Final Distribution Ratio

RNS Number:8119F
AT & T Corp (IRS)
25 June 2001


For more information, contact:

Eileen M. Connolly 
908-221-6731 (office) 
[e-mail]

June Rochford 
908-221-8165 (office)
[e-mail]


        AT&T Sets Final Stock Distribution Ratio of AT&T Wireless


NEW YORK - AT&T today announced that the final distribution ratio of AT&T
Wireless shares to AT&T common shareowners, scheduled for July 9 2001, will be
on the basis of, 3218 of a share of AT&T Wireless for each AT&T share
outstanding. AT&T will distribute 1,136,258,587 shares of AT&T Wireless. AT&T
had 3,530,946,510 shares of AT&T common stock outstanding as of June 22, 2001.

As previously announced, AT&T's Board of Directors declared the special stock
dividend of AT&T Wireless stock to AT&T common shareowners of record on June 22,
2001, payable on July 9, 2001. Concurrent with the distribution, AT&T will also
redeem all AT&T Wireless tracking shares and convert the tracking shares into
AT&T Wireless common stock, on a one-for-one basis. The redemption is scheduled
for July 9, and the special stock dividend is payable concurrent with the
redemption.

In the distribution, AT&T common shareowners will receive whole shares of AT&T
Wireless common stock and cash payments for fractional shares. Previously, AT&T
received a ruling from the Internal Revenue Service that the dividend to common
shareowners and the redemption of the tracking stock qualifies as tax-free for
federal income tax purposes, except to the extent that cash is received instead
fractional shares.

The foregoing are "forward-looking statements" which we based on management's
beliefs as well as on a number of assumptions concerning future events made by
and information currently available to management.  Readers are cautioned not to
put undue reliance on such forward-looking statements, which are a guarantee of
performance and are subject to a number of uncertainties and other factors, many
of which are outside AT&T's control, that could cause actual results to differ
materially from such statements.  For a more detailed description of the factors
that could cause such a difference, please see AT&T's filings with the
Securities and Exchange Commission.  AT&T disclaims any intention or obligation
to update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise.  This information is presented solely
to provide additional information to further understand the results AT&T.