Document
false--12-31Q320190001090727UNITED PARCEL SERVICE INC07000000P3Y0000.912.730.962.880.01157000000701000000260000000.0015000.00200.0010.00150.0024000000000.083750.003750.01000.0150.016250.02050.02400.025000.0250.0280.02350.02450.03050.0340.034000.03400.03750.031250.036250.04250.048750.051250.06200.021250.051250.05502023-12-312028-12-312032-12-312025-12-312021-12-312026-12-312029-12-312023-12-312024-12-312022-12-312022-12-312027-12-312029-12-312049-12-312046-12-312047-12-312021-12-312042-12-312049-12-312040-12-312019-12-312038-12-312024-12-312020-12-312030-12-312020-12-312021-12-312023-12-312067-12-312022-12-312050-01-012031-12-312045-12-312022-12-313005-12-312020-12-312049-12-312029-12-312019-12-312019-12-312019-03-3100200000015000000001000000260000004100000043000000010000001000000100000010000001900000014000000270000001200000036000000140000004100000014000000810000007900000011200000010000002000000100000040000000P5YP5Y220000010000000 0001090727 2019-01-01 2019-09-30 0001090727 us-gaap:CommonClassBMember 2019-10-16 0001090727 us-gaap:CommonClassAMember 2019-10-16 0001090727 2019-07-01 2019-09-30 0001090727 ups:SeniorNotes1.625Due2025Member 2019-01-01 2019-09-30 0001090727 ups:FloatingRateSeniorNotesDue2020Member 2019-01-01 2019-09-30 0001090727 ups:SeniorNotes1Due2028Member 2019-01-01 2019-09-30 0001090727 ups:SeniorNotes1.500Due2032Member 2019-01-01 2019-09-30 0001090727 ups:SeniorNotes0.375Due2023Member 2019-01-01 2019-09-30 0001090727 2019-09-30 0001090727 2018-12-31 0001090727 us-gaap:CommonClassAMember 2018-12-31 0001090727 us-gaap:CommonClassAMember 2019-09-30 0001090727 us-gaap:CommonClassBMember 2018-12-31 0001090727 us-gaap:CommonClassBMember 2019-09-30 0001090727 2018-07-01 2018-09-30 0001090727 2018-01-01 2018-09-30 0001090727 us-gaap:MaintenanceMember 2018-07-01 2018-09-30 0001090727 us-gaap:CargoAndFreightMember 2018-07-01 2018-09-30 0001090727 us-gaap:CargoAndFreightMember 2019-01-01 2019-09-30 0001090727 us-gaap:MaintenanceMember 2018-01-01 2018-09-30 0001090727 us-gaap:CargoAndFreightMember 2019-07-01 2019-09-30 0001090727 us-gaap:MaintenanceMember 2019-01-01 2019-09-30 0001090727 us-gaap:MaintenanceMember 2019-07-01 2019-09-30 0001090727 us-gaap:CargoAndFreightMember 2018-01-01 2018-09-30 0001090727 2017-12-31 0001090727 2018-09-30 0001090727 us-gaap:AccountingStandardsUpdate201602Member 2019-01-01 0001090727 ups:InternationalMember 2019-07-01 2019-09-30 0001090727 ups:CargoMember ups:InternationalMember 2019-07-01 2019-09-30 0001090727 country:US ups:USDomesticPackageMember 2018-01-01 2018-09-30 0001090727 ups:ExportMember ups:InternationalMember 2019-07-01 2019-09-30 0001090727 ups:NextDayAirMember country:US 2018-07-01 2018-09-30 0001090727 ups:GroundMember country:US 2019-07-01 2019-09-30 0001090727 ups:GroundMember country:US 2019-01-01 2019-09-30 0001090727 ups:FreightMember 2019-01-01 2019-09-30 0001090727 ups:DomesticMember ups:InternationalMember 2018-01-01 2018-09-30 0001090727 ups:NextDayAirMember country:US 2019-01-01 2019-09-30 0001090727 ups:OtherProductsandServicesMember 2018-07-01 2018-09-30 0001090727 ups:SupplyChainFreightMember ups:SupplyChainFreightMember 2019-01-01 2019-09-30 0001090727 ups:DomesticMember ups:InternationalMember 2019-01-01 2019-09-30 0001090727 ups:InternationalMember 2018-07-01 2018-09-30 0001090727 ups:ForwardingMember 2019-07-01 2019-09-30 0001090727 ups:GroundMember country:US 2018-07-01 2018-09-30 0001090727 ups:FreightMember 2018-01-01 2018-09-30 0001090727 ups:CargoMember ups:InternationalMember 2018-07-01 2018-09-30 0001090727 ups:DeferredMember country:US 2019-07-01 2019-09-30 0001090727 ups:FreightMember 2019-07-01 2019-09-30 0001090727 ups:DeferredMember country:US 2018-07-01 2018-09-30 0001090727 ups:InternationalMember 2018-01-01 2018-09-30 0001090727 ups:OtherProductsandServicesMember 2019-01-01 2019-09-30 0001090727 ups:DeferredMember country:US 2018-01-01 2018-09-30 0001090727 ups:ExportMember ups:InternationalMember 2018-07-01 2018-09-30 0001090727 ups:ExportMember ups:InternationalMember 2019-01-01 2019-09-30 0001090727 ups:NextDayAirMember country:US 2018-01-01 2018-09-30 0001090727 country:US ups:USDomesticPackageMember 2018-07-01 2018-09-30 0001090727 ups:InternationalMember 2019-01-01 2019-09-30 0001090727 ups:SupplyChainFreightMember ups:SupplyChainFreightMember 2018-07-01 2018-09-30 0001090727 ups:LogisticMember 2018-07-01 2018-09-30 0001090727 ups:ExportMember ups:InternationalMember 2018-01-01 2018-09-30 0001090727 ups:ForwardingMember 2019-01-01 2019-09-30 0001090727 ups:LogisticMember 2019-07-01 2019-09-30 0001090727 ups:DomesticMember ups:InternationalMember 2018-07-01 2018-09-30 0001090727 ups:GroundMember country:US 2018-01-01 2018-09-30 0001090727 ups:DeferredMember country:US 2019-01-01 2019-09-30 0001090727 ups:SupplyChainFreightMember ups:SupplyChainFreightMember 2019-07-01 2019-09-30 0001090727 ups:SupplyChainFreightMember ups:SupplyChainFreightMember 2018-01-01 2018-09-30 0001090727 ups:CargoMember ups:InternationalMember 2018-01-01 2018-09-30 0001090727 country:US ups:USDomesticPackageMember 2019-01-01 2019-09-30 0001090727 ups:OtherProductsandServicesMember 2019-07-01 2019-09-30 0001090727 country:US ups:USDomesticPackageMember 2019-07-01 2019-09-30 0001090727 ups:LogisticMember 2019-01-01 2019-09-30 0001090727 ups:LogisticMember 2018-01-01 2018-09-30 0001090727 ups:NextDayAirMember country:US 2019-07-01 2019-09-30 0001090727 ups:OtherProductsandServicesMember 2018-01-01 2018-09-30 0001090727 ups:ForwardingMember 2018-01-01 2018-09-30 0001090727 ups:CargoMember ups:InternationalMember 2019-01-01 2019-09-30 0001090727 ups:ForwardingMember 2018-07-01 2018-09-30 0001090727 ups:DomesticMember ups:InternationalMember 2019-07-01 2019-09-30 0001090727 ups:FreightMember 2018-07-01 2018-09-30 0001090727 ups:NonqualifiedStockOptionsMember 2018-01-01 2018-09-30 0001090727 ups:NonqualifiedStockOptionsMember 2019-01-01 2019-09-30 0001090727 ups:LongTermIncentivePerformanceAwardMember 2019-01-01 2019-09-30 0001090727 ups:LongTermIncentivePerformanceAwardMember 2018-01-01 2018-09-30 0001090727 ups:ManagementIncentiveAwardMember 2019-03-25 0001090727 ups:NonqualifiedStockOptionsMember 2019-01-01 2019-09-30 0001090727 ups:NonqualifiedStockOptionsMember 2018-03-01 2018-03-01 0001090727 ups:LongTermIncentivePerformanceAwardMember 2019-03-22 0001090727 ups:LongTermIncentivePerformanceAwardMember 2019-07-01 0001090727 ups:NonqualifiedStockOptionsMember 2018-03-22 2018-03-22 0001090727 ups:NonqualifiedStockOptionsMember 2019-02-14 2019-02-14 0001090727 ups:ManagementIncentiveAwardMember 2019-02-14 0001090727 ups:ManagementIncentiveAwardMember 2019-02-06 0001090727 ups:ManagementIncentiveAwardMember 2019-01-01 2019-09-30 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:AssetBackedSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:CorporateDebtSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:AssetBackedSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:USTreasuryAndGovernmentMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:USTreasuryAndGovernmentMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:ForeignGovernmentDebtSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:AssetBackedSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:CorporateDebtSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:EquitySecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:OtherLongTermInvestmentsMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:ForeignGovernmentDebtSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:EquitySecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueMeasurementsRecurringMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:CorporateDebtSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:USTreasuryAndGovernmentMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:EquitySecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:EquitySecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:ForeignGovernmentDebtSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:USTreasuryAndGovernmentMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:ForeignGovernmentDebtSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueMeasurementsRecurringMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:OtherLongTermInvestmentsMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:AssetBackedSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:CorporateDebtSecuritiesMember ups:MarketableSecuritiesMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:OtherLongTermInvestmentsMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:OtherLongTermInvestmentsMember 2019-09-30 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2019-09-30 0001090727 us-gaap:USTreasuryAndGovernmentMember 2019-09-30 0001090727 us-gaap:EquitySecuritiesMember 2018-12-31 0001090727 us-gaap:USTreasuryAndGovernmentMember 2018-12-31 0001090727 us-gaap:EquitySecuritiesMember 2019-09-30 0001090727 us-gaap:ForeignGovernmentDebtSecuritiesMember 2019-09-30 0001090727 us-gaap:AssetBackedSecuritiesMember 2018-12-31 0001090727 us-gaap:CorporateDebtSecuritiesMember 2019-09-30 0001090727 us-gaap:AssetBackedSecuritiesMember 2019-09-30 0001090727 us-gaap:CorporateDebtSecuritiesMember 2018-12-31 0001090727 us-gaap:ForeignGovernmentDebtSecuritiesMember 2018-12-31 0001090727 ups:CashheldinescrowMember 2018-12-31 0001090727 ups:SelfInsuranceRequirementsMember 2018-12-31 0001090727 us-gaap:MeasurementInputDiscountRateMember 2018-12-31 0001090727 ups:CashheldinescrowMember 2019-09-30 0001090727 ups:VariableLifeInsurancePolicyMember 2019-09-30 0001090727 ups:VariableLifeInsurancePolicyMember 2018-12-31 0001090727 ups:SelfInsuranceRequirementsMember 2019-09-30 0001090727 us-gaap:MeasurementInputDiscountRateMember 2019-09-30 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:EquitySecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:CorporateDebtSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:EquitySecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:USTreasuryAndGovernmentMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:OtherLongTermInvestmentsMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:CorporateDebtSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:OtherLongTermInvestmentsMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:CorporateDebtSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:USTreasuryAndGovernmentMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:OtherLongTermInvestmentsMember 2018-12-31 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:CorporateDebtSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:USTreasuryAndGovernmentMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:ForeignGovernmentDebtSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueMeasurementsRecurringMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:AssetBackedSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:AssetBackedSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:AssetBackedSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueMeasurementsRecurringMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:EquitySecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:ForeignGovernmentDebtSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:USTreasuryAndGovernmentMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:ForeignGovernmentDebtSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:OtherLongTermInvestmentsMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember 2018-12-31 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:AssetBackedSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:EquitySecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel1Member us-gaap:FairValueMeasurementsRecurringMember 2018-12-31 0001090727 us-gaap:FairValueMeasurementsRecurringMember us-gaap:ForeignGovernmentDebtSecuritiesMember ups:MarketableSecuritiesMember 2018-12-31 0001090727 us-gaap:VehiclesMember 2018-12-31 0001090727 us-gaap:BuildingMember 2019-09-30 0001090727 us-gaap:AirTransportationEquipmentMember 2018-12-31 0001090727 ups:PlantEquipmentMember 2018-12-31 0001090727 us-gaap:AirTransportationEquipmentMember 2019-09-30 0001090727 us-gaap:BuildingAndBuildingImprovementsMember 2018-12-31 0001090727 us-gaap:LandMember 2018-12-31 0001090727 us-gaap:ConstructionInProgressMember 2018-12-31 0001090727 us-gaap:ConstructionInProgressMember 2019-09-30 0001090727 us-gaap:TechnologyEquipmentMember 2018-12-31 0001090727 us-gaap:BuildingAndBuildingImprovementsMember 2019-09-30 0001090727 us-gaap:VehiclesMember 2019-09-30 0001090727 us-gaap:TechnologyEquipmentMember 2019-09-30 0001090727 ups:PlantEquipmentMember 