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

AT&T Inc. Director Matthew K. Rose reported the acquisition of 5,701.4513 deferred stock units valued at $28.94 per unit, increasing his beneficial ownership of derivative securities.

Summary

• Matthew K. Rose, a Director of AT&T Inc., reported changes in his beneficial ownership of company securities.
• Acquired 5,701.4513 Deferred Stock Units (DSUs) on June 30, 2025.
• The DSUs were acquired pursuant to the AT&T Inc. Non-Employee Director Stock and Deferral Plan.
• Each DSU is valued at $28.94 and will be paid out in cash equal to the value of one share of AT&T common stock after Mr. Rose ceases to be a director, at times elected by him.
• Following this transaction, Mr. Rose beneficially owns 323,647.1582 derivative securities (DSUs) indirectly through a benefit plan.
• Mr. Rose also directly owns 98,100 shares of AT&T Common Stock.

Sentiment

Score: 6

Explanation: The filing is a routine disclosure of director compensation, which is generally a neutral to slightly positive event as it aligns interests. It does not indicate any significant positive or negative operational or financial news.

Positives

• The acquisition of deferred stock units by a director aligns management's interests with shareholders, as the value of the units is tied to the company's stock performance.
• The transaction is part of a structured non-employee director compensation plan, indicating standard corporate governance practices.

Future Outlook

The deferred stock units acquired by Matthew K. Rose will be paid out in cash equal to the value of one share of AT&T common stock at times elected by the director after he ceases to be a director.

Management Comments

• Deferred stock units acquired pursuant to the AT&T Inc. Non-Employee Director Stock and Deferral Plan.
• After the reporting person ceases to be a director, each unit is paid out in cash equal to the value of one share of AT&T common stock at times elected by the director.

Industry Context

This filing represents a routine disclosure of insider compensation in the telecommunications industry, where executive and director compensation often includes equity-based incentives like deferred stock units to align long-term interests with company performance.

Comparison to Industry Standards

• The use of deferred stock units as part of non-employee director compensation is a common practice across large publicly traded companies, including those in the telecommunications sector like Verizon Communications Inc. (VZ) and T-Mobile US, Inc. (TMUS), to incentivize long-term commitment and align director interests with shareholder value.
• The structure, where units convert to cash based on stock value upon departure, is a standard mechanism for deferred compensation plans for directors, similar to those seen in other S&P 500 companies.

Related Party Transactions

• Acquisition of 5,701.4513 Deferred Stock Units by Director Matthew K. Rose from AT&T Inc. as part of the Non-Employee Director Stock and Deferral Plan.

Stakeholder Impact

• Shareholders: The acquisition of deferred stock units by a director aligns their interests with long-term shareholder value, as the value of the units is tied to the company's stock price.

Next Steps

• Matthew K. Rose will continue to hold the deferred stock units, which will be paid out in cash upon his departure from the board, at his election.

Key Dates

Recommendation

Keywords

AT&T, T, Matthew K. Rose, Director, SEC Form 4, Insider Transaction, Deferred Stock Units, Executive Compensation, Beneficial Ownership