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AT&T Connecticut Celebrates One-Year Anniversary As Competitive Video Service Provider; Rapid Deployment of AT&T U-Verse Benefits Connecticut Consumers

October 31, 2008

NEW HAVEN, Conn., Oct. 31 /PRNewswire-FirstCall/ — In celebration of AT&T Connecticut’s first year as the holder of a certificate of video franchise authority, AT&T Inc. today announced that parts of approximately half of the municipalities in Connecticut now have access to AT&T U-verse(SM) services as a competitive choice to incumbent cable companies. In the past year, AT&T U-verse has created jobs and spurred economic investment in Connecticut, and it has delivered faster broadband speeds to small businesses and redefined the television experience for consumers.

“Every day, more Connecticut consumers realize that AT&T U-verse TV is not only a competitive choice, it’s about a complete entertainment experience,” said Chad Townes, AT&T vice president and general manager. “U-verse TV offers a huge HD lineup, popular programming and greater control and integration with features like Total Home DVR. AT&T U-verse is exceeding all expectations in Connecticut.”

Since introducing U-verse services in Connecticut, AT&T has launched several new features that take advantage of its 100 percent Internet Protocol (IP)-based platform. IP technology helps U-verse TV offer advanced capabilities that customers don’t get from other local providers, such as the ability to record four programs at once on the digital video recorder (DVR), Web and Mobile Remote Access to the DVR and access to more than 55 High Definition (HD) channels, with plans to add up to 30 new HD channels on Nov. 3.

The interactive features — available to customers at no extra charge — that were added in the past year and further differentiate U-verse TV from cable include:

— Total Home DVR, which lets you watch Standard Definition (SD) and HD recorded programs from a single DVR on up to eight U-verse connected TVs in the home.

— AT&T U-bar, which lets you view customizable weather, sports, stock and traffic information from your TV screen.

— AT&T Online Photos from Flickr, an integrated online photos channel that lets you simply and conveniently watch slide shows and browse your online photos right from the comfort of your couch, on your U-verse TV screen.

— Yahoo! (R) Sports Fantasy Football, which allows you to track the progress of your fantasy team — including current team matchups and league standings — directly from your TV screen through the AT&T U-bar.

— YELLOWPAGES.COM TV, which lets you search for local business information from your TV screen using the most preferred local directory.

— AT&T Yahoo! Games, to play Sudoku, Solitaire, JT’s Blocks, Mah-jongg Tiles and Chess using your remote control.

Earlier this year, AT&T also expanded its U-verse offers with the introduction of AT&T U-verse Voice, a next-generation digital voice service delivered over the AT&T U-verse IP network. U-verse Voice completes the company’s IP triple play and brings together customers’ AT&T home phone, wireless, broadband and TV services with unique features that provide a new level of integration, convenience and control.

Commitment to Connecticut

AT&T previously announced an investment commitment of more than $250 million in Connecticut. AT&T plans to continue upgrading its fiber network, further its wireless and wired broadband deployment and enhance its Internet- based technologies to bring additional economic and technological benefits to Connecticut.

New jobs have also resulted from competition and the significant expansion of AT&T U-verse. AT&T has added almost 150 TV technicians and is hiring more as the U-verse service continues to grow.

“Consumers throughout the Nutmeg State are embracing AT&T U-verse as a choice when it comes to their home entertainment and communications provider,” said Ramona Carlow, president, AT&T Connecticut. “Competitive markets benefit consumers but also help companies drive increased value and innovation in products and services. With great pride in its Connecticut heritage, AT&T is evolving, growing and focusing on connecting consumers and small businesses in Connecticut to their world.”

AT&T U-verse services, including AT&T U-verse TV, are now available to approximately 370,000 living units in Connecticut.

The expansion of AT&T U-verse in Connecticut mirrors the growth of U-verse services nationwide. AT&T had 781,000 U-verse TV customers at the end of the third quarter and is on track to reach more than 1 million TV customers by the end of 2008.

AT&T’s U-verse deployment is rapidly introducing competitive choice and next-generation services to more consumers. AT&T U-verse customers enjoy quadruple-play integration, enhanced features and greater value, all made possible by IP technology.

Customers who want additional information on AT&T U-verse TV — or to find out whether it’s available in their area — can call 800-ATT-2020, visit http://uverse.att.com/ or stop by their nearest AT&T retail location.

About AT&T

AT&T Inc. 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/.

Cautionary Language Concerning Forward-Looking Statements

Information set forth in this press release contains financial estimates and other forward-looking statements that are subject to risks and uncertainties, and actual results might differ materially. A discussion of factors that may affect future results is contained in AT&T’s filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update and revise statements contained in this news release based on new information or otherwise.

(C) 2008 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies. All other marks contained herein are the property of their respective owners.

Note: This AT&T news release and other announcements are available as part of an RSS feed at http://www.att.com/rss. For more information and detailed disclaimer information, please review this announcement in the AT&T newsroom at http://www.att.com/newsroom.

Geographic and service restrictions apply to AT&T U-verse. Call or go to http://www.uverse.att.com/ to see if you qualify. Four channels can be recorded to the DVR or viewed simultaneously, up to two can be HD, subject to availability. DVR functionality available for up to 8 TVs and requires extra receivers for each additional TV. Ability to personalize the U-bar requires U-verse High Speed Internet. Living units consist of occupied and unoccupied housing as well as platted housing lots.

AT&T Inc.

CONTACT: Adam Cormier of AT&T Inc., +1-203-771-4474,acormier@attnews.us

Web site: http://www.att.com/http://www.uverse.att.com/