Attachment MOO&A Rel. 11.27.92

MOO&A Rel. 11.27.92

MEMORANDUM OPINION AND AUTHORIZATION submitted by FCC

MOO&A Rel. 11.27.92

1992-11-27

This document pretains to ITC-214-19920604-00126 for International Global Resale Authority on a International Telecommunications filing.

IBFS_ITC2141992060400126_690576

7 F.C.C.R. 7758 Page 1 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) DA 92-1559 *1 IN THE MATTER OF AMERICAN TELEPHONE AND TELEGRAPH COMPANY CICI, INC. GTE HAWAIIAN TELEPHONE COMPANY INCORPORATED IT & E OVERSEAS, INC. MCI INTERNATIONAL, INC. SPRINT COMMUNICATIONS COMPANY LIMITED PARTNERSHIP TRT/FTC COMMUNICATIONS, INC. JOINT APPLICATION FOR AUTHORIZATION UNDER SECTION 214 OF THE COMMUNICATIONS ACT OF 1934, AS AMENDED, TO CONSTRUCT, ACQUIRE CAPACITY IN AND OPERATE A HIGH CAPACITY DIGITAL SUBMARINE CABLE NETWORK BETWEEN AND AMONG THE UNITED STATES MAINLAND, THE STATE OF HAWAII, THE ISLAND OF GUAM AND JAPAN File No. I-T-C-92-179 Adopted: November 12, 1992; Released: November 27, 1992 MEMORANDUM OPINION, ORDER AND AUTHORIZATION **7758 By the Chief, Common Carrier Bureau: 1. The above-captioned Joint Application [FN1] was filed on June 4, 1992, by American Telephone and Telegraph Company ("AT & T"), CICI, Inc., d/b/a IDB Inter- national ("IDB"), GTE Hawaiian Telephone Company, Incorporated ("HTC"), IT & E Overseas, Inc. ("IT & E"), MCI International, Inc. ("MCII"), Sprint Communications Company Limited Partnership ("Sprint"), TRT/FTC Communications, Inc. ("TRT/FTC"), (hereinafter collectively called the Joint Applicants). The Joint Applicants seek authority, pursuant to Section 214 of the Communications Act of 1934, as amended, 47 U.S.C. § 214 (1982), to construct and operate a high capacity digital submarine cable network, known as TPC-5, extending between and among the United States Mainland, Keawaula in the State of Hawaii, the Island of Guam, and Japan. TPC-5 will be jointly owned by the Joint Applicants and 37 foreign telecommunica- tions administrations and carriers. The Joint Applicants propose that TPC-5 be operational by December 31, 1996. 2. The Joint Applicants also seek authority to: (a) acquire capacity in TPC-5; (b) acquire, by lease or on an Indefeasible Right of User (IRU) basis, such exten- sion facilities as may be required to extend capacity in TPC-5; (c) convey to its correspondents, or to non-owners, half interests on an IRU basis in certain capa- city currently wholly assigned to a Joint Applicant; and (d) activate and operate capacity in TPC-5 and in the aforementioned facilities for the provision of their respectively authorized telecommunications services. © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 2 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) 3. The Joint Application was placed on public notice on June 10, 1992. STC Sub- marine Systems Inc. ("STC") filed comments requesting the Commission to condition the requested Section 214 authorization and accompanying cable landing license. [FN2] The Joint Applicants [FN3] filed a Reply to which STC subsequently respon- ded. I. THE APPLICATION 4. The Joint Applicants will use TPC-5 to supplement their existing facilities for providing international and domestic service. [FN4] TPC-5 capacity will be extended by suitable facilities to the borders of other TPC-5 participating coun- tries or to the terminals of other international communications systems, including other cable terminals and satellite earth stations, resulting in services between and among the U.S. Mainland, Hawaii, Guam and Japan. *2 5. The TPC-5 Construction and Maintenance Agreement (C & MA), [FN5] initialed on February 6, 1992, defines the proposed cable system in terms of segments for ownership purposes. TPC-5 will consist of twelve segments. [FN6] Each cable segment of TPC-5 will consist of two fiber pairs. One fiber pair will be used for service while the other will be used for restoration. The "loop" configuration of TPC-5, along with a fully redundant restoration pair, provides 100 percent fiber-on-fiber restoration and route diversity within the network, resulting in a much higher circuit reliability. The TPC-5 operating capacity of 4.8 Gigabits per second (Gbit/s) for each fiber pair, service and restoration, consists of 32 Basic System Modules (BSM) operating at 155 Megabits per second (Mbit/s), with each BSM consisting of **7759 63 Minimum Investment Units (MIUs). [FN7] The Design Capacity per fiber pair is 2,016 MIUs. For voice services, digital cir- cuit multiplication equipment (DCME) can be employed to derive about 150 virtual voice paths from a MIU, for a per fiber pair capacity of over 300,000 virtual voice paths. The Joint Applicants also state that TPC-5's new lightwave ampli- fication repeaters will deploy the latest in digital lightwave technology in the Pacific Ocean Region (POR) and will provide users with an ever widening range of technological alternatives and services. 6. The estimated total cost of TPC-5 is $1,348 million. The Joint Applicants' share of costs is $705.6 million, which will be allocated proportionally to each U.S. owner, by segment, based on their percentage ownership interest in each seg- ment contained in Schedule B of the C & MA. The estimated costs include neither the U.S. carriers' cost for interest during construction, currently projected at $229 million for the network, nor the cost of DCME, which is not considered part of the cable network. Fixed costs (95%) include the submarine cable, the repeat- ers, the terminal transmission equipment and the high voltage power plant. Sup- pliers' cost-incurred items (5%) include the costs associated with cable laying, route survey, plowing and burial of the cable, project management, owners' inspec- tion and amounts payable for customs duties and value-added taxes. © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 3 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) 7. The Joint Applicants' collective voting interest in TPC-5 is 50.65 percent, with ownership interests in Segments G, H, I and J divided principally between AT & T and KDD. [FN8] Segments T1 and T2 will be owned by AT & T and KDD respect- ively. [FN9] The allocation of capital and operating and maintenance costs of Segments A-J, T1, and T2 are shared by the Joint Applicants, with AT & T's share at 34 percent and KDD's at 14 percent. [FN10] The Joint Applicants also show ca- pacity assigned to each of the owners upon which the costs are based. [FN11] These capacity assignments, based on forecasted demand through 2010, con- template each Joint Applicant's proposed utilization of DCME. The Joint Applic- ants note that current capacity assignments reflect 52 percent of Design Capa- city. Both prior and subsequent to the Network Ready for Service (RFS) date, December 31, 1996, carriers, including non-owners of TPC-5, may acquire TPC-5 ca- pacity by IRU, lease or other mutually agreed upon arrangements. [FN12] *3 8. The