UPS 2013 Annual Report Download - page 85

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UNITED PARCEL SERVICE, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
73
NOTE 3. PROPERTY, PLANT AND EQUIPMENT
Property, plant and equipment, including both owned assets as well as assets subject to capital leases, consists of the
following as of December 31 (in millions):
2013 2012
Vehicles $ 6,762 $ 6,344
Aircraft 15,772 15,164
Land 1,163 1,122
Buildings 3,260 3,138
Building and leasehold improvements 3,116 3,049
Plant equipment 7,221 7,010
Technology equipment 1,569 1,675
Equipment under operating leases 44 69
Construction-in-progress 244 470
39,151 38,041
Less: Accumulated depreciation and amortization (21,190)(20,147)
$ 17,961 $ 17,894
We continually monitor our aircraft fleet utilization in light of current and projected volume levels, aircraft fuel prices and
other factors. Additionally, we monitor our other property, plant and equipment categories for any indicators that the carrying
value of the assets may not be recoverable. In 2013, 2012 and 2011, there were no indicators of impairment in our property,
plant and equipment, and no impairment charges were recorded in any period presented.
NOTE 4. COMPANY-SPONSORED EMPLOYEE BENEFIT PLANS
We sponsor various retirement and pension plans, including defined benefit and defined contribution plans which cover
our employees worldwide.
U.S. Pension Benefits
In the U.S. we maintain the following single-employer defined benefit pension plans: UPS Retirement Plan, UPS Pension
Plan, UPS IBT Pension Plan and the UPS Excess Coordinating Benefit Plan, a non-qualified plan.
The UPS Retirement Plan is noncontributory and includes substantially all eligible employees of participating domestic
subsidiaries who are not members of a collective bargaining unit, as well as certain employees covered by a collective
bargaining agreement. This plan generally provides for retirement benefits based on average compensation levels earned by
employees prior to retirement. Benefits payable under this plan are subject to maximum compensation limits and the annual
benefit limits for a tax qualified defined benefit plan as prescribed by the Internal Revenue Service (“IRS”).
The UPS Excess Coordinating Benefit Plan is a non-qualified plan that provides benefits to certain participants in the
UPS Retirement Plan for amounts that exceed the benefit limits described above.
The UPS Pension Plan is noncontributory and includes certain eligible employees of participating domestic subsidiaries
and members of collective bargaining units that elect to participate in the plan. This plan generally provides for retirement
benefits based on service credits earned by employees prior to retirement.
The UPS IBT Pension Plan is noncontributory and includes employees that were previously members of the Central
States, Southeast and Southwest Areas Pension Fund (“Central States Pension Fund”), a multiemployer pension plan, in
addition to other eligible employees who are covered under certain collective bargaining agreements. This plan generally
provides for retirement benefits based on service credits earned by employees prior to retirement.