Annual report pursuant to Section 13 and 15(d)

QUARTERLY INFORMATION (unaudited)

v2.4.0.8
QUARTERLY INFORMATION (unaudited)
 12 Months Ended
Dec. 31, 2013
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
 
2013
 
2012
 
2013
 
2012
 
2013
 
2012
 
2013
 
2012
Revenue:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. Domestic Package
$
8,271

 
$
8,004

 
$
8,241

 
$
8,058

 
$
8,254

 
$
7,861

 
$
9,308

 
$
8,933

International Package
2,978

 
2,966

 
3,062

 
3,014

 
3,017

 
2,943

 
3,372

 
3,201

Supply Chain & Freight
2,185

 
2,166

 
2,204

 
2,277

 
2,250

 
2,267

 
2,296

 
2,437

Total revenue
13,434

 
13,136

 
13,507

 
13,349

 
13,521

 
13,071

 
14,976

 
14,571

Operating profit (loss):
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. Domestic Package
1,085

 
995

 
1,132

 
1,134

 
1,186

 
129

 
1,200

 
(1,799
)
International Package
352

 
408

 
451

 
454

 
417

 
449

 
537

 
(442
)
Supply Chain & Freight
143

 
166

 
159

 
202

 
201

 
188

 
171

 
(541
)
Total operating profit (loss)
1,580

 
1,569

 
1,742

 
1,790

 
1,804

 
766

 
1,908

 
(2,782
)
Net income (loss)
$
1,037

 
$
970

 
$
1,071

 
$
1,116

 
$
1,097

 
$
469

 
$
1,167

 
$
(1,748
)
Net income (loss) per share:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Basic
$
1.09

 
$
1.01

 
$
1.14

 
$
1.16

 
$
1.17

 
$
0.49

 
$
1.26

 
$
(1.83
)
Diluted
$
1.08

 
$
1.00

 
$
1.13

 
$
1.15

 
$
1.16

 
$
0.48

 
$
1.25

 
$
(1.83
)

Operating profit for the quarter ended March 31, 2013 was impacted by two items: (1) The termination fee and transaction-related expenses for our proposed acquisition of TNT Express, and (2) The foreign currency gain realized upon the liquidation of a subsidiary that would have been used to acquire the shares of TNT Express. These two items are discussed further in note 15. The combination of these two items reduced the operating profit for the International Package segment by $39 million, increased net income by $36 million, and increased basic and diluted earnings per share by $0.04.
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.