Joint Applicants state that AT & T and KDD will likely supply portions of TPC-5. Contracts are being negotiated for AT & T to supply Segments G, H, T1 and approximately one half of Segment J, and for KDD to supply Segments I and T2 and approximately one-half of Segment J. The Joint Applicants expect that a mul- titude of United States subcontractors located through out the country will parti- cipate in the construction or provision of materials for the project. [FN13] 9. In addition, the Joint Applicants note that portions of the TPC-5 cable will use AT & T's latest SL2000 technology, which relies on digital lightwave amplific- ation technology and dispersion shifted optical fiber that will increase capacity and reliability of previous submarine technology. The network interface equip- ment will also employ the STM-1 CCITT Synchronous Digital Hierarchy (SDH) standard that will further enhance monitoring and reliability, as well as interoperabil- ity. The Joint Applicants add that TPC-5's network reliability is enhanced by the use of this innovative technology. Since the SL2000 technology uses optically amplified repeaters that have been designed with far fewer active components than regenerative repeaters, the likelihood and number of component malfunctions is minimized. Furthermore, TPC-5 introduces innovative self-healing (self-restoration) technology which ensures 100 percent digital fiber optic reli- ability for TPC-5. Moreover, TPC-5's fully redundant restoration fiber pair can serve as an alternative restoration source for submarine cable systems in the POR in the event of an outage. 10. The Joint Applicants state that the placing into service of TPC-5 is expected to be followed by a rapid growth of reliable, secure and economically priced tele- communications services based upon digital lightwave technology. In addition, the Joint Applicants state that TPC-5 will provide the third common carrier fiber op- tic submarine cable directly linking the U.S. Mainland and Hawaii, and the second common carrier fiber optic submarine cable directly linking the U.S. Mainland and Japan. With a transpacific capacity of 2,016 MIUs per fiber pair, the Joint Ap- plicants state that TPC-5 is a significant part of the common carrier network de- signed for the POR. Furthermore, they note that TPC-5 will provide additional © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 4 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) digital connectivity to the existing and planned HAW-4/TPC-3, HAW-5, TPC-4, G-P-T, H-J-K, PacRimEast, PacRimWest and TASMAN-2 Cable Systems and introduce a new level **7760 of restoration capability to submarine cable facilities in the POR as a result of its unique loop configuration with a completely redundant restoration fiber pair. Moreover, the Joint Applicants note that TPC-5 will allow digital res- toration for other cable systems in the POR and will significantly increase the number of transmission paths across the Pacific Ocean, thereby enhancing service reliability. Finally, path diversity among the U.S. Mainland, Hawaii, Guam and Japan will be enhanced by the additional facility at Coos Bay, Oregon. II. DISCUSSION *4 11. The Joint Applicants seek authority to construct and operate TPC-5 to be- gin service in late 1996 to meet their telecommunications capacity needs and those of their correspondents in the POR during the 1996-2010 time frame. We have re- viewed the Joint Application under the public convenience and necessity standard of Section 214 of the Communications Act of 1934, as amended, and conclude that implementation of TPC-5 in 1996 will serve the public interest. Accordingly we grant the Joint Application subject to certain conditions. [FN14] A. The Need for the TPC-5 Cable Network 12. Section 214 of the Communications Act requires that the Commission make a finding that the public convenience and necessity will be served by authorization of the facilities requested in the Joint Application by determining "whether the specific facility chosen and the use to be made of that facility are required by the public convenience and necessity." [FN15] In making this determination, we traditionally have considered such factors as demand, cost, media and route di- versity, restoration, intramodal and intermodal competition, technological innova- tions and international comity. [FN16] 1. Demand, Capacity and Demand Flexibility 13. We conclude that projected circuit demand, along with other factors, supports the construction and operation of TPC-5 to meet the telecommunications needs of the Joint Applicants and their correspondents in the POR during the 1996-2010 time frame. The circuit demand data for TPC-5, provided by the Joint Applicants under a confidential cover, forecasts the number of 64 Kbit/s bearer circuits to be ac- tivated during the period of 1996 through 2000. [FN17] Based on these forecasts, we find that existing digital submarine cable systems in the POR (TPC-3 and TPC-4) will be unable to meet the Joint Applicants' circuit demands within the first three years of TPC-5's operation. According to the Joint Applicants' forecasted requirements, their demand for TPC-5 cable circuits in 1998 will be 23,998 Minimum Assignable Units of Ownership (MAUOs) which exceeds the total Design Capacity of TPC-3 and TPC-4 combined. [FN18] The Joint Applicants' forecasts suggest that de- mand by the year 2000 will be 31,695 MAUOs, well in excess of capacity of existing © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 5 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) digital cable systems in the POR, and 52.4 percent utilization of TPC-5's capa- city. Furthermore, we traditionally have recognized a need to ensure sufficient demand flexibility to avoid service disruptions caused by saturated facilities. [FN19] 14. We recognize that there are uncertainties inherent in long-range traffic pro- jections, [FN20] but new technology that increases capacity, reliability and qual- ity is likely to spur demand for new digitized services and could very well stimu- late circuit demand beyond the Joint Applicants' projected traffic forecasts. Circuit costs of TPC-5 will be lower than previous cable systems [FN21] which should exert beneficial downward pressure on the rates for international circuitry as well as stimulate increased demand. Moreover, TPC-5's self-healing technology will also make it more attractive to customers with specific requirements for fiber optic cable facilities for data transmission and who prefer to have similar facilities for restoration in the event of an outage. These factors should also stimulate user demand since, in addition to the need for raw transmission capa- city, user demand is similarly determined by user requirements for digital techno- logy, route and media diversity, advanced digital cable restoration capabilities, security and cost-effectiveness. [FN22] In light of the above and the new techno- logy introduced by this cable network, we conclude TPC-5 is justified. *5 2. Quality of Service 15. Media and Route Diversity. Media diversity enhances service reliability through the use of more than one transmission medium, satellite or cable, to carry a correspondent's traffic. Like media diversity, route diversity enhances ser- vice reliability by increasing the number of independent routes that carry traffic to a given location. As a rule, the more independent routes serving a given loc- ation, the greater the ability to restore one that fails. 