By Dave Sebastian
AT&T Inc. said it expects to record a roughly $2.8 billion gain related to pension-benefit obligations after its recent resizing and restructuring.
The telecommunications company on Friday said it sees total distributions from the pension plan to exceed the threshold of service and interest costs for 2021. The $2.8 billion figure is a non-cash pre-tax actuarial gain, primarily due to an increase in the discount rate used to measure the obligation, AT&T said.
The company classifies actuarial gains and losses on pension and postretirement plan assets and obligations as "other income (expense)," it said.
For the first-quarter results, the company said it would recast its communication segment results to remove video and government solutions held-for-sale businesses, reporting those results in "Corporate and Other."
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(END) Dow Jones Newswires