1. 1 LEROY T. CARLSON, JR. President and Chief Executive Officer Telephone and Data Systems, Inc. Raymond James 25 th 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. 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 U.S. Cellular Dec. 31, 2003

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

8. 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 U.S. Cellular Strategy

9. 2003 Financial Highlights U.S. Cellular – Dec. 31, 2003 20032002 Service revenues $ 2.42 B$2.10 B +16% Operating income$ 166.6 M$281.2 M -41% EBITDA$ 646.8 M$632.3 M + 2% Net adds 447,000310,000 4 Q ‘034 Q ‘02 Churn - postpay 1.4% 1.8% Retail ARPU $39.68$38.69 MOU 462 359 Cell sites 4,184 3,914

10. 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 Recent Accomplishments

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. 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 USM & AWE Property Exchange

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

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

18. CDMA 1X Initiative Ahead of schedule and below planned cost 3 years to complete (2002 - 2004) Total cost to build CDMA... $385 - $410 M ≈ $265 M spent in 2002 - 2003 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. 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 TDS Telecom - ILEC

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

28. 2003 Financial Highlights TDS Telecom – Dec. 31, 2003 (millions) ILEC20032002 Revenues$652.8$626.8 + 4% Operating Income 174.9 167.9 + 4% CLEC Revenues$213.5$176.6 + 21% Operating (loss) (26.0) (62.7) +59% Access Line Equivalents (thousands) ILEC722.2711.2 + 2% CLEC364.8291.4 +25%

29. 2004 Outlook - TDS Telecom ILEC  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. Grow revenues  market growth (10 - 15% annually) Return on capital  WACC Valuation/shareholder returns  comparable companies Maintain strong investment-grade rating TDS Financial Objectives

31. Debt Ratings... Investment Grade! * TDSUSM Moody’s Investment ServiceBaa1Baa1 Standard & Poor’s A-A- FitchA-A- TDS debt/equity at 12/31/0335.8% USM debt/equity at 12/31/0327.9% * Our debt ratings are several levels above non-investment grade

32. Stock Repurchase 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

33. 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.31, 2003 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. 35 LEROY T. CARLSON, JR. President and Chief Executive Officer Telephone and Data Systems, Inc. Raymond James 25 th Annual Institutional Conference March 3, 2004