16. We conclude that the introduction of TPC-5 as proposed will enhance media and route diversity by adding another independent cable route. Service reliability would be substantially improved since the number of circuits affected by a service interruption on a particular route or routes would be minimized and the ability to restore service via another cable facility would be enhanced. TPC-5 is designed to operate as part of an integrated common carrier **7761 digital facilities net- work in the POR. It will provide critical digital interconnection with HAW- 3/TPC-2, HAW-4/TPC-3, TPC-4, G-P-T, H-J-K, AZCAN, ASEAN, OLUHO, OKITAL, NPC, TAI- GU, TAILU and TASMAN-2 and will provide future interconnection with HAW-5, Pac- RimEast and PacRimWest cable systems. It will also provide additional direct sub- marine links between the U.S. Mainland, Hawaii, Guam and Japan. 17. Restoration. Restoration pertains to the ability to maintain service in the event of a facility outage. TPC-5 offers a unique self-healing fiber-on-fiber restoration system that provides consumers with 100 percent restoration capability for TPC-5 in the event of an outage. Although the Commission has previously re- © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 6 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) cognized that satellite capacity provides a satisfactory restoration alternative for cable, we also have recognized that absolute reliance on satellite facilities to meet restoration needs and increased demand may not be in the best interests of users that may have specific communications requirements better accommodated by fiber optic cable facilities. [FN23] TPC-5's self-healing (self-restoration) design is facilitated by the ring or loop architecture of the cable network which, in the event of an outage in one segment, enables traffic to be instantaneously re-routed to the appropriate segment of the restoration fiber pair with no dis- cernable difference in transmission quality. This fast switching capability is made possible by the use of SDH technology which provides a standard interface that will permit flexible drop-insert multiplexing capabilities and cross-connect functions that should simplify multiplexing and demultiplexing. 18. The new SDH technology and fully redundant fiber pair introduced by TPC-5 re- duces the Joint Applicants' reliance on existing cable and satellite facilities for restoration in the event of a failure of a TPC-5 segment, which is particu- larly important as TPC-5's own Design Capacity could not be restored by existing cable or satellite technology. The self-healing feature is also significant since reliance on existing cable or satellite facilities as a restoration altern- ative is subject to the availability of circuits. *6 3. Cost Analysis 19. The Joint Applicants estimate the total cost of TPC-5 to be $1.348 billion, with their share projected to be $705.6 million. The estimated original capital cost of a 64-Kilobits per second (Kbit/s) half channel (half-MAUO), based on the levels subscribed at the first Data Gathering Meeting, is approximately $3,000 for a Guam-Japan Circuit, $11,900 for a U.S. Mainland-Hawaii-Guam circuit and $9,000 for U.S. Mainland-Japan circuit. The Joint Applicants note that the unit cost of a virtual voice path in TPC-5 will be further reduced through the use of digital circuit multiplication technology, which can derive nominally 150 virtual voice channels from a MIU (30 MAUOs). A comparison of the costs for previously author- ized digital cable facilities in the POR demonstrates that TPC-5 will continue the trend of providing increased capacity while reducing per circuit costs. For ex- ample, the cost of a half-MAUO on a fully subscribed TPC-4 Japan-U.S. Mainland segment was $11,545 and a half-MAUO on HAW-4/TPC-3 was $40,000. The estimated cost for a half-MAUO on a fully subscribed TPC-5 is $4,900 for a U.S. Mainland-Ja- pan circuit, and $8,000 for a U.S. Mainland-Hawaii-Guam-Japan circuit. 4. Technological Innovations 20. In addition to demand, it is necessary to consider factors such as promoting the development and rapid implementation of new technologies and service quality in determining the timing of the introduction of new facilities. The Commission has a long standing policy of favoring the development and rapid implementation of new technologies. [FN24] The proposed TPC-5 Cable Network will introduce signi- © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 7 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) ficant technological developments into the submarine cable field which in turn will provide substantial benefits to users. Portions of the TPC-5 cable will use AT & T's latest SL2000 technology, which is based on a unique packaging of compon- ents and technology using, for the first time, optically amplified bit-rate in- sensitive repeaters, bit-rate sensitive terminal equipment, and dispersion-shifted fiber in a submarine cable system. [FN25] As the Joint Applicants noted, the op- tically amplified repeaters have been designed with far fewer active components than regenerative repeaters and as a result the likelihood and number of component malfunctions is minimized. Use of these repeaters and other components will per- mit a fiber pair in TPC-5 to operate at 4.8 Gbit/s, resulting in the operating fiber pair being capable of providing 60,480 MAUOs. This is eight times the ca- pacity provided by TPC-4 which operates at 565 Mbit/s and provides 7,560 MAUOs per fiber pair. [FN26] The new technology for use in TPC-5 will also significantly reduce the cost per MAUO. The cost per half-MAUO on the direct U.S. Mainland to Japan route over TPC-5, when the cable is fully utilized, is projected to be $4,900--less than half of the $11,545 cost per half-MAUO for the direct U.S. Main- land to Japan route on TPC-4. 5. Competition Considerations *7 21. Intermodal and Intramodal Competition. We find that the introduction of TPC-5 will enhance intramodal competition in the POR and encourage both private and common carrier cable operators to innovate and price their **7762 offerings in a manner that is calculated to attract and retain customers. We also find that the introduction of TPC-5 will increase intermodal competition with INTELSAT and potential separate satellite system providers, spurring existing providers of both cable and satellite capacity to respond competitively. Such competition will give service providers and other users greater choice in selecting facilities and thus will enable them to maintain, or improve and enhance, the economy and effi- ciency of their operations. The opportunity to choose among a range of facilit- ies further allows service providers to be more responsive to customer needs in terms of price, service quality, and service availability. 