TELEPHONE & DATA SYSTEMS INC /DE/ — Director's Dealing 2011

Jan 25, 2011

SEC Form 5 — Annual Statement of Changes in Beneficial Ownership

Issuer: TELEPHONE & DATA SYSTEMS INC /DE/ (TDS)
CIK: 0001051512
Period of Report: 2010-12-31

Reporting Person: Shuma Douglas D (Sr VP & Corporate Controller)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2010-03-31	Special Common Shares	J	736.9567	$25.364	Acquired	3086.3827	Direct
2010-06-30	Special Common Shares	J	113.384	$22.559	Acquired	3086.3827	Direct

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2010-03-31	Option (Right to buy)	$25.364	J	736.9567	Disposed	2010-03-31	Special Common Shares (736.9567)	Direct
2010-06-30	Option (Right to buy)	$22.559	J	113.384	Disposed	2010-06-30	Special Common Shares (113.384)	Direct
2010-12-31	Deferred Compensation	$	J	34.165	Acquired		Special Common Shares (2792.75)	Direct

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Option (Right to buy)	$35.35	2018-08-26	Special Common Shares (15300)	15300	Direct
Option (Right to buy)	$26.95	2019-05-20	Special Common Shares (22680)	22680	Direct
Option (Right to buy)	$26.66	2020-05-25	Special Common Shares (24600)	24600	Direct
Restricted Stock Units	$		Special Common Shares (3379)	3379	Direct
Restricted Stock Units	$		Special Common Shares (3200)	3200	Direct

Footnotes

F1: Granted under the 2004 Long Term Incentive Plan. Options vest over a 3 year period with one-third of the number of shares becoming exercisable on Aug. 26, 2009, one-third becoming exercisable on Aug. 26, 2010 and one-third becoming exercisable on Aug. 26, 2011.

F2: Disposition of option and acquisition of stock under the Telephone and Data Systems, Inc. Employee Stock Purchase Plan.

F3: Granted under the 2004 Long Term Incentive Plan. Options vest over a 3 year period with one-third of the number of shares becoming exercisable on the first anniversary, one-third on the second annual anniversary and one-third on the third annual anniversary.

F4: Restricted stock units vest on Dec. 15, 2011.

F5: Reporting person deferred performance bonus pursuant to the Long Term Incentive Plan. The employer match vests ratably over a 3 year period at 33%, 33% and 34%. At Dec. 31, 2010, a total of 2,607.277 were vested. Due to an administrative error, a form 4 was incorrectly filed on March 2, 2010, reporting a deferred bonus - this filing was in error.

F6: Restricted stock units vest on Dec. 15, 2012.