Document And Entity Information
Document And Entity Information - shares shares in Millions | 3 Months Ended | |
Mar. 31, 2017 | Apr. 30, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Document Period End Date | Mar. 31, 2017 | |
Current Fiscal Year End Date | --12-31 | |
Entity Central Index Key | 732,717 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Registrant Name | AT&T Inc. | |
Entity Common Stock, Shares Outstanding | 6,148 | |
Entity Trading Symbol | T |
Consolidated Statements Of Inco
Consolidated Statements Of Income - USD ($) shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Operating Revenues | ||
Service | $ 36,456 | $ 37,101 |
Equipment | 2,909 | 3,434 |
Total operating revenues | 39,365 | 40,535 |
Operating Expenses | ||
Equipment | 3,848 | 4,375 |
Broadcast, programming and operations | 4,974 | 4,629 |
Other cost of services (exclusive of depreciation and amortization shown separately below) | 9,065 | 9,396 |
Selling, general and administrative | 8,487 | 8,441 |
Depreciation and amortization | 6,127 | 6,563 |
Total operating expenses | 32,501 | 33,404 |
Operating Income | 6,864 | 7,131 |
Other Income (Expense) | ||
Interest expense | (1,293) | (1,207) |
Equity in net income (loss) of affiliates | (173) | 13 |
Other income (expense) - net | (20) | 70 |
Total other income (expense) | (1,486) | (1,124) |
Income Before Income Taxes | 5,378 | 6,007 |
Income tax expense | 1,804 | 2,122 |
Net Income | 3,574 | 3,885 |
Less: Net Income Attributable to Noncontrolling Interest | (105) | (82) |
Net Income Attributable to AT&T | $ 3,469 | $ 3,803 |
Basic Earnings Per Share Attributable to AT&T | $ 0.56 | $ 0.62 |
Diluted Earnings Per Share Attributable to AT&T | $ 0.56 | $ 0.61 |
Weighted Average Number of Common Shares Outstanding - Basic (in millions) | 6,166 | 6,172 |
Weighted Average Number of Common Shares Outstanding - with Dilution (in millions) | 6,186 | 6,190 |
Dividends Declared Per Common Share | $ 0.49 | $ 0.48 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Consolidated Statements of Comprehensive Income [Abstract] | ||
Net income | $ 3,574 | $ 3,885 |
Foreign currency: | ||
Foreign currency translation adjustment (includes $6 and $0 attributable to noncontrolling interest), net of taxes of $391 and $(10) | 372 | (44) |
Available-for-sale securities: | ||
Net unrealized gains (losses), net of taxes of $15 and $(15) | 33 | (26) |
Reclassification adjustment included in net income, net of taxes of $3 and $(2) | 5 | (3) |
Cash flow hedges: | ||
Net unrealized gains, net of taxes of $7 and $67 | 13 | 124 |
Reclassification adjustment included in net income, net of taxes of $5 and $5 | 10 | 10 |
Defined benefit postretirement plans: | ||
Amortization of net prior service credit included in net income, net of taxes of $(139) and $(131) | (228) | (215) |
Other comprehensive income (loss) | 205 | (154) |
Total comprehensive income | 3,779 | 3,731 |
Less: Total comprehensive income attributable to noncontrolling interest | (111) | (82) |
Total Comprehensive Income Attributable to AT&T | $ 3,668 | $ 3,649 |
Consolidated Statements of Com4
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Consolidated Statements of Comprehensive Income [Abstract] | ||
Foreign currency translation adjustments, attributable to noncontrolling interest, net of taxes | $ 6 | $ 0 |
Foreign currency translation adjustments, tax effect | 391 | (10) |
Unrealized gains (losses) on available-for-sale securities - tax | 15 | (15) |
Reclassification adjustment included in net income on available-for-sale securities - tax effect | 3 | (2) |
Unrealized gains (losses) on cash flow hedges - tax | 7 | 67 |
Reclassification adjustment included in net income on cash flow hedges - tax effect | 5 | 5 |
Amortization of net prior service credit included in net income, tax effect | $ (139) | $ (131) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Current Assets | ||
Cash and cash equivalents | $ 14,884 | $ 5,788 |
Accounts receivable - net of allowances for doubtful accounts of $699 and $661 | 15,078 | 16,794 |
Prepaid expenses | 1,418 | 1,555 |
Other current assets | 14,347 | 14,232 |
Total current assets | 45,727 | 38,369 |
Property, plant and equipment | 319,108 | 319,648 |
Less: accumulated depreciation and amortization | (193,816) | (194,749) |
Property, Plant and Equipment - Net | 125,292 | 124,899 |
Goodwill | 105,593 | 105,207 |
Licenses | 94,617 | 94,176 |
Customer Lists and Relationships - Net | 13,366 | 14,243 |
Other Intangible Assets - Net | 8,295 | 8,441 |
Investments in Equity Affiliates | 1,551 | 1,674 |
Other Assets | 17,462 | 16,812 |
Total Assets | 411,903 | 403,821 |
Current Liabilities | ||
Debt maturing within one year | 12,681 | 9,832 |
Accounts payable and accrued liabilities | 27,120 | 31,138 |
Advanced billing and customer deposits | 4,493 | 4,519 |
Accrued taxes | 3,384 | 2,079 |
Dividends payable | 3,012 | 3,008 |
Total current liabilities | 50,690 | 50,576 |
Long-Term Debt | 120,568 | 113,681 |
Deferred Credits and Other Noncurrent Liabilities | ||
Deferred income taxes | 61,100 | 60,128 |
Postemployment benefit obligation | 33,404 | 33,578 |
Other noncurrent liabilities | 21,160 | 21,748 |
Total deferred credits and other noncurrent liabilities | 115,664 | 115,454 |
Stockholders' Equity | ||
Common stock ($1 par value, 14,000,000,000 authorized at March 31, 2017 and December 31, 2016: issued 6,495,231,088 at March 31, 2017 and December 31, 2016) | 6,495 | 6,495 |
Additional paid-in capital | 89,411 | 89,604 |
Retained earnings | 35,175 | 34,734 |
Treasury stock (347,741,277 at March 31, 2017 and 356,237,141 at December 31, 2016, at cost) | (12,400) | (12,659) |
Accumulated other comprehensive income | 5,160 | 4,961 |
Noncontrolling interest | 1,140 | 975 |
Total stockholders' equity | 124,981 | 124,110 |
Total Liabilities and Stockholders' Equity | $ 411,903 | $ 403,821 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Consolidated Balance Sheets (Unaudited) | ||
Allowances for doubtful accounts | $ 699 | $ 661 |
Common stock, par value | $ 1 | $ 1 |
Common stock, authorized | 14,000,000,000 | 14,000,000,000 |
Common stock, issued | 6,495,231,088 | 6,495,231,088 |
Treasury stock, held | 347,741,277 | 356,237,141 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Operating Activities | ||
Net income | $ 3,574 | $ 3,885 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 6,127 | 6,563 |
Undistributed loss (earnings) from investments in equity affiliates | 182 | (13) |
Provision for uncollectible accounts | 393 | 374 |
Deferred income tax expense | 480 | 1,346 |
Net loss (gain) from sale of investments, net of impairments | 61 | (44) |
Changes in operating assets and liabilities: | ||
Accounts receivable | 445 | 43 |
Other current assets | 228 | 1,319 |
Accounts payable and accrued liabilities | (1,778) | (3,990) |
Equipment installment receivables and related sales | 579 | 454 |
Deferred fulfillment costs | (436) | (542) |
Retirement benefit funding | (140) | (140) |
Other - net | (497) | (1,355) |
Total adjustments | 5,644 | 4,015 |
Net Cash Provided by Operating Activities | 9,218 | 7,900 |
Investing Activities | ||
Purchase of property and equipment | (5,784) | (4,451) |
Interest during construction | (231) | (218) |
Acquisitions, net of cash acquired | (162) | (165) |
Dispositions | 6 | 81 |
Sale of securities, net | 0 | 445 |
Net Cash Used in Investing Activities | (6,171) | (4,308) |
Financing Activities | ||
Net change in short-term borrowings with original maturities of three months or less | (1) | 0 |
Issuance of long-term debt | 12,440 | 5,978 |
Repayment of long-term debt | (3,053) | (2,296) |
Purchase of treasury stock | (177) | 0 |
Issuance of treasury stock | 21 | 89 |
Dividends paid | (3,009) | (2,947) |
Other | (172) | 471 |
Net Cash Provided by Financing Activities | 6,049 | 1,295 |
Net increase in cash and cash equivalents | 9,096 | 4,887 |
Cash and cash equivalents beginning of year | 5,788 | 5,121 |
Cash and Cash Equivalents End of Period | 14,884 | 10,008 |
Cash paid (received) during the three months ended March 31 for: | ||
Interest | 1,643 | 1,459 |
Income taxes, net of refunds | $ (160) | $ 477 |
Consolidated Statement Of Chang
Consolidated Statement Of Changes In Stockholders' Equity - 3 months ended Mar. 31, 2017 - USD ($) shares in Millions, $ in Millions | Total | Common Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income Attributable to AT&T, net of tax [Member] | Noncontrolling Interest [Member] |
Balance at beginning of year at Dec. 31, 2016 | $ 124,110 | $ 6,495 | $ 89,604 | $ 34,734 | $ (12,659) | $ 4,961 | $ 975 |
Balance at beginning of year (in shares) at Dec. 31, 2016 | 6,495 | (356) | |||||
Issuance of stock | $ 0 | ||||||
Issuance of stock (in shares) | 0 | ||||||
Repurchase and acquisition of common stock | $ (200) | ||||||
Repurchase and acquisition of common stock (in shares) | (5) | ||||||
Issuance of treasury stock | 4 | $ 459 | |||||
Issuance of treasury stock, (in shares) | 13 | ||||||
Share-based payments | (197) | ||||||
Net income attributable to AT&T ($0.56 per diluted share) | 3,469 | 3,469 | |||||
Dividends to stockholders ($0.49 per share) | (3,030) | ||||||
Other | 2 | ||||||
Translation adjustments attributable to noncontrolling interest, net of taxes | 6 | 6 | |||||
Other comprehensive income attributable to AT&T | 199 | 199 | |||||
Net income attributable to noncontrolling interest | 105 | 105 | |||||
Distributions | (77) | ||||||
Balance at end of period at Mar. 31, 2017 | $ 124,981 | $ 6,495 | $ 89,411 | $ 35,175 | $ (12,400) | $ 5,160 | 1,140 |
Acquisitions of noncontrolling interests | $ 131 | ||||||
Balance at end of period (in shares) at Mar. 31, 2017 | 6,495 | (348) |
Consolidated Statement Of Chan9
Consolidated Statement Of Changes In Stockholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Consolidated Statements Of Changes In Stockholders' Equity (Unaudited) | ||
Net income attributable to AT&T, per diluted share | $ 0.56 | $ 0.61 |
Dividends to stockholders, per share | $ 0.49 | $ 0.48 |
Preparation Of Interim Financia
Preparation Of Interim Financial Statements | 3 Months Ended |
Mar. 31, 2017 | |
Preparation Of Interim Financial Statements Disclosure [Abstract] | |
