<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 11-K
Annual Report Pursuant to Section 15(d) of the
Securities Exchange Act of 1934
(Mark One)
X Annual report pursuant to Section 15(d) of the
-- Securities Exchange Act of 1934 (Fee Required)
For the fiscal year ended December 31, 1993
OR
-- Transition report pursuant to Section 15(d) of the
Securities Exchange Act of 1934 (No Fee Required)
For the transition period from _____________ to ____________
Commission file number 1-1105
_______
A. Full title of the plan and the address of the plan, if
different from that of the issuer named below:
AT&T LONG TERM SAVINGS AND SECURITY PLAN
B. Name of issuer of the securities held pursuant to the
plan and the address of its principal executive office:
AT&T CORP.
32 Avenue of the Americas, New York, NY 10013-2412
<PAGE>
AT&T LONG TERM SAVINGS AND SECURITY PLAN
Financial Statements
and Supplemental Schedules
at December 31, 1993 and 1992
<PAGE>
<PAGE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
INDEX to FINANCIAL STATEMENTS and SUPPLEMENTAL SCHEDULES
_______
Page(s)
-------
Report of Independent Auditors 2-3
Financial Statements:
Statements of Net Assets Available for Plan Benefits
at December 31, 1993 and 1992 4-5
Statement of Changes in Net Assets Available for
Plan Benefits for the year ended December 31, 1993 6
Notes to Financial Statements 7-12
Supplemental Schedules:
Schedule of Investments at December 31, 1993 13-23
Item 27a - Schedule of Assets Held for Investment
Purposes at December 31, 1993 24
Item 27d - Schedule of Reportable Transactions for
the year ended December 31, 1993 25
<PAGE>
<PAGE>
REPORT of INDEPENDENT AUDITORS
-------------------------------
To the AT&T Savings Plan Committee:
We have audited the financial statements of the AT&T LONG TERM
SAVINGS and SECURITY PLAN as listed in the accompanying index on
page 1. These financial statements are the responsibility of the
Plan's management. Our responsibility is to express an opinion
on these financial statements based on our audits.
We conducted our audits in accordance with generally accepted
auditing standards. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether
the financial statements are free of material misstatement. An
audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An
audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating
the overall financial statement presentation. We believe that
our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above
present fairly, in all material respects, the financial position
of the AT&T Long Term Savings and Security Plan at December 31,
1993 and 1992, and the changes in its net assets available for
plan benefits for the year ended December 31, 1993, in conformity
with generally accepted accounting principles.
2
<PAGE>
Our audits were conducted for the purpose of forming an opinion
on the basic financial statements taken as a whole. The
supplemental schedule of investments is presented for purposes of
additional analysis and is not a required part of the basic
financial statements. The supplemental schedules under items 27a
and 27d are presented for purposes of complying with the
Department of Labor's Rules and Regulations for Reporting and
Disclosure under the Employee Retirement Income Security Act of
1974 and are not a required part of the basic financial
statements. The supplemental schedules have been subjected to
the auditing procedures applied in the audits of the basic
financial statements and, in our opinion, are fairly stated, in
all material respects, in relation to the basic financial
statements taken as a whole.
COOPERS & LYBRAND
New York, New York
April 29, 1994
3
<PAGE>
<TABLE>
<CAPTION> AT&T LONG TERM SAVINGS and SECURITY PLAN
STATEMENT of NET ASSETS AVAILABLE for PLAN BENEFITS
December 31, 1993
(Thousands of Dollars)
_______
South
AT&T Diversified Guaranteed Africa Employee Stock
Shares Equity Interest Restricted Ownership Plan Loan
ASSETS Fund Portfolio Fund Fund Allocated Unallocated Account Total
------- ----------- ---------- --------- --------- ----------- ------- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Investments, at fair value (cost $2,559,808;
see accompanying schedule of investments):
Share of investments in Group Trust:
American Telephone and Telegraph
Company common shares $1,779,318 $ 277 $1,779,595
Other marketable securities
and obligations 56,883 $18,826 75,709
Contracts with insurance companies $689,462 689,462
Contracts with financial institutions 42,582 42,582
Temporary cash investments 80,022 8,444 52,089 140,555
---------- ------- -------- ------- ----------
1,859,340 65,604 784,133 18,826 2,727,903
Non-Group Trust investments,
excluding Employee Stock
Ownership Plan:
Contracts with insurance companies 22,649 22,649
Temporary cash investments 12,095 12,095
Participant loans receivable $81,147 81,147
---------- ------- -------- ------- ------- ----------
1,859,340 65,604 818,877 18,826 81,147 2,843,794
Employee Stock Ownership Plan (Note 1):
American Telephone and Telegraph
Company common shares allocated
to participants $337,864 337,864
American Telephone and Telegraph
Company common shares held for
future contributions $420,205 420,205
Temporary cash investments 37,597 37,597
---------- ------- -------- ------- -------- -------- ------- ---------
Total investments 1,859,340 65,604 818,877 18,826 337,864 457,802 81,147 3,639,460
Employing Company contributions
receivable (Note 5) 7,208 7,208
Employee allotments receivable 5,724 712 4,733 344 11,513
Interfund receivables 686 429 35 1,150
Dividends and interest receivable 11,388 57 127 2,124 2,669 16,365
Receivables for investments
sold and other 7 9 11 27
---------- ------- -------- ------- ------- ------- ------- ----------
Total assets 1,877,145 66,811 823,748 19,205 347,196 460,471 81,147 3,675,723
---------- ------- -------- ------- ------- ------- ----------
</TABLE>
Continued
4
<PAGE>
<TABLE>
<CAPTION> AT&T LONG TERM SAVINGS and SECURITY PLAN
STATEMENT of NET ASSETS AVAILABLE for PLAN BENEFITS
(Continued)
December 31, 1993
(Thousands of Dollars)
_______
South
AT&T Diversified Guaranteed Africa Employee Stock
Shares Equity Interest Restricted Ownership Plan Loan
LIABILITIES Fund Portfolio Fund Fund Allocated Unallocated Account Total
------- ----------- ---------- --------- --------- ----------- ------- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Due to AT&T Long Term Savings
Plan for Management Employees 409 96 296 21 222 1,044
Interfund payables 1,115 35 1,150
Payables for administrative expenses
and other 8 3 31 42
Unearned supplemental contribution
(Note 2) 28,533 28,533
Notes payable (Notes 1 and 9) 355,100 355,100
Accrued interest payable 13,073 13,073
---------- ------- -------- ------- -------- -------- ----------
Total liabilities 417 99 1,442 21 257 396,706 398,942
---------- ------- -------- ------- -------- -------- ------- ----------
Net assets available for
plan benefits $1,876,728 $66,712 $822,306 $19,184 $346,939 $ 63,765 $81,147 $3,276,781
========== ======= ======== ======= ======== ======== ======= ==========
<FN>
The accompanying notes are an integral part of these financial statements.