2019-09-30 0001090727 us-gaap:LandMember 2019-09-30 0001090727 us-gaap:BuildingMember 2018-12-31 0001090727 us-gaap:ScenarioAdjustmentMember 2019-01-01 2019-09-30 0001090727 us-gaap:ScenarioAdjustmentMember 2019-07-01 2019-09-30 0001090727 us-gaap:ScenarioAdjustmentMember ups:CapitalInvestmentsMember 2019-01-01 2019-09-30 0001090727 us-gaap:ScenarioAdjustmentMember ups:TransformationAssetsMember 2019-01-01 2019-09-30 0001090727 us-gaap:ScenarioAdjustmentMember ups:TransformationAssetsMember 2019-07-01 2019-09-30 0001090727 us-gaap:ScenarioAdjustmentMember ups:CapitalInvestmentsMember 2019-07-01 2019-09-30 0001090727 ups:CentralStatesPensionFundMember us-gaap:MultiemployerPlansPensionMember 2019-09-30 0001090727 ups:CentralStatesPensionFundMember us-gaap:MultiemployerPlansPensionMember 2007-12-31 2007-12-31 0001090727 us-gaap:MultiemployerPlansPensionMember 2018-12-31 0001090727 us-gaap:MultiemployerPlansPensionMember 2019-09-30 0001090727 country:US us-gaap:PensionPlansDefinedBenefitMember 2019-01-01 2019-09-30 0001090727 country:US us-gaap:PostemploymentRetirementBenefitsMember 2019-01-01 2019-09-30 0001090727 us-gaap:OtherNoncurrentLiabilitiesMember us-gaap:MultiemployerPlansPensionMember 2019-09-30 0001090727 us-gaap:OtherNoncurrentLiabilitiesMember us-gaap:MultiemployerPlansPensionMember 2018-12-31 0001090727 us-gaap:OtherCurrentLiabilitiesMember us-gaap:MultiemployerPlansPensionMember 2019-09-30 0001090727 ups:CentralStatesPensionFundMember us-gaap:MultiemployerPlansPensionMember 2018-01-01 2018-12-31 0001090727 srt:MaximumMember ups:CentralStatesPensionFundMember us-gaap:MultiemployerPlansPensionMember us-gaap:ProFormaMember 2019-01-01 2019-09-30 0001090727 country:US us-gaap:PensionPlansDefinedBenefitMember 2019-09-30 0001090727 country:US us-gaap:PostemploymentRetirementBenefitsMember 2018-07-01 2018-09-30 0001090727 us-gaap:ForeignPlanMember us-gaap:PensionPlansDefinedBenefitMember 2019-07-01 2019-09-30 0001090727 country:US us-gaap:PensionPlansDefinedBenefitMember 2018-07-01 2018-09-30 0001090727 country:US us-gaap:PostemploymentRetirementBenefitsMember 2019-07-01 2019-09-30 0001090727 country:US us-gaap:PostemploymentRetirementBenefitsMember 2018-01-01 2018-09-30 0001090727 us-gaap:ForeignPlanMember us-gaap:PensionPlansDefinedBenefitMember 2018-07-01 2018-09-30 0001090727 us-gaap:ForeignPlanMember us-gaap:PensionPlansDefinedBenefitMember 2018-01-01 2018-09-30 0001090727 us-gaap:ForeignPlanMember us-gaap:PensionPlansDefinedBenefitMember 2019-01-01 2019-09-30 0001090727 country:US us-gaap:PensionPlansDefinedBenefitMember 2018-01-01 2018-09-30 0001090727 country:US us-gaap:PensionPlansDefinedBenefitMember 2019-07-01 2019-09-30 0001090727 us-gaap:OtherCurrentLiabilitiesMember us-gaap:MultiemployerPlansPensionMember 2018-12-31 0001090727 us-gaap:ComputerSoftwareIntangibleAssetMember 2019-09-30 0001090727 us-gaap:FranchiseRightsMember 2018-12-31 0001090727 us-gaap:TradeNamesMember 2019-09-30 0001090727 us-gaap:CustomerListsMember 2018-12-31 0001090727 ups:TrademarkspatentsandotherMemberMember 2019-09-30 0001090727 us-gaap:LicensingAgreementsMember 2019-09-30 0001090727 us-gaap:ComputerSoftwareIntangibleAssetMember 2018-12-31 0001090727 ups:TrademarkspatentsandotherMemberMember 2018-12-31 0001090727 us-gaap:LicensingAgreementsMember 2018-12-31 0001090727 us-gaap:FranchiseRightsMember 2019-09-30 0001090727 us-gaap:TradeNamesMember 2018-12-31 0001090727 us-gaap:CustomerListsMember 2019-09-30 0001090727 us-gaap:TradeNamesMember 2019-09-30 0001090727 us-gaap:LicensingAgreementsMember 2019-09-30 0001090727 ups:InternationalPackageMember 2019-01-01 2019-09-30 0001090727 ups:InternationalPackageMember 2018-12-31 0001090727 ups:USDomesticPackageMember 2018-12-31 0001090727 ups:InternationalPackageMember 2019-09-30 0001090727 ups:USDomesticPackageMember 2019-01-01 2019-09-30 0001090727 ups:USDomesticPackageMember 2019-09-30 0001090727 ups:SupplyChainFreightMember 2019-09-30 0001090727 ups:SupplyChainFreightMember 2019-01-01 2019-09-30 0001090727 ups:SupplyChainFreightMember 2018-12-31 0001090727 ups:A3.400seniornotesDue2029Member us-gaap:SeniorNotesMember 2019-03-13 0001090727 ups:LiborMember ups:RevolvingCreditFacilityExpiringIn2023MemberMember 2019-01-01 2019-09-30 0001090727 ups:A3.400seniornotesMember us-gaap:SeniorNotesMember 2019-08-13 2019-08-13 0001090727 ups:A4.250seniornotes2049Member us-gaap:SeniorNotesMember 2019-03-13 0001090727 ups:ForeignCommercialPaperProgramMember us-gaap:CommercialPaperMember 2019-09-30 0001090727 ups:A2.20seniornotesMember us-gaap:SeniorNotesMember 2019-08-13 0001090727 ups:A2.500seniornotesDue2029Member us-gaap:SeniorNotesMember 2019-08-13 0001090727 srt:MinimumMember ups:RevolvingCreditFacilityExpiringIn2023MemberMember 2019-01-01 2019-09-30 0001090727 ups:A2.500seniornotesDue2029Member us-gaap:SeniorNotesMember 2019-08-13 2019-08-13 0001090727 ups:FloatingRateEuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-09-30 0001090727 ups:RevolvingCreditFacilityExpiringIn2023MemberMember 2019-09-30 0001090727 ups:Debentures8Point375PercentDue2020Member us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:RevolvingCreditFacilityExpiringIn2019Member 2019-01-01 2019-09-30 0001090727 srt:MaximumMember ups:LiborMember ups:RevolvingCreditFacilityExpiringIn2019Member 2019-01-01 2019-09-30 0001090727 ups:A3.400seniornotesMember us-gaap:SeniorNotesMember 2019-08-13 0001090727 srt:MinimumMember ups:LiborMember ups:RevolvingCreditFacilityExpiringIn2023MemberMember 2019-01-01 2019-09-30 0001090727 ups:RevolvingCreditFacilityExpiringIn2023MemberMember 2019-01-01 2019-09-30 0001090727 ups:FederalFundsRateMember ups:RevolvingCreditFacilityExpiringIn2019Member 2019-01-01 2019-09-30 0001090727 ups:USCommercialPaperProgramMember us-gaap:CommercialPaperMember 2019-09-30 0001090727 srt:MaximumMember ups:LiborMember ups:RevolvingCreditFacilityExpiringIn2023MemberMember 2019-01-01 2019-09-30 0001090727 ups:FederalFundsRateMember ups:RevolvingCreditFacilityExpiringIn2023MemberMember 2019-01-01 2019-09-30 0001090727 ups:USCommercialPaperProgramMember 2019-09-30 0001090727 ups:ForeignCommercialPaperProgramMember 2019-09-30 0001090727 ups:A2.20seniornotesMember us-gaap:SeniorNotesMember 2019-08-13 2019-08-13 0001090727 ups:RevolvingCreditFacilityExpiringIn2019Member 2019-09-30 0001090727 srt:MaximumMember ups:CitibankBaseRateMember ups:RevolvingCreditFacilityExpiringIn2019Member 2019-01-01 2019-09-30 0001090727 srt:MinimumMember ups:LiborMember ups:RevolvingCreditFacilityExpiringIn2019Member 2019-01-01 2019-09-30 0001090727 srt:MinimumMember ups:CitibankBaseRateMember ups:RevolvingCreditFacilityExpiringIn2019Member 2019-01-01 2019-09-30 0001090727 us-gaap:CapitalLeaseObligationsMember 2018-12-31 0001090727 ups:A2.050seniornotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 us-gaap:CommercialPaperMember 2019-09-30 0001090727 ups:A2.40seniornotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A4.250seniornotes2049Member us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A3.750seniornotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A1.000EuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-09-30 0001090727 ups:A2.500seniornotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:PoundSterlingNotes5Point5PercentMember ups:PoundSterlingNotesMember 2019-09-30 0001090727 ups:A3625SeniorNotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:OtherDebtMember 2019-09-30 0001090727 ups:A3.40seniornotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A2.500seniornotesDue2029Member us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A5125SeniorNotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A2.800seniornotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:PoundSterlingNotes5Point13PercentMember ups:PoundSterlingNotesMember 2018-12-31 0001090727 ups:FacilityNotesAndBondsMember 2019-09-30 0001090727 ups:FloatingRateSeniorNotes2Member us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:Debentures8Point375PercentDue2030Member us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A1.625EuroSeniorNotesMember ups:EuroSeniorNotesMember 2018-12-31 0001090727 ups:A2.40seniornotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A1.625EuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-09-30 0001090727 ups:A2.20seniornotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A4875SeniorNotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A0.375EuroSeniorNotesMember ups:EuroSeniorNotesMember 2018-12-31 0001090727 us-gaap:CapitalLeaseObligationsMember 2019-09-30 0001090727 ups:A3.40seniornotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:FloatingRateSeniorNotes2Member us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A2.500seniornotesDue2029Member us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A235SeniorNotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A3.400seniornotesDue2029Member us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A235SeniorNotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A3625SeniorNotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A4875SeniorNotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:FloatingRateSeniorNotes3Member us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A3125SeniorNotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A245SeniorNotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A3.050seniornotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A2.20seniornotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 us-gaap:CommercialPaperMember 2018-12-31 0001090727 ups:CanadianSeniorNote2.125NoteMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A3.050seniornotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A1.000EuroSeniorNotesMember ups:EuroSeniorNotesMember 2018-12-31 0001090727 ups:A0.375EuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-09-30 0001090727 ups:A4.250seniornotes2049Member us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A3.400seniornotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A620SeniorNotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A1.500EuroSeniorNotesMember ups:EuroSeniorNotesMember 2018-12-31 0001090727 ups:A3.400seniornotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:FloatingRateSeniorNotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:PoundSterlingNotes5Point13PercentMember ups:PoundSterlingNotesMember 2019-09-30 0001090727 ups:A2.050seniornotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A620SeniorNotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:FloatingRateSeniorNotes4Member us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:FacilityNotesAndBondsMember 2018-12-31 0001090727 ups:A2.500seniornotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A3125SeniorNotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:Debentures8Point375PercentDue2020Member us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:PoundSterlingNotes5Point5PercentMember ups:PoundSterlingNotesMember 2018-12-31 0001090727 ups:FloatingRateSeniorNotes3Member us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A2.800seniornotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A1.500EuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-09-30 0001090727 ups:A3.400seniornotesDue2029Member us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A3.750seniornotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:FloatingRateSeniorNotes4Member us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:A245SeniorNotesMember us-gaap:SeniorNotesMember 2019-09-30 0001090727 ups:OtherDebtMember 2018-12-31 0001090727 ups:A5125SeniorNotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:Debentures8Point375PercentDue2030Member us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:FloatingRateEuroSeniorNotesMember ups:EuroSeniorNotesMember 2018-12-31 0001090727 ups:FloatingRateSeniorNotesMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:CanadianSeniorNote2.125NoteMember us-gaap:SeniorNotesMember 2018-12-31 0001090727 ups:A2.800seniornotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:FloatingRateSeniorNotes3Member us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:FloatingRateSeniorNotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:PoundSterlingNotes5Point5PercentMember ups:PoundSterlingNotesMember 2019-01-01 2019-09-30 0001090727 ups:A2.500seniornotesDue2029Member us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A1.500EuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A2.40seniornotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A3.750seniornotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A3.400seniornotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:FloatingRateSeniorNotes4Member