Preparation Of Interim Financial Statements | NOTE 1. PREPARATION OF INTERIM FINANCIAL STATEMENTS Basis of Presentation These consolidated financial statements include all adjustments that are necessary to present fairly the results for the presented interim periods, consisting of normal recurring accruals and other items. The consolidated financial statements include the accounts of the Company and our majority-owned subsidiaries and affiliates. All significant intercompany transactions are eliminated in the consolidation process. Investments in less than majority-owned subsidiaries and partnerships where we have significant influence are accounted for under the equity method. Earnings from certain investments accounted for using the equity method are included for periods ended within up to one q uarter of our period end. We also record our proportionate share of our equity method investees’ other comprehensive income (OCI) items, including cumulative translation adjustments. The preparation of financial statements in conformity with U.S. generall y accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes, including estimates of probable losses and expenses. Actual results could dif fer from those estimates. Certain amounts have been reclassified to conform to the current period's presentation. Recently Adopted Accounting Standards Income Taxes As of January 1, 2017, we adopted Accounting Standards Update (ASU) No. 2016-16, “Income Taxes (Topic 740)” (ASU 2016-16), with modified retrospective application, resulting in our recognition of an immaterial adjustment to retained earnings. Under ASU 2016-16, we recognize the income tax effects of the intercompany sales or transfers of assets other than inventory (e.g., intellectual property or property, plant and equipment) during the period of int ercompany sale or transfer instead of the period of either the sale or transfer to a third party or recognition of depreciation or impairment. New Accounting Standards Pension and Other Postretirement Benefits In March 2017, the Financial Accounting Stan dards Board ( FASB ) issued ASU No. 2017-07, “Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost” (ASU 2017-07), which changes the presentation of periodic bene fit cost components . Under ASU 2017-07, we will continue to present service costs within our operating expenses but present amortization of prior service credits and other components of our net periodic benefit cost in “other income (expense)” in our conso lidated statements of income. ASU 2017-07 is effective for annual reporting periods beginning after December 15, 2017. See Note 5 for our components of net periodic benefit cost. Revenue Recognition In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)” (ASC 606) , and has modified the standard thereafter. This standard replaces existing revenue recognition rules with a comprehensive revenue measurement and recognition standard and expanded disclosure requirements . ASC 606, as amended, becomes effective for annual reporting periods beginning after December 15, 2017, at which point we plan to adopt the standard using the “modified retrospective method.” Under that method, we will apply the rules to all contracts exi sting as of January 1, 2018, recognizing in beginning retained earnings an adjustment for the cumulative effect of the change and providing additional disclosures comparing results to previous accounting standards. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share | |
Earnings Per Share | NOTE 2. EARNINGS PER SHARE A reconciliation of the numerators and denominators of basic and diluted earnings per share for the three months ended March 31, 2017 and 2016 , is shown in the table below: Three months ended March 31, 2017 2016 Numerators Numerator for basic earnings per share: Net Income $ 3,574 $ 3,885 Less: Net income attributable to noncontrolling interest (105) (82) Net Income attributable to AT&T 3,469 3,803 Dilutive potential common shares: Share-based payment 4 4 Numerator for diluted earnings per share $ 3,473 $ 3,807 Denominators (000,000) Denominator for basic earnings per share: Weighted average number of common shares outstanding 6,166 6,172 Dilutive potential common shares: Share-based payment (in shares) 20 18 Denominator for diluted earnings per share 6,186 6,190 Basic earnings per share attributable to AT&T $ 0.56 $ 0.62 Diluted earnings per share attributable to AT&T $ 0.56 $ 0.61 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 3 Months Ended |
Mar. 31, 2017 | |
Accumulated Other Comprehensive Income [Abstract] | |
Accumulated Other Comprehensive Income | NOTE 3. OTHER COMPREHENSIVE INCOME Changes in the balances of each component included in accumulated other comprehensive income (accumulated OCI) are presented below. All amounts are net of tax and exclude noncontrolling interest. Foreign Currency Translation Adjustment Net Unrealized Gains (Losses) on Available-for-Sale Securities Net Unrealized Gains (Losses) on Cash Flow Hedges Defined Benefit Postretirement Plans Accumulated Other Comprehensive Income Balance as of December 31, 2016 $ (1,995) $ 541 $ 744 $ 5,671 $ 4,961 Other comprehensive income (loss) before reclassifications 366 33 13 - 412 Amounts reclassified from accumulated OCI - 1 5 1 10 2 (228) 3 (213) Net other comprehensive income (loss) 366 38 23 (228) 199 Balance as of March 31, 2017 $ (1,629) $ 579 $ 767 $ 5,443 $ 5,160 Foreign Currency Translation Adjustment Net Unrealized Gains (Losses) on Available-for-Sale Securities Net Unrealized Gains (Losses) on Cash Flow Hedges Defined Benefit Postretirement Plans Accumulated Other Comprehensive Income Balance as of December 31, 2015 $ (1,198) $ 484 $ 16 $ 6,032 $ 5,334 Other comprehensive income (loss) before reclassifications (44) (26) 124 - 54 Amounts reclassified from accumulated OCI - 1 (3) 1 10 2 (215) 3 (208) Net other comprehensive income (loss) (44) (29) 134 (215) (154) Balance as of March 31, 2016 $ (1,242) $ 455 $ 150 $ 5,817 $ 5,180 1 (Gains) losses are included in Other income (expense) - net in the consolidated statements of income. 2 (Gains) losses are included in Interest expense in the consolidated statements of income. See Note 6 for additional information. 3 The amortization of prior service credits associated with postretirement benefits, net of amounts capitalized as part of construction labor, are included in Cost of services and sales and Selling, general and administrative in the consolidated statements of income (see Note 5). |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2017 | |
Segment Information | |
Segment Information | NOTE 4. SEGMENT INFORMATION Our segments are strategic business units that offer products and services to different customer segments over various technology platforms and/or in different geographies that are managed accordingly. We analyze our segments based on Segment Contribution, which consists of operating income, excluding acquisition-related costs and other significant items (as discussed below), and equity in net income (loss) of affiliates for investments managed within each segment. We have four reportable segments: (1) Business Solutions, (2) Entertainment Group, (3) Consumer Mobility and (4) International. We also evaluate segment performance based on EBITDA and/or EBITDA margin, which is defined as Segment Contribution excluding equity in ne t income (loss) of affiliates and depreciation and amortization. We believe EBITDA to be a relevant and useful measurement to our investors as it is part of our internal management reporting and planning processes and it is an important metric that managem ent uses to evaluate segment operating performance. EBITDA does not give effect to cash used for debt service requirements and thus does not reflect available funds for distributions, reinvestment or other discretionary uses. EBITDA margin is EBITDA divide d by total revenues. The Business Solutions segment provides services to business customers, including multinational companies; governmental and wholesale customers; and individual subscribers who purchase wireless services through employer-sponsored plan s. We provide advanced IP-based services including Virtual Private Networks (VPN); Ethernet-related products and broadband, collectively referred to as fixed strategic services; as well as traditional data and voice products. We utilize our wireless and wi red networks to provide a complete communications solution to our business customers. The Entertainment Group segment provides video, internet, voice communication, and interactive and targeted advertising services to customers located in the United States or in U.S. territories. We utilize our copper and IP-based wired network and/or our satellite technology. The Consumer Mobility segment provides nationwide wireless service to consumers, wholesale and resale wirel ess subscribers located in the United States or in U.S. territories. We utilize our network to provide voice and data services, including high-speed internet, video and home monitoring services over wireless devices. The International segment provides ent ertainment services in Latin America and wireless services in Mexico. Video entertainment services are provided to primarily residential customers using satellite technology. We ut ilize our regional and national networks in Mexico to provide consu mer and business customers with wireless data and voice communication services. Our international subsidiaries conduct business in their local currency, and operating results are converted to U.S. dollars using official exchange rates. In reconciling ite ms to consolidated operating income and income before income taxes, Corporate and Other includes: (1) operations that are not considered reportable segments and that are no longer integral to our operations or which we no longer actively market, and (2) im pacts of corporate-wide decisions for which the individual segments are not being evaluated, including interest costs and expected return on plan assets for our pension and postretirement benefit plans. Certain operating items are not allocated to our bus iness segments, and those include: Acquisition-related items which consists of (1) items associated with the merger and integration of acquired businesses and (2) the noncash amortization of intangible assets acquired in acquisitions. Certain significant i tems which consists of (1) noncash actuarial gains and losses from pension and other postretirement benefits, (2) employee separation charges associated with voluntary and/or strategic offers, (3) losses resulting from abandonment or impairment of assets a nd (4) other items for which the segments are not being evaluated. I nterest expense and other income (expense) – net, are managed only on a total company basis and are, accordingly, reflected only in consolidated results. Our operating assets are utilized by multiple segments and consist of our wireless and wired networks as well as our satellite fleet. We manage our assets to provide for the most efficient, effective and integrated service to our customers, not by segment , and, therefore, asset information and capital expenditures by segment are not presented. Depreciation is allocated based on asset utilization by segment. For the three months ended March 31, 2017 Revenues Operations and Support Expenses EBITDA Depreciation and Amortization Operating Income (Loss) Equity in Net Income (Loss) of Affiliates Segment Contribution Business Solutions $ 16,848 $ 10,176 $ 6,672 $ 2,312 $ 4,360 $ - $ 4,360 Entertainment Group 12,623 9,601 3,022 1,419 1,603 (6) 1,597 Consumer Mobility 7,740 4,528 3,212 873 2,339 - 2,339 International 1,929 1,759 170 290 (120) 20 (100) Segment Total 39,140 26,064 13,076 4,894 8,182 $ 14 $ 8,196 Corporate and Other 225 221 4 31 (27) Acquisition-related items - 207 (207) 1,202 (1,409) Certain significant items - (118) 118 - 118 AT&T Inc. $ 39,365 $ 26,374 $ 12,991 $ 6,127 $ 6,864 For the three months ended March 31, 2016 Revenues Operations and Support Expenses EBITDA Depreciation and Amortization Operating Income (Loss) Equity in Net Income (Loss) of Affiliates Segment Contribution Business Solutions $ 17,609 $ 10,802 $ 6,807 $ 2,508 $ 4,299 $ - $ 4,299 Entertainment Group 12,658 9,578 3,080 1,488 1,592 3 1,595 Consumer Mobility 8,328 4,912 3,416 922 2,494 - 2,494 International 1,667 1,588 79 277 (198) 14 (184) Segment Total 40,262 26,880 13,382 5,195 8,187 $ 17 $ 8,204 Corporate and Other 273 377 (104) 17 (121) Acquisition-related items - 295 (295) 1,351 (1,646) Certain significant items - (711) 711 - 711 AT&T Inc. $ 40,535 $ 26,841 $ 13,694 $ 6,563 $ 7,131 The following table is a reconciliation of Segment Contribution to “Income Before Income Taxes” reported on our consolidated statements of income. First Quarter 2017 2016 Business Solutions $ 4,360 $ 4,299 Entertainment Group 1,597 1,595 Consumer Mobility 2,339 2,494 International (100) (184) Segment Contribution 8,196 8,204 Reconciling Items: Corporate and Other (27) (121) Merger and integration charges (207) (295) Amortization of intangibles acquired (1,202) (1,351) Employee separation costs - (25) Gain on wireless spectrum transactions 118 736 Segment equity in net (income) loss of affiliates (14) (17) AT&T Operating Income 6,864 7,131 Interest expense 1,293 1,207 Equity in net income (loss) of affiliates (173) 13 Other income (expense) - net (20) 70 Income Before Income Taxes $ 5,378 $ 6,007 |