</TABLE>
4A
<PAGE>
<TABLE>
<CAPTION> AT&T LONG TERM SAVINGS and SECURITY PLAN
STATEMENT of NET ASSETS AVAILABLE for PLAN BENEFITS
December 31, 1992
(Thousands of Dollars)
_______
South
AT&T Diversified Guaranteed Africa Employee Stock
Shares Equity Interest Restricted Ownership Plan Loan
ASSETS: Fund Portfolio Fund Fund Allocated Unallocated Account Total
------- ----------- ---------- --------- --------- ----------- ------- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Investments, at fair value (cost $2,374,228):
Share of investments in Group Trust:
American Telephone and Telegraph
Company common shares $1,791,878 $ 187 $1,792,065
Other marketable securities and
obligations 46,026 $16,005 62,031
Contracts with insurance companies $669,993 669,993
Contracts with financial institutions 68,275 68,275
Temporary cash investments 6,331 388 7,751 4 14,474
--------- -------- -------- ------- ----------
1,798,209 46,601 746,019 16,009 2,606,838
Non-Group Trust investments, excluding
Employee Stock Ownership Plan:
Contracts with insurance companies 34,943 34,943
Temporary cash investments 41 41
Participant loans receivable $63,258 63,258
---------- ------- -------- ------- ------- ----------
1,798,209 46,601 781,003 16,009 63,258 2,705,080
Employee Stock Ownership Plan (Note 1):
American Telephone and Telegraph
Company common shares allocated
to participants $269,757 269,757
American Telephone and Telegraph
Company common shares held for
future contributions $479,484 479,484
Temporary cash investments 58 9,075 9,133
---------- ------- -------- ------- -------- -------- ------- ----------
Total investments 1,798,209 46,601 781,003 16,009 269,815 488,559 63,258 3,463,454
Allotments and contributions
receivable (Note 5) 5,120 509 5,286 325 6,883 18,123
Interfund receivables 9 401 3,085 249 3,744
Dividends and interest receivable 11,611 69 24 1,750 3,128 16,582
Receivables for investments sold 65 319 384
---------- ------- -------- ------- -------- -------- ------- ----------
Total assets 1,814,949 47,645 789,717 16,583 278,448 491,687 63,258 3,502,287
---------- ------- -------- ------- -------- -------- ------- ----------
</TABLE>
Continued
5
<PAGE>
<TABLE>
<CAPTION> AT&T LONG TERM SAVINGS and SECURITY PLAN
STATEMENT of NET ASSETS AVAILABLE for PLAN BENEFITS
(Continued)
December 31, 1992
(Thousands of Dollars)
_______
South
AT&T Diversified Guaranteed Africa Employee Stock
Shares Equity Interest Restricted Ownership Plan Loan
LIABILITIES: Fund Portfolio Fund Fund Allocated Unallocated Account Total
------- ----------- ---------- --------- --------- ----------- ------- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Distributions payable (Note 2) 13,225 205 6,218 81 1,659 21,388
Due to (from) AT&T Long Term Savings
Plan for Management Employees 215 (164) 545 (68) 404 932
Interfund payables 3,652 9 83 3,744
Payables for investments purchased 94 294 388
Payables for administrative expenses
and other 12 4 30
Notes payable (Notes 1 and 9) 407,400 407,400
Accrued interest payable 15,135 15,135
---------- ------- -------- ------- -------- -------- ----------
Total liabilities 17,104 139 7,096 13 2,146 422,535 449,033
---------- ------- -------- ------- -------- -------- ------- ----------
Net assets available for
plan benefits $1,797,845 $47,506 $782,621 $16,570 $276,302 $ 69,152 $63,258 $3,053,254
========== ======= ======== ======= ======== ======== ======= ==========
<FN>
The accompanying notes are an integral part of these financial statements.
