FUTURE FOCUSED. PURPOSE DRIVEN. 2018/2019 Corporate Responsibility Summary INSIDE Letter from CEO Our Approach to CSR Across the Progress Toward Key Performance Randall Stephenson Global ESG Trends Business 2020/2025 Goals Indicators / 04 / 06 / 17 / 22 / 32 2018/2019 GLOBAL ESG CSR GOVERNANCE PROGRESS KEY PERFORMANCE AT&T CORPORATE RESPONSIBILITY SUMMARY LEADERSHIP TRENDS & LEADERSHIP TOWARD GOALS INDICATORS VALUES LIVE TRUE. Do the right thing, no compromise. THINK BIG. Innovate and get there first. PURSUE EXCELLENCE. In everything, every time. INSPIRE IMAGINATION. Give people what they don’t expect. BE THERE. When customers & colleagues need you most. STAND FOR EQUALITY. Speak with your actions. EMBRACE FREEDOM. Press, speech, beliefs. MAKE A DIFFERENCE. Impact your world. 03 2018/2019 GLOBAL ESG CSR GOVERNANCE PROGRESS KEY PERFORMANCE AT&T CORPORATE RESPONSIBILITY SUMMARY LEADERSHIP TRENDS & LEADERSHIP TOWARD GOALS INDICATORS Table of Contents LEADERSHIP GLOBAL ESG TRENDS CSR ACROSS THE BUSINESS Letter from the Chief Executive Officer / 04 Grassroots Commitment to community impact renewables / 18 / 20 Our diversity Carbon reduction / 19 / 21 PROGRESS TOWARD GOALS We are making progress on our 10-year roadmap of goals and targets that serve as milestones for 2020 and 2025. / 22 Letter from the Chief Managing human capital Protecting customer privacy Representing diverse voices Sustainability Officer / 07 / 10 / 13 KEY PERFORMANCE INDICATORS / 05 Addressing climate change Championing human rights To assess our progress, we measure / 08 / 11 GOVERNANCE annual performance in areas most Using technology for social/ Ensuring the responsible use important to our stakeholders and We address environmental, environmental good of products and services our business. social and governance issues / 09 / 12 / 32 at every level of our company. / 14 Following the acquisition of WarnerMedia in June 2018 and launch of Xandr in September 2018, we continue to integrate operationally and through our reporting. For this reason, comprehensive data for these affiliates is not included in this report, except where noted. Our 2019/2020 Corporate Responsibility Summary will reflect data from the first fiscal year as an integrated company, in accordance with Global Reporting Initiative guidelines. 04 2018/2019 GLOBAL ESG CSR GOVERNANCE PROGRESS KEY PERFORMANCE AT&T CORPORATE RESPONSIBILITY SUMMARY LEADERSHIP TRENDS & LEADERSHIP TOWARD GOALS INDICATORS From our CEO to our Stakeholders of clean wind energy for the American events from varying points of view and to Our mission is clear: Inspire human progress through the power grid. And we’re working to help equip people to make informed decisions. divert waste from landfills with a goal of And WarnerMedia’s pioneering Diversity power of communication and entertainment. We embrace achieving zero waste at 100 AT&T facilities & Inclusion Policy, the first in the media those words and the values behind them in all that we do. Our – including our corporate headquarters – industry, guides content creation that is employees are at the heart of our efforts – extending their by the end of 2020.1 inclusive and purposeful. impact beyond the workplace and deep into our communities. It’s clear that technology is rapidly altering We strive to be a great place to work and the way we live, learn and work. That’s a desired business partner. We celebrate why we remain committed to preparing more than 50 years of AT&T’s Supplier here many would say, “It’s not young people for the future through our Diversity Program, which connects my job,” the people of AT&T say, AT&T Aspire and ESCUELA+ education minority-, women-, service-disabled W“How can I help?”. We’re working initiatives. And it’s why we’re helping veteran- and LGBTQ-owned businesses in cities across the country to expand our own workforce continuously evolve with opportunities to provide products economic opportunity, provide training their skills and capabilities to thrive in a and services to AT&T. and help those in need through our AT&T changing work environment. We continue SM Fundamentally, AT&T’s approach to Believes initiative. We’re helping to to stand for equality and a diverse, corporate responsibility is based on the tackle important issues, including inclusive and welcoming workplace. And core belief that our long-term business homelessness, violence, unemployment we expect this commitment, not only from success is tied to the strength and health and access to education. And we’re our own employees, but from our suppliers RANDALL STEPHENSON of our communities and the world. Every supporting communities in the wake of and business partners as well. day, our employees are guided by that Chairman, Chief Executive natural disasters. You’ve