Three Months Ended | |||||||||||
December 31 | |||||||||||
2019 | 2018 | Change | % Change | ||||||||
(amounts in millions, except per share data) | |||||||||||
Statement of Income Data: | |||||||||||
Revenue: | |||||||||||
U.S. Domestic Package | $ | 13,408 | $ | 12,575 | $ | 833 | 6.6 | % | |||
International Package | 3,762 | 3,829 | (67 | ) | (1.7 | )% | |||||
Supply Chain & Freight | 3,398 | 3,444 | (46 | ) | (1.3 | )% | |||||
Total revenue | 20,568 | 19,848 | 720 | 3.6 | % | ||||||
Operating expenses: | |||||||||||
Compensation and benefits | 10,702 | 10,151 | 551 | 5.4 | % | ||||||
Other | 7,733 | 7,693 | 40 | 0.5 | % | ||||||
Total operating expenses | 18,435 | 17,844 | 591 | 3.3 | % | ||||||
Operating profit: | |||||||||||
U.S. Domestic Package | 1,074 | 999 | 75 | 7.5 | % | ||||||
International Package | 799 | 781 | 18 | 2.3 | % | ||||||
Supply Chain & Freight | 260 | 224 | 36 | 16.1 | % | ||||||
Total operating profit | 2,133 | 2,004 | 129 | 6.4 | % | ||||||
Other income (expense): | |||||||||||
Other pension income (expense) | (2,196 | ) | (1,343 | ) | (853 | ) | 63.5 | % | |||
Investment income and other | 31 | 30 | 1 | 3.3 | % | ||||||
Interest expense | (166 | ) | (148 | ) | (18 | ) | 12.2 | % | |||
Total other income (expense) | (2,331 | ) | (1,461 | ) | (870 | ) | 59.5 | % | |||
Income (loss) before income taxes | (198 | ) | 543 | (741 | ) | (136.5 | )% | ||||
Income tax expense (benefit) | (92 | ) | 90 | (182 | ) | N/A | |||||
Net income (loss) | $ | (106 | ) | $ | 453 | $ | (559 | ) | (123.4 | )% | |
Net income (loss) as a percentage of revenue | (0.5 | )% | 2.3 | % | |||||||
Per share amounts: | |||||||||||
Basic earnings (loss) per share | $ | (0.12 | ) | $ | 0.52 | $ | (0.64 | ) | (123.1 | )% | |
Diluted earnings (loss) per share | $ | (0.12 | ) | $ | 0.52 | $ | (0.64 | ) | (123.1 | )% | |
Weighted-average shares outstanding: | |||||||||||
Basic | 863 | 865 | (2 | ) | (0.2 | )% | |||||
Diluted | 863 | 869 | (6 | ) | (0.7 | )% | |||||
As adjusted income data: | |||||||||||
Operating profit: | |||||||||||
U.S. Domestic Package (1) | $ | 1,207 | $ | 999 | $ | 208 | 20.8 | % | |||
International Package (1) | 809 | 781 | 28 | 3.6 | % | ||||||
Supply Chain & Freight (1) | 262 | 224 | 38 | 17.0 | % | ||||||
Total operating profit (1) | 2,278 | 2,004 | 274 | 13.7 | % | ||||||
Total other income (expense) (2) | $ | 56 | $ | 166 | $ | (110 | ) | (66.3 | )% | ||
Income before income taxes (1) (2) | $ | 2,334 | $ | 2,170 | $ | 164 | 7.6 | % | |||
Net income (3) | $ | 1,840 | $ | 1,690 | $ | 150 | 8.9 | % | |||
Basic earnings per share (3) | $ | 2.13 | $ | 1.95 | $ | 0.18 | 9.2 | % | |||
Diluted earnings per share (3) | $ | 2.11 | $ | 1.94 | $ | 0.17 | 8.8 | % |
Three Months Ended | |||||||||||
December 31 | |||||||||||
2019 | 2018 | Change | % Change | ||||||||
Revenue (in millions): | |||||||||||
U.S. Domestic Package: | |||||||||||
Next Day Air | $ | 2,319 | $ | 2,108 | $ | 211 | 10.0 | % | |||
Deferred | 1,686 | 1,537 | 149 | 9.7 | % | ||||||
Ground | 9,403 | 8,930 | 473 | 5.3 | % | ||||||
Total U.S. Domestic Package | 13,408 | 12,575 | 833 | 6.6 | % | ||||||
International Package: | |||||||||||
Domestic | 767 | 780 | (13 | ) | (1.7 | )% | |||||
