AT&T Offers $50 Challenge to Small Businesses; New Promotion Highlights AT&T's Comprehensive Service Portfolio, New Simplified Pricing for AT&T Yahoo!® High Speed Internet Business Edition

Business Wire, May 9, 2006

SAN ANTONIO -- To introduce small businesses to its new simplified 12-month pricing for high speed Internet service and the cost-saving benefits of consolidating communications services, AT&T Inc. (NYSE: T) is issuing a $50 challenge in its traditional 13-state service area.

As part of a new promotion, AT&T is encouraging small businesses to call an AT&T representative and review their current services and prices. If the AT&T representative is unable to provide all the qualified communications services their business needs, AT&T will send them a $50 gift card.

AT&T is now offering new, simplified 12-month rates for AT&T Yahoo! High Speed Internet Business Edition included in its popular Connections for Business program, which provides build-your-own bundle flexibility and significant cost-savings. These bundles can include unlimited voice services, Cingular Wireless(R), AT&T Unified Messaging and AT&T Yahoo! High Speed Internet -- all on one bill, which customers can receive online.

"Our new simplified high speed Internet pricing and this $50 challenge are designed to show small-business customers that AT&T is the only communications company they will ever need," said Anne H. Chow, senior vice president, AT&T Business Marketing. "If a qualified small business calls us and we can't offer them all of the communications tools they need to run their business, we'll give them a $50 gift card. With our portfolio of services, customizable packages, global networks, reliable service and competitive prices, we are confident that AT&T can deliver everything today's small businesses need to communicate."

The $50 challenge promotion applies to small businesses with one to 10 lines located in the former SBC's traditional 13-state service area, comprising Arkansas, California, Connecticut, Illinois, Indiana, Kansas, Michigan, Missouri, Nevada, Ohio, Oklahoma, Texas and Wisconsin.

With the AT&T Connections for Business program, small-business customers can build their own bundle of services and save on monthly communications costs, compared with enrolling in AT&T's standard non-package retail prices. To qualify for savings, the customer must sign up for a term agreement on a qualifying local voice package.

Here are some examples of the services and cost-savings that a customer can realize through the AT&T Connections for Business program:

--To simplify budgeting, a small business can enroll in unlimited local and unlimited long distance calls for only $49.99 a month, an annual savings of $108 off the stand-alone retail price for each service.

--For office productivity, a small business can create a bundle with unlimited local calls, unlimited long distance calls, and AT&T Yahoo! High Speed Internet Business Edition (download speeds of up to 1.5Mb per second) for a total of $84.98 a month; or upgrade to AT&T Yahoo! High Speed Internet Pro (download speeds ranging from 1.5 to 3 Mbps) for a total $89.98 a month. This bundle provides a combined annual savings of $228 a year off the stand-alone retail price for these services.

--For the business that needs to stay connected to its employees and customers, a small business can create a bundle with unlimited local and long distance calls, AT&T Yahoo! High Speed Internet Business Edition, and Unified Messaging (which allows them to check and receive e-mail, landline voice mail, Cingular Wireless voice mail and faxes through a personal computer or touchtone telephone) for $94.98 a month; or $99.98 a month with the AT&T Yahoo! High Speed Internet Business Edition Pro option. This bundle would provide combined annual savings of $347 a year off the stand-alone retail price for each service.

--Add a 24-month Cingular Wireless plan with the popular Push-to-Talk feature to any bundle and save even more.

To learn more about the service options and cost-savings available with the AT&T Connections for Business program, call 1-888-ATT-8339.

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 55.8 million wireless customers. Additional information about AT&T Inc. and AT&T products and services is available at www.att.com.

(C) 2006 AT&T Knowledge Ventures. All rights reserved. AT&T, the AT&T logo and other product names are trademarks and/or service marks of AT&T Knowledge Ventures, L.P. All other brand names may be trademarks of their respective owners. Subsidiaries and affiliates of AT&T Inc. provide products and services under the AT&T brand.

For more information and detailed disclaimer information, please review this announcement in the AT&T newsroom at www.sbc.com/newsroom.>

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