BellSouth Public Communications Announces Price Change.

Business Editors

ATLANTA--(BUSINESS WIRE)--Oct. 12, 2001

BellSouth (NYSE:BLS) today announced that it will increase the price of a local, unlimited, coin paid public telephone call from 35 cents to 50 cents.

This pricing change will take effect immediately as BellSouth begins to convert its approximately 125,000 payphones in nine Southeastern states, a process expected to be completed by the end of 2001.

BellSouth is making the change to 50 cents as part of its effort to continue providing quality service and to combat the rising costs of providing payphone service which the entire industry is facing. BellSouth's price change follows those of the other major providers, Qwest, SBC and Verizon, who in recent months have increased the costs of a local coin paid call in the states they serve to 50 cents.

In February of this year, BellSouth Public Communications announced its intention to transition out of the payphone business as BellSouth recognized that payphones are not a part of its core strategy. This decision allows the company to focus on its core broadband, Internet and digital network offerings, as well as domestic and international lines of business for wireless and data services. The pricing change will have no effect on BellSouth's plans to exit the payphone business at the end of 2003.

BellSouth has also carefully evaluated market trends in the payphone business. These trends -- such as shifts in telecommunications technologies and the accelerating use of wireless communications and personal communications devices by consumers -- caused BellSouth to reassess its payphone operation.

BellSouth Public Communications will continue to operate until December 31, 2003 and during that time, will continue to offer high-quality payphone services to its location provider customers and will work with those customers to help them make decisions about their future service needs. BellSouth values its customers and hopes they will continue to take advantage of the high-quality products and services available from BellSouth.

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 16 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.