Washington, DC -- Reacting to today's announcement that AT&T will institute a rate increase on December 1, the Telecommunications Research and Action Center (TRAC) urged all AT&T customers to do a check-up and consider switching long distance callin g plans or carriers. TRAC is a nonprofit consumer group that has monitored long distance telephone rates since the breakup of AT&T in 1984.

"This is a real turkey for consumers," said Samuel A. Simon, founder and now outside counsel of TRAC. "It is hard to believe market conditions justify yet another rate increase for long distance customers. Residential rates have been steadily rising for nearly five years and now AT&T announces a major rate increase the day before Thanksgiving, to take effect four days later. Considering the millions of AT&T customers engaged in holiday activities, it is hard to imaging a public relations strategy that would result in less advanced notice than announcement like this."

In response to AT&T's announcement, TRAC issued the following tips:

• Call and compare long distance phone companies. All major carriers have operators available 24 hours a day. The 800 numbers of the major carriers are as follows:

  AT&T - (800)222-0300; Frontier - (800) 783-2020; LCI - (800)860-2255; LDDS WorldCom - (800) 275-0100; Matrix - (800) 282-0242; MCI - (800) 444-333; Sprint - (800) 746-3767

• Make sure you are on a calling plan and not on "standard" or "basic" rates. Standard rates are alsways the most expense, and AT&T's are increasing by nearly 6% on Sunday.
• Be aware that other long distance carriers may also raise their rates. Long distance carriers have historically following AT&T's price-setting lead.
• Take a look at the flat-rat plans and promotions which are available from various carriers. Though they aren't always the cheapest, they are predictable and very easy to understand. It is also unlikely that these rates will increase.
• Get the TRAC Chart. TRAC's Tele-Tips^TM is the only comprehensive rate and service comparison of all the major long distance companies. It now has a special insert on flat-rate calling plans. Send a check or money order for $5.00 and a self-addressed, stamped envelope to TRAC, PO Box 27279, Washington, DC 20005.

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MEDIA CONTACT:

John Breyault, TRAC, johnb@trac.org, 202-263-2943

ABOUT TRAC:

The Telecommunications Research and Action Center (TRAC), founded in 1983, is a non-profit membership organization based in Washington, DC that promotes the interests of residential telecommunications customers. TRAC staff researches telecommunications issues and publishes rate comparisons to help consumers make informed decisions regarding their long distance and local phone service options. TRAC can be found on the web at http://www.trac.org.