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                                   Before the

                       Federal Communications Commission

                             Washington, D.C. 20554


                                          )                               
                                                                          
                                          )                               
                                              File No. EB-07-SE-009       
     In the Matter of                     )                               
                                              NAL/Acct. No. 200732100047  
     United States Cellular Corporation   )                               
                                              FRN # 0004372322            
                                          )                               
                                                                          
                                          )                               


                  Notice of apparent Liability for forfeiture

   Adopted: August 29, 2007  Released:   August 30, 2007

   By the Commission: Chairman Martin issuing a statement.

   I. introduction

    1. In this Notice of Apparent Liability for Forfeiture ("NAL"), we find
       United States Cellular Corporation ("USCC") apparently liable for a
       forfeiture in the amount of five hundred thousand dollars ($500,000)
       for the willful and repeated violation of Section 20.18(g)(1)(v) of
       the Commission's Rules ("Rules"). The apparent violation involves
       USCC's failure to comply with the Commission's requirement that
       wireless carriers employing a handset-based Enhanced 911 ("E911")
       Phase II location technology must achieve 95% penetration, among their
       subscribers, of location-capable handsets by December 31, 2005.

   II. Background

    2. The Commission's wireless E911 rules ensure that the important public
       safety needs of wireless callers requiring emergency assistance are
       met as quickly as possible. Under Phase II of the E911 rules, wireless
       licensees are required to provide Public Safety Answering Points
       ("PSAPs") with Automatic Location Identification ("ALI") information
       for 911 calls. Licensees can provide ALI information by deploying
       location information technology in their networks (a network-based
       solution), or Global Positioning System ("GPS") or other location
       technology in subscribers' handsets (a handset-based solution). The
       Commission's rules also establish phased-in schedules for carriers to
       deploy any necessary network components and begin providing Phase II
       service. However, before a wireless licensee's obligation to provide
       E911 service is triggered, a PSAP must make a valid request for E911
       service, i.e., the PSAP must be capable of receiving and utilizing the
       data elements associated with the service and must have a mechanism in
       place for recovering its costs.

    3. In addition to deploying the network facilities necessary to deliver
       location information, wireless licensees that elect to employ a
       handset-based solution must meet the handset deployment benchmarks set
       forth in Section 20.18(g)(1) of the Commission's Rules, independent of
       any PSAP request for Phase II service. After ensuring that 100% of all
       new digital handsets activated are location-capable, licensees were
       required to achieve 95% penetration, among their subscribers, of
       location-capable handsets no later than December 31, 2005.

    4. On January 5, 2007, the Commission issued an order denying a request
       for waiver filed by USCC of the December 31, 2005 handset penetration
       deadline. In the USCC Waiver Order, the Commission found that USCC
       failed to meet the Commission's standards for waiver of the 95%
       handset penetration requirement because (1) its efforts to encourage
       subscribers to upgrade non-compliant handsets were insufficient; (2)
       it "inexcusably delayed, until 2006, instituting more aggressive
       measures of attaining compliance;" (3) it did not know the compliance
       status of 7% of its customers; and (4) its uncertainty about how or
       when it would achieve compliance was evidence of its lack of a clear
       path to compliance. The Commission also found that USCC's conceded
       failure to meet 95% handset penetration by the December 31, 2005
       deadline should be addressed through the enforcement process and
       referred the matter of the carrier's non-compliance with Section
       20.18(g)(1)(v) of the Rules to the Enforcement Bureau. Specifically,
       USCC achieved an approximate penetration rate of only 88.76% by the
       December 31, 2005 deadline.

    5. On July 12, 2007, the Enforcement Bureau issued a letter of inquiry
       requesting that USCC provide certain supplemental information related
       to its efforts to meet the E911 handset requirements. Specifically,
       the letter requested that USCC provide, among other things, a timeline
       of all actions taken, both before and after the December 31, 2005
       deadline, to encourage customers to upgrade to E911 compliant
       handsets, including any incentives and special promotions, information
       concerning the costs and expenditures of these actions and incentives,
       and information concerning the "take rate" or effect these actions and
       incentives had on USCC's overall compliance rate. USCC submitted its
       response on July 25, 2007.

