General Services Administration Awards $110 Million IDIQ SATCOM-II Contract to AT&T Government Solutions

AT&T to provide satellite services to help agencies deliver continuity of operations

Vienna, Virginia, West Palm Beach, Florida, May 3, 2007

AT&T Government Solutions, a business unit of AT&T Inc. (NYSE: T), has been awarded a General Services Administration (GSA) Satellite Services-II (SATCOM-II) contract which will provide end-to-end satellite solutions for government agencies. SATCOM-II, an Indefinite Delivery – Indefinite Quantity (IDIQ) contract with a potential value of $110 million over the next five years, enables AT&T to provide an expanded range of satellite services to defense and civilian agencies.

AT&T uses satellite services to provide an additional layer of network redundancy to connect domestic and international locations for switched voice applications when international cable facilities are not available or additional capacity is needed to handle a surge in volume. Under the terms of the contract, AT&T will provide Satellite Transport services such as Fixed Satellite Service including VSAT, leased bandwidth and teleport services, and Applications Services such as distance learning with video on-demand, emergency response/continuity of operations, telemedicine, streaming video, and broadcast satellite service.

"Continuity of operations in a natural or man-made disaster is a top priority for federal agencies," said Don Herring, senior vice president, AT&T Government Solutions. "AT&T's satellite expertise and services have enabled agencies affected by natural or man-made disasters to maintain uninterrupted service or rapidly recover their communications capabilities. The SATCOM-II contract is further evidence of AT&T's vast network redundancy capabilities and strong track record in disaster recovery."

SATCOM-II will also require AT&T to provide agencies with Satellite Design, Engineering, and Maintenance Support services for ongoing support for the services delivered under Satellite Transport and Satellite Application Services.

AT&T has implemented satellite service offerings for several federal agencies, and services have ranged from simple bandwidth leases to the enormous complexities of engineering and implementing survivable and protected continuity of operations facilities.

SAT-COM-II will serve as the primary replacement contract vehicle for the Satellite Services contracts. AT&T has teamed with the following companies to serve as subcontractors to AT&T on this contract: Globecomm Systems, Inc., of Hauppauge, NY; Emerging Markets Communications, Inc., of Miami, FL; Convergent Media Systems of Alpharetta, GA; Intelsat General Corporation, Bethesda, MD; Norsat International (America), Inc. of Falls Church, VA; Telesat, Inc., of Ottawa, Canada; and Eutelsat America of Washington, DC.

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AT&T Government Solutions, headquartered in Vienna, Va., is a long-standing, trusted source of information technology solutions for the federal government, integrating unmatched network resources and professional services expertise with innovative technologies from AT&T Labs and industry-leading partners. Best known for network leadership in voice, data, video and managed services, AT&T Government Solutions is a proven solutions integrator, with professional services expertise in areas such as business transformation, knowledge management, training, program management, systems engineering and security.

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