Exhibit 99.1








Contacts:Murray L. Swanson                   Karen M. Stewart
         Executive Vice President - Finance  Vice President - Investor Relations
         (312) 630-1900                      (608) 828-8316
         murray.swanson@teldta.com           karen.stewart@teldta.com

FOR RELEASE: IMMEDIATE

                        TDS FILES REGISTRATION STATEMENT
                    FOR $400 MILLION OF PREFERRED SECURITIES

October  21,  1997,  Chicago,  Illinois  -  Telephone  and  Data  Systems,  Inc.
[AMEX:TDS] announced today that it has filed a shelf registration statement with
the Securities and Exchange  Commission  ("SEC")  covering $400 million of Trust
Originated Preferred SecuritiesSM ("TOPrSSM").

TOPrS may be sold in one or several  offerings  by Delaware  statutory  business
trusts  organized by TDS. The trusts will use the proceeds from the offerings to
purchase Subordinated Debentures (the "Debentures") issued by TDS.

TDS intends to use the net  proceeds  from the sale of the  Debentures  to repay
certain short-term indebtedness. Thereafter, TDS may incur additional short-term
indebtedness,  the  proceeds  of  which  would  be used  for  general  corporate
purposes, which may include working capital, capital expenditures,  repayment or
repurchases of outstanding indebtedness and investments in subsidiaries.

A registration  statement  relating to these  securities has been filed with the
SEC but has not yet become  effective.  These securities may not be sold nor may
offers to buy be accepted prior to the time the registration  statement  becomes
effective.  This  press  release  shall not  constitute  an offer to sell or the
solicitation of an offer to buy nor shall there be any sale of these  securities
in any State in which such offer,  solicitation  or sale would be unlawful prior
to registration or qualification under the securities laws of any such State.

TDS is a  Chicago-based  telecommunications  company with  established  cellular
telephone,  local  telephone  and radio paging  operations  and  developing  PCS
operations.  TDS  strives  to build  value  for its  shareholders  by  providing
excellent communications services in attractive, closely related segments of the
telecommunications industry.

TDS's Internet home page:   http://www.teldta.com.

SM "Trust  Originated  Preferred  Securities"  and "TOPrS" are service  marks of
Merrill Lynch & Co., Inc.