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: February 10, 1998
PACIFIC BELL
A California Corporation
Commission File No. 1-1414
IRS Employer No. 94-0745535
175 E. Houston, San Antonio, Texas 78205
Telephone Number (210) 821-4105
<PAGE>
Item 5. Other Events
On January 28, 1998, SBC Communications Inc. released the following
information regarding Pacific Bell:
<TABLE>
<CAPTION>
Pacific Bell Telephone Company (PacBell Consolidated)
- -------------------------------------------------------------------------------------
------------------------------- ----------------------
Dollars in millions Three Months Ended Twelve Months Ended
------------------------------- ----------------------
Unaudited 12/31/97 12/31/96 % Chg 12/31/9712/31/96 % Chg
- ---------------------------------------------------------- ---------------------------
<S> <C> <C> <C> <C> <C> <C>
Operating Revenues
Local service $1,175 $994 18.2% $4,386 $3,956 10.9%
Network access - Interstate 460 467 -1.5% 1,714 1,805 -5.0%
Network access - Intrastate 194 179 8.4% 790 718 10.0%
Long-distance service 282 321 -12.1% 1,182 1,274 -7.2%
Directory advertising 291 271 7.4% 1,125 1,051 7.0%
Other 212 208 1.9% 741 642 15.4%
- ---------------------------------------------------------- ---------------------------
-------- ----------
Total Operating Revenues 2,614 2,440 7.1% 9,938 9,446 5.2%
- ---------------------------------------------------------- ---------------------------
-------- ----------
Cash Operating Expenses 1,918 1,441 33.1% 7,408 5,316 39.4%
- ---------------------------------------------------------- ---------------------------
-------- ----------
EBITDA * 696 999 -30.3% 2,530 4,130 -38.7%
- ---------------------------------------------------------- ---------------------------
-------- ----------
Depreciation and 464 459 1.1% 2,021 1,826 10.7%
amortization
- ---------------------------------------------------------- ---------------------------
-------- ----------
Total Operating Expenses 2,382 1,900 25.4% 9,429 7,142 32.0%
- ---------------------------------------------------------- ---------------------------
-------- ----------
Operating Income 232 540 -57.0% 509 2,304 -77.9%
- ---------------------------------------------------------- ---------------------------
Income Before Cumulative
Effect
of Accounting Changes 87 286 -69.6% 8 1,170 -99.3%
========================================================== ===========================
<FN>
1997 results include charges for several items including strategic initiatives
and ongoing merger integration costs, gain on the sale of Pacific Bell's
interest in Bell Communications Research, Inc. and a first quarter settlement
gain. Excluding these additional items Pacific Bell reported an adjusted income
before cumulative effect of accounting changes of $1,066 for 1997. </FN>
</TABLE>
<PAGE>
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.
Pacific Bell
By:/s/ Robert B. Pickering
Robert B. Pickering
Vice President and Chief Financial
Officer
February 10, 1998
