Expeditors International of Washington (EXPD) 10-Q 6 Aug 20 2020 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2020	Aug. 03, 2020
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2020
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Trading Symbol	EXPD
Entity Registrant Name	EXPEDITORS INTERNATIONAL OF WASHINGTON, INC.
Entity Central Index Key	0000746515
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		167,659,204
Entity File Number	0-13468
Entity Tax Identification Number	91-1069248
Entity Address, Address Line One	1015 Third Avenue
Entity Address, City or Town	Seattle
Entity Address, State or Province	WA
Entity Address, Postal Zip Code	98104
City Area Code	206
Local Phone Number	674-3400
Entity Interactive Data Current	Yes
Title of 12(b) Security	Common Stock, par value $0.01 per share
Security Exchange Name	NASDAQ
Entity Incorporation, State or Country Code	WA
Document Quarterly Report	true
Document Transition Report	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Current Assets:
Cash and cash equivalents	$ 1,180,455	$ 1,230,491
Accounts receivable, less allowance for credit loss of $5,347 at June 30, 2020 and $11,143 at December 31, 2019	1,460,324	1,315,091
Deferred contract costs	147,932	131,783
Other	69,560	92,558
Total current assets	2,858,271	2,769,923
Property and equipment, less accumulated depreciation and amortization of $494,773 at June 30, 2020 and $478,906 at December 31, 2019	497,762	499,344
Operating lease right-of-use assets	424,516	390,035
Goodwill	7,927	7,927
Deferred federal and state income taxes, net	5,300	8,034
Other assets, net	16,401	16,621
Total assets	3,810,177	3,691,884
Current Liabilities:
Accounts payable	755,971	735,695
Accrued expenses, primarily salaries and related costs	257,923	189,446
Contract liabilities	172,148	154,183
Current portion of operating lease liabilities	69,740	65,367
Federal, state and foreign income taxes	32,287	23,627
Total current liabilities	1,288,069	1,168,318
Noncurrent portion of operating lease liabilities	360,510	326,347
Commitments and contingencies
Shareholders’ Equity:
Preferred stock, none issued	0	0
Common stock, par value $0.01 per share. Issued and outstanding: 166,816 shares at June 30, 2020 and 169,622 shares at December 31, 2019	1,668	1,696
Additional paid-in capital	12,221	3,203
Retained earnings	2,298,387	2,321,316
Accumulated other comprehensive loss	(153,158)	(131,187)
Total shareholders’ equity	2,159,118	2,195,028
Noncontrolling interest	2,480	2,191
Total equity	2,161,598	2,197,219
Total liabilities and equity	$ 3,810,177	$ 3,691,884

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Statement Of Financial Position [Abstract]
Accounts receivable, allowance for credit loss	$ 5,347	$ 11,143
Property and equipment, accumulated depreciation	$ 494,773	$ 478,906
Preferred stock, shares issued	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares issued	166,816	169,622
Common stock, shares outstanding	166,816	169,622

