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New AT&T Launches

Offering Customers a New Leader in Communications and Entertainment, Leading Industry Transformation to Integrated, IP-Based Services

San Antonio, Texas, November 18, 2005

Today marks the birth of AT&T Inc. and of a new standard-bearer in communications, entertainment and service for the 21st century.

SBC Communications Inc. closed its acquisition of AT&T Corp. today as California regulators approved the transaction — the final approval needed for the merger of the companies' highly complementary networks, product portfolios, capabilities and shared heritage. The combined enterprise will immediately begin a well-planned integration process, allowing the new AT&T family of companies to quickly deliver benefits for both customers and stockholders.

Through its subsidiaries and affiliates, AT&T Inc. is the largest telecommunications company in the United States and one of the largest in the world. The combined company is the largest U.S. provider of high-speed DSL Internet services and local and long-distance voice services and the No. 1 provider of data services to the Fortune 1000. The new AT&T owns 60 percent of Cingular Wireless, which is the No. 1 U.S. wireless services provider.

The combined company is now poised to lead the industry in one of the most significant shifts in communications technology since the invention of the telephone more than 120 years earlier — the deployment of integrated services based on Internet Protocol, giving customers access to virtually any services, anytime, anywhere.

"We are ready to meet the needs of a new generation of customers in a new era of communications and entertainment," said Edward E. Whitacre Jr., chairman and CEO of AT&T Inc.

"The combination of SBC and AT&T companies gives us the local, global, and wireless network resources and the expertise to set the standard for delivering meaningful innovations and making the promise of integrated communications and entertainment a reality for consumers and businesses," Whitacre said. "This combination is more powerful because of our shared heritage of innovation, service quality, reliability and integrity."

Ticker Symbol Announced, New Mark to be Unveiled Nov. 21

On Oct. 27, SBC announced that it would adopt the AT&T Inc. name following merger close. Today, the company announced that it will begin trading under the "T" symbol on the New York Stock Exchange on Dec. 1. In the interim, it will trade under the existing "SBC" symbol.

A revitalized corporate logo will be unveiled on Monday, Nov. 21, the company's first full day of operation as the new AT&T.

Immediate Benefits for Businesses, Consumers

Global, national and regional businesses, as well as federal government agencies, now will be able to make a single call for local network access and global backbone connectivity, as well as wireless services, backed by industry-leading customer care and security features. The AT&T IP backbone network, with its industry-leading software infrastructure, gives these customers the control and flexibility to manage their own networks and deliver a wide range of applications in a secure, reliable way.

Residential and small-business customers will realize the benefits of new IP communications innovations more quickly and effectively as well, because the new AT&T companies will take solutions created for large businesses and adapt them for smaller businesses and consumers. The new AT&T companies will deliver fiber-powered broadband connections to millions of homes and small businesses, enabling customers to take advantage of IP video and other emerging applications with content delivered over the new AT&T IP backbone network. Additionally, the new AT&T companies will make cost-competitive, convenient communications service bundles available to millions of new U.S. customers; details about those bundles will be available in the coming weeks.

The New AT&T Focused on Seamless Integration

The new AT&T management team will immediately launch a thoroughly planned integration of the two companies' networks, product portfolios, customer care teams and overall operations to ensure a smooth, efficient transition. Through legally permissible ways, a team of managers began integration planning soon after the original announcement to help jump-start

the transition after merger close. The team's top priority is to ensure the highest levels of reliability and service for customers during the transition.

"We are hitting the ground running on Day One so that our customers and owners quickly realize the substantial benefits and synergies of this merger," said Whitacre. "The integration teams have been working for months to plan, solicit customer input and develop road maps for a successful transition. Now that the merger is closed, the teams are ready to execute and maximize the potential of this combined company."

Customers — residential, business and wholesale — will not be required to take any immediate action unless they want to make product or other changes. They will continue to order services, pay bills and request customer service from their current provider as they always have. Details on new offers available for customers who purchase services from both companies will be available in the coming weeks.

The New AT&T Leads Industry, Has Unmatched IP Assets, Commits to Continued Giving

The new AT&T is uniquely positioned to lead the industry with unsurpassed IP-enabled network assets and solutions. These assets provide an unsurpassed platform for delivery of additional IP-based services as they are developed.

The new AT&T will build on the strong records of community involvement and investment by both the former AT&T and SBC companies. The new AT&T expects to maintain more than $60 million annually in charitable contributions and funding of community activities, placing it among the top-five largest corporate foundations in the country. The New AT&T Focused on Achieving Value for Owners

The former SBC has a strong, well-established track record of delivering solid value from merger integration efforts. The creation of the new AT&T will be no exception. The transaction is expected to yield a net present value of more than $15 billion in synergies, net of the cost to achieve them. The new AT&T will provide details on operational plans along with an updated financial outlook for the combined company, including expected synergies, at an investor conference in New York City on Jan. 31, 2006.

Stockholders of the former AT&T received 0.77942 shares of SBC common stock for each common share of AT&T. As part of the merger closing, the former AT&T paid its stockholders a special dividend of $1.30 per share.

As part of the merger close, three new members from the former AT&T board of directors were added to the new AT&T board, bringing the total to 18. New members are: David W. Dorman, William F. Aldinger, and Jon C. Madonna; they will be appointed to existing committees.

The completion of the merger is the culmination of an extensive 10-month review process, which included review by or filings with 36 U.S. states and the District of Columbia, the U.S. Department of Justice and Federal Communications Commission, as well as 14 countries.

Merger news is available at www.sbc.com/att.

About the New AT&T
AT&T Inc. is one of the world's largest telecommunications holding companies and is the largest in the United States . Operating globally under the AT&T brand, AT&T companies are recognized as the leading worldwide providers of IP-based communications services to business and as leading U.S. providers of high-speed DSL Internet, local and long-distance voice, and directory publishing and advertising services. AT&T Inc. holds a 60 percent ownership interest in Cingular Wireless, which is the No. 1 U.S. wireless services provider with more than 52 million wireless customers. Additional information about AT&T Inc. and AT&T products and services is available at www.TheNewATT.com .

© 2005 SBC Knowledge Ventures, L.P. All Rights reserved. SBC is a trademark of SBC Knowledge Ventures, L.P. and/or its affiliates.