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Sra Wins Against At&T!!!

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Sra Wins Against At&T!!! S.R.A. News Volume 16 · Issue 1 SNET RETIREES ASSOCIatION, INC SPRING 2013 SRA WINS AGAINST AT&T!!! SEC RULES IN OUR FAVOR The Security and Exchange Statement immediately after ours. It Committee (SEC) has ruled that the is based on some of the inaccurate SRA’s shareholder proposal regarding By JoAnn Alix-Gagain arguments made to the SEC by AT&T limits on Executive Severance when they challenged our proposal. Packages should and will be allowed President, SRA As of this writing we have yet to hear to be voted upon by all shareholders if the AT&T statement in the Proxy of AT&T stock at next month’s would receive at least $34 million in will be adjusted. Annual Meeting. Most shareholders severance if he leaves after a change This year’s battle with the vote by returning the proxy card in control, resigns for “good reason”, Company has gone down to the wire included in the Proxy Statement or even if he retirees. Maybe the again. The Company apparently sees mailed to all stockholders in mid- Board should think about not trying our proposal on Golden Goodbye March. to omit reasonable shareholder severance agreements’ as such We submitted our proposal in proposals and save the money spent a threat to senior executives that early November as required by trying to eliminate shareholders they are fighting it down to the the Board of Directors which has voices. deadline to print and mail the Proxy the opportunity to review, discuss, We did concur with the SEC’s Statement to all shareholders with challenge or allow it. AT&T chose to suggestion to change the wording ample time for voting and returning challenge it to the SEC. The proposal in the proposal as to make clear it proxies to be counted at the Annual would require Golden Parachute would apply only to future current Meeting on April 26, 2013. severance agreements that have executive compensation contracts, It has been a long road for the SRA a value exceeding three times an so that there would be no violation and our co-sponsor Jane Banefield executive’s base salary plus bonus of any state laws. Yet even after we of Legacy AT&T. We know that this must be approved by shareholders. made that offer to address their is a great proposal based on what AT&T appealed to the SEC to have concerns, the Company filed two our retirees have told us as well as it omitted as it was “too vague” in more briefs with the SEC insisting gaining the support of other retiree their words and they felt it “violated that SRA proposal must be excluded. organizations. several Federal and State laws.” The It is obvious that the Company and We hope that you will vote IN SEC rejected their claims. the Board of Directors are most FAVOR of our proposal which is AT&T spent huge sums of money interested in defending the post- stated below as it will appear in the on attorney’s fees to fight your employment windfalls of senior Proxy materials. Please encourage Association’s proposal- which is executives. But in the end the SEC family, friends and neighbors to also their right to do. However, someone said to AT&T essentially: move on, vote for this worthwhile change to needs to explain to me how capping you lost…….. AT&T’s Executive Severance deals. payments a senior executive We also had an opportunity to receives for LEAVING the company submit to the SEC and the company is not good for the company nor our displeasure once the SEC ruled See the the shareholders. For example, regarding the Company’s opposition OFFICIAL PROPOSAL according to last year’s Proxy statement to the proposal that Statement CEO Randall Stephenson will also be printed in the Proxy on Page 4 Page 2 S.R.A. News Death Benefit Provisions Canceled For Some Management Retirees Elimination of the Death eligible dependent at the time S.R.A. News Benefit (One year of base of your passing. You are not This is the official publication salary) for SNET managers eligible for this money if you do for SNET Retirees Association, was communicated in a not have an eligible dependent. Inc. members. It contains timely SMM released in December You cannot name a beneficiary news and feature items of 1999 titled Special Edition for this money if eligible for the interest to all SNET retirees and Benefit Bulletin. This Benefit provision. You may not eligible is produced quarterly. S.R.A. is a Bulletin addressed the merge if you were rehired after the nonprofit organization. Readers of the SNET Management merger of plans or if you took a are encouraged to send or phone news tips. Pension Plan with the SBC lump sum. Pension Plan - Nonbargained