ROANOKE TIMES 
                      Copyright (c) 1996, Roanoke Times

DATE: Tuesday, September 24, 1996            TAG: 9609240070
SECTION: BUSINESS                 PAGE: B-7  EDITION: METRO 
DATELINE: STAMFORD, CONN.
SOURCE: Associated Press


AIRPLANE PHONE COSTS HEADING DOWNWARD

GTE Airfone plans to reduce the price of quick calls from its airplane telephones.

Two other providers of airplane phone service, In-Flight Phone and AT&T Wireless, are reportedly planning to cut their prices as well.

As of Nov. 1, all airlines that offer GTE Airfone services will charge $2.99 for each call and $2.99 per minute, with a $15 maximum charge that callers will hit after four minutes on the phone.

``You'll never pay more than $15 in air-time charges,'' Laura Littel, a spokeswoman for GTE Airfone, said Monday.

GTE Airfone had launched a flat $15 a call rate in May, and has been testing a lower per-minute fee scale on TWA, the USAir Shuttle and Midwest Express. Those airlines are offering rates of $5 for a one-minute call and $10 for a two-minute call until Oct. 31.

GTE Airfone provides phone services on United, Delta, TWA, USAir, USAir Shuttle, Delta Shuttle, Midwest Express and Reno airlines.

``There has been a perception since air phones were invented that they are too expensive. We want to show the service is valuable and worth spending some money on,'' Littel said.

GTE also will offer a holiday calling card, Littel said. For $24.95, card holders have unlimited use of Airfones in December.

In-Flight Phone provides service on Continental, America West and Carnival airlines. AT&T Wireless, with service on American, Northwest, Southwest and Alaska airlines, is considering cuts in off-peak and weekend rates. AT&T charges $2.50 a call plus $2.99 per minute.

GTE Airfone, based on Oak Brook, Ill., is a division of Stamford-based GTE.


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