How have UPS and FedEx performed financially? Based on the financials provided how do which firm do you see performing better? Explain with supporting evidence.

FEDEX CORP. VERSUS UNITED PARCEL SERVICE OF NORTH AMERICA, INC.
FedEx Financial and Operating Summary
	2000	2001	2002	2003	2004	2005
Activity Analysis
Average days outstanding	50.92	46.60	44.12	42.64	44.71	40.98		Receivables/Sales 365
Working capital turnover	46.37	98.37	28.50	37.11	103.82	54.88		Sales/(Current Assets Current Liab.)
Fixed assets turnover	2.58	2.42	2.48	2.58	2.73	3.05		Sales/Fixed Assets
Total asset turnover	1.58	1.47	1.49	1.46	1.29	1.44		Sales/Total Assets
Liquidity Analysis
Current ratio	1.14	1.06	1.25	1.18	1.05	1.11		Current Assets/Current Liab.
Cash ratio	0.02	0.04	0.11	0.16	0.22	0.22		(Cash + Mkt Securities)/Curr. Liab.
Leverage
Debt/equity ratio	0.37	0.36	0.28	0.28	0.45	0.29		Total Debt/Total Equity
Leverage	2.41	2.26	2.11	2.11	2.38	2.13		Total Assets/Stockholder Equity
Times interest earned	7.83	6.58	6.98	10.51	9.80	13.58		EBIT/Interest
Fixed-charge coverage ratio	0.72	0.65	0.61	0.83	0.78	1.12		EBIT/(Interest + Rental Expense)
Growth	1999-2000	2000-01	2001-02	2002-03	2003-04	2004-05
Sales	8.84%	7.52%	4.98%	9.12%	9.89%	18.83%
Book assets	8.25%	15.73%	3.54%	11.39%	24.37%	6.64%
Net income	9.03%	(15.10%)	21.50%	16.90%	0.96%	72.91%
EBIT	4.99%	(2.14%)	(0.16%)	23.30%	(2.11%)	71.60%
Profitability
Return on Assets	5.97%	4.38%	5.14%	5.39%	4.38%	7.10%		Net Income/Total Assets
Return on Equity	14.38%	9.90%	10.85%	11.39%	10.43%	15.11%		Net Income/Stockholder Equity
Profit Margin	3.77%	2.98%	3.45%	3.69%	3.39%	4.93%		Net Income/Sales
Selected Income Statement Data (in millions of dollars)
Salesnet	18,257	19,629	20,607	22,487	24,710	29,363
Rental expense	1,539	1,650	1,780	1,629	1,703	2,028
EBIT	1,221	1,195	1,193	1,471	1,440	2,471
Interest expense	156	182	171	140	147	182
Net income (loss)	688	584	710	830	838	1,449
Selected Balance Sheet Data (in millions of dollars)
Cash and marketable securities	68	121	331	538	1,046	1,039
Receivables	2,547	2,506	2,491	2,627	3,027	3,297
Current assets	3,285	3,449	3,665	3,941	4,970	5,269
Current liabilities	2,891	3,250	2,942	3,335	4,732	4,734
Fixed assets (PP&E)	7,084	8,100	8,302	8,700	9,037	9,643
Debt	1,783	2,122	1,806	2,017	3,587	2,796
Stockholders' equity	4,785	5,900	6,545	7,288	8,036	9,588
Total assets	11,527	13,340	13,812	15,385	19,134	20,404

