Am I reading this correctly?

[Just Numbers]

In a recent news article on bc the question was "Can ups and fedex replace the usps?" I read he article...is UPS 25.5 Billion dollars in debt?

 

[Anonymous 10]

It wouldn't surprise me at all.

 

[ajblakejr]

Yes, FedEx and UPS could replace the USPS.

We scan and sort USPS at SDF/Worldport.

And from what I understand, the USPS is one of the reasons Emery Worldwide started to failed. Emery had a huge contract to move the Priority Mail - the Post Office breached the contract.

 

[Just Numbers]

Possibly . UPS's debt level is higher then its ever been. Its not as alarming as it sounds. Interest rates are so low they are making money on the debt.

Tie, if UPS is over 25 BILLION DOLLARS IN DEBT....it is still over 25 BILLION DOLLARS in debt!!!!! No matter how cheap the money is it still has to be paid back. I hope my teamster brothers understand how this can affect the next contract.

 

[packageguy]

Wow 25 billion that sounds very high. If that's the case, poor managment.
How could they get it that high Quarter after Quarter profit, profit and more profit

 

[1000RR]

Are you sure you didn't misread something? Maybe the USPS is in debt that much.

 

[Just Numbers]

Are you sure you didn't misread something? Maybe the USPS is in debt that much.

Go to UPS NEWS FOR UPSERS on the home page of BROWN CAFE. The article is on page 2.

 

[Just Numbers]

I just re-read this article....table 1 DEBT: USPS=12.0 BILLION DOLLARS, UPS=25.5 BILLION DOLLARS, FEDEX=11.0 BILLION DOLLARS!

 

[clueless]

Total Debt of UPS is $10.846B

From the balance sheet in the last 10-K filed:

Current Portion of L-T Debt is $.349B
L-T Debt is $10.491B
So, Total Debt is $10.846B

The author of the article apparently is using 'total liabilities' as debt. In financial analysis, debt is regarded as those obligations which are interest-bearing. Items such as 'deferred income tax liabilities' or 'accounts payable' do not incur interest charges, so while they are obligations, they are not considered 'debt' in terms of capitalization.