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"  " ? ?" ? ?" ? ?" " ? ?  ?? ?  ?  ? ?!?!?!??!~???!?!????????????|??? ??  ???? ? ? ???????8?x?x? ? ??? ?? ?? ? ?? ? ? ?  ? ? ?  ??  ?  ?? 0? ?? 8 ?? 8?? ?? ??? ???   @ ? ? ? ! ?!$$?$?$??#??#?8?##?# ??# ?# ?% %~&''?''?'?'''?'*)*?*p*|*~*?*?*?À**?----CCC C ?C ?C E E E ?E E E ?EEEE?EDEEEG?GGG G G ?8 6 6 6 ?6? ?5 5 7 7 7       ?   ?  ?  ? ?? ?  ? ?  ? ?  ?? ??  ?? ??  ?? ??  ?? ?  ??   ?   ?   ?          ǀ      ?              ?  ? ? ?  ?? ? À8 ? ?         ?  ? ?   ?       ?  ?À   À      ??    ? ?? ?   ?    ?  ?  À    ??    ?  ?   ? ?           ?      ? ?        ?     >   ??       ?  ?          ?     ?   ?   ?            ?? ? ??  ? ?   ?            ?        ??  ?  ?    &  '  '        ?       ?            ??  ??  ? ? ?   ?    ?                        ?   ??   ?   ? ?ǀ   ?ǀ  ? ?À  ? ?À   ?À   ?À   ?         ?         ?  ?  π       ?   ?            ?  À ?        ? ? ?      ?    8?       ? ? ~  ?  ? ?  ? ?  ?    ?  ? ??  ?   ?   ? ??  ?   ?  ? ? ? ? ? ? ? ? ?  ? ?   ?   ?   ?  ?  ? ?? ? ? ??? ~?   ? ? ? ?? ? ??  ? ? ??  ?  ?  ?À? ? ?? ?? ?? ? ? ? ?? ?? ??? ? ?? ?? ? ? ?? ? ?? ??  ??  ???  ?  ?  ? ?? ??  ?  ?  >?  ?  ?? - ?: 9 4ǀ? ?4 4 4? 4 4 4 4 5? 5 4 ?4 ?4 5 5 5 ?1? ?1 ?1 ?1 ?0 1x 1 / /? ?/π / / / .? ??.? ?. <. - - - --,,?,,-?----?+?* ??* ?+,>,,,?,?,?,--.?.?.?.%?À%%%%%%?%%?%?%?%&&'''?'?'?''?'())))x)?)?)?))*+++ǀX? π? ? ??? ##?&#&#? %#0%#x?%#?x%#?|%#?%#?%#?%#?%#%#%#%# ?%# $# ?$#?$# $# ?$# $#$#$#$#$#$#$#$###??####?##?##?#$ ?#$'$?'$'*'*'+'++XC Y29 @2  ` $#K2pG;x#News media Information 202 / 4180500 `$FaxOnDemand 202 / 4182830 `$Internet: http://www.fcc.gov `c!$\ ftp.fcc.gov  L(#&h2pG;p&#Federal Communications Commission 1919 M Street, N.W. Washington, D. C. 20554  C#^2pG;8#y:  dddy  M8[d#,92pG;,#This is an unofficial announcement of Commission action. Release of the full text of a Commission order constitutes official action. See MCI v. FCC. 515 F 2d 385 (D.C. Circ 1974).  ey:  dddhy  M8}d Figure 1  Figure 1 y!HH88@Uddfcclogo.wpgHHy U 1  1 ! Xz :8a >#S2pG;z# NEWS 9 ,  #Xw P7XP# Report No. IN 996 INTERNATIONAL ACTION February 5, 1999  Y2 d TWIN ANNIVERSARY OF WTO AGREEMENT TO OPEN INTERNATIONAL xTELECOM MARKET AND COMMISSION'S BENCHMARKS ORDER MARKED BY DECLINE IN INTERNATIONAL CALLLING RATES AND GREATER SERVICE !OPTIONS   Y_2x On the twin anniversaries of the entry into force of the historic World Trade Organization (WTO) Agreement on Basic Telecommunications Services and the Commission's 1997 Benchmarks Order, international calling prices continue to fall significantly, reflecting a passthrough to consumers of the decline in international settlement rates mandated by the Commission's Benchmarks Order. The WTO Agreement and the Benchmark Order, now both oneyear old, have had a profound effect on the global market for international services. "The WTO telecom agreement and the Commission's Benchmark policy are the onetwo punch for promoting competition and liberalization in the international telecommunications market," stated FCC Chairman William E. Kennard. "We're now at the end of the beginning of the war against telephone monopolies, and consumers are already enjoying lower international calling rates." In 1996, the average price of an international call originating from the United States was 88 cents per minute. Although the 1998 figures are still incomplete, all indications are that the average price to consumers of an international call is now close to 60 cents per minute, reflecting a 30% decline in the past two years. By 2003, when the Benchmarks Order will be fully implemented, estimates are that the average price of an international call will be below 25 cents per minute. The WTO Basic Telecom Agreement entered into force on February 5, 1998. The Commission's Benchmarks Order, which a U.S. appeals court resoundingly affirmed last month, was adopted in August 1997 and went into effect January 1, 1998. Since the adoption of the Benchmarks Order in August 1997, carriers from 24 countries have reduced their settlement rates to levels that are at or below their respective benchmark rates, and 14 more countries have agreed to do so within the timeframe prescribed in the Benchmarks Order. In the past year, the average perminute settlement payment, or the rate that U.S. carriers pay to terminate international calls, has declined by 20 percent. In 1998, competitive rates that consumers pay for calls from the United States to the top 10 international destinations have fallen on average by 25 percent. Moreover, consumers can make calls to liberalized markets such as the United Kingdom and Sweden for as little as 12 cents per minute, a rate that is equivalent to the cost of domestic long distance services. (over) E&~   E&~  "h$-%%z z `""Ԍ 2 Foreign markets are also beginning to provide U.S. companies more opportunities to offer innovative, affordable services than ever before. In the period 19941997, over $600 billion dollars (worldwide estimate) of private capital has been invested in the development of telecommunication networks. While wireline companies are investing heavily to develop a global network, satellite companies are offering additional choices for basic and advances services to people and businesses in underserved areas across the globe from solar Y_2powered satellite telephones in Chile to Internet cafes in Zambia.  x(H#P ;#  W2# ?r P7 ?P#ԩ FCC x News Media Contact: Rosemary Kimball (202) 4180500 International Bureau Contact: Peter Pappas at (202) 4180746.