Dallas, May 2, 2026, 17:05 CDT
AT&T Inc. has wrapped up a $6 billion offering of long-term notes, securing new funds as the Dallas telecom giant ramps up spending on fiber broadband, 5G, and spectrum acquisitions. According to a Form 8-K filing, the sale was finalized April 30, covering maturities spanning 2033 through 2066.
Timing is key here. AT&T is balancing network investments, debt loads, shareholder payouts, and buybacks—all while lining up to buy EchoStar’s spectrum licenses. The final term sheet leaves the door open for proceeds to go toward anything from debt reduction to acquisitions still in the pipeline.
Cash remains under strain. AT&T’s first-quarter free cash flow slipped to $2.5 billion from $3.1 billion last year, a decline the company attributed to heavier capital spending as fiber expansion accelerates. Still, the 2026 targets hold: $23 billion to $24 billion in capital investment, and free cash flow topping $18 billion are both unchanged.
The offering is split across five maturities: $750 million in 4.750% notes maturing 2033; $1.75 billion at 5.250% due 2036; $500 million in 5.850% notes set for 2046; $2 billion of 6.200% notes with a 2056 maturity; and $1 billion at 6.300% coming due in 2066. With the 2066 piece, AT&T is securing ultra-long-term funding, aiming well beyond short-term needs.
Last year, AT&T struck a roughly $23 billion deal with EchoStar to acquire a batch of wireless spectrum licenses. The company expects to gain around 30 MHz of mid-band 3.45 GHz spectrum nationwide, along with another 20 MHz of low-band 600 MHz spectrum—enough to cover nearly all U.S. markets.
Last week, Chief Executive John Stankey called it AT&T’s “best first quarter ever” for advanced connectivity internet customer growth. The telecom posted 584,000 net additions for fiber and fixed wireless internet—an even split between the two segments. Postpaid phone net additions came in at 294,000. ATT Newsroom
CFO Pascal Desroches told investors AT&T finished the first quarter holding $12 billion in cash, with another $19 billion still untapped in term loans. “We are in a strong liquidity position,” he said, as the company moves toward closing the EchoStar deal. Net debt to adjusted EBITDA climbed to 2.71 times by the end of the quarter, Desroches added. ATT Investors
No lull in the action here. T-Mobile US this week stepped up its broadband ambitions, announcing fresh fiber joint ventures and rolling out a business internet package that leans on its 5G network—plus Starlink as a backup. Verizon, for its part, hiked its annual profit outlook after wireless subscriber numbers topped forecasts. Then there’s AT&T, still grinding on the same front: retain phone users, land more home internet customers, and tighten its bundle enough to deter defections.
Brian Mulberry, chief market strategist at Zacks Investment Management, told Reuters following AT&T’s results that the company probably could have reported stronger free cash flow if it had chosen to, but instead, management is pouring money into investments—“data is going to be the revenue of the future,” he said. That’s the company’s straightforward wager. Reuters
AT&T ended Friday at $26.12, little changed from its previous finish. Verizon wrapped up at $48.11, while T-Mobile US settled at $196.06. U.S. equity markets remained closed Saturday.
The borrowing comes right on the heels of AT&T’s May 1 dividend payout. The company had previously locked in a 27.75-cent quarterly dividend for common shareholders, plus preferred-share payouts, for those who were holders of record as of April 10.
There’s a risk here: debt could outpace the anticipated savings and growth. AT&T has told investors to expect leverage near 3.2 times following the EchoStar acquisition. Management says it should drop to around 3 times by the end of 2026, with a return to its 2.5-times target in about three years. But that scenario could easily slip if fiber expansion slows, wireless demand softens, or credit conditions tighten.
Right now, the debt sale suggests AT&T remains committed to expansion, not retreat. Investors get their next official update at the annual meeting set for May 14.