   III. Discussion

          A. Failure to Comply with E911 Handset Penetration Requirement

    6. The Commission has determined based on the record established in the
       waiver proceeding that USCC failed to comply with the handset
       penetration deadline. USCC does not dispute that it achieved an
       approximate penetration rate of only 88.76% by the December 31, 2005
       deadline. Accordingly, we conclude that USCC apparently willfully and
       repeatedly failed to comply with the 95% handset penetration
       requirement by the December 31, 2005 deadline in violation of Section
       20.18(g)(1)(v) of the Rules.

     A. Proposed Forfeiture

    7. Under Section 503(b)(1)(B) of the Act, any person who is determined by
       the Commission to have willfully or repeatedly failed to comply with
       any provision of the Act or any rule, regulation, or order issued by
       the Commission shall be liable to the United States for a forfeiture
       penalty. To impose such a forfeiture penalty, the Commission must
       issue a notice of apparent liability and the person against whom such
       notice has been issued must have an opportunity to show, in writing,
       why no such forfeiture penalty should be imposed. The Commission will
       then issue a forfeiture if it finds by a preponderance of the evidence
       that the person has violated the Act or a Commission rule. We conclude
       under this standard that USCC is apparently liable for forfeiture for
       its apparent willful and repeated violation of Section 20.18(g)(1)(v)
       of the Rules.

    8. Under Section 503(b)(2)(B) of the Act, we may assess a common carrier
       a forfeiture of up to $130,000 for each violation, or for each day of
       a continuing violation up to a maximum of $1,325,000 for a single act
       or failure to act. In exercising such authority, we are required to
       take into account "the nature, circumstances, extent, and gravity of
       the violation and, with respect to the violator, the degree of
       culpability, any history of prior offenses, ability to pay, and such
       other matters as justice may require."

    9. The Commission's Forfeiture Policy Statement and Section 1.80 of the
       Rules do not establish a base forfeiture for violation of Section
       20.18(g)(1)(v). Nevertheless, the Commission has stated that the
       "omission of a specific rule violation from the list ... [establishing
       base forfeiture amounts] should not signal that the Commission
       considers any unlisted violation as nonexistent or unimportant. The
       Commission expects, and it is each licensee's obligation, to know and
       comply with all of the Commission's rules." Thus, the Commission
       retains its discretion to issue forfeitures on a case-by-case basis,
       and has assessed forfeiture liability, for rule violations
       irrespective of whether corresponding base forfeiture amounts have
       been established.

   10. Having considered the statutory factors enumerated above in
       conjunction with the entire record in this proceeding, including the
       supplemental information provided by USCC, we conclude that a
       substantial proposed forfeiture is warranted. First, we find that the
       violations here are egregious. Violations of E911 requirements are
       extremely serious, given the critical function these requirements
       serve in promoting and safeguarding life and property. As the
       Commission has previously stated, it is critical for all handset-based
       carriers to have met the final implementation deadline of December 31,
       2005 for 95% location-capable handset penetration in order to allow
       all stakeholders (including carriers, technology vendors, public
       safety entities, and consumers) to have greater certainty about when
       Phase II would be implemented and ensure that Phase II would be fully
       implemented as quickly as possible. Absent Phase II location data,
       emergency call takers and responders must expend critical time and
       resources questioning wireless 911 callers to determine their
       location, searching for those callers when the callers cannot provide
       this information, or both. In this regard, we take into account the
       substantial percentage of noncompliance at the deadline (6.24%) and
       the significant number of customers affected by USCC's noncompliance.
       We observe that USCC had nearly 5.5 million wireless customers at the
       end
       of 2005.

   11. Moreover, our finding of an egregious violation is further buttressed
       by the length of time that carriers have been on notice of the final
       handset penetration deadline -- since at least 1999 -- and the fact
       that the Commission has affirmed USCC's obligation to meet the handset
       penetration deadline. For example, in July 2002, the Commission
       extended the deadlines for Tier II carriers, including USCC, with
       respect to the sale and activation of location-capable handsets, but
       did not extend the December 31, 2005 deadline for achieving 95%
       penetration of location-capable handsets.

