WNC First Insurance Services Selects AT&T to Upgrade Its Network Services

Pasadena, California, May 16, 2007

AT&T Inc. (NYSE: T) announced today a new two-year networking agreement with WNC First Insurance Services. Under the terms of the agreement, AT&T will provide WNC First Insurance Services with a new Virtual Private Network (VPN) solution to provide consistent network services and deliver reliable redundancy to the company's six locations in five states.

WNC First Insurance Services is an industry-leading provider of insurance-related products written through some of the largest financial institutions nationwide. Some of the services and products WNC offers include flood, wind, fire, auto, homeowners, real estate investor insurance, mortgage protection, term life and insurance compliance tracking.

The AT&T VPN will enable WNC to spread the company's IP phone traffic over its two main data centers more efficiently, helping to distribute the work load between offices more evenly in order to create greater productivity. Additionally, the new network services will increase WNC's ability to replicate data between its two data centers — improving business continuity and providing Multiprotocol Label Switching (MPLS) capabilities to ensure that WNC can prioritize business critical data traveling over the network.

"We are pleased with AT&T's network and the reliable service we receive," said Greg Baltzer, senior vice president — IT and Systems, WNC First Insurance Services. "With the new networking solution, AT&T is helping us to improve our cost-efficiency and increase productivity per employee, as well as heighten quality of service between offices. These translate into increased service and relationship values with our clients and business partners."

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About WNC First Insurance Services
Established in 1962, WNC First Insurance Services is an industry-leading managing general agent, managing general underwriter, and administrator of various property and casualty, catastrophe, and specialty insurance programs for some of the largest financial institutions nationwide. Its programs and services include Lender-Placed Flood, Wind, and Multiple Peril; Private, Excess, CBRA, and Non-Participating Flood; Lender-Placed Auto and GAP; Alternative Homeowners; Portfolio Blanket Flood and Multiple Peril; Mortgage Impairment; Real Estate Investor Insurance; and Insurance Compliance Tracking.

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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