Exhibit 12
UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
Ratio of Earnings to Fixed Charges
| Year Ended December 31, | |||||||||||||||
| 2009 | 2008 | 2007 | 2006 | 2005 | |||||||||||
| Earnings: |
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| Earnings before income taxes and accounting changes |
$ | 3,366 | $ | 5,015 | $ | 431 | $ | 6,510 | $ | 6,075 | |||||
| Add: Interest expense |
445 | 442 | 246 | 211 | 172 | ||||||||||
| Add: Interest factor in rental expense |
207 | 278 | 296 | 304 | 281 | ||||||||||
| Total earnings |
$ | 4,018 | $ | 5,735 | $ | 973 | $ | 7,025 | $ | 6,528 | |||||
| Fixed charges: |
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| Interest expense |
$ | 445 | $ | 442 | $ | 246 | $ | 211 | $ | 172 | |||||
| Interest capitalized |
37 | 48 | 67 | 48 | 32 | ||||||||||
| Interest factor in rental expense |
207 | 278 | 296 | 304 | 281 | ||||||||||
| Total fixed charges |
$ | 689 | $ | 768 | $ | 609 | $ | 563 | $ | 485 | |||||
| Ratio of earnings to fixed charges |
5.8 | 7.5 | 1.6 | 12.5 | 13.5 | ||||||||||