WASHINGTON-FCC Commissioner Kathleen Abernathy said Thursday morning that erratum changes to Federal Communications Commission rules should only be for clerical errors not clarifying inconsistencies.
“Erratums are for clerical errors in the item,” said Abernathy during a press briefing.
Nextel Communications Inc. has asked the commission to clarify certain aspects of the FCC’s rules to solve 800 MHz interference by erratum. But Abernathy said she believed that the issues being discussed should be handled by an FCC reconsideration, which must be completed before Nextel must make a decision on whether it will accept the commission plan.
The FCC can reconsider its own rules within 30 days of publication in the Federal Register. If the commission chooses this route, the 30-day clock for Nextel to accept or reject the plan would then start over.
Abernathy indicated that many of the issues Nextel has asked to be clarified by erratum would need to be done by an FCC reconsideration motion. Erratums can be done by the FCC’s Wireless Telecommunications Bureau while a reconsideration motion would require a vote of the full commission. What is less clear is whether the FCC will decide to handle some or all of Nextel’s clarifications by themselves or whether they will require Nextel to file a petition for reconsideration. If Nextel is forced to file a petition for reconsideration, other parties such as consistent critic Verizon Wireless would have an opportunity to weigh in.
Once Nextel makes its decision to accept the plan, as strongly hinted by Donahue, the plan is expected to be appealed by either Verizon Wireless or an economic area 800 MHz licensee adversely impacted by the plan.
undertaken in a very considered way,” said Bill Owens, president and chief executive officer at the company, adding the “plan demonstrates our commitment to ‘costs, cash and revenues’ as strategic imperatives in managing our business and driving growth.”
The telecom giant said the cuts will result in ongoing reductions in research and development expenses, selling, general and administrative expenses, and costs of sales.
About two-thirds of the affected employees will be notified by Dec. 31, 2004, and the remainder by June 30, 2005.
Nortel said it anticipates cost savings from the work plan of about $500 million in 2005 and also expects to reduce its operating expenses to 35 percent of revenues or lower next year.
The vendor believes the work plan will lead to smaller work space, which will also lead to reduced expenses.
