AT&T OUTLINES 2006 PLANS FOR GLOBAL NETWORK EXPANSION TO SERVE MULTINATIONAL ENTERPRISE CUSTOMERS

Continued global network investment means enhanced capabilities for multinational companies in Canada and worldwide

THORNHILL, ONTARIO, March, 1, 2006 - AT&T Inc. announced today details of its 2006 plans to expand its global network, providing enhanced connectivity in Canada and around the world to meet the growing demands of its multinational enterprise customers.

AT&T is extending services, reach and access into additional locations in Europe, the Middle East, Africa, Asia, Latin America and in the United States, as part of the new AT&T's previously announced $8 billion to $8.5 billion USD expected capital investment in 2006. This investment demonstrates the company's commitment to its global enterprise customer base - especially those who are demanding a globally consistent set of services with high levels of accuracy, cost-efficiency and automation wherever they do business. Through targeted investment AT&T can now provide reliable network access to 97 percent of the world economy*.

Tarkett, a worldwide leading manufacturer of commercial, residential and sports flooring, is a customer benefiting from the global capabilities of AT&T's network. With offices and plants in more than 50 countries worldwide, Tarkett relies on AT&T's network for communication between all of its sites.

"As a company that operates in Canada and many major economies around the world, it is essential for us to work with a networking partner that provides seamless connectivity around the globe," said Bill Betournay, Tarkett Vice President I.T. North America. "The AT&T network provides Tarkett with the right foundation for its global business by enabling us to benefit from converged IP-based technology and real-time collaboration. Ultimately, AT&T helps us improve our operational performance and allows us to offer a uniform level of service to all customers, no matter where they are located."

Highlights of the 2006 planned expansion include:

• Extended dedicated MPLS-based IP access capabilities, giving service nodes in 127 countries,
• Integration of 1000 legacy SBC nodes into AT&T's global MPLS-based network,
• New network interconnections giving greater in-depth country coverage,
• Additional remote access points giving a total of more than 35,000 access points in 150 countries,
• Doubling DSL country coverage for business access, via alliance agreements with local carriers,
• Tripling Ethernet country connectivity,
• Enhanced satellite, Wi-Fi and wireless access.

"Like the rest of the world, customers in Canada demand a consistent set of services with high levels of reliability, cost-efficiency and automation. Through our targeted investments, AT&T is now able to provide dependable network access to 97 percent of the world economy," said David Denault, General Manager of AT&T Communications Corp. in Canada. "AT&T has made it a priority to deploy the infrastructure and network interconnections that allow multinationals organizations based in Canada, or with a presence in Canada, to operate seamlessly around the globe. These investments are another sign of our continued commitment to serve our customers in the markets where they are growing or establishing their business."

AT&T's relentless commitment to serving the needs of multinational companies around the globe has also been recognized by leading analysts. AT&T has been placed in the Leaders Quadrant for all global regions in Gartner, Inc's network service provider studies.1 According to Gartner to qualify for inclusion in the magic quadrant, leaders are evaluated on many criteria. Among the most important are long-term strategy, customer focus, quality of service, pricing and the ability to innovate.

* An analysis of our 127 country list vs the CIA World Factbook (11/2005 edition) list of global economies shows AT&T has MPLS services reach to more than 97.44 percent of the global economy.

About the Magic Quadrant

1. Magic Quadrant for Global Network Service Providers, 2005 by D. Neil, J. Delcroix, J. Pultz, N. Rickard (12/15/05); Magic Quadrant for Network Service Providers, Asia/Pacific, 2005 by C. To, K. Desai (1/16/06); Magic Quadrant for Pan-European NSPs, 2005: Leaders and Visionaries by N. Rickard, J. Delcroix (6/30/05) are copyrighted by Gartner, Inc. and are reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

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.

About Tarkett

The parent company of Tarkett was founded over 130 years ago and is now the largest resilient manufacturer in the world with over 28 production centers, sales of about 1.6 billion € (1.9 billion US$) in more than 100 countries and over 7000 employees. Its comprehensive product lines are known throughout the industry for innovation, excellent design and high quality. The corporation's core businesses are segmented into two divisions, commercial and residential. The core products include resilient flooring, including linoleum, wood, and laminate floor products for residential and commercial applications. In North America the commercial products are marketed under the brand names Tarkett®, Azrock®, by Tarkett, and Expressions™ by Tarkett. For further information visit Tarkett at www.tarkett.com

Cautionary Language Concerning Forward-Looking Statements

Information set forth in this news release contains financial estimates and other forward-looking statements that are subject to risks and uncertainties, and actual results may 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 or revise statements contained in this news release based on new information or otherwise.

© 2006 AT&T Knowledge Ventures. All rights reserved. Subsidiaries and affiliates of AT&T Inc. provide products and services under the AT&T brand.

Plans for 2006 in Detail

• Integrating the more than 1000 Frame Relay/ATM nodes in the legacy SBC 13-state region into the AT&T backbone network, thereby offering additional MPLS access capabilities by year-end 2006.
• Installing seven AT&T Global Network nodes in Cyprus, United Arab Emirates, Saudi Arabia, Pakistan, Malaysia, India and Vietnam.
• Commissioning 16 additional network interconnections in Denmark, Finland, Norway, Sweden, Italy, Russia, Vietnam, India, Japan, Brazil, Honduras, Nicaragua, Panama, Guatemala, El Salvador and Dominican Republic giving greater in-depth country coverage.
• Additional DSL broadband capabilities via alliance agreements with local carriers, in Denmark, Finland, Sweden, Czech Republic, Estonia, Hungary, Poland, Germany, Spain, Italy, Greece, Ireland, India, Australia, New Zealand, Argentina, Brazil, Malaysia, Taiwan and Singapore. Plans call for DSL broadband access in up to 25 countries by year-end 2006.
• Additional Ethernet connectivity in Canada, UK, France, Germany, Belgium, Ireland, Italy, Switzerland, Sweden, Denmark, Netherlands, Spain, Austria, India, Japan, Singapore, Hong Kong, Taiwan and Australia targeting up to 20 countries by year-end 2006.
• Additional satellite coverage in Afghanistan, Burkina-Faso, Chad, Republic of Congo, Democratic Republic of the Congo, Gabon, Guinea, Iraq, Ivory Coast, Kenya, Madagascar, Malawi, Mali, Nigeria, Uganda, Zimbabwe, Bangladesh, Nepal, Brunei and Sri Lanka which will provide access from a total of 20 countries worldwide.
• The new AT&T has the Wi-Fi capabilities of both legacy companies to deliver a greater Wi-Fi footprint in the United States and around the world. The first demonstration of this increased capability includes expanding Wi-Fi access to AT&T Remote Access customers from more than 6,000 McDonald's locations across the United States.
• Also in the Wi-Fi space, through an agreement with WeRoam, 5,500 additional locations in countries across Europe, the Middle East and Asia Pacific are now available to AT&T Remote Access customers, broadening the Wi-Fi footprint to a total of more than 24,000 locations in 52 countries for these customers.