AT&T Connecting Brazil's High-Tech Autoparts Globally

AT&T to Provide Magneti Marelli Virtual Network Service

San Antonio, Texas, September 11, 2006

SÃO PAULO, Brazil, — AT&T Inc. (NYSE: T) today announced a three-year U.S. $250,000 contract to supply Magneti Marelli Controle Motor Ltda, a subsidiary of the Italian Marelli Holding S.p.A., with Enhanced Virtual Private Network (EVPN) services connecting Magneti Marelli's locations in Brazil and the U.S.

Magneti Marelli is a leading designer and manufacturer of sophisticated automotive parts, whose roster of customers includes the world's major and renowned car manufacturers. The group, with more than 24,000 employees in 16 countries, had revenues in excess of $5 billion in 2005. Magneti Marelli's fastest growing operations are located in Argentina, Brazil and Mexico.

Under the terms of this agreement, AT&T will provide virtual network services based on Internet Protocol Virtual Private Network (IP VPN) to connect Magneti Marelli's industrial and R&D locations in Brazil and the United States. AT&T network services are based on a Multiprotocol Label Switching (MPLS) platform, offering Magneti Marelli flexibility, security and a high level of performance on a global scale.

The EVPN, provided by AT&T to Magneti Marelli in Brazil, allows for a robust deployment of applications like voice over IP (VoIP) and other mission-critical applications over the customer corporate network, with real-time access from offices in Brazil and the U. S. The integrated network will deliver a high level of security and support to Magneti Marelli's business-continuity processes, protecting its critical-mission services and applications from any contingency or disaster.

"Magneti Marelli's reputation is based on the professionalism that our company undertakes with every single step in delivering solutions to our customers. The communications infrastructure is a key component in our service-production chain and the network flexibility and security are crucial to supporting our critical-mission operations," said Marcos Tadeu Rolim, IT director of Magneti Marelli Brazil. "AT&T combines both, top networking solutions with close local customer service and global expertise."

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

About Magneti Marelli
Subsidiary of the Fiat Group, Magneti Marelli is an international leader in the design and production of high-tech components and systems for the automotive industry. With revenues in excess of 4Bb Euros and over 24,000 employees, the company has industrial and R&D facilities in Italy, France, Spain, Great Britain, Germany, Poland, Czech Republic, Russia, Turkey, the U.S., Mexico, Brazil, Argentina, China, Malaysia and South Africa. Magneti Marelli supplies the world's major car manufacturers with parts designed at its 31 R&D sites and produced in its 53 plants worldwide. Additional information on Magneti Marelli's services and products is available at www.magnetimarelli.com.

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.