BELLTEL RETIREE1H the Official Newsletter for All Union & Management Retirees and Employees of the Successor Companies and Subsidiaries of the Bell System

2021 Belltel_Summer.qxp_12pages 5/17/21 5:13 PM Page 1

Service to the Verizon Retiree C Years of ommunity 25 H H1996H 202 BELLTEL RETIREE1H The Official Newsletter for all Union & Management Retirees and Employees of the successor companies and subsidiaries of the Bell System. Your newsletter is paid for by your contributions. Summer 2021 Volume 98 Retirees Impact VZ Shareholder Meeting Thinking About ellTel board members and senior Our second proposal, to strengthen executives at Verizon (VZ) once Clawback Policies, received 36.8% of the Retiring? again faced off at the 2021 virtual vote. B By Jack Cohen annual shareholders meeting with two Proposed by our Director of Union ecently, I read a post in a Ver- proxy proposals by your Association. Relations and Assistant Treasurer Tom izon Retirees closed Facebook Continued proxy activism is vital, as Steed, it seeks to eliminate wiggle room in 76% of our members report owning VZ interpreting the existing Clawback Policy. Rgroup from an active employ- shares, with 12% identifying as former To quote ISS: “The efficacy of a robust ee contemplating retirement. We’ve shareowners. clawback policy is only as good as share- all gone through this and it is arguably Our 2021 proposals—both endorsed holders’ ability to monitor its administra- the third hardest decision a person can by the influential Institutional Shareholder tion. The company’s current policy does make. Service (ISS)—were designed to act as a not include a requirement to disclose the A humanities professor once told valuable check against excessive senior circumstances of any recoupment in cases me that the two decisions a person can management compensation and gover- of misconduct by a senior executive.” make so vital to a happy life are nance practices not aligned with long term “The standards in the worker code of his/her line of work and his/her shareowner interests. conduct book we swore to uphold when spouse. His advice was that unless “In a year that has seen many lose their joining the company, should apply to all, you make them both correctly, you jobs and benefits, it is important that including those at the top,” said Mr. Steed. will not be happy. shareholders and retirees have come “Verizon is built upon a rock-solid I would add a third with the provi- together to ensure that reasonable limits foundation laid by fellow retirees, the cur- so that a correct decision here will lead are placed on the executive compensation rent workforce and investors. Executive to a more pleasant retirement. packages that have grown so considerably management must be accountable for Here are some tips from members in recent years,” said BellTel Chairman their actions. Rest assured, BellTel will of our Board of Directors as well as Jack Cohen. continue our proxy campaigns to keep Bob Rehm, whom many of you know The measure, targeting Golden Para- management focused.” as one of our seven founding fathers chutes, proposed by Mr. Cohen, received In a May member survey, a massive in 1996 – 25 years ago. 38.1% of the vote. 16.5% identified problems or an inability • Do I take the pension or lump It would require shareowner approval to vote their shares, and missing ballots via sum? - The answer depends on of new and renewed senior executive com- mail. Verizon switched to a new proxy your individual circumstance. E.g., pensation packages more than 2.99 times servicing vendor for 2021. base salary plus target short-term bonus. It Your Association plans to continue our If I know that I have health issues aligns with a formula from BellTel’s win- efforts into 2022 and adding to our 11 and might not last another year, ning 2003 proxy, which achieved 59% proxy measures that improved corporate why do I need a pension? The Pen- shareowner support. governance. sion Rights Center recommends against the lump sum for retirees and you can see their website for Leaders Wanted: Reasons to be Active details. t was Winston Churchill who said, a reminder of the important mission we “We make a living by what we get. started back in 1996, and our continuing If the decision is made to take the We make a life by what we give.” commitment to that fight. In that span, lump sum, make sure you have a I financial advisor whom you trust As retirees, we have all done our the Association of BellTel Retirees has decades of work and countless tens of run numerous victorious campaigns that and who has many years of experi- thousands of hours to make our living, so go back to our original ence (at least 10 years). I know of to speak. The next chapter founding, aggressively repre- a retiree whose son is a trader and following our careers comes senting NYNEX retirees. reportedly a financial genius, who at us quickly, as an over- Since that time, the Asso- turned out to be an ineffective whelming change of pace to ciation has had three pro- advisor. What started as his some, where we find our- posals receive a majority “lump,” became a “pimple.” selves with “more time” than shareholder vote and eight If you know a retiree who took the we have had before, to give bylaw changes have been lump and retired prior to the 2008 back and make a difference in negotiated off the ballot and crash, talk to that person and find the world around us. ingrained in company bylaws, resulting out how he did through the crash. Many retirees simply join the Associa- in real changes to corporate governance Our Association is more than tion and are exceptionally grateful for the policies. happy to speak with you. dedication of its leadership. And your What does it take to have such a win- • Misuse of the Lump Sum - ABTR gratitude is always deeply and graciously ning record? has heard stories from some retirees appreciated. There’s even another way to We have fellow retiree-volunteers who who took a lump sum. Their chil- show your thanks that can resonate with are willing to give of themselves and their dren and/or relatives tried to or did and reinvigorate the Association. time for an important cause that impacts “use” the sum to finance enterpris- Consider the opportunity to volunteer us all and our surviving spouses. es, financial needs that were very as a leader with the Association that has We have people who care and always poor investments. This left the dedicated 25 years to serving and fighting try to look at the issues affecting retirees, for the rights of its members. constantly asking themselves, “What are retiree broke or having little lump Celebrating our 25 year anniversary is (Continued on page 2) (Continued on page 3) 2021 Belltel_Summer.qxp_12pages 5/17/21 5:13 PM Page 2

