National Telephone, WorldCom Sign $1-Billion Deal

National Telephone & Communications Inc., which provides discount long distance telephone service, said it has signed a $1-billion, multiyear contract with WorldCom Inc., one of the nation’s largest long distance companies.

The contract supersedes an existing $600-million 1995 deal in which Irvine-based National Telephone sells, at a discount, long distance service offered by WorldCom.

National Telephone markets long-distance service nationwide through a network of 40,000 independent sales representatives, the company said. WorldCom Inc., based in Jackson, Mich., is one of the largest long distance companies in the United States.

National Telephone said it offers savings by billing customers in six-second increments as opposed to the nearest minute billings of other major long-distance providers.