us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:OtherDebtMember 2019-01-01 2019-09-30 0001090727 ups:FacilityNotesAndBondsMember 2019-01-01 2019-09-30 0001090727 us-gaap:CommercialPaperMember 2019-01-01 2019-09-30 0001090727 ups:A3.400seniornotesDue2029Member us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A3.050seniornotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:Debentures8Point375PercentDue2020Member us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:Debentures8Point375PercentDue2030Member us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A3.40seniornotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A0.375EuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:FloatingRateEuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:FloatingRateSeniorNotes2Member us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A3625SeniorNotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A245SeniorNotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A620SeniorNotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A4875SeniorNotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A1.000EuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A1.625EuroSeniorNotesMember ups:EuroSeniorNotesMember 2019-01-01 2019-09-30 0001090727 us-gaap:CapitalLeaseObligationsMember 2019-01-01 2019-09-30 0001090727 ups:A5125SeniorNotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A2.050seniornotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A2.500seniornotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A235SeniorNotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:PoundSterlingNotes5Point13PercentMember ups:PoundSterlingNotesMember 2019-01-01 2019-09-30 0001090727 ups:A4.250seniornotes2049Member us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:A3125SeniorNotesMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:CanadianSeniorNote2.125NoteMember us-gaap:SeniorNotesMember 2019-01-01 2019-09-30 0001090727 ups:RevolvingCreditFacilityExpiringIn2019Member 2019-04-04 0001090727 ups:A4.250seniornotes2049Member us-gaap:SeniorNotesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2019-03-13 2019-03-13 0001090727 ups:A3.400seniornotesDue2029Member us-gaap:SeniorNotesMember us-gaap:LondonInterbankOfferedRateLIBORMember 2019-03-13 2019-03-13 0001090727 ups:A2.20seniornotesMember us-gaap:SeniorNotesMember ups:USTreasuryUSTInterestRateMember 2019-08-13 2019-08-13 0001090727 ups:A2.500seniornotesDue2029Member us-gaap:SeniorNotesMember ups:USTreasuryUSTInterestRateMember 2019-08-13 2019-08-13 0001090727 ups:A3.400seniornotesMember us-gaap:SeniorNotesMember ups:USTreasuryUSTInterestRateMember 2019-08-13 2019-08-13 0001090727 ups:TurkishCompetitionAuthorityMember 2018-04-01 2018-04-30 0001090727 ups:NationalMarketsandCompetitionCommissionMember 2016-08-01 2016-08-31 0001090727 ups:U.S.DistrictCourtfortheSouthernDistrictofNewYorkMember 2019-09-30 0001090727 ups:U.S.DistrictCourtfortheSouthernDistrictofNewYorkMember 2017-05-25 2017-05-25 0001090727 ups:NationalMarketsandCompetitionCommissionMember 2018-03-08 2018-03-08 0001090727 us-gaap:TreasuryStockMember 2018-01-01 2018-09-30 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2018-01-01 2018-09-30 0001090727 us-gaap:TreasuryStockMember 2017-12-31 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2019-01-01 2019-09-30 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2017-12-31 0001090727 us-gaap:TreasuryStockMember 2019-01-01 2019-09-30 0001090727 us-gaap:TreasuryStockMember 2018-09-30 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2018-09-30 0001090727 us-gaap:TreasuryStockMember 2019-09-30 0001090727 us-gaap:TreasuryStockMember 2018-12-31 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2019-09-30 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2018-12-31 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2018-09-30 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2019-01-01 2019-09-30 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-09-30 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-09-30 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-09-30 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-12-31 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2017-12-31 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-01-01 2019-09-30 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-09-30 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-01-01 2018-09-30 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-01-01 2019-09-30 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2018-12-31 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2018-01-01 2018-09-30 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-01-01 2019-09-30 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-01-01 2018-09-30 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-12-31 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2017-12-31 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2019-09-30 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-09-30 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2017-12-31 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-01-01 2018-09-30 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2017-12-31 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-09-30 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-12-31 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-01-01 2019-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-01-01 2019-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-01-01 2019-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-01-01 2018-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-01-01 2018-09-30 0001090727 ups:NetIncomeMemberMember 2018-01-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InterestExpenseMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-01-01 2019-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-01-01 2018-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-01-01 2018-09-30 0001090727 ups:NetIncomeMemberMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InterestExpenseMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-01-01 2018-09-30 0001090727 us-gaap:InvestmentIncomeMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-01-01 2018-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-01-01 2019-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-01-01 2018-09-30 0001090727 ups:LaborandRelatedExpenseMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-01-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InterestExpenseMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-01-01 2018-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-01-01 2018-09-30 0001090727 us-gaap:InvestmentIncomeMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-01-01 2019-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-01-01 2019-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-01-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InterestExpenseMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-01-01 2019-09-30 0001090727 ups:LaborandRelatedExpenseMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-01-01 2018-09-30 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-07-01 2018-09-30 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-06-30 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-07-01 2018-09-30 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-06-30 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-06-30 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-07-01 2019-09-30 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-06-30 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2018-06-30 0001090727 us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-07-01 2019-09-30 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2018-07-01 2018-09-30 0001090727 us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-06-30 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-07-01 2019-09-30 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-06-30 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2019-07-01 2019-09-30 0001090727 us-gaap:AccumulatedTranslationAdjustmentMember 2019-06-30 0001090727 us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-07-01 2018-09-30 0001090727 us-gaap:RetainedEarningsMember 2019-09-30 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2019-01-01 2019-09-30 0001090727 us-gaap:RetainedEarningsMember 2017-12-31 0001090727 us-gaap:AdditionalPaidInCapitalMember 2019-01-01 2019-09-30 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2019-01-01 2019-09-30 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2018-01-01 2018-09-30 0001090727 us-gaap:RetainedEarningsMember 2018-12-31 0001090727 us-gaap:RetainedEarningsMember 2019-01-01 2019-09-30 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2017-12-31 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2018-09-30 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2018-01-01 2018-09-30 0001090727 us-gaap:AdditionalPaidInCapitalMember 2018-09-30 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2018-12-31 0001090727 us-gaap:RetainedEarningsMember 2018-01-01 2018-09-30 0001090727 us-gaap:RetainedEarningsMember 2018-09-30 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2018-09-30 0001090727 us-gaap:AdditionalPaidInCapitalMember 2018-01-01 2018-09-30 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2017-12-31 0001090727 us-gaap:AdditionalPaidInCapitalMember 2017-12-31 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2018-12-31 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2019-09-30 0001090727 us-gaap:AdditionalPaidInCapitalMember 2019-09-30 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2019-09-30 0001090727 us-gaap:AdditionalPaidInCapitalMember 2018-12-31 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2019-07-01 2019-09-30 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2018-07-01 2018-09-30 0001090727 us-gaap:RetainedEarningsMember 2019-07-01 2019-09-30 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2019-06-30 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2019-07-01 2019-09-30 0001090727 us-gaap:AdditionalPaidInCapitalMember 2019-07-01 2019-09-30 0001090727 2018-06-30 0001090727 us-gaap:AdditionalPaidInCapitalMember 2019-06-30 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2018-06-30 0001090727 us-gaap:AdditionalPaidInCapitalMember 2018-07-01 2018-09-30 0001090727 us-gaap:RetainedEarningsMember 2018-06-30 0001090727 us-gaap:RetainedEarningsMember 2018-07-01 2018-09-30 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2018-07-01 2018-09-30 0001090727 us-gaap:CommonClassBMember us-gaap:CommonStockMember 2019-06-30 0001090727 us-gaap:CommonClassAMember us-gaap:CommonStockMember 2018-06-30 0001090727 2019-06-30 0001090727 us-gaap:RetainedEarningsMember 2019-06-30 0001090727 us-gaap:AdditionalPaidInCapitalMember 2018-06-30 0001090727 ups:ClassAandBCommonStockMember 2019-07-01 2019-09-30 0001090727 ups:ClassAandBCommonStockMember 2019-01-01 2019-09-30 0001090727 us-gaap:OptionMember 2019-01-01 2019-09-30 0001090727 ups:ClassAandBCommonStockMember 2018-07-01 2018-09-30 0001090727 ups:ClassAandBCommonStockMember 2018-01-01 2018-09-30 0001090727 us-gaap:OptionMember 2018-01-01 2018-09-30 0001090727 us-gaap:OptionMember 2018-07-01 2018-09-30 0001090727 us-gaap:OptionMember 2019-07-01 2019-09-30 0001090727 2016-05-01 0001090727 us-gaap:TreasuryStockMember 2018-07-01 2018-09-30 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2019-07-01 2019-09-30 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2018-07-01 2018-09-30 0001090727 us-gaap:TreasuryStockMember 2019-07-01 2019-09-30 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2018-06-30 0001090727 us-gaap:TreasuryStockMember 2019-06-30 0001090727 us-gaap:TreasuryStockMember 2018-06-30 0001090727 us-gaap:DeferredCompensationShareBasedPaymentsMember 2019-06-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InterestExpenseMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-07-01 2019-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-07-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InterestExpenseMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-07-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InterestExpenseMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-07-01 2019-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-07-01 2018-09-30 0001090727 ups:LaborandRelatedExpenseMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-07-01 