Export | 2,865 | 2,900 | (35 | ) | (1.2 | )% | |||||
Cargo and Other | 130 | 149 | (19 | ) | (12.8 | )% | |||||
Total International Package | 3,762 | 3,829 | (67 | ) | (1.7 | )% | |||||
Supply Chain & Freight: | |||||||||||
Forwarding | 1,483 | 1,644 | (161 | ) | (9.8 | )% | |||||
Logistics | 924 | 878 | 46 | 5.2 | % | ||||||
Freight | 779 | 721 | 58 | 8.0 | % | ||||||
Other | 212 | 201 | 11 | 5.5 | % | ||||||
Total Supply Chain & Freight | 3,398 | 3,444 | (46 | ) | (1.3 | )% | |||||
Consolidated | $ | 20,568 | $ | 19,848 | $ | 720 | 3.6 | % | |||
Consolidated volume (in millions) | 1,651 | 1,535 | 116 | 7.6 | % | ||||||
Operating weekdays | 62 | 62 | — | — | % | ||||||
Average Daily Package Volume (in thousands): | |||||||||||
U.S. Domestic Package: | |||||||||||
Next Day Air | 2,252 | 1,789 | 463 | 25.9 | % | ||||||
Deferred | 2,268 | 1,962 | 306 | 15.6 | % | ||||||
Ground | 18,589 | 17,482 | 1,107 | 6.3 | % | ||||||
Total U.S. Domestic Package | 23,109 | 21,233 | 1,876 | 8.8 | % | ||||||
International Package: | |||||||||||
Domestic | 1,905 | 1,912 | (7 | ) | (0.4 | )% | |||||
Export | 1,618 | 1,623 | (5 | ) | (0.3 | )% | |||||
Total International Package | 3,523 | 3,535 | (12 | ) | (0.3 | )% | |||||
Consolidated | 26,632 | 24,768 | 1,864 | 7.5 | % | ||||||
Average Revenue Per Piece: | |||||||||||
U.S. Domestic Package: | |||||||||||
Next Day Air | $ | 16.61 | $ | 19.01 | $ | (2.40 | ) | (12.6 | )% | ||
Deferred | 11.99 | 12.64 | (0.65 | ) | (5.1 | )% | |||||
Ground | 8.16 | 8.24 | (0.08 | ) | (1.0 | )% | |||||
Total U.S. Domestic Package | 9.36 | 9.55 | (0.19 | ) | (2.0 | )% | |||||
International Package: | |||||||||||
Domestic | 6.49 | 6.58 | (0.09 | ) | (1.4 | )% | |||||
Export | 28.56 | 28.82 | (0.26 | ) | (0.9 | )% | |||||
Total International Package | 16.63 | 16.79 | (0.16 | ) | (1.0 | )% | |||||
Consolidated | $ | 10.32 | $ | 10.59 | $ | (0.27 | ) | (2.5 | )% |
Currency Neutral Revenue Per Piece | |||||||||||||||||||||
(unaudited) | |||||||||||||||||||||
Three Months Ended | Currency | ||||||||||||||||||||
December 31 | Neutral | ||||||||||||||||||||
2019 | 2018 | % Change | Currency | 2019* | % Change | ||||||||||||||||
Average Revenue Per Piece: | |||||||||||||||||||||
International Package: | |||||||||||||||||||||
Domestic | $ | 6.49 | $ | 6.58 | (1.4 | )% | $ | 0.05 | $ | 6.54 | (0.6 | )% | |||||||||
Export | 28.56 | 28.82 | (0.9 | )% | 0.04 | 28.60 | (0.8 | )% | |||||||||||||
Total International Package | $ | 16.63 | $ | 16.79 | (1.0 | )% | $ | 0.04 | $ | 16.67 | (0.7 | )% | |||||||||
Consolidated | $ | 10.32 | $ | 10.59 | (2.5 | )% | $ | 0.01 | $ | 10.33 | (2.5 | )% | |||||||||
*Amounts adjusted for period over period foreign currency exchange rate and hedging differences | |||||||||||||||||||||
Currency Neutral Revenue | |||||||||||||||||||||
(unaudited) | |||||||||||||||||||||
Three Months Ended | Currency | ||||||||||||||||||||
December 31 | Neutral | ||||||||||||||||||||
2019 | 2018 | % Change | Currency | 2019* | % Change | ||||||||||||||||
Revenue (in millions): | |||||||||||||||||||||
U.S. Domestic Package | $ | 13,408 | $ | 12,575 | 6.6 | % | $ | — | $ | 13,408 | 6.6 | % | |||||||||
