TELEPHONE & DATA SYSTEMS INC /DE/ — Director's Dealing 2016

May 12, 2016

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: TELEPHONE & DATA SYSTEMS INC /DE/ (TDS)
CIK: 0001051512
Period of Report: 2016-05-10

Reporting Person: CARLSON LEROY T JR (Director, President and CEO)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2016-03-23	Common Shares	G	3000	—	Disposed	60817	Direct
2016-03-31	Common Shares	G	4000	—	Disposed	56817	Direct
2016-05-10	Common Shares	M	62719	—	Acquired	119536	Direct
2016-05-10	Common Shares	F	27188	$28.04	Disposed	92348	Direct
2016-03-18	Common Shares	W	638	—	Acquired	1847142	Indirect

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2016-03-18	Common shares	$	W	689	Acquired		Common Shares (2012616)	Indirect
2016-05-10	Restricted stock units	$	M	62719	Disposed		Common shares (62719)	Direct

Footnotes

F1: Restricted stock units awarded pursuant to the long term incentive plan. Stock units became vested on May 10, 2016.

F2: By gift

F3: Includes 3768 shares owned by children. Reporting person disclaims beneficial ownership of shares owned by children.

F4: Series A Common shares are convertible on a share for share basis.

F5: Reporting person is one of four trustees which is record owner of these shares which files its holdings on forms 4. Of these shares, 104,893 shares are held as custodian for children, 31,156 are held by spouse, 374,126 are held by a family limited partnership, 89,679 shares through a marital trust, 105,942 are held in a LLC of which the reporting person is the sole voting member, and 687,446 shares are held by a family partnership of which reporting person is a general partner. Also voluntarily includes 60,321 shares in a trust, the trustee of which is a third party and the beneficiaries of which include the descendents of the reporting person and his spouse. Includes 20,400 shares that reporting person is trustee of trusts for children. Of the remaining shares, 63,841 shares are owned by individual reporting person wife's GRAT owns 309,338. Reporting person disclaims beneficial ownership of shares held for the benefit of persons other than the reporting person.

F6: Reporting person is one of four trustees which is record owner of these shares which files its holdings on forms 4. Of these Series A Common shares, 113,775 are held as custodian for children and 10,766 are held by spouse, and 748,888 shares are held by a family partnership of which reporting person is a general partner . Of the remaining shares, 3,392 are owned in individual reporting person's name. Includes 22,174 shares that reporting person is trustee of trusts for children. In addition, 1,113,621 Series A common Shares owned by family limited partnerships. Includes Reporting person disclaims beneficial ownership of shares held for the benefit of persons other than the reporting person.

F7: On March 1, 2016, reporting person became trustee of trusts for children. Reporting person has no beneficial ownership of shares beneficially owned by children.

F8: Shares withheld to pay taxes on restricted stock units that vested on May 10, 2016.