2019-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-07-01 2019-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-07-01 2018-09-30 0001090727 ups:NetIncomeMemberMember 2018-07-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InterestExpenseMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2018-07-01 2018-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-07-01 2019-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-07-01 2018-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-07-01 2019-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-07-01 2019-09-30 0001090727 us-gaap:InvestmentIncomeMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-07-01 2018-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-07-01 2018-09-30 0001090727 ups:LaborandRelatedExpenseMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2018-07-01 2018-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedDefinedBenefitPlansAdjustmentMember 2019-07-01 2019-09-30 0001090727 us-gaap:InvestmentIncomeMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2019-07-01 2019-09-30 0001090727 ups:IncomeTaxExpenseBenefitMember us-gaap:AccumulatedNetUnrealizedInvestmentGainLossMember 2018-07-01 2018-09-30 0001090727 ups:NetIncomeMemberMember 2019-07-01 2019-09-30 0001090727 ups:NetIncomeMemberMember us-gaap:AccumulatedNetGainLossFromDesignatedOrQualifyingCashFlowHedgesMember 2019-07-01 2019-09-30 0001090727 ups:SupplyChainFreightMember 2018-01-01 2018-09-30 0001090727 ups:USDomesticPackageMember 2018-07-01 2018-09-30 0001090727 ups:InternationalPackageMember 2018-07-01 2018-09-30 0001090727 ups:InternationalPackageMember 2019-07-01 2019-09-30 0001090727 ups:USDomesticPackageMember 2019-07-01 2019-09-30 0001090727 ups:InternationalPackageMember 2018-01-01 2018-09-30 0001090727 ups:SupplyChainFreightMember 2019-07-01 2019-09-30 0001090727 ups:USDomesticPackageMember 2018-01-01 2018-09-30 0001090727 ups:SupplyChainFreightMember 2018-07-01 2018-09-30 0001090727 srt:MinimumMember ups:InternationalPackageMember 2019-09-30 0001090727 srt:MinimumMember ups:SupplyChainFreightMember 2019-09-30 0001090727 ups:StockOptionPlansMember 2019-07-01 2019-09-30 0001090727 ups:RestrictedPerformanceUnitsMember 2018-01-01 2018-09-30 0001090727 ups:StockOptionPlansMember 2018-07-01 2018-09-30 0001090727 ups:StockOptionPlansMember 2019-01-01 2019-09-30 0001090727 ups:RestrictedPerformanceUnitsMember 2019-07-01 2019-09-30 0001090727 ups:RestrictedPerformanceUnitsMember 2018-07-01 2018-09-30 0001090727 ups:StockOptionPlansMember 2018-01-01 2018-09-30 0001090727 ups:RestrictedPerformanceUnitsMember 2019-01-01 2019-09-30 0001090727 us-gaap:EmployeeStockOptionMember 2019-07-01 2019-09-30 0001090727 us-gaap:EmployeeStockOptionMember 2018-01-01 2018-09-30 0001090727 us-gaap:EmployeeStockOptionMember 2018-07-01 2018-09-30 0001090727 us-gaap:EmployeeStockOptionMember 2019-01-01 2019-09-30 0001090727 us-gaap:InvestmentIncomeMember 2019-07-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InterestExpenseMember 2019-07-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InvestmentIncomeMember 2018-07-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InvestmentIncomeMember 2018-07-01 2018-09-30 0001090727 ups:RevenueMember 2018-07-01 2018-09-30 0001090727 us-gaap:InterestExpenseMember 2019-07-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember ups:RevenueMember 2018-07-01 2018-09-30 0001090727 us-gaap:InvestmentIncomeMember 2018-07-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InterestExpenseMember 2019-07-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InterestExpenseMember 2018-07-01 2018-09-30 0001090727 us-gaap:InterestExpenseMember 2018-07-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InterestExpenseMember 2018-07-01 2018-09-30 0001090727 ups:RevenueMember 2019-07-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember ups:RevenueMember 2019-07-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember ups:RevenueMember 2019-07-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember ups:RevenueMember 2018-07-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InvestmentIncomeMember 2019-07-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InvestmentIncomeMember 2019-07-01 2019-09-30 0001090727 us-gaap:OtherNoncurrentLiabilitiesMember us-gaap:EstimateOfFairValueFairValueDisclosureMember us-gaap:DesignatedAsHedgingInstrumentMember 2019-09-30 0001090727 us-gaap:OtherNoncurrentLiabilitiesMember us-gaap:EstimateOfFairValueFairValueDisclosureMember us-gaap:DesignatedAsHedgingInstrumentMember 2018-12-31 0001090727 us-gaap:OtherNoncurrentLiabilitiesMember us-gaap:CarryingReportedAmountFairValueDisclosureMember us-gaap:DesignatedAsHedgingInstrumentMember 2018-12-31 0001090727 us-gaap:OtherNoncurrentLiabilitiesMember us-gaap:CarryingReportedAmountFairValueDisclosureMember us-gaap:DesignatedAsHedgingInstrumentMember 2019-09-30 0001090727 ups:FloatingToFixedInterestRateSwapsMember 2019-09-30 0001090727 ups:FixedToFloatingInterestRateSwapsMember 2018-12-31 0001090727 ups:FixedToFloatingInterestRateSwapsMember 2019-09-30 0001090727 ups:FloatingToFixedInterestRateSwapsMember 2018-12-31 0001090727 us-gaap:InvestmentIncomeMember 2018-01-01 2018-09-30 0001090727 us-gaap:InvestmentIncomeMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InterestExpenseMember 2019-01-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember ups:RevenueMember 2018-01-01 2018-09-30 0001090727 us-gaap:InterestExpenseMember 2018-01-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InvestmentIncomeMember 2018-01-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InvestmentIncomeMember 2018-01-01 2018-09-30 0001090727 ups:RevenueMember 2019-01-01 2019-09-30 0001090727 ups:RevenueMember 2018-01-01 2018-09-30 0001090727 us-gaap:InterestExpenseMember 2019-01-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember ups:RevenueMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InvestmentIncomeMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember ups:RevenueMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember ups:RevenueMember 2018-01-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InvestmentIncomeMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:InterestExpenseMember 2018-01-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InterestExpenseMember 2018-01-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:InterestExpenseMember 2019-01-01 2019-09-30 0001090727 us-gaap:UnfavorableRegulatoryActionMember 2019-09-30 0001090727 us-gaap:CashFlowHedgingMember 2018-07-01 2018-09-30 0001090727 us-gaap:CashFlowHedgingMember 2018-01-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:CashFlowHedgingMember 2019-01-01 2019-09-30 0001090727 us-gaap:CashFlowHedgingMember 2019-01-01 2019-09-30 0001090727 us-gaap:CashFlowHedgingMember 2019-07-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:CashFlowHedgingMember 2018-01-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:CashFlowHedgingMember 2018-07-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:CashFlowHedgingMember 2018-07-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:CashFlowHedgingMember 2018-01-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:CashFlowHedgingMember 2019-07-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:CashFlowHedgingMember 2019-07-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:CashFlowHedgingMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:NetInvestmentHedgingMember 2019-07-01 2019-09-30 0001090727 us-gaap:NetInvestmentHedgingMember 2019-07-01 2019-09-30 0001090727 us-gaap:NetInvestmentHedgingMember 2018-07-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:NetInvestmentHedgingMember 2018-07-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:NetInvestmentHedgingMember 2019-01-01 2019-09-30 0001090727 us-gaap:NetInvestmentHedgingMember 2018-01-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:NetInvestmentHedgingMember 2018-01-01 2018-09-30 0001090727 us-gaap:NetInvestmentHedgingMember 2019-01-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:NondesignatedMember us-gaap:InterestExpenseMember 2019-07-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:NondesignatedMember us-gaap:InterestExpenseMember 2018-07-01 2018-09-30 0001090727 us-gaap:NondesignatedMember 2019-07-01 2019-09-30 0001090727 us-gaap:NondesignatedMember 2018-07-01 2018-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:NondesignatedMember us-gaap:InvestmentIncomeMember 2019-07-01 2019-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:NondesignatedMember us-gaap:InterestExpenseMember 2018-01-01 2018-09-30 0001090727 us-gaap:InterestRateContractMember us-gaap:NondesignatedMember us-gaap:InterestExpenseMember 2019-01-01 2019-09-30 0001090727 us-gaap:NondesignatedMember 2018-01-01 2018-09-30 0001090727 us-gaap:PriceRiskDerivativeMember us-gaap:NondesignatedMember us-gaap:InvestmentIncomeMember 2018-01-01 2018-09-30 0001090727 us-gaap:PriceRiskDerivativeMember us-gaap:NondesignatedMember us-gaap:InvestmentIncomeMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:NondesignatedMember us-gaap:InvestmentIncomeMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:NondesignatedMember us-gaap:InvestmentIncomeMember 2018-01-01 2018-09-30 0001090727 us-gaap:NondesignatedMember 2019-01-01 2019-09-30 0001090727 us-gaap:ForeignExchangeContractMember us-gaap:NondesignatedMember us-gaap:InvestmentIncomeMember 2018-07-01 2018-09-30 0001090727 us-gaap:OtherLiabilitiesMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2019-09-30 0001090727 us-gaap:OtherCurrentLiabilitiesMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2019-09-30 0001090727 us-gaap:OtherLiabilitiesMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2019-09-30 0001090727 us-gaap:OtherCurrentLiabilitiesMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2018-12-31 0001090727 us-gaap:OtherLiabilitiesMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2018-12-31 0001090727 us-gaap:OtherCurrentLiabilitiesMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member 2018-12-31 0001090727 us-gaap:FairValueInputsLevel2Member 2019-09-30 0001090727 us-gaap:OtherLiabilitiesMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2019-09-30 0001090727 us-gaap:OtherCurrentLiabilitiesMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2019-09-30 0001090727 us-gaap:OtherLiabilitiesMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2018-12-31 0001090727 us-gaap:OtherLiabilitiesMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2018-12-31 0001090727 us-gaap:OtherLiabilitiesMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2019-09-30 0001090727 us-gaap:OtherLiabilitiesMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2018-12-31 0001090727 us-gaap:OtherNoncurrentAssetsMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2018-12-31 0001090727 us-gaap:OtherCurrentAssetsMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2018-12-31 0001090727 us-gaap:OtherCurrentAssetsMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2019-09-30 0001090727 us-gaap:OtherNoncurrentAssetsMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2019-09-30 0001090727 us-gaap:OtherCurrentAssetsMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2019-09-30 0001090727 us-gaap:OtherNoncurrentAssetsMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2018-12-31 0001090727 us-gaap:OtherCurrentAssetsMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2018-12-31 0001090727 us-gaap:OtherNoncurrentAssetsMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2019-09-30 0001090727 us-gaap:OtherNoncurrentAssetsMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2019-09-30 0001090727 us-gaap:OtherNoncurrentAssetsMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2018-12-31 0001090727 us-gaap:OtherCurrentAssetsMember us-gaap:InterestRateContractMember us-gaap:FairValueInputsLevel2Member us-gaap:DesignatedAsHedgingInstrumentMember 2019-09-30 0001090727 us-gaap:OtherNoncurrentAssetsMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2019-09-30 0001090727 us-gaap:OtherCurrentAssetsMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2018-12-31 0001090727 us-gaap:OtherNoncurrentAssetsMember us-gaap:ForeignExchangeContractMember us-gaap:FairValueInputsLevel2Member us-gaap:NondesignatedMember 2018-12-31 0001090727 us-gaap:UnfavorableRegulatoryActionMember 2018-12-31 xbrli:shares xbrli:pure iso4217:EUR ups:Employees iso4217:USD iso4217:USD xbrli:shares ups:aircraft ups:Credit_Agreements ups:Vote ups:Defendants ups:Countries_and_Territories ups:Classes_of_Common_Stock ups:Segments iso4217:GBP iso4217:SGD iso4217:CAD iso4217:INR
Table of Contents

