SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
July 9, 1997
BELLSOUTH CORPORATION
(Exact name of registrant as specified in its charter)
Georgia 1-8607 58-1533433
(State or other (Commission (IRS Employer
jurisdiction of File Number) Identification
incorporation) No.)
1155 Peachtree Street, N. E., Atlanta, Georgia 30309-3610
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code
(404) 249-2000
Item 5. Other Events
Brazil Wireless Auctions
A BellSouth-led group - BCP - has won a license to operate
cellular services in Brazil's largest city, Sao Paulo, the
Brazilian government announced today. The world's third
largest city, Sao Paulo has a population of approximately
18 million people.
With the award based on a combination of a bid amount and
a basket of tariffs, BellSouth Corporation and its
partners (including the Safra Group, a Brazil-based
banking and industrial concern, OESP Group, a media
conglomerate, and Splice, a telecommunications equipment
provider) bid approximately $2.5 billion for the Sao Paulo
metro license. BellSouth will initially have a 46%
interest in the consortium.
The BellSouth group plans to invest about $500 million to
build and operate the Sao Paulo wireless network, which
will be based on TDMA digital technology. The system is
expected to be in service within 12 months of license
award.
Impact on 1997-1998 Earnings Growth
BellSouth believes that normalized earnings growth could
be in the low double digits through 1998 and that the
Brazil operations will not affect its ability to achieve
such growth. This forward-looking statement is based on a number
of assumptions including, but not limited to: (1) economic
growth and demand for wireline and wireless communications
services continues in BellSouth's service territories; (2)
BellSouth Telecommunications, Inc. is successful in
furthering its cost reduction efforts; (3) the final
resolution of the access reform and universal service
orders of the FCC is reasonably revenue neutral; (4) local
service competition does not have a significant adverse
impact on earnings through 1998; and (5) economic,
monetary and political stabilization continues in Brazil.
Any developments significantly deviating from these
assumptions could cause actual results to differ
materially from those in the above forward-looking
statements.
SIGNATURE
Pursuant to the requirements of the Securities Exchange
Act of 1934, the registrant has duly caused this report to
be signed on its behalf by the undersigned thereunto duly
authorized.
BELLSOUTH CORPORATION
By: /s/ W. Patrick Shannon
W. Patrick Shannon
Vice President and Controller
July 9, 1997
