-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, K6TY/50HMwoMdKjQIYW7e1nyJ1BpGflK5AtkY9WXirY4pbon0d0EACfn4BlgiJCE jQ1fXceTbuERo7Rx5tv5mg== 0000005907-94-000015.txt : 19940427 0000005907-94-000015.hdr.sgml : 19940427 ACCESSION NUMBER: 0000005907-94-000015 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19931231 FILED AS OF DATE: 19940426 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AT&T CORP CENTRAL INDEX KEY: 0000005907 STANDARD INDUSTRIAL CLASSIFICATION: 4813 IRS NUMBER: 134924710 STATE OF INCORPORATION: NY FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 11-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-01105 FILM NUMBER: 94524378 BUSINESS ADDRESS: STREET 1: 32 AVENUE OF THE AMERICAS CITY: NEW YORK STATE: NY ZIP: 100132412 BUSINESS PHONE: 2126055500 FORMER COMPANY: FORMER CONFORMED NAME: AMERICAN TELEPHONE & TELEGRAPH CO DATE OF NAME CHANGE: 19920703 11-K 1 AT&T CORP. 11-K SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 11-K Annual Report Pursuant to Section 15(d) of the Securities Exchange Act of 1934 (Mark One) X Annual report pursuant to Section 15(d) of the -- Securities Exchange Act of 1934 (Fee Required) For the fiscal year ended December 31, 1993 OR -- Transition report pursuant to Section 15(d) of the Securities Exchange Act of 1934 (No Fee Required) For the transition period from ____________ to ____________ Commission file number 1-1105 _______ A. Full title of the plan and the address of the plan, if different from that of the issuer named below: AT&T Global Information Solutions Company Savings Plan (Formerly the NCR Corporation Savings Plan) B. Name of issuer of the securities held pursuant to the plan and the address of its principal executive office: AT&T Corp. 32 Avenue of the Americas, New York, NY 10013-2412
AT&T GLOBAL INFORMATION SOLUTIONS COMPANY SAVINGS PLAN STATEMENT OF NET ASSETS AVAILABLE FOR PLAN BENEFITS As of ----------------------------------- 12/12/93 12/31/92 11/30/92 -------- -------- -------- Assets: Investments at fair market value (Notes 4 & 5) Very Conservative Strategy $ 19,775,745 $ 16,367,862 $ 16,858,860 Conservative Strategy 92,771,033 76,601,519 75,992,695 Moderately Cautious Strategy 61,287,734 48,005,778 46,993,500 Moderate Strategy 67,207,986 47,951,612 46,758,379 Moderately Aggressive Strategy 54,067,624 37,607,156 36,663,623 Aggressive Strategy 245,770,225 155,803,215 152,188,746 AT&T Stock Fund 158,570,796 75,552,736 67,050,358 Executive Life Separate Account 4,918,674 3,721,373 3,721,373 Short-term investments 1,064,340 392,000 392,000 ------------ ----------- ----------- Total investments: 705,434,157 462,003,251 446,619,534 Interest and dividends receivable 1,059,740 951,343 460,450 Other receivables 0 0 19,120 Cash 10,492 9,041 930 Loans to participants (Note 1) 18,222,306 0 0 ------------ ----------- ----------- Total assets 724,726,695 462,963,635 447,100,034 ------------ ----------- ----------- Liabilities: Accounts payable 495,145 793,557 900,518 Other Liabilities 12,688 286,547 236,880 ------------ ----------- ----------- Total Liabilities 507,833 1,080,104 1,137,398 Net assets available for Plan Benefits $724,218,862 $461,883,531 $445,962,636 ============ ============ ============ The accompanying notes are an integral part of these financial statements.