22. Competitive Procurement. While expressly supporting the construction of TPC-5, STC requests the Commission to condition approval of the Section 214 au- thorization and accompanying cable landing license, as it did in the Pacific Tele- com Cable order (PTC), [FN27] by requiring the Joint Applicants to use a fair and open procurement process in awarding the construction contracts for TPC-5. STC claims that such a procurement process has not been used by the Joint Applicants since the procurement of the cable system has been apparently predetermined, with construction to be split between AT & T and KDD. STC asserts that the proposed new technology is not uniquely available from AT & T and that STC, along with oth- er suppliers of systems and component parts, could offer compatible technology. STC also argues that a fair and open procurement process would ensure that con- sumers will gain the full benefits of competition, such as the lowest cost, most advanced features and the highest quality and reliability, in the supply of commu- © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 8 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) nications services and in the construction of the underlying facilities. STC also notes that open procurement reinforces the U.S. government's efforts to open telecommunications markets world wide. 23. Although STC cites Pacific Telecom Cable as precedent for its request that we condition this Section 214 authorization and the accompanying cable landing li- cense, we note that PTC involved only a cable landing license for the North Pa- cific Cable (NPC), a non-common carrier submarine cable. We have never imposed conditions on procurement practices in a Section 214 authorization. With respect to STC's reference to PTC, the Commission did authorize only a conditional grant of PTC's cable landing license. In that instance, the Commission had specific concerns that foreign interests would be favored over U.S. interests due to the actual foreign ownership of the U.S. end, as well as the potential common foreign ownership of both the U.S. and foreign end, of NPC. Due to those particular con- cerns, we found it necessary to condition the cable landing license upon PTC's demonstrating that "U.S. entities will be provided a reasonable opportunity to participate in the planning, manufacture, installation, operation and maintenance of the proposed cable." *8 24. We believe that the Joint Applicants demonstrate that qualified suppliers will be afforded a reasonable opportunity to participate in the procurement of TPC-5. In this instance, although AT & T technology will be used for the U.S. portion of TPC-5, AT & T will not acquire the cable on a sole source, non- competitive basis. As the Joint Applicants state, the U.S.- supplied segments of TPC-5 will employ approximately 60-65 subcontractors located in more than 15 states to provide components or materials for the construction of TPC- 5; moreover, each of these subcontractors will also engage suppliers for compon- ents or materials, so that the number of companies affected by the construction of TPC-5 will be considerably greater than the number of immediate subcontractors. [FN28] Furthermore, under price caps regulation, AT & T has the incentive to sub- contract with those suppliers that offer a competitive price. Moreover, we be- lieve that the presence of competing cable facilities in the POR, including NPC, will continue to serve as a strong incentive for efficient procurement. As we decided in TPC-4, given these competitive market circumstances, we can find no public interest benefit for involving the Commission in the management of TPC-5 procurement decisions, and we do not believe that it is necessary to condition the grant of TPC-5 on assurances of competitive procurement practices. [FN29] 6. International Comity 25. Forty-four telecommunications administrations and entities from thirty-one foreign locations have agreed that the TPC-5 system design and 1996 service date will meet the projected service needs of their customers. Thus, we conclude that TPC-5 will promote international comity. B. The Effect of Price Caps Regulation © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 9 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) 26. In our TPC-4 Decision, we stated that the price caps system of regulation is a disincentive for carriers to engage in the construction of unnecessary facilit- ies since the burden of such investment would fall on stockholders and not rate- payers. [FN30] Having determined that there is a need for the introduction of the TPC-5 Cable Network in late 1996, we believe that the price caps system of regula- tion provides added protection against unnecessary investment. We also note that current competitive conditions and regulatory approaches provide those Joint Ap- plicants not subject to price caps regulation with the incentive to make rational economic decisions and not engage in unnecessary construction of facilities. [FN31] In particular, the Commission recognizes that any such unnecessary invest- ment by Joint Applicants not subject to price cap regulation requires them to have the ability to raise rates to recoup such investment. As a result, those Joint Applicants not subject to price caps that raise rates above those set by the mar- ketplace to recover imprudent investments risk the loss of potential customers. [FN32] **7763 CONCLUSION AND ORDERING CLAUSES 27. In view of the foregoing, we find that the present and future public conveni- ence and necessity require the construction of the TPC-5 Cable Network, to become operational in December 1996. *9 28. Based on the information provided by the Joint Applicants, we conclude that the grant of the requested authorization will not have a significant effect on the environment as defined in Section 1.1307 of the Commission's Rules and Reg- ulations implementing the National Environmental Policy Act of 1969, 42 U.S.C. §§ 4321-4335 (1976). [FN33] Consequently, no environmental assessment is required to be submitted with this Joint Application under Section 1.1311 of the Commission's Rules. 