California is seen giving phone firms profit incentive to control basic rates

Article Abstract:

California regulators will adopt a telephone rate change designed to allow companies to earn higher profits by operating more efficiently. G. Mitchell Wilk, president of the California Public Utilities Commission, expects a plan similar to one recommended in Aug 1989. The proposal would allow Pacific Telesis Group and GTE California to earn a 12.75 percent rate of return and keep half of profits between 12.75 percent and 16.75 percent, providing a maximum possible return of 14.75 percent. Current regulations limit companies to a return of 11.34 percent. Gene Kimmel, representing the Consumer Federation of America, worries that ratepayers might be worse off than under current regulations. Sharon Nelson, president of the National Association of Regulatory Utility Commissioners, says the decision will be 'very influential.' Similar plans are proposed by Bell companies elsewhere.

Laws, regulations and rules, Prices and rates, Beliefs, opinions and attitudes, Science and technology policy, California, GTE Corp., Telephone, Telephony, California. Public Utilities Commission, National Association of Regulatory Utility Commissioners, Government Regulation, Pacific Telesis Group, PAC, Consumer Federation of America, Kimmel, Gene, Nelson, Sharon, Wilk, G. Mitchell

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Bell Atlantic finds privacy-law abuses in probe of unit; Bell of Pennsylvania workers gave out phone records improperly, parent says

Article Abstract:

Bell Atlantic Corp's internal investigation of Bell Telephone Company of Pennsylvania revealed employees disclosed customer telephone records to law enforcement officers without a court order and that employees of the graphics department improperly diverted company resources for private use. Thirteen employees were disciplined in the security and graphics departments and procedures have been tightened to eliminate future abuses. Security Dir Robert Meinart was fired and the graphics unit supervisor was suspended. Pennsylvania Representative David R. Wright claimed the investigation did not go far enough. Allegations of wiretapping and disclosure of employees' private toll records were not addressed. The latest investigation was the eighth since 1985 looking into misappropriation and improper disclosure.

Telecommunications services industry, Privacy, Investigations, Bell Atlantic Corp., BEL, Fraud, Verizon Pennsylvania Inc., Information law, Personnel Problems, Security, Disclosure

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Future shock; people got hooked, but then abandoned, telephone 'gateways'; Southwestern Bell's effort to provide data, games over phone proves costly; Eakers fight their addiction

Article Abstract:

Southwestern Bell tried a one year trial service offering users a portable video terminal with a keyboard and access to more than 300 information services, but at the end of the trial period the company shut down services stating they were not profitable. At the beginning of the period thousands of customers were enthusiastic about the services such as news, sports, stock market quotes, movie listings, electronic shopping and trivia games. But once the free trial period was over and customers had to start paying 17 cents a minute to use the service, they either quit or ran up astronomical bills. Most customers say they would prefer a flat monthly fee instead of the per minute charge, but the phone company says that is not possible because it must pay the services on a per minute basis.

Information retrieval services, Services, Marketing, Information services, SBC, Southwestern Bell Corp., Cost of Communications

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