CHICAGO -- Responding to the new positive telecommunications environment in the state, today SBC (NYSE:SBC) made announcements of jobs, investment and consumer pricing to benefit Illinois customers. Joined by organized labor, the company announced an initiative in broadband deployment for residential and business consumers with an expected value of more than $90 million. The investment will bring broadband technology and lower-priced bundles of telecommunications services to more than 815,000 additional homes and businesses, making DSL available to 4.4 million residential and business customers in the SBC Illinois service territory.

SBC officials also announced the company will save approximately 500 jobs this year that previously had been slated to be eliminated, due to the improved investment environment in the state and said it would avoid any additional layoffs in Illinois for at least the next 12 months.

"The Illinois legislature and the governor have created a policy that promotes jobs, investment and which benefits consumers," said Joe Walkoviak, president and chief executive officer of SBC Midwest. "Given that environment, we are taking the extraordinary step of committing to no new Illinois layoffs for at least 12 months. This is a significant commitment for any business to make in this tough economy - particularly in the telecom sector which has been hard-hit."

The plan expands DSL capability to 67 new communities and expands service in 103 cities and towns where SBC already makes DSL available. Combined with the current level of deployment, the SBC broadband expansion will make DSL Internet access service available to 77 percent of homes and businesses throughout SBC Illinois territory, up from 62 percent.

When the SBC investment in the new broadband network is complete, within the next 12 to 18 months, more than three out of four residential and business customers in SBC Illinois' service territory will have access to the technology.

"The legislation passed in Springfield has had a very real and immediate impact on workers in Illinois," said Ron Kastner, president, IBEW Local 21. "We feel the new environment has allowed our union and SBC to make significant headway on some of our goals."

In addition to making DSL Internet access available to more Illinois consumers, the SBC family of companies is making it more affordable, offering service for just $29.95 per month with a one-year term commitment when purchased with a qualifying voice service package. DSL Internet service retails for $49.95 per month. Customers also receive a free modem after instant rebate and waived activation fee, valued at $149. For qualifying SBC Illinois customers who would like DSL Internet service but do not yet have availability, the company is offering dial Internet access for just $9.95 per month, beginning June 1. Dial service retails for $21.95 per month. Once DSL Internet access service becomes available, dial customers will then be able to upgrade.

Additionally, SBC companies are reducing the cost of some of its most popular consumer calling packages, a move expected to save consumers more than $7 million annually, and introducing a compelling new package of unlimited local and nationwide wireless calling for just $48.95 a month.

"Today's announcement, coupled with last week's price reductions, is very exciting for Illinois consumers and businesses," said Carrie Hightman, president of SBC Illinois. "And the best is yet to come, as consumers can expect additional value once SBC is able to offer long distance service in Illinois."

SBC Communications Inc.