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GTE TO REDEEM $2.1 BILLION OF HIGH-COUPON DEBT.

 STAMFORD, Conn., Sept. 27 /PRNewswire/ -- GTE Corp. (NYSE: GTE) today announced that it has called, and will refinance, approximately $2.1 billion of high-coupon first-mortgage bonds of five of its telephone operating subsidiaries. The bonds to be called have coupons ranging from 7-7/8 percent to 11-3/4 percent. When these high-coupon bonds are refinanced at current interest rates, the net present value of these transactions is estimated to be approximately $250 million.
 As a result of these transactions, GTE Corp. will take an extraordinary after-tax charge of $90 million, or approximately 10 cents per share, against third-quarter earnings, reflecting the expenses of calling the bonds.
 These transactions will bring total redemptions of high-coupon debt by GTE Corp. and its subsidiaries since early 1992 to $4.3 billion.
 GTE has advised the trustees of each of the first-mortgage bonds to be redeemed.
 A list of the bonds is attached.
 GTE is the fourth-largest publicly owned telecommunications company in the world.
 GTE California
 11.00 percent First Mortgage Bonds, Series NN due 2015
 10.125 percent First Mortgage Bonds, Series AA due 2009
 9.375 percent First Mortgage Bonds, Series PP due 2026
 9.25 percent First Mortgage Bonds, Series V due 1999
 8.875 percent First Mortgage Bonds, Series Z due 2008
 8.625 percent First Mortgage Bonds, Series SS due 2016
 8.50 percent First Mortgage Bonds, Series Y due 2007
 GTE Florida
 10.00 percent First Mortgage Bonds, Series CC due 2028
 9.375 percent First Mortgage Bonds, Series S due 2005
 8.75 percent First Mortgage Bonds, Series Z due 2026
 8.625 percent First Mortgage Bonds, Series M due 2000
 8.25 percent First Mortgage Bonds, Series T due 2006
 8.125 percent First Mortgage Bonds, Series P due 2003
 GTE North
 9.25 percent First Mortgage Bonds due 2005
 9.375 percent First Mortgage Bonds due 2005
 9.25 percent First Mortgage Bonds due 2005
 9.00 percent First Mortgage Bonds due 2006
 9.00 percent First Mortgage Bonds due 2016
 9.375 percent First Mortgage Bonds due 2016
 9.125 percent First Mortgage Bonds due 2000
 9.00 percent First Mortgage Bonds due 2000
 GTE Northwest
 9.375 percent First Mortgage Bonds, Series X due 2008
 9.25 percent First Mortgage Bonds, Series S due 2000
 9.75 percent First Mortgage Bonds, Series DD due 2017
 GTE Southwest
 11.75 percent First Mortgage Bonds due 2015
 10.375 percent First Mortgage Bonds due 2017
 10.125 percent First Mortgage Bonds due 2015
 9.875 percent First Mortgage Bonds due 2005
 9.25 percent First Mortgage Bonds due 2000
 8.875 percent First Mortgage Bonds due 2016
 8.375 percent First Mortgage Bonds due 2007
 8.125 percent First Mortgage Bonds due 1996
 7.875 percent First Mortgage Bonds due 2001
 -0- 9/27/93
 /CONTACT: Harvey W. Greisman, 203-965-2903, or after 6:00 p.m.: 203-226-7661, or in Washington: Julia Spicer, 202-463-5206, or after 6 p.m., 202-797-0715, both of GTE Corp./
 (GTE)


CO: GTE Corp. ST: Connecticut IN: TLS SU: FNC

TS -- NY060 -- 5953 09/27/93 13:02 EDT
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Publication:PR Newswire
Date:Sep 27, 1993
Words:517
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