SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
Amendment No. 16
Telephone and Data Systems, Inc.
___________________________________________
(Name of Issuer)
Common Stock
___________________________________________
(Title of Class and Securities)
879433100
___________________________________________
(CUSIP Number of Class of Securities)
O. Mason Hawkins
Chairman of the Board and C.E.O.
and
Andrew R. McCarroll
Vice President & General Counsel
Southeastern Asset Management, Inc.
6410 Poplar Avenue; Suite 900
Memphis, TN 38119
(901) 761-2474
___________________________________________________________
(Name, Address and Telephone Number of Person Authorized to
Receive Notices and Communications)
February 20, 2009
___________________________________________
(Date of Event which Requires
Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition which is the subject of this Schedule 13D, and is filing this
Schedule because of Sections 240.13d-1(e), 240.13d-1(f), or 240.13d-1(g), check
the following box: [ ]
CUSIP No. 879433100 13D
___________________________________________________________________
(1) NAMES OF REPORTING PERSONS
Southeastern Asset Management, Inc. I.D. No. 62-0951781
___________________________________________________________________
(2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP:
(a)
(b) X
___________________________________________________________________
(3) SEC USE ONLY
___________________________________________________________________
(4) SOURCE OF FUNDS
OO: Funds of investment advisory clients
___________________________________________________________________
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS
REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [X]
___________________________________________________________________
(6) CITIZENSHIP OR PLACE OF ORGANIZATION
Tennessee
___________________________________________________________________
:(7) SOLE VOTING POWER
: (Discretionary Accounts)
NUMBER OF SHARES BENEFICIALLY : 1,310,148 shares
OWNED BY EACH REPORTING PERSON ________________________________
WITH :(8) SHARED OR NO VOTING POWER
: 1,530,800 shares (Shared)
234,800 shares (None)
________________________________
:(9) SOLE DISPOSITIVE POWER
: (Discretionary Accounts)
: 1,538,948 shares
________________________________
:(10) SHARED OR NO DISPOSITIVE POWER
: 1,530,800 shares (Shared)
6,000 shares (None)
___________________________________________________________________
(11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
3,075,748 shares
___________________________________________________________________
(12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11 EXCLUDES
CERTAIN SHARES
___________________________________________________________________
(13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
5.8%
___________________________________________________________________
(14) TYPE OF REPORTING PERSON
IA
___________________________________________________________________
Note: All shares identified above are shares of the Issuer's class of Common
Stock, and the percentage in Row 13 above relates to such class of Common
Stock.
CUSIP No. 879433100 13D
___________________________________________________________________
(1) NAMES OF REPORTING PERSONS
Longleaf Partners Fund I.D. No. 63-6147721
___________________________________________________________________
(2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP:
(a)
(b) X
___________________________________________________________________
(3) SEC USE ONLY
___________________________________________________________________
(4) SOURCE OF FUNDS
OO: Funds of investment company shareholders
___________________________________________________________________
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS
REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ]
___________________________________________________________________
(6) CITIZENSHIP OR PLACE OF ORGANIZATION
Massachusetts
___________________________________________________________________
:(7) SOLE VOTING POWER
:
NUMBER OF SHARES BENEFICIALLY : None
OWNED BY EACH REPORTING PERSON ________________________________
WITH :(8) SHARED VOTING POWER
: 1,530,800 shares
________________________________
:(9) SOLE DISPOSITIVE POWER
:
: None
________________________________
:(10) SHARED DISPOSITIVE POWER
: 1,530,800 shares
___________________________________________________________________
(11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,530,800 shares
___________________________________________________________________
(12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11 EXCLUDES
CERTAIN SHARES [ ]
___________________________________________________________________
(13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
2.9%
___________________________________________________________________
(14) TYPE OF REPORTING PERSON
IV
___________________________________________________________________
Note: All shares identified above are shares of the Issuer's class of Common
Stock, and the percentage in Row 13 above relates to such class of Common
Stock.
