Form 4: AT&T Director Matthew K. Rose Reports Acquisition of Deferred Stock Units

Director Matthew K. Rose reports acquiring deferred stock units in AT&T Inc. through the Non-Employee Director Stock and Deferral Plan.

Summary

• On April 30, 2024, Matthew K. Rose, a director of AT&T Inc., acquired 4,461.1361 deferred stock units pursuant to the AT&T Inc. Non-Employee Director Stock and Deferral Plan.
• The price of the derivative security was $16.89.
• Following the transaction, Rose beneficially owns 98,100 shares of common stock directly and 275,987.5827 derivative securities indirectly through a benefit plan.
• These deferred stock units will be paid out in cash, equivalent to the value of one share of AT&T common stock, after Rose ceases to be a director, at times elected by the director.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The acquisition of deferred stock units by a director is a routine event and indicates alignment with shareholder interests. There are no explicit negative indicators.

Positives

• The acquisition of deferred stock units by a director signals confidence in the company's future performance.

Future Outlook

The deferred stock units will be paid out in cash after the reporting person ceases to be a director, at times elected by the director.

Industry Context

Directors often receive stock options or restricted stock as part of their compensation packages, aligning their interests with those of shareholders. This filing reflects a standard practice of equity-based compensation for board members.

Comparison to Industry Standards

• Director compensation packages often include a mix of cash and equity, with the equity component designed to align the director's interests with those of shareholders.
• Companies like Verizon and Comcast also utilize similar deferred stock unit plans for their non-employee directors.
• The specific terms of these plans, such as vesting schedules and payout mechanisms, can vary across companies but the underlying principle of aligning director incentives with shareholder value remains consistent.

Stakeholder Impact

• The acquisition of deferred stock units aligns the director's interests with those of shareholders, potentially encouraging decisions that increase shareholder value.

Key Dates