.22% in Q1 2024, down from 1.44% in Q4 2023[22] - UScellular's postpaid churn rate was reduced by 4%, and fixed wireless customers increased by 42% to 124,000[8] Capital Expenditures and Investments - Adjusted EBITDA for UScellular is estimated to be between $920 million and $1,020 million for 2024, with capital expenditures projected at $550 million to $650 million[11] - TDS Telecom deployed an additional 28,000 marketable fiber service addresses in Q1 2024 and is on track to deliver 125,000 new addresses by the end of 2024[8] - Long-term debt, net, increased to $4,164 million as of March 31, 2024, compared to $4,080 million as of December 31, 2023[36] - Capital expenditures for UScellular were $131 million in Q1 2024, a decrease from $148 million in Q4 2023[22] Operational Improvements - Operating income for TDS Telecom for the three months ended March 31, 2024, was $27 million, compared to $8 million in the same period of 2023, indicating significant operational improvement[40] - Adjusted EBITDA (Non-GAAP) rose to $95 million in Q1 2024, up from $69 million in Q1 2023, reflecting a 37.68% increase[45] - Operating income (GAAP) improved to $27 million in Q1 2024 compared to $8 million in Q1 2023, marking a 237.5% increase[45] - The company reported an adjusted OIBDA (Non-GAAP) of $93 million in Q1 2024, up from $68 million in Q1 2023, a growth of 36.76%[45] Strategic Initiatives - TDS is actively exploring strategic alternatives for UScellular, with the review process ongoing[8]

*uscellular. 2This presentation contains certain non-GAAP financial measures. Information about these non-GAAP financial measures and reconciliations between each non-GAAP financial measure and the most directly comparable GAAP measure are contained in the appendix to this presentation. Supporting our business units as they make key investments *uscellular. Cost optimization program remains strong; Adjusted EBITDA grew 3% Network modernization completed; focusing on multi-year mid-band deployment going forw ...

Telephone and Data Systems, Inc. (NYSE:TDS) Q4 2023 Earnings Conference Call February 16, 2024 10:00 AM ET Company Participants Colleen Thompson - VP, Corporate Relations Vicki Villacrez - EVP & CFO Laurent Therivel - President, CEO & Director Douglas Chambers - EVP, CFO and Treasurer Michelle Brukwicki - CFO, TDS Telecommunications LLC Conference Call Participants Richard Prentiss - Raymond James Simon Flannery - Morgan Stanley Michael Rollins - Citigroup Sergey Dluzhevskiy - GAMCO Investors Operator Good ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-14157 TELEPHONE AND DATA SYSTEMS, INC. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorpo ...

Financial Data and Key Metrics Changes - Total operating revenues for the third quarter decreased by 11% due to lower equipment sales and service revenue, which declined by 2% [31][3][19] - Adjusted operating income increased by 35%, while adjusted EBITDA rose by 28% [7][19] - Free cash flow was reported at $237 million for the nine months ended September 30, 2023, with expectations for positive free cash flow for the full year [8][19] Business Line Data and Key Metrics Changes - Postpaid ARPU increased by 2%, with 46% of postpaid handset customers now on higher-tier plans, up from 38% a year ago [1][17] - Fixed wireless revenues grew by 35%, with a customer base of 106,000, primarily utilizing low-band spectrum [24] - Tower business revenue grew by 8%, with a tenancy ratio of 1.54, up from 1.46 two years ago [2][23] Market Data and Key Metrics Changes - Inbound roaming revenue declined by 53%, largely offset by a corresponding decrease in outbound roaming expenses [31][32] - The competitive landscape has intensified, with cable companies now competing in 60% of the company's footprint, impacting ARPU and margins [20][21][81] Company Strategy and Development Direction - The company aims to balance subscriber growth with financial discipline, focusing on cost efficiencies and targeted promotional spending [58][19] - A multi-year strategy is in place for fiber expansion, with a goal of reaching 1.2 million marketable fiber service addresses by 2026 [138] - The company plans to slow capital expenditures in 2024 while prioritizing spending to enhance broadband penetration and revenues [15][102] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term growth potential in the tower business, despite near-term slowdowns due to reduced capital expenditures in the wireless industry [23][111] - The competitive environment is described as fiercely competitive, with significant pressure from cable companies affecting pricing and promotional strategies [20][21] - Management remains focused on improving customer trajectory and addressing churn dynamics as a key opportunity for growth [58][86] Other Important Information - The company expects to realize annual run-rate savings of approximately $30 million related to the shutdown of the CDMA network starting in 2025 [4][27] - The E-ACAM program is anticipated to provide $1.3 billion in revenue support over the next 15 years, aiding in the delivery of higher-speed broadband [137] Q&A Session Summary Question: What is the impact of T-Mobile and Sprint churn on tower leasing revenue? - Management believes they are through most of the churn related to the T-Mobile and Sprint merger, with minimal additional terminations expected [46] Question: Can you provide insights on the fixed wireless addressable market? - Management indicated that the addressable market for fixed wireless is significant, with ongoing efforts to expand coverage and improve service offerings [69] Question: What is the strategy for the tower business moving forward? - The company plans to support increased demand through a denser grid, which is expected to benefit the tower business in the long run [110] Question: How is the company addressing competitive pressures in the ILEC markets? - The company is focusing on fiber builds and leveraging the E-ACAM program to defend against competition in ILEC markets [144] Question: What are the expectations for capital expenditures in the coming year? - Management expects capital expenditures to be lower in 2024 compared to 2022 and 2023, prioritizing spending based on market dynamics [102][124]