NEWS                                         January 11, 1995

             FCC RELEASES NEW TELEPHONE SUBSCRIBERSHIP REPORT
         UNEMPLOYED ADULTS LESS LIKELY TO HAVE TELEPHONE SERVICE

     The FCC today released its latest report on telephone subscribership levels in the
United States.  Statistics for July 1995 indicate that 94.0% of all households in the United
States have a telephone.  While the report found that overall subscribership rates are up from
July 1994, they are still below the maximum of 94.2% reached in 1993.  The report also
continues to show lower subscribership levels for unemployed adults than for employed
adults as well as significant differences by state, race, age and income level.

     In July 1995, the telephone subscribership rate for unemployed adults was  only
88.9%, while the subscribership rate for employed adults was 96.0%.  The statistics may
seem obvious, but they also point to a growing problem.  The increasing importance of the
public switched network in connecting adults to the economy means an increasing disconnect
from the economy for those not on the network.

     By state, the penetration rates range from only 82.9% in New Mexico to 97.7% in
Minnesota.  Households headed by a white person have a penetration rate of 95.2%, while
those headed by a black person have a penetration rate of only 86.9% and those headed by a
person of Hispanic origin have a penetration rate of only 86.2%.  By age, penetration rates
range from only 84.4% for households headed by a person under 25 to 96.4% for households
headed by a person over 70.  By income, penetration rates range from only 76.6% for
households with annual incomes below $5,000 to 99.3% for households with incomes
between $60,000 and $75,000.

     This report is updated every four months and is available in the reference room of the
Industry Analysis Division, Common Carrier Bureau, Room 533, 1919 M Street, N.W. 
Copies may be purchased by calling International Transcription Service at (202) 857-3800. 
This report can also be downloaded [file name: SUBS0795.ZIP] from the FCC-State Link
computer bulletin board, which can be reached directly at (202) 418-0241.  The FCC-State
Link can also be reached by using a gateway feature available through FedWorld, which can
be reached via direct dial access at (703) 321-3339, via internet telnet access (fedworld.gov),
or via the World Wide Web (http://www.fedworld.gov).

                                  - FCC -

For further information, contact Alexander Belinfante at (202) 418-0944.