Pension And Postretirement Bene
Pension And Postretirement Benefits | 3 Months Ended |
Mar. 31, 2017 | |
Pension And Postretirement Benefits | |
Pension And Postretirement Benefits | NOTE 5. PENSION AND POSTRETIREMENT BENEFITS Many of our employees are covered by one of our noncontributory pension plans. We also provide certain medical, dental, life insurance and death benefits to certain retired employees under various plans and accrue actuarially determined postretirement benefit costs. Our objective in funding these plans, in combination with the standards of the Employee Retirement Income Security Act of 1 974, as amended (ERISA), is to accumulate assets sufficient to provide benefits described in the plans to employees upon their retirement. In 2013, we made a voluntary contribution of a preferred equity interest in AT&T Mobility II LLC, the primary holdi ng company for our domestic wireless business, to the trust used to pay pension benefits under our qualified pension plans. The preferred equity interest had a value of $8,426 at March 31, 2017. The trust is entitled to receive cumulative cash distribution s of $560 per annum, which are distributed quarterly by AT&T Mobility II LLC to the trust, in equal amounts and accounted for as contributions. We distributed $140 to the trust during the three months ended March 31, 2017. So long as we make the distributi ons, we will have no limitations on our ability to declare a dividend or repurchase shares. This preferred equity interest is a plan asset under ERISA and is recognized as such in the plan’s separate financial statements. However, because the preferred equ ity interest is not unconditionally transferable to an unrelated party, it is not reflected in plan assets in our consolidated financial statements and instead has been eliminated in consolidation. We recognize actuarial gains and losses on pension and p ostretirement plan assets in our operating results at our annual measurement date of December 31, unless earlier remeasurements are required. The following table details pension and postretirement benefit costs included in operating expenses in the accompa nying consolidated statements of income. A portion of these expenses is capitalized as part of internal construction projects, providing a small reduction in the net expense recorded. Service costs and prior service credits are reported in our segment resu lts while interest costs and expected return on plan assets are included with Corporate and Other (see Note 4). Three months ended March 31, 2017 2016 Pension cost: Service cost – benefits earned during the period $ 282 $ 278 Interest cost on projected benefit obligation 484 495 Expected return on assets (783) (778) Amortization of prior service credit (31) (26) Net pension (credit) cost $ (48) $ (31) Postretirement cost: Service cost – benefits earned during the period $ 41 $ 48 Interest cost on accumulated postretirement benefit obligation 222 243 Expected return on assets (80) (89) Amortization of prior service credit (336) (319) Net postretirement (credit) cost $ (153) $ (117) Combined net pension and postretirement (credit) cost $ (201) $ (148) The decrease in the combined net pension and postretirement costs in the first quarter reflects higher amortization of prior service credits due to plan changes, including changes to future costs for continued retiree healthcare coverage. The reduction also reflects decreasing corporate bond rates, which contributed to lower interest costs. We also provide senior- and middle-management employees with nonqualified, unfunded supplemental retirement and savings plans. For the first quar ter ended 201 7 and 201 6 , net supplemental pension benefits costs not included in the table above were $ 22 and $ 23 . |
Fair Value Measurements And Dis
Fair Value Measurements And Disclosure | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements And Disclosure | NOTE 6. FAIR VALUE MEASUREMENTS AND DISCLOSURE The Fair Value Measurement and Disclosure framework provides a three-tiered fair value hierarchy that gives highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: Level 1 Inputs to the valuation methodology are unadjusted quoted prices for identical assets o r liabilities in active markets that we have the ability to access. Level 2 Inputs to the valuation methodology include: Quoted prices for similar assets and liabilities in active markets. Quoted prices for identical or similar assets or liabilities in in active markets. Inputs other than quoted market prices that are observable for the asset or liability. Inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 3 Inputs to the valuation method ology are unobservable and significant to the fair value measurement. Fair value is often based on developed models in which there are few, if any, external observations. The fair value measurements level of an asset or liability within the fair value hie rarchy is based on the lowest level of any input that is significant to the fair value measurement. Our valuation techniques maximize the use of observable inputs and minimize the use of unobservable inputs. The valuation methodologies described above may produce a fair value calculation that may not be indicative of future net realizable value or reflective of future fair values. We believe our valuation methods are appropriate and consistent with other market participants. The use of different methodolog ies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. There have been no changes in the methodologies used since December 31, 2016 . Long-Term Debt and Ot her Financial Instruments The carrying amounts and estimated fair values of our long-term debt, including current maturities, and other financial instruments, are summarized as follows: March 31, 2017 December 31, 2016 Carrying Fair Carrying Fair Amount Value Amount Value Notes and debentures 1 $ 132,379 $ 138,944 $ 122,381 $ 128,726 Bank borrowings 3 3 4 4 Investment securities 2,640 2,640 2,587 2,587 1 Includes credit agreement borrowings. The carrying amount of debt with an original maturity of less than one year approximates market value. The fair value measurements used for notes and debentures are considered Level 2 and are determined using various methods, including quoted prices for identical or similar securities in both active and inactive markets. Following is the fair value leveling for available-for-sale securities and derivatives as of March 31, 2017 and December 31, 2016 : March 31, 2017 Level 1 Level 2 Level 3 Total Available-for-Sale Securities Domestic equities $ 1,253 $ - $ - $ 1,253 International equities 639 - - 639 Fixed income bonds - 501 - 501 Asset Derivatives 1 Interest rate swaps - 62 - 62 Cross-currency swaps - 235 - 235 Liability Derivatives 1 Interest rate swaps - (20) - (20) Cross-currency swaps - (3,635) - (3,635) 1 Derivatives designated as hedging instruments are reflected as “Other assets,” “Other noncurrent liabilities” and, for a portion of interest rate swaps, “Other current assets” in our consolidated balance sheets. December 31, 2016 Level 1 Level 2 Level 3 Total Available-for-Sale Securities Domestic equities $ 1,215 $ - $ - $ 1,215 International equities 594 - - 594 Fixed income bonds - 508 - 508 Asset Derivatives 1 Interest rate swaps - 79 - 79 Cross-currency swaps - 89 - 89 Liability Derivatives 1 Interest rate swaps - (14) - (14) Cross-currency swaps - (3,867) - (3,867) 1 Derivatives designated as hedging instruments are reflected as “Other assets,” “Other noncurrent liabilities” and, for a portion of interest rate swaps, “Other current assets” in our consolidated balance sheets. Investment Securities Our investment securities include equities, fixed income bonds and other securities. A substantial portion of the fair values of our available-for-sale securities was estimated based on quoted market prices. Investments in securities not traded on a national securities exchange are valued using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. Realized gains and losses on securities are included in “Other income (expense) – net” in the consolidated statements of income using the specific identification method. Unrealize d gains and losses, net of tax, on available-for-sale securities are recorded in accumulated OCI. Unrealized losses that are considered other than temporary are recorded in “Other income (expense) – net” with the corresponding reduction to the carrying bas is of the investment. Fixed income investments of $ 236 have maturities of less than one year, $ 58 within one to three years, $ 47 within three to five years and $ 160 for five or more years. Our cash equivalents (money market securities), short-term investments (certificate and time deposits) and nonrefundable customer deposits are recorded at amortized cost, and the respective carrying amounts approximate fair values. Short-term investments a nd nonrefundable customer deposits are recorded in “Other current assets” and our investment securities are recorded in “Other Assets” on the consolidated balance sheets. Derivative Financial Instruments We enter into derivative transactions to manage cer tain market risks, primarily interest rate risk and foreign currency exchange risk. This includes the use of interest rate swaps, interest rate locks, foreign exchange forward contracts and combined interest rate foreign exchange contracts (cross-currency swaps). We do not use derivatives for trading or speculative purposes. We record derivatives on our consolidated balance sheets at fair value that is derived from observable market data, including yield curves and foreign exchange rates (all of our derivat ives are Level 2). Cash flows associated with derivative instruments are presented in the same category on the consolidated statements of cash flows as the item