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AT&T Global Information Solutions Company Savings Plan Statement of Changes in Net Assets Available for Plan Benefits For the Year Ended December 31, 1993 Very Moderately Moderately Conservative Conservative Cautious Moderate Aggressive Aggressive AT&T Stock Short-Term Executive Loans to Strategy Strategy Strategy Strategy Strategy Strategy Fund Fund Life Participants Total ----------- ----------- --------- -------- ---------- ---------- ---------- ----------- --------- ------------ ----- Additions: Contributions: Company 1,888,372 4,287,121 3,408,091 4,122,617 3,633,461 12,400,975 6,289,461 0 0 0 36,030,098 Forfeitures 161,383 (39,671) (12,544) (18,972) (21,809) (42,404) (19,338) (318,998) 0 0 (312,353) Participants 3,398,392 7,541,004 6,007,400 7,364,625 6,694,484 23,050,097 11,824,727 0 0 0 65,880,729 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- --------- ---------- ----------- 5,448,147 11,788,454 9,402,947 11,468,270 10,306,136 35,408,668 18,094,850 (318,998) 0 0 101,598,474 ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- --------- ---------- ----------- Investment income: Interest 587,854 4,667,270 107,208 25,254 49,788 125,237 127,999 990,346 0 0 6,680,956 Dividends 0 0 0 0 0 18,047,319 3,104,622 0 0 0 21,151,941 Net investment gain/(loss) from common/collective trusts 0 1,462,460 4,649,856 5,885,489 5,562,778 20,945,136 (11,135,015) 0 0 0 27,370,704 --------- ---------- ---------- ---------- ---------- ---------- ----------- ----------- --------- ---------- ----------- 587,854 6,129,730 4,757,064 5,910,743 5,612,566 39,117,692 (7,902,394) 990,346 0 0 55,203,601 --------- ---------- ---------- ---------- ---------- ---------- ---------- ----------- --------- ---------- ----------- Deductions: Benefit payments (1,927,331) (6,624,014)(3,134,204)(2,907,653)(2,616,495) (8,251,158) (5,510,684) 2,897 0 0 (30,968,642) Investment Management Fees (80,105) (63,725) (75,448) (141,252) (62,212) (172,640) (15,020) 0 0 0 (610,402) ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- --------- ---------- ----------- (2,007,436) (6,687,739)(3,209,652)(3,048,905)(2,678,707) (8,423,798) (5,525,704) 2,897 0 0 (31,579,044) ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- --------- ---------- ----------- -3-
AT&T Global Information Solutions Company Savings Plan Statement of Changes in Net Assets Available for Benefits For the Year Ended December 31, 1993 (CONT'D) Very Moderately Moderately Conservative Conservative Cautious Moderate Aggressive Aggressive AT&T Stock Short-Term Executive Loans to Strategy Strategy Strategy Strategy Strategy Strategy Fund Fund Life Participants Total ----------- ----------- --------- -------- ---------- ---------- ---------- ----------- --------- ------------ ----- Transfers and Mergers: Interaccount transfers & loan activity (2,610,475) (12,022,247)(5,603,584)(3,291,476)(2,133,844) (2,120,212) 10,569,316 0 0 17,182,136 (30,386) Net transfers from (to) AT&T affiliate plans 270,466 79,506 163,101 354,658 220,098 334,199 2,084,125 0 0 0 3,506,153 Merger of PAYSOP & Profit Sharing Plan 1,696,127 16,435,210 7,765,020 7,805,526 5,109,295 25,597,612 66,990,272 0 1,197,301 1,040,170 133,636,533 --------- ---------- ---------- ---------- ---------- ----------- ----------- ---------- --------- ---------- ----------- (643,882) 4,492,469 2,324,537 4,868,708 3,195,549 23,811,599 79,643,713 0 1,197,301 18,222,306 137,112,300 --------- ---------- ---------- ---------- ---------- ----------- ----------- ---------- --------- ---------- ----------- Net