International Package | 3,762 | 3,829 | (1.7 | )% | 10 | 3,772 | (1.5 | )% | |||||||||||||
Supply Chain & Freight | 3,398 | 3,444 | (1.3 | )% | 5 | 3,403 | (1.2 | )% | |||||||||||||
Total revenue | $ | 20,568 | $ | 19,848 | 3.6 | % | $ | 15 | $ | 20,583 | 3.7 | % | |||||||||
*Amounts adjusted for period over period foreign currency exchange rate and hedging differences | |||||||||||||||||||||
Currency Neutral Operating Profit | |||||||||||||||||||||
(unaudited) | |||||||||||||||||||||
Three Months Ended | Currency | ||||||||||||||||||||
Decembe 31 | Neutral | ||||||||||||||||||||
2019* | 2018 | % Change | Currency | 2019** | % Change | ||||||||||||||||
As-Adjusted Operating Profit (in millions): | |||||||||||||||||||||
U.S. Domestic Package | $ | 1,207 | $ | 999 | 20.8 | % | $ | — | $ | 1,207 | 20.8 | % | |||||||||
International Package | 809 | 781 | 3.6 | % | (24 | ) | 785 | 0.5 | % | ||||||||||||
Supply Chain & Freight | 262 | 224 | 17.0 | % | (1 | ) | 261 | 16.5 | % | ||||||||||||
Total operating profit | $ | 2,278 | $ | 2,004 | 13.7 | % | $ | (25 | ) | $ | 2,253 | 12.4 | % | ||||||||
* Amounts adjusted for Transformation strategy costs, legal contingencies and legal expenses | |||||||||||||||||||||
** Amounts adjusted for Transformation strategy costs, legal contingencies, legal expenses and period over period foreign currency exchange rate and hedging differences |
Three Months Ended | |||||||||||
December 31 | |||||||||||
2019 | 2018 | Change | % Change | ||||||||
LTL revenue (in millions) | $ | 639 | $ | 584 | $ | 55 | 9.4 | % | |||
LTL revenue per LTL hundredweight | $ | 27.01 | $ | 26.36 | $ | 0.65 | 2.5 | % | |||
LTL shipments (in thousands) | 2,217 | 2,010 | 207 | 10.3 | % | ||||||
LTL shipments per day (in thousands) | 35.8 | 32.4 | 3.4 | 10.3 | % | ||||||
LTL gross weight hauled (in millions of pounds) | 2,366 | 2,214 | 152 | 6.9 | % | ||||||
LTL weight per shipment (in pounds) | 1,067 | 1,102 | (35 | ) | (3.2 | )% | |||||
Operating weekdays | 62 | 62 | — | — | % |
Three Months Ended | ||||||||||||||
December 31 | ||||||||||||||
2019 | 2018 | Change | % Change | |||||||||||
(in millions) | ||||||||||||||
Repairs and maintenance | $ | 446 | $ | 438 | $ | 8 | 1.8 | % | ||||||
Depreciation and amortization | 630 | 545 | 85 | 15.6 | % | |||||||||
Purchased transportation | 3,640 | 3,839 | (199 | ) | (5.2 | )% | ||||||||
Fuel | 838 | 958 | (120 | ) | (12.5 | )% | ||||||||
Other occupancy | 353 | 359 | (6 | ) | (1.7 | )% | ||||||||
Other expenses | 1,826 | 1,554 | 272 | 17.5 | % | |||||||||
Total other operating expenses | $ | 7,733 | $ | 7,693 | $ | 40 | 0.5 | % |
Three Months Ended | |||||||
December 31 | |||||||
2019 | 2018 | ||||||
(amounts in millions, except per share data) | |||||||
Numerator: | |||||||
Net income (loss) | $ | (106 | ) | $ | 453 | ||
Denominator: | |||||||
Weighted-average shares | 857 | 859 | |||||
Deferred compensation obligations | — | 1 | |||||
Vested portion of restricted units | 6 | 5 | |||||
Denominator for basic earnings (loss) per share | 863 | 865 | |||||
Effect of dilutive securities: | |||||||
Restricted units | — | 4 | |||||
Stock options | — | — | |||||
Denominator for diluted earnings (loss) per share | 863 | 869 | |||||
