On November 18, 2022, AT&T Inc. entered into a $12.0 billion Amended and Restated Credit Agreement (the Revolving Credit Agreement"), with Citibank, N.A., as agent, amending and restating the Company's existing $7.5 billion Amended and Restated Credit Agreement, dated as of November 17, 2020. In the event advances are made under the Revolving Credit Agreement, those advances would be used for general corporate purposes. Advances under the Revolving Credit Agreement denominated in U.S. dollars will bear interest, at the Company's option, either: at a variable annual rate equal to: (1)the high of (but not less than zero)(a) the rate of interest announced publicly by Citibank in New York, New York, from time to time, as Citibank's base rate, (b) 0.5% per annum above the federal funds rate, and (c)the forward-looking term rate based on the secured overnight financing rate (“Term SOFR”) for a period of one month plus a credit spread adjustment of 0.10% plus 1.00%, plus (2)an applicable margin, as set forth in the Revolving Credit Agreement (the “Applicable Margin for Base Advances”); or at a rate equal to: (i)Term SOFR for a period of one, three or six months, as applicable, plus (ii)a credit spread adjustment of 0.10% plus (iii)an applicable margin, as set forth in the Revolving Credit Agreement (the “Applicable Margin for Benchmark Rate Advances”).

Advances under the Revolving Credit Agreement denominated in Euro will bear interest at the Euro Interbank Offered Rate (EURIBOR) plus the Applicable Margin for Benchmark Rate Advances. Advances under the Revolving Credit Agreement denominated in Sterling will bear interest at the Sterling Overnight Index Average (SONIA) plus the Applicable Margin for Benchmark Rate Advances. The Company will also pay a facility fee of 0.060%, 0.070%, 0.080% or 0.100% per annum of the amount of lender commitments, depending on the Company's unsecured long-term debt ratings.

As of the date of this filing, the Company's unsecured long-term debt is rated BBB by S&P, Baa2 by Moody's and BBB+ by Fitch, and, accordingly, the Applicable Margin for Benchmark Rate Advances at this time is 1.045% and the facility fee applicable at this time is 0.080%. S&P, Moody's and Fitch may change their ratings at any time, and the Company disclaims any obligation to provide notice of any changes to these ratings. The obligations of the lenders under the Revolving Credit Agreement to provide advances to the Company will terminate on November 18, 2027, unless the commitments are terminated in whole prior to that date.

All advances must be repaid no later than the date on which lenders are no longer obligated to make any advances under the Revolving Credit Agreement. The Revolving Credit Agreement provides that the Company and lenders representing more than 50% of the facility amount may agree to extend their commitments under the Revolving Credit Agreement for two one-year periods beyond the initial termination date. The Company has the right to terminate, in whole or in part, amounts committed by the lenders under the Revolving Credit Agreement in excess of any outstanding advances; however, any such terminated commitments may not be reinstated.

The Revolving Credit Agreement also provides that the Company may request that the aggregate amount of the commitments of the lenders under the Revolving Credit Agreement be increased by an integral multiple of $25 million to be effective as of a date that is at least 90 days prior to the scheduled termination date then in effect, provided that in no event shall the aggregate amount of the commitments of the lenders under the Revolving Credit Agreement at any time exceed $14 billion. The Revolving Credit Agreement contains certain representations and warranties and covenants, including a limitation on liens covenant and, beginning in the first full fiscal quarter ending after the closing date, a net debt-to-EBITDA financial ratio covenant that the Company will maintain, as of the last day of each fiscal quarter, a ratio of not more than 3.75 to 1 of: (A) all items that would be treated under accounting principles generally accepted in the United States (“GAAP”) as specified in the Revolving Credit Agreement as indebtedness on the Company's consolidated balance sheet minus the amount by which the sum of (i) 100% of unrestricted cash and cash equivalents held by the Company and its subsidiaries in the United States, and funds available on demand by the Company and its subsidiaries in the United States (including but not limited to time deposits), and (ii) 65% of unrestricted cash and cash equivalents held by the Company and its subsidiaries outside of the United States, exceeds 2 billion in the aggregate (or the avoidance of doubt, any cash and cash equivalents held by the Company and its subsidiaries outside of the United States shall not be considered “restricted” solely as a result of the repatriation of such cash and cash equivalents being subject to any legal limitation or otherwise resulting in adverse tax consequences to the Company), to (B) the net income of the Company and its consolidated subsidiaries, determined on a consolidated basis for the four quarters then ended in accordance with GAAP, adjusted to exclude the effects of (a)gains or losses from discontinued operations, (b)any extraordinary or other non-recurring non-cash gains or losses (including non-cash restructuring charges), (c) accounting changes including any changes to Accounting Standards Codification 715 (or any subsequently adopted standards relating to pension and postretirement benefits) adopted by the Financial Accounting Standards Board after the date of the Revolving Credit Agreement, (d)interest expense, (e)income tax expense or benefit, (f)depreciation, amortization and other non-cash charges (including actuarial gains or losses from pension and postretirement plans), (g) interest income, (h)equity income and losses and (i)other non-operating income or expense. In the event the Company makes a Material Acquisition or a Material Disposition (each as defined in the Revolving Credit Agreement) during the relevant four quarter period, pro forma effect will be given to such material acquisition or material disposition, as if such material acquisition or material disposition occurred on the first day of such period.