Thread: UPS Announces Change in Pension Accounting Method

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January 27th, 2012 02:00 AM

UPS Announces Change in Pension Accounting Method

Adopts Simpler, More Transparent Mark-to-Market Methodology

UPS (NYSE: UPS) today announced an accounting change relating to expense recognition for company-sponsored pension and postretirement benefit plans. The new method, adopted in the fourth quarter of 2011, will result in simpler, more transparent financial reporting.


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January 27, 2012

UPS to take $827M charge for accounting change

United Parcel Service Inc. will take $827 million for the fourth quarter of 2011 due to a change in pension accounting.

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January 31, 2012

UPS Q4 Net Profit Slips - Quick Facts

(RTTNews) - Package delivery giant United Parcel Service Inc. (UPS: News ) posted lower fourth-quarter net income of $725 million or $0.74 per share compared with $1.02 billion or $1.02 per share last year, whereas on an adjusted basis, non-GAAP net income grew to $1.25 billion or $1.28 per share from last year's $1.07 billion or $1.06 per share, inclusive of change in pension accounting.

The company said the impact of the change in pension accounting to a mark-to-market methodology improved fourth-quarter 2011 adjusted results by $0.03 and reduced fourth quarter adjusted 2010 results by $0.02. On average, 25 analysts polled by Thomson Reuters expected earnings per share of $1.26 for the quarter. Analysts' estimates typically exclude one-time items.

Total revenues for the quarter increased 5.6% to $14.17 billion from $13.42 billion in the comparable period, while analysts estimated revenues of $14.45 billion for the same quarter.

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