Independent telco holding firm Telephone & Data Systems, otherwise known as the owner of U.S. Cellular, is again facing pressure from investor Southeastern Asset Management, this time to either sell U.S. Cellular or the company as a whole to another operator, according to a Dow Jones Newswires story. SAM, which holds a 5.5 percent stake in TDS, criticized TDS management about a year ago over what it said was a failure to inform investors about a bid that had been made to acquire the company, a bid that TDS management tuned down.
TDS's wireless business remained strong in the first quarter, helping the company to earnings of $72 million, which represented a very small decline from about $73.5 million in the first quarter of 2008. Overall revenue grew slightly, less than 1 percent, to $1.26 billion. Wireline earnings fell 30 percent, while wireline revenue slid 3.3 percent, with access lines declining 3.9 percent.
- CNN Money has this Dow Jones Newswires story
Southeastern Asset Management questioned TDS management last year
TDS reported lower revenue in the fourth quarter of 2009