1 EXHIBIT 99B.8 STATEMENTS OF INCOME U S WEST COMMUNICATIONS, Inc. (UNAUDITED) Year Ended December 31, Dollars in millions 1994 1993 % Change - - -------------------------------------------------------------------- OPERATING REVENUES Local service $4,067 $3,829 6.2 Access charges - interstate 2,269 2,147 5.7 Access charges - intrastate 729 682 6.9 Long distance network service 1,329 1,442 (7.8) Other services 604 556 8.6 ------------------------------ Total operating revenues 8,998 8,656 4.0 ------------------------------ OPERATING EXPENSES Employee-related costs 2,930 2,870 2.1 Other operating expenses 1,653 1,646 0.4 Taxes other than income taxes 378 380 (0.5) Restructuring charge - 880 - Depreciation and amortization 1,887 1,806 4.5 ------------------------------ Total operating expenses 6,848 7,582 (9.7) ------------------------------ Income from operations 2,150 1,074 - Interest expense 331 374 (11.5) Gain on sales of rural telephone exchanges 82 - - Other income (expense) - net (20) (13) 53.8 ------------------------------ Income before income taxes and extraordinary items 1,881 687 - Provision for income taxes 706 252 - ------------------------------ Income before extraordinary items 1,175 435 - Extraordinary items: Discontinuance of SFAS No. 71, net of tax - (3,041) - Early extinguishment of debt, net of tax - (77) - ------------------------------ NET INCOME (LOSS) $1,175 ($2,683) - ============================== <FN> <F1> Note: Certain reclassifications within the financial statements have been made to conform to the current year presentation. </FN>