Sandra L. Helton Executive Vice President and Chief Financial Officer William Blair & Company 22nd Annual Growth Stock Conference June 26, 2002.

Sandra L. Helton

Executive Vice President and Chief Financial Officer

William Blair & Company

22nd Annual Growth Stock Conference

June 26, 2002

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Safe HarborAll 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 acquire or, if it acquires, to integrate the operations of the Chicago MTA; changes in the overall economy; changes in competition in the markets in which TDS operates; advances in telecommunications technology; changes in the telecommunications regulatory environment; changes in the value of investments; changes in the capital markets that could restrict the availability of financing; pending and future litigation; acquisitions/divestitures of properties and/or licenses; changes in customer growth rates, penetration rates, churn rates, roaming rates and the mix of products and services offered in TDS’s markets. Investors are encouraged to consider these and other risks and uncertainties that are discussed in documents filed by TDS with the SEC.

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TDS MilestonesKey Dates

1969 - Wireline

1983 - Cellular

1995 - PCS

1998, June - TDS Metrocom

5/4/00 - Aerial merger with VoiceStream

2000, Nov. - Chorus merger announced

2001, Jan. - Black Crow successful bidder

2001, May - McLeodUSA PCS acquisition announced

Key Dates

5/31/01 - VSTR converts into 131.5 M DTE and $570 M pretax

9/4/01 - Chorus merger closes

2/14/02 - TDS announces agreement to acquire Telecommunication Systems of New Hampshire

5/10/02 - USM agrees to purchase Chicago MTA from PrimeCo Wireless

5/31/02 - MCT closes

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2002 - Who We Are

•TDS is a diversified telecommunications company headquartered in Chicago, IL, with wireless and telephone operations. TDS is #42 in the S&P 400 Mid-Cap Index. TDS is a member of the Russell 1000 and Russell 3000 Indexes. TDS provides high-quality telecommunications service to over 4.4 million customers in 34 states. TDS employs approximately 9,300.

•U.S. Cellular Corporation operates and invests in wireless systems throughout the United States. U.S. Cellular is the nation’s eighth largest wireless telephone company in terms of customers. It is headquartered in Chicago, IL. TDS owns 82.2% of U.S. Cellular.

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2002 - Who We Are continued

•TDS Telecom is TDS’s wholly-owned wireline subsidiary. It services 681,000 access line equivalents, nearly 115,000 ISP accounts and over 143,000 LD customers in 28 states through 110 sales and service offices serving over 900 communities.

•TDS Metrocom, a fast growing CLEC subsidiary of TDS Telecom, has 164,000 access line equivalents.

•The company’s website is www.teldta.com.

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•Proven track record of:

Creating businesses and optimizing operating performance

Increasing value through acquisitions, trades, divestitures and investments

Dedicated management teams focusing on specific business strategy and execution

TDS Overview

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TDS Corporate Strategy

• Provide outstanding telecommunications services to our customers and create value for our shareholders.

• Maintain balance sheet strength and investment grade rating.

• Be the preferred employer where we operate by offering a dynamic work environment for personal and professional growth.

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*w/o gains... w/o Aerial

Excellent Results - 12/31/01

• Financial Operating Performance - Five Year CAGR*

Revenues 17.12 %

EBITDA 18.01 %

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Five Year Track RecordYear Ended December 31

$0

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

1995 1996 1997 1998 1999 2000 2001

Operating Revenues*

*Dollars in Thousands

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Five Year Track RecordYear Ended December 31

$0

$100,000

$200,000$300,000

$400,000

$500,000

$600,000

$700,000

$800,000$900,000

1995 1996 1997 1998 1999 2000 2001

Operating Cash Flow*

*Dollars in Thousands

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TDS Q1 2002 Operating ResultsOperating Revenues (000)(000)

USM $478,420 + 8.8%Telecom $186,777 +16.3%

$665,197 +10.8%

Operating Cash FlowUSM $151,598 +16.8%Telecom $ 64,839 (4.1%)

$216,437 + 9.6%

Diluted EPS Continuing Ops(excl. gains/losses) $.61 vs $.52 +17.3%

Capital SpendingUSM $100.1 MTelecom $ 28.3 M

Return on Capital 1Q ‘02 2001 2000 1999 1998USM 8.1% 7.7% 8.0% 7.0% 5.5%Telecom(ILEC only) 9.3% 9.3% 8.2% 7.0% 5.8%

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Chicago Acquisition

• Currently operates as PrimeCo

• 20 megahertz PCS spectrum

•Assets include spectrum plus

› A CDMA based network...500 cell sites

› 350,000 customers…~ $230M annual revenue

• Purchase price $610M…all cash

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PrimeCo Acquisition

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• Complementary footprint

• Stronger regional competitor

• Elimination of Chicago roaming expense

• Economies of scale - Operating, Marketing & Technology

• CDMA technology

• Local ownership and growth

• Growth potential

Chicago - Acquisition Strategy

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USM Overview Eighth largest wireless service provider

Total cellular pops 27M

Serves 3.5M customers - 13.2% Penetration

Focused on service

Pervasive distribution...Over 1,800 points of presence

Extensive network of over 3,000 cell sites

Holds the # 1 share in largest markets

Profitable and financially strong

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USM Q1 2002 Operating Results

(000s)

Operating Revenues $ 478.4 +8.8 %

Operating Cash Flow $151.6 +16.8 %

Operating Cash Flow Margin @ 32.9%

Diluted EPS from Operations $.51 +30.8%

CAPX $100.1

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USM Strategy Position as a regional carrier

Differentiate through exceptional service Network quality

3,000 cell sites72% of customer base digital

Broad distribution500 stores and kiosksStrong local dealer network

Customer service is key to differentiateChanging cultureDelivered in stores and through call centers

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Current Operating Markets

USM Markets

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Regional focus works

Build off strength

Acquisitions, auctions and trades are potential vehicles for change

USM Footprint Strategy

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USM Recent Acquisitions

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2002 Outlook - USMWe connect with you.