Basic earnings (loss) per share | $ | (0.12 | ) | $ | 0.52 | ||
Diluted earnings (loss) per share | $ | (0.12 | ) | $ | 0.52 | ||
Detail of shares outstanding as of December 31, 2019: | |||||||
Class A shares | 156 | ||||||
Class B shares | 701 | ||||||
Total shares outstanding | 857 |
Twelve Months Ended | |||||||||||
December 31 | |||||||||||
2019 | 2018 | Change | % Change | ||||||||
(amounts in millions, except per share data) | |||||||||||
Statement of Income Data: | |||||||||||
Revenue: | |||||||||||
U.S. Domestic Package | $ | 46,493 | $ | 43,593 | $ | 2,900 | 6.7 | % | |||
International Package | 14,220 | 14,442 | (222 | ) | (1.5 | )% | |||||
Supply Chain & Freight | 13,381 | 13,826 | (445 | ) | (3.2 | )% | |||||
Total revenue | 74,094 | 71,861 | 2,233 | 3.1 | % | ||||||
Operating expenses: | |||||||||||
Compensation and benefits | 38,908 | 37,235 | 1,673 | 4.5 | % | ||||||
Other | 27,388 | 27,602 | (214 | ) | (0.8 | )% | |||||
Total operating expenses | 66,296 | 64,837 | 1,459 | 2.3 | % | ||||||
Operating profit: | |||||||||||
U.S. Domestic Package | 4,164 | 3,643 | 521 | 14.3 | % | ||||||
International Package | 2,657 | 2,529 | 128 | 5.1 | % | ||||||
Supply Chain & Freight | 977 | 852 | 125 | 14.7 | % | ||||||
Total operating profit | 7,798 | 7,024 | 774 | 11.0 | % | ||||||
Other income (expense): | |||||||||||
Other pension income (expense) | (1,622 | ) | (490 | ) | (1,132 | ) | N/A | ||||
Investment income and other | 129 | 90 | 39 | 43.3 | % | ||||||
Interest expense | (653 | ) | (605 | ) | (48 | ) | 7.9 | % | |||
Total other income (expense) | (2,146 | ) | (1,005 | ) | (1,141 | ) | 113.5 | % | |||
Income before income taxes | 5,652 | 6,019 | (367 | ) | (6.1 | )% | |||||
Income tax expense (benefit) | 1,212 | 1,228 | (16 | ) | (1.3 | )% | |||||
Net income | $ | 4,440 | $ | 4,791 | $ | (351 | ) | (7.3 | )% | ||
Net income as a percentage of revenue | 6.0 | % | 6.7 | % | |||||||
Per share amounts: | |||||||||||
Basic earnings per share | $ | 5.14 | $ | 5.53 | $ | (0.39 | ) | (7.1 | )% | ||
Diluted earnings per share | $ | 5.11 | $ | 5.51 | $ | (0.40 | ) | (7.3 | )% | ||
Weighted-average shares outstanding: | |||||||||||
Basic | 864 | 866 | (2 | ) | (0.2 | )% | |||||
Diluted | 869 | 870 | (1 | ) | (0.1 | )% | |||||
As adjusted income data: | |||||||||||
Operating profit: | |||||||||||
U.S. Domestic Package (1) | $ | 4,369 | $ | 3,878 | $ | 491 | 12.7 | % | |||
International Package (1) | 2,779 | 2,605 | 174 | 6.7 | % | ||||||
Supply Chain & Freight (1) | 1,002 | 901 | 101 | 11.2 | % | ||||||
Total operating profit (1) | 8,150 | 7,384 | 766 | 10.4 | % | ||||||
Total other income (expense) (2) | $ | 241 | $ | 622 | $ | (381 | ) | (61.3 | )% | ||
Income before income taxes (1) (2) | $ | 8,391 | $ | 8,006 | $ | 385 | 4.8 | % | |||
Net income (3) | $ | 6,543 | $ | 6,301 | $ | 242 | 3.8 | % | |||
Basic earnings per share (3) | $ | 7.57 | $ | 7.28 | $ | 0.29 | 4.0 | % | |||
Diluted earnings per share (3) | $ | 7.53 | $ | 7.24 | $ | 0.29 | 4.0 | % |
Twelve Months Ended | |||||||||||
December 31 | |||||||||||
2019 | 2018 | Change | % Change | ||||||||
Revenue (in millions): | |||||||||||
U.S. Domestic Package: | |||||||||||
