1. LEROY T. CARLSON, JR. President and Chief Executive Officer
Telephone and Data Systems, Inc.
Raymond James 25th Annual Institutional Conference
March 3, 2004

2. 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 company’s 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 AWE transaction completed in August 2003; the ability of USM to successfully manage and grow the operations of the Chicago MTA; changes in the overall economy; changes in competition in the markets in which TDS and USM operate; advances in telecommunications technology; changes brought about by the implementation of local number portability; 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 USM debt securities by nationally accredited ratings organizations; pending and future litigation; acquisitions/divestitures of properties and/or licenses; changes in customer growth rates, average service revenue per unit, churn rates, roaming rates and the mix of products and services offered in TDS and USM markets. Investors are encouraged to consider these and other risks and uncertainties that are discussed in documents filed by TDS with the SEC.

3. TDS Wireless – U.S. Cellular (82% owned)
Wireline – TDS Telecom (ILEC and CLEC)
TDS serves 5.5 million customers
Strong balance sheet
Investment grade

5. U.S. Cellular Dec. 31, 2003 Eighth largest wireless service provider
Total licensed pops … 46.3 million
Serves 4.4 million customers … 86% digital
Focused on exceptional customer service
97% of customers postpay
Extensive network ... 4,200 cell sites
Broad distribution … 2,300 distribution points
Admirably low churn rate
Well positioned given Chicago market & AWE exchange and sale

6. Post Pay Churn <2% 6 year track record

8. 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
~6% customers digital as of ‘Q2, 2002

9. 2003 Financial Highlights U.S. Cellular – Dec. 31, 2003
Service revenues $ 2.42 B $2.10 B % Operating income $ M $281.2 M -41%
EBITDA $ M $632.3 M + 2%
Net adds , ,000
4 Q ‘03 4 Q ‘02
Churn - postpay % %
Retail ARPU $39.68 $38.69
MOU
Cell sites , ,914

10. Recent Accomplishments
Completed sale of South Texas to AWE
Early repayment of $105 M intercompany loan
$444 M senior notes offering / credit facility
Conversion of billing system in Chicago
Integration of data billing platform
Rollout of data product
CDMA 1X overlays in Oklahoma & Missouri
Exchange of properties with AWE
~6% customers digital as of ‘Q2, 2002

11. Strengthening the Footprint
Sale of South Texas markets to AT&T Wireless – Feb. 2004
Exchange of wireless properties with AT&T Wireless – Aug. 2003
Acquisition of Chicago market – Aug. 2002

12. South Texas Sale to AWE Closed Feb 17, 2004
Sold 25 MHz licenses in south Texas representing 1.3 M pops, 150 cell sites and 74,000 customers
Example of strategy to exit those markets not strategic to company’s long-term success
High prepaid mix and heavy roaming market
Received $98 M in cash to be used to pay down debt and other corporate working purposes

14. USM & AWE Property Exchange
Announced March 2003
First tranche closed August 2003
Excellent fit with USM’s strategy:
To strengthen its regional footprint through
acquisitions or trades
To build on strengths and exit other markets
Opportunity to substantially improve competitive position in Midwest and Northeast markets

16. Chicago Update Rapid increases in awareness
Market share up year-over-year
Enhancing network
Heavy focus on employee training
Increasing distribution points

17. easyedgeSM Phone Service - BREWTM technology; ring tones, games, entertainment; picture transfer; breaking news
easyedgeSM Wireless Modem Service - Internet access for laptop or PDA; , calendars, information services and corporate resources

18. CDMA 1X Initiative ≈ $265 M spent in 2002 - 2003
Ahead of schedule and below planned cost
3 years to complete ( )
Total cost to build CDMA ... $385 - $410 M
≈ $265 M spent in
Midwest and New England markets are now CDMA 1X
Redeploying TDMA equipment

19. WNP Update Well prepared for WNP:
Aggressive retention programs in place in core markets
Aggressive acquisition programs in newer markets
Business as usual … satisfied customers
More port-ins than port-outs since Nov. 24

