CHICAGO, May 18, 2021 /PRNewswire/ -- United States
Cellular Corporation (NYSE: USM) today announced that it will
redeem all of its outstanding 7.25 percent Senior Notes due 2064
(NYSE: UZC). The $300 million
aggregate principal amount of outstanding notes will be redeemed
June 16, 2021, at a redemption price
of 100 percent of the principal amount ($25 face value per unit), together with accrued
and unpaid interest to the redemption date. The paying agent is The
Bank of New York Mellon Trust Company, N.A., c/o The Bank of New
York Mellon, 111 Sanders Creek Parkway, East Syracuse, New York 13057, Attn:
Bond Redemption Unit.
"Lowering the cost of our balance sheet remains a top Treasury
priority for UScellular this year, as we work to optimize our
financial leverage to enable our business to continue investing in
attractive opportunities such as 5G," said Peter L. Sereda, TDS executive vice president
and chief financial officer. "Redemption of these notes is
another step in this program as we evaluate other options to
continue to take advantage of the low interest rate
environment."
A notice of redemption with instructions is being distributed to
registered holders of the notes, commencing May 17, 2021. Beneficial holders with any
questions about the redemption should contact their respective
brokerage firm or financial institution that holds notes on their
behalf.
About UScellular
United States Cellular Corporation
provides a comprehensive range of wireless products and services,
excellent customer support, and a high-quality network to customers
with 5.0 million connections in 21 states. The Chicago-based company had 5,200 full- and
part-time associates as of March 31,
2021. At the end of the first quarter of 2021, Telephone and
Data Systems, Inc. owned 82 percent of UScellular. For more
information about UScellular, visit uscellular.com.
Safe Harbor Statement Under the Private Securities
Litigation Reform Act of 1995: All information set forth in
this news release, except historical and factual information,
represents forward-looking statements. This includes all statements
about the company's plans, beliefs, estimates, and expectations.
These statements are based on current estimates, projections, and
assumptions, which involve certain risks and uncertainties that
could cause actual results to differ materially from those in the
forward-looking statements. Important factors that may affect these
forward-looking statements include, but are not limited to: intense
competition; the ability to obtain or maintain roaming arrangements
with other carriers on acceptable terms; the ability to obtain
access to adequate radio spectrum to meet current or anticipated
future needs, including participation in FCC auctions; the ability
to attract people of outstanding talent throughout all levels of
the organization; UScellular's smaller scale relative to larger
competitors; changes in demand, consumer preferences and
perceptions, price competition, or churn rates; advances in
technology; impacts of costs, integration problems or other factors
associated with acquisitions, divestitures or exchanges of
properties or wireless spectrum licenses and/or expansion of
UScellular's businesses; the ability of the company to successfully
construct and manage its networks; difficulties involving third
parties; uncertainties in UScellular's future cash flows and
liquidity and access to the capital markets; the ability to make
payments on UScellular indebtedness or comply with the terms of
debt covenants; conditions in the U.S. telecommunications industry;
the value of assets and investments; the state and federal
regulatory environment; pending and future litigation; potential
conflicts of interests between TDS and UScellular; cyber-attacks or
other breaches of network or information technology security;
disruption in credit or other financial markets; deterioration of
U.S. or global economic conditions; and the impact, duration and
severity of public health emergencies, such as the COVID-19
pandemic. Investors are encouraged to consider these and other
risks and uncertainties that are more fully described under "Risk
Factors" in the most recent filing of UScellular's Form 10-K, as
updated by any UScellular Form 10-Q filed subsequent to such Form
10-K.
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SOURCE United States Cellular Corporation
