May 12, 1998


         STATEMENT OF FCC CHAIRMAN WILLIAM E. KENNARD 
         ON THE JUSTICE DEPARTMENT'S ACTION ON PRIMESTAR

     As I have said from my first day as Chairman, this transaction raises significant 
competition issues.  The Justice Department's action today confirms that view.  This
transaction raises important questions about how it can deliver the American public more
choices and lower prices. 

                             - FCC -