Condensed Consolidated Statemen

Condensed Consolidated Statements of Earnings - USD ($) shares in Thousands, $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenues:
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	$ 2,580,632	$ 2,035,579	$ 4,482,496	$ 4,055,630
Operating Expenses:
Direct Operating Costs	[2]	1,831,041	1,373,884	3,117,769	2,739,821
Salaries and related		395,107	356,351	737,147	713,261
Rent and occupancy		41,375	40,897	83,899	82,420
Depreciation and amortization		14,109	12,677	26,769	26,070
Selling and promotion		3,113	11,643	11,356	22,719
Other		48,261	47,926	98,875	91,537
Total operating expenses		2,333,006	1,843,378	4,075,815	3,675,828
Operating income		247,626	192,201	406,681	379,802
Other Income (Expense):
Interest income		2,559	6,516	7,366	12,622
Other, net		797	2,262	4,181	3,927
Other income, net		3,356	8,778	11,547	16,549
Earnings before income taxes		250,982	200,979	418,228	396,351
Income tax expense		66,794	47,449	111,258	102,710
Net earnings		184,188	153,530	306,970	293,641
Less net earnings attributable to the noncontrolling interest		319	381	757	793
Net earnings attributable to shareholders		$ 183,869	$ 153,149	$ 306,213	$ 292,848
Diluted earnings attributable to shareholders per share		$ 1.09	$ 0.88	$ 1.80	$ 1.67
Basic earnings attributable to shareholders per share		$ 1.10	$ 0.90	$ 1.83	$ 1.71
Weighted average diluted shares outstanding		169,290	174,466	170,382	174,953
Weighted average basic shares outstanding		166,767	171,003	167,751	171,425
Airfreight services
Revenues:
Revenue from Contract with Customer, Excluding Assessed Tax		$ 1,434,590	$ 741,577	$ 2,143,629	$ 1,456,478
Operating Expenses:
Direct Operating Costs		1,097,073	542,639	1,617,242	1,051,849
Ocean freight and ocean services
Revenues:
Revenue from Contract with Customer, Excluding Assessed Tax		491,712	543,809	985,139	1,112,450
Operating Expenses:
Direct Operating Costs		363,599	390,299	730,082	810,630
Customs brokerage and other services
Revenues:
Revenue from Contract with Customer, Excluding Assessed Tax		654,330	750,193	1,353,728	1,486,702
Operating Expenses:
Direct Operating Costs		$ 370,369	$ 440,946	$ 770,445	$ 877,342
[1]	Beginning in the second quarter of 2019, the Company revised its process to record the transfer, between its geographic operating segments, of revenues and the directly related cost of transportation and other expenses for freight service transactions between Company origin and destination locations. This change better aligns revenue reporting with the location where the services are performed, as well as the transactional reporting being developed as part of the Company’s new accounting systems and processes. The change in presentation had no impact on consolidated or segment operating income. The impact of these changes on reported segment revenues was immaterial and in the six months ended June 30, 2019, segment revenues have not been revised.
[2]	Directly related cost of transportation and other expenses totals operating expenses from airfreight services, ocean freight and ocean services and customs brokerage and other services as shown in the condensed consolidated statements of earnings

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Statement Of Income And Comprehensive Income [Abstract]
Net earnings	$ 184,188	$ 153,530	$ 306,970	$ 293,641
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments, net of tax (benefit) expense of $(5,148) and $(82) for the three months ended June 30, 2020 and 2019 and $(3,974) and $439 for the six months ended June 30, 2020 and 2019	16,410	(769)	(22,439)	596
Reclassification adjustments for foreign currency realized losses, net of tax of $145 for the three and six months ended June 30, 2019	0	535	0	535
Other comprehensive income (loss)	16,410	(234)	(22,439)	1,131
Comprehensive income	200,598	153,296	284,531	294,772
Less comprehensive income attributable to the noncontrolling interest	141	257	289	539
Comprehensive income attributable to shareholders	$ 200,457	$ 153,039	$ 284,242	$ 294,233

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Other Comprehensive Income Loss Tax Parenthetical Disclosures [Abstract]
Foreign currency translation adjustments, tax (benefit) expense	$ (5,148)	$ (82)	$ (3,974)	$ 439
Reclassification Adjustment from foreign currency realized losses, tax		$ (145)		$ (145)