   12. We also believe that a substantial proposed forfeiture is warranted
       based on the continuous and repeated nature of the violations. USCC
       did not achieve 95% handset penetration among its subscribers until
       August 31, 2006, eight months after the December 31, 2005 deadline. In
       this context, where every day of a continuing violation has the
       potential of threatening the delivery of critical, life-saving
       services, an eight-month delay in compliance compels a significant
       proposed forfeiture.

   13. Further, we take into account USCC's size and ability to pay a
       forfeiture in determining the appropriate forfeiture amount. USCC is a
       Tier II wireless service provider, serving more than 5.8 million
       subscribers in 26 states as of the end of 2006. USCC generated more
       than $3.2 billion in revenues in 2006. As the Commission made clear in
       the Forfeiture Policy Statement, large or highly profitable
       communications entities, such as USCC, could expect forfeitures
       significantly higher than those reflected in the base amounts. In view
       of USCC's size and ability to pay, we believe that a substantial
       proposed forfeiture is appropriate to serve as an effective deterrent
       to future violations of the
       E911 requirements.

   14. Although a substantial forfeiture is warranted, we believe an amount
       less than the statutory maximum forfeiture is appropriate here. Of the
       three carriers referred to the Enforcement Bureau, USCC was the first
       to reach compliance. While USCC did not begin compliance efforts until
       late 2005, it showed an aggressive and innovative set of efforts, as
       well as significant expenditures relative to its customer and revenue
       bases. While laudable and important, we note that remedial efforts
       taken after the deadline do not mitigate USCC's violation.

   15. Accordingly, based on the egregious, continuous and repeated nature of
       the violations and USCC's ability to pay a forfeiture, we propose a
       forfeiture in the amount of $500,000 for USCC's willful and repeated
       failure to achieve 95% handset penetration among its subscribers by
       December 31, 2005 in violation of Section 20.18(g)(1)(v) of the Rules.

   IV. ordering clauses

   16. Accordingly, IT IS ORDERED that, pursuant to Section 503(b) of the
       Act, and Section 1.80 of the Rules, United States Cellular Corporation
       is NOTIFIED of its APPARENT LIABILITY FOR A FORFEITURE in the amount
       of five hundred thousand dollars ($500,000) for willful and repeated
       violation of Section 20.18(g)(1)(v) of the Rules.

   17. IT IS FURTHER ORDERED that, pursuant to Section 1.80 of the Rules,
       within thirty days of the release date of this Notice of Apparent
       Liability for Forfeiture, United States Cellular Corporation SHALL PAY
       the full amount of the proposed forfeiture or SHALL FILE a written
       statement seeking reduction or cancellation of the proposed
       forfeiture.

   18. Payment of the forfeiture must be made by check or similar instrument,
       payable to the order of the Federal Communications Commission. The
       payment must include the NAL/Acct. No. and FRN No. referenced above.
       Payment by check or money order may be mailed to Federal
       Communications Commission, P.O. Box 358340, Pittsburgh, PA 15251-8340.
       Payment by overnight mail may be sent to Mellon Bank/LB 358340, 500
       Ross Street, Room 1540670, Pittsburgh, PA 15251. Payment by wire
       transfer may be made to ABA Number 043000261, receiving bank Mellon
       Bank, and account number 911-6106.

   19. The response, if any, must be mailed to the Office of the Secretary,
       Federal Communications Commission, 445 12th Street, S.W., Washington,
       D.C. 20554, ATTN: Enforcement Bureau - Spectrum Enforcement Division,
       and must include the NAL/Acct. No. referenced in the caption.

   20. The Commission will not consider reducing or canceling a forfeiture in
       response to a claim of inability to pay unless the petitioner submits:
       (1) federal tax returns for the most recent three-year period; (2)
       financial statements prepared according to generally accepted
       accounting practices; or (3) some other reliable and objective
       documentation that accurately reflects the petitioner's current
       financial status. Any claim of inability to pay must specifically
       identify the basis for the claim by reference to the financial
       documentation submitted.

