LeRoy T. Carlson, Jr.

President and Chief Executive Officer

2003 Baird Growth Stock ConferenceMay 14, 2003

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Safe HarborAll information set forth in this presentation, 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 start up the operations of the properties involved in the AWE transaction; 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 operates; advances in telecommunications technology; changes in the telecommunications regulatory environment; changes in the value of investments, including variable prepaid forward contracts; 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, average service revenue per unit, 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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• 7th largest independent U.S. telco

• Rural company status

• 120 ILEC service locations

• 713,800 access line equivalents

• 118,100 ISP accounts

• 202,100 LD (resale) customers

• Vertical services

TDS Telecom - ILEC

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TDS Metrocom - CLEC

• Facilities-based startup in S. Wisconsin, N. Illinois and S. Michigan … 100% on-switch

• 227,500 access line equivalents ... launched in January 1998

• Targeted selling Small and medium businesses … 53%“Communication-intensive” residential … 47%

• Focus on one RBOC for provisioning

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US Link - CLEC

• Third largest CLEC in MN: 76,400 local and local/LD lines12,300 Internet accounts

• Targeted selling - small and medium-sized businesses

• Local service provided through combination of owned and leased facilities -- 20.7% on-switch

Migrating to facilities-based model

• EBITDA positive; minimal CAPX

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• Provide outstanding customer service

TDS Telecom’s Overall Strategy

• Protect and grow current markets• growth strategy: balance & sustainability;

clustering

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• Grow and protect core ILEC business Provide strong local presence Provide high-quality services at competitive prices Bundle products and grow vertical service penetration

• Aggressively grow CLEC business Grow into carefully chosen mid-size and suburban markets in the Midwest CLEC to leverage ILEC strengths Emphasis on facilities-based model

TDS Telecom’s Growth Strategy

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• Provide outstanding customer service

• Protect and grow current markets

TDS Telecom’s Overall Strategy

• Develop and market new products and services

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Vertical Services Penetration3/31/03

TDS IndependentTelecom Tel. Cos.*

Caller ID 32.0% 29.4% Call waiting 32.5% 31.5% Voicemail 13.5% 8.1%

ISP 33.1% 18.1% (for AOL) Second line 12.3% Long distance 34.8%

*Research First Dec 2002 and Merrill Lynch March 2003

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• Combating wireless substitution

• Cable company initiatives

Telecom at a Crossroads:Positioning TDS Telecom for the Future

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• Testing a combined U.S. Cellular / TDS Metrocom product

• Bundling

New Initiatives

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TDS Telecom Operating Results1st Qtr 2003

($mil)($mil)

Total Revenues $211.5 +13%

EBITDA $ 81.7 +26%

Operating Income $ 40.1 +56%

Capital Spending $ 19.1

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Reconciliation of Additional Disclosures

The EBITDA measurements provided above represent the sum of operating income (loss), depreciation, amortization of deferred charges and customer lists and loss on assets held for sale. EBITDA is not presented as an alternative measure of operating results or cash flows from operations as determined in accordance with accounting principles accepted in the United States of America. Management uses EBITDA 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. EBITDA is used as an analytical indicator of income generated to service debt and fund capital expenditures.In addition, multiples of current or projected EBITDA are used to estimate current or prospective enterprise value. EBITDA does not give effect to cash used for debt service requirements, and thus does not reflect funds available for investment or other discretionary uses. EBITDA as presented herein may not be comparable to similarly titled measures reported by other companies.

Quarter Ended at March 31, 2003 ILEC CLEC Total

EBITDA:Operating income (loss) as reported 45,416$ (5,361)$ 40,055$

Add:Depreciation and Amortization 33,619 8,031 41,650

EBITDA 79,035 2,670 81,705

Year Ended at December 31, 2002 ILEC CLEC Total

EBITDA:Operating income (loss) as reported 167,914$ (62,725)$ 105,189$ Add:

Depreciation and Amortization 130,232 29,059 159,291 EBITDA 298,146 (33,666) 264,480

TDS Telecom FY 2003 GuidanceILEC CLEC

Operating Revenues $635 - $ 645 $210 - $220Capital Expenditures $130 $40 EBITDA: $305 - $315 $(10)-breakeven

Operating Income $170 - $180 $(45) - $(35)

Depreciation and amortization $135 $35EBITDA $305 - $315 $(10) - breakeven

(Dollars in millions)

TDS Telecom

(Dollars in thousands)

TDS Telecom

(Dollars in thousands)

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2003 Outlook - TDS Telecom• ILEC

• Operating revenues - $635 to $645 M• EBITDA - $305 to $315 M• CAPX - approx. $130 M

• CLEC• Operating revenues - $210 to $220 M• EDITDA - $(10) M to breakeven• CAPX - approx. $40 M … includes some 2002

projects pushed back to 2003

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• Lead the industry in customer satisfaction

• Rapidly and profitably grow the CLEC operations

• Rapidly grow DSL and other data services in both the ILEC and CLEC markets

• Aggressively promote a positive regulatory environment for both ILEC and CLEC customers

TDS Telecom Focus -2003 and Beyond

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Excellent Prospects• Financially strong company with a proven strategy

• Attractive rural market focus

• Strong local presence; high customer satisfaction levels

• Excellent legal and regulatory relationships

• Modern network provides advanced voice and data capabilities

• Well-established ILEC with excellent reputation

• Growing CLEC with sustainable model

• New product initiatives

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• Grow revenues market growth (at least 15% annually)

• Return on capital WACC

• Valuation/shareholder returns comparable companies

• Maintain strong investment-grade rating

TDS Financial Objectives

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Monetization

• Generated $1.6 B through monetizations• Deutsche Telekom (DTE)

• Vodafone (VOD)

• VeriSign (VRSN)

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Use of Monetization Proceeds

• M & A activities

• Capital expenditures

• Dividend increase• 28 years of dividends and increases

• Stock repurchase program

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Stock Repurchase• 1 million share authorization previously in

place

• Announced additional 2 million share authorization in February

• Q1 ‘03: repurchased 750,300 shares• avg price of $39.11 ; total of $29.4 M

• YTD April 23: repurchased 1,229,400 shares• avg price of $40.55 ; total of $49.9 M

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Strategic positioning

Performance to plan

Continued financial strengthMaintain A- credit rating

Outstanding employees

2003 Focus

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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 and network quality • strong, experienced management teams

• Dedicated workforce of 11,000 people

• Financially strong