CUSIP No. 879433100 13D
___________________________________________________________________
(1) NAMES OF REPORTING PERSONS
O. Mason Hawkins I.D. No. XXX-XX-XXXX
___________________________________________________________________
(2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP:
(a)
(b) X
___________________________________________________________________
(3) SEC USE ONLY
___________________________________________________________________
(4) SOURCE OF FUNDS
OO: None
___________________________________________________________________
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS
REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [ ]
___________________________________________________________________
(6) CITIZENSHIP OR PLACE OF ORGANIZATION
Citizen of United States
___________________________________________________________________
:(7) SOLE VOTING POWER
: (Discretionary Accounts)
NUMBER OF SHARES BENEFICIALLY : None
OWNED BY EACH REPORTING PERSON ________________________________
WITH :(8) SHARED VOTING POWER
: None
________________________________
:(9) SOLE DISPOSITIVE POWER
: None
________________________________
:(10) SHARED DISPOSITIVE POWER
: None
___________________________________________________________________
(11) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
None (See Item 2)
___________________________________________________________________
(12) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11 EXCLUDES
CERTAIN SHARES [ ]
___________________________________________________________________
(13) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
0.0%
___________________________________________________________________
(14) TYPE OF REPORTING PERSON
IN
___________________________________________________________________
Note: All shares identified above are shares of the Issuer's class of Common
Stock, and the percentage in Row 13 above relates to such class of Common
Stock.
Item 4. Purpose of Transaction
Item 4 of Southeastern's previously filed Schedule 13D entitled "Purpose
of Transaction" is hereby amended and supplemented by adding the following at
the end thereof:
Southeastern Asset Management, Inc. ("Southeastern") today, with the
assistance of its client Longleaf Partners Fund, initiated a request under
Section 220 of the Delaware General Corporation Law to require Telephone
and Data Systems, Inc. ("TDS") to disclose information related to its
purported retention of a nationally recognized consulting firm (the
"Consultant") and that firm's findings and recommendations to TDS.
In multiple conversations with Southeastern, TDS's Board has repeatedly
cited its Consultant's report(s) and findings as justification for TDS's
strategy; however, the Board and management have refused to disclose any
details surrounding such engagement or its findings. Southeastern believes
that the Board and management have an obligation to act in the best interest of
all shareholders by pursuing that corporate strategy which maximizes
shareholder value. As part of that process, Southeastern believes the Board
must provide some level of disclosure to interested shareholders and not expect
shareholders to act "on faith" without supporting disclosure of facts and
research. Accordingly, Southeastern has informally iterated its request for a
copy of the Consultant's report cited by the Board. TDS's Board and management
have refused. Because of that response, Southeastern is filing today's
request.
Southeastern and/or one or more of its affiliates and investment advisory
clients, including Longleaf Partners Fund (collectively, the "Southeastern
Group"), may purchase from time to time in open market or privately negotiated
transactions additional Securities, or options or derivatives related thereto.
From time to time, one or more members of the Southeastern Group may also hold
discussions or otherwise communicate with the Issuer's management, Board and
other representatives of the Issuer, as well as other shareholders of the
Issuer or other relevant parties, to discuss potential strategic alternatives
available to the Issuer, including, but not limited to, a recapitalization, a
sale of all or a portion of the Issuer or other matters that may include one or
more of the other actions described in subsections (a) through (j) of Item 4 of
Schedule 13D. The Southeastern Group may also pursue other available courses
of action, but it has elected not to submit Board of Director nominees for
election at the Issuer's 2009 Annual Meeting. In addition, the Southeastern
Group may determine to dispose of all or a portion of its Securities.
Except as set forth above, none of the Reporting Persons has any plans or
proposals which relate to, or could result in, any of the matters referred to
in subsections (a) through (j) of Item 4 of Schedule 13D. Each member of the
Southeastern Group may, at any time, review or reconsider its position with
respect to the Issuer and formulate plans or proposals with respect to any of
such matters.
