J. R. Simplot Awards Voice, Data and Wireless Remote Access Services Contract to AT&T

AT&T's Single-Source Network Services to Provide J. R. Simplot Greater Reliability and Efficiency

Boise, Idaho, July 17, 2007

AT&T Inc. (NYSE: T) has announced that J.R. Simplot, a leading food and agribusiness corporation, has signed a three-year $3.45 million contract. AT&T will provide the company with AT&T's OneNet® voice services, Internet Protocol-enabled Frame Relay (IPeFR) and ATM network services under a single integrated agreement. The renewed contract will provide voice, data and Internet solutions that connect J. R. Simplot's headquarters with its more than 150 domestic locations and three international locations.

The J. R. Simplot Company is one of the leading privately held firms in the country. Founded as a one-man operation more than 70 years ago by J. R. "Jack" Simplot, the company has grown into a global food and agribusiness conglomerate and has products that are sold in every state and many foreign countries.

To help simplify the company's information technology needs, Simplot wanted to move from a dual-network services provider to a single-source network provider that could work with J. R. Simplot's other key vendors. AT&T's solution will carry J. R. Simplot's data on AT&T's powerful, Multiprotocol Label Switching (MPLS)-based network and will connect all of J. R. Simplot's locations under a common Internet Protocol (IP)-based architecture that offers flexibility, security and high-bandwidth communications. AT&T's MPLS service integrates Class of Service (CoS) features and any-to-any connectivity, which helps ensure optimal bandwidth and latency for the company's most critical applications.

AT&T will employ the MPLS backbone across its network to enhance bandwidth efficiencies for J. R. Simplot's manufacturing and production sites. AT&T will further provide primary application support for J. R. Simplot's field sales teams with AT&T Network-Based IP VPN Remote Access Service (ANIRA), along with AT&T aircards to offer Small Office/Home Office (SOHO) wireless broadband services.

"After a comprehensive request for proposal and selection process, J. R. Simplot chose AT&T as our telecommunications services provider because of AT&T's global strategy, breadth of service offerings and industry leadership in connectivity solutions," said Roger W. Parks, vice president of information technology and chief information officer, J.R. Simplot. "AT&T continues to demonstrate visionary leadership in the technology and telecommunications industry for delivering the value-added solutions we require to meet our evolving global business needs."

J. R. Simplot's network technology manager Mark Sachs adds: "AT&T has demonstrated its commitment to our company by providing a core support team dedicated to understanding our business requirements. This has allowed us to review opportunities to enhance our network, reduce our overall telecommunications costs and deliver services that meet the needs of our customers."

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About J. R. Simplot
The J. R. Simplot Company is a privately held food and agribusiness corporation based in Boise, Idaho. We employ approximately 10,000 people in the U.S., Canada, China, Mexico, and Australia. Annual sales are about $3 billion, derived principally from food, fertilizer, turf and horticultural, cattle feeding, and other enterprises related to agribusiness. Simplot is one of the world's largest frozen-potato processors, annually turning out 3 billion pounds of french fries and other potato products worldwide. The firm also is one of the nation's largest beef-cattle producers, and ranks as a major agricultural-fertilizer manufacturer, with markets in the U.S., Canada, and Mexico. The company is named for founder J.R. Simplot, who now serves as Chairman Emeritus.

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. www.att.com.

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