being hedged. Fair Value Hedging We designate our fixed-to-floating interest rate swaps as fa ir value hedges. The purpose of these swaps is to manage interest rate risk by managing our mix of fixed-rate and floating-rate debt. These swaps involve the receipt of fixed-rate amounts for floating interest rate payments over the life of the swaps witho ut exchange of the underlying principal amount. Accrued and realized gains or losses from interest rate swaps impact interest expense in the consolidated statements of income. Unrealized gains on interest rate swaps are recorded at fair market value as ass ets, and unrealized losses on interest rate swaps are recorded at fair market value as liabilities. Changes in the fair values of the interest rate swaps are exactly offset by changes in the fair value of the underlying debt. Gains or losses realized upon early termination of our fair value hedges are recognized in interest expense. In the three months ended March 31, 2017 and March 31, 2016 , no ineffectiveness was measured on interest rate swaps designated as fair value hedges . Cash Flow Hedging We designate our cross-currency swaps as cash flow hedges. We have entered into multiple cross-currency swaps to hedge our exposure to variability in expected future cash flows that are attributable to foreign currency risk generated fr om the issuance of our Euro, British pound sterling, Canadian dollar and Swiss franc denominated debt. These agreements include initial and final exchanges of principal from fixed foreign currency denominated amounts to fixed U.S. dollar denominated amount s, to be exchanged at a specified rate that is usually determined by the market spot rate upon issuance. They also include an interest rate swap of a fixed or floating foreign currency-denominated rate to a fixed U.S. dollar denominated interest rate. Un realized gains on derivatives designated as cash flow hedges are recorded at fair value as assets, and unrealized losses on derivatives designated as cash flow hedges are recorded at fair value as liabilities. For derivative instruments designated as cash flow hedges, the effective portion is reported as a component of accumulated OCI until reclassified into interest expense in the same period the hedged transaction affects earnings. The gain or loss on the ineffective portion is recognized as “Other income (expense) – net” in the consolidated statements of income in each period. We evaluate the effectiveness of our cross-currency swaps each quarter. In the three months ended March 31, 2017 and March 31, 2016 , no ineffectiveness wa s measured on cross-currency swaps designated as cash flow hedges. Periodically, we enter into and designate interest rate locks to partially hedge the risk of changes in interest payments attributable to increases in the benchmark interest rate during th e period leading up to the probable issuance of fixed-rate debt. We designate our interest rate locks as cash flow hedges. Gains and losses when we settle our interest rate locks are amortized into income over the life of the related debt, except where a m aterial amount is deemed to be ineffective, which would be immediately reclassified to “Other income (expense) – net” in the consolidated statements of income. Over the next 12 months, we expect to reclassify $ 59 from accumulated OCI to in terest expense due to the amortization of net losses on historical interest rate locks. We hedge a portion of the exchange risk involved in anticipation of highly probable foreign currency-denominated transactions. In anticipation of these transactions, we often enter into foreign exchange contracts to provide currency at a fixed rate. Gains and losses at the time we settle or take delivery on our designated foreign exchange contracts are amortized into income in the same period the hedged transaction aff ects earnings, except where an amount is deemed to be ineffective, which would be immediately reclassified to “Other income (expense) – net” in the consolidated statements of income. In the three months ended March 31, 2017 and March 31, 2016 , no ineffectiveness was measured on foreign exchange contracts designated as cash flow hedges. Collateral and Credit-Risk Contingency We have entered into agreements with our derivative counterparties establishing collateral thresholds ba sed on respective credit ratings and netting agreements. At March 31, 2017 , we had posted collateral of $2,846 (a deposit asset) and held no collateral . Under the agreements, if AT&T’s credit rating had been downgraded one rating level by Fitch Ratings, before the final collateral exchange in March , we would have been required to post additional collateral of $ 123 . If DIRECTV Holdings LLC’s credit rating had been downgraded below BBB- (S&P), we would have been required to post additional collateral of $2 46 . At December 31, 2016 , we had posted collateral of $3,242 (a deposit asset) and held no collateral . We do not offset the fair value of collateral, whether the right to reclaim cash collateral (a receivable) or the obligation to return cash collateral (a payable) exists, against the fair value of the derivative instruments. Following are the notional amounts of our outstanding derivative positions: March 31, December 31, 2017 2016 Interest rate swaps $ 10,450 $ 9,650 Cross-currency swaps 29,642 29,642 Total $ 40,092 $ 39,292 Following are the related hedged items affecting our financial position and performance: Effect of Derivatives on the Consolidated Statements of Income Fair Value Hedging Relationships Three months ended March 31, 2017 2016 Interest rate swaps (Interest expense): Gain (Loss) on interest rate swaps $ (25) $ 66 Gain (Loss) on long-term debt 25 (66) In addition, the net swap settlements that accrued and settled in the quarter ended March 31 were offset against interest expense. Cash Flow Hedging Relationships Three months ended March 31, 2017 2016 Cross-currency swaps: Gain (Loss) recognized in accumulated OCI $ 20 $ 191 Interest rate locks: Interest income (expense) reclassified from accumulated OCI into income (15) (15) |
Acquisitions, Dispositions And
Acquisitions, Dispositions And Other Adjustments | 3 Months Ended |
Mar. 31, 2017 | |
Acquisitions, Dispositions And Other Adjustments | |
Acquisitions, Dispositions And Other Adjustments | NOTE 7. ACQUISITIONS, DISPOSITIONS AND OTHER ADJUSTMENTS Subsequent and Pending Acquisitions Time Warner Inc. On October 22, 2016, we entered into and announced a merger agreement (Merger Agreement) to acquire Time Warner Inc. (Time Warner) in a 50% cash and 50% stock transaction for $107.50 per share of Time Warner common stock, or approximately $85,400 at the date of the announcement (Merger). Combined with Time Warner’s net debt at December 31, 2016, the total transaction value is approximately $10 8,200. Each share of Time Warner common stock will be exchanged for $53.75 per share in cash and a number of shares of AT&T common stock equal to the exchange ratio. If the average stock price (as defined in the Merger Agreement) at the time of closing the Merger is between (or equal to) $37.411 and $41.349 per share, the exchange ratio will be the quotient of $53.75 divided by the average stock price. If the average stock price is greater than $41.349, the exchange ratio will be 1.300. If the average stock price is less than $37.411, the exchange ratio will be 1.437. Post-transaction, Time Warner shareholders will own between 14.4% and 15.7% of AT&T shares on a fully-diluted basis based on the number of AT&T shares outstanding. The cash portion of the purch ase price will be financed with new debt and cash. Time Warner is a global leader in media and entertainment whose major businesses encompass an array of some of the most respected and successful media brands. The deal combines Time Warner’s vast library of content and ability to create new premium content for audiences around the world with our extensive customer relationships and distribution, one of the world’s largest pay-TV subscriber bases and leading scale in TV, mobile and broadband distribution. The Merger Agreement was approved by Time Warner shareholders on February 15, 2017 and remains subject to review by the U.S. Department of Justice. The Federal Communications Commission (FCC) has stated that it does not believe it will need to review the d eal as no licenses are involved. It is also a condition to closing that necessary consents from foreign governmental entities must be obtained. The transaction is expected to close before year-end 2017. If the Merger is terminated as a result of reaching t he termination date (and at that time one or more of the conditions relating to certain regulatory approvals have not been satisfied) or there is a final, non-appealable order preventing the transaction relating to antitrust laws, communications laws, util ities laws or foreign regulatory laws, then under certain circumstances, we would be obligated to pay Time Warner $500. Auction 1000 On April 13, 2017, the FCC announced that we were the successful bidder for $910 of spectrum in 18 markets. We provided t he FCC an initial deposit of $2,348 in July 2016 and received a refund of $1,438 in April 2017. Other Events FirstNet On March 30, 2017, the First Responder Network Authority (FirstNet) announced its selection of AT& T to build and manage the first nationwide broadband network dedicated to America’s first responders. FirstNet expects to provide 20 MHz of valuable telecommunications spectrum and success-based payments of $6,500 over the next five years to support networ k buildout. The actual reach of the network and our investment over the 25-year period will be determined by the number of individual states electing to participate in FirstNet. We do not expect FirstNet to materially impact our 2017 results given the timi ng of the state opt-in process. |
Sale of Equipment Installment R
Sale of Equipment Installment Receivables | 3 Months Ended |
Mar. 31, 2017 | |
Changes In Other Assets [Abstract] | |
