SBC Gets LD Approval in Cali

SAN FRANCISCO and WASHINGTON -- SBC Communications Inc. (NYSE:SBC) today won approval from the Federal Communications Commission (FCC) to offer long distance service in California, clearing the way for millions of business and residential customers in the country's largest long distance market to enjoy the benefits of full telecommunications competition.

The ruling comes three months after a five-year, comprehensive review by the California Public Utilities Commission (CPUC), which found that SBC had demonstrated that competitors had "fair, nondiscriminatory, and open access" to its local network. The company said it hopes to enter the state's $10 billion long distance voice and data communications market on the effective date specified in the ruling. At that time, it will unveil its new product and service offerings.

With today's ruling, the SBC family of companies will soon be able to offer a full bundle of telecommunications services to customers in seven of the 13 states in which it operates. The company already offers long distance in Texas, Oklahoma, Missouri, Kansas, Arkansas and Connecticut. As of the third quarter this year, it served 5.9 million long distance lines in those states, up 28 percent from a year earlier.

"We applaud FCC Chairman Michael Powell, his colleagues, and Commission staff for their hard work and diligence in approving this application," said Daley. "Despite eleventh-hour efforts by certain long distance carriers to delay the benefits of competition to customers in California, today's ruling validates our unrelenting efforts to bring local choice to Californians."

SBC Communications Inc.