United States
Securities and Exchange Commission
Washington, D.C. 20549
_____________________________________ 
Form 10-Q
(Mark One)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2019 or
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from             to             
Commission file number 001-15451
_____________________________________ 
http://api.tenkwizard.com/cgi/image?quest=1&rid=23&ipage=13168116&doc=11
United Parcel Service, Inc.
(Exact name of registrant as specified in its charter)
Delaware
 
 
58-2480149
(State or Other Jurisdiction of
Incorporation or Organization)
 
 
(IRS Employer
Identification No.)
 
 
 
 
55 Glenlake Parkway NE



Atlanta,
Georgia
 
 
30328
(Address of Principal Executive Offices)
 
 
(Zip Code)
(404) 828-6000
(Registrant’s telephone number, including area code)
____________________ 
Securities registered pursuant to Section 12(b) of the Act:
Title of Each Class
 
Trading Symbol
 
Name of Each Exchange on Which Registered
Class B common stock, par value $0.01 per share
 
UPS
 
New York Stock Exchange
Floating-Rate Senior Notes due 2020
 
UPS20A
 
New York Stock Exchange
1.625% Senior Notes due 2025
 
UPS25
 
New York Stock Exchange
1% Senior Notes due 2028
 
UPS28
 
New York Stock Exchange
0.375% Senior Notes due 2023
 
UPS23A
 
New York Stock Exchange
1.500% Senior Notes due 2032
 
UPS32
 
New York Stock Exchange
  

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes      No  
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes      No  
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company, or an emerging growth company. See definitions of “accelerated filer”, “large accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act. Check one:
Large accelerated filer
x
Accelerated filer
Non-accelerated filer  
Smaller reporting company
 
 
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ¨
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes      No  
There were 157,067,643 Class A shares, and 700,755,043 Class B shares, with a par value of $0.01 per share, outstanding at October 16, 2019.


Table of Contents

TABLE OF CONTENTS
PART I—FINANCIAL INFORMATION
 
Item 1.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Item 2.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Item 3.
Item 4.
PART II—OTHER INFORMATION
 
Item 1.
Item 1A.
Item 2.
Item 6.


