TO: EDITORS, NEWS DIRECTORS

DATE: August 28, 1998

FOR: IMMEDIATE RELEASE

CONTACT: Perry Baker (602) 542-0844

ACC CHIEF ANNOUNCES RESIGNATION

Jack Rose, Executive Secretary of the Arizona Corporation Commission, today announced that he will be leaving the Commission at the end of the current term, in January, 1999.

Rose has served as the chief executive officer of the ACC since June of last year, guiding the staff through the laborious and complicated process of developing rules that will allow electric competition in Arizona beginning on January 1, 1999. A graduate of both Yale University and Harvard Law School, Rose announced that he will be leaving the Commission to devote more time to his new role as a member of the Federal Communications Commission Rural Task Force (RTF) on the universal service aspects of telecommunications deregulation. The RTF will develop new policies to insure that rural areas will continue to have access to telecommunications service.

"Protecting rural consumers as we deregulate telecommunications has been of primary concern to me for some time," said Rose, who was first appointed to the panel in July. "In order for me to have an impact on national telecommunications policy, I need to focus on the issues at hand."

ACC Chairman Jim Irvin said, " This announcement leaves me with mixed feelings. While it is a great honor for Arizona that the FCC has recognized the talent and leadership abilities of Mr. Rose, it will be a great loss for this Commission. Mr. Rose deserves much of the credit for keeping our staff focused and working on the vitally important rules that will define the advent of electric competition."

Rose noted that, while he will be leaving the ACC after the new year, he will remain involved in Arizona issues through his work on the RTF. "I believe that my appointment gives Arizona the chance to lead and shape the national debate on this issue, as well as giving us access to valuable information that can help our own rural citizens."

Commissioner Renz Jennings said, "Jack Rose provided a much needed direction to the Commission at a crucial time and has been instrumental in moving the electric industry restructuring process to a successful conclusion."