2 BellTel Retiree Summer 2021 We Are Family They have made some minor ones of the pandemic, geography is superflu- too, leaving them with a heavy debt to ous. We have at least one vacant seat on cover under a new CEO named John our Board of Directors and we are hop- Stankey. ing to fill it with someone who is an So how did they “punish” the AT&T retiree, especially so if you departing CEO, Randall Stephenson? retired from HR. But all background Chairman’s Report He was CEO since 2007. He retired disciplines are welcome. with a staggering pension account AT&T will likely find that at their By Jack Cohen worth $64 million at age 59. This shareholder meeting in 2022, we will be means a guaranteed income of active participants and until then, we $274,000/month for the rest of his life. will be actively publicizing their despi- have a pretty close family. When a Does this sound close to what you’re cable behavior on behalf of those who cousin gets assaulted it is as if we all getting? Have you seen the lines in built the edifice called AT&T. Iwere assaulted. The Bell System communities across many states waiting As I stated earlier, we are all in this family is like that in many ways. Wher- for a box of food? I suspect Randall together. ever we might be, if other “children of Stephenson is not on that line. I sus- On a more pleasant note, I got the Ma Bell” are in attendance we seem to pect also not seen on that line would be idea from a Facebook friend to provide find each other and react like cousins senior management of Verizon. some insights for those contemplating getting reacquainted. AT&T is trying to clean up the mess retirement. With the help of those on Some people might find that and close the financial gap. One of our Board of Directors and even a strange…but not us. their methods is retired board member emeritus named One of our cousins is Make it known to to assault their Bob Rehm, an article (page 1) was com- being attacked and we retirees, whom piled which readers may want to keep. might be next. AT&T that the they evidently It is a good tool to help those plan- Frankly, it would be descendants of Mother Bell consider to be a ning what is arguably one of the most very frustrating to just soft touch…an important steps of their lives. stand by as a spectator are still a family! easy mark. This summer issue is of vital impor- and watch this happen. They are cap- tance and reflects our ongoing posture It is just not who we ping both their retirement insurance for this coming year. We are energized are. It is not in our DNA to just watch payouts as well as their sickness/death and looking forward to our members’ this happen and do nothing. benefit. This is not only an attack on continued support. AT&T has made some very bad and retirees, but their surviving spouses and costly decisions in the past few years. dependents. This act of betrayal lends They lost 617,000 customers from new meaning to the word despicable! DirecTV and its other TV businesses in All of this pain is inflicted under the the final quarter of 2020, in a year in camouflage of being “consistent with which 3 million customers in the cate- market trends.” Where have you heard gory were lost. that before? Association of BellTel Retirees Inc. AT&T has informed the SEC that We are inviting all AT&T retirees to UNITED, TO PROTECT OUR FUTURE they have taken what they artistically join the Association of BellTel Retirees, call a “non-cash impairment charge of as we make it known to AT&T that the Published by: Association of BellTel Retirees Inc. $15.5 billion” (yes that is Billion, not descendants of Mother Bell are still a P.O. Box 33, Cold Spring Harbor, Million). That was a major goof. The family. New York 11724 • (631) 367-3067 charge is a tool to lower taxes. It In this world of Zoom, a by-product website: www.belltelretirees.org reduces earnings, but not cash flows. E-mail: [email protected] Hotline: (800) 261-9222 Leaders Wanted: Reasons to be Active Senior Staff Manager Stef Baker (631) 367-3067 (Continued from page 1)

What started as an idea in 1995 even- Board of Directors: the things that hurt and help retirees?” tually turned into a reality in 1996. A good team needs to always be Jack K. Cohen, Chairman Without the dedication and persistence (914) 245-3129 adding new individuals with fresh ideas, of our founders, it’s very likely that by who show that they care. They have a Lionel Brandon, Executive Vice President now we would have lost much more of (607) 656-7971 desire to win and want to explore the our retirement safety net and security. Robert Gaglione, CFO (516) 676-0937 opportunities to do the best. Our strength comes from our num- Una Kelly, Treasurer 516-729-5787 If the past year has taught us anything, bers and enables us to aggressively pursue Thomas M. Steed, Assistant Treasurer it’s that our Association maximizes its protections for pensions, the group annu- & VP of Union Relations (914) 213-5909 potential when our members stand ity pensions some have, our benefits and Pamela M. Harrison, Secretary together, step up to the plate, and show- so much more, while fighting against cor- Donald R. Kaufmann, Director (717) 398-2423 case their desire to help their fellow mem- porate greed and negligence. David J. Simmonds, Director (732) 636-4847 bers of our retirement community. Our modest beginning blossomed John W. Hyland – Director (845) 490-0713 You can be inspired to volunteer at the into a national activist organization, Louis Miano, Association by interacting with some of which continues to fight for its retirees, Board Member Emeritus (781) 444-8080 your fellow members, but you can find just as impactfully as we did back in Robert A. Rehm, the same inspiration by looking into Bell- 1996. Board Member Emeritus (516) 827-0801 Tel’s history. Many of you may already “We make a life by what we give.” Eileen T. Lawrence, Board Member, Emeritis (718) 229-6078 know our roots, but our 25 years of serv- It’s with this spirit, that the Associa- ice is a testament to our members’ dedi- C. William Jones, tion of BellTel Retirees, like Uncle Sam, Board Member, Emeritis (410) 310-8533 cation. needs you. 2021 Belltel_Summer.qxp_12pages 5/17/21 5:13 PM Page 3

