1 Verizon Political Engagement - 2018 A Message from Craig Silliman Verizon is affected by a wide variety of government policies -- from telecommunications regulation to taxation to health care and more -- that have an enormous impact on our business. We owe it to our shareowners, employees and customers to advocate public policies that will enable us to create new services for our customers and compete fairly in the marketplace. Political contributions are one way we support the democratic electoral process and participate in the policy dialogue. Our employees have established political action committees at the federal level and in 18 states. These political action committees (PACs) allow employees to pool their resources to support candidates for office who generally support the public policies our employees advocate. Verizon also participates in trade associations that advocate on behalf of their members. This report lists all PAC contributions, corporate political contributions, support for ballot initiatives and independent expenditures made by Verizon and its affiliates during 2018. It also lists our Public Policy organization's significant memberships in trade associations and issue advocacy organizations and provides a link to our federal lobbying reports. Our political activity is overseen by the Corporate Governance and Policy Committee of our Board of Directors, which receives a comprehensive report and briefing on these activities at least annually. We update this voluntary disclosure twice a year and publish it on our corporate website. We believe this transparency with respect to our political spending is in keeping with our commitment to good corporate governance and a further sign of our responsiveness to the interests of our shareowners. Craig L. Silliman Executive Vice President of Public Policy and General Counsel 2 Verizon Political Engagement - 2018 Political Activity: Our Voice in the Democratic Process What are the Verizon Political Action Committees? How are candidates selected? The Verizon Political Action Committees (PACs) exist to help the Proper recipients of company political contributions and PAC employees of Verizon participate in America’s electoral process and contributions include candidates for political office or organizations support the public policies important to our future as a company. that support candidates for political office and ballot initiatives. Through the PACs, employees voluntarily join together to contribute Candidates and other organizations being considered for to political campaigns and participate in the electoral process. contributions from the PACs and the company are evaluated on a number of criteria, including their votes and positions on issues of importance to Verizon, which may include issues affecting the What is the mission of the Verizon Political Action business community in general or the communications industry Committees? specifically, such as communications policy and other policies The Verizon Political Action Committees’ mission is to advance and relating to employment and economic growth. All contributions are protect the future of Verizon and its employees. The Verizon PACs’ made to promote the interests of the company and its employees interest is not in partisan politics. Instead, through the PACs, we are and customers and are made without regard to the private political able to stand together to help government officials and elected interests of management. leaders understand our business, our issues and our concerns. Does Verizon belong to trade associations? How are Verizon Political Action Committee contributions Verizon participates in a number of trade associations, which made? provide valuable industry and market expertise, and also help In order to confirm consistency with company policy, candidates advocate positions on behalf of their members. At times, Verizon’s and committees who are recommended to receive support are views on issues may differ from those a trade association advances, approved by the state and federal PAC disbursal committees. since not all members of an association come to agreement on These committees are comprised of Verizon employees who every issue. Verizon takes these differences into consideration understand our business and policies and are familiar with the when determining, on balance, whether a membership in a trade political process and the candidates for state and federal office. A association is in the best interests of Verizon and its shareholders. In listing of the Officers and the Disbursal Committee of the Verizon order to provide shareholders and the public with a better Federal PAC follows this discussion. understanding of Verizon’s political engagement, we are including in this report a listing of our Public Policy organization’s significant memberships in trade associations and issue advocacy Are the Verizon Political Action Committees required to organizations (501(c)(6) and 501(c)(4) entities). To the extent a trade adhere to any government reporting requirements? association engages in reportable federal lobbying activity, its lobbying reports (along with the reports of other lobbying entities, The Verizon PACs are political committees organized under federal including Verizon) are available online at and applicable state election laws. As such, the PACs are subject to https://lobbyingdisclosure.house.gov/. numerous requirements established by the statutes and the government agencies administering the federal and individual state election laws. These rules and regulations govern many aspects of Who oversees Verizon’s political activities? the contributions process including the setting of monetary contribution limitations and the establishment of periodic reporting Verizon’s political activities are subject to extensive internal requirements. Verizon strictly follows all state and federal reporting oversight. All corporate political contributions are made from an and other political action committee requirements and restrictions. approved budget and go through a centralized process which requires approval by the Legal Department and a Senior Vice President. In addition, advance legal approval must be obtained for Does Verizon also make corporate political contributions? use by any political campaigns of corporate facilities, discounts, or other items of value that could constitute in-kind contributions. Yes, corporate political contributions are made to organizations and to candidates for state offices where permitted by law. Each In addition, the Corporate Governance and Policy Committee of the corporate political contribution is approved by senior management Board of Directors provides oversight of Verizon’s political activity. and the Legal Department to ensure compliance with company policy and applicable law. 3 Verizon Political Engagement - 2018 Verizon Federal Political Action Committee Officers Disbursal Committee Kathleen Grillo - Chairwoman Robert Fisher - Chairman 1300 I Street, NW 1300 I Street, NW Washington, DC 20005 Washington, DC 20005 Robert Fisher - Vice Chairman Leecia Eve 1300 I Street, NW 140 West Street Washington, DC 20005 New York, NY 10007 Taylor Craig - Treasurer Kathleen Grillo 1300 I Street, NW 1300 I Street, NW Washington, DC 20005 Washington, DC 20005 Regi Simpson - Assistant Treasurer Anthony Lewis 1300 I Street, NW 1300 I Street, NW Washington, DC 20005 Washington, DC 20005 Lydia Pulley 703 E Grace Street Richmond, VA 23219 Taylor Craig - Non-Voting 1300 I Street, NW Washington, DC 20005 David Kass - Non-Voting One Verizon Way Basking Ridge, NJ 07920 4 Verizon Political Engagement - 2018 Verizon Federal Political Action Committee 5 Verizon Political Engagement - 2018 Verizon Federal Political Action Committee ARIZONA PAC Contributions to Candidate Committees (Office Sought) Atty. Gen. Mark Brnovich (State Attorney General - AZ) .................................................................................................................................................................................................. $ 1,500 CALIFORNIA PAC Contributions to Candidate Committees (Office Sought) Sen. Susan Rubio (State Senate - CA 22) ........................................................................................................................................................................................................................................ $ 1,500 Beth Gaines (State Senate - CA 1) .......................................................................................................................................................................................................................................................... $ 1,300 Assm. Lorena Gonzalez-Fletcher (State House - CA 80) ............................................................................................................................................................................................. $ 4,000 Assm. Autumn R. Burke (State House - CA 62) ......................................................................................................................................................................................................................... $ 1,500 Contributions to Party Organizations, PACs and Other Groups Bay Area Legislative Leaders PAC .....................................................................................................................................................................................................................................................