Table of Contents

PART I. FINANCIAL INFORMATION

Cautionary Statement About Forward-Looking Statements
This report, our Annual Report on Form 10-K for the year ended December 31, 2018 and our other filings with the Securities and Exchange Commission contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than those of current or historical fact, and all statements accompanied by terms such as “believe,” “project,” “expect,” “estimate,” “assume,” “intend,” “anticipate,” “target,” “plan,” and variations thereof and similar terms, are intended to be forward-looking statements. Forward-looking statements are made subject to the safe harbor provisions of the federal securities laws pursuant to Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.
From time to time, we also include forward-looking statements in other publicly disclosed materials. Such statements may relate to our intent, belief and current expectations about our strategic direction, prospects and future results, and give our current expectations or forecasts of future events; they do not relate strictly to historical or current facts. Management believes that these forward-looking statements are reasonable as and when made. However, caution should be taken not to place undue reliance on any forward-looking statements because such statements speak only as of the date when made.
Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our historical experience and our present expectations or anticipated results. These risks and uncertainties include, but are not limited to: changes in general economic conditions, in the U.S. or internationally; significant competition on a local, regional, national and international basis; changes in our relationships with our significant customers; changes in the complex and stringent regulation in the U.S. and internationally (including tax laws and regulations); increased physical or data security requirements that may increase our costs of operations and reduce operating efficiencies; legal, regulatory or market responses to global climate change; results from the negotiation and ratification of labor contracts; strikes, work stoppages or slowdowns by our employees; the effects of changing prices of energy, including gasoline, diesel and jet fuel, and interruptions in supplies of these commodities; changes in exchange rates or interest rates; uncertainty from the expected discontinuance of LIBOR and transition to any other interest rate benchmark; our ability to maintain the image of our brand; breaches in data security; disruptions to the Internet or our technology infrastructure; interruptions in our business from natural or man-made disasters including terrorism; our ability to accurately forecast our future capital investment needs; exposure to changing economic, political and social developments in international and emerging markets; changes in business strategy, government regulations, or economic or market conditions that may result in substantial impairment of our assets; increases in our expenses or funding obligations relating to employee health, retiree health and/or pension benefits; potential additional tax liabilities in the U.S. or internationally; the potential for various claims and litigation related to labor and employment, personal injury, property damage, business practices, environmental liability and other matters; our ability to realize the anticipated benefits from acquisitions, joint ventures or strategic alliances; our ability to realize the anticipated benefits from our transformation initiatives; cyclical and seasonal fluctuations in our operating results; our ability to manage insurance and claims expenses; and other risks discussed in our filings with the Securities and Exchange Commission from time to time, including our Annual Report on Form 10-K for the year ended December 31, 2018 and subsequently filed reports, including our Quarterly Report on Form 10-Q for the quarter ended June 30, 2019. You should consider the limitations on, and risks associated with, forward-looking statements and not unduly rely on the accuracy of predictions contained in such forward-looking statements. We do not undertake any obligation to update forward-looking statements to reflect events, circumstances, changes in expectations, or the occurrence of unanticipated events after the date of those statements, except as required by law.


1

Table of Contents

Item 1. Financial Statements
UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
September 30, 2019 (unaudited) and December 31, 2018 (In millions)
 
September 30,
2019
 
December 31,
2018
ASSETS
 
 
 
Current Assets:
 
 
 
Cash and cash equivalents
$
4,040

 
$
4,225

Marketable securities
498

 
810

Accounts receivable, net
7,951

 
8,958

Current income taxes receivable
204

 
940

Other current assets
1,491

 
1,277

Total Current Assets
14,184

 
16,210

Property, Plant and Equipment, Net
29,071

 
26,576

Operating Lease Right-Of-Use Assets
2,504

 

Goodwill
3,783

 
3,811

Intangible Assets, Net
2,131

 
2,075

Investments and Restricted Cash
169

 
170

Deferred Income Tax Assets
194

 
141

Other Non-Current Assets
1,246

 
1,033

Total Assets
$
53,282

 
$
50,016

LIABILITIES AND SHAREOWNERS’ EQUITY
 
 
 
Current Liabilities:
 
 
 
Current maturities of long-term debt, commercial paper and finance leases
$
2,161

 
$
2,805

Current maturities of operating leases
500

 

Accounts payable
4,218

 
5,188

Accrued wages and withholdings
2,483

 
3,047

Self-insurance reserves
756

 
810

Accrued group welfare and retirement plan contributions
705

 
715

Hedge margin liabilities
713

 
325

Other current liabilities
1,299

 
1,197

Total Current Liabilities
12,835

 
14,087

Long-Term Debt and Finance Leases
21,740

 
19,931

Non-Current Operating Leases
2,063

 

Pension and Postretirement Benefit Obligations
6,443

 
8,347

Deferred Income Tax Liabilities
1,886

 
1,619

Self-Insurance Reserves
1,442

 
1,571

Other Non-Current Liabilities
1,299

 
1,424

Shareowners’ Equity:
 
 
 
Class A common stock (157 and 163 shares issued in 2019 and 2018, respectively)
2

 
2

Class B common stock (701 and 696 shares issued in 2019 and 2018, respectively)
7

 
7

Additional paid-in capital
129

 

Retained earnings
10,037

 
8,006

Accumulated other comprehensive loss
(4,617
)
 
(4,994
)
Deferred compensation obligations
25

 
32

Less: Treasury stock (0.4 shares in 2019 and 0.6 shares in 2018)
(25
)
 
(32
)
Total Equity for Controlling Interests
5,558

 
3,021

Noncontrolling interests
16

 
16

Total Shareowners’ Equity
5,574

 
3,037

Total Liabilities and Shareowners’ Equity
$
53,282

 
$
50,016

See notes to unaudited, consolidated financial statements.

2

Table of Contents

UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
STATEMENTS OF CONSOLIDATED INCOME
(In millions, except per share amounts)
(unaudited)
 
 
Three Months Ended
September 30,
 
Nine Months Ended
September 30,
2019
 
2018
 
2019
 
2018
Revenue
$
18,318

 
$
17,444

 
$
53,526

 
$
52,013

Operating Expenses:
 
 
 
 
 
 
 
Compensation and benefits
9,590

 
9,015

 
28,206

 
27,084

Repairs and maintenance
485

 
437

 
1,392

 
1,294

Depreciation and amortization
587

 
524

 
1,730

 
1,662

Purchased transportation
2,984

 
3,216

 
8,950

 
9,570

Fuel
824

 
867

 
2,451

 
2,469

Other occupancy
346

 
321

 
1,039

 
1,003

Other expenses
1,374

 
1,337

 
4,093

 
3,911

Total Operating Expenses
16,190

 
15,717

 
47,861

 
46,993

Operating Profit
2,128

 
1,727

 
5,665

 
5,020

Other Income and (Expense):
 
 
 
 
 
 
 
Investment income and other
237

 
317

 
672

 
913

Interest expense
(159
)

(155
)
 
(487
)
 
(457
)
Total Other Income and (Expense)
78

 
162

 
185

 
456

Income Before Income Taxes
2,206

 
1,889

 
5,850

 
5,476

Income Tax Expense
456

 
381

 
1,304

 
1,138

Net Income
$
1,750

 
$
1,508

 
$
4,546

 
$
4,338

Basic Earnings Per Share
$
2.03

 
$
1.74

 
$
5.26

 
$
5.01

Diluted Earnings Per Share
$
2.01

 
$
1.73

 
$
5.23

 
$
4.99


STATEMENTS OF CONSOLIDATED COMPREHENSIVE INCOME (LOSS)
(In millions)
(unaudited)
 
 
Three Months Ended
September 30,
 
Nine Months Ended
September 30,
 
2019
 
2018
 
2019
 
2018
Net Income
$
1,750

 
$
1,508

 
$
4,546

 
$
4,338

Change in foreign currency translation adjustment, net of tax
(48
)
 
(28
)
 
(28
)
 
(112
)
Change in unrealized gain (loss) on marketable securities, net of tax
(3
)
 
(1
)
 
6

 
(4
)
Change in unrealized gain (loss) on cash flow hedges, net of tax
206

 
49

 
270

 
315

Change in unrecognized pension and postretirement benefit costs, net of tax
43

 
38

 
129

 
115

Comprehensive Income
$
1,948

 
$
1,566

 
$
4,923

 
$
4,652

                
See notes to unaudited, consolidated financial statements.

3

Table of Contents

UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
STATEMENTS OF CONSOLIDATED CASH FLOWS
(In millions)
(unaudited)
 
Nine Months Ended
September 30,
 
2019
 
2018
Cash Flows From Operating Activities:
 
 
 
Net income
$
4,546

 
$
4,338

Adjustments to reconcile net income to net cash from operating activities:
 
 
 
Depreciation and amortization
1,730

 
1,662

Pension and postretirement benefit expense
566

 
461

Pension and postretirement benefit contributions
(2,321
)
 
(137
)
Self-insurance reserves
(181
)
 
(127
)
Deferred tax (benefit) expense
43

 
218

Stock compensation expense
716

 
507

Other (gains) losses
46

 
243

Changes in assets and liabilities, net of effects of business acquisitions:
 
 
 
Accounts receivable
843

 
1,096

Other assets
778

 
1,299

Accounts payable
(914
)
 
(391
)
Accrued wages and withholdings
(506
)
 
200

Other liabilities
393

 
35

Other operating activities
(46
)
 
18

Net cash from operating activities
5,693

 
9,422

Cash Flows From Investing Activities:
 
 
 
Capital expenditures
(4,336
)
 
(4,490
)
Proceeds from disposals of property, plant and equipment
61

 
45

Purchases of marketable securities
(487
)
 
(634
)
Sales and maturities of marketable securities
817

 
612

Net change in finance receivables
8

 
(7
)
Cash paid for business acquisitions, net of cash and cash equivalents acquired
(6
)
 
(2
)
Other investing activities
(84
)
 
(23
)
Net cash used in investing activities
(4,027
)
 
(4,499
)
Cash Flows From Financing Activities:
 
 
 
Net change in short-term debt
(1,100
)
 
(77
)
Proceeds from long-term borrowings
4,802

 
1,052

Repayments of long-term borrowings
(2,411
)
 
(2,122
)
Purchases of common stock
(751
)
 
(770
)
Issuances of common stock
161

 
176

Dividends
(2,397
)
 
(2,260
)
Other financing activities
(158
)
 
(259
)
Net cash used in financing activities
(1,854
)
 
(4,260
)
Effect of Exchange Rate Changes on Cash, Cash Equivalents and Restricted Cash
6

 
(57
)
Net Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash
(182
)
 
606

Cash, Cash Equivalents and Restricted Cash:
 
 
 
Beginning of period
4,367

 
3,769

End of period
$
4,185

 
$
4,375

                
See notes to unaudited, consolidated financial statements.