increase(decrease) 3,384,683 15,722,914 13,274,896 19,198,816 16,435,544 89,914,161 84,310,465 674,245 1,197,301 18,222,306 262,335,331 Net assets available for Plan benefits: Beginning of Year 16,360,441 76,998,198 47,979,482 47,889,243 37,582,749 155,768,978 75,187,630 395,437 3,721,373 0 461,883,531 ---------- ---------- ---------- ---------- ---------- ----------- ----------- ---------- --------- ---------- ----------- End of year 19,745,124 92,721,112 61,254,378 67,088,059 54,018,293 245,683,139 159,498,095 1,069,682 4,918,674 18,222,306 724,218,862 ========== ========== ========== ========== ========== =========== =========== ========== ========= ========== =========== The accompanying notes are an integral part of these financial statements. -3A-
AT&T Global Information Solutions Company Savings Plan Statement of Changes in Net Assets Available for Plan Benefits For the Month Ended December 31, 1992 Very Moderately Moderately Conservative Conservative Cautious Moderate Aggressive Aggressive AT&T Stock Short-Term Executive Strategy Strategy Strategy Strategy Strategy Strategy Fund Fund Life Total ----------- ----------- --------- -------- ---------- ---------- ---------- ----------- --------- ------ Additions: Contributions: Company 139,373 309,163 232,394 270,071 251,651 808,038 335,440 0 0 2,346,130 Participant 291,571 663,659 486,331 574,745 556,524 1,798,482 735,093 0 0 5,106,405 ----------- --------- -------- -------- ---------- ---------- ---------- ------- --------- ---------- 430,944 972,822 718,725 844,816 808,175 2,606,520 1,070,533 0 0 7,452,535 Investment income: Interest 46,936 424,551 6,824 0 1,152 8 3,918 2,353 0 485,742 Dividends 0 0 0 0 0 10,678,935 473,980 0 0 11,152,915 Net investment gain/(loss) from common/collective trusts 0 141,414 666,600 518,533 427,740 (7,974,901) 5,501,821 0 0 (718,793) ----------- --------- ------- ------- -------- ---------- ---------- ------- --------- ---------- 46,936 565,965 673,424 518,533 428,892 2,704,042 5,979,719 2,353 0 10,919,864 ----------- --------- ------- ------- -------- ---------- ---------- ------- --------- ---------- Deductions: Benefit payments (191,431) (688,529) (191,056) (253,002) (220,465) (620,510) (325,729) 0 0 (2,490,722) Investment Management Fees (6,323) (3,703) (5,627) (10,430) (4,395) (11,798) (6,027) 0 0 (48,303) ----------- --------- -------- ------- -------- ---------- ---------- ------- --------- ---------- (197,754) 692,232) (196,683) (263,432) (224,860) (632,308) (331,756) 0 0 (2,539,025) ----------- --------- -------- ------- -------- ---------- ---------- ------- --------- ---------- Transfers and Mergers: Interaccount transfers (776,529) (225,608) (182,050) 67,024 (71,981) (1,075,632) 2,355,172 (2,875) 0 87,521 ----------- --------- --------- ------- -------- ---------- ---------- ------- --------- --------- Net increase(decrease) (496,403) 620,947 1,013,416 1,166,941 940,226 3,602,622 9,073,668 (522) 0 15,920,895 Net assets available for Plan benefits: November 30, 1992 16,856,844 76,377,251 46,966,066 46,722,302 36,642,523 152,166,356 66,113,962 395,959 0 445,962,636 ----------- ---------- ---------- ---------- ---------- ----------- ---------- ------- --------- ----------- December 31, 1992 16,360,441 76,998,198 47,979,482 47,889,243 37,582,749 155,768,978 75,187,630 395,437 0 461,883,531 =========== ========== ========== ========== ========== =========== ========== ======= ========= =========== The accompanying notes are an integral part of this financial statement.