Next Day Air | $ | 8,479 | $ | 7,618 | $ | 861 | 11.3 | % | |||
Deferred | 5,180 | 4,752 | 428 | 9.0 | % | ||||||
Ground | 32,834 | 31,223 | 1,611 | 5.2 | % | ||||||
Total U.S. Domestic Package | 46,493 | 43,593 | 2,900 | 6.7 | % | ||||||
International Package: | |||||||||||
Domestic | 2,836 | 2,874 | (38 | ) | (1.3 | )% | |||||
Export | 10,837 | 10,973 | (136 | ) | (1.2 | )% | |||||
Cargo and Other | 547 | 595 | (48 | ) | (8.1 | )% | |||||
Total International Package | 14,220 | 14,442 | (222 | ) | (1.5 | )% | |||||
Supply Chain & Freight: | |||||||||||
Forwarding | 5,867 | 6,580 | (713 | ) | (10.8 | )% | |||||
Logistics | 3,435 | 3,234 | 201 | 6.2 | % | ||||||
Freight | 3,265 | 3,218 | 47 | 1.5 | % | ||||||
Other | 814 | 794 | 20 | 2.5 | % | ||||||
Total Supply Chain & Freight | 13,381 | 13,826 | (445 | ) | (3.2 | )% | |||||
Consolidated | $ | 74,094 | $ | 71,861 | $ | 2,233 | 3.1 | % | |||
Consolidated volume (in millions) | 5,536 | 5,231 | 305 | 5.8 | % | ||||||
Operating weekdays | 253 | 253 | — | 0.0 | % | ||||||
Average Daily Package Volume (in thousands): | |||||||||||
U.S. Domestic Package: | |||||||||||
Next Day Air | 1,889 | 1,542 | 347 | 22.5 | % | ||||||
Deferred | 1,622 | 1,432 | 190 | 13.3 | % | ||||||
Ground | 15,176 | 14,498 | 678 | 4.7 | % | ||||||
Total U.S. Domestic Package | 18,687 | 17,472 | 1,215 | 7.0 | % | ||||||
International Package: | |||||||||||
Domestic | 1,721 | 1,723 | (2 | ) | (0.1 | )% | |||||
Export | 1,472 | 1,482 | (10 | ) | (0.7 | )% | |||||
Total International Package | 3,193 | 3,205 | (12 | ) | (0.4 | )% | |||||
Consolidated | 21,880 | 20,677 | 1,203 | 5.8 | % | ||||||
Average Revenue Per Piece: | |||||||||||
U.S. Domestic Package: | |||||||||||
Next Day Air | $ | 17.74 | $ | 19.53 | $ | (1.79 | ) | (9.2 | )% | ||
Deferred | 12.62 | 13.12 | (0.50 | ) | (3.8 | )% | |||||
Ground | 8.55 | 8.51 | 0.04 | 0.5 | % | ||||||
Total U.S. Domestic Package | 9.83 | 9.86 | (0.03 | ) | (0.3 | )% | |||||
International Package: | |||||||||||
Domestic | 6.51 | 6.59 | (0.08 | ) | (1.2 | )% | |||||
Export | 29.10 | 29.27 | (0.17 | ) | (0.6 | )% | |||||
Total International Package | 16.93 | 17.08 | (0.15 | ) | (0.9 | )% | |||||
Consolidated | $ | 10.87 | $ | 10.98 | $ | (0.11 | ) | (1.0 | )% |
Currency Neutral Revenue Per Piece | |||||||||||||||||||||
(unaudited) | |||||||||||||||||||||
Twelve Months Ended | Currency | ||||||||||||||||||||
December 31 | Neutral | ||||||||||||||||||||
2019 | 2018 | % Change | Currency | 2019* | % Change | ||||||||||||||||
Average Revenue Per Piece: | |||||||||||||||||||||
International Package: | |||||||||||||||||||||
Domestic | $ | 6.51 | $ | 6.59 | (1.2 | )% | $ | 0.26 | $ | 6.77 | 2.7 | % | |||||||||
Export | 29.10 | 29.27 | (0.6 | )% | 0.32 | 29.42 | 0.5 | % | |||||||||||||
Total International Package | $ | 16.93 | $ | 17.08 | (0.9 | )% | $ | 0.28 | $ | 17.21 | 0.8 | % | |||||||||
Consolidated | $ | 10.87 | $ | 10.98 | (1.0 | )% | $ | 0.04 | $ | 10.91 | (0.6 | )% | |||||||||
*Amounts adjusted for period over period foreign currency exchange rate and hedging differences | |||||||||||||||||||||
Currency Neutral Revenue | |||||||||||||||||||||
(unaudited) | |||||||||||||||||||||