29. Accordingly, IT IS ORDERED that, pursuant to Section 214, 47 U.S.C. § 214 (1982), application File No. I-T-C-92-179 of the Joint Applicants (AT & T, IDB, HTC, IT & E, MCII, Sprint and TRT/FTC) IS GRANTED, subject to the following terms, conditions, and limitations, and the Applicants are authorized to: (a) participate in the construction and operation of the TPC-5 Cable Network as proposed herein; (b) acquire and activate capacity in the TPC-5 Cable Network, on an ownership basis, in accordance with the interest indicated in Appendix 5; (c) acquire capacity, by lease, in such domestic connecting facilities as may be required to extend capacity in the TPC-5 Cable Network; (d) utilize digital circuit multiplication equipment to derive additional voice paths from the circuits (MIUs) authorized herein, in accordance with the appropri- ate Commission authorizations; and © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 10 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) (e) activate and operate capacity in the TPC-5 Cable Network and aforementioned extension facilities for the provision of the Applicants' authorized telecommunic- ations services. 30. IT IS FURTHER ORDERED that Applicants, other than AT & T, are authorized to acquire, by lease, appropriate connecting facilities between the Coos Bay, Oregon and San Louis Obispo, California cable stations and their respective operating of- fices in the United States. 31. IT IS FURTHER ORDERED that the Joint Applicants' tariffs must state that its customers may not resell international private lines or connect them to the public switched network for the provision of international basic telecommunications ser- vices, unless authorized to do so by the Commission upon a country-specific find- ing of resale opportunities equivalent to those available under U.S. law, in ac- cordance with Regulation of International Accounting Rates, Phase II, First Report and Order, 7 FCCRcd 559 (1991), petitions for reconsideration pending. 32. IT IS FURTHER ORDERED that the Joint Applicants shall make available half- interests in TPC-5 capacity to such present and future U.S. carriers as may be au- thorized by the Commission to acquire such capacity. 33. IT IS FURTHER ORDERED that the Commission retains jurisdiction to reallocate U.S. carriers' interest in capacity herein authorized, as the public interest may require, to accommodate additional carriers or otherwise, with, where required, the concurrence of the foreign administration or carriers concerned, and further, jurisdiction is retained by the Commission over all matters relating to the Joint Applicant's ownership, management, maintenance and operation of the cable network as authorized herein to ensure the most efficient use not only of this cable net- work but of all means of communications between the U.S. and the Pacific Ocean Re- gion. *10 34. IT IS FURTHER ORDERED that the Commission retains jurisdiction to review the DCME multiplexing and interworking arrangements and attribution of the costs thereof and to require such changes in the provision of these services and equip- ment as may be necessary. 35. IT IS FURTHER ORDERED that no Joint Applicant herein that is deemed a domin- ant carrier pursuant to the Commission's decision in CC Docket No. 85- 107 [FN34] shall either dispose of any interest in TPC-5 capacity it is authorized to acquire to any entity on an ownership basis or dispose of any interest in any such capa- city in any way to a non-U.S. telecommunications service provider without prior authorization by the Commission. 36. IT IS FURTHER ORDERED that the Joint Applicants shall include TPC-5 facility use in the monthly Circuit Status Reports filed pursuant to the Commission's Or- ders. These reports shall be filed no later than the 20th day of each month providing the information for the preceding month. © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 11 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) 37. IT IS FURTHER ORDERED that STC's request to condition the Section 214 author- ization of TPC-5 is hereby denied. 38. This order is issued under Section 0.291 of the Rules and is effective upon adoption. Petitions for reconsideration under Section 1.106 or applications for review under Section 1.115 of the Rules may be filed within 30 days of public no- tice of this order (see Section 1.4(b)(2)). FEDERAL COMMUNICATIONS COMMISSION Cheryl A. Tritt Chief, Common Carrier Bureau FN1. The Joint Applicants supplement their Section 214 Application by filing indi- vidual circuit activation figures under separate cover and under a request for confidentiality pursuant to Sections 0.457 and 0.459 of the Commission's Rules. FN2. See File No. SCL-92-005. FN3. Sprint and MCII did not join in this Reply. See Reply at 1. FN4. Initially, all Joint Applicants may not be certified to serve directly all territories which the facilities covered by the Joint Application are capable of serving. Each individual applicant proposing extension into such territories by means of the TPC-5 facilities will be required to seek appropriate authority as may be required. FN5. See Attachment B to the Joint Application (filed, June 1, 1992). FN6. Segments A, B, C, D, E, and F are, respectively, the cable stations at Coos Bay, Oregon (U.S.), San Luis Obispo, California (U.S), Keawaula, Hawaii (U.S.), Tumon Bay, Guam (U.S.), Miyazaki and Ninomiya, Japan. Segment G consists of the whole submarine cable provided between and including the Network Interfaces at Segments B and C. Segment H consists of the whole submarine cable provided between and including the Network Interfaces at Segments C and D. Segment I con- sists of the whole submarine cable and Network Interfaces provided between and in- cluding Segments D and E. Segment J consists of the whole submarine cable and Network Interfaces between Segments F and A. Segment T1 consists of the whole submarine cable and Network Interfaces between and including Segments A and B. Segment T2 consists of the whole submarine cable and Network Interfaces provided between and including Segments E and F. AT & T will own and the other parties will have IRU interests in Segments A, B, C, D, and T1; Kokusai Denshin Denwa Co., Ltd. (KDD) will own and other parties will have IRU interests in Segments E, F, and T2. (See Attachment A). FN7. A MIU is a 2.048 Mbit/s digital stream jointly assigned between two parties or wholly assigned to a party which is used for purposes of ownership allocation. © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 12 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) FN8. See Appendix 1 (Schedule B of the C & MA) and Appendix 2 (Schedule C of the C & MA). For the purposes of this agreement, Transpacific shall be assigned all of AT & T's interests in the TPC-5 Cable Network within Japan, including its territ- orial waters, and will be responsible for the capital, operating, and maintenance costs of 34.47 percent of segments I and J within Japan, including its territorial waters. FN9. See Appendix 3 (Schedule D of the C & MA) which shows IRU interests in Seg- ments T1 and T2. FN10. See Appendix 4 (Schedule E of the C & MA). FN11. See Appendix 5A, 5B, 5C, 5D, 5E, 5F, and 5G (Schedule