1、Thursday,May 2,2024|8:00 a.m.Eastern T O T I C E O F A N N U A L M E E T I N G?of Shareowners andProxy Statement2 0 2 3 A N N U A L R E P O R T O N F O R M 1 0-KAt the beginning of the year,I said 2023 was going to be a year of resiliency,and that turned out to be true.We faced challenging external

2、business conditions that led to declining volume,revenue and operating profit in all lines of our business.Im proud of the efforts of our nearly 500,000 employees for navigating through these challenges.Throughout 2023,we operated with speed and agility,controlled what we could control,and stayed on

3、 strategy.Here are some highlights from the year:Delivered excellent service to our customers around the globe,anchored by the best on-time performance of any carrier in the U.S.for the sixth year in a row.Grew small and medium-sized business(SMB)penetration to 28.6%of total U.S.volume,driven by con

4、tinued expansion of DAP,our Digital Access Program,and the convenience of The UPS Store.Generated$10 billion in healthcare revenue across our three business segments;topped 17 million square feet of healthcare-compliant distribution space and acquired MNX Global Logistics,expanding our cold chain ca

5、pabilities.Delivered a win-win-win labor agreement for our Teamster employees with a wage and benefit compounded annual growth rate increase of 3.3%over the five-year life of the contract,providing certainty for UPS and our customers.Completed phase one of Smart Package Smart Facility,our RFID solut

6、ion,in more than 1,000 buildings in the U.S.,reducing misloads by 67%.Acquired Happy Returns,enhancing our no-box,no-label,consolidated returns capabilities.Generated$91 billion in consolidated revenue with a consolidated adjusted operating profit margin of 10.9%*.Generated$5.3 billion in free cash