XML 27 R30.htm IDEA: XBRL DOCUMENT v2.4.0.8
Acquisitions, Divestitures and Exchanges, divestitures (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 17 Months Ended 3 Months Ended 12 Months Ended 26 Months Ended 38 Months Ended 3 Months Ended 12 Months Ended 26 Months Ended 38 Months Ended 17 Months Ended 12 Months Ended 3 Months Ended 36 Months Ended 3 Months Ended 17 Months Ended 36 Months Ended 3 Months Ended
Mar. 31, 2014
Mar. 31, 2013
Mar. 31, 2014
Divestiture transaction
Mar. 31, 2013
Divestiture transaction
Mar. 31, 2014
Divestiture transaction
Mar. 31, 2014
St. Louis
Dec. 31, 2013
Minimum
Divestiture transaction
Dec. 31, 2014
Minimum
Expected event
Divestiture transaction
Dec. 31, 2015
Minimum
Expected event
Divestiture transaction
Mar. 31, 2014
Maximum
Divestiture transaction
Dec. 31, 2013
Maximum
Divestiture transaction
Dec. 31, 2014
Maximum
Expected event
Divestiture transaction
Dec. 31, 2015
Maximum
Expected event
Divestiture transaction
Mar. 31, 2014
Purchase price
Divestiture transaction
Dec. 31, 2013
Purchase price
Minimum
Divestiture transaction
Dec. 31, 2013
Purchase price
Maximum
Divestiture transaction
Mar. 31, 2014
Sprint Cost Reimbursement
Divestiture transaction
Dec. 31, 2015
Sprint Cost Reimbursement
Maximum
Expected event
Divestiture transaction
Mar. 31, 2014
Sprint Cost Reimbursement
(Gain) loss on sale of business and other exit costs, net
Divestiture transaction
Mar. 31, 2014
Sprint Cost Reimbursement
(Gain) loss on sale of business and other exit costs, net
Divestiture transaction
Dec. 31, 2015
Sprint Cost Reimbursement
(Gain) loss on sale of business and other exit costs, net
Minimum
Expected event
Divestiture transaction
Dec. 31, 2015
Sprint Cost Reimbursement
(Gain) loss on sale of business and other exit costs, net
Maximum
Expected event
Divestiture transaction
Dec. 31, 2015
Sprint Cost Reimbursement
System operations
Maximum
Expected event
Divestiture transaction
Mar. 31, 2014
Employee related costs including severance, retention and outplacement
Divestiture transaction
Mar. 31, 2014
Contract termination costs
Other current liabilities
Divestiture transaction
Mar. 31, 2014
Contract termination costs
Other deferred liabilities and credits
Divestiture transaction
Divestitures                                                    
Business divestiture date     May 16, 2013     Mar. 05, 2014                                        
Business divestiture description     On November 6, 2012, U.S. Cellular entered into a Purchase and Sale Agreement with subsidiaries of Sprint Corp., fka Sprint Nextel Corporation (“Sprint”). Pursuant to the Purchase and Sale Agreement, on May 16, 2013, U.S. Cellular transferred customers and certain PCS license spectrum to Sprint in U.S. Cellular’s Chicago, central Illinois, St. Louis and certain Indiana/Michigan/Ohio markets (“Divestiture Markets”) in consideration for $480 million in cash. The Purchase and Sale Agreement also contemplated certain other agreements, together with the Purchase and Sale Agreement collectively referred to as the “Divestiture Transaction.” Pursuant to the Purchase and Sale Agreement, U.S. Cellular and Sprint also entered into certain other agreements, including customer and network transition services agreements, which require U.S. Cellular to provide customer, billing and network services to Sprint for a period of up to 24 months after the May 16, 2013 closing date. Sprint will reimburse U.S. Cellular for providing such services at an amount equal to U.S. Cellular’s estimated costs, including applicable overhead allocations. These services were substantially complete as of March 31, 2014. In addition, these agreements require Sprint to reimburse U.S. Cellular up to $200 million (the “Sprint Cost Reimbursement”) for certain network decommissioning costs, network site lease rent and termination costs, network access termination costs, and employee termination benefits for specified engineering employees.     On March 5, 2014, U.S. Cellular sold the majority of its St. Louis area non-operating market license for $92.3 million. A gain of $75.8 million was recorded in (Gain) loss on license sales and exchanges in the Consolidated Statement of Operations for the three months ended March 31, 2014.                                        
Business divestiture agreement date     Nov. 06, 2012                                              
Transition services agreement duration                   24M                                
(Increase) decrease in Operating Income $ (7,825) $ (1,466) $ 6,031 $ 45,136 $ (19,360)       $ (49,407)       $ (51,407)                          
(Gain) loss on license sales and exchanges (91,446)         (75,800)                                        
Divestiture Financial Impacts                                                    
Cash received from divestitures (103,042)         (92,300)               (480,000) (480,000) (480,000) (11,300) (200,000) (44,631) (92,272) (120,000) (175,000) (25,000)      
Net assets transferred         213,593   213,593       213,593                              
Non-cash charges for the write-off and write-down of property under construction and related assets     343 222 11,018     10,000       15,000                            
Employee related costs including severance, retention and outplacement     (62) 3,050 14,200     12,000       18,000                            
Contract termination costs     37,087 2,900 96,671       100,000       130,000                          
Transaction costs     209 918 5,774     5,000       7,000                            
Total (Gain) loss on sale of business and other exit costs, net (6,900) 6,931 (7,054) 7,090 (231,016)       (259,407)       (271,407)                          
Incremental depreciation, amortization and accretion, net of salvage values 167,753 189,845 13,085 38,046 211,656     210,000       220,000                            
Balance Sheet rollforward                                                    
Balance, beginning of period                                               2,053 13,992 30,849
Costs incurred                                               169 12,673 24,073
Cash settlements                                               (701) [1] (5,950) [1] (1,924) [1]
Adjustments                                               (231) [2] 792 [2] (8,614) [2]
Balance, end of period                                               $ 1,290 $ 21,507 $ 44,384
[1] Cash settlement amounts are included in either the Net income or changes in Other assets and liabilities line items as part of Cash flows from operating activities on the Consolidated Statement of Cash Flows.
[2] Adjustment to liability represents changes to previously accrued amounts.