BEDMINSTER, N.J.- AT&T today announced grants to five universities to conduct research in best practices in business continuity.

Each university will focus on one of five vertical industries:
· Stevens Institute of Technology, Hoboken, N.J. - pharmaceutical;
· George Mason University, Fairfax, Va.-financial services;
· Georgia Institute of Technology, Atlanta - travel and leisure;
· Michigan State University, East Lansing - manufacturing; and
· University of California, Los Angeles - retail.

A grant of $50,000 will go to each university to conduct the research. The results will be publicly available on the AT&T web site and shared with companies within each industry before the end of March 2003. The research will explore areas such as strategic planning, security policies, risk assessment and back-up plans and procedures.

"Based on a recent survey that AT&T commissioned, there is a need for businesses to concentrate more attention on issues of business continuity and disaster recovery," said Timothy J. McClimon, Executive Director, AT&T Foundation. "AT&T is pleased to be working with some of the best universities and colleges in America to develop a set of best practices that will assist companies across the country with this important subject
matter."

The AT&T survey, which was conducted by Digital Research Inc. of Kennebunkport, Maine, showed that about one in four companies in the U.S. do not have business continuity-disaster recovery plans in place. Of those companies that do have plans, about 20% have not tested them in five years. Companies with untested plans face as much risk as those with no plans at all.

The executive summary is available at: www.att.com/presskit. This best practices research project shows AT&T's leadership in business continuity and disaster recovery, as well as its commitment to help businesses gain the proper knowledge and tools to continuously operate, even in the event of a disaster or other unplanned business disruption.

AT&T provides a broad range of business continuity services, ranging from consulting services, such as risk assessments and recovery services for network and information technology assets, to managed services like AT&T Ultravailable® services that ensure near-zero data loss and near-100 percent availability of data and applications. During the last 10 years, the company also has invested more than $300 million in a unique network disaster recovery program that can recover, within days, voice and data communications services from a damaged switching center.

For more information on AT&T business continuity services visit www.att.com/business and for more information on AT&T's network disaster recovery program see www.att.com/ndr.
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About AT&T
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