MCI Update

TELECOMMUNICATIONS RESEARCH & ACTION
CENTER (TRAC)

by: Kate Dean
November 20, 2002

MCI INCREASES RESIDENTIAL RATES BY 25-80 PERCENT

"It is apparent from the 25-80 percent rate increases announced today by MCI for virtually every aspect of its domestic and international consumer operations that the other shoe has dropped: MCI consumers now are being asked to foot the bill for the accounting fraud and other legal woes of WorldCom. The steep increases that MCI is putting in place marks a sharp departure from its previous role as an industry leader in cost cutting.

The new MCI rates - such as the increase in MCI Everyday savings for evening and weekend state-to-state calls from 5 to 9 cents and the 13 percent hike for direct-dialed international calls -- are high enough that consumers who use MCI should evaluate whether or not they need to switch long-distance providers.

TRAC advises consumers to make sure that the long-distance plan and service they are using is the best one for their unique calling habits. TRAC encourages ALL consumers to investigate their telephone service options periodically and to use CURRENT rates for the purposes of any such evaluation. Be sure to make a choice based on price and services, not marketing pitches. For more information, go to http://www.trac.org."

ABOUT TRAC: The nonprofit, membership-based Telecommunications Research & Action Center was founded in 1983 to promote and advocate for the interests of residential telecommunications customers. TRAC has, for almost 20 years, been conducting studies and publishing charts to aid consumers in choosing the correct and most efficient service for their calling needs. 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 publications include TeleTipsSM Residential and Small Business Long Distance Comparison Charts, Dial-around comparison chart, and a variety of consumer guides on directory assistance services, wireless options, and getting online.

CONTACT: Kate Dean, of TRAC, 202/263-2950 or katedean@trac.org

©Telecommunications Research and Action Center, 1999, all rights

reserved.

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