GTE Sprint said it will cut its phone rates.

The long-distance carrier said interstate tolls will be reduced an average 4.2% starting July 15, while the cost of Sprint Advanced WATS, a service for business customers providing access to all areas of the United States at Sprint’s lowest rates, will drop an average 5.6% effective Aug. 1. Separately, GTE Corp. Chief Executive Theodore F. Brophy told analysts that he expects growth in the long-distance carrier’s revenue and customer base, ending a period of stagnation.