• EBITDA ... $680 to $710 M

• Postpay churn ... 2% or lower

• CAPX ... $620 to $640 (includes part of CDMA build-out costs of $400 - $450 M that will be spread over the years 2002 to 2004)

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TDS TelecomRural ILEC

681,000 access line equivalents... 28 states118 ILEC sales & service locations78% residential... 22% commercial115,200 Internet service accounts143,100 LD resale customersLeveraging strengths by pursuing attractive CLEC

markets

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TDS Telecom

Attractive rural market focusLess competition... high barriers to entryRural company statusExcellent local and regulatory relationshipsStrong local presence provides high

degree of customer satisfactionModern network upgraded to provide

advanced calling and data services

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Strong Vertical Penetration

Telecom IndepCaller ID penetration 29.1% 28.1%Call waiting penetration 31.9% 26.7%Voicemail penetration 13.3% 8.7%

Internet penetration 28% 24% (AOL)

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TDS Telecom-ILEC Strategy

Grow/protect core ILEC business Provide strong local presence to ensure a high degree

of customer satisfaction Provide high quality services at competitive prices Bundle products and grow vertical service penetration Utilize network technology to provide a variety of

advanced calling and data services: Improve operational effectiveness Grow through selective acquisitions ... Clustering

*CHR Solutions Fall 2000 report

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ILEC New Inititatives

• TDS True Talk (resell LD) - over 143,000 customers ... fast grower…first offered Q3, ‘00

• DSL - 23 markets at 12/31/01; 44% of access lines; 3,300 customers

• Network management

• Data product development

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Chorus Communications, Ltd.• Closed September 4, 2001• Accretive to OCF from the start• Largest acquisition in TDS Telecom history

– 42,500 access lines– 28,000 ISP/DSL customers

• Other operations-sell,install, service business telephone/video, data networks, Internet access and LD

• Complements our existing operations...talented workforce• Interests in certain wireless Wisconsin partnerships• Falls within U.S. Cellular’s wireless footprint• Purchase price $195 M plus assumed debt of $30M

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TDS Telecom - ILEC Q1 2002 Operating Results

Operating Revenues $149.5 M +11.2%

Operating Cash Flow $ 73.0 M + 4.0%

Return on Capital 9.3 %

Capital Spending $ 28.3 M

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2002 Outlook - TDS Telecom ILEC

– Operating Revenues - $625 to $640 M

– EBITDA - $300 to $310 M

– CAPX - $115 to $125 M

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TDS Metrocom100% on-switchOffers communications solutions with optimal functionality,

pricing and service others not currently providingFacilities-based startup in southern Wisconsin, northern

Illinois and southern Michigan163,800 access line equivalents since service launched in

June 19988,500 DSL lines in service on 3/31/02Selected 3rd and 4th tier cities near Telecom ILEC Targeted selling to businesses and high-end residential... 52% commercial, 48% high-end residentialFocus on single RBOC regarding provisioning

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TDS Metrocom Strategy

Aggressively grow CLEC business Grow into carefully chosen clustered markets which are

mid-sized and suburbanExpand success into other markets... Illinois and MichiganLeverage ILEC strengths for cost efficiencies and service

capabilitiesBuild out markets in a timely, cost efficient mannerEmphasis on cost effective facilities-based model

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TDS Telecom - CLECsQ1 2002 Operating Results

Operating RevenuesUS Link $13.2 MMetrocom $24.6 M

$37.8 M +41.8%Operating Cash FlowUS Link $ .8 MMetrocom $(8.9 M)

$(8.1 M)

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2002 Outlook - TDS CLEC’s

- Operating revenues - $170 to $180M

- EDITDA - ($23 to $25 M)

- CAPX - $70 to $80 M

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TDS Investments• Deutsche Telekom (DTE) - 131,461,861 ordinary shares at TDS ... $0 tax

basis• Vodafone (VOD) - 12,945,915 shares

2,700,545 shares at TDS10,245,370 shares at USM monetized 5/16/02

• Rural Cellular Corporation (RCCC) - 719,396 shares348,514 shares at TDS370,882 shares at USM

• VeriSign (VRSN) - 2,490,357 shares 129,024 shares at TDS2,361,333 shares at TDS monetized 5/7/02

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Monetization Summary

VeriSign Vodafone

Entity TDS USM

Guarantor None USM

Date 5/7/02 5/16/02

No. Shares subj to Prepaid Forward 2,361,333 10,245,370

Floor Price Per Share $8.82 $15.60

Avg. Cap Price Per Share 11.47 $23.68

Amt. To be Advanced (per share)

Per Share $8.02 $15.60

Total $18,926,703 $159,855,680

Loan Interest

Initial Discount 9.09% 0.00%

Qtly Interest Payments None 90 Day LIBOR + 50 BP’s

Number Counterparties 1 4

Sandra L. Helton

Executive Vice President and Chief Financial Officer

William Blair & Company

22nd Annual Growth Stock Conference

June 26, 2002