</TABLE>
5A
<PAGE>
<TABLE>
<CAPTION> AT&T LONG TERM SAVINGS and SECURITY PLAN
STATEMENT of CHANGES in NET ASSETS AVAILABLE for PLAN BENEFITS
for the year ended December 31, 1993
(Thousands of Dollars)
_______
AT&T Diversified Guaranteed Africa Employee Stock
Shares Equity Interest Restricted Ownership Plan Loan
Fund Portfolio Fund Fund Allocated Unallocated Account Total
------- ----------- ---------- --------- --------- ----------- ------- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net assets available for plan benefits
January 1, 1993 $1,797,845 $47,506 $782,621 $16,570 $276,302 $ 69,152 $63,258 $3,053,254
---------- ------- -------- ------- -------- -------- ------- ----------
Allotments, contributions and
transfers:
Employee allotments (Note 1) 76,250 9,238 70,435 4,836 160,759
Allocation of shares to participants
(Note 1) 81,365 (81,365) -
Employing company contributions
(Notes 1 and 5) 7,253 7,253
Supplemental contributions (Note 9) 63,821 63,821
Transfers of participants' balances, net 340 6,233 (37,913) (2,584) (11,983) 6,037 17,889 (21,981)
Transfers of participants' balances
to other companies' plans (Note 7) (20,950) (631) (9,690) (47) (4,536) (35,854)
---------- ------- -------- ------- -------- -------- ------- ----------
55,640 14,840 22,832 2,205 72,099 (11,507) 17,889 173,998
---------- ------- -------- ------- -------- -------- ------- ----------
Investment income:
Share of investment income in Group Trust:
Dividends on American Telephone and
Telegraph Company common shares 45,498 5 45,503
Other dividends 597 1,325 1,922
Interest (includes $2,673 from
Non-Group Trust Guaranteed Interest
Fund contracts) 1,318 51 59,348 150 60,867
Net appreciation (depreciation) of
investments (Note 2) 57,701 5,873 (351) 63,223
---------- ------- -------- ------- ----------
104,517 6,526 59,348 1,124 171,515
---------- ------- -------- ------- ----------
</TABLE>
Continued
6
<PAGE>
<TABLE>
<CAPTION> AT&T LONG TERM SAVINGS and SECURITY PLAN
STATEMENT of CHANGES in NET ASSETS AVAILABLE for PLAN BENEFITS
(Continued)
for the year ended December 31, 1993
(Thousands of Dollars)
_______
AT&T Diversified Guaranteed Africa Employee Stock
Shares Equity Interest Restricted Ownership Plan Loan
Fund Portfolio Fund Fund Allocated Unallocated Account Total
------- ----------- ---------- --------- --------- ----------- ------- -----
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Employee Stock Ownership Plan:
Dividends on American Telephone and
Telegraph Company common shares 7,934 11,317 19,251
Interest 17 163 180
Net appreciation
of investments (Note 2) 2,620 22,086 24,706
---------- ------- -------- ------- -------- -------- ----------
Total investment income 104,517 6,526 59,348 1,124 10,571 33,566 215,652
---------- ------- -------- ------- -------- -------- ----------
Interest expense (27,253) (27,253)
Distributions to participants (81,126) (2,063) (42,091) (712) (12,033) (138,025)
Administrative expenses (148) (97) (404) (3) (193) (845)
---------- ------- -------- ------- -------- -------- ------- ----------
Net increase (decrease) 78,883 19,206 39,685 2,614 70,637 (5,387) 17,889 223,527
---------- ------- -------- ------- -------- -------- ------- ----------
Net assets available for
plan benefits,
December 31, 1993 $1,876,728 $66,712 $822,306 $19,184 $346,939 $63,765 $81,147 $3,276,781
========== ======= ======== ======= ======== ======= ======= ==========
<FN>
The accompanying notes are an integral part of these financial statements.
</TABLE>
6A
<PAGE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
NOTES to FINANCIAL STATEMENTS
________
1. Plan Description:
The AT&T Long Term Savings and Security Plan (the "Plan" or
"LTSSP"), was established by American Telephone and
Telegraph Company ("AT&T") to provide a convenient way for
non-management employees (i.e., employees whose pay is not
defined at a monthly or annual rate and whose positions are
subject to automatic wage progression) to save on a regular
and long-term basis. An eligible employee enters the Plan
by authorizing a payroll allotment and making a direction of
investment entirely in the AT&T Shares Fund, Diversified
Equity Portfolio, Guaranteed Interest Fund, or South Africa
Restricted Fund, or equally in any two of the funds.
Basic allotments may be authorized from pay on the basis of
weekly pay in $5 increments as defined in the Plan
Prospectus. A supplementary allotment may be authorized, if
desired, consisting of a total of one or more $5 increments
which, when added to the basic allotment, results in a total
allotment of not more than 16% of the employee's basic
weekly rate of pay. An employee may designate basic
allotments as pre-tax allotments, as after-tax allotments or
as a combination of pre-tax and after-tax allotments in $5
increments.
Loans are available to all active participating employees in
an amount not less than $1,000, up to a maximum of the
lesser of $50,000 or 50% of the employee's vested account
balance. Upon default, employees are considered to have
received a distribution and are subject to income taxes on
the distributed amount.
The Plan includes an Employee Stock Ownership Plan ("ESOP")
feature. On March 9, 1990, the Plan issued $550 million in
notes (see Note 9), the proceeds from which were used to
purchase approximately 13.4 million AT&T common shares for
the ESOP. Such shares are allocated to participants in
respect of employer matching contributions under a formula
set forth in the note agreement; additional Employing
Company (AT&T or any subsidiary of AT&T participating in the
Plan) contributions may be required to satisfy employer
matching obligations under the Plan. During 1993, 1,398,545
shares, valued at approximately $81.4 million, were
allocated to participants within the ESOP. Additional
Employing Company contributions under the Plan during 1993
of approximately $7.3 million were used to purchase
additional AT&T common shares that were allocated to
participants.
Continued
7
<PAGE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
NOTES to FINANCIAL STATEMENTS, Continued
________
For a complete description of the Plan, participants should
refer to the Plan Prospectus.
Bankers Trust Company is the trustee (the "Trustee") for the
Plan.
2. Accounting Policies:
Valuation of Investments
------------------------
Investments in AT&T common shares and other securities
listed on a national stock exchange are carried at fair
value determined on the basis of the last published sales
price per share on December 31, as reported on the Composite
Tape or, if no sales were made on that date, at the last
published sales price on the next preceding day on which
sales were made. Securities traded in over-the-counter
markets are carried at fair value based on the last bid
prices or closing prices on December 31, as listed in
published sources if available or, if not available, from
other sources considered reliable. All other investments
are carried at the fair value on the close of business on
December 31. The Trustee determines fair value, taking into
account values supplied by a generally accepted pricing or
quotation service or quotations furnished by one or more
reputable sources, such as securities brokers, dealers or
investment bankers, mutual fund administrators, values of
comparable property, appraisals or other relevant
information. Contracts with insurance companies and
financial institutions, which are fully benefit responsive,
are carried at contract value (representing contributions
made under the contracts plus accumulated interest at the
contract rates).
Contributions
-------------
AT&T common shares allocated to participants within the ESOP
are recorded as transfers at fair value on the date of the
allocation; additional Employing Company contributions in
respect of AT&T's matching obligation under the Plan are
recognized as the related employee allotments are made.
Supplemental contributions in respect of AT&T's debt service
obligations on the notes payable (see Note 9) are recorded
as such amounts become payable under the terms of the note
agreement. At December 31, 1993, a supplemental
contribution in the amount of $28.5 million relating to the
January 1994 debt service payment was received in advance
and has been recorded as unearned supplemental contribution
in the statement of net assets available for plan benefits.
