AT&T Announces New Five-Year Contract with Premier Community Credit Union

Network-Based Virtual Private Network Services Increase Data Capacity, Reliability for California Credit Union

San Antonio, Texas, January 13, 2006

AT&T Inc. (NYSE: T) today announced a new contract with Premier Community Credit Union, a Stockton, California-based provider of premium financial services.

Under the terms of the contract, AT&T will provide Network-based Virtual Private Network (NVPN) services, utilizing Multi-Protocol Label Switching (MPLS) technology, and support services to provide increased bandwidth and full maintenance support to Premier Community Credit Union's six branch locations.

These services will improve network continuity and support advanced applications, resulting in overall improvements to customer service. Additionally, these services will provide amplified security and network redundancy, affording Premier Community Credit Union a secure environment for data transactions across its network.

"We were in search of a dependable provider to upgrade our bandwidth and improve security within our voice and data network," said Jeanine Morse, executive vice president and chief operating officer, Premier Community Credit Union. "We are certain that the solutions provided by AT&T will improve our quality of service and secure our voice and data environment."

"Credit unions want and need an affordable, secure and reliable means of meeting members' increasing demand for sophisticated financial services," said Robin MacGillivray, President — Business Communications Services, AT&T.* "Premier Community's motto — 'We're here for you' — is a reflection of their commitment to meeting those demands. We're pleased they've chosen AT&T as their primary voice and data services provider. Our solution will enable them to offer reliable enhanced services, with the increased security they need, and peace of mind they can pass on to their members."

About Premier Community Credit Union
Premier Community Credit Union is a provider of premium financial services to its membership, anyone who lives or works in San Joaquin County. Additional information about Premier Community Credit Union is available at www.premierccu.org.

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

*With the close of its acquisition of AT&T Corp., SBC companies are currently making the necessary legal and regulatory filings required to change its subsidiary names to the new AT&T brand.