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Bellsouth Says FPSC Should Not Pursue Structural Separation; Florida Consumers to Benefit If Issue is Not Pursued.


Business Editors

TALLAHASSEE, Fla.--(BUSINESS WIRE)--Oct. 5, 2001

BellSouth said today that it is disappointed that the Florida Public Service Commission Florida Public Service Commission (FPSC) is an independent regulatory agency serving the public of Florida by managing its public utilities such as telecommunications, electricity, natural gas, water, and wastewater.  (PSC (Public Service Commission) Same as PUC. ) staff did not recommend the dismissal of AT&T's petition to require structural separation of BellSouth's wholesale and retail operations in the state.

"If the Commission decides to pursue this issue, the real losers will be BellSouth's customers, who will be subjected to the risk of millions in new regulatory costs and increased rates," said BellSouth President, Florida, Joe Lacher. "Structural separation clearly undermines the spirit of competition."

The staff did state that in order to proceed with any remedy, there had to be a determination of need for that remedy; and that requires proof. There has been no proof that BellSouth has engaged in any type of improper business activities to constitute structural separation. The staff recommendation stated "this matter need not go to hearing in the near term. " It went on to say, "Several dockets are currently pending, which may address and mitigate AT&T's concerns, and conceivably even render some issues moot An issue presenting no real controversy.

Moot refers to a subject for academic argument. It is an abstract question that does not arise from existing facts or rights.
.

BellSouth noted the rationale that the staff used to determine that the PSC could proceed with the hearings sometime in the future was based on an ATT ATT

ammonia tolerance test.
 amended petition that "requests the Commission consider all relief necessary" not just structural separation.

Prior to Florida, AT&T's structural separation initiative was defeated in Illinois, Maryland, Pennsylvania, and Virginia.

Lacher stated that BellSouth made a strong argument that there is no provision in Florida law The jurisprudence of this state offers major differences from doctrines prevailing in the United States at either the federal level or that of the various states.

Homestead exemption from forced sale, the dangerous instrumentality doctrine, the right to privacy, and the Williams
 that allows for this type of directive to be made by the PSC.

"Even where state law gave the regulatory body the freedom to structurally separate the local Bell Company, it was decided that to go that far would be an anti-consumer move.

"It's obvious from the placement and frequency of AT&T's structural separation efforts that this is merely another weapon in its arsenal to delay the Bell's entry into long distance. In Florida, keeping BellSouth from offering long distance service amounts to a $1.2 billion a year delay," said Lacher.

Telecommunications analysts have said that after reviewing states that have received FCC (1) (Federal Communications Commission, Washington, DC, www.fcc.gov) The U.S. government agency that regulates interstate and international communications including wire, cable, radio, TV and satellite. The FCC was created under the U.S.  approval allowing former RBOC's (Regional Bell Holding Companies) to offer long distance, reduced rates and new calling plans will result in savings that could be as much as $1.2 billion a year once BellSouth enters the long distance market in Florida.

Long distance hearings will take place October 11th and 12th and 17th, 18th and 19th in Tallahassee.

About BellSouth Corporation

BellSouth Corporation is a Fortune 100 communications services company headquartered in Atlanta, GA, serving more than 45 million customers in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area.  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 Making a Web site available on the Internet. Many ISPs host a few personal Web pages for an individual at no additional cost above the monthly service fee, but the address is subordinate to the ISP; for example, www.friendlyisp.com/pat_smith.  and other Internet services. In the residential market, BellSouth offers DSL DSL
 in full Digital Subscriber Line

Broadband digital communications connection that operates over standard copper telephone wires. It requires a DSL modem, which splits transmissions into two frequency bands: the lower frequencies for voice (ordinary
 high-speed Internet See broadband.  access, advanced voice features and other services. BellSouth also provides online and directory advertising services, including BellSouth(R) RealPagesSM.com.

BellSouth owns 40 percent of Cingular Wireless, the nation's second largest wireless company, which provides innovative wireless data and voice services.
COPYRIGHT 2001 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2001, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Date:Oct 5, 2001
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