AT&T Announces New Contract with Elementary School District 159

Matteson, Illinois, May 14, 2007

AT&T Inc. (NYSE: T) today announced a new optical services contract with Elementary School District 159, which serves six schools in 17.5 square miles in south suburban Chicago. Under the terms of the three-year contract, AT&T will serve as the primary optical services provider, delivering AT&T OPT-E-MAN® service to six sites within the district.

AT&T OPT-E-MAN service, a fully managed, switched Ethernet network service, will support highly efficient and robust communications across all six school locations within the Matteson area. By implementing a single secure managed network, School District 159 will realize increased bandwidth to sustain high-volume data transport and Internet access, under a single cost-effective solution. Additionally, the solution's high-performance capabilities will ensure secure and consistent access to critical applications and student records.

The optical network will allow School District 159 to continue providing high-availability voice and data connectivity to the district office and five schools. Additionally, the converged network infrastructure will deliver increased bandwidth to support advanced technologies, such as Voice over Internet Protocol (VoIP). With VoIP, the school district has effectively made a telephone available on the desk of most teachers and staff members, increasing the availability of communication to all community members and parents. Additionally, the school implemented Citrix thin client technologies, using one central server farm for processing applications across the network, reducing the need for expensive high-end workstations. The district, recognized as a leader in technology deployment for many years throughout the area, will be better equipped to increase student achievement through the use of its enhanced educational application deployment.

"We strive to provide the most up-to-date technology available to our teachers and students, but funding limitations can make achieving that goal difficult. We turned to AT&T to upgrade our existing network with the most effective long-term solution available," said Robert Klemp, technology coordinator, Elementary School District 159. "We are confident that AT&T will deliver a more efficient, reliable and robust solution to improve communications between the schools and the community, while at the same time enabling the district to stay competitive in its most important initiative — promoting and enhancing increased student achievement."

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About Elementary School District 159
School District 159, which covers 17.5 square miles of southeast Chicago, is composed of portions of the villages of Matteson, Richton Park, Tinley Park, and Frankfort. School District 159 began as a one room school house in 1859 and has grown to encompass six schools with state of the art technology. By developing a partnership with staff, parents, and community, and by using the most current technology in a safe, loving, healthy environment, the mission of Elementary School District 159 is to educate children academically and socially so that they can function successfully in an ever-changing society. For more information on Elementary School District 159, visit www.dist159.com.

About AT&T
AT&T Inc. (NYSE: T) is a premier communications holding company. Its subsidiaries and affiliates, AT&T operating companies, are the providers of AT&T services in the United States and around the world. Among their offerings are the world's most advanced IP-based business communications services and the nation's leading wireless, high speed Internet access and voice services. In domestic markets, AT&T is known for the directory publishing and advertising sales leadership of its Yellow Pages and YELLOWPAGES.COM organizations, and the AT&T brand is licensed to innovators in such fields as communications equipment. As part of its three-screen integration strategy, AT&T is expanding its TV entertainment offerings. Additional information about AT&T Inc. and the products and services provided by AT&T subsidiaries and affiliates is available at www.att.com.

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