Bell Atlantic Reduces Rates for Some Consumers, Businesses in New York State

Bell Atlantic Reduces Rates for Some

Consumers, Businesses in New York State

August 28, 1997

ALBANY, N.Y. -- About 370,000

Bell Atlantic residence customers throughout New York state and most business

customers in the state will pay less for local phone service starting Sept.

1. The planned rate reductions are taking place as the company enters the

third year of a seven-year rate agreement approved by the New York Public

Service Commission in 1995.

On Monday, Bell Atlantic will reduce monthly flat-rate charges for residential

customers in 152 communities across the state by about 70 cents a month.

This is a reduction of about four percent. This decrease represents the

third and final year of phased-in price reductions for flat-rate residential

customers throughout New York state. With these price reductions, Bell

Atlantic will have reduced the flat rate charge for about 1.1 million New

York state residence customers since September, 1995.

(A list of the affected communities is included

at the end of this release)

In addition, the $1.30 monthly charge to business customers for Touch-tone

service will be eliminated. The 50-cent monthly Touch-tone charge for residential

customers was eliminated in 1995, when the company began operating under

the rate agreement, known as the Performance Regulation plan.

"New Yorkers continue to enjoy the benefits of this new form of regulation

that recognizes the realities of the competitive marketplace in this state

and provides benefits for consumers, businesses, the state, our company

and its investors," said William Allan, Bell Atlantic vice president for

Regulatory Affairs in New York. "Our customers are seeing competitive pricing

and improved service quality while the company no longer operates under

the traditional rate-of-return regulation here."

The price reductions are part of previously announced, overall rate

reductions that will total about $1.9 billion over seven years. In addition,

basic business and residential rates have been frozen through the year

2002 and the company agreed to stringent service quality standards. As

part of the plan, Bell Atlantic has no cap on its earnings in New York

state.

The new Bell Atlantic -- formed through the merger of Bell

Atlantic and NYNEX -- is at the

forefront of the new communications, information and entertainment industry.

With 40 million telephone access lines and 5.5 million wireless customers

worldwide, Bell Atlantic companies are premier providers of advanced wireline

voice and data services, market leaders in wireless services and the world's

largest publishers of directory information. Bell Atlantic companies are

also among the world's largest investors in high-growth global communications

markets, with operations and investments in 21 countries.

List of communities affected by residential flat-rate price

reduction:

CENTRAL NEW YORK: Alexandria Bay, Antwerp, Auburn, Avoca, Bath,

Big Flats, Cameron, Canaseraga, Caton, Clayton, Copenhagen, Corning, Edmeston,

Elmira, Fayette, Groton, Hartwick, Heuvelton, Hobart, Hornell, Ithaca,

Lansing, Lindley, Little Falls, Lyons, MacDougall, Massena, McLean, Milford,

Natural Bridge, Newark, Newfield, Nichols, Norwood, Ogdensburg, Oneida,

Oswego, Otego, Owego, Palmyra, Penn Yan, Pottsdam, Richfield Springs, Schenevus,

Seneca Falls, Star Lake, Theresa, Waddington, Watertown, Watkins Glen,

and Waverly.

LONG ISLAND: Atlantic, Center Moriches, Eastport, Hampton Bays,

Montauk Point, Peconic, Quogue, Riverhead, Sag Harbor, Shelter Island,

Shoreham, Southold, and Wading River.

MIDSTATE NEW YORK/WESTCHESTER AREA: Birchwood, Carmel, Chappaqua,

Cold Spring, Croton Falls, Garrison, Katonah, Lewisboro, Mahopac, Peekskill,

Piermont, Sloatsburg, Suffern, and Tuxedo.

NORTHEAST NEW YORK: Amenia, Argyle, Bolton Landing, Brainardsville,

Cairo, Callicoon, Chateaugay, Claverack, Fallsburg, Fort Ann, Freehold,

Grahamsville, Hague, Hartford, Hoosick Falls, Jeffersonville, Katskill

Bay,Lake George, Lake Huntington, Lake Placid, Liberty, Livingston Manor,

Malone, Mineville, Moira, Monticello, Palenville, Philmont, Phoenica, Port

Henry, Putnam, St. Regis Falls, Saranac Lake, Saugerties, Schroon Lake,

Schuylerville, Shokan, Tupper Lake, Warrensburg, White Lake, Whitehall,

Willsboro, and Woodstock.

WESTERN NEW YORK: Akron*, Albion, Alden*, Angelica, Angola*,

Attica, Barker, Bliss, Boston*, Cattaraugus, Chaffee*, Cherry Creek, Clarence*,

Clarence Center*, Derby*, Elba, Ellicottville, Franklinville, Friendship,

Hinsdale, Java *, Little Valley, Limestone, Lyndonville, Medina, Middleport,

Newfane, Springville *, and Wellsville.

* Only those customers who currently purchase Residence Community Service