UPS Financial and Operating Summary
	2000	2001	2002	2003	2004	2005
Activity Analysis
Average days outstanding	50.76	57.00	53.97	52.80	51.44	49.23		Receivables/Sales 365
Working capital turnover	11.35	10.33	9.82	7.72	5.98	10.11		Sales/(Current Assets Current Liab.)
Fixed assets turnover	2.41	2.28	2.30	2.41	2.62	2.79		Sales/Fixed Assets
Total asset turnover	1.37	1.24	1.19	1.16	1.11	1.22		Sales/Total Assets
Liquidity Analysis
Current ratio	1.58	1.64	1.57	1.79	1.94	1.65		Current Assets/Current Liab.
Cash ratio	0.43	0.35	0.54	0.72	0.80	0.47		(Cash + Mkt Securities)/Curr. Liab.
Leverage
Debt/equity ratio	0.37	0.50	0.37	0.26	0.27	0.24		Total Debt/Total Equity
Leverage	2.23	2.40	2.12	1.95	2.02	2.07		Total Assets/Stockholder Equity
Times interest earned	19.58	16.83	23.15	36.41	33.48	35.72		EBIT/Interest
Fixed-charge coverage ratio	19.58	16.83	23.15	36.41	33.48	35.72		EBIT/(Interest + Rental Expense)
Growth	1999-2000	2000-01	2001-02	2002-03	2003-04	2004-05
Sales	10.05%	2.94%	2.04%	7.08%	9.25%	16.40%
Book assets	(5.99%)	13.73%	6.99%	9.68%	14.24%	5.82%
Net income	232.28%	(18.23%)	32.64%	(8.93%)	15.01%	16.11%
EBIT	13.39%	(14.02%)	3.01%	10.01%	13.23%	23.13%
Profitability
Return on assets	13.54%	9.74%	12.07%	10.02%	10.09%	11.07%		Net Income/Total Assets
Return on equity	30.14%	23.41%	25.55%	19.51%	20.35%	22.92%		Net Income/Stockholder Equity
Profit margin	9.86%	7.83%	10.18%	8.65%	9.11%	9.09%		Net Income/Sales
Selected Income Statement Data (in millions of dollars)
Salesnet	29,771	30,646	31,272	33,485	36,582	42,581
Rental expense	0	0	0	0	0	0
EBIT	4,522	3,888	4,005	4,406	4,989	6,143
Interest expense	231	231	173	121	149	172
Net income (Loss)	2,934	2,399	3,182	2,898	3,333	3,870
Selected Balance Sheet Data (in millions of dollars)
Cash and marketable securities	1,952	1,616	3,014	3,952	5,197	3,041
Receivables	4,140	4,786	4,624	4,844	5,156	5,743
Current assets	7,124	7,597	8,738	9,853	12,605	10,728
Current liabilities	4,501	4,629	5,555	5,518	6,483	6,518
Fixed assets (PF&E)	12,329	13,438	13,612	13,908	13,973	15,289
Debt	3,604	5,166	4,602	3,823	4,448	3,980
Stockholders' equity	9,735	10,248	12,455	14,852	16,378	16,884
Total assets	21,662	24,636	26,357	28,909	33,026	34,947

FEDEX CORP. VERSUS UNITED PARCEL SERVICE OF AMERICA, INC.
Geographic Segment Information(a)
(in millions of dollars)
FedEx	2000	2001	2002	2003	2004	2005
U.S. domestic
Revenue	13,805	14,858	15,968	17,277	18,643	22,146
Identifiable assets	7,224	8,637	8,627	9,908	12,644	13,020
International
Revenue	4,452	4,771	4,639	5,210	6,067	7,217
Identifiable assets	1,018	1,254	1,520	1,536	1,520	2,115
Consolidated
Revenue	18,257	19,629	20,607	22,487	24,710	29,363
Identifiable assets	8,242	9,891	10,147	11,444	14,164	15,135
UPS	2000	2001	2002	2003	2004	2005
U.S. domestic
Revenue	26,325	26,163	26,284	26,968	28,035	31,871
Identifiable assets	12,477	13,717	14,129	14,915	15,971	19,704
International
Revenue	3,446	4,158	4,988	6,517	8,547	10,710
Identifiable assets	2,061	3,050	2,874	3,567	3,975	4,044
Consolidated
Revenue	29,771	30,321	31,272	33,485	36,582	42,581
Identifiable assets	14,538	16,767	17,003	18,482	19,946	23,748