Item 5. Interest In Securities Of The Issuer
Item 5 shall be amended and restated as follows:
(a) The aggregate number and percentage of Securities to which
this Schedule 13D relates is 3,075,748 shares of the common stock of
the Issuer, constituting approximately 5.8% of the 53,197,083 shares
outstanding.
Common % of outstanding
Shares Held Common Shares
___________________________________________________________________
Voting Authority
Sole: 1,310,148 2.5%
Shared: 1,530,800* 2.9%
None: 234,800 0.4%
Total 3,075,748 5.8%
*Shares owned by Longleaf Partners Fund, a series of Longleaf Partners Funds
Trust.
Dispositive Authority
Sole: 1,538,948 2.9%
Shared: 1,530,800* 2.9%
None: 6,000 0.0%
Total 3,075,748 5.8%
*Shares owned by Longleaf Partners Fund, a series of Longleaf Partners Funds
Trust.
(b) Southeastern generally has the sole power to dispose of or to direct
the disposition of the Securities held for discretionary accounts of its
investment clients, and may be granted the sole power to vote or direct the
vote of such Securities; such powers may be retained by or shared with the
respective clients for shared or non-discretionary accounts, for which
Southeastern generally makes recommendations with respect thereto. Shares held
by any Series of Longleaf Partners Funds Trust are reported in the "shared"
category.
(c) Transactions in the Securities during the past sixty days are attached
as Schedule II.
(d) The investment advisory clients of Southeastern have the sole right to
receive and, subject to notice, to withdraw the proceeds from the sale of the
Securities, and the sole power to direct the receipt of dividends from any of
the Securities held for their respective accounts. Such clients may also
terminate the investment advisory agreements without penalty upon appropriate
notice. Southeastern does not have an economic interest in any of the
Securities reported herein.
(e) Not applicable.
SIGNATURES
After reasonable inquiry and to the best of my knowledge and belief, I certify
that the information set forth in this statement is true, complete and correct.
Dated: February 20, 2009
SOUTHEASTERN ASSET MANAGEMENT, INC.
By /s/ Andrew R. McCarroll
_______________________________
Andrew R. McCarroll
Vice President & General Counsel
LONGLEAF PARTNERS FUND
By Southeastern Asset Management, Inc.
By /s/ Andrew R. McCarroll
_______________________________
Andrew R. McCarroll
Vice President & General Counsel
O. MASON HAWKINS, Individually
/s/ O. Mason Hawkins
________________________________
Joint Filing Agreement
In accordance with Rule 13d-1(k) under the Securities Exchange Act
of 1934, the persons or entities named below agree to the joint
filing on behalf of each of them of this Amendment No. 16 to Schedule 13D with
respect to the Securities of the Issuer and further agree that this joint
filing agreement be included as an exhibit to this Amendment No. 16 to Schedule
13D. In evidence thereof, the undersigned hereby execute this Agreement as
of February 20, 2009.
Southeastern Asset Management, Inc.
By: /s/ Andrew R. McCarroll
__________________________________
Andrew R. McCarroll
Vice President and General Counsel
Longleaf Partners Fund
By Southeastern Asset Management, Inc.
By: /s/ Andrew R. McCarroll
__________________________________
Andrew R. McCarroll
Vice President & General Counsel
O. Mason Hawkins, Individually
/s/ O. Mason Hawkins
__________________________________
Schedule II
Transactions in the Last Sixty Days
Transaction Type Date # of Shares Price per Share *
Sale 12/22/08 800 $29.87
Sale 12/22/08 1,000 $29.87
Sale 01/21/09 16,952 $30.63
Sales in the ordinary course of business on the American Stock
Exchange or through Electronic Communication Networks (ECNs).
* Net of commissions
1