Investment in Unconsolidated Entities

3 Months Ended

Mar. 31, 2012

Disclosure Text Block

Investment in Unconsolidated Entities

8.Investments in Unconsolidated Entities

Investments in unconsolidated entities consist of amounts invested in wireless entities in which U.S. Cellular holds a noncontrolling interest. These investments are accounted for using either the equity or cost method.

Equity in earnings of unconsolidated entities totaled $21.6 million and $20.9 million in the three months ended March 31, 2012 and 2011, respectively; of those amounts, U.S. Cellular's investment in the Los Angeles SMSA Limited Partnership (“LA Partnership”) contributed $17.1 million and $13.0 million in the three months ended March 31, 2012 and 2011, respectively.U.S. Cellular held a 5.5% ownership interest in the LA Partnership during these periods.

The following table, which is based on information provided in part by third parties, summarizes the combined results of operations of U.S. Cellular's equity method investments:

	Three Months Ended
	March 31,
	2012		2011
(Dollars in thousands)
Revenues	$	1,431,372	$	1,324,459
Operating expenses		1,071,887		1,031,355
Operating income		359,485		293,104
Other income		916		1,427
Net income	$	360,401	$	294,531