Saturday, September 28, 2002
Some SBC cuts will be in Ohio
By The Associated Press
CLEVELAND - SBC Communications Inc.'s plans to cut 11,000 jobs and capital spending are expected to affect an undetermined number of Ohio workers, officials said Friday.
SBC Ameritech Ohio has 10,700 employees. About 2,400 of the non-management job losses will be in a five-state region that includes Ohio.
About a third of the cuts announced Thursday will involve management, mostly near Dallas, while the rest affect other regions.
The Bell telephone company, which provides local service in 13 states, said the cuts are due in part to a weak economy and customers switching to cellular phones.
Chairman and chief executive Edward Whitacre blamed SBC's problems on regulations requiring SBC to make its phone networks available to competitors. State regulators have set wholesale prices rivals pay SBC too low.
Connie Browning, acting president of SBC Ameritech Ohio, said a $14 wholesale rate set by the state covers only half the company's costs, and it has lost 570,000 phone lines to competitors.
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