SBC, Nevada PUC Staff Agree to MergerSettlement.

CARSON CITY, Nev.--(BUSINESS WIRE)--Aug. 24, 1999--

SBC Communications (NYSE:SBC)and the Nevada Public Utilities Commission staff today signed a settlement that, if accepted by the full commission, would approve the company's acquisition of Ameritech. The agreement asks the commission

"The staff of the PUC has put the best interests of Nevada first," said James D. Ellis, senior executive vice president and general counsel for SBC. "This agreement should allay any concerns the PUC may have regarding the operation, management and regulation of Nevada Bell after SBC acquires Ameritech. At the same time, it will not delay the benefits of the merger to Nevada consumers."

The settlement covers a range of assurances by SBC to keep the PUC closely apprised of progress in implementing conditions that the Federal Communications Commission might require of the SBC-Ameritech merger. Included among those conditions, currently under review by the FCC, are requirements that SBC will implement improvements to its Operating Support Systems, implement performance and reporting measures, offer discounts on resold residential service and more.

"We appreciate the care the PUC staff has demonstrated on behalf of Nevada consumers," said Ellis. "We hope the full commission will similarly act on behalf of Nevadans by approving this settlement."

The SBC-Ameritech transaction has won the support of more than 200 business leaders, industry analysts, state and federal elected officials and consumer and civic leaders representing tens of thousands of Americans. Major organizations supporting the merger include Rainbow PUSH ,the U.S. Hispanic Chamber of Commerce, the American Federation of Labor and Congress of Industrial Organizations, the Chicago Federation of Labor, the International Brotherhood of Electrical Workers, and the Communications Workers of America. The acquisition is also supported by newspapers around the Ameritech region.

SBC Communications Inc. (www.sbc.com) is a global leader in the telecommunications industry, with 52 million voice grade equivalent lines and 8.3 million wireless customers across the United States, as well as investments in telecommunications businesses in nine foreign countries. Under the Southwestern Bell, Pacific Bell, SNET, Nevada Bell and Cellular One brands, SBC, through its subsidiaries, offers a wide range of innovative services. SBC offers local and long-distance telephone service, wireless communications, data communications, paging, Internet access, and messaging, as well as telecommunications equipment, and directory advertising and publishing. SBC has more than 130,000 employees and its annual revenues rank it in the top 50 among Fortune 500 companies.