[SBC LOGO]                                                          NEWS RELEASE

Contact:
Selim Bingol
Tel: 210-351-3991
Email: BINGOLS@CORP.SBC.COM
Pager: 800-517-7022

                        SBC ANNOUNCES NEGOTIATIONS WITH
                           PRODIGY SPECIAL COMMITTEE

     San Antonio (October 15, 2001) -- SBC Communications Inc. announced today
that it is negotiating with a Special Committee of the Board of Directors of
Prodigy Communications Corporation regarding a possible increase in the price
being offered for the Prodigy Class A Common Stock.

     On October 2, 2001, SBC announced a $5.45 per share cash tender offer for
the Prodigy Class A Common Stock. As described in today's filing with the
Securities and Exchange Commission on Schedule TO, SBC and the Special Committee
are in discussions about a negotiated transaction with the Special Committee,
which has informally suggested a tender price of $6.55. SBC has indicated the
possibility of increasing the offer price to the $6.00 to $6.25 range.
Discussions remain subject to resolution of significant issues, and there is no
assurance that any agreement will be reached or that SBC will make any change to
its tender offer.

                                     # # #

     SBC COMMUNICATIONS INC. (WWW.SBC.COM) IS A GLOBAL COMMUNICATIONS LEADER.
THROUGH ITS SUBSIDIARIES' TRUSTED BRANDS -- SBC SOUTHWESTERN BELL, SBC
AMERITECH, SBC PACIFIC BELL, SBC NEVADA BELL AND SBC SNET -- AND WORLD-CLASS
NETWORK, SBC COMPANIES PROVIDE A FULL RANGE OF VOICE, DATA, NETWORKING AND
E-BUSINESS SERVICES, INCLUDING LOCAL AND LONG-DISTANCE, HIGH-SPEED INTERNET
ACCESS AND DATA TRANSPORT, NETWORK INTEGRATION, SOFTWARE AND PROCESS
INTEGRATION, WEB SITE AND APPLICATION HOSTING, E-MARKETPLACE DEVELOPMENT, PAGING
AND MESSAGING, AS WELL AS DIRECTORY ADVERTISING AND PUBLISHING. AMERICA'S
LEADING PROVIDER OF HIGH-SPEED DSL INTERNET SERVICE, SBC COMPANIES CURRENTLY
HAVE 61.3 MILLION ACCESS LINES NATIONWIDE. SBC HAS A 60 PERCENT EQUITY INTEREST
IN CINGULAR WIRELESS, ITS JOINT VENTURE WITH BELLSOUTH, WHICH SERVES MORE THAN
20 MILLION WIRELESS CUSTOMERS. INTERNATIONALLY, SBC HAS TELECOMMUNICATIONS
INVESTMENTS IN 28 COUNTRIES AND HAS ANNUAL REVENUES THAT RANK IT AMONG THE
LARGEST FORTUNE 500 COMPANIES.