Summer 2021 BellTel Retiree 3 Steering a National Advocacy Organization & Remaining Impactful s your Association of BellTel Then, the Association’s VP of “If you don’t have the resources for Retirees, we pride ourselves on Union Relations, Tommy Steed, was a lengthy fight, you are going to lose. Aour diligence and dedication also featured in Crain’s, addressing his You might not even get up to bat,” to ensuring your voices are heard proxy to claw back pay from execu- Association Chairman Jack Cohen when it comes to protecting our col- tives found to engage in misconduct. told the publication. lective pensions, benefits, and overall Next, Jack Cohen told editors and retirement security. writers at MarketWatch and Fierce The pandemic year of 2020 cer- Wireless about the oversized severance tainly did not make things easier. We packages for company executives and had to strategize, pivot, and adjust to the need to contain compensation. engage with our members and do so in More recently, the non-profit an accelerated fashion. Our leadership advocacy group Retirees for Justice team simply could not sit down on the was founded seeking to bring together job when it comes to the well-being of retirees from a diversity of companies our retirement security. and industries for a common cause, In one of our greatest successes our collective retirement security. from last year, the broadcast of our The work is far from done. Our virtual annual meeting and its various strength comes from unity and you video segments have been viewed can bet we won’t back down. 8,000 times! Wow! This positive Our leadership and members are response reassured our nerves, even persistence personified, with the goal when we couldn’t physically meet. of spreading awareness of our cause One main focus was to expand and the changes needed for retirees media coverage. “The board should apply the same and shareholders alike Leading up to the 2021 Verizon rules and regulations required for The opportunity to reunite with annual meeting, this had a positive employees to themselves. They should you all once again in the future in a impact with articles in Crain’s New be held accountable for their actions,” safe, healthy in-person environment York Business, Communications he told the publication. will be a welcome reminder of the Daily, MarketWatch, and more. Our efforts could also be read in challenges we have successfully In April, Chairman Jack Cohen Communications Daily addressing the trekked through together since March was featured by Crain’s on the 2021 two 2021 proposals and the “gauntlet”- 2020. proxy and the Association’s journey in like nature of getting something on the the 25 years since its founding. Verizon proxy ballot.

(Continued from page 1) Thinking About Retiring? sum funds available for their long It is recommended that the soon- member. Fully understand all retirement years. Also, beware of to-be retiree check math/pension retirement benefits, i.e., Group Life “Financial Planners” who may be numbers very, very carefully as Insurance, Death Benefit if applica- out to illegally fund their desired there have been some errors made ble, etc. Include funeral and ceme- lifestyle with others’ lump sum pay- in the past by the employer. That tery documents. ments. same employer that made the error Remember that your loved ones It is suggested that the retiree NOT - due to fiduciary responsibility of should not have to search for the make major investments using pension plan(s) – is required to documents they need. They should lump sum payments for a reason- demand payback of over-payments know where to find it. able amount of time. Deep consid- even years later. • Address List - Establish a list of eration must follow the retirement •. Keeping Busy - Potential retirees telephone numbers and addresses date to be sure their funds are not should have a “Retirement Plan” of co-workers with whom you wish put at risk as retirement may be on activities to keep busy. One to keep in touch as well as close many years in length. Note that the should not arise in AM and say to friends. You might set up a sepa- Association cannot and does not him/herself “what am I going to do rate group of contacts and inform offer financial or legal direction to today”. Must engage in sports, your spouse and children how to individuals. social activities, hobbies and volun- find it on your computer, if neces- • Do the math – Sit down with a teering for a worthy cause to help sary. computer spreadsheet or calculator others less fortunate or in need of • Life Insurance Policy – A sugges- and do the math. As an active assistance. tion from a senior board member employee you had travel expenses, Perhaps a part-time job should be was to look into a life insurance and lunch costs on a daily basis. considered in retirement plans, or policy in place of taking a survivor You will probably not have many consider becoming an advocate in benefit. This will give you and expenses as a retiree. You won’t our cause at your Association of your spouse a larger monthly pay- have commuter or mass transit costs BellTel Retirees. ment. on a daily basis. Cost out your • Keep Records - Establish a binder • Universal Recommendation - “daily work overhead costs.” The with all important retirement and Join The Association of BellTel reduction in your monthly costs vs. retirement benefits documents, and Retirees Inc. You will be glad you your planned retirement income update it as warranted. Discuss did. should be a figure you know. with spouse or close trusted family 2021 Belltel_Summer.qxp_12pages 5/17/21 5:12 PM Page 4

