NEW YORK (Reuters) - AT&T Inc said on Thursday that it expects to report second quarter net subscriber additions of about 500,000 and stronger U-verse broadband and TV subscriber growth.

It backed its full year forecast for revenue growth exceeding 2 percent and reported "strong free cash flow" and another $1 billion in cash proceeds.

It said that the cash came from a distribution of about $500 million from YP Holdings LLC, where AT&T holds a minority stake, and about $550 million from its recent sale of shares in America Movil shares.

(Reporting By Sinead Carew)