Twelve Months Ended | Currency | ||||||||||||||||||||
December 31 | Neutral | ||||||||||||||||||||
2019 | 2018 | % Change | Currency | 2019* | % Change | ||||||||||||||||
Revenue (in millions): | |||||||||||||||||||||
U.S. Domestic Package | $ | 46,493 | $ | 43,593 | 6.7 | % | $ | — | $ | 46,493 | 6.7 | % | |||||||||
International Package | 14,220 | 14,442 | (1.5 | )% | 232 | 14,452 | 0.1 | % | |||||||||||||
Supply Chain & Freight | 13,381 | 13,826 | (3.2 | )% | 75 | 13,456 | (2.7 | )% | |||||||||||||
Total revenue | $ | 74,094 | $ | 71,861 | 3.1 | % | $ | 307 | $ | 74,401 | 3.5 | % | |||||||||
*Amounts adjusted for period over period foreign currency exchange rate and hedging differences | |||||||||||||||||||||
Currency Neutral Operating Profit | |||||||||||||||||||||
(unaudited) | |||||||||||||||||||||
Twelve Months Ended | Currency | ||||||||||||||||||||
December 31 | Neutral | ||||||||||||||||||||
2019* | 2018* | % Change | Currency | 2019** | % Change | ||||||||||||||||
As-Adjusted Operating Profit (in millions): | |||||||||||||||||||||
U.S. Domestic Package | $ | 4,369 | $ | 3,878 | 12.7 | % | $ | — | $ | 4,369 | 12.7 | % | |||||||||
International Package | 2,779 | 2,605 | 6.7 | % | (70 | ) | 2,709 | 4.0 | % | ||||||||||||
Supply Chain & Freight | 1,002 | 901 | 11.2 | % | 8 | 1,010 | 12.1 | % | |||||||||||||
Total operating profit | $ | 8,150 | $ | 7,384 | 10.4 | % | $ | (62 | ) | $ | 8,088 | 9.5 | % | ||||||||
* Amounts adjusted for Transformation strategy costs, legal contingencies and legal expenses | |||||||||||||||||||||
** Amounts adjusted for Transformation strategy costs, legal contingencies, legal expenses and period over period foreign currency exchange rate and hedging differences |
Twelve Months Ended | |||||||||||
December 31 | |||||||||||
2019 | 2018 | Change | % Change | ||||||||
LTL revenue (in millions) | $ | 2,679 | $ | 2,706 | $ | (27 | ) | (1.0 | )% | ||
LTL revenue per LTL hundredweight | $ | 26.54 | $ | 25.52 | $ | 1.02 | 4.0 | % | |||
LTL shipments (in thousands) | 9,281 | 9,720 | (439 | ) | (4.5 | )% | |||||
LTL shipments per day (in thousands) | 36.7 | 38.4 | (1.7 | ) | (4.5 | )% | |||||
LTL gross weight hauled (in millions of pounds) | 10,096 | 10,605 | (509 | ) | (4.8 | )% | |||||
LTL weight per shipment (in pounds) | 1,088 | 1,091 | (3 | ) | (0.3 | )% | |||||
Operating weekdays | 253 | 253 | — | 0.0 | % |
Twelve Months Ended | ||||||||||||||
December 31 | ||||||||||||||
2019 | 2018 | Change | % Change | |||||||||||
(in millions) | ||||||||||||||
Repairs and maintenance | $ | 1,838 | $ | 1,732 | $ | 106 | 6.1 | % | ||||||
Depreciation and amortization | 2,360 | 2,207 | 153 | 6.9 | % | |||||||||
Purchased transportation | 12,590 | 13,409 | (819 | ) | (6.1 | )% | ||||||||
Fuel | 3,289 | 3,427 | (138 | ) | (4.0 | )% | ||||||||
Other occupancy | 1,392 | 1,362 | 30 | 2.2 | % | |||||||||
Other expenses | 5,919 | 5,465 | 454 | 8.3 | % | |||||||||
Total other operating expenses | $ | 27,388 | $ | 27,602 | $ | (214 | ) | (0.8 | )% |
Twelve Months Ended | |||||||
December 31 | |||||||
2019 | 2018 | ||||||
(amounts in millions, except per share data) | |||||||
Numerator: | |||||||
Net income | $ | 4,440 | $ | 4,791 | |||
