AT&T and Yahoo! Mark Fifth Anniversary of Groundbreaking Broadband Alliance.

Companies Delivering Innovative Web Experiences to Millions of Subscribers

SAN ANTONIO & SUNNYVALE, Calif. -- AT&T Inc. (NYSE:T), the nation's leading high speed DSL Internet and consumer voice services company, and Yahoo! Inc. (Nasdaq:YHOO), a leading global Internet destination, today celebrate the fifth anniversary of their landmark strategic alliance to bring broadband Internet services to a wide consumer and small business audience.

Since AT&T and Yahoo!([R]) announced their partnership five years ago, the companies have consistently delivered on their promise to provide a fully integrated, compelling broadband experience to the vast majority of AT&T's 8.2 million high speed DSL Internet customers.

"Our partnership with AT&T has given Yahoo! the opportunity to create truly innovative Internet experiences, not just for the PC but also on consumer televisions," said Steve Boom, senior vice president of Broadband and Mobile, Yahoo! Inc. "The AT&T Yahoo! partnership's success is rooted in our companies' ability to work hand-in-hand to deliver market-leading applications that enable users to take advantage of the power of the Internet."

"Through our relationship with Yahoo!, millions of AT&T's high speed Internet customers have access to the leading broadband experience on the Web," said Rick Welday, chief marketing officer of AT&T Consumer. "We're proud of the content and ambitious features that we've added throughout the years."

AT&T and Yahoo!'s alliance has fostered tremendous growth and product innovation in its co-branded broadband offering and beyond. In 2004, AT&T and Yahoo! announced a multiyear extension of their alliance with the intent to bring the AT&T Yahoo! customer experience beyond the PC, such as to home television. AT&T has extended Yahoo! services for photos, music and video on demand to the AT&T Homezone, a new service that combines satellite TV programming, communications features and high speed Internet in one integrated receiver.

"AT&T and Yahoo! set a new standard by converging their content and communications services," said Nicole Klein, consumer broadband analyst of Yankee Group. "Today, the partnership is recognized as a model in the industry and mirrored by other providers."

AT&T Yahoo! High Speed Internet service offers subscribers a powerful, customized browsing environment and personalized home page, as well as a full range of Yahoo!'s leading products and services optimized for broadband, including enhanced e-mail with award-winning spam control and additional storage, security, and parental controls, premium pop-up blocking, enhanced instant messaging capabilities, digital photo tools and storage, and online music and game services. AT&T recently announced several initiatives that simplify residential broadband pricing, add more speed-tier choices to its lineup, and make AT&T Yahoo! High Speed Internet more convenient to purchase with a flat low rate that doesn't require a 12-month term commitment.

AT&T Yahoo! High Speed Internet service is available in the company's 13-state incumbent local exchange areas, where high speed Internet service is available: Arkansas, Kansas, Missouri, Oklahoma, Texas, Illinois, Indiana, Michigan, Wisconsin, Ohio, California, Nevada and Connecticut.

In the coming months, Yahoo! will celebrate its fifth anniversary with AT&T by offering new features and incentives to consumers.

This AT&T release and other news announcements are available as part of an RSS feed at www.att.com/rss.

About 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 58.7 million wireless customers. Additional information about AT&T Inc. and AT&T products and services is available at http://www.att.com.

About Yahoo!

Yahoo! Inc. is a leading global Internet brand and one of the most trafficked Internet destinations worldwide. Yahoo! seeks to provide online products and services essential to users' lives, and offers a full range of tools and marketing solutions for businesses to connect with Internet users around the world. Yahoo! is headquartered in Sunnyvale, California.

[c] 2006 AT&T Knowledge Ventures. All rights reserved. AT&T is a registered trademark of AT&T Knowledge Ventures. Subsidiaries and affiliates of AT&T Inc. provide products and services under the AT&T brand. Yahoo! and the Yahoo! logo are trademarks and/or registered trademarks of Yahoo! Inc. All other names are trademarks and/or registered trademarks of their respective owners.