Apple CEO Steve Jobs confirmed that in addition to getting a full refund for an iPhone 4 if you aren’t satisfied, AT&T will cancel your service contract, too. Mr. Jobs offered the information during an iPhone 4-related press conference on the Apple campus on Friday.

Mr. Jobs stated that iPhone 4 owners that don’t want their phone can return it to Apple within 30 days for a full refund and no restocking fees. When asked if AT&T would refund iPhone 4 contracts, he answered “I believe they will, yes.”

Apple hosted the press conference to address concerns over iPhone 4 signal strength and antenna issues. The company has been targeted with complaints that holding the phone so the lower left corner is covered causes the signal strength bars to drop.

The company released iOS 4.0.1 on Thursday to address the bar display issue by changing the formula used to show signal strength more accurately. Mr. Jobs also announced during the press conference that the company will give iPhone 4 users free cases to help avoid antenna issues, too.

While Apple is offering to fully refund iPhone 4 purchases, the company has seen only a 1.7 percent return rate. In comparison, the return rate for the iPhone 3GS during the same post-launch period was 6 percent.

“If you’re still not happy, even with the case, you can bring your iPhone 4 back — undamaged — for a full refund,” Mr. Jobs said. “We want to make all of our users happy.”

[Thanks to SlashGear for the press conference information]