AT&T (T -0.9%) and Verizon (VZ -0.3%) may not have enough cash to fund their pension funds...

|By:, SA News Editor

AT&T (T -0.9%) and Verizon (VZ -0.3%) may not have enough cash to fund their pension funds because they overestimated returns while underestimating cash expenses. AT&T paid $868M in the first 9 months of the year, and Verizon $1.8B in the same period. “The wireless business has to run very fast to outpace these enormous legacy obligations," says an analyst.