4 BellTel Retiree Service to the Verizon Retiree C BellTel Retiree 5 Years of ommunity 25 H 6H 20 H199 —25 Years Together — 21H We Would Not Have Done It Any Differently

t’s hard to believe that the Associa- retirees, we might tion of BellTel Retirees has reached never have incorpo- Iits 25th anniversary. rated and grown to a In some ways it seems like only yester- critical mass and day when the organization was founded, now be known as the originally as the non-profit Association most impactful of NYNEX Retirees. retiree advocacy and to join and advocate You can say time flies by, when you shareowner activists organization in the for ourselves. Some of our BellTel Retirees Since initiating our proxy efforts some them. We helped build the strong foun- are fighting the good fight, to protect the nation. called it disloyalty. The 25-year milestone and the curiosity of 21 years ago, we have put forth over two dation their corporations now sit atop, hard-earned pensions and benefits of the From that point on, the seven original Some criticized this what we were doing dozen proxy challenges and 11 of those but they likely prefer us to be kept out of members of this wonderful extended founders began widespread recruiting growing group for one is a testament to our and why. have resulted in changing corporate gov- mind and out of sight. family we all belong to. and generating awareness of their mis- reason or another. We Our mission was ernance at either Verizon, Bell Atlantic, We rightly are proud of the dedica- Since 1996, our Association has been sion to ensure that they and their fellow unparalleled service always sought to be driven by a four-prong or NYNEX. tion of our amazing and highly diverse steadfast and dedicated to that fight for retirees be granted the retirement protec- professional, highly approach. The first is to Our organization is the first to ever group of board volunteers and officers over 200,000 retirees and current and tions that were earned and were guaran- respectful, and always leave doubters negotiate with execu- defeat MaBell or any of the Bell System who – over the last quarter century - have future beneficiaries of Verizon, AT&T, teed in our working days. with a smile and a piece of literature to tives of Verizon on the issues that affect spinoffs in the proxy. That was a more sacrificed and volunteered tens of thou- and other former Bell System companies In the beginning, the founders set up help educate them on our issues. retirees. The second is to submit proxies than 100-year track record that we were sands of hours of their time and efforts in or those who have joined via merger, card tables outside CWA and IBEW We added a quarterly newsletter, The at the annual Verizon shareholder meet- able to overcome! What do you think of retirement to give back so richly to our acquisition, or spinoffs along the way. union meetings and the Telephone Pio- BellTel Retiree, and other valuable pieces ings to gain the attention of the Board of retiree power now? retiree community. The 25-year milestone is a testament neers of America. Rainstorms and snow- of information enabling us to connect Directors, shareholders, and the media. Three proxy proposals were won with To their spouses and families, we also to our unparalleled service to the retiree storms did not stop them from meeting with our member base and keep them The third is advocating for pro-retiree a majority vote. For the remaining eight, extend our gratitude for your ardent sup- community and reinforces our capabili- people and asking them to join our cam- informed. Much of our work was also legislation at the federal and state level. Verizon invited BellTel leaders to agree port. ties to get the job done, well in the paign for economic justice. very much pre-website for groups such as The last, which we have admittedly tried to modifications to corporate policy To our members. Your letters and future. By the end of 1996, the membership ours. In time we added one with helpful to avoid but have needed to deploy, all changes, in order to satisfy the will of the kind words of gratitude continue to push Many retirees may be aware of our totaled around 1,200 members. After 3 relevant content. the way up to the United States Supreme shareowners for change. us forward, reminding us every day of early roots but to some of our newcom- or 4 years, that grew to 10,000, and Thanks to a thorough and aggressive Court level, is litigation. As BellTel co-founder Bob Rehm has why we do this. Continue sending and ers, the Association was originally found- eventually, we reached the astounding media strategy, our efforts began gaining In fact, the Association has brought repeated many times, “if we don’t pro- sharing your stories with us. ed by a small group of NYNEX retirees 134,000-member level! traction in the news. The New York issues to the U.S. Supreme Court not tect ourselves, who is going to protect This family has been going strong for after then-CEO of NYNEX, Ivan Sei- We persisted and grew our ranks, ask- Times, Wall Street Journal, Barron’s, once, but twice, which is an incredible us?” Of course, Verizon will not, nor 25 years and we see no signs of stopping. denberg, refused to acknowledge or ing members to spread the word to their Bloomberg News, PBS, Boston Business feat for a retiree organization, especially will AT&T, Frontier and any of the We look forward to meeting you all respond to requests from us. friends, acquaintances, and Christmas Journal, Crain’s