GTE will consolidate certain staff functions and relocate corporate headquarters to Dallas.

STAMFORD, Conn. -- GTE Corp. today announced a consolidation of certain corporate and operating-unit staffs that will result in the relocation of GTE's corporate-staff functions to the greater-Dallas area, where the company's Telephone Operations and Directories businesses are located.

"This realignment of certain staff functions is just the first step in implementing a much more aggressive and broader worldwide strategy to seize the opportunities that await us," said GTE Chairman and Chief Executive Officer Charles R. Lee. "The opportunities presented by the Telecommunications Act and the explosive growth of our businesses make it imperative that we integrate and, in the near future, centralize where practicable GTE's staff functions into single unified departments to support 'one company, one brand, one face' to our customers.

"These actions will enable GTE to respond aggressively to the fiercely competitive marketplace as a single, unified company more quickly, more efficiently and with lower costs than ever before," the GTE chairman said.

The transfers to Dallas and consolidation of certain staffs will begin within the next few months, and will continue through 1998. Approximately 650 employees work in the Stamford-based corporate headquarters and GTE's nearby training facility in Norwalk. The number of employees who will be transferred to Dallas has not yet been determined.

"Making decisions that affect people's lives is the most difficult part of my job," Lee said. "My guiding thought, and responsibility, is to be fair to our employees. While we will be providing further details on our transition and organizational plans over the next 30 to 90 days, we felt it was essential to make this announcement now, in the spirit of openness with our teammates.

"Our board of directors, my associates in the Office of the Chairman and I are convinced that over the long term GTE, its shareholders and customers will benefit from a reduced and more cost-efficient staff and a more integrated approach to the marketplace," Lee stated.

With revenues of more than $21 billion in 1996, GTE is one of the largest publicly held telecommunications companies in the world. In the United States, GTE offers local and wireless service in 29 states and long-distance service in all 50 states. GTE was the first among its peers to offer "one-stop shopping" for local, long-distance and Internet access services. Outside the United States, where GTE has operated for more than 40 years, the company serves over 6.5 million customers. GTE is also a leader in government and defense communications systems and equipment, directories and telecommunications-based information services, and aircraft-passenger telecommunications.

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Additional information about GTE can be found on the INTERNET at

http://www.gte.com.

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