SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report: December 11, 2003
AT&T CORP.
(Exact Name of Registrant as Specified in Charter)
New York
(State or Other Jurisdiction of Incorporation)
1-1105 13-4924710
(Commission File Number) (IRS Employer Identification No.)
One AT&T Way
Bedminster, New Jersey 07921
(Address of Principal Executive (Zip Code)
Offices)
Registrant's telephone number, including area code: (908) 221-2000
Not Applicable
(Former Name or Former Address, If Changed Since Last Report)
A New York Commission File I.R.S. Employer
Corporation No. 1-1105 No. 13-4924710
ITEM 5. Other Events
Attached as Exhibit 99.1 and incorporated herein by reference is a copy of our
press release dated December 11, 2003 relating to voice over Internet protocol
services. Attached as Exhibit 99.2 and incorporated herein by reference is a
copy of our press release dated December 11, 2003 describing the speech of our
Chairman and Chief Executive Officer, David W. Dorman, at the Credit Suisse
First Boston Media and Telecom Week Conference in New York City on December 11,
2003.
ITEM 7. Financial Statements, Pro Forma Financial Information and Exhibits
(c) Exhibits
Exhibit 99.1 - Press release dated December 11, 2003
Exhibit 99.2 - Press release dated December 11, 2003.
ITEM 12. Results of Operations and Financial Disclosure
What are we disclosing?
On December 11, 2003, David W. Dorman, our Chairman and Chief Executive Officer,
publicly disclosed in a speech at the Credit Suisse First Boston Media and
Telecom Week Conference in New York City that as of September 30, 2003, our Net
Debt to EBITDA ratio was 1.1.
Net debt is defined as total debt, less cash, restricted cash and
net foreign debt fluctuations:
(dollars in millions)
Total debt $17,405
Cash 6,751
Restricted cash 464
Net foreign debt fluctuations 899
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AT&T Net Debt $ 9,291
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Reconciliation of EBITDA to net income for
the 12 months ended September 30, 2003:
(dollars in millions)
AT&T EBITDA $8,637
Depreciation and amortization (4,864)
AT&T Latin America impairment charge (1,029)
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Subtotal Operating Income 2,744
Other income (expense), net 297
Interest (expense) (1,278)
(Provision) for taxes (902)
Minority interest income 34
Net earnings (losses) related to equity
investments 17
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Net income from continuing operations 912
Net (loss) from discontinued operations (210)
Gain on disposition of discontinued operations 1,324
Cumulative effect of accounting change 15
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AT&T Net income $2,041
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Our senior management believes that our Net Debt to EBITDA ratio is relevant in
assessing our financial performance.
Mr. Dorman also disclosed in his speech that our year to date debt reduction was
more than $8.0 billion through November 30, 2003, which yields approximately
$0.5 billion in annualized interest savings.
The information in this Item 12 of this Form 8-K shall not be deemed "filed" for
purposes of Section 18 of the Securities Act of 1934, nor shall it be deemed
incorporated by reference in any filing under the Securities Act of 1933, except
as shall be expressly set forth by specific reference in such filing.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
AT&T CORP.
/s/ Robert S. Feit
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By: Robert S. Feit
Vice President - Law and Secretary
December 11, 2003