4

Table of Contents

UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
NOTE 1. BASIS OF PRESENTATION AND ACCOUNTING POLICIES
Principles of Consolidation
In our opinion, the accompanying interim, unaudited, consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. These interim, unaudited, consolidated financial statements contain all adjustments (consisting of normal recurring accruals) necessary to present fairly our financial position as of September 30, 2019, our results of operations for the three and nine months ended September 30, 2019 and 2018, and our cash flows for the nine months ended September 30, 2019 and 2018. The results reported in these interim, unaudited, consolidated financial statements should not be regarded as necessarily indicative of results that may be expected for any other period or the entire year. The interim, unaudited, consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2018.
Fair Value of Financial Instruments
The carrying amounts of our cash and cash equivalents, accounts receivable, finance receivables and accounts payable approximate fair value as of September 30, 2019 and December 31, 2018. The fair values of our investment securities are disclosed in note 5, our recognized multiemployer pension withdrawal liabilities in note 7, our short and long-term debt in note 9 and our derivative instruments in note 15. We utilized Level 1 inputs in the fair value hierarchy of valuation techniques to determine the fair value of our cash and cash equivalents, and Level 2 inputs to determine the fair value of our accounts receivable, finance receivables and accounts payable.
Use of Estimates
The preparation of the accompanying interim, unaudited, consolidated financial statements requires management to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingencies at the date of the interim, unaudited, consolidated financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Estimates have been prepared on the basis of the most current and best information and actual results could differ materially from those estimates.
For interim, unaudited, consolidated financial statement purposes, we provide for accruals under our various employee benefit plans for each three month period based on one quarter of the estimated annual expense.


5

Table of Contents
UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 2. RECENT ACCOUNTING PRONOUNCEMENTS
Adoption of New Accounting Standards
In February 2016, the Financial Accounting Standards Board ("FASB") issued accounting standards update ("ASU") 2016-02, Leases (Topic 842), which requires lessees to recognize a right-of-use asset and lease liability on their balance sheet for all leases with terms beyond twelve months. The new standard also requires enhanced disclosures that provide more transparency and information to financial statement users about lease portfolios. Effective January 1, 2019, we adopted the requirements of this ASU using the modified retrospective approach. The adoption on January 1, 2019 resulted in the recognition of right-of-use assets for operating leases of approximately $2.65 billion and operating lease liabilities of approximately $2.70 billion. The consolidated financial statements for the three and nine months ended September 30, 2019 are presented under the new standard, while comparative periods presented have not been adjusted and continue to be reported in accordance with the previous standard.

We elected the transition package of practical expedients permitted within the standard. As a result, we did not reassess initial direct costs, lease classification, or whether our contracts contain or are leases. We also made an accounting policy election to not recognize right-of-use assets and liabilities for leases with an original lease term of twelve months or less, unless the leases include options to renew or purchase the underlying asset that are reasonably certain to be exercised. See note 10 for additional disclosures required by this ASU.
In March 2017, the FASB issued an ASU requiring the premium on callable debt securities to be amortized to the earliest call date. We adopted this standard on January 1, 2019. It did not have a material impact on our consolidated financial position, results of operations or cash flows.
In August 2017, the FASB issued an ASU to enhance recognition of the economic results of hedging activities in the financial statements. In addition, the update made certain targeted improvements to simplify the application of hedge accounting guidance and increase transparency regarding the scope and results of hedging activities. We adopted this standard on January 1, 2019. It did not have a material impact on our consolidated financial position, results of operations or cash flows but did require additional disclosures. See note 15 for required disclosures pertaining to this ASU.
For accounting standards adopted in the period ended September 30, 2018, refer to note 1 to our audited consolidated financial statements in our Annual Report on Form 10-K for the year ended December 31, 2018.
Other accounting pronouncements adopted during the periods covered by the consolidated financial statements did not have a material impact on our consolidated financial position, results of operations or cash flows.
Accounting Standards Issued But Not Yet Effective
In June 2016, the FASB issued an ASU introducing an expected credit loss methodology for the measurement of financial assets not accounted for at fair value. The methodology replaces the probable, incurred loss model for those assets. The standard will be effective for us in the first quarter of 2020. We are evaluating the impact of its adoption on our consolidated financial statements and internal control over financial reporting environment, but do not expect this ASU to have a material impact on our consolidated financial position, results of operations or cash flows.
In January 2017, the FASB issued an ASU to simplify the accounting for goodwill impairment. The update removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Under this ASU, goodwill impairment will be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The standard will be effective for us in the first quarter of 2020. We continue to evaluate this update to determine the impact of its adoption on our consolidated financial statements and internal control over financial reporting environment, but do not expect this ASU to have a material impact on our consolidated financial position, results of operations or cash flows.
Other accounting pronouncements issued, but not effective until after September 30, 2019, are not expected to have a material impact on our consolidated financial position, results of operations or cash flows.

6

Table of Contents
UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 3. REVENUE RECOGNITION
Revenue Recognition
Substantially all of our revenues are from contracts associated with the pick-up, transportation and delivery of packages and freight (“transportation services”), whether carried out by or arranged by UPS, either domestically or internationally, which generally occurs over a short period of time. Additionally, we provide value-added logistics services to customers through our global network of company-owned and leased distribution centers and field stocking locations, both domestically and internationally.
Disaggregation of Revenue
 
 
Three Months Ended
September 30,
 
Nine Months Ended
September 30,
 
 
2019
 
2018
 
2019
 
2018
Revenue:
 
 
 
 
 
 
 
 
Next Day Air
 
$
2,146

 
$
1,896

 
$
6,160

 
$
5,510

Deferred
 
1,248

 
1,066

 
3,494

 
3,215

Ground
 
8,061

 
7,475

 
23,431

 
22,293

U.S. Domestic Package
 
11,455

 
10,437

 
33,085

 
31,018

 
 
 
 
 
 
 
 
 
Domestic
 
689

 
678

 
2,069

 
2,094

Export
 
2,673

 
2,654

 
7,972

 
8,073

Cargo & Other
 
132

 
146

 
417

 
446

International Package
 
3,494

 
3,478

 
10,458

 
10,613

 
 
 
 
 
 
 
 
 
Forwarding
 
1,472

 
1,672

 
4,384

 
4,936

Logistics
 
846

 
790

 
2,511

 
2,356

Freight
 
852

 
867

 
2,486

 
2,497

Other
 
199

 
200

 
602

 
593

Supply Chain & Freight
 
3,369

 
3,529

 
9,983

 
10,382

 
 
 
 
 
 
 
 
 
Consolidated revenue
 
$
18,318


$
17,444

 
$
53,526

 
$
52,013


We account for a contract when both parties have approved the contract and are committed to perform their obligations, the rights of the parties and payment terms are identified, the contract has commercial substance and collectability of consideration is probable.
Performance Obligations
A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the basis of revenue recognition in accordance with U.S. GAAP. To determine the proper revenue recognition method for contracts, we evaluate whether two or more contracts should be combined and accounted for as one single contract and whether the combined or single contract should be accounted for as more than one performance obligation. This evaluation requires judgment, and the decision to combine a group of contracts or separate the combined or single contract into multiple performance obligations could change the amount of revenue and profit recorded in a given period. Within most of our contracts, the customer contracts with us to provide distinct services, such as transportation services. The vast majority of our contracts with customers for transportation services include only one performance obligation; the transportation services themselves. However, if a contract is separated into more than one performance obligation, we allocate the total transaction price to each performance obligation in an amount based on the estimated relative standalone selling prices of the promised goods or services underlying each performance obligation. We frequently sell standard transportation services with observable standalone sales prices. In these instances, the observable standalone sales are used to determine the standalone selling price.

7

Table of Contents
UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

In certain business units, such as Logistics, we sell customized, customer-specific solutions in which we provide a significant service of integrating a complex set of tasks and components into a single capability (even if that single capability results in the delivery of multiple units). Hence, the entire contract is accounted for as one performance obligation. In these cases we typically use the expected cost plus a margin approach to estimate the standalone selling price of each performance obligation.
Satisfaction of Performance Obligations
We generally recognize revenue over time as we perform the services in the contract because of the continuous transfer of control to the customer. Our customers receive the benefit of our services as the goods are transported from one location to another. Further, if we were unable to complete delivery to the final location, another entity would not need to reperform the transportation service already performed.
As control transfers over time, revenue is recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress towards completion requires judgment and is based on the nature of the products or services to be provided. We use the cost-to-cost measure of progress for our package delivery contracts because it best depicts the transfer of control to the customer, which occurs as we incur costs on our contracts. Under the cost-to-cost measure of progress, the extent of progress towards completion is measured based on the ratio of costs incurred to date to the total estimated costs at completion of the performance obligation. Revenues, including ancillary or accessorial fees and reductions for estimated customer incentives, are recorded proportionally as costs are incurred. Costs to fulfill include labor and other direct costs and an allocation of indirect costs. For our freight and freight forwarding contracts, an output method of progress based on time-in-transit is utilized as the timing of costs incurred does not best depict the transfer of control to the customer. In our Logistics business, we have a right to consideration from customers in an amount that corresponds directly with the value to the customers of our performance completed to date, and as such we recognize revenue in the amount to which we have a right to invoice the customer.
Variable Consideration
It is common for our contracts to contain customer incentives, guaranteed service refunds or other provisions that can either increase or decrease the transaction price. These variable amounts are generally dependent upon achievement of certain incentive tiers or performance metrics. We estimate variable consideration at the most likely amount to which we expect to be entitled. We include estimated amounts of revenue, which may be reduced by incentives or other contract provisions, in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether to include estimated amounts in the transaction price are based on an assessment of anticipated customer spending and all information (historical, current and forecasted) that is reasonably available to us.
Contract Modifications
Contracts are often modified to account for changes in the rates we charge our customers or to add additional distinct services. We consider contract modifications to exist when the modification either creates new, or changes the existing, enforceable rights and obligations. Contract modifications that add additional distinct goods or services are treated as separate contracts. Contract modifications that do not add distinct goods or services typically change the price of existing services. These contract modifications are accounted for prospectively as the remaining performance obligations are distinct.
Payment Terms
Under the typical payment terms of our customer contracts, the customer pays at periodic intervals (i.e., every 14 days, 30 days, 45 days, etc.) for shipments included on invoices received. Invoices are generated each week on the week-ending day, which is Saturday for the majority of our U.S. Domestic Package business, but could be another day depending on the business unit or the specific agreement with the customer. It is not customary business practice to extend payment terms past 90 days, and as such, we do not have a practice of including a significant financing component within our contracts with customers.

