Out of the savings of the many
One of AT&T’s most important services to the operating telephone companies is financial assistance. This is especially true in periods of rapid growth, like the present. In these times the telephone companies need vast sums of money for equipment and buildings to expand and strengthen the nation’s communications network for defense, and to meet the public demand for telephone service.
The money for improving and expanding telephone service comes from people in all walks of life. It comes from the savings of the many, not the wealth of the few. Most of this money is invested in securities of the AT&T Company, which in turn supplies funds to the operating companies.
By mid-1955 AT&T was owned by about 1,375,000 people. These owners live in all parts of the country, in large cities, small towns and rural areas. They are truly a cross-section of America.
Many AT&T share owners are long-time investors. More than a fourth of them have owned their AT&T stock ten years or more. And over 60 per cent of these have increased their investment during those ten years.
About 351,000 of the shareholdings represent two persons—husbands and wives, mothers and daughters, sisters and brothers—who have invested savings in their joint names.
Besides the direct owners of AT&T, many other people—such as insurance company policy holders and bank customers—help indirectly to finance the business through the AT&T shares held by organizations and trustees. The largest AT&T shareholder is a nation-wide investment firm that holds stock for thousands of customers. Among other institutional holders are some 2,100 churches, 1,100 hospitals and homes, over 1,000 schools and libraries, over 500 foundations and charities.
DISTRIBUTION OF A. T. &. T. SHARE OWNERS END OF 1954
| 608,000 | WOMEN | Average Holding 29 Shares |
| 351,000 | JOINT ACCOUNT | Average Holding 26 Shares |
| 297,000 | MEN | Average Holding 38 Shares |
| 51,000 | TRUSTEES AND ORGANIZATIONS | Average Holding 194 Shares |
More than 200,000 Bell System employees own AT&T stock purchased under payroll sayings plans. Many of these, together with other employees, are now buying shares under the current payroll sayings plan.
Such widespread ownership by investors helps make possible the good telephone service you get today.