-4- AT&T GLOBAL INFORMATION SOLUTIONS COMPANY SAVINGS PLAN NOTES TO THE FINANCIAL STATEMENTS NOTE 1 - DESCRIPTION OF THE PLAN The AT&T Global Information Solutions Company Savings Plan (referred to as the Plan, and known until January 26, 1994 as The NCR Corporation Savings Plan) was established effective May 1, 1985 by AT&T Global Information Solutions Company (referred to as the Company, formerly known as NCR Corporation) to give the Company's employees more control over, and participation in, the accumulation of capital for their retirement. The Plan is designed to qualify as a profit-sharing plan with a qualified cash or deferred arrangement under Section 401(k) of the Internal Revenue Code of 1986, as amended (the Code). It is subject to the provisions of the Employee Retirement Income Security Act of 1974, as amended (ERISA). Effective December 31, 1992, the Plan year was changed from a fiscal year ending November 30 to a calendar year. This change created a short plan year, December 1, 1992 through December 31, 1993. Through August 30, 1993, the assets of the Plan were commingled in a master trust with the assets of two other AT&T Global Information Solutions Company defined contribution plans; the Employee Profit Sharing Plan and the Employee Stock Ownership Plan. Effective August 30, 1993, the Employee Profit Sharing Plan and the Employee Stock Ownership Plan were merged into the Plan thereby eliminating the master trust. The Plan offers all U.S. employees (other than certain categories of part- time, temporary, and intern employees) of the Company and its domestic subsid- iaries not covered by a collective bargaining agreement who have at least one year of eligibility service the opportunity to defer a portion of their com- pensation by making tax-deferred contributions, as well as after-tax contribu- tions. For purposes of the Plan, an employee has accumulated one year of eligibility service after completing 1,000 hours in a 12 consecutive month period beginning on the first day of employment or any anniversary date. Contributions are made to the Plan by the Company on behalf of each partici- pant based upon the participant's elected compensation deferral. Funds held in the Plan are held in an independent trust (the Trust). Participants may elect to contribute up to ten percent of their eligible compensation; however, tax-deferred contributions are limited to six percent of compensation. For each dollar contributed by a participant up to six percent of compensation, the Company contributes an additional amount. Annual tax-deferred contributions for the 1993 plan year are limited to $8,994. The Company's matching contributions are seventy-five percent of the first three percent of pay contributed by a participant, whether on a tax- deferred or after-tax basis. The Company's matching contributions on the next three percent of pay contributed may increase from twenty-five percent to as much as seventy-five percent, depending on the performance of the Company. All participant contributions are fully vested when made. Company match con- tributions vest in increments of one-third each year, over a three-year period beginning at the end of the calendar year following the year in which the relevant Company match contributions is made. Effective January 1, 1989, participants also become fully vested in all Company match contributions upon completion of five years of service. In addition, a participant becomes fully vested in his account (i) upon attainment of age 65, (ii) upon retirement, (iii) upon termination of employment due to a "reduction in force," (iv) in -5- the event of death, (v) in the event of total and permanent disability, or (vi) in the event of a "change in control" of the Company. Upon termination of employment, a participant is entitled to full distribution of his or her contributions and all vested Company match contributions; all non-vested Com- pany match contributions will be forfeited. These forfeitures are used to reduce future Company contributions. Under the terms of the Plan, a change in control occurred on September 13, 1991, when the Company's shareholders ap- proved the merger of the Company and the American Telephone and Telegraph Company (AT&T), and all participants in the Plan on that date are vested in their Company match contributions. A participant may withdraw any employee tax-deferred contributions during his/her employment in the case of a "hardship" (as defined in the Plan); a participant may withdraw after-tax employee contributions for any reason. The participant may not withdraw any Company match contributions or any earnings on Company match or employee contributions until s/he terminates employment with the Company. In August 1993, a loan provision was incorporated into the Plan, allowing participants