Item 5. Market for Registrant’s Common Equity
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. Our class B common stock is listed on the New York Stock Exchange under the symbol “UPS”.
As of February 3, 2023, there were 162,173 and 20,119 shareowners of record of class A and class B common stock, respectively.
Our practice has been to pay dividends on a quarterly basis. 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 January 25, 2023, our Board declared a dividend of $1.62 per share, which is payable on March 10, 2023 to shareowners of record on February 21, 2023.
A summary of repurchases of our class B common stock during the fourth quarter of 2022 is as follows (in millions, except per share amounts):
Total Number of Shares Purchased (1)
Average Price Paid Per Share Total Number of Shares Purchased as Part of a Publicly Announced Program Approximate Dollar Value of Shares that May Yet be Purchased Under the Program
October 1 - October 31, 2022 0.6 $ 165.02 0.6 $ 2,210
November 1 - November 30, 2022 0.8 171.39 0.8 2,073
December 1 - December 31, 2022 6.0 180.57 6.0 $ 1,000
Total October 1 - December 31, 2022 7.4 $ 178.33 7.4
(1) Includes shares repurchased through our publicly announced share repurchase programs and shares tendered to pay the exercise price and tax withholding on employee stock options.
In August 2021, the Board of Directors approved a share repurchase authorization of $5.0 billion of class A and class B common stock. During the year ended December 31, 2022, we repurchased 19.0 million shares of class B common stock for $3.5 billion under this program. We had approximately $1.0 billion available under this authorization as of December 31, 2022.
In January 2023, the Board of Directors terminated this authorization and approved a new share repurchase authorization of $5.0 billion for class A and class B common stock. We anticipate repurchasing approximately $3.0 billion in shares in 2023.
For additional information on our share repurchase activities, see note 12 to the audited, consolidated financial statements.
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Shareowner Return Performance Graph
The following performance graph and related information shall not be deemed “soliciting material” or to be “filed” with the SEC, nor shall such information be incorporated by reference into any future filing under the Securities Act of 1933 or Securities Exchange Act of 1934, each as amended, except to the extent that the Company specifically incorporates such information by reference into such filing.
The following graph shows a five-year comparison of cumulative total shareowners’ returns for our class B common stock, the Standard & Poor’s 500 Index and the Dow Jones Transportation Average. The comparison of the total cumulative return on investment, which is the change in the stock price plus reinvested dividends for each of the quarterly periods, assumes that $100 was invested on December 31, 2017 in the Standard & Poor’s 500 Index, the Dow Jones Transportation Average and our class B common stock.
12/31/2017 12/31/2018 12/31/2019 12/31/2020 12/31/2021 12/31/2022
United Parcel Service, Inc. $ 100.00 $ 84.52 $ 106.07 $ 157.72 $ 205.07 $ 171.71
Standard & Poor’s 500 Index $ 100.00 $ 95.61 $ 126.79 $ 150.11 $ 193.16 $ 158.14
Dow Jones Transportation Average $ 100.00 $ 87.67 $ 106.65 $ 124.27 $ 165.54 $ 136.36
For information regarding our equity compensation plans, see Item 12 of this report.
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Item 6. [Reserved]
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