August 31, 1995
NYNEX CONTACT: Media Relations,
NYNEX Announces New York State Pricing Changes
NEW YORK CITY -- NYNEX today announced pricing changes for customers throughout New
York State, in the first of a series of benefits that will result from a
new way of regulating the corporation's telecommunications operations in
Changes taking effect tomorrow include the automatic provision of
free NYNEX Touch-tone Service on residence customer lines and expanded
local calling areas from NYNEX pay phones. In addition, basic residence
and business rates will be frozen for the next seven years.
Also as part of the new regulatory plan, the company will announce
additional price changes in a month, including innovative discount calling
plans for residence and business customers.
"These pricing changes are part of a number of aggressive moves
you'll see from NYNEX," said NYNEX Chairman and CEO Ivan Seidenberg.
"Through competitive pricing and quality service, we'll prove to customers
that we're the right choice for telecommunications services.
"By the end of September, we'll have more savings to announce for
customers who make regional calls within New York state," Seidenberg
added. "We're a new NYNEX; watch us."
With the state regulatory plan going into effect, NYNEX for the
next seven years will operate under a new set of rules that encourages
investment in New York state and rewards the company for improving
efficiency. This represents a dramatic shift from the old framework,
which limited the company's revenues and earnings. This earnings cap has
"This plan gives NYNEX the flexibility to make agile and
customer-focused moves in the increasingly competitive telecommunications
marketplace," Seidenberg said.
Touch-tone changes and other pricing details
Residence customers who wish to take advantage of the free
Touch-tone service (the current 50-cent monthly charge is being
eliminated) will not have to take any action. The company has equipped
residence customer lines with Touch-tone. Customers who still wish to use
rotary or pulse dial telephones can continue to use the same phones.
Touch-tone equipped lines work with rotary phones.
Other pricing changes that go into effect tomorrow include:
-- Calling areas for pay phones will be expanded, so that all
local calls made from a pay phone will cost 25 cents for three minutes.
-- The charges NYNEX assesses long distance companies to complete
the local portion of long distance calls will be reduced.
-- The monthly charge for Flat Rate residential service for more
than 200,000 customers in Nassau and Erie counties will be reduced by
almost 10 percent, from $22.27 per month to $20.16. When the plan is
fully implemented over the next several years, some one million
residential customers will be paying reduced local calling charges through
price cuts in Flat Rate service.
NYNEX customers will receive additional information about these
and other changes when they receive their monthly bills in September.
NYNEX is a global communications and media company that provides
a full range of services in the northeastern United States and
high-growth markets around the world, including the United Kingdom,
Thailand, Gibraltar, Greece, Indonesia, the Philippines, Poland,
Slovakia and the Czech Republic.
The Corporation is a leader in the telecommunications, wireless communications,
cable television, directory publishing
and entertainment and information services.
FAX copies of recent NYNEX news releases are available free of charge, 24
a day. Call 1-800-331-1214 and an automated system will provide