<ARTICLE> 5 <LEGEND> This schedule contains restated summary financial information extracted from the audited balance sheet of AT&T at December 31, 1994 and the audited consolidated statement of income for the twelve-month period ended December 31, 1994 and is qualified in its entirety by reference to such financial statements. </LEGEND> <RESTATED> <MULTIPLIER> 1,000,000 <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> DEC-31-1994 <PERIOD-END> DEC-31-1994 <CASH> 1,208 <SECURITIES> 294 <RECEIVABLES> 13,671 <ALLOWANCES> 1,251 <INVENTORY> 3,633 <CURRENT-ASSETS> 37,611 <PP&E> 44,798 <DEPRECIATION> 23,519 <TOTAL-ASSETS> 79,262 <CURRENT-LIABILITIES> 30,930 <BONDS> 11,358 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 1,569 <OTHER-SE> 16,352 <TOTAL-LIABILITY-AND-EQUITY> 79,262 <SALES> 21,161 <TOTAL-REVENUES> 75,094 <CGS> 13,273 <TOTAL-COSTS> 44,382 <OTHER-EXPENSES> 22,763 <LOSS-PROVISION> 1,929 <INTEREST-EXPENSE> 724 <INCOME-PRETAX> 7,518 <INCOME-TAX> 2,808 <INCOME-CONTINUING> 4,710 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 4,710 <EPS-PRIMARY> $3.01 <EPS-DILUTED> 0