F, G-1, G-2, G-3, G-4, G-5, and G-6, respectively). The interests assigned represent the total Assigned Capacity and the remaining capacity between Assigned Capacity and Design Capacity is referred to as "unassigned capacity." FN12. However, prior to the RFS date, capacity may also be acquired on an owner- ship basis. FN13. Specifically, 60-65 subcontractors located in more than 15 states will par- ticipate in the construction or provision of components or material for the con- struction of TPC-5. See AT & T Supplemental Filing, dated October 13, 1992. FN14. In a separate companion order, we also grant the Joint Applicants' request for a cable landing license (File No. S-C-L-92-005) pursuant to the Cable Landing License Act. FN15. See AT & T et al., (TAT-7 Order), 73 FCC2d 248, 256 (1979). FN16. See, e.g., AT & T et al. 4 FCCRcd 1129, 1131 (Com.Car.Bur.1988) (TAT-9 Or- der). See also Policies to be Followed in the Authorization of Common Carrier Facilities to Meet Pacific Telecommunications Needs during the Period 1981-1985 (POR Planning), 102 FCC2d 353, 355 (1985) and North Atlantic Facilities Planning, 3 FCCRcd 3979, 3986 (1988); All America Cable and Radio Inc., et al., 67 FCC2d 451, 469 (1978). FN17. The Joint Applicants' aggregate demand forecast for TPC-5 from 1996-2000 is 16,508, 20,456, 23,998, 27,798 and 31,695 MAUOs respectively. FN18. The total design capacity of TPC-3 is 7,560 MAUOs, while TPC-4 has a total design capacity of 15,120 MAUOs, for a total combined capacity of 22,680 MAUOs in the POR. See AT & T et al., Memorandum Opinion, Order and Authorization, File No. I-T-C-85-219, released January 7, 1986 (mimeo 1794) (TPC-3 Decision); AT & T et. al., 4 FCCRcd 8046 (1989) (TPC-4 Decision). FN19. As in the TAT-8 Decision, we have focused on a 20 percent demand flexibility (i.e., the ability to accommodate a circuit demand 20 percent larger than that © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 13 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) forecast) as a reasonable measure of adequate demand flexibility. FN20. See American Telephone & Telegraph Co., et al., 98 FCC2d 440, 467 (1984) (TAT-8 Decision). FN21. See infra para. 20. FN22. American Telephone & Telegraph Co. et al., 7 FCCRcd 445 (1992) (TAT-10 De- cision) FN23. See North American Facilities Planning, 3 FCCRcd at 3987. FN24. ITT Cable and Radio, Inc., 5 FCC2d 823, 831 (1965). The Commission noted that the technological innovations of the proposed submarine cable system would provide more than five times the circuit capacity of previous cables and would lower per circuit costs, finding that "... orderly and continuing progress in cable technology and its application as an alternative means of providing overseas communications service is in the public interest." In our TAT-8 Decision, we found that demand did not justify placing the cable in service, however, we con- cluded that the introduction of the new fiber technology and other factors warran- ted authorizing TAT-8. See TAT-8 Decision, 98 FCC2d at 467 and Policies for Overseas Common Carriers, 84 FCC2d 760, 767-768, (1981). FN25. Dispersion Shifted Fiber is a single mode fiber optimized for operation with optical amplifier systems in the 1550 nm wavelength region. This fiber differs from standard single mode fiber in that the optical characteristics of the fiber are modified so the minimal pulse spreading or dispersion occurs in the 1550 nm wavelength region rather than in the 1300 nm region. The combination of minimum dispersion and minimum loss maximize the information carrying capacity of the op- tical transmission systems operating in the 1550 nm region. FN26. TPC-4 utilizes two working fiber pairs to provide a total of 15,120 MAUOs. FN27. Pacific Telecom Cable, Inc., 2 FCCRcd 2686 (1987) (Conditional license), 4 FCCRcd 8061 (1989) (Final license). FN28. The Joint Applicants assert that TPC-5 will benefit the U.S. economy gener- ally and the U.S. submarine cable industry specifically by promoting a leadership role for U.S. industry in lightwave technology, ensuring that the U.S. submarine cable industry is a viable competitor in the global market. FN29. See TPC-4 Decision, 4 FCCRcd at 8046. The Commission came to the same con- clusion in response to similar comments filed by STC following the public notice of TPC-4. FN30. Id. at 8045. FN31. See Policy and Rules Concerning Rates for Dominant Carriers, CC Docket No. © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 14 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) 87-313, 4 FCCRcd 2873 (1989) (Price Caps Order). FN32. See International Competitive Carrier Policies, 102 F.C.C.2d 812, 829 (1985) (International Competitive Carrier); recon. denied, 60 RR2d 1435 (1986); US Sprint Communications Company Limited Partnership, 4 FCCRcd 6279, 6284 (Com.Car.Bur.1989). FN33. See File No. I-T-C-92-179, at p. 23. FN34. See International Competitive Carrier, at 822. **7764 APPENDIX 1 SCHEDULE B INVESTMENT SHARES AND VOTING INTERESTS IN THE TPC-5 CABLE NETWORK PARTIES PERCENT ----------------------------------------------------- APTT (Austria) 0.02826 AT & T 34.46616 BT (U.K) 1.10501 BTE (Ireland) 0.23503 CPRM (Portugal) 0.02826 DACOM (Korea) 1.39406 DBP (Germany) 1.66034 DGT (China) 0.76709 ENTEL (Peru) 0.05651 ETPI (Philippines) 0.02826 FT (France) 0.75263 HKTI (Hong Kong) 1.70173 HTC 1.42398 IDB 0.19780 IDC (Japan) 4.31816 INDOSAT (Indonesia) 0.15076 IT & E 0.08394 ITALCABLE (Italy) 0.50314 ITDC (Taiwan) 2.15062 ITJ (Japan) 6.56775 KDD (Japan) 14.97186 KT (Korea) 3.88483 LPT (Luxembourg) 0.02826 MCII 8.00569 MCL (U.K.) 1.45723 NPTT (Netherlands) 0.14128 NT (Norway) 0.02826 © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 15 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) OTC (Australia) 1.16352 PHILCOM (Philippines) 0.16273 PLDT (Philippines) 3.70349 RTT (Belgium) 0.32878 SFPT (Finland) 0.02826 SPTT (Switzerland) 0.32878 STA (Sweden) 0.02826 TAS (Singapore) 0.80150 TD (Denmark) 0.05651 TELEGLOBE (Canada) 0.07563 TELINTAR (Brazil) 0.02826 TELMEX (Mexico) 0.11303 TM (Malaysia) 0.45344 TNZI (New Zealand) 0.10355 TPTT (Turkey) 0.00947 TRT/FTC 0.39560 US SPRINT 6.08239 -------------------------- ------------------------- TOTAL 100.00000 29-Jan-92 **7765 APPENDIX 2 SCHEDULE C OWNERSHIP INTERESTS IN SEGMENTS G, H, I, AND J PARTIES PERCENT --------------------------------- -------------------------------------------- APTT 0.02826 AT & T 34.46616 BT 1.10501 BTE 0.23503 CPRM 0.02826 DACOM 1.39406 DBP 1.66034 DGT 0.76709 ENTEL 0.05651 ETPI 0.02826 FT 0.75263 HKTI 1.70173 HTC 1.42396 IDB 0.19780 IDC 4.31816 INDOSAT 0.15076 © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 16 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) IT & E 0.08394 ITALCABLE 0.50314 ITDC 2.15052 ITJ 6.56775 KDD 14.97186 KT 3.88483 LPT 0.02826 MCII 8.00589 MCL 1.45723 NPTT 0.14128 NT 0.02826 OTC 1.16352 PHILCOM 0.16273 PLDT 3.70349 RTT 0.32878 SFPT 0.02826 SPTT 0.32878 