Finance Receivables Disclosure[Text Block] | NOTE 8. SALES OF EQUIPMENT INSTALLMENT RECEIVABLES We offer our customers the option to purchase certain wireless devices in installments over a period of up to 30 months and, in many cases, they have the right to trade in the original equipment for a new device within a set period and have the remaining unpaid balance satisfied. As of March 31, 2017 and December 31, 2016, gross equipment installment receivables of $ 4,119 and $5,665 were included on our consolidated balance sheets, of which $ 2,346 and $ 3,425 are notes receivable that are included in “Accounts receivable - net.” In 2014, we entered into an uncommitted agreement pertaining to the sale of equipment installment receivables and related security with Citibank and various other relationship b anks as purchasers (collectively, the Purchasers). Under this agreement, we transferred certain receivables to the Purchasers for cash and additional consideration upon settlement of the receivables, referred to as the deferred purchase price. Under the te rms of the agreement, we continue to bill and collect the payments from our customers on behalf of the Purchasers. Since inception, cash proceeds received, net of remittances (excluding amounts returned as deferred purchase price), were $ 3, 740 . The follow ing table sets forth a summary of equipment installment receivables sold during the three months ended March 31, 2017 and 2016: Three months ended March 31, 2017 2016 Gross receivables sold $ 2,846 $ 2,482 Net receivables sold 1 2,621 2,256 Cash proceeds received 1,432 1,521 Deferred purchase price recorded 1,189 719 1 Receivables net of allowance, imputed interest and trade-in right guarantees. The deferred purchase price is initially recorded at estimated fair value, which is based on remaining installment payments expected to be collected, adjusted by the expected timing and value of device trade-ins, and subsequently carried at the lower of cost or net realizable value. The estimated value of the device trade-ins considers prices offered to us by independent third parties that contemplate changes in value after the launch of a device model. The fair value measurements used are considered Leve l 3 under the Fair Value Measurement and Disclosure framework (see Note 6). The following table shows the equipment installment receivables, previously sold to the Purchasers, which we repurchased in exchange for the associated deferred purchase price dur ing the three months ended March 31, 2017 and 2016: Three months ended March 31, 2017 2016 Fair value of repurchased receivables $ 377 $ 532 Carrying value of deferred purchase price 339 539 Gain (loss) on repurchases 1 $ 38 $ (7) 1 These gains (losses) are included in “Selling, general and administrative” in the consolidated statements of income. At March 31, 2017 and December 31, 2016, our deferred purchase price receivable was $3,813 and $3,090, respectively, of which $2,049 and $1,606 are included in “Other current assets” on our consolidated balance sheets, with the remainder in “Other Assets.” Our maximum exposure to loss as a result of selling these equipment installment receivables is limited to the amount of our deferred purchase price at any point in time. The sales of equipment installment receivables did not have a material impac t on our consolidated statements of income or to “Total Assets” reported on our consolidated balance sheets. We reflect the cash flows related to the arrangement as operating activities in our consolidated statements of cash flows because the cash received from the Purchasers upon both the sale of the receivables and the collection of the deferred purchase price is not subject to significant interest rate risk. Derecognized Installment Receivables The following table sets forth a summary of equipment installment receivables that were sold to Purchasers and are no longer considered our assets. 2017 Outstanding derecognized receivables at January 1, $ 7,232 Gross receivables sold 2,846 Collections on cash purchase price (1,128) Collections on deferred purchase price (185) Fees (23) Trade ins and other (73) Fair value of repurchased receivables (377) Outstanding derecognized receivables at March 31, $ 8,292 |
Preparation Of Interim Financ18
Preparation Of Interim Financial Statements (Policy) | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | NOTE 1. PREPARATION OF INTERIM FINANCIAL STATEMENTS Basis of Presentation These consolidated financial statements include all adjustments that are necessary to present fairly the results for the presented interim periods, consisting of normal recurring accruals and other items. The consolidated financial statements include the accounts of the Company and our majority-owned subsidiaries and affiliates. All significant intercompany transactions are eliminated in the consolidation process. Investments in less than majority-owned subsidiaries and partnerships where we have significant influence are accounted for under the equity method. Earnings from certain investments accounted for using the equity method are included for periods ended within up to one q uarter of our period end. We also record our proportionate share of our equity method investees’ other comprehensive income (OCI) items, including cumulative translation adjustments. The preparation of financial statements in conformity with U.S. generall y accepted accounting principles (GAAP) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes, including estimates of probable losses and expenses. Actual results could dif fer from those estimates. Certain amounts have been reclassified to conform to the current period's presentation. Recently Adopted Accounting Standards Income Taxes As of January 1, 2017, we adopted Accounting Standards Update (ASU) No. 2016-16, “Income Taxes (Topic 740)” (ASU 2016-16), with modified retrospective application, resulting in our recognition of an immaterial adjustment to retained earnings. Under ASU 2016-16, we recognize the income tax effects of the intercompany sales or transfers of assets other than inventory (e.g., intellectual property or property, plant and equipment) during the period of int ercompany sale or transfer instead of the period of either the sale or transfer to a third party or recognition of depreciation or impairment. New Accounting Standards Pension and Other Postretirement Benefits In March 2017, the Financial Accounting Stan dards Board ( FASB ) issued ASU No. 2017-07, “Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost” (ASU 2017-07), which changes the presentation of periodic bene fit cost components . Under ASU 2017-07, we will continue to present service costs within our operating expenses but present amortization of prior service credits and other components of our net periodic benefit cost in “other income (expense)” in our conso lidated statements of income. ASU 2017-07 is effective for annual reporting periods beginning after December 15, 2017. See Note 5 for our components of net periodic benefit cost. Revenue Recognition In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)” (ASC 606) , and has modified the standard thereafter. This standard replaces existing revenue recognition rules with a comprehensive revenue measurement and recognition standard and expanded disclosure requirements . ASC 606, as amended, becomes effective for annual reporting periods beginning after December 15, 2017, at which point we plan to adopt the standard using the “modified retrospective method.” Under that method, we will apply the rules to all contracts exi sting as of January 1, 2018, recognizing in beginning retained earnings an adjustment for the cumulative effect of the change and providing additional disclosures comparing results to previous accounting standards. |
Income Taxes | Income Taxes As of January 1, 2017, we adopted Accounting Standards Update (ASU) No. 2016-16, “Income Taxes (Topic 740)” (ASU 2016-16), with modified retrospective application, resulting in our recognition of an immaterial adjustment to retained earnings. Under ASU 2016-16, we recognize the income tax effects of the intercompany sales or transfers of assets other than inventory (e.g., intellectual property or property, plant and equipment) during the period of int ercompany sale or transfer instead of the period of either the sale or transfer to a third party or recognition of depreciation or impairment. |
Pension and Other Postretirement Benefits | Pension and Other Postretirement Benefits In March 2017, the Financial Accounting Stan dards Board ( FASB ) issued ASU No. 2017-07, “Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost” (ASU 2017-07), which changes the presentation of periodic bene fit cost components . Under ASU 2017-07, we will continue to present service costs within our operating expenses but present amortization of prior service credits and other components of our net periodic benefit cost in “other income (expense)” in our conso lidated statements of income. ASU 2017-07 is effective for annual reporting periods beginning after December 15, 2017. See Note 5 for our components of net periodic benefit cost. |
Revenue Recognition | Revenue Recognition In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)” (ASC 606) , and has modified the standard thereafter. This standard replaces existing revenue recognition rules with a comprehensive revenue measurement and recognition standard and expanded disclosure requirements . ASC 606, as amended, becomes effective for annual reporting periods beginning after December 15, 2017, at which point we plan to adopt the standard using the “modified retrospective method.” Under that method, we will apply the rules to all contracts exi sting as of January 1, 2018, recognizing in beginning retained earnings an adjustment for the cumulative effect of the change and providing additional disclosures comparing results to previous accounting standards. |
Pension And Postretirement Be19
Pension And Postretirement Benefits (Policy) | 3 Months Ended |
Mar. 31, 2017 | |
Pension And Postretirement Benefits | |
Capitalization Of Benefit Plan Costs | A portion of these expenses is capitalized as part of internal construction projects, providing a small reduction in the net expense recorded. |
Recognition Of Actuarial Gains And Losses | We recognize actuarial gains and losses on pension and p ostretirement plan assets in our operating results at our annual measurement date of December 31, unless earlier remeasurements are required. |
Fair Value Measurements And D20
Fair Value Measurements And Disclosure (Policy) | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Derivatives, Offsetting Fair Value Amounts, Policy [Policy Text Block] | We do not offset the fair value of collateral, whether the right to reclaim cash collateral (a receivable) or the obligation to return cash collateral (a payable) exists, against the fair value of the derivative instruments. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share | |
Reconciliation Of The Numerators And Denominators Of Basic Earnings Per Share And Diluted Earnings Per Share | Three months ended March 31, 2017 2016 Numerators Numerator for basic earnings per share: Net Income $ 3,574 $ 3,885 Less: Net income attributable to noncontrolling interest (105) (82) Net Income attributable to AT&T 3,469 3,803 Dilutive potential common shares: Share-based payment 4 4 Numerator for diluted earnings per share $ 3,473 $ 3,807 Denominators (000,000) Denominator for basic earnings per share: Weighted average number of common shares outstanding 6,166 6,172 Dilutive potential common shares: Share-based payment (in shares) 20 18 Denominator for diluted earnings per share 6,186 6,190 Basic earnings per share attributable to AT&T $ 0.56 $ 0.62 Diluted earnings per share attributable to AT&T $ 0.56 $ 0.61 |
Accumulated Other Comprehensi22
Accumulated Other Comprehensive Income (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Accumulated Other Comprehensive Income [Abstract] | |
