COMMISSION NEWS

ARIZONA CORPORATION COMMISSION
1200 W. WASHINGTON STREET
PHOENIX, AZ 85007

TO: EDITORS, NEWS DIRECTORS

DATE: September 26, 1997

FOR: IMMEDIATE RELEASE

CONTACT: Jon Poston, (602) 542-0843
Kevin Mosley, (602) 542-7269


COMMISSION OKAYS LOWER IN-STATE LONG DISTANCE RATES

Arizona Corporation Commissioners have approved an experimental cut in in-state long distance rates for US West customers. Commissioner Jim Irvin said, "Even though US West may lose money at these prices, they have to have the opportunity to lose, as well as win, as we move toward more competition in telephone services." He added, "This decision is just another step in loosening the regulatory apron strings, and ending the US West telephone monopoly." Irvin concluded, "Even if US West should lose money on this experiment with in-state long distance service, ratepayers should be assured that they will not have to make up those losses."

Under the tariff approved by the Commission, US West will experiment with offering flat rate in-state long distance rates. The first 1,578 customers who meet certain criteria will be able to make unlimited calls inside Arizona that are carried entirely by US West. (Calls between the Phoenix and Tucson calling areas are excluded. FCC rules require those calls to be carried by a long-distance telephone company.) Residential customers will pay $49.00 a month, and business customers will be charged $149 a month for unlimited calling.

The experiment is scheduled to end on December 31, 1998.