AT&T Consumer
                          Communications Services
                            1994 Service Winner

Highest Official:             Joseph P. Nacchio
                              President

Public Affairs Contact:       Linda Haertlein
                              Public Relations Director
                              Ph:  (908) 221-5457
                              Fax: (908) 221-6462

AT&T Consumer Communications Services provides domestic and
international long distance communications services primarily to
residential customers. Competitors have grown from a handful in 1984 to
more than 500 today. Its 44,000 employees serve more than 80 million
customers, with about a 60 percent market share for long distance
services. CCS, the largest of some 20 AT&T business units, is based in
Basking Ridge, N.J., and has more than 900 sites throughout the United
States.

Quality Improvement Characteristics:

*    Despite intense competition since deregulation, the company has
     maintained high market share by constantly focusing on the needs of
     customers.

*    Seventy-five million interactions with customers each day test the
     company's progress against its goal of perfect customer connection
     and contact each and every time.

*    An integrated business and quality planning system, led by the CCS
     president and senior executives, focuses on five key customer
     requirements: call quality, customer service, billing, reputation,
     and price.

*    With part of their compensation based on  customer value added,  a
     composite measure of customer satisfaction, executives regularly
     use a variety of mechanisms to communicate the company s quality
     and customer-focus values. These include field visits,
     publications, roundtables, and face-to-face meetings with
     employees, in which all management and occupational associates
     participate as equals.

*    Teams implement quality improvements, using standardized,
     AT&T-developed tools for planning, executing, and evaluating
     initiatives to improve performance and customer satisfaction.
     Process Management Teams include employees from all levels of the
     company and, as appropriate, suppliers. To ensure a shared focus
     and commitment across units, internal contracts are used to assign
     responsibilities and to establish clear improvement goals for each
     stage of a process.

*    Workforce training, skills development, and other elements of
     human resource plans are systematically integrated into business
     and quality improvement plans. Annual workforce surveys, employee
     focus groups, and site interviews provide data for detailed and
     aggregate views of employee job satisfaction, awareness of company
     values and goals, perceptions of company leadership, and other
     topics influencing attitudes, motivation, and performance.

*    As is the case throughout much of the telecommunications industry,
     CCS has made substantial reductions in the size of its workforce.
     To help employees make the transition, the company has initiated
     services (such as retraining, preparing resumes, and developing job
     leads) that associates can use until they find new employment.

*    Extensive data and information systems support fact-based
     management approaches to problem solving, quality improvement, and
     market development. Customer-satisfaction and
     operational-performance data are made available throughout the
     company, providing timely feedback to workers and management on
     progress toward meeting quality goals. All process and performance
     measures are linked to overall efforts to meet customer
     requirements and improve levels of satisfaction.

*    Rapid advances in technology have reshaped telecommunications and
     redefined "service" for CCS customers, so the company invests more
     than $1 billion annually. For the fourth consecutive year, in 1993
     Data Communications magazine recognized the company with its Best
     Overall and Best Technology in Long Distance Carrier Service
     awards.

*    CCS' heavy investment in technology has expanded the capabilities --
     and enhanced the reliability -- of its worldwide telecommunications
     network. Responding to a cable cut that eliminated service to
     Manhattan for nearly half a day in 1991, the company overhauled its
     disaster response system and developed a highly automated system
     (FASTAR) that can restore calling capacity within 10 minutes of a
     major facility outage.