AT&T Mobility and Verizon Wireless Complete Wireless Asset Swap

AT&T Inc. (NYSE:T) today announced that AT&T Mobility and Consumer Markets has finalized its swap of wireless assets with Verizon Wireless, following regulatory approval from the FCC and Department of Justice.

Under the terms of the agreement, AT&T Mobility acquired some former Rural Cellular Corporation properties previously acquired by Verizon Wireless, including licenses, network assets and subscribers, in the Burlington, Vt. metropolitan service area and in rural service areas (RSAs) in New York (RSA-2), Vermont (RSA-1, RSA-2) and Washington (RSA-2, RSA-3). AT&T also acquired a cellular license from Verizon Wireless in portions of Kentucky RSA-6.

Also under terms of the agreement, Verizon Wireless acquired from AT&T Mobility some former Dobson Communications Corporation properties, including licenses, network assets and subscribers, in Kentucky RSA-6 and RSA-8. Verizon Wireless also acquired 10 MHz of PCS spectrum in a number of areas and received an additional cash consideration from AT&T Mobility. These transactions satisfy the divestiture requirements related to AT&T Mobility’s acquisition of Dobson last year.

The asset swap with Verizon Wireless extends AT&T Mobility’s coverage and services in New York, Vermont, Washington State and Kentucky. Consumers in those areas now have access to the wireless network with the best global coverage and to the nation’s premier lineup of innovative wireless and wireline products and services, including iPhone 3G. Customers who choose select smartphones — such as the BlackBerry^® Bold^TM, another AT&T Mobility exclusive — and AT&T LaptopConnect cards also enjoy free access to the nation’s largest Wi-Fi network.

This agreement was signed on Dec. 3, 2007, and received final regulatory approval on Dec. 18, 2008.

About AT&T

AT&T Inc. (NYSE:T) is a premier communications holding company. Its subsidiaries and affiliates, AT&T operating companies, are the providers of AT&T services in the United States and around the world. Among their offerings are the world's most advanced IP-based business communications services and the nation's leading wireless, high speed Internet access and voice services. In domestic markets, AT&T is known for the directory publishing and advertising sales leadership of its Yellow Pages and YELLOWPAGES.COM organizations, and the AT&T brand is licensed to innovators in such fields as communications equipment. As part of its three-screen integration strategy, AT&T is expanding its TV entertainment offerings. In 2008, AT&T again ranked No. 1 on Fortune magazine’s World’s Most Admired Telecommunications Company list and No. 1 on America’s Most Admired Telecommunications Company list. Additional information about AT&T Inc. and the products and services provided by AT&T subsidiaries and affiliates is available at http://www.att.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.

© 2008 AT&T Intellectual Property. All rights reserved. AT&T, the AT&T logo and all other marks contained herein are trademarks of AT&T Intellectual Property and/or AT&T affiliated companies. All other marks contained herein are the property of their respective owners.

Note: This AT&T news release and other announcements are available as part of an RSS feed at www.att.com/rss. For more information, please review this announcement in the AT&T newsroom at http://www.att.com/newsroom.