AT&T Introduces U-verse in Sacramento Area

Customers Have a New Choice in Television

High Definition Programming and Other Compelling Features Make AT&T U-verse TV ’Cooler Than Cable’

Sacramento, California.-A new world of communications and entertainment is now available to thousands of residents in the Sacramento, Stockton, and Modesto areas. AT&T Inc. (NYSE:T) has announced the launch of AT&T U-verseSM in parts of local communities, including the city of Sacramento, Sacramento County, Carmichael, Fair Oaks, Folsom, Gold River, Lincoln, Modesto, Rancho Cordova, Rocklin and Stockton.

AT&T U-verse uses AT&T’s new fiber-rich network to offer cutting-edge television and high speed Internet services. AT&T is the only national provider to offer a 100 percent Internet Protocol (IP)-based television service, making U-verse TV “cooler than cable” and one of the most robust and feature-rich services available today.

AT&T U-verse offers customers a combination of next-generation digital television — including access to more than 26 High Definition (HD) channels — and high speed Internet access. The award-winning AT&T U-verse TV includes cutting-edge features that are unmatched in the market, and the new U-verse enabled AT&T Yahoo! High Speed Internet builds on AT&T’s position as the nation’s leading provider of broadband DSL.

AT&T will continue to increase U-verse availability throughout the area on an ongoing basis.

“We’re thrilled to bring AT&T U-verse to even more Californians,” said Loretta Walker, AT&T vice president and general manager for the Sacramento area. “Our current California customers have told us that they enjoy the features, value and choice that U-verse TV offers, and we know the Sacramento Valley will love it too.”

The expansion of AT&T U-verse services in California follows progressive legislation passed by the California Legislature and signed in September 2006 by Gov. Arnold Schwarzenegger.

Beginning today, where available, AT&T U-verse TV will offer Sacramento Valley customers:

* A compelling variety of TV packages with more than 320 channels to choose from, including digital music, local, movie and sports programming, as well as a premium Spanish-language package. Most programming packages include up to three HD-capable receivers — one with a digital video recorder (DVR) that allows customers to pause, rewind, replay and record live TV — at no extra charge. (Customers may add more receivers for $5 each a month.)
* More HD programming than the local cable provider. HD technology produces images more than twice as detailed as standard analog TV and delivers rich, realistic video and multi-channel, movie-theater-quality sound. AT&T U-verse TV offers customers access to a lineup of more than 26 HD channels, available in both 720p and 1080i formats, along with HD DVR capability. Access to HD service is $10 a month with any U-verse TV package.
* AT&T Yahoo! Web and Mobile Remote Access to DVR, which allows U-verse TV and Internet customers to schedule recordings from any Web-connected PC or compatible AT&T mobile phone (wireless service charges apply) using their AT&T Yahoo! account. These features are unique to AT&T among local video providers.
* The ability to record up to four programs at once using a DVR receiver. This capability is another exclusive feature unmatched in the marketplace.
* Built-in Picture-in-Picture functionality that allows subscribers to “channel surf” on any television without leaving the program they’re watching.
* Fast channel-changing, reducing the delay experienced with other digital video services.
* A growing Video on Demand (VOD) library with one-touch access to movies and events.
* The ability to search for programs using the title or an actor’s name to receive real-time, relevant results from upcoming linear or VOD programs.
* Easy-to-use parental controls to block live programs, recorded programs or videos by specific channel or ratings.
* Specially designed U-verse receivers, manufactured by Motorola, all of which are HD-capable and include universal remote controls that provide backlit buttons and one-touch access to VOD and other features.

AT&T plans to add more channels and interactive applications in the future.

Customers can choose from multiple combinations of TV and Internet packages to customize their entertainment experience. In addition to U100, U200 and the popular U300 and U400 packages, AT&T also offers U-family, a market-leading family-friendly programming option. Current AT&T U-verse TV offers start at $44 a month, depending on the selected programming and Internet packages (other monthly charges apply).

Now through Sept. 30, new customers can join AT&T U-verse and receive their choice of TV service for the first full month or one year of The Movie Package when they choose the U200 package or above, or customers who order a qualifying package online can receive both offers. Thereafter, customers will continue to receive regular recurring monthly discounts on their U-verse package when they subscribe to a bundle of TV and Internet services. AT&T is also offering new customers a 30-day money-back guarantee and free professional installation by an AT&T technician.

Three packages of AT&T Yahoo! High Speed Internet U-verse Enabled are featured for AT&T U-verse customers:

* Elite: Downstream up to 6.0 Mbps, upstream up to 1.0 Mbps.
* Pro: Downstream up to 3.0 Mbps, upstream up to 1.0 Mbps.
* Express: Downstream up to 1.5 Mbps, upstream up to 1.0 Mbps.

All high speed Internet packages offered as part of AT&T U-verse include wireless home-networking at no additional charge, giving users the freedom to access online photos, streaming video, games and other information using a wireless-enabled laptop or other device. Subscribers also receive virtually unlimited e-mail storage and powerful anti-virus and anti-spam software.

The deployment of next-generation video services reflects AT&T’s strategy to become customers’ preferred communications and entertainment provider and to deliver a video solution that provides greater value, flexibility and simplicity than competitors’ offerings. AT&T U-verse TV represents a critical new service in the company’s video portfolio, which includes AT&T HomezoneSM service and satellite broadcast offerings. AT&T U-verse TV also underscores the company’s strategy to deliver integrated services to the three screens that consumers value most: the TV, the PC and the wireless phone.

Customers seeking additional information on AT&T U-verse — or to find out if it’s available in their area — can visit uverse.att.com.