AT&T Inc. Announces New Seven-Year Optical and Data-Networking Services Contract with the City of Rohnert Park

California Municipality Upgrades Infrastructure, Increases Flexibility and Productivity

Rohnert Park, California, July 31, 2006

AT&T Inc. (NYSE: T) today announced a new optical and data-networking services contract with the city of Rohnert Park, the third- largest city in California's Sonoma County. The city has a population of approximately 42,550.

Under the terms of the seven-year contract, AT&T will deliver OPT-E-MAN®, Dedicated Internet Access, Cisco® Systems Equipment, Cisco Systems Maintenance and AT&T Integration services. These products and services will upgrade the city's current information technology infrastructure, enabling further network convergence and allowing Rohnert Park the flexibility to implement and support new applications for IP telephony. Currently, Rohnert Park uses an analog system that is incapable of supporting the city's projected communications load. Through the use of AT&T optical services, such as OPT-E-MAN, a switched Ethernet service that connects local area networks within the same metropolitan area, Rohnert Park will be able to connect multiple networks within the city, ensuring virtually uninterrupted data transportation from point to point, point to multipoint or multipoint to multipoint.

Specifically, the infrastructure upgrades will sustain new applications, such as IP Telephony, enterprisewide document-imaging, video surveillance and security and indexed and searchable streaming for meeting videos. The upgrades will also support the large volume of critical communications handled by the city's police and fire departments, secure remote office access to the city's core financial information system and support citywide geographical information systems (GIS) services for all departments. With the additional bandwidth, Rohnert Park will be able to safely adhere to the security regulations set by the Department of Homeland Security.

Furthermore, the platform's converged infrastructure delivers enhanced productivity and efficiency, enabling Rohnert Park to simplify network management while maintaining exceptional performance.

"Adopting these technologies will enable the city of Rohnert Park to better serve our residents and businesses in a cost-effective manner," commented Tim Smith, mayor of Rohnert Park, Calif.

About the City of Rohnert Park
Rohnert Park, incorporated in 1962, is Sonoma County's third largest city. Located in the county's southern central plain, its current population is 42,550 residents. Additional information about the City of Rohnert Park is available at www.ci.rohnert-park.ca.us
.

Note: This AT&T release and other news announcements are available as part of an RSS feed at www.att.com/rss.

About 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 57.3 million wireless customers. Additional information about AT&T Inc. and AT&T products and services is available at www.att.com.

© 2006 AT&T Knowledge Ventures. All rights reserved. Subsidiaries and affiliates of AT&T Inc. provide products and services under the AT&T brand.