Trefis--United Parcel Service (NYSE:UPS) posted lower revenues and earnings in the third quarter despite an increase in the shipping volume. The growth in low-priced ground and deferred services particularly in domestic U.S. package delivery segment was more than offset by decline in average revenue per package.

Revenues were $13.07 billion, marginally lower on a y-o-y basis and earnings were $0.48 per share down 56% y-o-y in the three months ended September 30, 2012. [1] Earnings were impacted by a one-time pre-tax charge of $896 million related to pension restructuring. However, in spite of softness in international trade and global economic headwinds UPS maintained its full year adjusted earnings outlook in the range $4.55 to $4.65 per share, up 5% to 7% on an y-o-y basis. [1]

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