January 31, 2013: UPS announced record Fourth Quarter and Annual adjusted earnings in a company statement today.
UPS made profits of $2.05 billion excluding a big one-time pension accounting charge.
The company's fourth quarter profits looked like a loss thanks to an accounting gimmick. UPS took a massive one-time $3 billion "non-cash charge" on company pension and benefit plans. This charge did not affect the company's cash flow or benefits paid to participants.
Another one-time event, Hurricane Sandy, also cut into the company's bottom line, diluting earnings by $.05 a share according to the company.
After the pension charge, the company posted an official fourth-quarter net loss of $1.75 billion.
It's contract time. And UPS Teamsters can expect management to use the Fourth Quarter figures to talk up the bad economy.
Management and Teamsters know the truth: UPS continues to gain ground and make profits even in a tough economy. Just look at the numbers the company can't manipulate through accounting gimmicks.
- UPS's fourth quarter revenue rose to $14.57 billion—up $400 million compared to last year.
- Daily package volume was up 3% to 16.2 million domestic packages a day.
- Operating profit in the company's domestic package operation increased by 4.4%.
UPS Teamsters continue to deliver huge revenue for the company. It's time for UPS to deliver for us by negotiating a fair contract.
Read news coverage:
Pension charge pushes UPS 4Q results into the red
UPS books loss after big pension charge, sees 2013 profit up
Click here to read UPS's official announcement.