SAN ANTONIO--(BUSINESS WIRE)--June 30, 2006--AT&T Inc.(NYSE: T) announced today that, in honor of Independence Day, it will work with the United Service Organizations (USO) to distribute an additional 10,000 free prepaid phone cards to U.S. military members overseas in Asia, Europe and the Middle East. This is the second batch of more than 30,000 prepaid phone cards --valued at $270,000 -- that AT&T will donate to the U.S. military in 2006.

The July Fourth donation follows a recent Father's Day donation and brings the total value of cards donated so far this year to $180,000. This second wave of prepaid cards will be handed out on a USO entertainment tour stop as well as to troops at Landsthul Regional Medical Center in Germany and through USO distribution centers in Kuwait, Afghanistan, South Korea and Japan.

According to the USO, the No. 1 item requested by military personnel is a prepaid calling card. The prepaid cards donated by AT&T will provide service members with 20 minutes of free talk time from Iraq, Kuwait and Afghanistan, back to the United States. The donation follows the company's recent $250,000 sponsorship supporting the USO's celebrity entertainment program this year.

"Many military families will be away from their loved ones on one of the most patriotic days of the year," said Cathy Martine, senior vice president-AT&T National Mass Markets. "We feel it is important to do what we can to help connect these families this Independence Day --and to honor the many men and women who sacrifice so much."

In the past 20 years, AT&T has contributed tens of millions of dollars to help support the USO and its meaningful programs, including: entertaining the troops through the sponsorship of USO tours; helping to provide a "Touch of Home" through the support of Operation USO Care Package and Operation Phone Home; and helping to enhance morale and community relationships through the grassroots funding of USO regional operations in Europe, Southwest Asia and the Pacific, and more.

Since 1941, the USO has played an essential role in serving U.S. troops around the world. More than 120 USO centers provide a variety of programs and services to boost the morale of military personnel and their families. USO celebrity entertainment tours bring volunteer celebrities to entertain, lift morale and express the gratitude and support of the American people.

For more than 85 years, AT&T companies have remained dedicated to supporting active military personnel, their families and veterans through charitable contributions, event and program sponsorships, hiring of military veterans and maintaining policies that support reservists when called to duty. Since 2000, AT&T has donated more than $6 million worth of free prepaid calling cards to military members and more than $2 million to projects supporting them. The company has also built more than 60 calling centers for military members stationed in Iraq, Kuwait and Afghanistan.

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About AT&T Inc.

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 55.8 million wireless customers. Additional information about AT&T Inc. and AT&T products and services is available at www.att.com.

About the USO

For more than 65 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, Military Channel, The Coca-Cola Company, S & K Sales Co. and TriWest Healthcare Alliance. Other corporate donors, including the Combined Federal Campaign (CFC-0600), have joined thousands of individual donors to support the USO. For more information on the USO, please visit www.uso.org.

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

Copyright Business Wire 2006

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