UPS Says Profit Fell 43% as Domestic Shipments Slide

Discussion in 'The Latest UPS Headlines' started by cheryl, Oct 22, 2009.

  1. cheryl

    cheryl I started this. Staff Member

    UPS Says Profit Fell 43% as Domestic Shipments Slide - Bloomberg

    Net income slid to $549 million, or 55 cents a share, from $970 million, or 96 cents, a year earlier, Atlanta-based UPS said today in a statement. Revenue fell 15 percent to $11.2 billion.

    UPS is considered a proxy for the U.S. economy because it handles half of all packages sent, ranging from auto parts and medicine to financial documents and clothing. UPS’s Ground unit volume slid 6.2 percent as a competing service from FedEx Corp. took away some deliveries, said Donald Broughton, an analyst at Avondale Partners LLC in Nashville, Tennessee. He rates the shares “market perform.”

    “Ground is the bread and butter of UPS and if that’s down, it’s not good,” he said. “The underlying business was weaker than we expected.”
     
  2. ups1990

    ups1990 Well-Known Member

    Does this mean, UPS will continue to cut routes and have drivers out even later delivering packages? We provide a service but do not service correctly. It's no wonder that customers are unhappy with us.