seen that in our As we’ve welcomed new businesses belief. Their pursuit of excellence and Officer and President employees’ tireless efforts as they’ve assisted affected families and first into our company, we’re mindful of our spirit of service help us to constantly responders to keep communities responsibilities as a content creator that adapt and innovate in ways that help us connected and covered the stories of inspires and entertains. We embrace win in the marketplace – and lead positive those in harm’s way. the freedom of our journalists to report change in our society. We continue to develop solutions to help create a better, more environmentally sustainable world. We’re making measurable progress on our goal to enable carbon savings 10 times the footprint of our operations by 2025. We’re Where many would say, ‘It’s not doing this by making our network more efficient and delivering services through my job,’ the people of AT&T say, Smart Cities and Internet of Things ‘How can I help?’” (IoT) programs that help our customers reduce their carbon emissions. In 2018, we became one of the largest corporate purchasers of renewable energy in the U.S. investing in up to 820 megawatts (MW) 1 AT&T utilizes the 90% threshold standard for “zero waste” as defined by the Zero Waste International Alliance, http://zwia.org/standards/zw-business-principles/b/ 05 2018/2019 GLOBAL ESG CSR GOVERNANCE PROGRESS KEY PERFORMANCE AT&T CORPORATE RESPONSIBILITY SUMMARY LEADERSHIP TRENDS & LEADERSHIP TOWARD GOALS INDICATORS From our CSO to our Stakeholders Our commitment to Corporate Social In this year’s Corporate Responsibility Every day, the world faces evolving environmental, economic Responsibility (CSR) is embedded into all Summary, we detail leading levels of our company, including Board environmental, social and governance and social challenges. At AT&T, we believe communications oversight and officer-level leadership. issues on the global horizon, and what technology and entertainment can inspire people to imagine As you will see in the following pages, we’re doing to help ensure our company’s innovative, transformative solutions, share ideas and generate our achievements are made possible resilience for tomorrow. through a unified belief in our company positive impacts. Stakeholder interest in this area of our values, strong corporate governance, business has never been stronger. We’ve and a dedication to mutual goals and enjoyed the opportunity to engage with collaboration across the enterprise. you, and I look forward to continuing We’ve made meaningful progress conversations throughout the year as we this year toward our CSR goals, as we work together to build a better tomorrow. celebrated the 10th anniversary of ow more than ever, people and our education-focused AT&T Aspire investors are demanding more and ESCUELA+ initiatives and reached from companies. We recognize approximately 20% of our 2025 target Nthat in addition to meeting our business to enable carbon savings 10 times the objectives, we have a responsibility to footprint of our operations. We’ve made develop strategies and programs that will demonstrable progress across countless For a detailed look into all our benefit society and help create a more other CSR programs, and I am grateful to work from the past year, visit sustainable world. Simply put, it’s about the people who worked together at every doing what’s right, getting involved and level across our business to make these our full CSR reporting library at making a difference. achievements possible. CHARLENE LAKE about.att.com/csr/reporting As a global organization, we play a role in Senior Vice President, preparing current and future employees Corporate Social for the workforce of tomorrow, in Responsibility and Chief mitigating the impact of climate change, Sustainability Officer in empowering customers to use technology responsibly, and in creating products and services that enable social good. And foundationally, we have a responsibility to protect customer data, ensure basic human rights are upheld, accurately report the facts and represent the world’s voice through diverse and purposeful content. It’s about doing what’s right, getting involved and making a difference.” 06 2018/2019 GLOBAL ESG CSR GOVERNANCE PROGRESS KEY PERFORMANCE AT&T CORPORATE RESPONSIBILITY SUMMARY LEADERSHIP TRENDS & LEADERSHIP TOWARD GOALS INDICATORS ESG TRENDS 07 2018/2019 GLOBAL ESG CSR GOVERNANCE PROGRESS KEY PERFORMANCE AT&T CORPORATE RESPONSIBILITY SUMMARY LEADERSHIP TRENDS & LEADERSHIP TOWARD GOALS INDICATORS The Skills Gap very company needs a future- curriculum to leadership skills, health and proof workforce and a steady, wellness, and strategic alignment with diverse talent pipeline. As company priorities. We address