to borrow from the Plan; limited by restrictions set forth in the Plan document. A fixed interest rate will be applied to the loan based on the prime rate (as reported by the "Wall Street Journal") in effect on the 20th business day of the month prior to the month of the transaction. Upon de- fault, participants are considered to have received a distribution and are subject to income taxes on the distribution amount. It is the present intention of the Company to continue the Plan indefinitely. However, the Company reserves the right to terminate this Plan at any time by action of the board of directors. No amendment or termination of the Plan may adversely affect a participant's accrued benefit on the date of the amendment or termination. No amendment may change the requirement that the assets of the Trust must be used for the exclusive benefit of the participants, the former participants, and the beneficiaries. Upon termination of the Plan, the Company may, at its option, continue the Trust in existence or cause the Trust to be liquidated. If the Trust is liq- uidated, distributions will be made to the various participants, former par- ticipants and beneficiaries in a single lump sum promptly after liquidation is effective. If the Trust is not liquidated, distributions will be made to the various participants when they cease employment. For a complete description of the Plan, participants should refer to the Plan Prospectus. NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The financial statements are prepared on the accrual basis of accounting with the investments being carried at fair market value. Each investment Strategy and the AT&T Common Stock Fund are valued on the basis of units. One unit represents partial ownership in the investment op- tion in which the participant is invested. The value of a unit on any given valuation date is based on the unit's net asset value or worth that day which is calculated by taking the aggregate closing quoted market value of all of the assets of the Strategy or AT&T Common Stock Fund, including cash, sub- tracting liabilities (such as expenses), and then dividing this total net asset value by the number of units outstanding. Guaranteed Investment Con- tracts within the Conservative Strategy are recorded at contract value. -6- All initial and ongoing administrative costs of the Plan are paid by the Com- pany except for a $50 participant loan application fee, the brokerage and commissions which are included in the cost of investments when purchased and in determining net proceeds on sales of investments, and investment management fees which will be paid from the respective assets of the investment strategies or AT&T Common Stock (described in Note 4). NOTE 3 - TAXES The Company received a favorable determination letter on August 6, 1985 from the Internal Revenue Service as to the qualified status of the Plan under Sections 401 and 501 of the Code. The Plan has since been amended. However, the Plan, as amended, is currently designed and operated to be in compliance with the applicable requirements of the Code, and the Company intends to make any additional amendments required by the IRS to ensure continued compliance and apply for an updated determination letter when appropriate. Therefore, Plan management believes that the Plan was qualified and the related Trust was tax exempt at the financial statements dates. Therefore, income taxes are not provided for in the accompanying financial statements. Participants' contributions, except for those contributions which participants elect to be tax-deferred under Section 401(k), are taxable to the participants in the year their contributions are made. Participants are liable for federal income taxes relative to their Section 401(k) contributions, the Company match contributions, and the earnings of the Plan when the contributions are distributed to them. NOTE 4 - DESCRIPTION OF INVESTMENT FUNDS The investment funds offered under the Plan include the AT&T Common Stock Fund (Stock Fund) and the following six investment Strategies. The minimum contribution to the Stock Fund or any Strategy is ten percent. THE AT&T COMMON STOCK FUND, managed by Fidelity Investments, is invested almost entirely in shares of common stock of American Telephone and Telegraph Company ("AT&T"). Portions of the Fund may be invested in short-term obligations and money market instruments for administrative purposes. Investments in the fund are measured in units and not shares of stock. Each unit represents a proportionate interest in all assets of the Fund. THE VERY CONSERVATIVE STRATEGY, managed by Fidelity Investments, is a portfolio almost entirely of obligations issued or guaranteed as to principal and interest by the U.S. Government or its agencies and in repurchase agreements secured