New York Business, given less than 1% of cases appealed and other companies overseeing our earned again in person and you have our gra- Perhaps if they had been a bit more card lists. We had people who did not Fortune Magazine, and hundreds of filed in the Supreme Court are ever pensions and benefits. To them, we are a cious thanks for your amazing role in the understanding to the requests of their agree with us that it was the correct time other news outlets began telling the story heard. “legacy” cost that no longer works for history that we have created together. PIONEERS & BELLTEL RETIREES UNITE FOR A COMMON CAUSE or over a century, the Telephone Island, hoping to spread awareness and Association and Pioneers leadership hope Verizon was evicting the Pioneers from their jobs and form friendships. The for- Over time, the Pioneers’ focus gradu- Pioneers of America have enacted recruit retirees from within the Pioneer to initiate a forward-looking relationship, their offices in New Jersey. One particu- mation of the Bell System Telephone ally evolved to reflect the organization’s Fpositive and notable changes in ranks. as a way to create a mutually beneficial lar office happened to house wheelchairs Pioneers was proposed by Henry Pope, values and purpose. Unlike other indus- local communities around the country. Then NYNEX, and later Bell Atlantic, manner for both groups to succeed in and other medical supplies for people in Charles Truex, and Thomas Doolittle the try groups at the time, the Pioneers Volunteering in community parks, and eventually Verizon, who all spon- their missions. need within the community to have year prior. viewed community service as an essential soup kitchens, hospitals, schools, and sored the Pioneers, did not want to offer “They are like a relative who lives access to, after returning home from the With notable figures like Alexander ideal for its members, and in 1958, the more have been some of the ways Pio- across the country who talks to us every hospital. Graham Bell and Theodore N. Vail, organization adopted community service neers have helped their communities. once in a while, but now we believe there The NJ Pioneers, on the verge of being then-president of AT&T, in attendance, as a core value. As one of the world’s largest group of is a great opportunity for increased expo- evicted, were scrambling and the organization’s ini- Within the next year, the group adopted industry-specific employees and retirees sure for both of us,” Cohen said. “This is didn’t have much time to organ- tial meeting was a way the motto of “United To Serve Others”. dedicated to service, the Pioneers have something new for us and them, but the ize. The Association interceded for members to pre- After decades of service and the cre- established a mission and brand of Pioneers are very accommodating, and and helped out to give those, our serve the principles of ation of the Pioneers Foundation, the improving the quality of life in their local we are very excited to collaborate more local members in the area an the industry and Colorado-based Telephone Pioneers of areas. Few know more about this great and increase awareness for both organiza- extra month to prepare. encourage the cultiva- America had grown far past where it orig- heritage of philanthropy than our own tions.” Throughout our history, the tion of bonds forged inated. While still representing countless members. According to Cohen, active support of Association of BellTel Retirees through the years of retirees and workers from the telecom- The Pioneers and the Association of the Pioneers from Verizon has dwindled and the Pioneers have shared similar goals teamwork on the job. munications industry, the organization BellTel Retirees have crossed paths many over time as a result of what he says is in providing for the members of their A little more than a decade later, mem- has repositioned to more simply reflect its times and as Chairman Jack Cohen says, our Association any help in advocating “corporate greed.” The Pioneers have community and standing up for what’s bers wanted to engage more with each dedication to serve and create change in “the Pioneers have been a part of the for retirees and against the telecom giant’s long provided good press and goodwill, right. other aside from the organization’s annu- local communities, shortening its name bloodstream for generations.” wishes. yet Verizon holds back on their support. Great Heritage of Pioneering: al meetings. As a result, the Pioneers’ first to “Pioneers”. After the original Association was However, the relationship between the Cohen recalls when one of the Associ- Back in 1911, the Pioneers convened 12 chapters were chartered, allowing fur- The Association of BellTel Retirees is established, our co-founders, among two could not be denied, as many of you ation’s board members, Michael McFad- for the group’s first meeting, giving ther interaction among members, creat- ecstatic to join forces with the Pioneers them Bob Rehm and Bill Jones, would go reading this may be Pioneers yourselves. den, came to him and the board with a retirees and workers in the industry the ing the foundation for the Pioneers’ and establish a symbiotic relationship for to Pioneer group meetings in Long Fast forward to 2021 and both the problem in New Jersey. Some years ago, opportunity to join together outside of future service ideals. the enrichment of all our members. 2021 Belltel_Summer.qxp_12pages 5/17/21 5:12 PM Page 4

