AT&T phasing out pay phone business

SAN ANTONIO, Dec. 3 (UPI) -- Superman's dressing room -- the phone booth -- is slipping further into history as AT&T Monday announced plans to leave the U.S. pay phone business in 2008.

In announcing its pullout by the end of 2008, AT&T said in a news release it would continue to honor existing contracts and customer service during the period that the business is being phased out.

The phase-out affects AT&T pay phones in the company's traditional 13-state service area only, it said. BellSouth Corp., which was acquired by AT&T Inc. in late 2006, previously left the pay phone business in its nine-state service area. AT&T's wholesale pay phone services are not affected.

AT&T said its public communications unit has experienced significant pressure from reduced pay phone usage, primarily from the growth of communication choices such as wireless phones and personal communication devices.

"This is the right time for us to take this step on behalf of our customers, employees and stockholders," said David Huntley, senior vice president for Customer Information Services.

The number of pay phones in the United States have declined industry-wide from about 2.6 million phones in 1998 to a current estimated 1 million phones.