UPS 2008 Annual Report Download - page 27

PART II
Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of
Equity Securities
Our Class A common stock is not listed on a national securities exchange or traded in an organized
over-the-counter market, but each share of our Class A common stock is convertible into one share of our Class
B common stock.
The following is a summary of our Class B common stock price activity and dividend information for 2008
and 2007. Our Class B common stock is listed on the New York Stock Exchange under the symbol “UPS.”
High Low Close
Dividends
Declared
2008:
First Quarter ................................................. $73.95 $65.37 $73.02 $0.45
Second Quarter ............................................... $75.08 $59.30 $61.47 $0.45
Third Quarter ................................................ $70.00 $56.11 $62.89 $0.45
Fourth Quarter ............................................... $64.41 $43.60 $55.16 $0.45
2007:
First Quarter ................................................. $75.98 $68.66 $70.10 $0.42
Second Quarter ............................................... $74.48 $69.54 $73.00 $0.42
Third Quarter ................................................ $78.99 $72.70 $75.10 $0.42
Fourth Quarter ............................................... $77.00 $70.00 $70.72 $0.42
As of January 29, 2009, there were 170,327 and 206,558 record holders of Class A and Class B common
stock, respectively.
The policy of our Board of Directors is to declare dividends out of current earnings. The declaration of
dividends is subject to the discretion of the Board of Directors and will depend on various factors, including our
net income, financial condition, cash requirements, future prospects, and other relevant factors.
On February 11, 2009, our Board declared a dividend of $0.45 per share, which is payable on March 10,
2009 to shareowners of record on February 23, 2009.
In January 2008, we announced a new financial policy regarding our capital structure to enhance
shareowner value. We intend to manage our balance sheet to a target debt ratio of approximately 50%-60% funds
from operations to total debt. In connection with this policy, the Board of Directors authorized an increase in our
share repurchase authorization to $10.0 billion. Share repurchases may take the form of accelerated share
repurchases, open market purchases, or other such methods as we deem appropriate. The timing of our share
repurchases will depend upon market conditions. Unless terminated earlier by the resolution of our Board, the
program will expire when we have purchased all shares authorized for repurchase under the program.
A summary of repurchases of our Class A and Class B common stock during the fourth quarter of 2008 is as
follows (in millions, except per share amounts):
Total Number
of Shares
Purchased(1)
Average
Price Paid
Per Share(1)
Total Number
of Shares Purchased
as Part of Publicly
Announced Program
Approximate Dollar
Value of Shares that
May Yet be Purchased
Under the Program
(as of month-end)
October 1—October 31, 2008 ............... 3.3 $49.73 3.3 $6,666
November 1—November 30, 2008 ........... 1.0 52.56 1.0 6,615
December 1—December 31, 2008 ............ 0.8 54.25 0.8 6,572
Total October 1—December 31, 2008 ..... 5.1 $50.96 5.1 $6,572
(1) Includes shares repurchased through our publicly announced share repurchase program and shares tendered
to pay the exercise price and tax withholding on employee stock options.
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