T AT&T Inc.

Exchange

NYSE

Sector

Public Utilities

Industry

Telecommunications Equipment

Market Cap.

197.6B

Poor Cash Return on Invested Capital over the past 5 years

T has been unable to consistently generate sufficient returns from its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

T has only created $6.59 of cash for every $100 invested.

Figures in USD. Fiscal year ends in December

	2007	2008	2009	2010	2011
Free Cash Flow	16.36B	13.32B	17.11B	14.69B	14.54B
divided by
Invested Capital	234.40B	221.16B	228.25B	233.10B	236.37B
Cash ROIC	6.98%	6.02%	7.50%	6.30%	6.15%

Satisfactory Return on Equity over the past 5 years

T has generated adequate returns with capital that shareholders have invested. This is sufficient and implies that management performance has been good.

T has generated $11.61 of Earnings for every $100 of Shareholders' Equity.

Figures in USD. Fiscal year ends in December

	2007	2008	2009	2010	2011
Net Income	11.95B	12.87B	12.54B	20.18B	4.18B
divided by
Stockholders' Equity	115.37B	96.35B	101.90B	111.65B	105.53B
Return on Equity	10.36%	13.35%	12.30%	18.07%	3.96%

Excellent Business Performance over the past 10 years

T has been able to maintain profitability in good times and bad. This could mean T has an extremely strong business or has the ability to scale down costs when needed. This should be a fairly resilient business, but double check for future sustainability by looking at its Risk Factors in the Annual Report.

T has created positive free cash flow for 9 or more of the past 10 years.

Figures in USD. Fiscal year ends in December

	2002	2003	2004	2005	2006	2007	2008	2009	2010	2011
Free Cash Flow	8.40B	8.30B	7.00B	7.09B	7.30B	16.36B	13.32B	17.11B	14.69B	14.54B