New AT&T Offers Consumers $12.99 Online Promotion for High Speed Internet; Always-Open Web Store Offers 24/7 Customer Convenience and Best Prices, Lowers Company Acquisition Costs

Business Wire, Feb 3, 2006

SAN ANTONIO -- AT&T Inc. (NYSE:T) today announced a new online promotion for its residential high speed Internet service designed to encourage dial-up and cable customers to switch and to attract first-time Internet users to choose broadband.

Beginning Feb. 3, new residential customers who order online through www.TheNewATT.com can purchase AT&T Yahoo!(R) High Speed Internet beginning at only $12.99 a month (other monthly charges apply) -- the best price offered today by any cable or telecommunications company.

The new $12.99 price point for AT&T Yahoo! High Speed Internet Express (384Kbps up to 1.5Mbps) and the new $17.99 price point (other monthly charges apply) for AT&T Yahoo! High Speed Internet Pro (1.5Mbps up to 3.0Mbps) are available with a 12-month term commitment, extending the savings and offering unmatched value for new residential subscribers who order service online.

"This is an incredible value that will help even more consumers experience and enjoy the digital lifestyle," said Scott Helbing, chief marketing officer, AT&T Consumer. "Our AT&T Yahoo! High Speed Internet service, combined with our national AT&T Wi-Fi network, gives consumers unsurpassed broadband connectivity at home, or on-the-go, to their communications and entertainment services."

AT&T Yahoo! High Speed Internet customers receive a leading combination of broadband access, services and content that provides a unique high speed Internet experience. AT&T Yahoo! High Speed Internet members receive features such as virtually unlimited e-mail storage; a master account, 10 subaccounts, each with 2GB of storage space; unlimited photo storage; instant messaging with webcam capabilities and commercial-free Internet radio.

Also available to new members is the AT&T Yahoo! Online Protection that offers a suite of powerful safety and security tools, including anti-spy, anti-virus, pop-up blocker, parental controls and anti-spam features conveniently integrated into one platform.

The online offer for either Express (speeds of up to 1.5Mbps) or Pro (with speeds of up to 3Mbps) services include a $49.99 mail-in rebate toward a $79.99 AT&T Wireless Gateway or a $49.99 high-speed Internet modem. The online offer is available in the company's traditional 13-state service area, where high speed Internet service is available. States include: Arkansas, Kansas, Missouri, Oklahoma, Texas, Illinois, Indiana, Michigan, Wisconsin, Ohio, California, Nevada and Connecticut.

Residential high speed Internet customers can also enjoy their service on-the-go with a subscription to AT&T's Wi-Fi service, which provides a wireless broadband experience at more than 10,000 locations nationwide, including hotels, airports, convention centers, coffee shops, restaurants and business centers.

With 7 million DSL high speed Internet lines in service, the new AT&T is the nation's largest DSL high speed Internet provider. Over the last four quarters, the new AT&T has added more than 1.8 million DSL high speed Internet lines; and in the last two years, more new broadband subscribers than any other U.S. cable or DSL provider. For more information, visit www.TheNewATT.com.

About the New AT&T

AT&T Inc. is one of the world's largest telecommunications holding companies and is the largest in the United States. Operating globally under the AT&T brand, AT&T companies are recognized as the leading worldwide providers of IP-based communications services to business and as leading U.S. providers of high-speed DSL Internet, local and long distance voice, and directory publishing and advertising services. AT&T Inc. holds a 60 percent ownership interest in Cingular Wireless, which is the No. 1 U.S. wireless services provider with more than 54 million wireless customers. Additional information about AT&T Inc. and AT&T products and services is available at www.TheNewATT.com.

You will also be charged a monthly FUSF (Federal Universal Service Fund) cost recovery fee to help cover charges from our data transport supplier pursuant to state and federal telecom regulations. This fee is not a tax or government required charge.

New residential customers only. $12.99/mo is an online only, 12-month promotional rate for AT&T Yahoo! High Speed Internet Express with an ongoing rate of $29.99/mo after the promotional term upon the successful completion of an online order by eligible customers. $16.99/mo is a 6-month promotional rate, available through any AT&T sales channel as part of a qualifying bundle of AT&T services or at select retailers, for AT&T Yahoo! High Speed Internet Express with an ongoing rate of $29.99/mo after the promotional term. $17.99/mo is an online only, 12-month promotional rate for AT&T Yahoo! High Speed Internet Pro with an ongoing rate of $34.99/mo after the promotional term upon the successful completion of an online order by eligible customers. $21.99/mo is a 6-month promotional rate, available through any AT&T sales channel as part of a qualifying bundle of AT&T services or at select retailers, for AT&T Yahoo! High Speed Internet Pro with an ongoing rate of $34.99/mo after the promotional term. We do not guarantee that online orders can be successfully processed for every requesting customer. $49.99 per month is a six-month promotional rate for AT&T Yahoo! High Speed Internet Expert Plus, available for new orders that are placed online, through select retailers, or through any AT&T sales channel with qualifying services with an ongoing rate of $64.99 per month after the promotional period. Static IP products not included. This is a limited time offer and is only available for AT&T Yahoo! High Speed Internet. Offer not valid with any other AT&T Yahoo! High Speed Internet promotion. Purchase of local service from the applicable AT&T incumbent local exchange carrier and promotional term required. $99 early termination fee. If you drop a required component of the qualifying bundle, you will revert to the applicable non-promotional rate for high-speed Internet. $150-$200 additional charge will apply if technician install is required or desired. Equipment charges may be included and will appear on the first bill. Equipment rebate postcard, with rebate terms and conditions, will be included with equipment if self-installed or by mail, if technician installs. Rebate must be postmarked within 90 days of AT&T Yahoo! High Speed Internet service activation. Mail-in equipment rebate offer is valid in the following states: AR,CA,CT,IL,IN,KS,MI,MO,NV,OH,OK,TX,WI. Rebate void where prohibited, taxed or restricted by law. Rebate may not be assigned, transferred or sold. AT&T Yahoo! High Speed Internet packages with month to month terms are not eligible for an equipment rebate. One equipment rebate allowed per high-speed Internet line. High-speed Internet account must be in service for a minimum of 60 days to be eligible for rebate. Customers are not eligible to receive a rebate that would exceed total purchase price of equipment and account must not be in delinquent status. Rebate check will be mailed to the customer's billing address within 10-12 weeks of receipt of the rebate postcard. We are not responsible for late, lost, misdirected, or postage due mail or mail damaged by the U.S. Post Office. Rebate is offered by AT&T Internet Services and cannot be applied to your AT&T local exchange carrier bill. Some customers may need to purchase additional equipment (i.e. Ethernet card and/or cables). Billing begins on service activation date. Service not available in all areas. Subject to change without notice. Maximum speed achieved depends on customer location. Acceptance of Terms of Service required. Taxes and additional fees & surcharges extra. Other restrictions, including credit restrictions and qualification, apply.