20. USM 2004 Outlook Service revenues … ≈ $2.5 B
Net additions … 325,000 to 350,000
Dep, amort & accretion … $470 to $490 M
Operating Income … $210 to $250 M
CAPX … $610 to $630 M
All in churn … ≈ 2%

22. TDS Telecom - ILEC 7th largest independent U.S. telco
Rural company status
116 ILEC service locations
722,200 access line equivalents
112,900 ISP accounts; 23,600 DSL
230,500 LD (resale) customers
Vertical services

24. CLEC Operations
Principally a facilities-based company in five states …85% on-switch
365,000 access line equivalents
Targeted selling
Small and medium businesses … 63%
“Communication-intensive” residential …37%
Focus on one RBOC for provisioning

25. Strategic Initiatives
Market Development
Grow through a combination of
acquisition, build-out variations and new
technologies in CLUSTERS
Market Fortification
Proactively address wireless substitution
Increase market share, penetration
and profitability of our high-speed data product line
Develop new products and services
Grow CLEC within its existing markets

26. Strategic Initiatives (cont.)
Public Policy Advocacy
Champion TDS’s position to ensure
favorable regulatory treatment
Process & Productivity Improvement
Create efficiencies by optimizing cross-
functional processes

27. New Initiatives Bundling DISH Network
TDS Accelerator … better Internet
download performance

28. 2003 Financial Highlights TDS Telecom – Dec. 31, 2003
(millions)
ILEC
Revenues $652.8 $ %
Operating Income %
CLEC
Revenues $213.5 $ %
Operating (loss) (26.0) (62.7) %
Access Line Equivalents (thousands)
ILEC %
CLEC %

29. 2004 Outlook - TDS Telecom ILEC CLEC
Operating revenues … $640 to $650 M
Dep, amort & accretion … $135 M
Operating income … $170 to $180 M
CAPX … ≈ $105 M
CLEC
Operating revenues … $250 to $260 M
Dep, amort & accretion … $40 M
Operating income (loss) … $(30) to $(20) M
CAPX … ≈ $45 M

30. TDS Financial Objectives
Grow revenues  market growth ( % annually)
Return on capital  WACC
Valuation/shareholder returns  comparable companies
Maintain strong investment-grade rating

31. Debt Ratings... Investment Grade! *
TDS USM
Moody’s Investment Service Baa1 Baa1
Standard & Poor’s A- A-
Fitch A- A-
TDS debt/equity at 12/31/ %
USM debt/equity at 12/31/ %
* Our debt ratings are several levels above non-investment grade

32. Stock Repurchase Continue, given market conditions
3 million share authorization previously in place
At Dec 31, 2003: repurchased 1,960,900 shares
avg price of $47.10; total of $92.4 M
Continue, given market conditions
Stopped purchasing April 23 but don’t want to reference that. Be sure to say only to date

33. TDS: Excellent Prospects U. S
TDS: Excellent Prospects U.S. Cellular & TDS Telecom are strong companies
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
Dedicated workforce of 10,900 people
Financially strong

34. Reconciliation of Additional Disclosures For the full year ended Dec
The Operating Cash Flow amounts in the tables presented above are not determined in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). Management uses Operating Cash Flow to evaluate the operating performance of its business, and it is a measure of performance used by some investors, security analysts and others to make informed investment decisions. Operating Cash Flow is used as an analytical indicator of income generated to service debt and fund capital expenditures. In addition, multiples of current or projected Operating Cash Flow are used to estimate current or prospective enterprise value. Operating Cash Flow does not give effect to cash used for debt service requirements, and thus does not reflect funds available for investment or other discretionary uses. Operating Cash Flow as presented herein may not be comparable to similarly titled measures reported by other companies.

35. LEROY T. CARLSON, JR. President and Chief Executive Officer
Telephone and Data Systems, Inc.
Raymond James 25th Annual Institutional Conference
March 3, 2004