Exhibit 12
United Parcel Service, Inc. and Subsidiaries
Ratio of Earnings to Fixed Charges
|
(in millions) |
|
Six Months Ended |
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|
|
|
2003 |
|
2002 |
|
||
|
Earnings: |
|
|
|
|
|
||
|
Earnings before income taxes and accounting changes |
|
$ |
1,934 |
|
$ |
1,908 |
|
|
Add: Interest expense |
|
63 |
|
91 |
|
||
|
Add: One-third of rental expense (a) |
|
66 |
|
66 |
|
||
|
Total earnings |
|
$ |
2,063 |
|
$ |
2,065 |
|
|
|
|
|
|
|
|
||
|
Fixed Charges: |
|
|
|
|
|
||
|
Interest expense |
|
$ |
63 |
|
$ |
91 |
|
|
Interest capitalized |
|
15 |
|
12 |
|
||
|
One-third of rental expense (a) |
|
66 |
|
66 |
|
||
|
Total fixed charges |
|
$ |
144 |
|
$ |
169 |
|
|
|
|
|
|
|
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||
|
Ratio of Earnings to Fixed Charges |
|
14.3 |
|
12.2 |
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(a) Considered to be representative of interest factor in rental expense.