AT&T (T) 8-K Other Events

AT&T Inc.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES - PRO FORMA
For the Nine Months Ended September 30, 2006
($ in millions)
				Adjustments		Combined
		Historical	Historical	Consolidation		Pro Forma
		AT&T Inc.	BellSouth	of Cingular	Other	AT&T Inc.
Earnings:
	Income from continuing operations before income taxes	$       8,087	$          4,042	$                491	$     (2,428)	$        10,192
	Equity in net income of affiliates included above	(1,438)	(694)	1,741		(391)
	Fixed Charges	1,647	949	1,323	(346)	3,573
	Distributed income of equity affiliates	79	-			79
	Interest capitalized	(52)	(8)	(32)	-	(92)
	Earnings, as adjusted	$       8,323	$         4,289	$           3,523	$       (2,774)	$        13,361
Fixed Charges:
	Interest expense	$       1,378	$           �� 860	$               901	$          (346)	$          2,793
	Interest capitalized	52	8	32		92
	Dividends on preferred securities	2	-	-		2
	Portion of rental expense representative of interest factor	215	81	390		686
	Fixed Charges	$      1,647	$              949	$            1,323	$         (346)	$          3,573
	Ratio of Earnings to Fixed Charges	5.05	4.52	2.66		3.74