Continued
8
<PAGE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
NOTES to FINANCIAL STATEMENTS, Continued
________
Withdrawals and Distributions
-----------------------------
In accordance with guidance issued by the American Institute of
Certified Public Accountants in 1993, the Plan has changed its method
of accounting for withdrawals and distributions such that all amounts
elected to be withdrawn and distributed from the Plan by participants,
but not yet disbursed at year-end, are no longer recorded as a
liability in the statement of net assets available for plan benefits.
Prior to 1993, withdrawals and distributions were recorded as a
liability in the period such amounts were authorized to be paid to
participants. The effect of this change is immaterial to net assets
available for plan benefits.
Purchases and Sales of Investments
----------------------------------
Purchases and sales of securities are recorded as of the trade dates.
Investment Income
-----------------
Dividend income is recorded on securities held as of the ex-dividend
dates. Interest income is recorded on the accrual basis.
Net Appreciation (Depreciation) in the Value of Investments
-----------------------------------------------------------
The Plan presents in the statement of changes in net assets available
for plan benefits the net appreciation (depreciation) in the value of
investments, which consists of the realized
gains or losses and the unrealized appreciation (depreciation) on
those investments.
3. Participants by Investment Direction:
At December 31, 1993, the number of employees participating by
investment direction described in Section 7 of the Plan Prospectus
was:
Entirely in AT&T Shares Fund 34,703
Entirely in Diversified Equity Portfolio 1,650
Entirely in Guaranteed Interest Fund 34,107
Entirely in South Africa Restricted Fund 648
Equally in AT&T Shares Fund and Diversified Equity Portfolio 3,822
Equally in AT&T Shares Fund and Guaranteed Interest Fund 17,333
Equally in AT&T Shares Fund and South Africa Restricted Fund 1,225
Equally in Diversified Equity Portfolio and Guaranteed Interest
Fund 1,997
Equally in Diversified Equity Portfolio and South Africa
Restricted Fund 1,811
Equally in Guaranteed Interest Fund and South Africa
Restricted Fund 530
------
Total 97,826
======
Continued
9
<PAGE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
NOTES to FINANCIAL STATEMENTS, Continued
________
In addition, Employing Company contributions on behalf of
569 employees who have elected to participate in a union-
sponsored trust are held in the AT&T Shares Fund.
4. Tax Status:
The Plan obtained its latest determination letter on January
20, 1987, in which the Internal Revenue Service (the "IRS")
stated that the Plan, as submitted, met the requirements of
Section 401(a) of the Internal Revenue Code, as amended (the
"Code"), and that the related Trust was exempt from Federal
income taxes under Section 501(a) of the Code. The Plan has
since been amended. However, the Plan, as amended, is
currently designed and operated to be in compliance with the
applicable requirements of the Code, and AT&T intends to
make any additional amendments required by the IRS to ensure
continued compliance. Therefore, Plan management believes
that the Plan was qualified and the related Trust was tax
exempt at the date of the financial statements. In
addition, AT&T will apply for a determination letter
covering the ESOP feature of the Plan after the opening of a
determination letter program by the IRS for a category of
plans that includes an ESOP feature.
5. Employing Company Contributions:
The Employing Company contributes on behalf of each of its
participating employees an amount equal to 66-2/3% of the
amount of the basic allotment from the pay of each such
employee. Employing Company contributions will not be made
with respect to supplementary allotments.
Employing Company contributions have been reduced by
forfeited contributions.
For information regarding Employing Company contributions,
participants should refer to Section 5 of the Plan
Prospectus.
6. Group Trust Agreement:
On January 1, 1990, AT&T established a group trust (the
"Group Trust"), which contains the pooled assets of the
various funds of the AT&T Long Term Savings Plan for
Management Employees, the AT&T Retirement Savings and Profit
Sharing Plan and the Plan, except for certain Guaranteed
Interest Fund investments held by the Plan which pre-date
the Group Trust and the assets of the ESOP feature of the
Plan. Income and assets of the Group Trust are allocated
monthly among the three plans on the basis of prior-month
balances and current activity.
Effective January 1, 1994, the assets of the Plan were
transferred to a newly formed group trust.
Continued
10
<PAGE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
NOTES to FINANCIAL STATEMENTS, Continued
________
7. Transfer of Participants' Balances to Other Companies'
Plans:
During 1993, Sandia National Laboratories ("Sandia")
established a separate savings plan for their employees.
Accordingly, all Sandia related net assets were transferred
out of the Plan during 1993.
Effective January 1, 1994, AT&T Capital Corporation and AT&T
Puerto Rico, Inc. established their own savings plans.
Their respective net assets will be transferred out of the
Plan during 1994.
8. Concentrations of Credit Risk:
Financial instruments which potentially subject the Plan to
concentrations of credit risk consist principally of
investment contracts with insurance companies and other
financial institutions.
The Plan places its investment contracts with high-credit
quality insurance companies and financial institutions and,
by policy, limits the amount of credit exposure to any one
company or institution.
9. Indebtedness:
In connection with the establishment of the Plan's ESOP
feature, on March 9, 1990, the Plan issued $550 million in
notes for the purpose of purchasing AT&T common shares.
These borrowings from insurance companies and financial
institutions are nonrecourse to the Plan, except to the
extent of ESOP shares purchased with the proceeds therefrom,
and are guaranteed by AT&T. The borrowings bear interest at
7.363% and have maturities through January 2, 2000.
Supplemental contributions and investment income (dividends
on ESOP shares and interest), which were approximately $63.8
million and $17.8 million, respectively, were used to pay
principal and interest on the debt during 1993. Annual
maturities for the next five years are: $49.8 million in
1994; $51.1 million in 1995; $52.5 million in 1996; $53.9
million in 1997; $54.8 million in 1998 and $93.0 million
thereafter.
Continued
11
<PAGE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
NOTES to FINANCIAL STATEMENTS, Continued
________
The fair value of the notes, $382.6 million at December 31,
1993, is estimated based on the quoted market prices of
similar issues with the same remaining maturity.
