AT&T and Lockheed Martin Strengthen Strategic Relationship

Leading Information Technology Company to Upgrade Network With AT&T Support

Bethesda, Maryland, October 25, 2006

AT&T Inc. (NYSE: T) announced today a broadened and deepened long-standing strategic relationship with Lockheed Martin Corp. AT&T signed a $37 million two-year contract extension for a full range of integrated voice, data and IP services. With its headquarters in Bethesda, Lockheed Martin employs 140,000 people in more than 900 domestic locations and 56 countries. The company is principally engaged in the research, design, development, manufacture, and integration of advanced technology systems, products and services.

With AT&T's solution, Lockheed Martin's employees will gain operational efficiencies and flexibility through technologies that seamlessly integrate voice, data and IP services. Lockheed Martin will be able to run mission-critical applications over the AT&T network in support of key government customers and programs and each of Lockheed Martin's business areas. One of the key services, AT&T's enhanced transport services, will provide Lockheed Martin with comprehensive, end-to-end network-management support and a single point of contact to streamline all service orders and installations.

Dedicated 24x7 maintenance support and a broad range of inventory and performance reports will help the company realize savings. "It is vital that we at Lockheed Martin have a network that is efficient and agile to enable access to the right information and services, quickly and securely," said Joseph Cleveand, chief information officer of Lockheed Martin.

"AT&T is pleased to strengthen and expand our relationship with Lockheed Martin, which spans more than 15 years," said Ronald Spears, president-AT&T Business Sales. "Lockheed Martin's ability to serve its customers depends on a secure, high speed network, and we are honored that the company has chosen AT&T as its network provider."

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

About Lockheed Martin
Headquartered in Bethesda, Md., Lockheed Martin employs about 140,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. The corporation reported 2005 sales of $37.2 billion.

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