4 BellTel Retiree Service to the Verizon Retiree C BellTel Retiree 5 Years of ommunity 25 H 6H 20 H199 —25 Years Together — 21H We Would Not Have Done It Any Differently

6 BellTel Retiree Summer 2021 —2020 Association Fiscal Report— he year 2020 was a remarkable The following are brief highlights of began. We expect expenses to remain one in many ways. The pandem- our financial transactions for fiscal year depressed in many key categories this Tic and the presidential election 2020. Our financial records will be year as we slowly return to business as were top of mind for all of us throughout audited in June 2021 prior to filing our usual and are hopeful that the positive the year. The human losses were stagger- IRS Form 990, and the NY State CHAR trend in contributions is sustained. ing and still persist in some areas of the 500, — “Annual Filing for Charitable As a non-profit, we rely entirely on the country. Organizations.” In addition to filing in donations of our members. While we Looking back, the Association of Bell- New York, we will file in more than 40 realize that not everyone can donate Tel Retirees was fortunate to avoid the other states across the nation that require $100 or even $50, we truly hope you worst of the year’s troubles. We can- registration. value the work your Association of Bell- celled our annual membership meeting Despite the challenges of 2020, the Tel Retirees performs and will help in that had been scheduled for Long Island Association - with your help - managed whatever way you can. to comply with pandemic public safety to deliver a positive year financially. If you are contributing by check or measures. Mini meetings scheduled in Here are some of the highlights and com- credit card, please use the enclosed dona- many locations were also parisons to 2019: tion card and self-addressed envelope. postponed. Major Total revenue for For our members who prefer on-line business initiatives Despite the challenges the year increased donations, please consider a sustained slowed as we adhered more than 7% to giving donation on your credit card – to distancing require- $583K which will help you budget your contri- ments. of 2020, total revenue Total expenses butions, and provide a steady stream of Many other aspects declined by more than income to our organization. Go of our business contin- increased over 7% and 10% to $448.6K to www.belltelretirees.org and click on ued on but at a slower The Association the donate now button and follow the pace. Many of those expenses declined 10% was a beneficiary of instructions to donate monthly, quarterly accomplishments are the Paycheck Protec- or yearly. detailed in the pages of this newsletter. tion Program, a pandemic relief program A final thank you to our contributing From a financial perspective, a key designed to support small businesses’ and members for their support in 2020 accomplishment was the successful com- nonprofits’ ability to keep their employ- despite significant challenges! pletion of the annual audit. As required ees employed. A loan of more than by the New York State Attorney Gener- $15,000 was received and helped us al’s Charities Bureau, Fuller Lowenberg weather the storm and was ultimately & Co. conducted an audit of our 2019 forgiven in full. OUR MISSION: financial statements in early 2020. We were also very grateful to learn The Association of BellTel Questions from the auditors, their that a former BellTel member had left a Retirees is dedicated to promot- first full year working with ABTR, were bequest to the organization in their will. ing the protection and enhance- answered accurately and completely. The Their thoughtfulness and generosity to ment of the pensions and audit was presented to and approved by the Association and their colleagues is benefits for all retirees and for the Association’s Board of Directors in deeply appreciated. We will honor their the current and future benefici- August 2020. request to keep all details of the gift pri- aries of the companies derived Opinion: The auditors found that our vate. and evolving from the original financial statements “present fairly, in all On the expense side, competitive bid- Bell System. material respects, the financial position of ding of professional contracts continued the Association of BellTel Retirees Inc. as to pay dividends. Although there were Since 1996, the Association of December 31, 2019, and the results of upward pressures in many expense cate- has worked to convince the its operations and its cash flows for the gories, pandemic driven declines and the companies to protect and guar- year then ended in accordance with new contracts allowed us to absorb those antee, rather than raid or erode, accounting principles generally accepted increases and actually reduce overall the hard-earned retirement in the United States of America.” The expense by more than 10%. security for hundreds of thou-

audit reflected total assets of $137.2K. A The increase in contributions and sands of dedicated current and

copy has been filed with the New York coincident decline in expenses left our former union and management #State Attorney General. balance sheet in excellent shape as 2021 personnel and their families.

ASSOCIATION OF BELLTEL RETIREES P.O. Box 61, Glen Head, NY 11545-0061 I want to support the Association of BellTel Retirees Inc. in the fight to protect the pensions and benefits of all retirees and active employees. Enclosed is my tax-deductible donation: o $100 o $50 o $40 o OTHER ______We appreciate any amount you can donate Or use your credit card: VISA MASTERCARD DISC AMEX Acct.#______/______/______/______Expiration Date_____ Zip Code: ______Please consider adding $1.00 or more to help offset costly transaction fees and ensuring your donation will fund the work we do on your behalf. Name______Address______City/State/Zip Code______E-mail______Telephone #______I am a: Management retiree _____ Union retiree ______Other _____ Company Retired from:______Year Retired: ______You can also donate online by going to www.belltelretirees.org and click on the DONATE NOW button. Consider a recurring donation – an easy and safe way to budget your contribution. The Association of BellTel Retirees Inc is a 501(c)3 tax-exempt organization. Summer 2021 2021 Belltel_Summer.qxp_12pages 5/17/21 5:13 PM Page 7

