Telephone And Data Systems, Inc. · NYSE:TDS
Telephone And Data Systems — Baird's 2008 Growth Stock Conference
13 slides from Telephone And Data Systems's conference presentation, May 13, 2008
Slide 1: LeRoy T. Carlson, Jr. - Baird's 2008 Growth Stock Conference
LeRoy T. Carlson, Jr. President and Chief Executive Officer Baird’s 2008 Growth Stock Conference May 13, 2008
Slide 2: Safe Harbor
Safe Harbor Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: All information set forth in this presentation, except historical and factual information, represents forward-looking statements. This includes all statements about the company’s plans, beliefs, estimates,
Slide 3: Strong foundation for future growth
3 Strong foundation for future growth
Slide 4: U.S. Cellular Growth Strategies
U.S. Cellular Growth Strategies • Focus on the postpay customer • Differentiate with high customer satisfaction: ¾Quality network ¾Broad distribution ¾Excellent customer service • National, wide-area and family plans • Competitive products and data offerings • Strategically strengthen competitive fo
Slide 5: U.S. Cellular 2008 Objectives
U.S. Cellular 2008 Objectives • Focus on retail postpay customers • Profitable growth • New data products • More data-intensive smart phones • EVDO in more markets • LTE future path 5 Strong foundation for future growth
Slide 6: U.S. Cellular 1st Quarter Highlights
U.S. Cellular 1st Quarter Highlights 1Q, ‘08 1Q, ’07 Service revenues $ 962.1 M $ 860.6 M +12% Data revenues $ 115.7 M $ 77.5 M +49% Operating income $ 119 M $ 108.5 M +10% ARPU $ 52.06 $ 48.69 + 7% 6 Strong foundation for future growth
Slide 7: U.S. Cellular 1st Quarter Highlights
U.S. Cellular 1st Quarter Highlights 1Q, ‘08 1Q, ’07 Retail net adds 85,000 146,000 Churn – retail postpay 1.4 % 1.3% ETC revenues $30.5 M $22.5 M Inbound Roaming $54.1 M $41.3 M 7 Strong foundation for future growth
Slide 8: TDS Telecom's Strategy
TDS Telecom’s Strategy Provide outstanding customer satisfaction • Be the preferred broadband provider in its markets …aggressively deploy advanced network • Bundle aggressively – bigger the bundle the less the churn** One service churn ~2.8% Two service churn ~1.8% Three service churn ~ .8% ** 2007
Slide 9: TDS Telecom 2008 Objectives
TDS Telecom 2008 Objectives • Add DSL customers • Increase DSL speeds • New broadband services • Aggressively market bundles and triple play • Streamlining for efficiency 9 Strong foundation for future growth
Slide 10: TDS Telecom 1st Quarter Highlights
TDS Telecom 1st Quarter Highlights 1Q, ‘08 1Q, ’07 Operating revenues $ 206.1 M $217.6 M - 5% Operating income $ 37.8 M $ 37.5 M + .7% ILEC data revenues $ 21.2 M $ 16.4 M + 29 % ILEC DSL customers 154,800 118,000 +31% 10 Strong foundation for future growth
Slide 11: Investors Ask
Investors Ask 1) Increasing penetration in the wireless industry 2) Can the company improve profitability? 3) Any impact from the unlimited $99 plans? 4) How has the economy affected your businesses? 5) What 4G path will you take? 11 Strong foundation for future growth
Slide 12: Why is the Company Attractive?
Why is the Company Attractive? • Generating free cash flow • Excellent balance sheet • Investment grade • Sound business strategies and experienced management teams • Opportunity to improve profitability • Improved return on capital • Attractive valuation 12 Strong foundation for future growth
Slide 13: TDS: Excellent Prospects
TDS: Excellent Prospects • Financially strong • Well positioned in existing markets • Strategies focused on network quality, customer service and competitive service offerings • Experienced management teams • A Fortune 500® company 13 Strong foundation for future growth
Telephone and Data Systems — Baird's 2008 Growth Stock Conference on 6ix