STA 0.02826 TAS 0.80150 TD 0.05651 TELEGLOBE 0.07563 TELINTAR 0.02826 TELMEX 0.11303 TM 0.45344 TNZI 0.10355 TPTT 0.00947 TRT/FTC 0.39580 US SPRINT 6.08239 --------------------------------- -------------------------------------------- TOTAL 100.00000 NOTE 1: For purposes of this Agreement, Transpacific shall be assigned all of the AT & T interests in the TPC-5 Cable Network within Japan including its territorial waters and shall be responsible for the capital, operating, and maintenance costs of 34.4??10% of segments I and J within Japan, including its territorial waters. **7766 APPENDIX 3 SCHEDULE D IRU INTERESTS IN SEGMENTS T1 AND T2 PARTIES SEGMENT T1 PERCENTAGE SEGMENT T2 PERCENTAGE ------------------------------------------------------------------------------- APTT 0.02826 0.02826 © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 17 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) AT & T [FN*] N.A. (NOTE 1) 34.46616 BT 1.10501 1.10501 BTE 0.23503 0.23503 CPRM 0.02826 0.02826 DACOM 1.39406 1.39406 DBP 1.66034 1.66034 DGT 0.76709 0.76709 ENTEL 0.05651 0.05651 ETPI 0.02826 0.02826 FT 0.75263 0.75263 HKTI 1.70173 1.70173 HTC 1.42396 1.42396 IDB 0.19780 0.19780 IDC 4.31816 4.31816 INDOSAT 0.15076 0.15076 IT & E 0.08394 0.08394 ITALCABLE 0.50314 0.50314 ITDC 2.15052 2.15052 ITJ 6.56775 6.56775 KDD 14.97186 *N.A. (NOTE 1) KT 3.88483 3.88483 LPT 0.02826 0.02826 MCII 8.00569 8.00589 MCL 1.45723 1.45723 NPTT 0.14128 0.14128 NT 0.02826 0.02826 OTC 1.16352 1.16352 PHILCOM 0.16273 0.16273 PLDT 3.70349 3.70349 RTT 0.32878 0.32878 SFPT 0.02826 0.02826 SPTT 0.32878 0.32878 STA 0.02826 0.02826 TAS 0.80150 0.80150 TD 0.05651 0.05651 TELEGLOBE 0.07563 0.07563 TELINTAR 0.02826 0.02826 TELMEX 0.11303 0.11303 TM 0.45344 0.45344 TNZI 0.10355 0.10355 TPTT 0.00947 0.00947 TRT/FTC 0.39580 0.39580 US SPRINT 6.06239 6.06239 FN* --NOT APPLICABLE NOTE 1: Segments T1 and T2 are owned by AT & T and KDD respectively. Other © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 18 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) Parties have IRU interests in these segments as specified above. NOTE 2: For purposes of this Agreement, Transpacific shall be assigned all of the AT & T interests in the TPC-5 Cable Network within Japan, including its territorial waters. **7767 APPENDIX 4 SCHEDULE E ALLOCATION OF CAPITAL AND OPERATION AND MAINTENANCE COSTS OF SEGMENTS A, B, C, D, E, F, G, H, I, J, T1, AND T2 PARTIES PERCENT ----------------------------- ----------------------------- APTT 0.02826 AT & T 34.46616 BT 1.10501 BTE 0.23503 CPRM 0.02826 DACOM 1.39406 DBP 1.66034 DGT 0.76709 ENTEL 0.05651 ETPI 0.02826 FT 0.75263 HKTI 1.70173 HTC 1.42398 IDB 0.19780 IDC 4.31816 INDOSAT 0.15076 IT & E 0.08394 ITALCABLE 0.50314 ITDC 2.15052 ITJ 6.56775 KDD 14.97186 KT 3.88483 LPT 0.02826 MCII 8.00569 MCL 1.45723 NPTT 0.14128 NT 0.02826 OTC 1.16362 PHILCOM 0.16273 PLDT 3.70349 RTT 0.32878 © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 19 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) SFPT 0.02826 SPTT 0.32878 STA 0.02826 TAS 0.80150 TD 0.05851 TELEGLOBE 0.07563 TELINTAR 0.02826 TELMEX 0.11303 TM 0.45344 TNI 0.10355 TPTT 0.00947 TRT/FTC 0.39560 US SPRINT 6.08239 ----------------------------- ----------------------------- TOTAL 100.00000 **7768 APPENDIX 5A SCHEDULE F HALF MIU CAPACITY ASSIGNED BY PATH USM-HA HA-GU GU-JA JA-USM USM-GU HA-JA KILOMETERS 4400 6800 2850 8500 11200 9650 PARTIES ------------------ ----------------------------------------------------------- APTT 0 0 0 1 0 0 AT & T 1008 1 0 411 212 6 BT 6 0 8 32 1 0 BTE 0 0 0 7 1 0 CPRM 0 0 0 1 0 0 DACOM 0 0 1 49 0 0 DBP 1 0 1 50 6 0 DGT 0 0 6 24 0 1 ENTEL 0 0 0 2 0 0 ETPI 0 0 0 1 0 0 FT 0 0 0 24 2 0 HKTI 0 1 2 10 37 0 HTC 16 25 5 0 0 18 IDB 0 0 0 7 0 0 IDC 0 0 40 136 0 3 INDOSAT 0 0 1 5 0 0 IT & E 0 0 1 0 2 0 ITALCABLE 1 0 1 13 3 0 ITDC 0 1 14 10 46 0 © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 20 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) ITJ 0 0 39 206 0 10 KDD 0 0 40 496 0 18 KT 0 0 4 36 76 0 LPT 0 0 0 1 0 0 MCII 42 8 23 168 56 5 MCL 0 0 7 40 7 0 NPTT 0 0 0 5 0 0 NT 0 0 0 1 0 0 OTC 6 0 63 0 12 1 PHILCOM 0 1 3 0 3 0 PLDT 0 6 13 2 91 0 RTT 0 0 0 9 2 0 SFPT 0 0 0 1 0 0 SPTT 0 0 0 9 2 0 STA 0 0 0 1 0 0 TAS 0 1 4 17 7 0 TD 0 0 0 2 0 0 TELEGLOBE 0 0 5 1 0 0 TELINTAR 0 0 0 1 0 0 TELMEX 0 0 0 4 0 0 TM 0 0 3 6 6 1 TNZI 1 0 6 0 0 1 TPTT 0 0 1 0 0 0 TRT/FTC 0 0 0 14 0 0 US SPRINT 131 0 3 99 36 0 ------------------ ----------------------------------------------------------- TOTAL 1212 44 294 1904 606 64 Note 1: The distance in kilometers of the Paths have been determined based on the cable length of the shortest route between the respective pair of the Nodes for the purpose of calculating the MIU-kilometers of the Parties. The distance of the Tie-Cable Segments will be excluded in the calculation of the MIU-kilometers. **7769 APPENDIX 5B SCHEDULE G1 U.S. MAINLAND-HAWAII PATH ASSIGNMENT OF MIUS IN THE TPC5 NETWORK JOINTLY ASSIGNED MIUS PARTIES OTC TNZI TOTAL © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 21 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) ----------- ----------------------- DBP 1 0 1 ITALCABLE 0 1 1 US SPRINT 5 0 5 ----------- ----------------------- TOTAL 6 1 7 ------------------------------------ WHOLLY ASSIGNED MIUS PARTIES ---------- ---------- AT & T 504 BT 3 HTC 8 MCII 21 US SPRINT 63 ---------------------- TOTAL 599 ---------------------- SUMMARY PARTIES JOINTLY ASSIGNED WHOLLY ASSIGNED HALF MIU INTERESTS ---------------------------------------------------------------- AT & T 0 504 1008 BT 0 3 6 DBP 1 0 1 HTC 0 8 16 ITALCABLE 1 0 1 MCII 0 21 42 OTC 6 0 6 TNZI 1 0 1 US SPRINT 5 63 131 ---------------------------------------------------------------- TOTAL 14 599 1212 ---------------------------------------------------------------- **7770 APPENDIX 5C SCHEDULE G2 HAWAII-GUAM © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 22 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) PATH ASSIGNMENT OF MIUS IN THE TPC5 NETWORK JOINTLY ASSIGNED MIUS PARTIES HKTI HTC ITDC PHILCOM PLDT TAS TOTAL ----------- ------------------------------------------------ AT & T 0 0 1 0 0 0 1 HTC 1 0 0 0 6 1 8 MCII 0 1 0 1 0 0 2 ----------- ------------------------------------------------ TOTAL 1 1 1 1 6 1 11 ------------------------------------------------------------- WHOLLY ASSIGNED MIUS PARTIES ---------- ---------- HTC 8 MCII 3 ---------------------- TOTAL 11 ---------------------- SUMMARY PARTIES JOINTLY ASSIGNED WHOLLY ASSIGNED HALF MIU INTERESTS -------------------------------------------------------------- AT & T 1 0 1 HKTI 1 0 1 HTC 9 8 25 ITDC 1 0 1 MCII 2 3 8 PHILCOM 1 0 1 PLDT 6 0 6 TAS 1 0 1 -------------------------------------------------------------- TOTAL 22 11 44 -------------------------------------------------------------- **7771 APPENDIX 5D SCHEDULE G3 © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 23 