Contacts:  Gary Pace
MPTA  (866) 367-6782 

                     MICHIGAN PAYPHONE TRADE GROUP'S STATEMENT ON AMERITECH'S PLAN 
TO INCREASE THE LOCAL COIN RATE

The Michigan Pay Telephone Association (MPTA) - a non- profit 501(c)(6) trade association representing independent payphone service providers (PSP's) in Michigan- today reacted to the announcement that Ameritech intends to increase the local coin rates at payphones throughout Michigan from 35 cents to 50 cents by September 2001.

In response to this announcement, Gary Pace, managing director, issued this statement on behalf of the MPTA board of directors:

"We are very disappointed that Ameritech and SBC Communications chose to address their operational problems through another rate increase, when a more consumer friendly alternative is available.”

“The MPTA believes raising local coin rates at payphones is not the answer to maintain widespread deployment of pay telephones, one of the key legislative mandates of the Telecommunications Act of 1996.  Rate increases for local coin calls will not increase payphone usage.  Conversely, we expect a rate increase will ultimately drive traffic patterns downward.  As an alternative to increasing local coin rates, Ameritech has the option of decreasing the rates for dial tone service to payphones in their service area.  Rates for these services in Michigan are among the highest in the Ameritech and SBC regions."

“Lowering the rates charged to pay telephone providers for access to the public network would allow payphone providers a better opportunity to hold the line on local coin rate increases.  Also, a more cost-based rate allows more payphone locations to be served.  MPTA believes this approach would be the most beneficial to the consumers throughout Ameritech's region in Michigan."

“The local payphone provides an important lifeline service to communities through out the state.  We applaud Ameritech's goal of keeping payphones available to the public throughout their region.  Just as important, however, is keeping local calling rates as affordable as possible to the thousands of residents who rely upon payphones everyday for business, personal and emergency services.”

The MPTA is a non-profit trade association representing independent payphone service providers throughout Michigan.  MPTA provides legislative and regulatory representation for approximately 70  payphone service providers and over 15 manufacturers and suppliers to the payphone industry.  The goals are to promote an environment in which all PSPs are able to compete fairly and efficiently. MPTA is one of the oldest and most active pay telephone associations in the country and are a member of the national payphone trade association The American Public Communications Council (APCC).  To learn more about MPTA, check out their website at http://www.michiganpay.org.