Exhibit 12
United Parcel Service, Inc. and Subsidiaries
Ratio of Earnings to Fixed Charges
| Nine Months Ended September 30, 2008 |
Year Ended December 31, | |||||||||||||||||
| 2007 | 2006 | 2005 | 2004 | 2003 | ||||||||||||||
| Earnings: |
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| Income before income taxes |
$ | 4,295 | $ | 431 | $ | 6,510 | $ | 6,075 | $ | 4,922 | $ | 4,370 | ||||||
| Add: Interest expense |
342 | 246 | 211 | 172 | 149 | 121 | ||||||||||||
| Add: Interest factor in rental expense |
217 | 296 | 304 | 281 | 253 | 244 | ||||||||||||
| Total earnings |
$ | 4,854 | $ | 973 | $ | 7,025 | $ | 6,528 | $ | 5,324 | $ | 4,735 | ||||||
| Fixed charges: |
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| Interest expense |
$ | 342 | $ | 246 | $ | 211 | $ | 172 | $ | 149 | $ | 121 | ||||||
| Interest capitalized |
37 | 67 | 48 | 32 | 25 | 25 | ||||||||||||
| Interest factor in rental expense |
217 | 296 | 304 | 281 | 253 | 244 | ||||||||||||
| Total fixed charges |
$ | 596 | $ | 609 | $ | 563 | $ | 485 | $ | 427 | $ | 390 | ||||||
| Ratio of earnings to fixed charges |
8.1 | 1.6 | 12.5 | 13.5 | 12.5 | 12.1 | ||||||||||||