Summer 2021 BellTel Retiree 7 e have been a contributing mem- Wber to the Association for many, many years. We expect to continue as MEMBER MAILBAG long as life and funds last. Thank you for the wonderful work you do. Wishing you much joy. have been associated with the telephone ou are the only organization able to Jackie and Bernie Seeks Icompany since the summer of 1956. Ystop Verizon greed. 82 years old and I’m writing to you to express how still collecting a pension. Thanks for what * * * grateful I am that this organization is truly you do. e are all grateful that we have an instrument of goodness and have E. A. someone doing such a tremendous become willing to pay the price for others * * * W job looking for our better interests. Thank who are incapable of the work you do. can’t believe the CEO compensation you! We feel safe knowing you are at the received by these officials jumped by I Steven Turney, helm, for we know your purpose is pure 14%-36% and some receive pension Centereach, NY and intentions good. amounts of $274,000 a month for life * * * I close with, “Who knows but you while my pension check remains the same hank you for all you do for retirees. I were born for such a time as this?” Well since 1991. It seems my 38 years of serv- sleep better at night knowing you are done from one of the thousands of former ice does not matter. Thank you for all you T looking out for us. faithful and hardworking employees of do for the working and retired employees. Patricia Wells, “Ma Bell.” Ralph Everton Chadds Ford, PA Thank you again, and happy 25th * * * anniversary to you. irst, a big “thank you” for all your Betsy Durand Fwork on our behalf and for keeping us AT&T Shareholders Vote Against * * * informed all these years. High Executive Compensation am happy that I can afford to con- I worked for New England Tele- At AT&T’s annual meeting on April Itribute to this fine organization that has phone/NYNEX for 30 years, 15 of those th been doing its best to support me and all with management positions and 15 as a 30 , shareholders voted against the cor- the other retirees for 25 years. I do miss non-management/union employee. I am poration’s proposal to approve executive the annual meetings when we could one of many who worked tirelessly for compensation. “catch up” with others from various “the company”. I feel very fortunate to According to the final voting results, 51% of shareholders voted against the states. have retired with a pension and benefits. approval of executive compensation, I retired in March 1988 from Bell However, 32 years in retirement, and ensuring that the proposal did not receive Atlantic and have been fortunate enough Verizon has not given one COLA raise. a majority of affirmative votes. to be able to enjoy retiring early. Some of My pension is not worth what it was in AT&T’s top officers have taken home us saw the handwriting on the wall early 1989. So, after reading this article on tens of millions in annual compensation. on. Fortunately, I have been retired CEO compensation, I was shocked and In 2020, Jason Kilar, the chief execu- longer than I worked, it certainly wasn’t saddened. tive of AT&T’s media unit WarnerMe- because of the pension, but the ability to The average CEO salary jumped 14% dia, received a total realized compensation max out the 401k. I hope all the younger from $18.7 million to $21.3 million of $2.9 million. employees avail themselves of this oppor- between 2018 and 2019. And, it has However, when you also include the tunity as there is no pension, and Social grown that way for the last decade! roughly 1.65 million shares granted to Security may be radically different in the Let’s make a comparison for the Kilar upon his hiring as CEO of Warner- coming years. 41,000 retirees now de-risked to Pruden- Media, his compensation package sky- Our best wishes to the Association of tial. If everyone received a mere COLA rockets to $52.2 million. BellTel Retirees for their hard work in raise of $10/month for $120/year, at the th While 25% of the share units will vest supporting the retirees on this 25 end of the year Verizon would have paid each year, his total compensation comes Anniversary year. out $4.8 million. Compare that to the out to be more than double that of John & Marianne Mayer, CEO salary jump of $18.1 million and AT&T CEO, John Stankey. Bradenton, FL the CFO salary growth of 18% from $7.1 For corporations to think they can eas- * * * million to $8.4 million. ily pass these extremely high compensa- hanks for what you do. I’m one of And, the CEO salary to employee pay tion packages following a pandemic year Tthe 41,000 de-risked. Personally, I ratio is 151 to 1! Employees and retirees and expect their shareholders to simply believe I’m screwed, but let’s keep up the are being overlooked. It’s time for our ratify them is unjustifiable. fight. raise. Last year, AT&T underperformed in Brian Glennon, Irene Cyr, the broad market, with a total shareholder North Quincy, MA Kennebunkport, ME return of negative 21%. * * * * * * Verizon, AT&T Sue to Block Low Cost Broadband Law ollowing a new law in New York to cannot mandate them to give away their law has gained widespread support by Frequire internet providers to offer product and service at such steep price elected officials seeking to provide fami- high-speed broadband service at super discounts, which absolutely will impair lies with necessary internet services for steep discounts to lower-income cus- their ability to maintain and upgrade continuing to work at home and distance tomers, major telecom industry groups their networks. education from home. have gotten together and sued. The law would require internet The New York law is a first in the These litigants, the NY State Telecom- providers in New York to lower their nation, while the White House has previ- munications Assoc and the Satellite broadband service to $15 a month for ously discussed a widespread reduction of Broadcasting & Communications Assoc, low-income households. The state is esti- broadband prices for all Americans. represent AT&T and Verizon and are mating that 40% or some 7 million peo- What is clear is that this has the capac- suing to block the law on the grounds ple all across the state would qualify for ity to significantly impact the future of that the state is overstepping its bound- the discount. countless jobs at Verizon. We will keep aries as a regulatory authority. Due to the persisting aftershocks of the you posted as to how this litigation is AT&T and Verizon argue the state pandemic’s effect on internet usage, the being received in the courts. 2021 Belltel_Summer.qxp_12pages 5/17/21 5:13 PM Page 8

