EXHIBIT 12
TELEPHONE AND DATA SYSTEMS, INC.
RATIOS OF EARNINGS TO FIXED CHARGES
FOR THE YEAR ENDED DECEMBER 31, 1997
(DOLLARS IN THOUSANDS, EXCEPT RATIO AMOUNTS)
EARNINGS:
Income from Continuing Operations before Income Taxes.......................... $ 19,010
Add (Deduct):
Minority Share of Losses..................................................... (43,409)
Earnings on Equity Method.................................................... (76,945)
Distributions from Minority Subsidiaries..................................... 56,413
Amortization of Capitalized Interest......................................... 1,301
Minority share of income in majority-owned subsidiaries that have fixed
charges.................................................................... 22,125
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(21,505)
Add fixed charges:
Consolidated interest expense................................................ 90,473
Interest Portion ( 1/3) of Consolidated Rent Expense......................... 14,480
Amortization of debt expense and discount on indebtedness.................... 795
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$ 84,243
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FIXED CHARGES:
Consolidated interest expense.................................................. $ 90,473
Capitalized interest........................................................... 11,035
Interest Portion ( 1/3) of Consolidated Rent Expense........................... 14,480
Amortization of debt expense and discount on indebtedness...................... 795
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$ 116,783
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RATIO OF EARNINGS TO FIXED CHARGES............................................... 0.72
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Tax-Effected Redeemable Preferred Dividends.................................... $ 213
Fixed Charges.................................................................. 116,783
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Fixed Charges and Redeemable Preferred Dividends............................. $ 116,996
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RATIO OF EARNINGS TO FIXED CHARGES AND REDEEMABLE PREFERRED DIVIDENDS............ 0.72
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Tax-Effected Preferred Dividends............................................... $ 3,498
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Fixed Charges.................................................................. 116,783
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Fixed Charges and Preferred Dividends........................................ $ 120,281
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RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED DIVIDENDS....................... .70
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86