United Parcel Service Inc. (UPS)

Balance Sheet: Liabilities and Stockholders’ Equity

Difficulty: Beginner

The balance sheet provides creditors, investors, and analysts with information on company’s resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company’s assets as well as an indication of cash flows that may come from receivables and inventories.

Liabilities represents obligations of a company arising from past events, the settlement of which is expected to result in an outflow of economic benefits from the entity.

United Parcel Service Inc., consolidated balance sheet: liabilities and stockholders’ equity

US$ in millions

	Dec 31, 2018	Dec 31, 2017	Dec 31, 2016	Dec 31, 2015	Dec 31, 2014
Current maturities of long-term debt and commercial paper	2,805	4,011	3,681	3,018	923
Accounts payable	5,188	3,872	3,042	2,587	2,754
Accrued wages and withholdings	3,047	2,521	2,317	2,253	2,373
Self-insurance reserves	810	705	670	657	656
Accrued group welfare and retirement plan contributions	715	677	598	525	—
Other current liabilities	1,522	922	1,422	1,656	1,933
Current liabilities	14,087	12,708	11,730	10,696	8,639
Long-term debt, excluding current maturities	19,931	20,278	12,394	11,316	9,864
Pension and postretirement benefit obligations	8,347	7,061	12,694	10,638	11,452
Deferred income tax liabilities	1,619	757	112	115	83
Self-insurance reserves	1,571	1,765	1,794	1,831	1,916
Other non-current liabilities	1,424	1,804	1,224	1,224	1,359
Non-current liabilities	32,892	31,665	28,218	25,124	24,674
Total liabilities	46,979	44,373	39,948	35,820	33,313
Class A common stock	2	2	2	2	2
Class B common stock	7	7	7	7	7
Additional paid-in capital	—	—	—	—	—
Retained earnings	8,006	5,858	4,879	6,001	5,726
Accumulated other comprehensive loss	(4,994)	(4,867)	(4,483)	(3,540)	(3,594)
Deferred compensation obligations	32	37	45	51	59
Treasury stock	(32)	(37)	(45)	(51)	(59)
Equity for controlling interests	3,021	1,000	405	2,470	2,141
Noncontrolling interests	16	30	24	21	17
Total shareowners’ equity	3,037	1,030	429	2,491	2,158
Total liabilities and shareowners’ equity	50,016	45,403	40,377	38,311	35,471

Based on: 10-K (filing date: 2019-02-21), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-21), 10-K (filing date: 2016-02-25), 10-K (filing date: 2015-02-27).

Item	Description	The company
Current liabilities	Total obligations incurred as part of normal operations that are expected to be paid during the following twelve months or within one business cycle, if longer.	United Parcel Service Inc.’s current liabilities increased from 2016 to 2017 and from 2017 to 2018.
Non-current liabilities	Amount of obligation due after one year or beyond the normal operating cycle, if longer.	United Parcel Service Inc.’s non-current liabilities increased from 2016 to 2017 and from 2017 to 2018.
Total liabilities	Sum of the carrying amounts as of the balance sheet date of all liabilities that are recognized. Liabilities are probable future sacrifices of economic benefits arising from present obligations of an entity to transfer assets or provide services to other entities in the future.	United Parcel Service Inc.’s total liabilities increased from 2016 to 2017 and from 2017 to 2018.
Equity for controlling interests	Total of all stockholders’ equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity’s stockholders’ equity attributable to the parent excludes the amount of stockholders’ equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.	United Parcel Service Inc.’s equity for controlling interests increased from 2016 to 2017 and from 2017 to 2018.