   21. Requests for payment of the full amount of the NAL under an
       installment plan should be sent to: Associate Managing Director -
       Financial Operations, 445 12th Street, S.W., Room 1-A625, Washington,
       D.C. 20554.

   22. IT IS FURTHER ORDERED that a copy of this Notice of Apparent Liability
       for Forfeiture  shall be sent by first class mail and certified mail
       return receipt requested to United States Cellular Corporation, 8410
       W. Bryn Mawr, Suite 700, Chicago, IL 60631 and to Thomas P. Van Wazer,
       Sidley Austin LLP, 1501 K Street, N.W., Washington, DC 20005.

   FEDERAL COMMUNICATIONS COMMISSION

   Marlene H. Dortch

   Secretary

                                  STATEMENT OF

                            CHAIRMAN KEVIN J. MARTIN

   Re: In the Matter of Alltel Corporation, Notice of Apparent Liability for
   Forfeiture, EB-07-SE-008

   Re: In the Matter of Sprint Nextel Corporation, Notice of Apparent
   Liability for Forfeiture, EB-07-SE-006

   Re: In the Matter of US Cellular Corporation, Notice of Apparent Liability
   for Forfeiture, EB-07-SE-009

   Ensuring that E911 service meets the needs of public safety and the
   expectations of the American people is a top priority of mine and of the
   Commission. I recognize that the public expects us to get these issues
   right. One of my first actions when I became Chairman was to ensure that
   all Americans could pick up the phone and dial 911 and connect to
   emergency services whether they were using a wireline, wireless or
   Internet phone. On the wireless side, Americans increasingly expect that
   dialing 911 also means first responders can pinpoint a caller's location,
   even when the caller is incapacitated or does not know where he or she is.
   To this end, the FCC required all carriers to ensure that 95% of their
   subscribers have handsets that are location capable by December 31, 2005.

   Alltel, Sprint Nextel, and U.S. Cellular failed to meet this critical
   deadline by a significant margin, despite the clear requirements of the
   Commission and the needs of their consumers. While we recognize the
   efforts undertaken by the carriers, and encourage the continued efforts of
   all carriers to enhance these life-saving technologies and work with the
   public safety community, the fines issued today are significant and
   appropriate. Our actions today underscore the critical importance that 911
   services play in the lives of the public. I continue to believe that one
   of the Commission's highest obligations is facilitating the ability of the
   public safety community to help those in need. Effective enforcement of
   our E911 rules is a valuable and necessary tool in achieving this mission.

   47 C.F.R. S: 20.18(g)(1)(v).

   Id.

   See 47 C.F.R. S: 20.18(e).

   Network-based location solutions employ equipment and/or software added to
   wireless carrier networks to calculate and report the location of handsets
   dialing 911. These solutions do not require changes or special hardware or
   software in wireless handsets. See 47 C.F.R. S: 20.3, Network-based
   Location Technology.

   Handset-based location solutions employ special location-determining
   hardware and/or software in wireless handsets, often in addition to
   network upgrades, to identify and report the location of handsets calling
   911. See 47 C.F.R. S: 20.3, Location-Capable Handsets.

   See 47 C.F.R. S: 20.18(f), (g)(2).

   See 47 C.F.R. S: 20.18(j)(1).

   See 47 C.F.R. S: 20.18(g)(1).

   See 47 C.F.R. S: 20.18(g)(1)(v).

   See Request for a Limited Waiver of United States Cellular Corporation,
   Order, 22 FCC Rcd 360 (2007) ("USCC Waiver Order"), recon. pending.

   USCC Waiver Order, 22 FCC Rcd at 361 P: 3, 368 P:21.