10. Termination Priorities:
In the event that the Plan is terminated, subject to
conditions set forth in the Employee Retirement Income
Security Act of 1974, the Plan provides that the net assets
be distributed to participating employees in amounts equal
to their respective interests in such assets.
11. Plan Expenses:
Brokerage, investment manager and Trustee fees are paid by
the Plan.
12. Reconciliation to Form 5500:
A liability in the amount of $15.2 million, relating to
participants who have elected to withdraw from the Plan but
have not yet been paid (see Note 2), has been reflected on
Form 5500 in the statement of net assets available for plan
benefits, as well as in the statement of changes in net
assets available for plan benefits in accordance with
Department of Labor Requirements.
12
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS
December 31, 1993
(Thousands of Dollars)
_______
<CAPTION>
GROUP TRUST INVESTMENTS:
- -----------------------
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
--------------------------------- ---------- ---- -----
AT&T SHARES FUND
----------------
<S> <C> <C> <C> <C>
American Telephone and Telegraph Company
common shares - (94.8%) 100,774,277 shs $2,871,938 $5,290,647
Temporary cash investments - (4.3%):
BT Pyramid Directed Acct. Cash Fund $237,937 237,937 237,937
---------- ----------
Total AT&T Shares Fund $3,109,875 $5,528,584
========== ==========
Allocated to:
AT&T Long Term Savings Plan
for Management Employees
("LTSPME") 66.2839% $2,061,346$3,664,561
AT&T Long Term Savings and
Security Plan ("LTSSP") 33.6314% 1,045,895 1,859,340
AT&T Retirement Savings and
Profit Sharing Plan ("RSPS").0847% 2,634 4,683
---------- ----------
$3,109,875 $5,528,584
========== ==========
GOVERNMENT OBLIGATIONS FUND
---------------------------
U.S. Treasury Notes:
U.S. Treasury Notes, 8.625%
August 15, 1994 $ 3,200 $ 3,375 $ 3,299
U.S. Treasury Notes, 8.50%
August 15, 1995 101,280 109,248 108,227
U.S. Treasury Notes, 7.625%
April 30, 1996 44,210 47,351 47,353
U.S. Treasury Notes, 7.25%
August 31, 1996 24,600 26,651 26,284
U.S. Treasury Notes, 6.75%
February 28, 1997 82,890 88,006 87,915
U.S. Treasury Notes, 5.75%
October 31, 1997 3,300 3,393 3,396
U.S. Treasury Notes, 4.75%
October 31, 1998 17,985 17,901 17,665
U.S. Treasury Notes, 4.375%
November 15, 1996 46,000 45,863 45,813
U.S. Treasury Notes, 4.25%
July 31, 1995 16,165 16,187 16,208
U.S. Treasury Notes, 4.25%
November 30, 1995 43,745 43,787 43,772
U.S. Treasury Notes, 4.125%
June 30, 1995 18,100 18,134 18,131
------- -------
419,896 418,063
------- -------
</TABLE>
Continued
13
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
(Thousands of Dollars)
_______
<CAPTION>
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
--------------------------------- ---------- ---- -----
GOVERNMENT OBLIGATIONS FUND, Continued
--------------------------------------
<S> <C> <C> <C>
Federal Mortgage Agency Obligations:
Federal National Mortgage Association,
7.75%, May 1, 2004 $ 5,419 $ 5,412 $ 5,653
Federal Home Loan Mortgage Corp.,
8.40%, January 15, 2005 11,039 11,504 11,418
Federal Home Loan Mortgage Corp.,
Var. rate, April 15, 2022 3,219 3,232 3,289
Federal Home Loan Mortgage Corp.,
7.00%, September 1, 2009 970 942 991
Federal Home Loan Mortgage Corp.,
7.00%, November 1, 2006 4,157 3,942 4,247
Federal Home Loan Mortgage Corp.,
7.00%, May 1, 2006 2,489 2,361 2,543
Federal Home Loan Mortgage Corp.,
7.00%, April 1, 2005 2,413 2,307 2,465
------- -------
29,700 30,606
------- -------
Other Federal Agency Mortgage-
Backed:
CMO Trust 64-F, 9.00%,
May 20, 1997 3,021 3,157 3,161
CMO Trust 64-A1, 9.00%,
October 20, 2014 5,591 5,836 5,617
Bear Stearns Investment Trust 88-6 6B,
Zero Coupon, December 1, 2018 8,769 6,743 8,355
Government Trust G, 8.00%,
May 15, 1998 13,895 14,355 14,920
Guaranteed Trade Trust 1993-A, 4.86%,
April 1, 1998 16,200 16,200 16,200
------- -------
46,291 48,253
------- -------
Temporary Investments:
BT Pyramid Directed Acct.