Accumulated Other Comprehensive Income | Foreign Currency Translation Adjustment Net Unrealized Gains (Losses) on Available-for-Sale Securities Net Unrealized Gains (Losses) on Cash Flow Hedges Defined Benefit Postretirement Plans Accumulated Other Comprehensive Income Balance as of December 31, 2016 $ (1,995) $ 541 $ 744 $ 5,671 $ 4,961 Other comprehensive income (loss) before reclassifications 366 33 13 - 412 Amounts reclassified from accumulated OCI - 1 5 1 10 2 (228) 3 (213) Net other comprehensive income (loss) 366 38 23 (228) 199 Balance as of March 31, 2017 $ (1,629) $ 579 $ 767 $ 5,443 $ 5,160 Foreign Currency Translation Adjustment Net Unrealized Gains (Losses) on Available-for-Sale Securities Net Unrealized Gains (Losses) on Cash Flow Hedges Defined Benefit Postretirement Plans Accumulated Other Comprehensive Income Balance as of December 31, 2015 $ (1,198) $ 484 $ 16 $ 6,032 $ 5,334 Other comprehensive income (loss) before reclassifications (44) (26) 124 - 54 Amounts reclassified from accumulated OCI - 1 (3) 1 10 2 (215) 3 (208) Net other comprehensive income (loss) (44) (29) 134 (215) (154) Balance as of March 31, 2016 $ (1,242) $ 455 $ 150 $ 5,817 $ 5,180 1 (Gains) losses are included in Other income (expense) - net in the consolidated statements of income. 2 (Gains) losses are included in Interest expense in the consolidated statements of income. See Note 6 for additional information. 3 The amortization of prior service credits associated with postretirement benefits, net of amounts capitalized as part of construction labor, are included in Cost of services and sales and Selling, general and administrative in the consolidated statements of income (see Note 5). |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Segment Information | |
Reconciliation of Revenue from Segments to Consolidated | For the three months ended March 31, 2017 Revenues Operations and Support Expenses EBITDA Depreciation and Amortization Operating Income (Loss) Equity in Net Income (Loss) of Affiliates Segment Contribution Business Solutions $ 16,848 $ 10,176 $ 6,672 $ 2,312 $ 4,360 $ - $ 4,360 Entertainment Group 12,623 9,601 3,022 1,419 1,603 (6) 1,597 Consumer Mobility 7,740 4,528 3,212 873 2,339 - 2,339 International 1,929 1,759 170 290 (120) 20 (100) Segment Total 39,140 26,064 13,076 4,894 8,182 $ 14 $ 8,196 Corporate and Other 225 221 4 31 (27) Acquisition-related items - 207 (207) 1,202 (1,409) Certain significant items - (118) 118 - 118 AT&T Inc. $ 39,365 $ 26,374 $ 12,991 $ 6,127 $ 6,864 For the three months ended March 31, 2016 Revenues Operations and Support Expenses EBITDA Depreciation and Amortization Operating Income (Loss) Equity in Net Income (Loss) of Affiliates Segment Contribution Business Solutions $ 17,609 $ 10,802 $ 6,807 $ 2,508 $ 4,299 $ - $ 4,299 Entertainment Group 12,658 9,578 3,080 1,488 1,592 3 1,595 Consumer Mobility 8,328 4,912 3,416 922 2,494 - 2,494 International 1,667 1,588 79 277 (198) 14 (184) Segment Total 40,262 26,880 13,382 5,195 8,187 $ 17 $ 8,204 Corporate and Other 273 377 (104) 17 (121) Acquisition-related items - 295 (295) 1,351 (1,646) Certain significant items - (711) 711 - 711 AT&T Inc. $ 40,535 $ 26,841 $ 13,694 $ 6,563 $ 7,131 |
Reconciliation of Operating Income (Loss) from Segments to Consolidated Statements of Income | The following table is a reconciliation of Segment Contribution to “Income Before Income Taxes” reported on our consolidated statements of income. First Quarter 2017 2016 Business Solutions $ 4,360 $ 4,299 Entertainment Group 1,597 1,595 Consumer Mobility 2,339 2,494 International (100) (184) Segment Contribution 8,196 8,204 Reconciling Items: Corporate and Other (27) (121) Merger and integration charges (207) (295) Amortization of intangibles acquired (1,202) (1,351) Employee separation costs - (25) Gain on wireless spectrum transactions 118 736 Segment equity in net (income) loss of affiliates (14) (17) AT&T Operating Income 6,864 7,131 Interest expense 1,293 1,207 Equity in net income (loss) of affiliates (173) 13 Other income (expense) - net (20) 70 Income Before Income Taxes $ 5,378 $ 6,007 |
Pension And Postretirement Be24
Pension And Postretirement Benefits (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Pension And Postretirement Benefits | |
Pension And Postretirement Benefit Costs Included In Operating Expenses | Three months ended March 31, 2017 2016 Pension cost: Service cost – benefits earned during the period $ 282 $ 278 Interest cost on projected benefit obligation 484 495 Expected return on assets (783) (778) Amortization of prior service credit (31) (26) Net pension (credit) cost $ (48) $ (31) Postretirement cost: Service cost – benefits earned during the period $ 41 $ 48 Interest cost on accumulated postretirement benefit obligation 222 243 Expected return on assets (80) (89) Amortization of prior service credit (336) (319) Net postretirement (credit) cost $ (153) $ (117) Combined net pension and postretirement (credit) cost $ (201) $ (148) |
Fair Value Measurements And D25
Fair Value Measurements And Disclosure (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Long-Term Debt And Other Financial Instruments | March 31, 2017 December 31, 2016 Carrying Fair Carrying Fair Amount Value Amount Value Notes and debentures 1 $ 132,379 $ 138,944 $ 122,381 $ 128,726 Bank borrowings 3 3 4 4 Investment securities 2,640 2,640 2,587 2,587 1 Includes credit agreement borrowings. |
Fair Value Leveling | March 31, 2017 Level 1 Level 2 Level 3 Total Available-for-Sale Securities Domestic equities $ 1,253 $ - $ - $ 1,253 International equities 639 - - 639 Fixed income bonds - 501 - 501 Asset Derivatives 1 Interest rate swaps - 62 - 62 Cross-currency swaps - 235 - 235 Liability Derivatives 1 Interest rate swaps - (20) - (20) Cross-currency swaps - (3,635) - (3,635) 1 Derivatives designated as hedging instruments are reflected as “Other assets,” “Other noncurrent liabilities” and, for a portion of interest rate swaps, “Other current assets” in our consolidated balance sheets. December 31, 2016 Level 1 Level 2 Level 3 Total Available-for-Sale Securities Domestic equities $ 1,215 $ - $ - $ 1,215 International equities 594 - - 594 Fixed income bonds - 508 - 508 Asset Derivatives 1 Interest rate swaps - 79 - 79 Cross-currency swaps - 89 - 89 Liability Derivatives 1 Interest rate swaps - (14) - (14) Cross-currency swaps - (3,867) - (3,867) 1 Derivatives designated as hedging instruments are reflected as “Other assets,” “Other noncurrent liabilities” and, for a portion of interest rate swaps, “Other current assets” in our consolidated balance sheets. |
Notional Amount Of Outstanding Derivative Positions | March 31, December 31, 2017 2016 Interest rate swaps $ 10,450 $ 9,650 Cross-currency swaps 29,642 29,642 Total $ 40,092 $ 39,292 |
Effect Of Derivatives On The Consolidated Statements Of Income | Following are the related hedged items affecting our financial position and performance: Effect of Derivatives on the Consolidated Statements of Income Fair Value Hedging Relationships Three months ended March 31, 2017 2016 Interest rate swaps (Interest expense): Gain (Loss) on interest rate swaps $ (25) $ 66 Gain (Loss) on long-term debt 25 (66) Cash Flow Hedging Relationships Three months ended March 31, 2017 2016 Cross-currency swaps: Gain (Loss) recognized in accumulated OCI $ 20 $ 191 Interest rate locks: Interest income (expense) reclassified from accumulated OCI into income (15) (15) |
Sale of Equipment Installment26
Sale of Equipment Installment Receivables (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Changes In Other Assets [Abstract] | |
Finance Receivables | Three months ended March 31, 2017 2016 Gross receivables sold $ 2,846 $ 2,482 Net receivables sold 1 2,621 2,256 Cash proceeds received 1,432 1,521 Deferred purchase price recorded 1,189 719 1 Receivables net of allowance, imputed interest and trade-in right guarantees. |
Finance Receivables Repurchased | Three months ended March 31, 2017 2016 Fair value of repurchased receivables $ 377 $ 532 Carrying value of deferred purchase price 339 539 Gain (loss) on repurchases 1 $ 38 $ (7) 1 These gains (losses) are included in “Selling, general and administrative” in the consolidated statements of income. |
Derecognized Installment Receivables | 2017 Outstanding derecognized receivables at January 1, $ 7,232 Gross receivables sold 2,846 Collections on cash purchase price (1,128) Collections on deferred purchase price (185) Fees (23) Trade ins and other (73) Fair value of repurchased receivables (377) Outstanding derecognized receivables at March 31, $ 8,292 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Earnings Per Share | ||
Net income | $ 3,574 | $ 3,885 |
Less: Net income attributable to noncontrolling interest | (105) | (82) |
Net Income attributable to AT&T | 3,469 | 3,803 |
Share-based payment | 4 | 4 |
Numerator for diluted earnings per share | $ 3,473 | $ 3,807 |
Weighted average number of common shares outstanding | 6,166 | 6,172 |
Share-based payment (in shares) | 20 | 18 |
Denominator for diluted earnings per share | 6,186 | 6,190 |
Basic Earnings Per Share Attributable to AT&T | $ 0.56 | $ 0.62 |
Diluted Earnings Per Share Attributable to AT&T | $ 0.56 | $ 0.61 |
Accumulated Other Comprehensi28
Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Accumulated other comprehensive income, beginning balance | $ 4,961 | $ 5,334 | |
Other comprehensive income (loss) before reclassification, net of tax | 412 | 54 | |
Amounts reclassifed from accumulated OCI, net of tax | (213) | (208) | |
Net other comprehensive income (loss), net of tax | 199 | (154) | |
Accumulated other comprehensive income, ending balance | 5,160 | 5,180 | |
Foreign Currency Translation Adjustment [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Accumulated other comprehensive income, beginning balance | (1,995) | (1,198) | |
Other comprehensive income (loss) before reclassification, net of tax | 366 | (44) | |
Amounts reclassifed from accumulated OCI, net of tax | [1] | 0 | 0 |
Net other comprehensive income (loss), net of tax | 366 | (44) | |
Accumulated other comprehensive income, ending balance | (1,629) | (1,242) | |
Net Unrealized Gains (Losses) on Available-for-Sale Securities [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Accumulated other comprehensive income, beginning balance | 541 | 484 | |
Other comprehensive income (loss) before reclassification, net of tax | 33 | (26) | |
Amounts reclassifed from accumulated OCI, net of tax | [1] | 5 | (3) |
Net other comprehensive income (loss), net of tax | 38 | (29) | |
Accumulated other comprehensive income, ending balance | 579 | 455 | |
Net Unrealized Gains (Losses) on Cash Flow Hedges [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Accumulated other comprehensive income, beginning balance | 744 | 16 | |
Other comprehensive income (loss) before reclassification, net of tax | 13 | 124 | |
Amounts reclassifed from accumulated OCI, net of tax | [2] | 10 | 10 |
Net other comprehensive income (loss), net of tax | 23 | 134 | |
Accumulated other comprehensive income, ending balance | 767 | 150 | |
Defined Benefit Postretirement Plans [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Accumulated other comprehensive income, beginning balance | 5,671 | 6,032 | |
Other comprehensive income (loss) before reclassification, net of tax | 0 | 0 | |
Amounts reclassifed from accumulated OCI, net of tax | [3] | (228) | (215) |
