US Cellular 2008 Annual Report Download - page 151

•Early redemptions or repurchases of debt, issuances of debt, changes in operating leases, changes in
purchase obligations or other factors or developments could cause the amounts reported under
Contractual Obligations in U.S. Cellular’s Management’s Discussion and Analysis of Financial Condition
and Results of Operations to be different from the amounts actually incurred.
•An increase in the amount of U.S. Cellular’s debt in the future could subject U.S. Cellular to higher
interest costs and restrictions on its financing, investing and operating activities and could decrease its
net income and cash flows.
•Recent market events and conditions, including disruption in credit and other financial markets and the
deterioration of U.S. and global economic conditions, could, among other things, impede U.S. Cellular’s
access to or increase the cost of financing its operating and investment activities and/or result in
reduced revenues and lower operating income and cash flows, which would have an adverse effect on
U.S. Cellular’s financial condition or results of operations.
•Uncertainty of access to capital for telecommunications companies, deterioration in the capital markets,
other changes in market conditions, changes in U.S. Cellular’s credit ratings or other factors could limit
or restrict the availability of financing on terms and prices acceptable to U.S. Cellular, which could
require U.S. Cellular to reduce its construction, development or acquisition programs.
•Changes in the regulatory environment or a failure by U.S. Cellular to timely or fully comply with any
applicable regulatory requirements could adversely affect U.S. Cellular’s financial condition, results of
operations or ability to do business.
•Changes in USF funding and/or intercarrier compensation could have a material adverse impact on
U.S. Cellular’s financial position or results of operations.
•Changes in income tax rates, laws, regulations or rulings, or federal or state tax assessments could
have an adverse effect on U.S. Cellular’s financial condition or results of operations.
•Settlements, judgments, restraints on its current or future manner of doing business and/or legal costs
resulting from pending and future litigation could have an adverse effect on U.S. Cellular’s financial
condition, results of operations or ability to do business.
•The possible development of adverse precedent in litigation or conclusions in professional studies to
the effect that radio frequency emissions from handsets, wireless data devices and/or cell sites cause
harmful health consequences, including cancer or tumors, or may interfere with various electronic
medical devices, such as pacemakers, could have an adverse effect on U.S. Cellular’s business,
financial condition or results of operations.
•Claims of infringement of intellectual property and proprietary rights of others, primarily involving patent
infringement claims, could prevent U.S. Cellular from using necessary technology to provide services or
subject U.S. Cellular to expensive intellectual property litigation or monetary penalties, which could have
an adverse effect on U.S. Cellular’s business, financial condition or results of operations.
•There are potential conflicts of interests between TDS and U.S. Cellular.
•Certain matters, such as control by TDS and provisions in the U.S. Cellular Restated Certificate of
Incorporation, may serve to discourage or make more difficult a change in control of U.S. Cellular.
•A failure by U.S. Cellular to successfully execute its business strategy could have an adverse effect on
U.S. Cellular’s business, financial condition or results of operations.
•Any of the foregoing events or other events could cause revenues, customer additions, operating
income, capital expenditures and/or any other financial or statistical information to vary from
U.S. Cellular’s forward-looking estimates by a material amount.
You are referred to a further discussion of these risks as set forth under ‘‘Risk Factors’’ in U.S. Cellular’s
Annual Report on Form 10-K for the year ended December 31, 2008. U.S. Cellular undertakes no
obligation to update publicly any forward-looking statements whether as a result of new information,
future events or otherwise. Readers should evaluate any statements in light of these important factors.
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