According to the article: UPS "now expects its adjusted operating margin this year to be 11.8%, down from 12.8% expected in May. The drop also reflects a fall i

According to the article: UPS "now expects its adjusted operating margin this year to be 11.8%, down from 12.8% expected in May. The drop also reflects a fall in shipments as the economy weakens." Their shipping prices are determined by what the market will pay and their competitors prices. Employee compensation affects UPS profit/stock price.