AT&T and Oracle Combine Forces to Deliver a Subscription-Based PeopleSoft Solution for Midsize Businesses

New Offer Builds on Long-Standing Relationship between the Two Companies

Dallas, Texas, December 10, 2008

AT&T is combining the power of its global network platform with a subscription-based PeopleSoft solution from Oracle to provide midsize companies in the U.S. with a better way to handle human resources, payroll and back-office operations.

AT&T Inc. (NYSE:T) today announced an end-to-end, hosted PeopleSoft payroll and payroll tax solution that combines AT&T's business process outsourcing services with its innovative utility computing platform and application management capabilities. It gives companies the ability to use a PeopleSoft application to add employees quickly, track pay and benefits and connect with financial back-end systems while calculating payroll deductions. The solution is targeted to midsize companies as a bundled package that includes a monthly, per-employee fee, which helps businesses reduce the upfront costs typically associated with a large, complex software implementation and softens the impact of license fees.

The solution is delivered over AT&T's next-generation Synaptic HostingSM platform that creates a virtual infrastructure that lets customers add computing capacity, bandwidth and storage space as needed. The platform further allows customers to adjust capacity quickly, while paying only for the amount used.

In addition, AT&T is offering a fixed-fee, fast-track program for out-of-the-box PeopleSoft solutions that helps speed the installation time and cut costs when compared with a customized PeopleSoft implementation.

Today's announcement builds upon the long, strategic relationship between AT&T and Oracle. AT&T is a PeopleSoft Application Hosting Partner and an Oracle PartnerNetwork Certified Advantage Partner.

"The relationship between AT&T and Oracle is a testament to the commitment we share to each other's success," said Ronald E. Spears, president and chief executive officer, AT&T Business Solutions. "Today's announcement is further proof of how the intelligence of AT&T's network and its software service-based delivery model complements Oracle's application solutions to make it possible for even more businesses to operate successfully at greater scale and velocity."

Keith Block, executive vice president, Oracle North America Sales, said: "We are excited to work with AT&T to address the need for a cost-effective, predictably priced human resource service for companies that prefer to focus their efforts on their core differentiators. This is especially true in today's uncertain economic climate where companies of all sizes are looking for ways to reduce costs, increase flexibility and decrease business risk."

AT&T is committed to delivering, managing and supporting sophisticated applications of all types required by companies of all sizes. For example, AT&T today provides solutions for companies that want to extend their business-critical information to mobile employees through hand-held devices. AT&T recently announced new mobility services, AT&T Mobile Enterprise Applications, that are designed to help companies in targeted vertical industries deliver mobile field service automation, sales force automation and information technology support for Oracle applications.

As a Certified Advantage Partner in the Oracle PartnerNetwork, AT&T has a strong history of implementing and supporting hosted Oracle products including Oracle® Business Intelligence Enterprise Edition (OBIEE) for multinational companies. OBIEE provides interactive dashboards with real-time analytics such as ad-hoc queries, alerts, enterprise and financial reporting in formats that are simple and intuitive to interpret. The dashboards are published and delivered over the AT&T network in familiar formats including mobile handsets.

More information about AT&T's hosting and application services can be found at http://www.business.att.com/enterprise/Portfolio/application-hosting-enterprise.

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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. In 2008, AT&T again ranked No. 1 on Fortune magazine's World's Most Admired Telecommunications Company list and No. 1 on America's Most Admired Telecommunications Company list. Additional information about AT&T Inc. and the products and services provided by AT&T subsidiaries and affiliates is available at http://www.att.com.

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