Denominator: | |||||||
Weighted-average shares outstanding | 859 | 860 | |||||
Deferred compensation arrangements | — | 1 | |||||
Vested portion of restricted shares | 5 | 5 | |||||
Denominator for basic earnings per share | 864 | 866 | |||||
Effect of dilutive securities: | |||||||
Restricted shares | 5 | 4 | |||||
Stock options | — | — | |||||
Denominator for diluted earnings per share | 869 | 870 | |||||
Basic earnings per share | $ | 5.14 | $ | 5.53 | |||
Diluted earnings per share | $ | 5.11 | $ | 5.51 | |||
December 31, 2019 | December 31, 2018 | ||||||
(amounts in millions) | |||||||
ASSETS | |||||||
Current Assets: | |||||||
Cash and marketable securities | $ | 5,741 | $ | 5,035 | |||
Other current assets | 11,362 | 11,175 | |||||
Total Current Assets | 17,103 | 16,210 | |||||
Property, Plant and Equipment | 59,727 | 54,488 | |||||
Less accumulated depreciation and amortization | 29,245 | 27,912 | |||||
30,482 | 26,576 | ||||||
Other Assets | 10,272 | 7,230 | |||||
$ | 57,857 | $ | 50,016 | ||||
LIABILITIES AND SHAREOWNERS' EQUITY | |||||||
Current Liabilities | $ | 15,413 | $ | 14,087 | |||
Long-Term Debt | 21,818 | 19,931 | |||||
Pension and Postretirement Benefit Obligations | 10,601 | 8,347 | |||||
Deferred Taxes, Credits and Other Liabilities | 6,742 | 4,614 | |||||
Shareowners' Equity | 3,283 | 3,037 | |||||
$ | 57,857 | $ | 50,016 |
Net Increase (Decrease) in Cash, Cash Equivalents and Restricted Cash | ||||
Preliminary | ||||
Year-to-Date | ||||
(amounts in millions) | December 31 | |||
Cash flows from operating activities | $ | 8,639 | ||
Cash flows used in investing activities | (6,061 | ) | ||
Cash flows used in financing activities | (1,727 | ) | ||
Effect of exchange rate changes on cash, cash equivalents and restricted cash | 20 | |||
Net increase/(decrease) in cash and cash equivalents and restricted cash | $ | 871 | ||
Reconciliation of Adjusted Capital Expenditures and Free Cash Flow (non-GAAP measures) | ||||
Preliminary | ||||
Year-to-Date | ||||
(amounts in millions) | December 31 | |||
Cash flows from operating activities | $ | 8,639 | ||
Capital expenditures | (6,380 | ) | ||
Principal repayments of capital lease obligations | (140 | ) | ||
Adjusted Capital Expenditures (non-GAAP measure) | $ | (6,520 | ) | |
Proceed from disposal of PP&E | 65 | |||
Net change in finance receivables | 13 | |||
Other investing activities | (75 | ) | ||
Adjusted free cash flow (non-GAAP measure) | $ | 2,122 | ||
Discretionary pension contributions | 2,000 | |||
Adjusted free cash flow (non-GAAP measure) excluding discretionary pension contributions | $ | 4,122 |
Description | Owned and Finance Leases | Operating Leases & Charters from Others | On Order | Under Option | ||||
Operating: | ||||||||
Boeing 757-200 | 75 | — | — | — | ||||
Boeing 767-300 | 64 | 2 | 8 | — | ||||
Boeing 767-300BCF | 3 | — | 1 | — | ||||
Boeing 767-300BDSF | 2 | — | 2 | — | ||||
Airbus A300-600 | 52 | — | — | — | ||||
Boeing MD-11 | 37 | — | 5 | — | ||||
Boeing 747-400F | 11 | — | — | — | ||||
Boeing 747-400BCF | 2 | — | — | — | ||||
Boeing 747-8F | 15 | — | 13 | — | ||||
Other | — | 309 | — | — | ||||
Total | 261 | 311 | 29 | — |