Net other comprehensive income (loss), net of tax | (228) | (215) | |
Accumulated other comprehensive income, ending balance | $ 5,443 | $ 5,817 | |
[1] | (Gains) losses are included in Other income (expense) - net in the consolidated statements of income. | ||
[2] | (Gains) losses are included in Interest expense in the consolidated statements of income. See Note 6 for additional information. | ||
[3] | The amortization of prior service credits associated with postretirement benefits, net of amounts capitalized as part of construction labor, are included in Cost of services and sales and Selling, general and administrative in the consolidated statements of income (see Note 5). |
Segment Information (Summary Of
Segment Information (Summary Of Operating Revenues And Expenses) (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2017 | |
Segment Reporting Information [Line Items] | |
Number of Reportable Segments | 4 |
Segment Information (Summary 30
Segment Information (Summary Of Operating Revenues And Expenses) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Information [Line Items] | ||
Revenue | $ 39,365 | $ 40,535 |
Operations and Support Expenses | 26,374 | 26,841 |
EBITDA | 12,991 | 13,694 |
Depreciation and Amortization | 6,127 | 6,563 |
Operating Income (Loss) | 6,864 | 7,131 |
Equity in Net Income (Loss) of Affiliates | (173) | 13 |
Segment Contribution | 5,378 | 6,007 |
Operating Segments [Member] | Business Solutions [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 16,848 | 17,609 |
Operations and Support Expenses | 10,176 | 10,802 |
EBITDA | 6,672 | 6,807 |
Depreciation and Amortization | 2,312 | 2,508 |
Operating Income (Loss) | 4,360 | 4,299 |
Equity in Net Income (Loss) of Affiliates | 0 | 0 |
Segment Contribution | 4,360 | 4,299 |
Operating Segments [Member] | Entertainment Group [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 12,623 | 12,658 |
Operations and Support Expenses | 9,601 | 9,578 |
EBITDA | 3,022 | 3,080 |
Depreciation and Amortization | 1,419 | 1,488 |
Operating Income (Loss) | 1,603 | 1,592 |
Equity in Net Income (Loss) of Affiliates | (6) | 3 |
Segment Contribution | 1,597 | 1,595 |
Operating Segments [Member] | Consumer Mobility [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 7,740 | 8,328 |
Operations and Support Expenses | 4,528 | 4,912 |
EBITDA | 3,212 | 3,416 |
Depreciation and Amortization | 873 | 922 |
Operating Income (Loss) | 2,339 | 2,494 |
Equity in Net Income (Loss) of Affiliates | 0 | 0 |
Segment Contribution | 2,339 | 2,494 |
Operating Segments [Member] | International [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 1,929 | 1,667 |
Operations and Support Expenses | 1,759 | 1,588 |
EBITDA | 170 | 79 |
Depreciation and Amortization | 290 | 277 |
Operating Income (Loss) | (120) | (198) |
Equity in Net Income (Loss) of Affiliates | 20 | 14 |
Segment Contribution | (100) | (184) |
Operating Segments [Member] | Segment Total [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 39,140 | 40,262 |
Operations and Support Expenses | 26,064 | 26,880 |
EBITDA | 13,076 | 13,382 |
Depreciation and Amortization | 4,894 | 5,195 |
Operating Income (Loss) | 8,182 | 8,187 |
Equity in Net Income (Loss) of Affiliates | 14 | 17 |
Segment Contribution | 8,196 | 8,204 |
Consolidation Non-Segment [Member] | Corporate and Other [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 225 | 273 |
Operations and Support Expenses | 221 | 377 |
EBITDA | 4 | (104) |
Depreciation and Amortization | 31 | 17 |
Operating Income (Loss) | (27) | (121) |
Consolidation Non-Segment [Member] | Acquisition-related items [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 0 | 0 |
Operations and Support Expenses | 207 | 295 |
EBITDA | (207) | (295) |
Depreciation and Amortization | 1,202 | 1,351 |
Operating Income (Loss) | (1,409) | (1,646) |
Consolidation Non-Segment [Member] | Certain Significant Items [Member] | ||
Segment Reporting Information [Line Items] | ||
Revenue | 0 | 0 |
Operations and Support Expenses | (118) | (711) |
EBITDA | 118 | 711 |
Depreciation and Amortization | 0 | 0 |
Operating Income (Loss) | $ 118 | $ 711 |
Segment Information (Reconcilia
Segment Information (Reconciliation Of Operating Income Loss to Consolidated Statement Of Income) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | $ 6,864 | $ 7,131 |
Interest Expense | 1,293 | 1,207 |
Equity in net income (loss) of affiliates | (173) | 13 |
Other income (expense) - net | (20) | 70 |
Segment Contribution | 5,378 | 6,007 |
Operating Segments [Member] | Business Solutions [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | 4,360 | 4,299 |
Equity in net income (loss) of affiliates | 0 | 0 |
Segment Contribution | 4,360 | 4,299 |
Operating Segments [Member] | Entertainment Group [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | 1,603 | 1,592 |
Equity in net income (loss) of affiliates | (6) | 3 |
Segment Contribution | 1,597 | 1,595 |
Operating Segments [Member] | Consumer Mobility [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | 2,339 | 2,494 |
Equity in net income (loss) of affiliates | 0 | 0 |
Segment Contribution | 2,339 | 2,494 |
Operating Segments [Member] | International [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | (120) | (198) |
Equity in net income (loss) of affiliates | 20 | 14 |
Segment Contribution | (100) | (184) |
Operating Segments [Member] | Segment Contribution [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | 8,182 | 8,187 |
Equity in net income (loss) of affiliates | 14 | 17 |
Segment Contribution | 8,196 | 8,204 |
Segment Reconciling Items [Member] | Corporate and Other [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | (27) | (121) |
Segment Reconciling Items [Member] | Merger and intergration items [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | (207) | (295) |
Segment Reconciling Items [Member] | Amortization of intangibles acquired [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | (1,202) | (1,351) |
Segment Reconciling Items [Member] | Employee separate charges [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | 0 | (25) |
Segment Reconciling Items [Member] | Gain (Loss) on wireless spectrum transactions [Member] | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | 118 | 736 |
Segment Reconciling Items [Member] | Segment equity in net (income) loss | ||
Segment Reporting Reconciling Item For Operating Income (Loss) From Segment To Consolidated Statements Of Income [Line Items] | ||
AT&T Operating Income | $ (14) | $ (17) |
Pension And Postretirement Be32
Pension And Postretirement Benefits (Narrative) (Details) - Pension Benefit [Member] - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Net supplemental retirement pension benefits costs | $ 22 | $ 23 | ||
Pension Contribution Date | Dec. 31, 2013 | |||
Required contribution to pension plans | 140 | |||
Value of entity's noncash contribution to it's defined benefit plans | $ 8,426 | |||
Forecast [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Required contribution to pension plans | $ 560 |
Pension And Postretirement Be33
Pension And Postretirement Benefits (Pension And Postretirement Benefit Costs Included In Operating Expenses) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Net (credit) cost | $ (201) | $ (148) |
Pension Benefit [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 282 | 278 |
Interest cost on benefit obligation | 484 | 495 |
Expected return on assets | (783) | (778) |
Amortization of prior service credit | (31) | (26) |
Net (credit) cost | (48) | (31) |
Postretirement Benefit [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost - benefits earned during the period | 41 | 48 |
Interest cost on benefit obligation | 222 | 243 |
Expected return on assets | (80) | (89) |
Amortization of prior service credit | (336) | (319) |
Net (credit) cost | $ (153) | $ (117) |
Fair Value Measurements And D34
Fair Value Measurements And Disclosure (Narrative) (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Fair Value Disclosures [Line Items] | ||
Collateral received from counterparty | $ 0 | $ 0 |
Collateral submitted to counterparty | 2,846 | $ 3,242 |
Collateral contingently payable to the counterparty | 123 | |
Fixed income investments - maturities less than 1 year | 236 | |
Fixed income investments - maturities within 1 to 3 years | 58 | |
Fixed income investments - maturities within 3 to 5 years | 47 | |
Fixed income investments - maturities for 5 or more years | 160 | |
Anticipated reclassification of holding losses during the next 12 months - cash flow hedges | 59 | |
DIRECTV [Member] | ||
Fair Value Disclosures [Line Items] | ||
Collateral contingently payable to the counterparty | $ 246 |
Fair Value Measurements And D35
Fair Value Measurements And Disclosure (Long-Term Debt And Other Financial Instruments) (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 | |
Carrying Amount [Member] | |||
Schedule of Fair Value of Separate Accounts by Major Category of Investment [Line Items] | |||
Notes and debentures | [1] | $ 132,379 | $ 122,381 |
Bank borrowings | 3 | 4 | |
Investment securities | 2,640 | 2,587 | |
Fair Value [Member] | |||
Schedule of Fair Value of Separate Accounts by Major Category of Investment [Line Items] | |||
Bank borrowings | 3 | 4 | |
Investment securities | 2,640 | 2,587 | |
Fair Value [Member] | Level 2 [Member] | |||
Schedule of Fair Value of Separate Accounts by Major Category of Investment [Line Items] | |||
Notes and debentures | [1] | $ 138,944 | $ 128,726 |
[1] | Includes credit agreement borrowings. |
Fair Value Measurements And D36
Fair Value Measurements And Disclosure (Fair Value Leveling) (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 | |
Interest Rate Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset Derivatives (at fair value) | [1] | $ 62 | $ 79 |
Liability Derivatives (at fair value) | [1] | (20) | (14) |
Cross-Currency Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset Derivatives (at fair value) | [1] | 235 | 89 |
Liability Derivatives (at fair value) | [1] | (3,635) | (3,867) |
Domestic Equities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 1,253 | 1,215 | |
International Equities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 639 | 594 | |
Fixed Income Bonds [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 501 | 508 | |
Level 1 [Member] | Interest Rate Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset Derivatives (at fair value) | [1] | 0 | 0 |
Liability Derivatives (at fair value) | [1] | 0 | 0 |
Level 1 [Member] | Cross-Currency Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset Derivatives (at fair value) | [1] | 0 | 0 |
Liability Derivatives (at fair value) | [1] | 0 | 0 |
Level 1 [Member] | Domestic Equities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 1,253 | 1,215 | |
Level 1 [Member] | International Equities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 639 | 594 | |
Level 1 [Member] | Fixed Income Bonds [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 0 | 0 | |
Level 2 [Member] | Interest Rate Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset Derivatives (at fair value) | [1] | 62 | 79 |