If you are a union retiree the www.snetretirees.org program effective Jan 1, 2000. Death Benefit is still in place When SBC moved the SNET if you are eligible under the Management Pension assets to provisions of your departure the SBC plan the death benefit from the company and have an was stopped for those managers eligible dependent and did not who had yet to meet the take the lump sum payment for Modified Rule of 75. If you had your pension. met the Rule of 75 or had 30 Call Fidelity to learn of your years of service continue to be eligibility for this provision at EXECUTIVE BOARD eligible for this if you have an 1-800-416-2363. President JoAnn Alix-Gagain Vice President Gail Majewski SAVE THE DATE!!! Founding Treasurer Bob Archambault Tresurer Claudia Zarella Membership Jen Floridia Larry Miller THURSDAY, SEPTEMBER 12, 2013 Harry Green 10 AM to 3 PM Frank Pagerino Advertising ANNUAL SRA MEETING & PICNIC Judy Kleist AT HOLIDAY HILL RSVP Forms will be mailed in August S.R.A. News Page 3 Tidbits from S.R.A. RESPONSE TEAM the November The S.R.A. Response Team is active and ready to assist our Elections of 2012 members with problems relative to Health Benefits and Pension President Obama raised over $715 items. million and spent over $683 million Before placing a telephone call to a member of the Response on his reelection campaign. His challenger Mitt Romney raised over Team, for assistance, be sure you have contcted the AT&T Benefits $446 million and spent over $433 Cetner. million. The S.R.A. Response Team Members ready to assist you are: AT&T ranked #10 in the country for JoAnn Alix-Gagain 203-758-2409 ([email protected]) dollars spent on lobbying in 2012 according to the report issued by Judy Kleist 203-237-0303 www.opensecrets.org. The amount Gail Majewski 860-442-8296 you ask??? Answer: $17,430,000 plus… Yes, over 17 million dollars. Frank Pagerino 203-929-7487 The company also ranks 5th in the Special Interest Sector giving more to Republicans than Democrats. Supplemental Life There are over 85 lobbyists representing AT&T according to the same report for 2012. Several of Insurance Deductions whom are past congressmen. Will Be Suspended AT&T ranks #31 with contributions of over $6 million to campaigns Supplemental Life Insurance cost of supplemental coverage across the country. Deductions Will Be Suspended employees are purchasing Special Interest Groups are broken (“contribution holiday”) for a during the holiday months. into “sectors”, one of which is period of time for some retirees. All retired employees who Communications and Electronics. This would apply to all were purchasing supplemental This sector alone gave $199,194,493 management retirees and coverage as of December of which 45% was given to bargained retirees of Legacy 1, 2011 will be eligible for Republicans and 27.3% given AT&T, Ameritech, BellSouth, the contribution holiday. to Democrats. The Labor sector SNET, and Southwest who This date was deemed by the gave $177,457,909 of which they were purchasing supplemental plan fiduciaries as the most distributed 34.2% to Dems and 3.4 life insurance coverage as of appropriate “as of” date for this % to Republicans. (Not a typo.) December 1, 2011. exercise. The first month of the The Special Interest Groups also A surplus of employee holiday will be March, 2013. have member associations which contributions that accumulated Retirees have recently received companies may also belong to and in the various life insurance an SMM announcing the holiday contribute to as well. One of which plans several years ago is being and then will receive a postcard is the National Cable and Telecom returned to employees by fully prior to when their holiday will Association. It would not be a far subsidizing their supplemental end. In the case of BellSouth reach to assume AT&T is a member life insurance contributions until retirees, their notice of the start of this organization. This association the surplus funds have been of the holiday also is the notice ranked 14th in the Special depleted. The number of months of the end of the holiday since Interest Group and gave more to that the contribution holiday will they will be affected for only Republicans than Democrats. be in effect will vary depending one month. All information above was obtained on the employee group, the No action is needed by retirees on www.opensecrets.org and is amount of surplus associated for inclusion, if eligible for the available to anyone to use and with that group, and the total contribution holiday. reprint. Page 4 S.R.A. News Shareholder Ratification of Executive Severance Packages The SNET Retirees Association, Inc.
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