2.2.0.25falsefalse1022 - Disclosure - RESTRUCTURING COSTS AND BUSINESS DISPOSITIONStruefalsefalse1falsefalseUSDfalsefalse1/1/2010 - 12/31/2010
USD ($)
USD ($) / shares
$eol_PE10216---1010-K0013_STD_365_20101231_0http://www.sec.gov/CIK0001090727duration2010-01-01T00:00:002010-12-31T00:00:00pureStandardhttp://www.xbrl.org/2003/instancepure0iso4217_USDStandardhttp://www.xbrl.org/2003/iso4217USDiso42170iso4217_USD_per_sharesDividehttp://www.xbrl.org/2003/iso4217USDiso4217http://www.xbrl.org/2003/instanceshares0sharesStandardhttp://www.xbrl.org/2003/instanceshares0YearStandardhttp://www.ups.com/20101231Yearups0USDUSD$5false0us-gaap_RestructuringAndRelatedActivitiesDisclosureTextBlockus-gaaptruenadurationNo definition available.falsefalsefalsefalsefalsefalsefalsefalsefalsefalse1falsefalsefalse00<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2"><b>NOTE 15. RESTRUCTURING
COSTS AND BUSINESS DISPOSITIONS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: Times New Roman" size="2">We have
incurred restructuring costs associated with the termination of
employees, facility consolidations and other costs directly related
to restructuring initiatives. These initiatives have resulted from
the integration of acquired companies, as well as restructuring
activities associated with cost containment and operational
efficiency programs. Additionally, we have sold or shut-down
certain non-core business units in 2010, and recorded gains or
losses upon the sale, as well as costs associated with each
transaction.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2"><i>Supply Chain &
Freight—Germany</i></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: Times New Roman" size="2">In February
2010, we completed the sale of a specialized transportation and
express freight business in Germany within our Supply
Chain & Freight segment. As part of the sale transaction,
we incurred certain costs associated with employee severance
payments, other employee benefits, transition services, and leases
on operating facilities and equipment. Additionally, we have
provided a guarantee for a period of two years for certain employee
benefit payments being assumed by the buyer. We recorded a pre-tax
loss of $51 million ($47 million after-tax) for this transaction in
2010, which included the costs associated with the sale transaction
and the fair value of the guarantee. This loss is recorded in the
caption “other expenses” in the statements of
consolidated income.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2"><i>Supply Chain &
Freight—United States</i></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: Times New Roman" size="2">In December
2010, we completed the sale of our UPS Logistics Technologies, Inc.
business unit, which produced transportation routing and fleet
management systems. We recognized a $71 million pre-tax gain on the
sale ($44 million after tax), which is included in the caption
“other expenses” in the consolidated income statement,
and is included in the results of our Supply Chain &
Freight segment. The operating results of the UPS Logistics
Technologies, Inc business unit were not material to our
consolidated or segment operating results in any of the periods
presented.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: Times New Roman" size="2"><i>U.S. Domestic Package
Restructuring</i></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 4%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: Times New Roman" size="2">In an effort to
improve performance in the U.S. Domestic Package segment, we
announced a program to streamline our domestic management structure
in January 2010. As part of this restructuring, we reduced the
number of domestic districts and regions in our U.S. small package
operation in order to better align our operations geographically
and allow more local decision-making and resources to be deployed
for our customers. Effective in April 2010, we reduced our U.S.
regions from five to three and our U.S. districts from 46 to 20.
The restructuring eliminated approximately 1,800 management and
administrative positions in the U.S. Approximately 1,100 employees
were offered voluntary severance packages, while other impacted
employees received severance benefits based on length of service,
and access to support programs. We recorded a pre-tax charge of $98
million ($64 million after-tax) in the first quarter of 2010
related to the costs of this program, which reflects the value of
voluntary retirement benefits, severance benefits and unvested
stock compensation. In 2010, we incurred additional costs related
to the relocation of employees and other restructuring activities,
however those costs were offset by savings from the staffing
reductions.</font></p>
</div>NOTE 15. RESTRUCTURING
COSTS AND BUSINESS DISPOSITIONS
We have
incurred restructuring costs associated with the termination of
employees, facilityfalsefalsefalsefalsefalseOtherus-types:textBlockItemTypestringDescription of restructuring activities including exit and disposal activities, which should include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled. This description does not include restructuring costs in connection with a business combination or discontinued operations and long-lived assets (disp
osal groups) sold or classified as held for sale. This element may be used as a single block of text to encapsulate the entire disclosure including data and tables.Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 146
-Paragraph 20
Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 5
-Section P
-Subsection 3, 4
falsefalse11RESTRUCTURING COSTS AND BUSINESS DISPOSITIONSUnKnownUnKnownUnKnownUnKnownfalsetrue
