TELEPHONE AND DATA SYSTEMS, INC. (NYSE:TDE) Files An 8-K Entry into a Material Definitive Agreement

Item 1.01. Entry into a Material Definitive Agreement.

See disclosure under Item 8.01 Other Events, which is
incorporated herein to the extent applicable.

Item 2.03. Creation of a Direct Financial Obligation or an
Obligation under an Off-Balance Sheet Arrangement of a
Registrant.

See disclosure under Item 8.01 Other Events, which is
incorporated herein to the extent applicable.

Item 8.01. Other Events.

As previously disclosed by Telephone and Data Systems, Inc.
(TDS), the Federal Communications Commission (FCC) announced
United States Cellular Corporation (U.S. Cellular), a subsidiary
of TDS, as a qualified bidder in the FCCs forward auction of 600
MHz spectrum licenses, referred to as Auction 1002. The Clock
Phase of the auction was completed on February 10, 2017. With the
completion of the Clock Phase of the auction, U.S. Cellular is
now committed to purchase 600 MHz spectrum licenses on which it
submitted bids for a minimum amount of $327 million, subject to
increase as the FCC completes the Assignment Phase of the
auction, which is pending. U.S. Cellular expects to be obligated
to pay for the total committed amount, less the $143 million
upfront payment made in June 2016, in the second quarter of 2017.
U.S. Cellular currently expects to make such payment using cash
on hand and/or borrowings under its revolving credit agreement.

TELEPHONE AND DATA SYSTEMS, INC. (NYSE:TDE) Recent Trading Information

TELEPHONE AND DATA SYSTEMS, INC. (NYSE:TDE) closed its last trading session up +0.09 at 25.41 with 17,285 shares trading hands.