Annual report pursuant to Section 13 and 15(d)

QUARTERLY INFORMATION (unaudited)

v2.4.0.6
QUARTERLY INFORMATION (unaudited)
 12 Months Ended
Dec. 31, 2012
Quarterly Financial Information Disclosure [Abstract]  
QUARTERLY INFORMATION (unaudited)
QUARTERLY INFORMATION (unaudited)
Our revenue, segment operating profit, net income, basic and diluted earnings per share on a quarterly basis are presented below (in millions, except per share amounts):
 
First Quarter
 
Second Quarter
 
Third Quarter
 
Fourth Quarter
 
2012
 
2011
 
2012
 
2011
 
2012
 
2011
 
2012
 
2011
Revenue:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. Domestic Package
$
8,004

 
$
7,543

 
$
8,058

 
$
7,737

 
$
7,861

 
$
7,767

 
$
8,933

 
$
8,670

International Package
2,966

 
2,900

 
3,014

 
3,139

 
2,943

 
3,057

 
3,201

 
3,153

Supply Chain & Freight
2,166

 
2,139

 
2,277

 
2,315

 
2,267

 
2,342

 
2,437

 
2,343

Total revenue
13,136

 
12,582

 
13,349

 
13,191

 
13,071

 
13,166

 
14,571

 
14,166

Operating profit (loss):
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. Domestic Package
995

 
880

 
1,134

 
997

 
129

 
1,046

 
(1,799
)
 
841

International Package
408

 
453

 
454

 
505

 
449

 
417

 
(442
)
 
334

Supply Chain & Freight
166

 
139

 
202

 
243

 
188

 
203

 
(541
)
 
22

Total operating profit (loss)
1,569

 
1,472

 
1,790

 
1,745

 
766

 
1,666

 
(2,782
)
 
1,197

Net income (loss)
$
970

 
$
915

 
$
1,116

 
$
1,092

 
$
469

 
$
1,072

 
$
(1,748
)
 
$
725

Net income (loss) per share:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Basic
$
1.01

 
$
0.92

 
$
1.16

 
$
1.11

 
$
0.49

 
$
1.10

 
$
(1.83
)
 
$
0.75

Diluted
$
1.00

 
$
0.91

 
$
1.15

 
$
1.09

 
$
0.48

 
$
1.09

 
$
(1.83
)
 
$
0.74


Operating profit for the quarter ended September 30, 2012 was impacted by a charge for the establishment of a withdrawal liability related to our withdrawal from the New England Teamsters and Trucking Industry Pension Fund, a multiemployer pension plan. This charge reduced the operating profit for the U.S. Domestic Package segment by $896 million, net income by $559 million and basic and diluted earnings per share by $0.58.
Operating profit for the quarter ended December 31, 2012 was impacted by a mark-to-market loss on our pension and postretirement benefit plans related to the remeasurement of plan assets and liabilities recognized outside of a 10% corridor of $4.831 billion (allocated as follows—U.S. Domestic Package $3.177 billion, International Package $941 million, Supply Chain & Freight $713 million). This loss reduced net income by $3.023 billion, and basic and diluted earnings per share by $3.16.
Operating profit for the quarter ended June 30, 2011 was impacted by gains and losses on certain real estate transactions, including a $15 million loss in the U.S. Domestic Package segment and a $48 million gain in the Supply Chain & Freight segment. The combined impact of these transactions increased net income by $20 million, and basic and diluted earnings per share by $0.02.
Operating profit for the quarter ended December 31, 2011 was impacted by a mark-to-market loss on our pension and postretirement benefit plans related to the remeasurement of plan assets and liabilities recognized outside of a 10% corridor of $827 million (allocated as follows—U.S. Domestic Package $479 million, International Package $171 million, Supply Chain & Freight $177 million). This loss reduced net income by $527 million, and basic and diluted earnings per share by $0.54.