*Pages 1--2 from  Microsoft Word - 20110.doc*
 NEWS  Federal  Communications  Commission  445  12  th  Street,  S.  W.  Washington,  D.  C.  20554  This  is  an  unofficial  announcement  of  Commission  action.  Release  of  the  full  text  of  a  Commission  order  constitutes  official  action.  See  MCI  v.  FCC.  515  F  2d  385  (D.  C.  Circ  1974).  News  Media  Information  202  /  418-  0500  Internet:  http://  www.  fcc.  gov  TTY:  1-  888-  835-  5322 
 For  Immediate  Release:  News  Media  Contacts:  July  26,  2002  Rosemary  Kimball  at  (202)  418-  0511 
 e-  mail:  rkimball@  fcc.  gov  Robin  Pence  at  (202)  418-  0505 
 e-  mail:  rpence@  fcc.  gov 
 FEDERAL  COMMUNICATIONS  COMMISSION  ASSURES  WORLDCOM  CUSTOMERS  CONCERNING  CONTINUATION  OF  PHONE  SERVICE 


 Washington,  DC  –The  Federal  Communications  Commission  (FCC)  has  issued  this  Consumer  Bulletin  highlighting  the  rights  and  protections  consumers  have  in  light  of 
 WorldCom’s  bankruptcy  filing. 
 Michael  K.  Powell,  chairman  of  the  FCC  said,  “Our  consumer  bureau  has  heard  many  consumer  concerns  about  the  WorldCom  situation  and  its  effect  on  telephone 
 service.  The  FCC  will  not  permit  a  cut-  off  of  a  customer’s  service  in  the  wake  of  WorldCom’s  bankruptcy  filing.  The  FCC  has  regulations  in  place  to  protect  consumers’ 
 telephone  service,  and  we  will  vigorously  enforce  those  rules.” 
 The  Consumer  &  Governmental  Affairs  Bureau  (CGB)  advises  consumers: 
 €  The  WorldCom  bankruptcy  does  not  mean  subscribers  will  lose  their  service. 
 €  FCC  rules  prohibit  abrupt  cut-  off  of  subscribers’  telephone  service. 
 €  FCC  rules  require  a  telephone  company  to  provide  written  notice  to  affected  consumers  of  any  planned  discontinuance  of  service.  The  notice  must 
 specifically  state  the  customer  has  the  right  to  file  comments  with  the  FCC. 
 €  After  notifying  affected  customers,  telephone  companies  must  file  for  permission  from  the  FCC  to  cut-  off  service. 


 €  The  telephone  company  would  not  be  permitted  to  terminate  service  until  a  minimum  of  30  days  after  the  FCC  issues  a  public  notice. 
 €  The  FCC  can  extend  the  termination  date. 
1
 During  the  bankruptcy  proceedings,  WorldCom  may  sell  its  customer  base  to  another  company.  If  that  occurs,  consumers  are  protected  by  FCC  regulations: 
 €  The  new  company  must  provide  the  customer  30  days’  advanced  notice  of  the  transfer,  including  information  about  its  rates  and  services. 
 €  The  customer  may  accept  the  new  company  or  choose  another  company  without  penalty. 
 €  A  customer  transferred  to  a  new  company  without  receiving  notice  is  entitled  to  relief  under  the  FCC’s  slamming  rules. 
 K.  Dane  Snowden,  Chief  of  the  FCC  Consumer  &  Governmental  Affairs  Bureau,  said,  “Recent  developments  indicate  WorldCom  has  the  necessary  funding  available  to 
 continue  operations  during  bankruptcy  proceedings,  without  disruption  of  telephone  service  or  interruption  of  the  operation  of  its  Internet  backbone  facilities.  The  FCC  will 
 continue  to  monitor  the  situation  closely.” 
 Chairman  Powell  has  put  WorldCom  on  notice  of  the  FCC’s  requirements  and  stressed  the  company’s  obligations  to  its  customers  during  the  bankruptcy  process. 


 In  a  July  22  letter  to  WorldCom  President  and  CEO  John  Sidgmore,  Chairman  Powell  said,  “.  .  .  The  [FCC’s]  process  is  intended  to  provide  customers  with  a  reasonable 
 opportunity  to  find  and  transition  to  a  new  service  provider,  and  the  Commission  will  act  promptly  and  vigilantly  to  ensure  that  customers  are  provided  this  opportunity.  We  will 
 intervene  in  bankruptcy  proceedings  to  advise  the  court  if  WorldCom  or  any  other  party  to  the  proceedings  takes  steps  that  would  result  in  an  unnoticed  termination  of  service.” 
 (The  full  text  of  Chairman  Powell’s  letter  is  on  the  FCC  Web  site  at  http://  www.  fcc.  gov/  commissioners/  powell/  72202_  sidgmore.  pdf.) 


 The  FCC  was  represented  at  the  first  bankruptcy  hearing  in  New  York  on  July  22  and  is  a  party  to  the  proceeding. 
 State  law  may  offer  additional  protections.  Consumers  should  contact  their  state  public  utility  commissions  for  additional  information. 
 Consumers  with  questions  about  the  WorldCom  situation  can  visit  the  FCC’s  Web  site  at  www.  fcc.  gov  or  call  the  FCC’s  Consumer  Center  at  1-  888-  225-  5322  (CALL  FCC). 
 -  FCC  - 
2