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AT&T Wireless Puts Customers First by Offering a Free Phone Every Year and SureRate, a New Plan with 'No Surprises'

Posted on: Monday, 24 November 2003, 06:00 CST

REDMOND, Wash.--(BUSINESS WIRE)--Nov. 24, 2003--In response to customer demand for access to the best equipment deals and easy-to-understand, predictable rate plans, AT&T Wireless (NYSE: AWE) today announced the availability of two innovative offers: Customers First(TM) and SureRate(TM).

The company's Customers First promise, the best offer of its kind in the marketplace, entitles new and existing customers on qualified rate plans to a select new phone for free after mail-in rebate every 12 months, upon signing or renewing a two-year agreement. Customers can also choose a different phone in the program and receive special discounts. To qualify, customers simply stay on or move to a qualified calling plan, which is currently most plans of $39.99 or more with a two-year agreement, and recommit to a two-year agreement each time they receive their next free phone.

"We hear wireless consumers loud and clear - they don't want surprises when they open their bill and existing customers want access to the latest equipment deals usually reserved for new customers," said Michael Sievert the company's chief marketing officer. "That's why wireless consumers who are with or come to AT&T Wireless can get a free phone every year and a wireless plan and a service they can trust every day."

Also today the company announced its new SureRate consumer rate plan, an affordable, predictable pricing plan with "no surprises" when customers exceed their monthly allotment of minutes. For $59.99 a month, customers get 750 minutes with the local plan or 667 minutes with the national plan and can have peace of mind knowing that any extra talk time comes at a low 8 cents per minute with a local plan or 9 cents per minute with a national plan. Additionally, there are no domestic long distance charges and unlimited night and weekend calling.

AT&T Wireless has the most coverage in North America and the most worldwide coverage with a single compatible phone of any U.S. wireless carrier. Last week, the company also began offering the fastest national mobile wireless data service in North America. The AT&T Wireless EDGE network, which is nearly twice as fast as other national mobile wireless networks and up to three times faster than traditional wired dial-up services, enables customers to browse the Internet on wireless laptops, download presentations, and view large e-mail attachments with ease.

AT&T Wireless has also enhanced its popular mMode(TM) service to give wireless customers faster, easier access to information and entertainment services --such as e-mail, Websites, and games -- with an unparalleled level of simplicity and personalization.

In addition, earlier this month AT&T Wireless announced its 90-Day Best Deal Promise, designed to ensure that consumers are on the best calling plan possible. The Best Deal Promise allows customers to change calling plans within 90 days of enrollment, without penalty or need for contract renewal, if AT&T Wireless offers a better deal. This limited time offer, which is unlike any other in the wireless marketplace, is available to customers who sign two-year contracts.

AT&T Wireless is also the only national wireless carrier to offer consumers a 30-day risk-free trial of its service. When service is activated at an AT&T Wireless store or attwireless.com, customers can return their undamaged phone within 30 days and pay only for airtime and usage charges.

About AT&T Wireless

AT&T Wireless (NYSE: AWE) is the second-largest wireless carrier, based on revenues, in the United States. With 21.855 million subscribers as of September 30, 2003, and revenues of more than $16.5 billion over the past four quarters, AT&T Wireless delivers advanced high-quality mobile wireless communications services, voice and data, to businesses and consumers, in the U.S. and internationally. For more information, please visit us at www.attwireless.com.

This press release contains "forward-looking statements'' which are based on management's beliefs as well as on a number of assumptions concerning future events made by management with information that is currently available to management. Forward-looking statements may include, without limitation, management's expectations regarding: our future financial and operating performance and financial condition, including the company's outlook for the fiscal year 2003 and subsequent periods; subscriber growth; industry conditions; the strength of our balance sheet; our liquidity and needs for additional financing; and our ability to generate positive free cash flow.

Readers are cautioned not to put undue reliance on such forward-looking statements, which are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside AT&T Wireless' control, that could cause actual results to differ materially from such statements. Without limitation these factors include: the risks associated with the implementation of our technology migration strategy, our ability to continue to reduce costs and increase the efficiency of our distribution channels, the potential competitive impacts of industry consolidation or alternative technologies, potential impacts on revenue and ARPU from competitive pricing and slowing penetration in the wireless industry, the effects of vigorous competition in the markets in which we operate, the risk of decreased consumer spending due to softening economic conditions, acts of terrorism, and consumer response to new service offerings.

For a more detailed description of the factors that could cause such a difference, please see AT&T Wireless' filings with the Securities and Exchange Commission, including the information under the heading "Additional Factors That May Affect Our Business, Future Operating Results and Financial Condition" and "Forward Looking Statements" in its quarterly report on Form 10-Q filed on November 14, 2003.

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