<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM PACIFIC BELL'S JUNE 30, 1999 CONSOLIDATED FINANCIAL STATEMENTS, AS RESTATED, AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000,000 <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1999 <PERIOD-END> JUN-30-1999 <CASH> 12 <SECURITIES> 0 <RECEIVABLES> 2,009 <ALLOWANCES> 149 <INVENTORY> 0<F1> <CURRENT-ASSETS> 2,592 <PP&E> 30,475 <DEPRECIATION> 18,803 <TOTAL-ASSETS> 15,533 <CURRENT-LIABILITIES> 4,371 <BONDS> 4,490 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 225 <OTHER-SE> 3,495 <TOTAL-LIABILITY-AND-EQUITY> 15,533 <SALES> 0<F2> <TOTAL-REVENUES> 4,790 <CGS> 0<F3> <TOTAL-COSTS> 1,794 <OTHER-EXPENSES> 943 <LOSS-PROVISION> 67 <INTEREST-EXPENSE> 203 <INCOME-PRETAX> 1,050 <INCOME-TAX> 415 <INCOME-CONTINUING> 635 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 635 <EPS-BASIC> 0 <EPS-DILUTED> 0 <FN> <F1> THIS AMOUNT IS IMMATERIAL. <F2> NET SALES OF TANGIBLE PRODUCTS IS NOT MORE THAN 10% OF TOTAL OPERATING REVENUES AND THEREFORE HAS NOT BEEN STATED SEPARATELY IN THE FINANCIAL STATEMENTS PURSUANT TO REGULATION S-X, RULE 5-03(B). THIS AMOUNT IS INCLUDED IN THE "TOTAL REVENUES" TAG. <F3> COST OF TANGIBLE GOODS SOLD IS INCLUDED IN COST OF SERVICES AND PRODUCTS IN THE FINANCIAL STATEMENTS AND THE "TOTAL COST" TAG, PURSUANT TO REGULATION S-X, RULE 5-03(B). </FN>