Liability Derivatives (at fair value) | [1] | (20) | (14) |
Level 2 [Member] | Cross-Currency Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset Derivatives (at fair value) | [1] | 235 | 89 |
Liability Derivatives (at fair value) | [1] | (3,635) | (3,867) |
Level 2 [Member] | Domestic Equities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 0 | 0 | |
Level 2 [Member] | International Equities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 0 | 0 | |
Level 2 [Member] | Fixed Income Bonds [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 501 | 508 | |
Level 3 [Member] | Interest Rate Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset Derivatives (at fair value) | [1] | 0 | 0 |
Liability Derivatives (at fair value) | [1] | 0 | 0 |
Level 3 [Member] | Cross-Currency Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset Derivatives (at fair value) | [1] | 0 | 0 |
Liability Derivatives (at fair value) | [1] | 0 | 0 |
Level 3 [Member] | Domestic Equities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 0 | 0 | |
Level 3 [Member] | International Equities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | 0 | 0 | |
Level 3 [Member] | Fixed Income Bonds [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Available-for-Sale Securities (at fair value) | $ 0 | $ 0 | |
[1] | Derivatives designated as hedging instruments are reflected as “Other assets,” “Other noncurrent liabilities” and, for a portion of interest rate swaps, “Other current assets” in our consolidated balance sheets. |
Fair Value Measurements And D37
Fair Value Measurements And Disclosure (Notional Amount Of Our Outstanding Derivative Positions) (Details) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Derivative [Line Items] | ||
Notional Amount of Outstanding Derivative Positions | $ 40,092 | $ 39,292 |
Interest Rate Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Amount of Outstanding Derivative Positions | 10,450 | 9,650 |
Cross-Currency Swaps [Member] | ||
Derivative [Line Items] | ||
Notional Amount of Outstanding Derivative Positions | $ 29,642 | $ 29,642 |
Fair Value Measurements And D38
Fair Value Measurements And Disclosure (Effect Of Derivatives On The Consolidated Statements Of Income) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Fair Value Hedging Relationships [Member] | Interest Rate Swaps [Member] | Interest expense [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) on interest rate swaps | $ (25) | $ 66 |
Gain (Loss) on long-term debt | 25 | (66) |
Cash Flow Hedging Relationships [Member] | Cross-Currency Swaps [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (Loss) recognized in accumulated OCI | 20 | 191 |
Cash Flow Hedging Relationships [Member] | Interest Rate Locks [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Interest income (expense) reclassified from accumulated OCI into income | $ (15) | $ (15) |
Acquisitions, Dispositions An39
Acquisitions, Dispositions And Other Adjustments (Narrative) (Details) $ / shares in Units, $ in Millions | Apr. 13, 2017USD ($) | Feb. 15, 2017 | Apr. 30, 2017USD ($) | Jul. 31, 2016USD ($) | Mar. 31, 2017USD ($)$ / shares | Mar. 31, 2016USD ($) | Dec. 31, 2016USD ($) |
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of business - purchase price (in millions) | $ 162 | $ 165 | |||||
Business Combination - Goodwill | $ 105,593 | $ 105,207 | |||||
Auction 1000 [Member] | Acquisition [Member] | Spectrum Licenses [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of intangible assets through a group purchase - value/amount of assets acquired | $ 910 | ||||||
Payments To Acquire Intangible Assets | $ (1,438) | $ 2,348 | |||||
Assets Acquisition - number of markets (as shown) | 18 | ||||||
Regulatory Approval Date | Apr. 13, 2017 | ||||||
Time Warner Inc. [Member] | Acquisition [Member] | Pending Approval [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Business Acquisition, Date of Acquisition Agreement | Oct. 22, 2016 | ||||||
Acquisition of business - anticipated acquisition period | Dec. 31, 2017 | ||||||
Acquired entity's shareholder approval date | Feb. 15, 2017 | ||||||
Fair Value of Assets Acquired | $ 108,200 | ||||||
Acquisition of business - purchase price (in millions) | $ 85,400 | ||||||
Acquisition of business - purchase price (in US dollars per share) | $ / shares | $ 107.5 | ||||||
Acquisition of business - obligation upon termination | $ 500 | ||||||
Time Warner Inc. [Member] | Acquisition [Member] | Pending Approval [Member] | Minimum [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of business - percentage ownership of combined company held by former shareholders of acquiree | 14.40% | ||||||
Time Warner Inc. [Member] | Acquisition [Member] | Pending Approval [Member] | Maximum [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of business - percentage ownership of combined company held by former shareholders of acquiree | 15.70% | ||||||
Time Warner Inc. [Member] | Acquisition [Member] | Pending Approval [Member] | Cash [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of business - consideration to be given (percent) | 50.00% | ||||||
Acquisition of business - value of noncash consideration to be given (in US dollars per share) | $ / shares | $ 53.75 | ||||||
Time Warner Inc. [Member] | Acquisition [Member] | Pending Approval [Member] | Common Stock [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of business - consideration to be given (percent) | 50.00% | ||||||
Time Warner Inc. [Member] | Acquisition [Member] | Pending Approval [Member] | Common Stock [Member] | Stock Price Scenario 1 [Member] | Minimum [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of business - noncash consideration to be given | Quotient of $53.75 divided by the average stock price | ||||||
Acquisition of business - value of noncash consideration to be given (in US dollars per share) | $ / shares | $ 37.411 | ||||||
Time Warner Inc. [Member] | Acquisition [Member] | Pending Approval [Member] | Common Stock [Member] | Stock Price Scenario 1 [Member] | Maximum [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of business - noncash consideration to be given | Quotient of $53.75 divided by the average stock price | ||||||
Acquisition of business - value of noncash consideration to be given (in US dollars per share) | $ / shares | $ 41.349 | ||||||
Time Warner Inc. [Member] | Acquisition [Member] | Pending Approval [Member] | Common Stock [Member] | Stock Price Scenario 2 [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of business - noncash consideration to be given | 1.300 shares of AT&T stock per share of Time Warner common stock | ||||||
Acquisition of business - value of noncash consideration to be given (in US dollars per share) | $ / shares | $ 41.349 | ||||||
Time Warner Inc. [Member] | Acquisition [Member] | Pending Approval [Member] | Common Stock [Member] | Stock Price Scenario 3 [Member] | |||||||
Acquisition and Dispositions [Line Items] | |||||||
Acquisition of business - noncash consideration to be given | 1.437 shares of AT&T stock per share of Time Warner common stock | ||||||
Acquisition of business - value of noncash consideration to be given (in US dollars per share) | $ / shares | $ 37.411 |
Acquisitions, Dispositions An40
Acquisitions, Dispositions And Other Adjustments (Other Events) (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2017 | |
Governmental Contracts Subject to Renegotiation [Abstract] | |
Refunds Due under Government Contracts Not Reasonably Estimable | success-based payments of $6,500 over the next five years |
Basis of Provision for Refunds under Government Contracts | On March 30, 2017, the First Responder Network Authority (FirstNet) announced its selection of AT&T to build and manage the first nationwide broadband network dedicated to America’s first responders. FirstNet expects to provide 20 MHz of valuable telecommunications spectrum and success-based payments of $6,500 over the next five years to support network buildout. The actual reach of the network and our investment over the 25-year period will be determined by the number of individual states electing to participate in FirstNet. We do not expect FirstNet to materially impact our 2017 results given the timing of the state opt-in process. |
Sale Of Equipment Installment41
Sale Of Equipment Installment Receivables (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 34 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Dec. 31, 2016 | |
Changes In Other Assets [Line Items] | ||||
Other Assets - current | $ 14,347 | $ 14,347 | $ 14,232 | |
Deferred Purchase Price [Member] | ||||
Changes In Other Assets [Line Items] | ||||
Other Assets | 3,813 | 3,813 | 3,090 | |
Other Assets - current | 2,049 | 2,049 | 1,606 | |
Finance Receivables [Member] | ||||
Changes In Other Assets [Line Items] | ||||
Other Assets | 4,119 | 4,119 | 5,665 | |
Cash proceeds from sale of receivables, net | 1,432 | $ 1,521 | ||
Finance Receivables [Member] | Notes Receivable [Member] | ||||
Changes In Other Assets [Line Items] | ||||
Gross equipment installment receivables balance - current | $ 2,346 | 2,346 | $ 3,425 | |
Finance Receivables, Net [Member] | ||||
Changes In Other Assets [Line Items] | ||||
Equipment installment sales - maximum installment period (in months) | 30 months | |||
Cash proceeds from sale of receivables, net | $ 3,740 |
Sale Of Equipment Installment42
Sale Of Equipment Installment Receivables (Finance Receivables) (Details) - USD ($) $ in Millions | 3 Months Ended | 34 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | ||
Finance Receivables [Member] | ||||
Changes In Other Assets [Line Items] | ||||
Receivables sold during period | $ 2,846 | $ 2,482 | ||
Cash proceeds received | 1,432 | 1,521 | ||
Deferred purchase price recorded | 1,189 | 719 | ||
Finance Receivables Net [Member] | ||||
Changes In Other Assets [Line Items] | ||||
Receivables sold during period | [1] | $ 2,621 | $ 2,256 | |
Cash proceeds received | $ 3,740 | |||
[1] | Receivables net of allowance, imputed interest and trade-in right guarantees. |
Sale Of Equipment Installment43
Sale Of Equipment Installment Receivables (Finance Receivables Repurchased) (Details) - Finance Receivables [Member] - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | ||
Changes In Other Assets [Line Items] | |||
Fair value of repurchased receivables | $ 377 | $ 532 | |
Carrying value of deferred purchase price | 339 | 539 | |
Gain (Loss) on repurchases | [1] | $ 38 | $ (7) |
[1] | These gains (losses) are included in “Selling, general and administrative” in the consolidated statements of income. |
Sale Of Equipment Installment44
Sale Of Equipment Installment Receivables (Derecognized Installment Receivables) (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Derecognized Installment Receivables [Abstract] | |
Outstanding derecognized receivables at January 1, | $ 7,232 |
Gross receivables sold | 2,846 |
Collections on cash purchase price | (1,128) |
Collections on deferred purchase price | (185) |
Fees | (23) |
Trade-ins and other | (73) |
Fair value of repurchased receivables | (377) |
Outstanding derecognized receivables at March 31, | $ 8,292 |