United States Cellular Corporat (UZD) 10-Q 2016 Q3 Quarterly report

Exhibit 12

UNITED STATES CELLULAR CORPORATION

RATIO OF EARNINGS TO FIXED CHARGES

			Nine Months Ended
			September 30,
			2016		2015
(Dollars in millions)
EARNINGS:
	Income before income taxes1		$	93	$	411
	Add (deduct):
		Equity in earnings of unconsolidated entities		(110)		(110)
		Distributions from unconsolidated entities		55		45
		Amortization of capitalized interest		5		4
		Income attributable to noncontrolling interests in subsidiaries   that do not have fixed charges		–		(6)
			$	43	$	344
	Add fixed charges:
		Consolidated interest expense2		84		61
		Interest portion (1/3) of consolidated rent expense		40		38
			$	167	$	443
FIXED CHARGES:
		Consolidated interest expense2	$	84	$	61
		Capitalized interest		1		3
		Interest portion (1/3) of consolidated rent expense		40		38
			$	125	$	102
RATIO OF EARNINGS TO FIXED CHARGES				1.34		4.34
1		Includes Gain on sale of business and other exit costs, net of $114 million in 2015.  Additionally, includes $16 million and $147 million of Gain on license sales and exchanges, net in 2016 and 2015, respectively.
2		Interest expense on income tax contingencies is not included in fixed charges.