   USCC Waiver Order, 22 FCC Rcd at 369 P: 23. The Commission previously has
   placed carriers on notice that referrals may be made to the Enforcement
   Bureau for failure to comply with an applicable Phase II deadline, even
   when requests for relief are submitted in advance of deadlines set forth
   in the Commission's Rules or orders. See Revision of Commission's Rules to
   Ensure Compatibility with Enhanced 911 Emergency Calling Systems, Order,
   18 FCC Rcd 21838, 21844 P: 12 (2003) ("A carrier may seek a waiver in
   advance of a deadline in the Phase II rules or its compliance plan.
   However, the carrier always becomes liable for possible enforcement action
   if it fails to comply with an applicable Phase II deadline. Referral to
   the Enforcement Bureau when such an apparent violation is reported, or
   otherwise appears likely, is a normal and familiar exercise of the
   Commission's authority and discretion").

   In the USCC Waiver Order, the Commission found that USCC had achieved an
   approximate penetration rate of only 85% by the December 31, 2005
   deadline. USCC Waiver Order, 22 FCC Rcd at 363 P: 8. This figure was
   USCC's estimate of a "worst case scenario" based on the assumption that
   all of the unidentified 7% of its subscribers lack location-capable
   handsets. Id. USCC subsequently amended its estimate to 88.76%. See Letter
   from Thomas P. Van Wazer, Counsel for United States Cellular Corporation,
   to Marlene H. Dortch, Secretary, Federal Communications Commission, CC
   Docket No. 94-102 (May 23, 2007) ("Supplement to USCC Petition for
   Reconsideration" or "Supplement"); see also Declaration of Steven T.
   Campbell, Executive Vice President - Finance and Chief Financial Officer,
   United States Cellular Corporation (June 25, 2007) ("USCC Declaration").
   USCC requested confidential treatment of the June 25, 2007 Declaration.
   See Letter from Thomas P. Van Wazer, Counsel for United States Cellular
   Corporation, to Federal Communications Commission (June 26, 2007).
   Although USCC sought confidential treatment of its June 25, 2007
   Declaration, it had already made the 88.76% figure publicly available in
   its May 23, 2007 Supplement. Although we do not rule on USCC's request for
   confidentiality at this time, we will accord confidential treatment of the
   Declaration's contents that are not otherwise publicly available for
   purposes of this NAL. See 47 C.F.R. S: 0.495(d).

   Letter from Kathryn S. Berthot, Chief, Spectrum Enforcement Division,
   Enforcement Bureau, to Thomas P. Van Wazer, Counsel for United States
   Cellular Corporation (July 12, 2007).

   Letter from Thomas P. Van Wazer, Counsel for United States Cellular
   Corporation, to Kathryn S. Berthot, Chief, Spectrum Enforcement Division,
   Enforcement Bureau (July 25, 2007) ("LOI Response").

   See supra P:  4.

   Section 312(f)(1) of the Act defines "willful" as "the conscious and
   deliberate commission or omission of [any] act, irrespective of any intent
   to violate" the law. 47 U.S.C. S: 312(f)(1). The legislative history of
   Section 312(f)(1) of the Act clarifies that this definition of willful
   applies to both Sections 312 and 503(b) of the Act, H.R. Rep. No. 97-765,
   97th Cong. 2d Sess. 51 (1982), and the Commission has so interpreted the
   term in the Section 503(b) context. See Southern California Broadcasting
   Co., Memorandum Opinion and Order, 6 FCC Rcd 4387, 4388 (1991), recon.
   denied, 7 FCC Rcd 3454 (1992) ("Southern California").

   Section 312(f)(2) of the Act, which also applies to forfeitures assessed
   pursuant to Section 503(b) of the Act, provides that "[t]he term
   `repeated,' ... means the commission or omission of such act more than
   once or, if such commission or omission is continuous, for more than one
   day." 47 U.S.C. S: 312(f)(2). See Callais Cablevision, Inc., Notice of
   Apparent Liability for Forfeiture,16 FCC Rcd 1359, 1362 P: 9 (2001);
   Southern California, 6 FCC Rcd at 4388.