by these obligations. THE CONSERVATIVE STRATEGY, managed by Fidelity Investments, consists largely of investment contracts issued by insurance companies and banks. The remainder of the portfolio is invested in fixed income securities. Investments include the Fidelity Managed Investment Contract Portfolio, the Fidelity Short Duration Diversified Portfolio, and units of a money market portfolio. THE MODERATELY CAUTIOUS STRATEGY, managed by Wells Fargo Nikko Investments, consists of a broad range of investment grade, interest-bearing securities issued by the U.S. Government and its agencies, and by corporations. In addition, a portion of the portfolio will be invested in U.S. common stocks and in the Standard & Poor's Composite Index 500 stocks. Investments include the Wells Fargo U.S. Debt Index Fund, Wells Fargo Equity Index Fund, and the Wells Fargo Money Market Fund. -7- THE MODERATE STRATEGY, managed by Fidelity Investments, is invested forty to sixty percent in common stocks publicly traded in the U.S., with the remainder invested in a broad range of investment grade, fixed income securities. Investments include the Fidelity Select Equity Portfolio, Fidelity Broad Market Duration Portfolio, and Fidelity U.S. Equity Index Commingled Pool. THE MODERATELY AGGRESSIVE STRATEGY, managed by Wells Fargo Nikko Investments, is invested between sixty and eighty percent in U.S. and international common stocks. The remainder of the strategy's portfolio consists of a broad range of investment grade, interest-bearing securities issued by the U.S. Government and its agencies, and by corporations. Investments include the Wells Fargo Equity Index Fund, Wells Fargo U.S. Debt Index Fund, and the Wells Fargo EAFE Equity Index Fund. THE AGGRESSIVE STRATEGY, managed by Fidelity Investments, is invested primarily in common stock diversified across sectors of domestic and foreign markets. Investments include the Fidelity Magellan Fund, Fidelity Select Equity Portfolio, and the Fidelity Select International Equity Portfolio. The approximate number of participants in the AT&T Common Stock Fund and the six investment Strategies was: December 31, December 31, November 30, 1993 1992 1992 ------------ ------------ ------------ AT&T Common Stock Fund 19,808 17,586 8,609 Very Conservative Strategy 6,370 7,295 3,530 Conservative Strategy 11,860 11,951 8,579 Moderately Cautious Strategy 6,709 7,019 6,649 Moderate Strategy 8,116 8,846 7,542 Moderately Aggressive Strategy 6,692 6,459 6,352 Aggressive Strategy 15,188 13,831 13,239 The Executive Life contract represents a separate account whose balance was frozen as of April 1991. Executive Life's parent, First Executive Corporation, has filed for Chapter 11 bankruptcy. Participants cannot withdraw or transfer the segregated amount from their accounts until the court supervised reorganization of Executive Life has sufficiently progressed. During 1993, the Company initiated actions to "unfreeze" the employee balances sometime in 1994. The Department of Labor has given approval for the Company to make a loan to the plan to enable participants to withdraw or transfer the amounts invested in the Executive Life contract. The loan will be in an amount necessary to liquidate the assets invested in the contract, including earnings at a reasonable interest rate through the date of the loan payment to the Plan. The loan will be forgiven to the extent the ultimate recovery on the contract is less than the amount of the loan. The loan will occur once final approval has been obtained from the IRS. Beginning in January of 1994, the Plan will expand the investment options available to participants by adding a Mutual Fund Window. The Mutual Fund Window will offer a choice of the following retail mutual funds: Columbia Fixed Income Securities Fund, Fidelity Balanced Fund, Fidelity Growth and Income Fund, Fidelity Contrafund, Templeton Foreign Fund and Twentieth Century Ultra Investors Fund. -8-
AT&T GLOBAL INFORMATION SOLUTIONS COMPANY SAVINGS PLAN ASSETS HELD FOR INVESTMENT Note 4 - Description of Investment Fund, continued December 31, 1993 December 31, 1992 November 30, 1992 ----------------- ----------------- ----------------- Fair Market Fair Market Fair Market Cost Value Cost Value Cost Value ---- ----------- ---- ----------- ---- ------------ Very Conservative $ 19,775,745 $ 19,775,745 $ 16,367,862 $ 16,367,862 $ 16,858,860 $ 16,858,860 (19,775,745 units at $1.00) (16,367,862 units at $1.00) (16,858,860 units at $1.00) Conservative Strategy 90,747,008 92,771,033 76,252,897 76,601,519 75,785,861 75,992,695 (8,060,037.62 units at $11.51) (7,145,664.09 units at $10.72) (7,142,170.58 units at $10.64) Moderately Cautious Strategy 52,875,443 61,287,734 44,463,576 48,005,778 44,112,262 46,993,500 (4,362,116.30 units at $14.05) (3,738,767.76 units at $12.84) (3,711,966.82 units at $12.66) Moderate Strategy 57,676,484 67,207,986 44,474,958 47,951,612 43,787,649 46,758,379 (4,017,213.75 units at $16.73) (3,184,037.98 units at $15.06) (3,138,146.24 units at $14.90) Moderately Aggressive Strategy 46,322,521 54,067,624 35,432,961 37,607,156 34,921,820 36,663,623 (2,877,468.02 units at $18,79) (2,281,987.62 units at $16.48) (2,249,302.02 units at $16.30) Aggressive Strategy 233,842,163 245,770,225 166,870,308 155,803,215 155,383,894 152,188,746 (10,444,973.44 units at $23.53) (8,208,810.06 units at $18.98) (8,160,254.48 units at $18.65) AT&T Stock Fund 135,779,687 158,570,796 61,521,791 75,552,736 57,173,045 67,050,358 (5,649,119.91 units at $28.07) (2,834,999.48 units at $26.65) (2,737,866.80 units at $24.49) Executive Life Separate Account 4,918,674 4,918,674 3,721,373 3,721,373 3,721,373 3,721,373 Short-Term Investments 1,064,340 1,064,340 392,000 392,000 392,000 392,000 (1,064,340 units at $1.00) (392,000 units at $1.00) (392,000 units at $1.00) ------------ ------------ ------------ ------------ ------------ ------------ Total $643,002,065 $705,434,157 $449,497,726 $462,003,251 $432,136,764 $446,619,534 Investments ============ ============ ============ ============ ============ ============
-9- Note 4 - Description of Investment Funds, continued Two independent investment advisors have responsibility to invest the assets of the Plan, and the Trustee (State Street Bank and Trust Co.) has the responsibility to supervise the payment of benefits. Investment Managers: ------------------- Fidelity Management Trust Company Wells Fargo Nikko Investment Advisors Assets held by: -------------- Fidelity Management Trust Company Wells Fargo Nikko Investment Advisors Trustee: ------- State Street Bank and Trust Company NOTE 5 - DESCRIPTION OF THE MASTER TRUST The Plans in the Master Trust were; Plan Number Title - ----------- ---------------------------------------------------- 051 The Payroll Employee Stock Ownership Plan. 052 The Savings Plan. 053 The Employees' Profit Sharing Plan. The assets of the Master Trust are designated for general investment under the guidelines of the Employee Retirement Income Security Act of 1974 (ERISA). Earnings and expense items not specifically identifiable with individual plans were allocated between the plans based on a weighted average of assets related to each plan. Plan activities such as contributions and benefit payments, were posted to the individual plans. -10-
Note 5 - Description of the Master Trust, continued Net assets of the Trust were as follows: December 31, November 30, 1992 1992 ------------ ------------ Assets: Investments at Fair Market Value Very Conservative Strategy $ 18,526,214 $ 19,144,065 Conservative Strategy 94,158,009 93,614,325 Moderately Cautious Strategy 56,035,602 54,968,279 Moderate Strategy 55,717,343 54,463,208 Moderately Aggressive Strategy 42,733,490 41,762,723 Aggressive Strategy 178,453,198 174,690,866 AT&T Stock Fund 129,656,912 117,143,099 Executive Life Separate Account 4,918,674 4,918,674 Short-Term Investments 391,399 392,000 ------------ ------------ Total Investments 580,590,841 561,097,239 Interest and dividends receivable 1,396,823 563,648 Other receivables 0 27,423 Cash 10,336 932 ------------ ------------ Total assets 581,998,000 561,689,242 ------------ ------------ Liabilities: Accounts payable 1,358,797 1,573,286 Accrued expenses 362,403 303,128 ------------ ------------ Total liabilities 1,721,200 1,876,414 ------------ ------------ Net assets $580,276,800 $559,812,828 ============ ============ Percent of the Trust Net Assets held by the Plan 80% 80%
-11- Pursuant to the requirements of the Securities Exchange Act of 1934, the trustees (or other persons who administer the Plan) have duly caused this annual report to be signed by the undersigned thereunto duly authorized. AT&T Global Solutions Company Savings Plan By: R. F. Brenner Vice President, Global Human Resources April 7, 1994 -12- REPORT OF INDEPENDENT AUDITORS To the Participants of the AT&T Global Information Solutions Savings Plan: We have audited the accompanying statements of net assets available for plan benefits of the AT&T Global Information Solutions Company Savings Plan as of December 31, 1993 and 1992, and November 30, 1992 and the related statements of changes in net assets available for plan benefits for the year ended December 31, 1993 and the one month period ended December 31, 1992. These financial statements are the responsibility of the Savings Plan Committee of AT&T Global Information Solutions Company. