The company acquired MNX Global Logistics, a time-critical logistics provider, and Happy Returns, an end-to-end return service provider, to expand its service offerings and reach new markets, particularly in healthcare and e-commerce returns.

The company is focused on enhancing customer engagement through its Digital Access Program and deploying Smart Package and Smart Facility technology to reach new markets and better serve current customers.

The company is exploring strategic alternatives for its truckload brokerage business and reducing headcount through a 'fit to serve' initiative to create a more efficient operating model and enhance responsiveness to changing market dynamics.

The company implemented various productivity initiatives and cost reductions, which partially offset the impact of revenue declines, particularly through reduced purchased transportation and fuel expenses.

The new national master agreement with the Teamsters union will increase union labor costs at a 3.3% compounded annual growth rate over the next five years, with the majority of the increase in the first and fifth years, impacting profitability.

Management is taking actions to right-size the business, including exploring strategic alternatives for the truckload brokerage business and reducing headcount, in response to a challenging external environment.

The company's operations are subject to national and international economic factors, as well as local economic environments, and are impacted by geopolitical uncertainty and conflicts, which could materially affect the business.

The company faces significant competition from various logistics providers, postal services, and e-commerce companies, and the industry is rapidly evolving with demands for faster deliveries and new services.

The company relies on IT networks and systems, which are susceptible to damage, disruptions, and cyber-attacks, and faces increasing regulatory scrutiny regarding data protection, which could materially adversely affect the business.

The company believes its integrated global air and ground network and broad portfolio of services provide a competitive advantage, enabling it to efficiently serve a wide range of customers.

The company's brand equity and focus on building long-term customer relationships, including value-added services and digital tools, are important to customer retention and growth.

The company acknowledges that transportation market growth may further increase competition, potentially leading to competitors improving their financial capacity and strengthening their competitive positions.

Operating expenses decreased year-over-year, primarily due to a reduction in purchased transportation, fuel expenses, and the impact of productivity initiatives, which were partially offset by increased labor costs.

Despite the decrease in operating expenses, total cost per piece increased 5.2% for the year and adjusted cost per piece increased 5.7%, driven by overall reductions in volume while maintaining industry-leading service levels.

The company is focused on reducing headcount through its 'fit to serve' initiative and exploring strategic alternatives for its truckload brokerage business to create a more efficient operating model.

The company continues to invest in digital technology and automation to improve network efficiency, asset utilization, and end-to-end shipment visibility.

The company is deploying its Smart Package and Smart Facility technology within U.S. small package operations to optimize network efficiency and enhance end-to-end shipment visibility.

The company's Digital Access Program, which embeds shipping solutions into e-commerce platforms, is enabling it to more broadly reach small and medium-sized businesses and e-commerce markets.

The company repurchased 12.3 million shares of class B common stock for $2.2 billion under its share repurchase authorization during 2023, signaling confidence in its future cash flow generation.

The company's capital expenditures are focused on network enhancements, capacity expansion projects, and technology initiatives, including investments in digital capabilities and network automation.

The company continues to pay dividends on a quarterly basis, with a dividend of $1.63 per share declared in January 2024, demonstrating its commitment to returning capital to shareholders.

The company has made public statements regarding its intention to achieve carbon neutrality in its global operations by 2050, and has set other short- and mid-term environmental sustainability goals.

The company is investing in renewable energy projects and alternative fuel vehicles to reduce its carbon footprint, although the availability of sustainable solutions is outside of its control.

The company acknowledges that increasingly stringent regulations related to climate change, including reporting obligations, could materially increase operating costs.

The company's performance is impacted by macroeconomic headwinds, including inflationary pressures and changes in consumer behavior, as well as geopolitical tensions, which drove a decline in demand for small package services in Europe and Asia.

The company expects global economic conditions to improve gradually during 2024, and therefore expects volume and revenue growth to increase in the second half of the year.

The company is subject to numerous laws and regulations, including those related to data privacy and cybersecurity, and continued compliance may result in increased costs and potential fines.