US Cellular 2010 Annual Report Download - page 35

•The market price of U.S. Cellular’s Common Shares is subject to fluctuations due to a variety of factors.
•Identification of errors in financial information or disclosures could require amendments to or
restatements of financial information or disclosures included in this or prior filings with the SEC. Such
amendments or restatements and related matters, including resulting delays in filing periodic reports
with the SEC, could have an adverse effect on U.S. Cellular’s business, financial condition or results of
operations.
•The existence of material weaknesses in the effectiveness of internal control over financial reporting
could result in inaccurate financial statements or other disclosures or failure to prevent fraud, which
could have an adverse effect on U.S. Cellular’s business, financial condition or results of operations.
•Changes in facts or circumstances, including new or additional information that affects the calculation
of potential liabilities for contingent obligations under guarantees, indemnities, claims, litigation or
otherwise, could require U.S. Cellular to record charges in excess of amounts accrued in the financial
statements, if any, which could have an adverse effect on U.S. Cellular’s financial condition or results of
operations.
•Disruption in credit or other financial markets, a deterioration of U.S. or global economic conditions or
other events, 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.
•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 wireless 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.
•Any of the foregoing events or other events could cause customer net additions, revenues, 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, 2010. 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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