8 BellTel Retiree Summer 2021 Retirees for Justice Launches – Free Membership to BellTel Retirees etiree earned benefits are under The Retirees for Justice website, ates considerable legal issues of concern siege. Many of ERISA’s original www.retireesforjustice.org, features that are largely left unaddressed at the Rprotective purposes have been sys- important resources that include detailed state level. tematically eroded by federal courts over and up-to-date specifics on pension risk Targeting and reducing retiree earned the years and there is an urgent need to transfer deals that are important to benefits so corporate officers can earn out- make retiree issues front and center before retirees. Even in the midst of a pandemic, sized compensation packages is unfair and Congress. 2020 saw at least $25 billion de-risked. un-American. To combat these The explosive growth of the Pension Membership to Retirees for Justice is onslaughts, The Association of BellTel Risk Transfer business free to BellTel mem- Retirees and Retirees for Justice have part- has also made it all too bers and includes a nered up in the fight to protect and pre- obvious that retirees monthly newsletter serve earned benefits for retirees and their need more representa- with updates on leg- families. tion and effective advo- islative actions and Both organizations recognize the cates at the state and relevant news for importance of transparency and account- federal level to protect retirees. ability and demand that the uniform pro- their earned benefits. Earned benefits for retirees must be tections they were afforded under ERISA Edward Stone, outside Special Coun- protected and safeguarded. Insurance be maintained under state law. In addi- sel to the Association of BellTel Retirees, companies and other investor groups tion, efforts are underway to restore has worked tirelessly with our organiza- who might assume control of retire- ERISA’s protective purposes after decades tion and others across the corporate ment benefits need to be held account- of erosion at the behest of corporate retiree spectrum to protect retirees’ earned able. Forcing retirees into group annu- America. benefits. ity contracts without their consent cre- Since 2012, over $180 billion in retiree pension liabilities have been transferred to insurance companies by corporations $$$ Jackpot for Top Execs at VZ, AT&T looking to relieve themselves of their pen- t has become an annual tradition AT&T is a part of this too. sion management responsibilities, a prac- in proxy season to shake our According to AT&T’s 2021 proxy tice that Stone has been continuously heads collectively at the release of statement, CEO John Stankey raked informing lawmakers about in order to I outlandish executive compensation in $10.5 million. secure needed federal and state legislation numbers. Randall Stephenson, former CEO to protect retirees and their families. In our last issue, we highlighted and Executive Chairman, achieved a As an expert on the issues and circum- the alarming 2019 compensation package worth $15.7 million. On stances facing retirees, Stone has recently packages for the CEOs at Verizon, top of that, he retired with a pension launched Retirees for Justice AT&T, and Frontier Communica- account worth $64 million. (www.retireesforjustice.org), a nonprofit tions. CFO John Stephens received $9.6 organization working to protect and pre- With the release of Verizon’s and million, CEO of AT&T’s entertain- serve the earned benefits of America’s AT&T’s 2021 proxy statements, we ment subsidiary Warner Media, retirees. have more updates on the crazy fig- Jason Kilar, collected $2.9 million, Retirees for Justice is offering all Asso- ures executives are receiving. not including a $49.2 million stock ciation of BellTel Retiree members the Verizon CEO Hans Vestberg, award. Senior Executive VP David opportunity to join today at no cost. who received $18.1 million in com- McAtee received $6.4 million, and Stone, who serves as Executive Direc- pensation in 2019, had his 2020 CEO of AT&T Communications tor, played an integral part in securing the numbers jump even more, receiving Jeff McElfresh took home $3.2 mil- passage of legislation in Connecticut and $19.1 million, despite widespread lion. Virginia in 2015 and 2018, respectively, unemployment and the global eco- Comparing this to the 1996 to gain higher-level protections for those nomic shutdown. NYNEX proxy, the year our Associa- whose pensions were spun off into group Matthew Ellis, Executive Vice tion was created, CEO and Chair- annuity contracts. President and CFO, saw increases to man of the Board Ivan Seidenberg Retirees for Justice advocates for the his compensation, from $7.1 million received annual compensation of passage of new laws at the state level and in 2018, $8.1 million in 2019, and roughly $1.5 million. It’s a large sum modification of existing federal laws, now $8.8 million in 2020. indeed, but pales in comparison to including ERISA, to better protect Each of the remaining top Verizon today’s war chests. retirees and their families from the sys- executives was granted similarly gen- During periods of poor perform- tematic erosion of retiree benefits that erous pay raises as well. ance, corporate slowdowns, and lay- seems to occur on a daily basis. Ronan Dunne, Group CEO of offs, top executives are not living in Corporate America has increasingly Verizon Consumer, received a total the same reality as the rest of us. viewed pension plans as a growing and compensation of $9.2 million. Tami Hundreds of millions of dollars are unwelcome expense and has been offload- Erwin, Group CEO of Verizon Busi- going to these handfuls of people, yet ing them to insurance companies to save ness, received $8.2 million, and K. American families, their customers, costs. Guru Gowrappan, Group CEO of perhaps employees, or retirees are sit- When this happens, retirees immedi- Verizon Media, took home $7.8 mil- ting outside on food lines, hoping ately lose all of the uniform federal pen- lion, all in the difficult 2020 pan- there is enough for everybody. sion protections intended by Congress demic year. These out-of-control compensa- under ERISA, leaving them subject to All across the United States corpo- tion packages illustrate how those at individualized non-uniform, often weak- rate sector, the pay gap between top the top are being paid according to er, state laws. executives and the average worker has completely different rules. Retirees for Justice was founded to continued to grow. In 2019, the Realistically, can any CEO do 320 highlight and address these issues and take CEO-to-typical-worker compensa- times more or better work than the the necessary steps to ensure that retirees tion ratio hit 320-to-1. average employee? and their families can feel at ease about their economic futures.