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) GUAM-JAPAN PATH ASSIGNMENT OF MIUS IN THE TPC5 NETWORK JOINTLY ASSIGNED MIUS PARTIES DACOM DGT HKTI IDC INDOSAT ITJ KDO KT OTC TOTAL ----------- ------------------------------------------------------------- BT 0 0 0 0 0 0 0 0 8 8 DBP 0 0 0 0 0 0 0 0 1 1 HTC 0 0 0 2 0 1 2 0 0 5 IT & E 0 0 0 0 0 0 1 0 0 1 ITALCABLE 0 0 0 0 0 0 0 0 1 1 ITDC 0 0 0 2 0 4 6 1 1 14 MCII 0 0 0 5 0 2 7 1 8 23 MCL 0 0 0 0 0 0 0 0 7 7 OTC 1 5 2 3 1 1 11 2 0 26 PHILCOM 0 0 0 0 0 0 3 0 0 3 PLDT 0 0 0 5 0 5 3 0 0 13 TAS 0 0 0 2 0 2 0 0 0 4 TELEGLOBE 0 0 0 0 0 0 0 0 5 5 TM 0 0 0 0 0 1 0 0 2 3 TNZI 0 1 0 1 0 1 3 0 0 6 TPTT 0 0 0 0 0 0 0 0 1 1 US SPRINT 0 0 0 0 0 0 0 0 3 3 -------------------------------------------------------------------------- TOTAL 1 6 2 20 1 17 36 4 37 124 -------------------------------------------------------------------------- WHOLLY ASSIGNED MIUS PARTIES ---------- ---------- IDC 10 ITJ 11 KDD 2 ---------------------- TOTAL 23 ---------------------- SUMMARY © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 24 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) PARTIES JOINTLY ASSIGNED WHOLLY ASSIGNED HALF MIU INTERESTS ---------------------------------------------------------------- BT 8 0 8 DACOM 1 0 1 DBP 1 0 1 DGT 6 0 6 HKTI 2 0 2 HTC 5 0 5 IDC 20 10 40 INDOSAT 1 0 1 IT & E 1 0 1 ITALCABLE 1 0 1 ITDC 14 0 14 ITJ 17 11 39 KDD 36 2 40 KT 4 0 4 MCII 23 0 23 MCL 7 0 7 OTC 63 0 63 PHILCOM 3 0 3 PLDT 13 0 13 TAS 4 0 4 TELEGLOBE 5 0 5 TM 3 0 3 TNZI 6 0 6 TPTT 1 0 1 US SPRINT 3 0 3 ---------------------------------------------------------------- TOTAL 248 23 294 ---------------------------------------------------------------- **7772 APPENDIX 5E SCHEDULE G4 JAPAN-U.S. MAINLAND PATH ASSIGNMENT OF MIUS IN THE TPC5 NETWORK JOINTLY ASSIGNED MIUS PARTIES DACOM DGT ETPI HKTI IDC INDOSAT ITDC ITJ KDD KT PLDT TAS TM TOTAL ----------- ------------------------------------------------------------------- © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 25 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) APTT 0 0 0 0 0 0 0 0 1 0 0 0 0 1 AT & T 31 12 0 0 64 3 0 71 218 0 0 4 3 403 BT 0 0 0 0 3 0 0 0 21 1 0 0 1 32 BTE 0 0 0 0 1 0 0 1 1 0 0 0 0 3 CPRM 0 0 0 0 0 0 0 0 1 0 0 0 0 1 DBP 3 0 0 1 1? 0 0 7 1? ? 0 0 0 50 ENTEL 0 0 0 0 0 0 0 0 2 0 0 0 0 2 FT 0 0 0 1 3 0 0 3 1? 1 0 0 0 24 IDB 0 0 1 1 0 0 0 0 5 0 0 0 0 7 ITALCABLE 1 0 0 1 2 0 0 2 0 1 0 0 0 13 LPT 0 0 0 0 0 0 0 0 1 0 0 0 0 1 MCII 0 0 0 2 10 1 8 10 ?4 1? 0 7 2 100 MCL 1 0 0 1 10 0 0 4 22 2 0 0 0 40 NPTT 0 0 0 1 1 0 0 1 2 0 0 0 0 8 NT 0 0 0 0 1 0 0 0 0 0 0 0 0 1 NTT 0 0 0 0 2 0 0 1 5 1 0 0 0 ? SFPT 0 0 0 0 0 0 0 0 1 0 0 0 0 1 SPTT 0 0 0 0 3 0 0 1 5 0 0 0 0 9 STA 0 0 0 0 0 0 0 0 1 0 0 0 0 1 TD 0 0 0 0 0 0 0 1 1 0 0 0 0 2 TELEGLOBE 0 1 0 0 0 0 0 0 0 0 0 0 0 1 TELINTAR 0 0 0 0 0 0 0 0 1 0 0 0 0 1 TELMEX 0 0 0 0 0 0 0 0 4 0 0 0 0 4 TRT/FTO 0 0 0 2 1 0 2 3 4 1 0 1 0 14 US SPRINT 0 0 0 0 12 1 3 1? 42 0 2 0 0 ?? ------------------------------------------------------------------------------- TOTAL 46 24 1 19 130 8 10 130 400 ?? 2 17 0 ??2 ------------------------------------------------------------------------------- WHOLLY ASSIGNED MIUS PARTIES ---------- ---------- AT & T 4 BTE 2 ITJ 3? KDD 18 ---------------------- TOTAL 60 ---------------------- SUMMARY © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 26 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) PARTIES JOINTLY ASSIGNED WHOLLY ASSIGNED HALF MIU INTERESTS APTT 1 0 1 AT & T 403 4 411 BT 32 0 32 BTE 3 2 7 CPRM 1 0 1 DACOM 4? 0 4? DBP 50 0 50 DGT 24 0 24 ENTEL 2 0 2 ETM 1 0 1 FT 24 0 24 HKTI 10 0 10 IDB 7 0 7 IDC 136 0 136 INDOSAT ? 0 ? ITALCABLE 13 0 13 ITDC 10 0 10 ITJ 13? 3? 20? KDD 4?0 1? 4?? KT 3? 0 3? LPT 1 0 1 MCII 100 0 100 MCL 40 0 40 NPTT ?? 0 ?? NT 1 0 1 PLDT 2 0 2 RTT 0 0 0 SFPT 1 0 1 SPTT 0 0 0 STA 1 0 1 TAS 17 0 17 TD 2 0 2 TELEGLOBE 1 0 1 TELINTAR 1 0 1 TELMEX 4 0 4 TM ?? 0 ?? TRT/FTC 14 0 14 US SPRINT ?? 0 ?? TOTAL 17?4 ?0 1?04 **7773 APPENDIX 5F SCHEDULE G5 © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 27 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) U.S. MAINLAND-GUAM PATH ASSIGNMENT OF MIUS IN THE TPC5 NETWORK JOINTLY ASSIGNED MIUS PARTIES HKTI IT & E ITDC KT OTC PHILCOM PLDT TAS TM TOTAL ----------- ---------------------------------------------------------------- AT & T 20 2 32 76 3 0 70 5 4 212 BT 0 0 1 0 0 0 0 0 0 1 BTE 0 0 0 0 1 0 0 0 0 1 DBP 0 0 1 0 2 0 3 0 0 6 FT 0 0 1 0 1 0 0 0 0 2 ITALCABLE 1 0 1 0 0 0 1 0 0 3 MCII 6 0 5 0 0 2 10 2 1 26 MCL 5 0 1 0 0 0 1 0 0 7 RTT 0 0 1 0 0 0 1 0 0 2 US SPRINT 5 0 3 0 5 1 5 0 1 20 ----------------------------------------------------------------------------- TOTAL 37 2 46 76 12 3 91 7 6 280 ----------------------------------------------------------------------------- WHOLLY ASSIGNED MIUS PARTIES ---------- ---------- MCII 15 SPTT 1 US SPRINT 8 ---------------------- TOTAL 24 ---------------------- SUMMARY PARTIES JOINTLY ASSIGNED WHOLLY ASSIGNED HALF MIU INTERESTS ---------------------------------------------------------------- AT & T 212 0 212 BT 1 0 1 BTE 1 0 1 DBP 6 0 6 FT 2 0 2 © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 28 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) HKTI 37 0 37 IT & E 2 0 2 ITALCABLE 3 0 3 ITDC 46 0 46 KT 76 0 76 MCII 26 15 56 MCL 7 0 7 OTC 12 0 12 PHILCOM 3 0 3 PLDT 91 0 91 RTT 2 0 2 SPTT 0 1 2 TAS 7 0 7 TM 6 0 6 US SPRINT 20 8 36 ---------------------------------------------------------------- TOTAL 560 24 608 ---------------------------------------------------------------- **7774 APPENDIX 5G SCHEDULE G6 HAWAII-JAPAN PATH ASSIGNMENT OF MIUS IN THE TPC5 NETWORK JOINTLY ASSIGNED MIUS PARTIES DGT IDC ITJ KDD TM TOTAL ----------- ------------------------------------ AT & T 0 0 1 5 0 6 HTC 1 3 6 8 0 18 MCII 0 0 0 5 0 5 OTC 0 0 0 0 1 1 TNZI 0 0 1 0 0 1 ------------------------------------------------- TOTAL 1 3 8 18 1 31 ------------------------------------------------- WHOLLY ASSIGNED MIUS PARTIES © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.

7 F.C.C.R. 7758 Page 29 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 (Cite as: 1992 WL 690854 (F.C.C.), 7 FCC Rcd. 7758) ---------- ---------- ITJ 1 ---------------------- TOTAL 1 ---------------------- SUMMARY PARTIES JOINTLY ASSIGNED WHOLLY ASSIGNED HALF MIU INTERESTS -------------------------------------------------------------- AT & T 6 0 6 DGT 1 0 1 HTC 18 0 18 IDC 3 0 3 ITJ 8 1 10 KDD 18 0 18 MCII 5 0 5 OTC 1 0 1 TM 1 0 1 TNZI 1 0 1 -------------------------------------------------------------- TOTAL 62 1 64 -------------------------------------------------------------- **7775 ATTACHMENT A TABULAR OR GRAPHIC MATERIAL SET FORTH AT THIS POINT IS NOT DISPLAYABLE FCC 1992 WL 690854 (F.C.C.), 7 F.C.C.R. 7758, 7 FCC Rcd. 7758 END OF DOCUMENT © 2009 Thomson Reuters. No Claim to Orig. US Gov. Works.


Document Created: 2009-01-26 18:24:48
Document Modified: 2009-01-26 18:24:48
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