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CONNECTICUT'S LOCAL PHONE COMPETITORS UNITE TO ADVANCE GOALS OF MARKET-OPENING LEGISLATION

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HARTFORD, CT, July 1, 1999 -- An industry group of competitive local telecommunications providers and the two leading national associations representing the competitive telecommunications and resale industries, are joining together to promote the introduction of new communications services to Connecticut telephone customers. The group will focus its efforts on advancing the goals of a recently passed bill that set forth a timetable for breaking SNET's 99% monopoly control of the local phone market in Connecticut.

The companies and associations support the pro-competitive goals of the legislation and believe that by speaking with one voice they can help state regulators simplify the job of enacting the complicated, yet essential, provisions of the legislation. Among the companies joining the effort are AT&T, the Competitive Telecommunications Association (CompTel), MCI WorldCom, Partner Communications Group Inc., Sprint and the Telecommunications Resellers Association (TRA).

"Our companies want to provide state regulators with the necessary industry information to make the difficult decisions needed to irreversibly open the local telephone market to competition," said Terry Monroe, CompTel's Vice President of State Government Affairs. "We hope our combined real market experience in dealing with SNET will aid the Department of Public Utility Control as it sets the pro-competitive rules of the road. Connecticut customers deserve the benefits of competition that their neighbors in other states are seeing today -- lower prices, improved service and new innovative products."

The legislation (SB 1299/PA-99-222), passed at the end of the legislative term June 9 and signed by Governor Rowland June 29, calls for the DPUC to quickly decide critical remaining issues preventing competitors from entering the local phone market on a wide-scale basis, including:

· Pricing: The bill gives the DPUC until July 1, 2000, to set "forward-looking" rates that competitors must pay SNET for leasing pieces -- or combined segments -- of the existing public phone network.

· Operations Support Systems (OSS): The bill requires SNET to have nondiscriminatory, automated electronic systems in place by November 1, 2000, so competitors can interface with SNET's systems to place commercial volumes of orders, bill and maintain customers. The bill also requires critical third-party testing of the "OSS" systems to ensure they work in a real-world business environment.

· Performance Standards and Penalties: The bill requires the Department to adopt standards by April 1, 2000, to measure how well SNET performs in a competitive environment. The standards will address the services and functions SNET provides its resellers and facilities-based competitors, such as ordering, provisioning, billing, maintenance and repair. The DPUC also has been given the ability to impose greater fines when SNET fails to obey an order or acts in an anticompetitive manner.

"By embracing this bill, Governor Rowland and the legislature sent a clear message to state regulators, SNET and the people of Connecticut: Connecticut will not be left behind while consumers in other states are beginning to enjoy the benefits of local phone competition," said Robert Lopardo, Regional Director of Public Policy for MCI WorldCom. "We are joining together in the interest of competition and the benefits it will bring the state, its consumers and the companies in our coalition to ensure that Connecticut's transition to an open local phone market is as smooth and speedy as possible."


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