PRICING SUPPLEMENT

                                                  Registration No. 333-08369-01
                                               Filed Pursuant to Rule 424(b)(2)

                          UNITED PARCEL SERVICE, INC.

                                   UPS NOTES



- -------------------------------------------------------------------------------

Pricing Supplement No. 1                                    Trade Date: 1/31/01
(To Prospectus dated March 22, 2000 and Prospectus
Supplement dated January 29, 2001)                           Issue Date: 2/8/01

The date of this Pricing Supplement is February 2, 2001


<TABLE>
<CAPTION>
         CUSIP
           or
      Common Code           Principal Amount         Interest Rate           Maturity Date         Price to Public
      -----------           ----------------         -------------           -------------         ---------------
      <S>                   <C>                      <C>                     <C>                   <C>
       91131UAA2             $16,989,000.00              6.00%                  8/15/06                  100%
</TABLE>


<TABLE>
<CAPTION>
    Interest Payment
       Frequency                                                                Dates and terms of redemption
      (begin date)          Survivor's Option     Subject to Redemption        (including the redemption price)
    ----------------        -----------------     ---------------------         ------------------------------
    <S>                     <C>                   <C>                           <C>
        8/15/01                    yes                    yes                            100% 2/15/02
      semi-annually                                                                   semi-annually thereafter
</TABLE>


<TABLE>
<CAPTION>
                              Discounts and
    Proceeds to UPS            Commissions            Reallowance               Dealer               Other Terms
    ---------------           -------------           -----------               ------               -----------
    <S>                        <C>                    <C>                     <C>                    <C>
     $16,895,560.00            $93,440.00                $1.00                     ABN AMRO Inc.
</TABLE>