U.S Cellular lowers outlook

U.S. Cellular expects lower than anticipated profits for 2007 because the carrier attracted only about 325,000 new subscribers last year, instead of the expected 375,000 to 425,000 subs. As a result, the carrier predicts operating income between $385 million and $435 million for 2007, down from a previous forecast of between $410 million and $460 million. U.S. Cellular also reported that it traded licensing assets with another carrier in order to widen its spectrum for coverage requirements in some key markets. That deal, which comes with a pre-tax $21 million loss, will further tighten margins at the carrier.

For more on U.S. Cellular's outlook:
- read this article from the AP