International Settlement Rates

FEDERAL COMMUNICATIONS COMMISSION

47 CFR Part 63

[IB Docket No. 96-261, DA 97-1563]

International Settlement Rates

AGENCY: Federal Communications Commission.

ACTION: Proposed rule.

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SUMMARY: On December 19, 1996, the Federal Communications Commission

released a Notice of Proposed Rulemaking (``NPRM'') that proposes

changes to the Commission's international settlement benchmark rates

that will move settlement rates closer to the underlying costs of

providing international termination services. On July 22, AT&T filed a

motion for the Commission to grant confidential treatment for documents

that AT&T has filed under seal for inclusion in the record in this

proceeding. The Commission granted AT&T's request. (Order Granting

Motion for Confidential Treatment, IB Docket No. 96, 261, DA 97-1563,

adopted and released on July 23, 1997)

ADDRESSES: Federal Communications Commission, 1919 M Street, NW., Room

222, Washington, DC 20554. AT&T would make these documents available

for inspection pursuant to the terms of the Confidentiality Agreement

at the premises of AT&T, 10th Floor, North Tower, 1120 20th Street,

N.W., Washington, DC 20036.

FOR FURTHER INFORMATION CONTACT: John Giusti, Attorney-Advisor, Policy

and Facilities Branch, Telecommunications Division, International

Bureau, (202) 418-1407.

SUPPLEMENTARY INFORMATION:

1. AT&T Corp. (``AT&T'') has filed a motion for the confidential

treatment of documents that AT&T has filed under seal for inclusion in

the record of the above-captioned proceeding. We grant AT&T's motion,

finding that it will serve the public interest by facilitating full

development of the record in this proceeding while safeguarding the

proprietary and confidential information of AT&T.

2. In the International Settlement Rates Benchmarks NPRM

(``NPRM''), the Commission proposed to calculate benchmarks for

international settlement rates based in part on foreign carriers'

tariffed rates (International Settlement Rates, NPRM, IB Docket No. 96-

261, 61 FR 68702 (December 31, 1996)). As part of the benchmarks

calculations, the International Bureau distributed international calls

from the United States among service classifications, time periods, and

the destination of the calls. We determined the distribution of minutes

for each country in part from information collected on AT&T customers'

calls during a three month period that began on January 6, 1996. In its

comments, ABS-CBN requested that we put this call distribution data on

the record. The documents AT&T has filed under seal contain such call

distribution data. AT&T states that this data ``is competitively

sensitive, not publicly disclosed in AT&T's normal course of business,

and exempt from disclosure under Secs. 0.457 and 0.459 of the

Commission's rules.'' AT&T asserts that unauthorized disclosure could

lead to substantial competitive harm to AT&T.

3. Although we believe that U.S. international carriers would

likely have call distribution data on their U.S.-originated traffic and

foreign carriers receiving settlement payments would likely have the

call distribution data on the U.S.-originated traffic that they

terminate, we nonetheless want to ensure that all parties have a full

opportunity for notice and comment on our proposed benchmark settlement

rates. We therefore find that adoption of AT&T's motion will serve the

public interest by facilitating full development of the record in this

proceeding while protecting the proprietary and confidential

information of AT&T. We recognize that AT&T's call distribution data

could provide competitors with competitively-sensitive market and cost

structure information about AT&T's operations. In order to ensure that

the data contained in AT&T's documents are not used for any purpose

other than to assist parties in commenting fully on the proposals the

Commission made in the NPRM, we will allow AT&T to make the proprietary

and confidential call distribution data available pursuant to the

Confidentiality Agreement attached to its motion, the terms and

conditions of which we find reasonable. Parties of record wishing to

examine this data may do so at the premises of AT&T, 10th Floor, North

Tower, 1120 20th Street, NW, Washington, DC, 20036, Monday through

Friday, between the hours of 9 a.m. and 5 p.m.

4. Accordingly, It Is Ordered, pursuant to section 4(i) of the

Communications Act of 1934, as amended, 47 U.S.C. section 4(i), and

sections 0.51, 0.261, 0.457 and 0.459 of the Commission's rules, 47 CFR

Secs. 0.51, 0.261, 0.457, 0.459, that AT&T's motion for confidential

treatment Is Granted. Nothing in this Order, or AT&T's Confidentiality

Agreement, shall restrict the Commission's authority to use information

or materials obtained in the course of this proceeding.

5. It Is Further Ordered that this Order shall be effective upon

adoption.

Federal Communications Commission.

Peter F. Cowhey,

Chief, International Bureau.

[FR Doc. 97-20397 Filed 8-4-97; 8:45 am]

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