AT&T; proposed a $25-million rate reduction.

The reduction in private line rates for businesses was proposed to partially offset a $17-million rate increase that takes effect Friday. The Federal Communications Commission said recently that AT&T; may pass through the price changes on three days’ notice. The reduction, about 0.6%, will be on the portion of the private line that runs from a customer’s location to the point where it connects with the long-distance network.