AT&T HELPS CONNECT MILITARY FAMILIES FOR FATHER'S DAY

WITH FREE PHONE CALLS AND SUPPORT FROM THE USO

Donates Second 10,000 of More Than 50,000 Prepaid Phone Cards to U.S. Military Members,

Provides $300,000 Sponsorship for USO Entertainment Tours

SAN ANTONIO, June 13, 2007 - AT&T will donate the second installation of more than 50,000 prepaid phone cards it will give away in 2007. The 2007 donations are valued at more than $450,000, and the cards will be distributed to military personnel stationed overseas with the help of the USO. This donation builds on more than 85 years of AT&T support for U.S. military families and a 20-year partnership with the USO. The company also renewed its support of the USO, providing a $300,000 sponsorship to support USO entertainment tours in 2007.

The donation marks the second batch of 10,000 prepaid cards-marking 20,000 phone cards donated thus far this year via direct handouts with the USO. The second 10,000 cards will be distributed on overseas military bases and during USO entertainment tours slated for the weeks following Father's Day. According to AT&T, this donation is in honor of U.S. military dads, whether they are on active duty or whether they have a son, daughter, wife or husband who is actively serving.

In the coming weeks, the USO will help AT&T distribute the phone cards to troops throughout Iraq, Kuwait, Afghanistan, South Korea and Japan. Each donated phone card will provide 20 minutes of free talk time from Iraq to the U.S.

"Many military families will be missing Dad this Father's Day," said Carmen Nava, senior vice president, Distribution, AT&T. "In salute to U.S. military dads everywhere, we hope this donation will help ease some of the challenges posed by distance, time zones and ongoing military duties - and bring loved ones closer together."

The donation builds on AT&T's commitment to help keep military families connected: Since January 2006, AT&T donated nearly 200,000 prepaid phone cards - valued at nearly $1.8 million - to U.S. military members and their families. In the past 20 years, AT&T has contributed tens of millions of dollars to the USO in support of Operation USO Care Package, Operation Phone Home ® and USO entertainment tours; and has helped the USO enhance troop morale through funding regional operations in Europe, Southwest Asia and the Pacific.

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AT&T DONATES PREPAID CARDS FOR FATHER'S DAY/ADD ONE

Since 1941, the USO has provided morale, welfare and recreation-type programs and services to enhance the quality of life for military personnel and their families around the world. The USO currently operates more than 130 centers, including 10 mobile canteens, offering free Internet and e-mail access, prepaid phone cards, entertainment and lounge areas, libraries, travel assistance and refreshments. USO entertainment tours bring volunteer celebrities to entertain and lift the morale of troops and to express the gratitude and support of the American people.

For more than 85 years, AT&T has remained dedicated to supporting active military personnel, their families and veterans through charitable contributions, sponsorships, the hiring of military veterans and maintaining policies that support reservists when called to duty. Since 2000, AT&T has donated nearly $8 million in free prepaid phone cards to military members and has provided nearly $6 million in grants supporting military members and related nonprofit organizations. The company has also built 70 calling centers for military members stationed in Iraq, Kuwait and Afghanistan, so that they may stay in touch with their families.

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About the USO: For more than 66 years, the USO (United Service Organizations) has been providing morale, welfare and recreational services to U.S. military personnel and their families. The USO is a nonprofit, charitable organization, relying on the generosity of the American people to support its programs and services. The USO is supported by Worldwide Strategic Partners AT&T Inc., BAE Systems North America, Clear Channel Communications, The Coca-Cola Company, DRS Technologies, Inc., The International Fight League, Military Channel, S & K Sales Co., TriWest Healthcare Alliance and The Walt Disney Company. Other corporate donors, including the United Way and Combined Federal Campaign (CFC-11381), have joined thousands of individual donors to support the USO. For more information on the USO, please visit our Web site at www.uso.org.

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 http://www.att.com.

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