SBC Plans Price Cuts

SAN ANTONIO -- SBC Communications Inc. (NYSE:SBC - News) today introduced two key enhancements to its small business telecommunications portfolio that significantly changes the pricing of critical wireline and wireless services - enabling many businesses to take advantage of the latest telecommunications services at prices that are more affordable than ever before.

The company today announced the region-wide launch of a new service package called "Business Unlimited," featuring an access line, unlimited local and long distance calling, and popular call management features, all for $58.99, and on one convenient monthly bill. Additional small business calling options are available, including a monthly $20 unlimited SBC Long Distance calling plan (per line) with the purchase of a qualifying SBC local package, giving small businesses flexibility to choose the telecommunications services and plans that best meet their specific business needs.

"It is important that telecommunications providers offer services and plans that can meet the unique needs of small businesses," said Mike Lauricella, Yankee Group program manager, small and medium business communications. "Flat rate offerings provide a compelling option for many small businesses that are looking for more stability and increased savings in their telecommunications budgets."

Additionally, in mid-July, SBC companies will offer even greater savings for new Cingular subscribers who choose to jointly bill their new wireless plan with their SBC Connections package. SBC Connections service packages with Cingular wireless plans will include a 20-percent discount off monthly access charges, double the current discount of 10 percent off Home Plans and four times the existing discount of 5 percent off Nation Plans. The Cingular discount will be available for new Cingular customers in the SBC West, Southwest and Midwest regions who choose to jointly bill their wireless and wireline services.

The new offerings are substantial enhancements to the company's ongoing strategy to gain and retain customers in the highly competitive small business market.

"Small businesses need great values, particularly in this down economy, but they also need cost certainty - the ability to plan monthly expenses and minimize surprises," said Ray Wilkins, president, SBC Marketing and Sales. "We are absolutely committed to delivering service options and pricing that enable small businesses to use the latest telecommunications services to maximum competitive advantage. These new long distance and wireless offers are the latest examples of that commitment, and of our unique positioning in the industry to deliver cost-effective, efficient and complete solutions to meet nearly any business need."

SBC Business Unlimited

The SBC Business Unlimited plan is for small businesses with five or fewer phone lines. The fixed monthly cost per line of $58.99 includes an access line, unlimited local and long distance calling, and three or more popular call management features (features package varies depending on market). A similar unlimited local and long distance calling package with a hunting series access line also is available. After the first line, additional lines can be added for $43.99 for unlimited local and long distance calling.

The certainty of a fixed monthly rate, one of the key features of the new calling plan, will help small business owners better manage their telecommunications budgets, especially in a down economy. Additionally, many small businesses may be able to significantly reduce their monthly phone bills with Business Unlimited, and by subscribing, customers will qualify for compelling discounts on a variety of other SBC Connections communications services that can help them boost productivity, further trim expenses and level the competitive playing field.

SBC Long Distance also is offering flexible options for small businesses, including a monthly $20 unlimited long distance calling plan per line with the purchase of a qualifying local service package.

SBC Business Unlimited and unlimited long distance options were launched today in Texas, Oklahoma, Arkansas and Kansas, and similar plans were launched in California and Nevada last month. Availability in Missouri is planned for later this month.

SBC Connections Cingular Wireless Offerings

The new, deeper discount for SBC Connections Cingular wireless offerings is another key enhancement to the company's ongoing strategy to deliver service packages designed with the flexibility to meet the specific telecommunications needs of smaller companies, ranging from one to 50 employees or more, while at the same time offering significant savings, a single bill for all telecom services, and improved, personalized customer service and support from a single point of contact.

"For nearly any business today, wireless is a critical part of the telecommunications mix," Wilkins said. "Our strong affiliation with Cingular enables us to serve as a single point of contact for service packages that meet every element of telecommunications need - at compelling discounted prices. Our new package discounts for wireless plans build on this strength."

The new wireless offerings are part of an overall effort to maximize collaboration and integration between SBC companies and Cingular, the nation's No. 2 largest wireless carrier in which SBC owns 60 percent. The companies also have initiated joint sales and planning activities in several major cities to best serve larger enterprise customers. This fully integrated sales approach is designed to provide customers with a highly efficient, unified resource for wireless services as well as wireline voice and data offerings.

Company and third-party research has shown that a majority of businesses - small, medium and large - are looking for wireless voice services that are bundled with other telecommunications services, with a single point of contact.

SBC Communications Inc.

Cingular Wireless