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for plan benefits of the AT&T Global Information Solutions Company Savings Plan as of December 31, 1993 and 1992 and November 30, 1992, and the changes in its net assets available for plan benefits for the year ended December 31, 1993 and the one month period ended December 31, 1991 in conformity with generally accepted accounting principles. Our audit was conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional supplemental Schedules I and II are presented for purposes of additional analysis and are not a required part of the basic financial statements but are supplementary information required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. The supplemental schedules have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are fairly stated, in all material respects, in relation to the basic financial statements taken as a whole. COOPERS AND LYBRAND Dayton, Ohio April 7, 1994 -13- EIN 31-0387920 Supplementary Schedule I AT&T GLOBAL INFORMATION SOLUTIONS SAVINGS PLAN
ASSETS HELD FOR INVESTMENT AS OF DECEMBER 31, 1993 Fair Market Cost Value -------- ----------- Very Conservative $ 19,775,745 $ 19,775,745 (19,775,745 units at $1.00) Conservative Strategy 90,747,008 92,771,033 (8,060,037.62 units at $11.51) Moderately Cautious Strategy 52,875,443 61,287,734 (4,362,116.30 units at $14.05) Moderate Strategy 57,676,484 67,207,986 (4,017,213.75 units at $16.73) Moderately Aggressive Strategy 46,322,521 54,067,624 (2,877,468.02 units at $18.79) Aggressive Strategy 233,842,163 245,770,225 (10,444,973.44 units at $23.53) AT&T Stock Fund 135,779,687 158,570,796 (5,649,119.91 units at $28.07) Executive Live Separate Account 4,918,674 4,918,674 Short-Term Investments 1,064,340 1,064,340 (1,064,340 units at $1.00) ----------- ----------- Total Investments $643,002,065 $705,434,157 =========== ===========
Supplementary Schedule II EIN 31-0387920 AT&T Global Information Solutions Company Savings Plan Item 27d - Schedule of Reportable Transactions For the Year Ended December 31,1993 - ----------------------------------------------------------------------------------------------------------------------------- ASSET ID SECURITY DESCRIPTION RATE MAT DATE # PURCHASES PURCHASE COST # SALES SALE PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS - ----------------------------------------------------------------------------------------------------------------------------- COMMON AND PREFERRED - -------------------- 030177109 AMERICAN TEL & TELEG CO 48 38,346,069.98 42 9,795,575.46 1,147,082.57 90 48,141,645.44 316184100 FIDELITY MAGELLAN FD INC 118 56,113,653.62 117 7,211,746.82 1,551,781.77 235 73,325,400.44 COMMON AND PREFERRED TOTALS - --------------------------- 166 94,459,723.69 159 27,007,322.28 2,698,864.34 325 121,467,045.88 FIXED INCOME - ------------ 3157489A3 FIDELITY GIC 9.100 01/01/2000 11 4,712,063.66 15 25,037,345.21 0.00 26 29,749,408.87 FIXED INCOME TOTALS - ------------------- 11 4,712,063.66 15 25,037,345.21 0.00 26 29,749,408.87 SHORT TERM - ---------- SHORT TERM TOTALS - ----------------- 0 0.00 0 0.00 0.00 0 0.00
Supplementary Schedule II EIN 31-0387920 AT&T Global Information Solutions Company Savings Plan Item 27d - Schedule of Reportable Transactions For the Year Ended December 31,1993 - ----------------------------------------------------------------------------------------------------------------------------- ASSET ID SECURITY DESCRIPTION RATE MAT DATE # PURCHASES PURCHASE COST # SALES SALE PROCEEDS 5500 GAIN/LOSS TOTAL # TOTAL COST/PROCEEDS - ----------------------------------------------------------------------------------------------------------------------------- COMMON AND PREFERRED - -------------------- 166 94,459,723.69 159 27,007,322.28 2,698,864.34 325 121,467,045.88 FIXED INCOME - ------------ 11 4,712,063.66 15 25,037,345.21 0.00 26 29,749,408.87 SHORT TERM - ---------- 0 0.00 0 0.00 0.00 0 0.00 REPORTABLE TRANSACTION TOTALS - ----------------------------- 177 99,171,787.26 174 52,044,667.49 2,698,864.34 351 151,216,454.75 NON-REPORTABLE TRANSACTION TOTALS - --------------------------------- 1108 308,306,666.34 1092 276,753,225.93 1,929,987.31 2200 585,059,892.27
-2- EXHIBIT INDEX Exhibit Number - -------------- 23 Consent of Coopers & Lybrand EX-23 2 EXHIBIT 23 EXHIBIT (23) CONSENT OF INDEPENDENT AUDITORS We consent to the incorporation by reference in the registration statement of AT&T Corp. on Form S-8 (Registration #33-42917) of the NCR Corporation Savings Plan of our report, dated April 7, 1994, on our audit of the financial statements of the AT&T Global Information Solutions Company Savings Plan (formerly the NCR Corporation Savings Plan) at December 31, 1993 and 1992 and November 30, 1992 and for the year ended December 31, 1993 and the one month period ended December 31, 1992, and the supplemental schedules at December 31, 1993 and for the year then ended, which report is included in this Annual Report on Form 11-K. Coopers & Lybrand Dayton, Ohio April 21, 1994 -----END PRIVACY-ENHANCED MESSAGE-----