US phone companies to merge

US communications powerhouses Bell Atlantic and GTE yesterday announced a mega-merger they said would create the largest provider of local telephone service in the United States.

The combined enterprise would combine GTE's data and Internet offerings with Bell Atlantic's residential and business telephone services. A joint statement said the deal, which according to press reports is worth $55 billion, would also produce one of the world's leading wireless communications providers.

Internationally the new entity will be active in more than 30 countries, from Canada to Argentina and from Europe to Asia.