News Column

UPS Bottom Line Bolstered

April 26, 2011

Global package-delivery leader UPS overcame higher fuel costs and bad weather to report an increase in revenue of 7 percent to $12.6 billion in the first quarter compared to the year-ago quarter, the company reported Tuesday.

Earnings were up 66 percent to $885 million.

Chief Financial Officer Kurt Kuehn said that companies had kept very low inventories amid the slow, unsteady growth in the economy since the 2008-09 recession.

"That means as demand shifts, then frequently customers do use the more premium services to cover gaps and shortages across their various supply chains," Kuehn said.

He noted "increased velocity in the core economy with manufacturing and finished goods."

Source: Copyright 2011 dpa Deutsche Presse-Agentur GmbH

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