Office of the Ohio Consumers' Counsel

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Ohio's utility consumer advocate reacts to federal approval of SBC-AT&T and Verizon-MCI mergers

COLUMBUS, Ohio, October 31, 2005 - Today, the Federal Communications Commission (FCC) approved the mergers between SBC and AT&T as well as Verizon and MCI. The Office of the Ohio Consumers' Counsel (OCC), the residential utility consumer advocate, believes that the mergers, as proposed, are not in the public interest and fail to provide benefits to residential consumers.

While the federal approval has occurred, states also have the authority to review utility mergers. Ohio has a standard that is higher than the FCC and Department of Justice guidelines. Ohio requires that mergers promote the public interest. State regulators in Ohio have not yet issued a ruling on the mergers.

The following statement can be attributed to Janine Migden-Ostrander, Ohio Consumers' Counsel:

"It is disappointing that the mergers were approved without significant benefits for residential consumers. While some broadband-related conditions advocated by the OCC were included, the FCC missed the opportunity to ensure that consumers receive their fair share of the benefits.

"Now, it is important for states that have not yet approved the mergers to do everything possible to secure consumer benefits. Since Ohio law requires that the merger promote the public interest, the OCC has proposed conditions to ensure that enough is done on behalf of residential customers.

"The OCC has asked the Public Utilities Commission of Ohio to ensure price stability, consumer protections and better access to services. From capped local telephone prices to greater access to technology, we hope that additional conditions will be placed on the mergers to help customers."

About the Office of the Ohio Consumers' Counsel

The Office of the Ohio Consumers' Counsel (OCC), the residential utility consumer advocate, represents the interests of 4.5 million households in proceedings before state and federal regulators and in the courts. The state agency also educates consumers about electric, natural gas, telephone and water issues and resolves complaints from individuals. To receive utility information, brochures, schedule a presentation or file a utility complaint, residential consumers may call 1-877-PICKOCC (1-877-742-5622) toll free in Ohio or visit the OCC website at www.pickocc.org.