BellSouth Consolidates its Call Center Operations To Strengthen Competitive Positioning and Enhance Customer Service Delivery.

Business Editors & High Tech Writers

ATLANTA--(BUSINESS WIRE)--Feb. 5, 2002

BellSouth (NYSE: BLS) today announced that it will implement a consolidation plan in its call center operations that will allow it to enhance customer service delivery, and strengthen its ability to address economic factors and competition in the marketplace.

The new approach will expand approximately 28 of the company's call center operations, while requiring some centers to consolidate and/or relocate.

"Streamlining our call center operations will greatly increase our ability to respond to customers' needs and will allow us to be more effective in addressing competition," said Ike Harris, President of Consumer Services for BellSouth Corporation. "The new approach will provide a seamless interface between BellSouth and its customers, and will help ensure that every interaction is handled with consistent quality care."

Throughout the transition, the company expects to keep job reductions minimal across the region in its consumer operations. Any reductions incurred simply further define the number of reductions the company announced during third quarter of last year. These reductions were in response to economic factors and competitive challenges in the marketplace.

"Reducing our workforce is one of the toughest decisions we must make as a company and we will work very hard to minimize the impact of these reductions on our employees," said Harris. "Our top priority is to provide employees with the opportunity to follow their work. In addition, we will provide support through relocation assistance and job placement services."

BellSouth will also provide numerous benefit options to non-management employees. For those employees who elect to follow their work, BellSouth will pay relocation expenses and give priority consideration for existing job vacancies. Where applicable, BellSouth will provide pay protection benefits.

Non-management employees who elect to leave the company have a variety of separation options. These may include up to 90 weeks of pay based on an employee's years of service and the option to participate in the Employment Security Partnership Program. This program provides educational assistance, career counseling and the opportunity to participate in a job bank for up to 34 weeks. Also, employees can take advantage of an alternative separation plan known as the Supplemental Income Protection Program and the Expanded Supplemental Income Protection Program, both of which provide the opportunity for extended company-paid health benefits.

Management employees will be given the opportunity to follow their work and are eligible for relocation benefits. Employees who elect to leave BellSouth will have other separation options.

BellSouth is committed to maintaining a major presence within its region. The expanded centers will utilize a regional approach for answering customer calls. This "no boundaries approach" will give customer care representatives the ability to respond to calls anywhere in BellSouth's service region.

(All benefits and options available to non-management employees are determined by and subject to the August 5, 2001 Working Agreement between BellSouth Telecommunications, Inc. and Communications Workers of America. This is not a complete listing of all contractual options available to affected employees.)

About BellSouth Corporation

BellSouth Corporation is a Fortune 100 communications services company headquartered in Atlanta, GA, serving more than 46 million customers in the United States and 15 other countries.

Consistently recognized for customer satisfaction, BellSouth provides a full array of broadband data and e-commerce solutions to business customers, including Web hosting and other Internet services. In the residential market, BellSouth offers DSL high-speed Internet access, advanced voice features and other services. BellSouth also provides online and directory advertising services, including BellSouth(R) Real PagesSM.com.

BellSouth owns 40 percent of Cingular Wireless, the nation's second largest wireless company, which provides innovative wireless data and voice services.

                For Media Inquiries in the States Call:

Alabama               Terri Denard          [phone]
Florida               Spero Canton          [phone]
Georgia               Joe Chandler          [phone]
Kentucky              Ellen Jones           [phone]
Louisiana             Janet Whitters        [phone]
Mississippi           Lisa Wiley            [phone]
North Carolina        Clifton Metcalf       [phone]
South Carolina        Marcia Purday         [phone]
Tennessee             Karen Williams        [phone]