   47 U.S.C. S: 503(b)(1)(B); 47 C.F.R. S: 1.80(a)(1).

   47 U.S.C. S: 503(b); 47 C.F.R. S: 1.80(f).

   See, e.g., SBC Communications, Inc., Forfeiture Order, 17 FCC Rcd 7589,
   7591 P: 4 (2002).

   47 U.S.C. S: 503(b)(2)(B). The Commission twice amended Section 1.80(b)(3)
   of the Rules, 47 C.F.R. S: 1.80(b)(3), to increase the maximum forfeiture
   amounts, in accordance with the inflation adjustment requirements
   contained in the Debt Collection Improvement Act of 1996, 28 U.S.C. S:
   2461. See Amendment of Section 1.80 of the Commission's Rules and
   Adjustment of Forfeiture Maxima to Reflect Inflation, Order,  15 FCC Rcd
   18221 (2000) (adjusting the maximum statutory amounts from
   $100,000/$1,000,000 to $120,000/$1,200,000); Amendment of Section 1.80 of
   the Commission's Rules and Adjustment of Forfeiture Maxima to Reflect
   Inflation, Order, 19 FCC Rcd 10945 (2004) (adjusting the maximum statutory
   amounts from $120,000/$1,200,000 to $130,000/$1,325,000); see also 47
   C.F.R. S: 1.80(c).

   47 U.S.C. S: 503(b)(2)(E). See also 47 C.F.R. S: 1.80(b)(4), Note to
   paragraph (b)(4): Section II. Adjustment Criteria for Section 503
   Forfeitures.

   See The Commission's Forfeiture Policy Statement and Amendment of Section
   1.80 of the Rules to Incorporate the Forfeiture Guidelines, 12 FCC Rcd
   17087, 17115 (1997), recon. denied, 15 FCC Rcd 303 (1999) ("Forfeiture
   Policy Statement").

   12 FCC Rcd at 17099 P: 22.

   Id.

   See Callais Cablevision, Inc., Forfeiture Order, 17 FCC Rcd 22626, 22630
   P:P: 19-20 (2002) (assessing an aggregate $133,000 forfeiture irrespective
   of the absence of an established base forfeiture for violations of the
   cable signal leakage standards); Midwest Television, Inc., 20 FCC Rcd 3959
   (Enf. Bur. 2005) (assessing a $20,000 proposed forfeiture irrespective of
   the absence of an established base forfeiture for failure to broadcast
   emergency information accessible to hearing impaired viewers); A-O
   Broadcasting Corp., 31 Communications Reg. (P&F) 411 P: 22 (2003),
   forfeiture ordered, 20 FCC Rcd 756 (2005) (assessing a $28,000 forfeiture,
   inter alia, irrespective of the absence of an established base forfeiture
   for violations of radio frequency exposure limits).

   USCC requested confidential treatment of its July 25, 2007 LOI Response.
   See Letter from Thomas P. Van Wazer, Counsel for United States Cellular
   Corporation, to Federal Communications Commission (July 25, 2007).
   Although we do not rule on USCC's request for confidentiality at this
   time, we will accord confidential treatment of the LOI Response for
   purposes of this NAL except where the information contained therein is
   otherwise publicly available. See 47 C.F.R. S: 0.495(d).

   See Revision of the Commission's Rules to Ensure Compatibility with
   Enhanced 911 Emergency Calling Systems, Second Memorandum Opinion and
   Order,  14 FCC Rcd 20850, 20852 P: 2 (1999), clarified, 16 FCC Rcd 18982
   (2001); see also Dobson Cellular Systems, Inc. and American Cellular
   Corporation, 21 FCC Rcd 4684, 4707 P: 59 (2006), consent decree ordered,
   22 FCC Rcd 7968 (2007); T-Mobile USA, Inc., Notice of Apparent Liability
   for Forfeiture,  18 FCC Rcd 3501, 3504 P: 7 (2003); Sprint Spectrum LP
   d/b/a Sprint PCS, Notice of Apparent Liability for Forfeiture,  19 FCC Rcd
   19901, 19906 P: 12 (Enf. Bur. 2004), consent decree ordered, 20 FCC Rcd
   12328 (Enf. Bur. 2005).

