Item 8.01 Other Events.

On April 26, 2023, AT&T Inc. (AT&T) and State Street Global Advisors Trust Company, as independent fiduciary of the AT&T Pension Benefit Plan (Plan), entered into a commitment agreement with subsidiaries of Athene Holding Ltd. (Athene) under which AT&T agreed to purchase nonparticipating single premium group annuity contracts that would transfer to Athene certain of the Plan's defined benefit pension obligations related to certain retirees, participants and beneficiaries under the Plan.

The purchase of the group annuity contracts closed on May 3, 2023. The contracts cover approximately 96,000 AT&T participants and beneficiaries (Transferred Participants). Under the group annuity contracts, Athene, through its wholly-owned subsidiaries Athene Annuity and Life Company and Athene Annuity & Life Assurance Company of New York, made an irrevocable commitment, and will be solely responsible, to pay the pension benefits of each Transferred Participant beginning with their August 2023 pension payments. The transaction does not change the amount of pension benefits payable to the Transferred Participants.

The purchase of the group annuity contracts was funded directly by assets of the Plan via the pension trust underlying the Plan and required no cash or asset contributions by AT&T. As a result of the transaction, AT&T expects to recognize a one-time non-cash pre-tax pension settlement gain of approximately $350 million in the second quarter of 2023. The actual impact will depend on finalization of the actuarial and other assumptions. AT&T transferred approximately $8,050 million of benefit obligation and related plan assets upon close of the transaction and the funded status of the Plan did not change due to the transaction.

CAUTIONARY LANGUAGE CONCERNING FORWARD-LOOKING STATEMENTS

Information set forth in this filing contains financial estimates and other forward-looking statements that are subject to risks and uncertainties. A discussion of factors that may affect future results is contained in AT&T's filings with the Securities and Exchange Commission. AT&T disclaims any obligation to update or revise statements contained in this filing based on new information or otherwise.

--------------------------------------------------------------------------------

Item 9.01 Financial Statements and Exhibits.

The following exhibits are filed as part of this report:



(d)      Exhibits

         104       Cover Page Interactive Data File (embedded within the Inline XBRL document)



                                       1

--------------------------------------------------------------------------------

© Edgar Online, source Glimpses