Cash Fund 123,347 123,347 123,347
-------- --------
Total Government
Obligations Fund $619,234 $620,269
======== ========
Allocated to:
LTSPME 100.0% $619,234 $620,269
======== ========
</TABLE>
Continued
14
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
(Thousands of Dollars)
________
<CAPTION>
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
--------------------------------- --------- ---- -----
DIVERSIFIED EQUITY PORTFOLIO
----------------------------
<S> <C> <C> <C>
American Telephone and Telegraph Company
common shares - (.4%) 125,000 shs $ 6,562 $ 6,562
-------- --------
Other Marketable Securities:
Domestic Common Stocks:
Automobiles:
Ford Motor Co. 104,100 4,715 6,714
General Motors Corp. 156,000 6,428 8,561
-------- --------
11,143 15,275
-------- --------
Banks:
Bank of Boston 257,000 4,693 5,911
BankAmerica Corp. 123,000 5,371 5,704
Central Fidelity Banks Inc. 17,600 488 488
Citicorp 254,000 5,538 9,366
First Interstate Bancorp. 51,000 2,358 3,270
First Virginia Banks, Inc. 16,200 531 531
Mercantile Bank Shares Corp. 18,900 362 362
J.P. Morgan & Co. Incorporated 73,000 2,708 5,064
NBD Bancorp, Inc. 46,000 807 1,369
Norwest Corporation 230,000 2,079 5,606
-------- --------
24,935 37,671
-------- --------
Building - Forest Products:
Boise Cascade Corp. 95,000 3,900 2,233
Weyerhaeuser Co. 130,000 3,237 5,801
-------- --------
7,137 8,034
-------- --------
Building - Other:
Fluor Corporation 63,000 1,457 2,552
Masco Corporation 174,900 3,980 6,471
-------- --------
5,437 9,023
-------- --------
Chemicals:
American Cyanamid Co. 43,500 2,186 2,186
Dow Chemical Co. 80,000 3,432 4,540
Raychem Corp. 129,000 4,395 4,837
WR Grace & Co. 91,000 3,437 3,697
-------- --------
13,450 15,260
-------- --------
Drugs:
American Home Products Corp. 30,000 1,943 1,943
Pfizer Inc. 33,000 1,163 2,277
Upjohn Co. 211,700 6,533 6,139
-------- --------
9,639 10,359
-------- --------
</TABLE>
Continued
15
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
(Thousands of Dollars)
________
<CAPTION>
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
--------------------------------- --------- ---- -----
DIVERSIFIED EQUITY PORTFOLIO, Continued
---------------------------------------
Other Marketable Securities, Continued:
Domestic Common Stocks, Continued:
<S> <C> <C> <C>
Electrical Equipment:
General Electric Co. 60,100 shs $ 3,504 $ 6,303
ITT Corp. 69,000 3,811 6,296
------- -------
7,315 12,599
------- -------
Electrical Household Appliances:
Whirlpool Corp. 73,000 1,872 4,855
------- -------
Electronics:
Hewlett-Packard Co. 71,000 3,251 5,609
Motorola Inc. 49,900 1,145 4,603
Texas Instruments Inc. 118,000 3,864 7,493
------- -------
8,260 17,705
------- -------
Finance:
American Express Co. 302,000 7,438 9,324
Federal National Mortgage Assn. 64,400 5,056 5,056
Integra Financial Corp. 7,590 326 326
------- -------
12,820 14,706
------- -------
Food Products:
CPC Intl Inc. 35,000 1,667 1,667
------- -------
Insurance:
CIGNA Corp. 74,800 3,821 4,694
Chubb Corp. 80,000 6,001 6,230
General Reinsurance Corp. 52,000 1,589 5,564
St. Paul Cos. Inc. 51,000 2,438 4,583
------- -------
13,849 21,071
------- -------
Investment Companies:
Morgan Stanley Group Inc. 4,400 311 311
------- -------
Machinery - Agriculture:
Deere & Company 134,300 6,267 9,938
------- -------
Machinery - Other:
Caterpillar Inc. 104,500 6,081 9,301
Sundstrand Corp. 25,000 845 1,050
------- -------
6,926 10,351
------- -------
Metals - Aluminum:
Aluminum Co. of America 96,000 6,019 6,660
------- -------
</TABLE>
Continued
16
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
(Thousands of Dollars)
________
<CAPTION>
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
---------------------------------- --------- ---- -----
DIVERSIFIED EQUITY PORTFOLIO, Continued
---------------------------------------
<S> <C> <C> <C>
Other Marketable Securities, Continued:
Domestic Common Stocks, Continued:
Office and Business Equipment:
Digital Equipment Corp. 229,000 shs$14,388 $ 7,843
International Business Machines
Corp. 189,000 14,684 10,679
Minnesota Mining and Mfg. Co. 50,000 4,614 5,438
Seagate Technology Co. 34,000 807 807
Tandem Computers Incorporated 400,000 5,990 4,350
Xerox Corp. 84,000 4,919 7,507
------- -------
45,402 36,624
------- -------
Oil - Domestic:
Amerada Hess Corp. 140,000 5,939 6,317
Chevron Corporation 77,000 3,908 6,709
Phillips Petroleum Co. 140,000 3,866 4,060
------- -------
13,713 17,086
------- -------
Oil - International:
Mobil Corporation 117,000 6,551 9,258
------- -------
Oil - Service:
Halliburton Co. 180,700 5,499 5,760
------- -------
Paper:
International Paper Co. 91,000 5,188 6,165
James River Corp. of VA. 327,400 6,235 6,302
------- -------
11,423 12,467
------- -------
Photographic Equipment:
Eastman Kodak Company 121,400 6,829 6,829
------- -------
Publishing:
R.R. Donnelley & Sons Co. 192,000 3,088 5,976
The Times Mirror Company 180,300 5,468 6,018
------- -------
8,556 11,994
------- -------
Retail Trade:
American Stores Company 41,900 1,802 1,802
Dayton-Hudson Corp. 136,000 7,420 9,061
Fleming Companies, Inc. 110,900 3,213 2,745
Fred Meyer Inc. 13,825 497 497
Nordstrom, Inc. 251,600 7,227 8,303
JC Penney Inc. 25,800 1,358 1,358
------- -------
21,517 23,766
------- -------
Savings & Loan:
Golden West Financial Corp. 161,000 6,543 6,279
------- -------
</TABLE>
Continued
17
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
(Thousands of Dollars)
________
<CAPTION>
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
---------------------------------- --------- ---- -----
DIVERSIFIED EQUITY PORTFOLIO, Continued
---------------------------------------
<S> <C> <C> <C>
Other Marketable Securities, Continued:
Domestic Common Stocks, Continued:
Soaps:
Procter & Gamble Co. 144,000 shs $ 3,419$ 8,208
-------- -------
Textile and Apparel:
Melville Corp. 188,000 8,072 7,638
-------- -------
Tire & Rubber:
Goodyear Tire & Rubber Co. 69,200 3,166 3,166
-------- -------
Transportation:
CSX Corp. 24,000 1,965 1,965
Federal Express Corp. 119,200 5,366 8,448
Union Pacific Corp. 79,000 900 4,947
----------------
8,231 15,360
----------------
Utilities - Electric:
Central & South West Corp. 85,000 1,190 2,571
Commonwealth Edison Co. 183,000 5,226 5,147
Pacific Gas & Electric Co. 30,000 540 1,054
Texas Utilities Company 45,000 1,300 1,946
----------------
8,256 10,718
----------------
Utilities - Natural Gas:
Consolidated Nat. Gas Co. 52,000 1,773 2,444
----------------
Utilities - Telephone:
NYNEX Corporation 70,000 2,392 2,809
----------------
Total Domestic Common
Stocks - (24.2%) 304,951 382,453
----------------
Foreign Common Stocks:
Drug:
Smithkline Beecham 260,000 7,209 7,117
----------------
Oil - International:
Royal Dutch Petroleum Co. 50,000 2,936 5,219
----------------
Transportation:
Canadian PAC Ltd. 345,000 4,030 5,606
----------------
Utility - Telephone:
LM Erisson Tel Co. 63,300 1,312 2,556
----------------
Total Foreign Common
Stocks - (1.3%) 15,487 20,298
----------------
</TABLE>
Continued
18
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
(Thousands of Dollars)
________
<CAPTION>
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
--------------------------------- --------- ---- -----
DIVERSIFIED EQUITY PORTFOLIO, Continued
----------------------------------------
<S> <C> <C> <C> <C>
Other Marketable Securities, Continued:
Pooled Common Stocks:
Bankers Trust Pyramid S&P 500
Equity Index Fund 963,175 units $ 682,452$ 952,243
--------------------
Total Pooled Common Stocks - (60.2%) 682,452 952,243
--------------------
Temporary Cash Investments - (12.7%):
BT Pyramid Directed Acct. Cash Fund $200,210 200,210 200,210
--------------------
Total Diversified Equity Portfolio $1,203,100 $1,555,404
========== ==========
Allocated to:
LTSPME 95.5552% $1,149,625 $1,486,269
LTSSP 4.2178% 50,744 65,604
RSPS .2270% 2,731 3,531
---------- ----------
$1,203,100 $1,555,404
========== ==========
GUARANTEED INTEREST FUND
-------------------------
Contracts with Insurance Companies - (83.4%):
Aetna Life Insurance Company $ 111,277$ 111,277
Allstate Life Insurance Company 51,418 51,418
CIGNA Life Insurance Company 195,082 195,082
CNA Insurance Company 35,368 35,368
Commonwealth Life Insurance Company 209,070 209,070
Confederation Life Insurance Company 101,805101,805
Crown Life Insurance Company 34,111 34,111
The Hartford Life Insurance Company 219,164 219,164
John Hancock Mutual Life Insurance
Company 371,755 371,755
Lincoln National Life Insurance Company 88,17288,172
Massachusetts Mutual Life Insurance
Company 294,280 294,280
Metropolitan Life Insurance Company 332,504 332,504
New York Life Insurance Company 362,583 362,583
Pacific Mutual Life Insurance Company 126,972126,972
Principal Financial Insurance Company 179,019179,019
Provident National Life Assurance Company 120,135120,135
The Prudential Insurance Company of
America 414,123 414,123
Sun Life of Canada 81,068 81,068
--------------------
3,327,906 3,327,906
====================
Continued
19
<PAGE>
</TABLE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
(Thousands of Dollars)
________
<CAPTION>
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
--------------------------------- --------- ---- -----
GUARANTEED INTEREST FUND, Continued
------------------------------------
<S> <C> <C> <C> <C>
Contracts with Financial Institutions - (5.2%):
Bankers Trust Company $ 128,518$ 128,518
JP Morgan 65,263 65,263
Long Term Credit Bank of Japan Ltd. 11,754 11,754
--------------------
205,535 205,535
--------------------
Temporary Cash Investments - (6.3%):
BT Pyramid Discretionary Cash Fund $158,002 158,002 158,002
BT Pyramid Directed Acct. Cash Fund 93,423 93,423 93,423
--------------------
251,425 251,425
--------------------
Total Guaranteed Interest Fund $3,784,866$3,784,866
====================
Allocated to:
LTSPME 79.2062% $2,997,849$2,997,849
LTSSP 20.7176% 784,133 784,133
RSPS .0762% 2,884 2,884
--------------------
$3,784,866$3,784,866
====================
SOUTH AFRICA RESTRICTED FUND
-----------------------------
Investment Companies - (98.1%):
Miller, Anderson and Sherrard
Select Equity Portfolio $ 12,789$ 213,386 $ 226,870
---------- -----------
Total South Africa Restricted Fund $ 213,386$ 226,870
========== ===========
Allocated to:
LTSPME 91.4626% $ 195,168 $ 207,501
LTSSP 8.2983% 17,708 18,826
RSPS .2391% 510 543
---------- -----------
$ 213,386 $ 226,870
========== ===========
TOTAL GROUP TRUST INVESTMENTS $8,930,461 $11,715,993
========== ===========
TOTAL ALLOCATION OF GROUP TRUST INVESTMENTS:
LTSPME $7,023,222 $ 8,976,449
LTSSP 1,898,480 2,727,903
RSPS 8,759 11,641
---------- -----------
$8,930,461 $11,715,993
========== ===========
</TABLE>
Continued
20
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
(Thousands of Dollars)
________
<CAPTION>
NON-GROUP TRUST INVESTMENTS:
- ---------------------------
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
--------------------------------- --------- ---- -----
GUARANTEED INTEREST FUND
-------------------------
<S> <C> <C> <C>
Contracts with Insurance Companies Specific to
LTSSP (2.8%):
Connecticut General Life Insurance Company $ 15,007 $ 15,007
Metropolitan Life Insurance Company 7,642 7,642
-------- --------
22,649 22,649
-------- --------
Temporary Cash Investments (1.5%):
BT Pyramid Discretionary Cash Fund $12,095 12,095 12,095
-------- --------
Total Guaranteed Interest Fund $ 34,744 $ 34,744
EMPLOYEE STOCK OWNERSHIP PLAN ("ESOP") for LTSSP
-------------------------------------------------
Allocated Investments:
American Telephone and Telegraph
Company common shares - 6,435,508 shs$260,218 $337,864
-------- --------
Total Allocated Investments 260,218 337,864
-------- --------
Unallocated Investments:
American Telephone and Telegraph
Company common shares 8,003,896 328,769 420,205
Temporary Cash Investments:
BT Pyramid Directed Acct. Cash Fund$37,597 37,597 37,597
-------- --------
Total Unallocated Investments 366,366 457,802
-------- --------
Total ESOP for LTSSP $626,584 $795,666
======== ========
LOAN ACCOUNT
-------------
Participant Loans Receivable (100%), 6% $ - $ 81,147
-------- --------
Total Loan Account $ - $ 81,147
======== ========
TOTAL NON-GROUP TRUST INVESTMENTS
SPECIFIC TO LTSSP $661,328 $911,557
======== ========
</TABLE>
Continued
21
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
(Thousands of Dollars)
________
<CAPTION>
SUMMARY of LTSSP INVESTMENTS
-----------------------------
Group Non-Group
Trust Trust Total
------ ---------- -------
<S> <C> <C> <C>
AT&T Shares Fund $1,859,340 $1,859,340
Diversified Equity Portfolio 65,604 65,604
Guaranteed Interest Fund 784,133 $ 34,744 818,877
South Africa Restricted Fund 18,826 18,826
Employee Stock Ownership Plan 795,666 795,666
Loan Account 81,147 81,147
---------- -------- ----------
Grand total LTSSP $2,727,903 $911,557 $3,639,460
========== ======== ==========
</TABLE>
Continued
22
<PAGE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
SCHEDULE of INVESTMENTS, Continued
December 31, 1993
______
NOTES to SCHEDULE of INVESTMENTS
---------------------------------
1. The Plan's share of the investments in AT&T common shares and
the Bankers Trust Pyramid Direct Account Cash Fund represent
5% or more of the Plan's net assets available for plan
benefits.