8

Table of Contents
UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

Principal vs. Agent Considerations
In our transportation businesses, we utilize independent contractors and third-party carriers in the performance of some transportation services. U.S. GAAP requires us to evaluate, using a control model, whether our businesses themselves promise to transfer services to the customer (as the principal) or to arrange for services to be provided by another party (as the agent). Based on our evaluation of the control model, we determined that all of our major businesses act as the principal rather than the agent within their revenue arrangements. Revenue and the associated purchased transportation costs are both reported on a gross basis within our statements of consolidated income.
Accounts Receivable, Net
Accounts receivable, net, include amounts billed and currently due from customers. The amounts due are stated at their net estimated realizable value. Losses on accounts receivable are recognized when they are incurred, which requires us to make our best estimate of the probable losses inherent in our customer receivables at each balance sheet date. These estimates require consideration of historical loss experience, adjusted for current conditions, trends in customer payment frequency, and judgments about the probable effects of relevant observable data, including present economic conditions and the financial health of specific customers and market sectors. Our risk management process includes standards and policies for reviewing major account exposures and concentrations of risk. Our total provision for doubtful accounts charged to expense before recoveries during the quarters ended September 30, 2019 and 2018 was $40 and $35 million, respectively, and $145 and $76 million during the nine months ended September 30, 2019 and 2018, respectively.
Contract Assets and Liabilities
Contract assets include billed and unbilled amounts resulting from in-transit packages, as we have an unconditional right to payment only once all performance obligations have been completed (i.e., packages have been delivered), and our right to payment is not solely based on the passage of time. Amounts may not exceed their net realizable value. Contract assets are generally classified as current and the full balance is converted each quarter based on the short-term nature of the transactions.
Contract liabilities consist of advance payments and billings in excess of revenue as well as deferred revenue. Advance payments and billings in excess of revenue represent payments received from our customers that will be earned over the contract term. Deferred revenue represents the amount of consideration due from customers related to in-transit shipments that has not yet been recognized as revenue based on our selected measure of progress. We classify advance payments and billings in excess of revenue as either current or long-term, depending on the period over which the advance payment will be earned. We classify deferred revenue as current based on the timing of when we expect to recognize revenue, which typically occurs within a short window after period-end. The full balance of deferred revenue is converted each quarter based on the short-term nature of the transactions. Our contract assets and liabilities are reported in a net position on a contract-by-contract basis at the end of each reporting period. In order to determine revenue recognized in the period from contract liabilities, we first allocate revenue to the individual contract liability balance outstanding at the beginning of the period until the revenue exceeds that deferred revenue balance.
Contract assets related to in-transit packages were $264 and $234 million at September 30, 2019 and December 31, 2018, respectively, net of deferred revenue related to in-transit packages of $300 and $236 million at September 30, 2019 and December 31, 2018, respectively. Contract assets are included within "Other current assets" in the consolidated balance sheets. Short-term contract liabilities related to advanced payments from customers were $7 and $5 million at September 30, 2019 and December 31, 2018, respectively. Short-term contract liabilities are included within "Other current liabilities" in the consolidated balance sheets. Long-term contract liabilities related to advanced payments from customers were $26 million at each of September 30, 2019 and December 31, 2018. Long-term contract liabilities are included within "Other Non-Current Liabilities" in the consolidated balance sheets.


9

Table of Contents
UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 4. STOCK-BASED COMPENSATION
We issue employee share-based awards under various incentive compensation plans, which permit the grant of non-qualified and incentive stock options, stock appreciation rights, restricted stock and stock units, and restricted performance shares and performance units to eligible employees (restricted stock and stock units, restricted performance shares and performance units are herein referred to as "Restricted Units"). Upon vesting, Restricted Units result in the issuance of the equivalent number of UPS class A common shares after required tax withholdings. Dividends accrued on Restricted Units are reinvested in additional Restricted Units at each dividend payable date, and are subject to the same vesting and forfeiture conditions as the underlying Restricted Units upon which they are earned.
The primary compensation programs offered under the UPS Incentive Compensation Plan include the UPS Management Incentive Award program, the UPS Long-Term Incentive Performance Award program and the UPS Stock Option program. We also maintain an employee stock purchase plan which allows eligible employees to purchase shares of UPS class A common stock at a discount. Additionally, our matching contributions to the primary employee defined contribution savings plan are made in shares of UPS class A common stock.
Management Incentive Award Program ("MIP")
We award Restricted Units under the MIP to certain eligible management employees. For Restricted Units granted under the MIP prior to 2019, vesting generally occurs ratably over a five-year period on January 15th of each of the years following the grant date (except in the case of death or disability, in which case immediate vesting occurs). The grant value is expensed on a straight-line basis (less estimated forfeitures) ratably over the requisite service period (except in the case of death, disability or retirement, in which case immediate expensing occurs). These historical awards will continue to vest through 2023.
Beginning with the MIP grant in the first quarter of 2019, Restricted Units vest one year following the grant date (except in the case of death or disability, in which case immediate vesting occurs). The grant value is expensed on a straight-line basis (less estimated forfeitures) ratably over the requisite service period (except in the case of death, disability or retirement, in which case immediate expensing occurs).
Based on the date that the eligible management population and performance targets were approved for the 2018 MIP award (granted in the first quarter of 2019), we determined the award measurement dates to be February 6, 2019 (for U.S.-based employees other than management committee employees), February 14, 2019 (for management committee employees) and March 25, 2019 (for international-based employees); therefore, the Restricted Units awarded were valued for stock compensation expense purposes using the closing New York Stock Exchange price of $108.82, $111.80 and $106.90 on those dates, respectively.
Long-Term Incentive Performance Award Program ("LTIP")
We award Restricted Units under LTIP to certain eligible management employees. These Restricted Units generally vest at the end of a three-year period (except in the case of death, disability or retirement, in which case immediate vesting occurs on a prorated basis). The number of Restricted Units earned will be based on the percentage achievement of the performance targets established on the grant date. The performance targets are equally-weighted among consolidated operating return on invested capital ("ROIC"), growth in currency-constant consolidated revenue and total shareowner return ("RTSR") relative to a peer group of companies.
For the two-thirds of the award related to ROIC and growth in currency-constant consolidated revenue, we recognize the grant date fair value of these Restricted Units (less estimated forfeitures) as compensation expense ratably over the vesting period, based on the number of awards expected to be earned. The remaining one-third of the award related to RTSR is valued using a Monte Carlo model. We recognize the grant date fair value of this portion of the award (less estimated forfeitures) as compensation expense ratably over the vesting period. 
Based on the date that the eligible management population and performance targets were approved for the 2019 LTIP award, we determined the award measurement date to be March 22, 2019; therefore, the target Restricted Units awarded for the ROIC and growth in currency-constant consolidated revenue portions of the award were valued for stock compensation expense using the closing New York Stock Exchange price of $107.35 on that date.

10

Table of Contents
UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

During the third quarter of 2019, we awarded a one-time grant of Restricted Units that will vest over the same period as the 2019 LTIP award. Based on the date that the Compensation Committee approved this award, we determined the award measurement date to be July 1, 2019; therefore, the target Restricted Units awarded for the portion of the award related to consolidated operating return on invested capital and growth in consolidated revenue were valued for stock compensation expense using the closing New York Stock Exchange price of $102.97 on that date.
The weighted-average assumptions used and the calculated weighted-average fair values of the RTSR portion of the LTIP awards granted in 2019 and 2018 are as follows:
 
2019
 
2018
Risk-free interest rate
2.23
%
 
2.61
%
Expected volatility
19.64
%
 
16.51
%
Weighted-average fair value of units granted
$
123.44

 
$
137.57

Share payout
115.04
%
 
123.47
%

There is no expected dividend yield as units earn dividend equivalents.
Non-Qualified Stock Options
We grant non-qualified stock option awards to a limited group of eligible senior management employees under the UPS Stock Option program. Stock option awards generally vest over a five-year period with approximately 20% of the award vesting at each anniversary of the grant date (except in the case of death or disability, in which case immediate vesting occurs). The options granted expire 10 years after the date of the grant. In the first quarter of 2019, we granted 0.3 million stock options at a grant price of $111.80, which is based on the closing New York Stock Exchange price on February 14, 2019. In the first quarter of 2018, we granted 0.3 million and 0.01 million stock options at a grant price of $106.43 and $104.45, respectively, which is based on the closing New York Stock Exchange price on March 1, 2018 and March 22, 2018, respectively.
The fair value of each option grant is estimated using the Black-Scholes option pricing model. The weighted-average assumptions used and the calculated weighted-average fair values of options granted in 2019 and 2018 are as follows:
 
2019
 
2018
Expected dividend yield
2.93
%
 
2.93
%
Risk-free interest rate
2.60
%
 
2.84
%
Expected life (in years)
7.5

 
7.5

Expected volatility
17.79
%
 
16.72
%
Weighted-average fair value of options granted
$
16.39

 
$
15.23



Compensation expense for share-based awards recognized in "Compensation and benefits" on the statements of consolidated income for the three months ended September 30, 2019 and 2018 was $203 and $129 million pre-tax, respectively. Compensation expense for share-based awards recognized in "Compensation and benefits" on the statements of consolidated income for the nine months ended September 30, 2019 and 2018 was $716 and $507 million pre-tax, respectively.

11

Table of Contents
UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 5. CASH AND INVESTMENTS
The following is a summary of marketable securities classified as trading and available-for-sale as of September 30, 2019 and December 31, 2018 (in millions):
 
Cost
 
Unrealized
Gains
 
Unrealized
Losses
 
Estimated
Fair Value
September 30, 2019:
 
 
 
 
 
 
 
Current trading marketable securities:
 
 
 
 
 
 
 
Corporate debt securities
$
109

 
$

 
$