Investment grade; outlook positive
CHICAGO, March 17 /PRNewswire-FirstCall/ -- Telephone and Data Systems, Inc. (AMEX:TDSAMEX:TDS.S) and United States Cellular Corporation (AMEX:USM), TDS' publicly traded subsidiary, today announced that Standard & Poor's Ratings Services has upgraded both companies' credit ratings to BBB- with a positive outlook, from BB+.
According to S&P, the rating upgrades are due to the remediation of material weaknesses related to personnel and accounting knowledge and accounting for plant, property and equipment. The companies continue to have a material weakness related to accounting for income taxes. S&P indicated that it will further upgrade the rating for TDS and U.S. Cellular to BBB when the remaining material weakness is remediated, assuming continuation of the companies' favorable operating trends and conservative balance sheets.
TDS and U.S. Cellular Credit Ratings Agency Rating Outlook
Standard & Poor's Ratings Services BBB- Positive
Moody's Investors Service Baa3 Stable
Fitch Ratings BBB+ Stable "We're pleased with S&P's action with regard to our credit ratings," said Kenneth R. Meyers, TDS executive vice president and chief financial officer, "and we're working diligently to remediate the remaining material weakness." About TDS TDS provides wireless, local and long-distance telephone, and broadband services to more than 7.3 million customers in 36 states through its business units, U.S. Cellular (wireless) and TDS Telecom (wireline). Founded in 1969 and headquartered in Chicago, TDS employed 11,800 people as of year end.
About U.S. Cellular U.S. Cellular Corporation, the nation's sixth-largest full-service wireless carrier, provides a comprehensive range of wireless products and services, superior customer support, and a high-quality network to more than 6.1 million customers in 26 states. The Chicago-based company employed 8,400 associates as of year end. DATASOURCE: Telephone and Data Systems, Inc.; United States Cellular Corporation CONTACT: Mark A. Steinkrauss, Vice President, Corporate Relations, +1-312-592-5384, , or Julie D. Mathews, Manager, Investor Relations, +1-312-592-5341, , both of Telephone and Data Systems, Inc.
Web site: http://www.teldta.com/
|