Exhibit 12 TELEPHONE AND DATA SYSTEMS, INC. RATIOS OF EARNINGS TO FIXED CHARGES For the Six Months June 30, 1996 (Dollars In Thousands) EARNINGS: Income from Continuing Operations before income taxes $ 183,101 Add (Deduct): Minority Share of Losses (3,449) Earnings on Equity Method 24,550 Distributions from Minority Subsidiaries 10,031 Amortization of Non-Telephone Capitalized Interest 1 Minority interest in majority-owned subsidiaries that have fixed charges 18,613 ------------ 232,847 Add fixed charges: Consolidated interest expense 20,807 Interest Portion (1/3) of Consolidated Rent Expense 3,216 Amortization of debt expense and discount on indebtedness 189 ------------ $ 257,059 ============ FIXED CHARGES: Consolidated interest expense $ 20,807 Capitalized interest 14,109 Interest Portion (1/3) of Consolidated Rent Expense 3,216 Amortization of debt expense and discount on indebtedness 189 ------------ $ 38,321 ============ RATIO OF EARNINGS TO FIXED CHARGES 6.71 ============ Tax-Effected Redeemable Preferred Dividends $ 485 Fixed Charges 38,321 ------------ Fixed Charges and Redeemable Preferred Dividends $ 38,806 ============ RATIO OF EARNINGS TO FIXED CHARGES AND REDEEMABLE PREFERRED DIVIDENDS 6.62 ============ Tax-Effected Preferred Dividends $ 1,137 Fixed Charges 38,321 ------------ Fixed Charges and Preferred Dividends $ 39,458 ============ RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED DIVIDENDS 6.51 ============