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    Hydro-Quebec

    July 1, 1997

    Hydro-Quebec

    will issue a request-for-proposals to approximately 15 telecommunications companies in Quebec in search of partners in a new telecommunications venture based on its existing telecommunications network. Hydro-Quebec will transfer its service network--worth can$175 million-- into the new company, which will provide services to Hydro-Quebec and its partners and to other potential customers, including wholesalers seeking transmission services.

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