2. At December 31, 1993, contracts with insurance companies and
financial institutions held by the Group Trust were crediting
interest at a composite effective annual interest rate of
7.69%.
3. At December 31, 1993, contracts with insurance companies
specific to the LTSSP were crediting interest at a composite
effective annual interest rate of 7.11%.
4. Percentages in parentheses represent the percentage of the
Plan's share of the market value of each investment category
to the respective fund's net assets available for plan
benefits. No percentages are shown for the unallocated ESOP
assets as they would not be meaningful, since these assets
have not been allocated to the participants.
23
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
Item 27a - SCHEDULE of ASSETS HELD for INVESTMENT PURPOSES
December 31, 1993
(Thousands of Dollars)
________
<CAPTION>
NON-GROUP TRUST INVESTMENTS:
- ---------------------------
Number of
Shares or
Principal
Name of Issuer and Title of Issue Amount Cost Value
--------------------------------- --------- ---- -----
GUARANTEED INTEREST FUND
-------------------------
<S> <C> <C> <C>
Contracts with Insurance Companies Specific to LTSSP(1):
Connecticut General Life Insurance Company $ 15,007 $ 15,007
Metropolitan Life Insurance Company 7,642 7,642
-------- --------
22,649 22,649
-------- --------
Temporary Cash Investments:
BT Pyramid Discretionary Cash Fund $12,095 12,095 12,095
-------- --------
Total Guaranteed Interest Fund $ 34,744 $ 34,744
======== ========
EMPLOYEE STOCK OWNERSHIP PLAN ("ESOP") for LTSSP
------------------------------------------------
Allocated Investments:
American Telephone and Telegraph
Company common shares 6,435,508 shs $260,218 $337,864
-------- --------
Total Allocated Investments 260,218 337,864
-------- --------
Unallocated Investments:
American Telephone and Telegraph
Company common shares 8,003,896 328,769 420,205
Temporary Cash Investments:
BT Pyramid Directed Acct. Cash Fund $37,597 37,597 37,597
-------- --------
Total Unallocated Investments 366,366 457,802
-------- --------
Total ESOP for LTSSP $626,584 $795,666
======== ========
LOAN ACCOUNT
------------
Participant Loans Receivable 6% - $ - $ 81,147
-------- --------
Total Loan Account $ - $ 81,147
======== ========
TOTAL NON-GROUP TRUST INVESTMENTS
SPECIFIC TO LTSSP $661,328 $911,557
======== ========
<FN>
1. At December 31, 1993, contracts with insurance companies were crediting
interest at a composite effective annual interest rate of 7.11%.
</TABLE>
24
<PAGE>
<TABLE>
AT&T LONG TERM SAVINGS and SECURITY PLAN
Item 27d - SCHEDULE of REPORTABLE TRANSACTIONS
for the year ended December 31, 1993
(Thousands of Dollars)
_______
<CAPTION>
Name of Purchase Selling Current Net Gain
Party Description of Asset Price Price Expenses(1) Cost Value (Loss)
- ------- -------------------- -------- ------- ----------- ---- ------- --------
<S> <S> <C> <C> <C> <C> <C>
Bankers Pyramid Directed Account
Trust Cash Fund $126,907 $126,907 $126,907 0
Bankers Pyramid Directed Account
Trust Cash Fund $167,429 167,429 167,429
Massachusetts Contract with Insurance
Mutual life Company 13,060 13,060 13,060 0
Insurance
Company
<FN>
1. No expenses are incurred with individual transactions.
</TABLE>
25
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act
of 1934, the Savings Plan Committee has duly caused this annual
report to be signed by the undersigned thereunto duly authorized.
AT&T LONG TERM SAVINGS
AND SECURITY PLAN
By Savings Plan Committee
S. L. Fordham
Savings Plan Administrator
Date: May 3, 1994
<PAGE>
Exhibit Index
Exhibit No.
- -----------
23 Consent of Coopers & Lybrand
<PAGE> EXHIBIT (23)
CONSENT OF INDEPENDENT AUDITORS
We consent to the incorporation by reference in the registration
statements of AT&T Corp. on Form S-8 of the AT&T Long Term Savings
and Security Plan (Registration Nos. 33-34265 and 33-31362) of our
report dated April 29, 1994, on our audits of the financial
statements of the AT&T Long Term Savings and Security Plan at
December 31, 1993 and 1992 and for the year ended December 31, 1993,
and the supplemental schedules at December 31, 1993.
Coopers & Lybrand
New York, New York
May 5, 1994
