A federal judge said he will only approve a historic settlement to break up American Telephone & Telegraph Company if the government and the world's largest company agree to major modifications.
US District Judge Harold Greene said the settlement must provide that spin-off companies be permitted to sell telephones and switchboards to customers. The second required change is that individual telephone companies be permitted to produce and sell the lucrative Yellow Pages directories. Thirdly, the judge said AT&T must be prohibited from engaging in ''electronic publishing'' over its own transmission facilities.
Judge Greene gave the Justice Department and AT&T 15 days to submit their decree.