DPU orders area code split.

BOSTON--(BUSINESS WIRE)--Jan. 23, 1997--The Massachusetts Department of Public Utilities ("Department") today ordered New England Telephone and Telegraph Co. d/b/a NYNEX ("NYNEX") to implement new area codes for the eastern part of the state in order to alleviate a severe shortage of remaining telephone numbers for the 617 and 508 area codes.

The department ordered NYNEX to implement a "geographic split," whereby the 617 and 508 area codes will be split with half the municipalities retaining the old area codes and half the municipalities receiving new area codes. In the existing 617 area code, the municipalities of Boston, Brookline, Cambridge, Chelsea, Everett, Milton, Newton, Somerville, Winthrop and Quincy will retain the 617 area code, while the rest of the municipalities in the current 617 area code will receive a new area code, 781. The existing 508 area code will be split into north and south portions. The municipalities of Boylston, Framingham, Holden, Marlborough, Natick, New Braintree, Northborough, Oakham, Rutland, West Boylston and all other 508 area code communities south of these cities and towns will retain the 508 area code, while the northern half of the current 508 area will receive a new area code, 978.

The department ordered implementation of the new area codes by May, 1998. Over the next ten months, NYNEX is required to complete technical changes for the new area codes and begin customer education efforts to ensure a smooth transition. After those network upgrades are completed, there will be a three-month permissive dialing period, whereby callers are connected to the called number regardless of which area code is dialed. Following the permissive dialing period, there will be a three-month announcement period, where a recording will inform callers of the need to dial a new area code. NYNEX is required to make new numbers available for assignment no later than May 1, 1998. NYNEX will begin consumer education plans no later than May 1, 1997.

The department's action was based on a May 7, 1996 request by NYNEX, in its role as the current Central Office Code Administrator for New England, in which NYNEX notified the Department that because of the tremendous growth in demand for telephone numbers in eastern Massachusetts since 1988 -- growth which NYNEX expected would continue or increase in the years ahead -- there would no longer be sufficient exchange codes within the 617 and 508 area codes by 1998 and 1999, respectively. Telephone numbers are assigned by exchange codes, and if the supply of exchange codes for an area code is depleted, no new telephone numbers would be available. Because of the shortage, since March, 1996, NYNEX has been assigning exchange codes in the 617 area code by lottery.

Massachusetts last implemented a new area code -- a geographic split that added the 508 area code to eastern Massachusetts -- in 1988. At the time, NYNEX forecast that the two eastern Massachusetts codes would last through the year 2010. However, since then, there has been unexpectedly high growth in the demand for exchange codes due to the increasing demand on telephone number resources resulting from the increased use of technologies such as cellular phones, pagers, faxes and modems; the demand for new telephone lines; and the entry of new service providers, including competing local exchange carriers and wireless PCS providers.

"Although nobody likes the inconvenience and cost associated with area code changes, the department's actions are necessary to avoid a situation in the near future where we would run out of new telephone numbers in eastern Massachusetts," said chairman John B. Howe. "The current shortage of telephone numbers, inconceivable only 10 years ago, is precipitated by the explosion in demand for new and existing telecommunications services. In choosing the geographic split approach over the overlay method, the department has sought to minimize the inconvenience, disruption and confusion for consumers associated with area code changes, while promoting expanded competition in Massachusetts telecommunications markets."

NYNEX had proposed to implement an "overlay," in which new area codes would be superimposed over the current area codes. With the overlay method, all existing customers would retain their telephone numbers, while most new customers would receive telephone numbers in the new overlay area codes. The department found the split preferable to the overlay approach, in part, because (1) the overlay would have required all telephone customers to make local calls using 10-digit dialing and (2) Massachusetts residents are more familiar with the geographic split method and therefore that approach would be less confusing.

-0-

The full text of today's decision can be downloaded from the DPU home page at: http://www.magnet.state.ma.us/dpu .

Click on the blue text that reads: Area Code Order DPU 96-61 This file will be in Adobe Acrobat format requiring the Adobe Acrobat Reader freeware (ACROREAD.EXE) to view/print it. This is available at other web sites as well. Double click on the ACROREAD.EXEC that you have downloaded in the File Manager/Explorer to install the reader.

CONTACT: Massachusetts Dept. of Public Utilities

John B. Howe, 617/305-3500

or

Timothy J. Shevlin, 617/305-3691