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AT&T Raising Some Phone Rates In California

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Oct 24, 2008 9:14 pm US/Pacific

AT&T Raising Some Phone Rates In California

SAN JOSE (AP) ― AT&T will soon charge some California residents more to make local phone calls.

The company said on Jan. 1 prices for basic land line phone services will rise between 10 and 25 percent.

Depending on the basic phone plan they have, customers could pay as much as $2.56 more each month.

The price hikes will affect about half of the state's 6.5 million residential lines.

AT&T said it has raised rates on basic phone services only once in the last 14 years, and that the new prices are still among the lowest in the nation.

But critics question the timing of the rate increases—in the midst of an economic downturn—and say they come as AT&T is posting a profit.

(© 2009 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

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