John E. Rooney

1

• John E. Rooney
• President and CEO
• Kenneth R. Meyers
• Executive Vice President - Finance and CFO
• Morgan Stanley 9th Annual Global Media
  Communications Conference
• September 8, 2004

2
Safe Harbor
Safe Harbor Statement Under the Private
Securities Litigation Reform Act of 1995 All
information set forth in this news release,
except historical and factual information,
represents forward-looking statements. This
includes all statements about the companys
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 the company to start up the operations
of the licensed areas involved in the ATT
Wireless transaction completed in August 2003
the ability of the company to successfully manage
and grow the operations of the Chicago MTA
changes in the overall economy changes in
competition in the markets in which the company
operates advances in telecommunications
technology the impact of wireless local number
portability changes in the telecommunications
regulatory environment changes in the value of
investments, including variable prepaid forward
contracts changes in the capital markets that
could adversely impact the availability, cost and
terms of financing an adverse change in the
ratings afforded our debt securities by
nationally accredited ratings organizations
pending and future litigation acquisitions/divest
itures of properties and/or licenses changes in
customer growth rates, retail service revenue per
unit, churn rates, roaming rates and the mix of
products and services offered in the companys
markets. Investors are encouraged to consider
these and other risks and uncertainties that are
discussed in documents filed by the Company with
the Securities and Exchange Commission.
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U.S. Cellular

• 8th largest wireless service provider 2nd
  largest regional carrier
• Total incremental pops - 45.6 million
• Serves 4.7 million customers - 86 digital
• Focused on exceptional customer service
• 10.28 market penetration
• Admirably low churn rate
• Pervasive distribution 2,300 points of
  presence
• Extensive network ... 4,420 cell sites
• Well positioned in its regions
• Note Unless specified, all handout data is as of
  June 30, 2004.

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U.S. Cellular Strategy

• Positioned as a regional carrier
• Differentiate with exceptional customer service
• Network quality
• Broad distribution
• Dedicated people
• Deploy CDMA 1XRTT technology in all markets
• Strategically strengthen regional footprint

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Postpay Churn lt 2Six-year track record and
still strong
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Strengthening the Footprint

• Proposed sale of two small markets and investment
  interests to ALLTEL announced Aug. 2004
• Sale of South Texas markets to ATT Wireless
  Feb. 2004
• Exchange of wireless properties with ATT
  Wireless Aug. 2003
• Acquisition of Chicago market Aug. 2002

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Proposed Asset Sale to ALLTEL Exit markets not
strategic to companys long-term success

• Announced Aug. 4, 2004 expect to close by
  year-end
• To sell for 80 million in cash
• Two 25 MHz operating markets in Florida and Ohio
  460,000 pops 35 cell sites 37,000 customers
• Seven investment interests in Ohio, N.C., Miss.,
  Wis. 268,000 pops
• Operating markets contributed 5.7 million in
  revenue in Q2 04

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South Texas Sale to AWE Exit markets not
strategic to companys long-term success

• Closed Feb. 18, 2004
• Sold 25 MHz licenses in south Texas 1.3 M pops,
  150 cell sites and 76,000 customers
• Received 97 M in cash
• High prepaid mix and heavy roaming market

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USM AWE Property Exchange Improved competitive
position in Midwest and Northeast markets

• Announced March 2003
• First tranche closed Aug. 2003
• Excellent fit with USMs strategy
• Strengthens regional footprint through
  acquisitions or trades
• Builds on strengths and exit other markets
• Have built out and launched three
  marketsOklahoma City Lincoln, NE and
  Portland, ME
• Building out Missouri markets expect to launch
  in 2005

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Chicago Update

• Brand awareness up dramatically
• Market share up year-over-year
• Top-notch network
• Increased distribution points

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2nd Qtr 2004 Financial Highlights
2nd Qtr 04 2nd Qtr 03 (restated) Service
revenues 662.7 M 610.1 M 9
Operating income 65.9 M 3.4 M
NM EBITDA 187.5 M 161.2 M 16 Net
adds 137,000 103,000 33 Retail
ARPU 41.58 39.69
5 2nd Qtr 04 2nd Qtr 03 Churn -
postpay 1.5 1.5 MOU
542 424 Cell sites 4,420
4,106
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Data

• easyedgeSM Download Applications (BREWTM)
• Applications games news traffic calendar
• easyedgeSM Picture Messaging (MMS)
• Take, send or receive photos
• easyedgeSM Wireless Modem Service
• Internet access for laptops e-mail calendar
• Available in select areas to business customers

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CDMA 1X Initiative

• Improved voice capacity and coverage
  cost-effective use of wireless spectrum
• 3 year project (2002 - 2004)
• Ahead of schedule and below planned cost
• Total cost to build CDMA ... 300 million
• 265 million spent in 2002 - 2003
• Midwest and New England markets are now CDMA 1X
• Redeploying TDMA equipment

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WNP Update

• Well positioned for WNP
• Invested 50 million to prepare over 2 years
• Aggressive retention programs in core markets
• Aggressive acquisition programs in newer markets
• Business as usual satisfied customers no
  significant issues

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USM 2004 Outlook

• Service revenues 2.6 B
• Net additions 560,000 to 610,000
• Dep, amort accretion 500 M
• Operating Income 150 to 190 M
• CAPX 655 to 695 M
• All in churn lt 2

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Financing Activities

• Over the last 12 months, we have
• Redeemed
• 163.3 M of LYONS
• 250 M of 7.25 notes due 2007
• Sold
• 300 M 30-year 7.5 notes
• 544 M 30-year 6.7 notes in two tranches
• Amended existing 325 million revolver
• increased to 700 M through June 2007
• terminated 500 M revolver expiring 8/04

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USM Excellent Prospects

• Proven Strategy
• Financially Strong
• Extensive network
• Terrific people dynamic organization
• Positive momentum

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Reconciliation of Additional Disclosures For
the quarter ended June 30, 2004

• The Operating Cash Flow amounts in the tables
  presented above are not determined in accordance
  with accounting principles generally accepted in
  the United States of America ("U.S. GAAP").
  Management uses Operating Cash Flow 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. Operating Cash
  Flow is used as an analytical indicator of income
  generated to service debt and fund capital
  expenditures. In addition, multiples of current
  or projected Operating Cash Flow are used to
  estimate current or prospective enterprise value.
  Operating Cash Flow does not give effect to cash
  used for debt service requirements, and thus does
  not reflect funds available for investment or
  other discretionary uses. Operating Cash Flow as
  presented herein may not be comparable to
  similarly titled measures reported by other
  companies.