Administration December 6, 2002

AT&T Shareholders Vote on Cash Balance Plan

June 12, 2002 (PLANSPONSOR.com) - As the 2002 proxy season winds down, Domini's final shareholder resolution this year challenges the fairness of AT&T's conversion to a new retirement plan.

Reported by

Camilla Klein

The resolution requests that long-term employees be offered a choice between the new plan, which AT&T converted to in 1997, and the previous traditional plan.

Last year, this proposal was voted against by 2.5 billion shares, or 85.3% of the vote (see AT&T Shareholders Vote on Pension, Restructuring Proposals ).

Time has shown that such resolutions are difficult to pass. Last year, for the second time, IBM shareholders voted against such a resolution
(see Mad as Hell and IBM Pension Protest Falls Short – Again ).