*Pages 1--2 from Microsoft Word - 23919.doc* NEWS News media Information 202 / 418- 0500 TTY 202 / 418- 2555 Fax- On- Demand 202 / 418- 2830 Internet: http:// www. fcc. gov ftp. fcc. gov 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). FOR IMMEDIATE RELEASE: NEWS MEDIA CONTACT: December 19, 2002 Michael Balmoris 202- 418- 0253 Email: mbalmori@ fcc. gov FEDERAL COMMUNICATIONS COMMISSION AUTHORIZES SBC TO PROVIDE LONG DISTANCE SERVICE IN CALIFORNIA Washington, D. C. – Today, the Federal Communications Commission (FCC) announced that it voted to approve SBC Communications’ (SBC) application to provide in- region, interLATA service originating in California. Approval of SBC’s application promises benefits to consumers in California by making increased competition in all markets for telecommunications services possible. SBC stated in its application that competing carriers serve approximately 2.6 million lines in California, which account for 13% of the total lines in the state. With the FCC’s approval of SBC’s application for California and BellSouth’s joint application for Florida and Tennessee, which was also adopted today, the percentage of Bell Operating Company (BOC) lines approved for in- region, interLATA service reached 68.3%. With the Telecommunications Act of 1996 (1996 Act), Congress envisioned fundamental, pro- competitive changes in the telecommunications markets by making a BOC’s entry into the long distance market subject to it first opening its local service market to competition. A BOC satisfies this contingency by demonstrating compliance with section 271 of the 1996 Act. After a BOC files a section 271 long distance application with the FCC, the FCC has 90 days to determine whether a BOC has taken the statutorily required steps to open its local telecommunications markets to competition, including compliance with the 1996 Act's 14- point 'competitive checklist' in section 271. Since the passage of the 1996 Act, the FCC has denied five long distance applications and now has approved applications to provide in- region, long distance service in 26 states. Additionally, applications for 16 states have been withdrawn. Currently, there are section 271 applications for 12 states – Qwest’s joint application for Colorado, Idaho, Iowa, Montana, Nebraska, North Dakota, Utah, Washington and Wyoming, and Verizon’s joint application for Maryland, Washington DC, and West Virginia – pending before the Commission. A summary of all section 271 applications can be accessed at the following FCC web page: www. fcc. gov/ Bureaus/ Common_ Carrier/ in- region_ applications/ 1 The FCC emphasizes that SBC must continue to comply with the section 271 checklist requirements, and the Commission has a number of enforcement tools at its disposal to ensure compliance, including imposing penalties or suspension of approval. -FCC- Docket No.: WC 02- 306 Action by the Commission December 19, 2002, by Report and Order (FCC 02- 330). Chairman Powell and Commissioner Copps issuing separate statements; Commissioner Martin dissenting and issuing a statement; and Commissioner Adelstein not participating. Wireline Competition Bureau Staff Contact: Renee Crittendon at 202- 418- 1580 News about the Federal Communications Commission can also be found on the Commission’s web site www. fcc. gov. 2