NEWS RELEASE

LOCAL INSIGHT REGATTA HOLDINGS TO ACQUIRE THE BERRY COMPANY’S INDEPENDENT LINE OF BUSINESS FROM AT&T

ENGLEWOOD, Colo. and SAN ANTONIO, Texas – Feb. 4, 2008 – AT&T and Local Insight Regatta Holdings, Inc. today announced the execution of a definitive agreement for Local Insight to acquire the assets of The Berry Company’s Independent Line of Business (ILOB) from L.M. Berry and Company, a subsidiary of AT&T Inc.

The transaction will combine two industry-leading organizations responsible for selling, producing and distributing nearly 700 print and online directories in North America. In connection with the transaction, Local Insight Regatta Holdings will also become an authorized reseller of advertising for AT&T’s YELLOWPAGES.COM Network, a leading Internet Yellow Pages and local search site.

The ILOB provides an integrated array of directory services, including sales, marketing and sales support and ad design and composition services, to more than 80 Yellow Pages publishers throughout the country, including ACS Media, CBD Media and HYP Media. ILOB customers can expect a continued commitment to the highest levels of service throughout the transition period and under Local Insight ownership.  

“We have the opportunity to formally combine Local Insight’s strategy and entrepreneurial approach with the ILOB’s high-performing sales channel, and we can leverage significant opportunities for greater innovation and optimization across our growing platform,” said Scott Pomeroy, director of Local Insight Regatta Holdings. “Together, we can offer our customers expanded advertising solutions, transforming our role from a print directory publisher to a local search innovator.”

“This sale will enable AT&T to enhance our focus on a key asset — our 1,250 company-owned and operated AT&T Real Yellow Pages directories,” said Frank Jules, president and CEO of AT&T Advertising & Publishing . “This deal makes strategic and financial sense for AT&T. Our core strategy and commitment to advertisers remain unchanged. The addition of Local Insight to AT&T’s YELLOWPAGES.COM distribution and sales channel will also expand our ability to reach advertisers and enhance the site’s content.”

AT&T will retain its L.M. Berry South Central Area line of business, which manages AT&T’s directory business in a five-state region (Alabama, Kentucky, Louisiana, Mississippi and Tennessee), and Berry Network Inc., the nation’s second-largest certified marketing representative unit, which places print and Internet directory advertising for national businesses.

Local Insight Regatta Holdings has agreed to offer employment to ILOB employees affected by the sale. The transaction is expected to close in the first half of 2008, subject to regulatory approvals and other customary closing conditions, and is expected to have minimal impact on AT&T's results, including earnings per share.

About Local Insight Regatta Holdings

Local Insight Regatta Holdings, Inc. is the parent of Local Insight Yellow Pages, Inc., the seventh largest yellow pages publisher in the United States. Local Insight Yellow Pages is a leading publisher of print and online directories in rural and certain suburban markets in 35 states located primarily in the Eastern, Midwestern and Southern United States. Local Insight Yellow Pages is the exclusive, “official” publisher of print and online directories for Windstream Corporation, the fifth largest telephone company in the United States.

Local Insight Yellow Pages is a portfolio company of Welsh, Carson, Anderson & Stowe (“WCAS”), which is one of the largest and most successful private equity investment firms in the United States. Since its founding in 1979, WCAS has organized 14 limited partnerships with total capital of over $16 billion.  

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. 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 .

About YELLOWPAGES.COM
YELLOWPAGES.COM LLC is a subsidiary of AT&T Inc. Formed in late 2004, the company operates a leading IYP and local search site, YELLOWPAGES.COM.

For Local Insight Regatta Holdings:

Media Contact:

Pat Nichols
(303) 867-1651

General Counsel:

John Fischer
(303) 867-1608

For AT&T Inc.

Michael Coe
(212) 453-2198
mcoe@attnews.us

Bob Mueller
(314) 242-8824
robert.mueller@att.com

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