Prodigy Offers Simple Payment Option for its Small Business Subscribers; Integretel's eBillit Allows Prodigy Biz Members To Pay For Internet Service Via Local Phone Bill

Business Wire, July 5, 2000

Business Editors

WHITE PLAINS, N.Y. & SAN JOSE, Calif.--(BUSINESS WIRE)--July 5, 2000

eBillit, the Internet subsidiary of Integretel, Inc., a turnkey billing and collections service bureau, and Prodigy Communications Corporation (Nasdaq: PRGYA) today announced a strategic agreement that allows Prodigy Biz customers to pay for Internet services through their local phone bill. With the majority of online customers fearful of using their credit cards online, eBillit's quick and easy phone billing option provides a convenient and secure alternative payment method.

"Prodigy Biz is committed to providing our small business customers with the tools and options they need," said Gary Remy, Prodigy Biz Corporation's President. "Incorporating eBillit's phone billing solutions adds a convenient billing method to our suite of e-business solutions and is designed to be simple -- even for businesses with just a couple of employees."

By leveraging eBillit's Local Exchange Carrier billing infrastructure, Prodigy gains access to the local phone bills of businesses and residential consumers across the United States. eBillit's phone billing capabilities offer Prodigy access to a broader market and complements existing payment options.

"While providers are aggressively scrambling to offer differentiated services, Prodigy Biz has recognized the strategic value in offering a convenient, secure, and familiar bill," said Greg Calcagno, Director of Products and Services for eBillit.

About eBillit:

eBillit and its parent Integretel provide leading outsource billing services to the Internet and telecommunication markets. As an industry pioneer with over twelve years of billing service bureau expertise, eBillit offers a full suite of complementary services including AR financing, extensive financial management, online reporting, real-time fraud control, customer care inquiry and in-house collection capabilities. Headquartered in the heart of Silicon Valley, eBillit and Integretel serve clientele worldwide via the local, direct, electronic or convergent bill. For more information, visit www.integretel.com or call 888/302-2750.

About Prodigy Communications Corporation (www.prodigy.com):

Prodigy Communications Corporation (Nasdaq:PRGYA), one of country's largest Internet service providers, delivers fast and reliable Internet access and user-friendly Internet-based products, services and information resources to help its members untap the potential of the Internet to improve their lives. Prodigy utilizes a nationwide network covering more than 850 cities in all 50 states allowing more than 90% of the United States population to access the Prodigy Internet(R) service with a local telephone call. Prodigy tailors its services and technology to three fast-growing Internet markets: consumers, small business owners and the U.S. Hispanic population. Prodigy Internet(R) features best-of-breed content, Prodigy Instant Messaging, Prodigy Chat, and Prodigy Online Communities combined with the accessibility and freedom of direct access to the World Wide Web for all users. Prodigy Biz Corporation, a division of Prodigy, offers a powerful suite of specially designed Internet products and services for small business owners. Prodigy(R) en espanol is the nation's first-ever, fully bilingual Spanish/English-language Internet service created especially for the U.S. Spanish-speaking population.

This press release contains forward-looking statements that involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are the expected benefits from the agreement with Integretel, Inc. or its early termination, intense competition in the Company's industry, subscriber turnover, disruption in the Company's network services or in other services provided by third parties, the challenges of integrating the Internet business of Prodigy and SBC Communications, Inc., as well as the risk factors detailed from time to time in the Company's periodic reports and registration statements filed with the Securities and Exchange Commission. Prodigy's business and operations are operated by a limited partnership, called Prodigy Communications Limited Partnership, of which Prodigy is the general partner and owns an approximate 57% interest.

Note to Editors: Integretel is a registered trademark of Integretel, Inc. in the United States and other jurisdictions. All other company or product names mentioned may be trademarks or registered trademarks of the respective companies with which they are associated.