AT&T Wins $6 Million Contract with Ericsson to Provide Virtual Private Network Services in The Middle East

San Antonio, Texas, September 10, 2007

Dubai, United Arab Emirates — AT&T Inc. (NYSE:T) announced today that Ericsson, a world-leading provider of telecommunications equipment and related services to mobile and fixed network operators globally, has selected AT&T to provide an advanced Virtual Private Network (VPN) across the Middle East region.

This latest contract, worth $6 million, will see AT&T provide VPN services to support Ericsson's growing business activities in Qatar, Bahrain, Kuwait, Jordan, Saudi Arabia, Lebanon, Oman and the United Arab Emirates. This builds on the existing relationship that AT&T has with Ericsson; AT&T provides network services to Ericsson's business in Europe, the Middle East and Africa (EMEA) and the Americas.

"A reliable network, backed by a comprehensive service level agreement, the ability to execute locally and speedy implementation, were all key requirements for us when choosing our network provider in the Middle East," said Carl-Magnus Månsson, chief information officer of Ericsson. "AT&T provides us with all of this, backed up by the strong partnerships it has built with key players in the area. We are dedicated to the Middle East as a growth area of our business and feel that this is matched by the commitment that AT&T has made to the region."

"This contract with Ericsson underlines the importance of the Middle East to our customers," said Tom Regent, head of AT&T operations in Europe, the Middle East and Africa. "Through our direct investment in NavLink, partnerships with other key players in the Middle Eastern telecommunications market and our regional office in Dubai, we are confident that we can serve the needs of enterprises in these high-growth markets."

This contract furthers the strong commitment that AT&T has made to its business in the Middle East, where it collaborates with partners such as Qtel, Etisalat and STC. AT&T also works closely with NavLink, a company that is a leading provider of managed data services to businesses in the Middle East, and has held a significant investment in the company for a number of years. NavLink currently provides services directly to a strong customer base in 17 countries throughout Europe, the Middle East and Africa and globally through AT&T's global private data network and AT&T's global network of data centers.

This commitment reflects the wider global goal of AT&T to be able to deliver service to multinational customers wherever they need it. Today, AT&T offers Multiprotocol Label Switching (MPLS)-based services in 137 countries from more than 1,600 service nodes. AT&T also offers remote access in 149 countries through 45,000-plus access points.

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About Ericsson
Ericsson is shaping the future of Mobile and Broadband Internet communication through its continuous technology leadership. Providing innovative solutions in more than 140 countries, Ericsson is helping to create the most powerful communication companies in the world. Read more at www.ericsson.com.

About NavLink
NavLink (www.navlink.com) is a leading provider of managed data services for hosting, and networking solutions to a strong customer base in over 17 countries throughout Europe, the Middle East and Africa. Founded in 1996, NavLink has built a strong reputation by delivering state-of-the-art business and technical consulting, enterprise networking, enterprise hosting, systems integration, and managed services. NavLink enjoys deep, strategic relationships with leading telecommunications carriers.

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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