   See Revision of the Commission's Rules to Ensure Compatibility with
   Enhanced 911 Emergency Calling Systems; Phase II Compliance Deadlines for
   Non-Nationwide Carriers, Order  to  Stay, 17 FCC Rcd 14841, 14853 P: 38
   (2002) ("Non-Nationwide Carriers Order").

   Phase I E911 service provides a PSAP with data elements containing the
   telephone number of the originator of the 911 call and the location of the
   cell site or base station receiving the 911 call. See 47 C.F.R. S:
   20.18(d). Thus, the actual location of the caller can be miles distant
   from the location information provided to the PSAP, with consequent delay
   in providing the caller with emergency services, assuming that the caller
   actually can be located. Phase II service, by comparison, has a required
   location accuracy of 100 meters for 67% of calls and 300 meters for 95% of
   calls (for a network-based location solution) or 50 meters for 67% of
   calls and 150 meters for 95% of calls (for a handset-based location
   solution). See 47 C.F.R. S: 20.18(h)(1)-(2).

   See United States Cellular Corporation 2005 Annual Report on Form 10-K
   (filed July 28, 2006), www.uscellular.com.

   See Revision of the Commission's Rules to Ensure Compatibility with
   Enhanced 911 Emergency Calling Systems, Third Report and Order, 14 FCC Rcd
   17388, 17408 P: 42 (1999), modified, Revision of the Commission's Rules to
   Ensure Compatibility with Enhanced 911 Emergency Calling Systems, Fourth
   Memorandum Opinion and Order, 15 FCC Rcd 17442, 17445 P: 36 (2000).

   See Non-Nationwide Carriers Order, 17 FCC Rcd at 14849 P: 27.

   See USCC Declaration at 3; Supplement to USCC Petition for Reconsideration
   at 2.

   Tier II carriers are Commercial Mobile Radio Service providers that had
   over 500,000 subscribers as of the end of 2001 but were not designated as
   nationwide Tier I carriers by the Commission. See Non-Nationwide Carriers
   Order, 17 FCC Rcd at 14847-48 P:P: 22-23.

   See United States Cellular Corporation 2006 Annual Report on Form 10-K
   (filed April 23, 2007), www.uscellular.com.

   Id.

   Specifically, the Commission stated:

   [O]n the other end of the spectrum of potential violations, we recognize
   that for large or highly profitable communication entities, the base
   forfeiture amounts ... are generally low. In this regard, we are mindful
   that, as Congress has stated, for a forfeiture to be an effective
   deterrent against these entities, the forfeiture must be issued at a high
   level .... For this reason, we caution all entities and individuals that,
   independent from the uniform base forfeiture amounts ..., we intend to
   take into account the subsequent violator's ability to pay in determining
   the amount of a forfeiture to guarantee that forfeitures issued against
   large or highly profitable entities are not considered merely an
   affordable cost of doing business. Such large or highly profitable
   entities should expect in this regard that the forfeiture amount set out
   in a Notice of Apparent Liability against them may in many cases be above,
   or even well above, the relevant base amount.

   Forfeiture Policy Statement, 12 FCC Rcd at 17099-100.

   See United States Cellular Corporation Quarterly E911 Implementation
   Report, CC Docket No. 94-102 (filed August 1, 2007). USCC described its
   handset offers and its expenditures in its July 25, 2007 LOI Response. See
   supra n. 28.

   See e.g., AT&T Wireless Services, Inc., Forfeiture Order, 17 FCC Rcd
   21866, 21875-6 P:P: 26-28 (2002) (remedial action to correct tower
   painting violation was not a mitigating factor warranting reduction of
   forfeiture); Seawest Yacht Brokers, Forfeiture Order, 9 FCC Rcd 6099, 6099
   P: 7 (1994) (corrective action taken to comply with the Rules is expected,
   and does not mitigate any prior forfeitures or violations).

   See 47 C.F.R. S: 1.1914.

   (Continued from previous page)

   (continued....)

   Federal Communications Commission FCC 07-157

   2

   Federal Communications Commission FCC 07-157