AT&T Named Austin Energy GreenChoice Corporate Champion

Austin Energy to Supply Austin AT&T Facilities With Renewable Energy

Austin, Texas, June 23, 2008

AT&T Inc. (NYSE:T) today announced an agreement with Austin Energy to participate in the utility's GreenChoice® renewable energy program. As a GreenChoice Corporate Champion, 10 percent of the electricity used at all AT&T facilities in Austin will be sourced from wind power. This is equivalent to 7.2 million kilowatt-hours (kWh) a year, enough renewable energy to power 600 average homes in Austin for a year.

"AT&T is committed to a sustainable energy policy that balances our business need for affordable energy with the need to identify alternative forms of energy that can help us reduce our environmental impact," said John Keller, AT&T Senior Energy Manager. "We're pleased to have an opportunity to use renewable energy in our Austin facilities and to contribute directly to the city's quality of life."

"We applaud AT&T in their initiative to help reduce our city's carbon footprint and encourage others to follow suit," said Austin Energy General Manager Roger Duncan. "AT&T has been a strong corporate citizen in the Austin community and becoming a Corporate Champion is another way the company is showing its commitment to the sustainable growth of our city."

AT&T is among the top 20 GreenChoice subscribers by annual green kWh purchased. According to the latest data compiled by the Department of Energy National Renewable Energy Laboratory, Austin Energy GreenChoice is the No. 1 green power program in the country with 665 million kWh in subscriptions. Currently about 9,300 residential customers and 514 businesses participate in the GreenChoice program.

Most of Austin Energy's green power comes from wind turbines in McCamey and Sweetwater, Texas. Austin Energy also receives electricity from several solar installations and three landfill gas projects in Austin and San Antonio. During 2008 renewables are expected to account for about eight percent of Austin Energy electricity sales.

Procuring renewable energy is one way that AT&T is working to minimize the environmental impact of its operations. AT&T works to enhance energy performance and minimize energy consumption in company buildings, IT systems and networks, and the company is evaluating other alternative energy sources like solar power. The company conserves natural resources through waste reduction, recovery and recycling efforts, helping its customers do the same. AT&T also helps customers further manage their own environmental impact through intelligent use of AT&T products and services, like teleconferencing, video conferencing and other broadband applications.

About Austin Energy
Austin Energy (AE) is the nation's 9th largest community-owned electric utility. AE serves 388,000 customers and a population of more than 900,000. They provide service within the City of Austin, Travis County, and a small portion of Williamson County. As a publicly owned power company and a city department, Austin Energy returns profits to the community annually. That money helps fund City services such as fire, police, EMS, parks, and libraries. The utility has provided $1.5 billion in profits to the community since 1976. Austin Energy powers the capital city of Texas through a diverse generation mix. Their portfolio includes nuclear, coal, natural gas, and renewable energy sources.

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.

© 2008 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual Property. For more information, please review this announcement in the AT&T newsroom at http://www.att.com/newsroom.

© 2007 AT&T Knowledge Ventures. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Knowledge Ventures. For more information, please review this announcement in the AT&T newsroom at http://www.att.com/newsroom.