January 12, 1999
                       
STATEMENT OF FCC CHAIRMAN WILLIAM E. KENNARD ON
  TODAY'S COURT DECISION UPHOLDING THE FCC'S
               BENCHMARKS ORDER 
                       
                       
Today, the D.C. Circuit released its opinion in the international
settlement benchmarks case, Cable & Wireless v. FCC.  The Court
upheld the Commission's benchmarks order "in all repects" against
numerous challenges brought by a consortium of foreign telephone
companies.   The Court concluded that, "given the expansive powers
delegated to the Commission . . . we have no doubt that the
Commission has the authority to prescribe maximum settlement rates."


FCC Chairman William Kennard issued the following statement: 
                       
    "This is a great day for US consumers who call relatives and
    friends, and conduct business in foreign countries.  In its
    decision, the D.C. Circuit has upheld the important actions taken
    by the Commission to  lower the cost of making international
    calls.  We will continue to push for lower international rates by
    consistently enforcing our benchmark rules and promoting
    competition around the world."

                         - FCC -


     The full text of the court's decision is available on the court's
website:  www.cadc.uscourts.gov  and on the FCC's website at:
www.fcc.gov/ogc/recopin.html