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Operating Activities:
Net earnings	$ 184,188	$ 153,530	$ 306,970	$ 293,641
Adjustments to reconcile net earnings to net cash from operating activities:
Provisions for losses (recoveries) on accounts receivable	2,389	1,584	4,209	(304)
Deferred income tax expense	9,287	3,697	4,148	5,805
Stock compensation expense	21,638	23,824	32,794	37,206
Depreciation and amortization	14,109	12,677	26,769	26,070
Other, net	118	(29)	551	160
Changes in operating assets and liabilities:
(Increase) decrease in accounts receivable	(185,055)	(28,187)	(168,375)	202,290
Increase (decrease) in accounts payable and accrued expenses	106,760	39,900	107,677	(82,383)
(Increase) decrease in deferred contract costs	(2,333)	(13,010)	(18,401)	18,249
(Decrease) increase in contract liabilities	(595)	13,003	20,606	(23,722)
Increase (decrease) in income taxes payable, net	20,154	(49,606)	30,642	(32,613)
Decrease (increase) in other, net	16,061	(1,676)	4,131	791
Net cash from operating activities	186,721	155,707	351,721	445,190
Investing Activities:
Purchase of property and equipment	(22,114)	(12,987)	(28,241)	(22,422)
Other, net	(68)	1,038	(211)	1,293
Net cash from investing activities	(22,182)	(11,949)	(28,452)	(21,129)
Financing Activities:
Proceeds from issuance of common stock	29,187	32,287	52,586	59,477
Repurchases of common stock	(30,985)	(190,589)	(314,225)	(234,923)
Dividends Paid	(86,815)	(85,184)	(86,815)	(85,184)
Payments for taxes related to net share settlement of equity awards	(9,170)	(6,674)	(10,566)	(6,674)
Net cash from financing activities	(97,783)	(250,160)	(359,020)	(267,304)
Effect of exchange rate changes on cash and cash equivalents	1,726	(377)	(14,285)	2,158
Change in cash and cash equivalents	68,482	(106,779)	(50,036)	158,915
Cash and cash equivalents at beginning of period	1,111,973	1,189,429	1,230,491	923,735
Cash and cash equivalents at end of period	1,180,455	1,082,650	1,180,455	1,082,650
Taxes Paid:
Income taxes	$ 38,504	$ 97,715	$ 73,808	$ 134,968

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Equity - USD ($) shares in Thousands, $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	Common Stock	Additional paid-in capital	Retained earnings	Retained earningsCumulative Effect, Period of Adoption, Adjustment	Accumulated other comprehensive loss	Total shareholders' equity	Total shareholders' equityCumulative Effect, Period of Adoption, Adjustment	Noncontrolling interest
Balance at Dec. 31, 2018	$ 1,987,720		$ 1,716	$ 1,896	$ 2,088,707		$ (105,481)	$ 1,986,838		$ 882
Balance (in shares) at Dec. 31, 2018			171,582
Balance at Mar. 31, 2019	2,125,434		$ 1,716	3,978	2,222,562		(103,986)	2,124,270		1,164
Balance (in shares) at Mar. 31, 2019			171,648
Balance at Dec. 31, 2018	1,987,720		$ 1,716	1,896	2,088,707		(105,481)	1,986,838		882
Balance (in shares) at Dec. 31, 2018			171,582
Increase (Decrease) in Equity [Roll Forward]
Shares issued under employee stock plans	52,803		$ 17	52,786				52,803
Shares issued under employee stock plans (in shares)			1,656
Shares repurchased under provisions of stock repurchase plan	(234,923)		$ (32)	(79,858)	(155,033)			(234,923)
Shares repurchased under provisions of stock repurchase plans (in shares)			(3,198)
Stock compensation expense	37,206			37,206				37,206
Net earnings	293,641				292,848			292,848		793
Other comprehensive income (loss)	1,131						1,385	1,385		(254)
Dividends paid	(85,184)			403	(85,587)			(85,184)
Balance at Jun. 30, 2019	2,052,394		$ 1,701	12,433	2,140,935		(104,096)	2,050,973		1,421
Balance (in shares) at Jun. 30, 2019			170,040
Balance at Mar. 31, 2019	2,125,434		$ 1,716	3,978	2,222,562		(103,986)	2,124,270		1,164
Balance (in shares) at Mar. 31, 2019			171,648
Increase (Decrease) in Equity [Roll Forward]
Shares issued under employee stock plans	25,613		$ 11	25,602				25,613
Shares issued under employee stock plans (in shares)			1,002
Shares repurchased under provisions of stock repurchase plan	(190,589)		$ (26)	(41,374)	(149,189)			(190,589)
Shares repurchased under provisions of stock repurchase plans (in shares)			(2,610)
Stock compensation expense	23,824			23,824				23,824
Net earnings	153,530				153,149			153,149		381
Other comprehensive income (loss)	(234)						(110)	(110)		(124)
Dividends paid	(85,184)			403	(85,587)			(85,184)
Balance at Jun. 30, 2019	2,052,394		$ 1,701	12,433	2,140,935		(104,096)	2,050,973		1,421
Balance (in shares) at Jun. 30, 2019			170,040
Balance at Dec. 31, 2019	$ 2,197,219	$ 6,074	$ 1,696	3,203	2,321,316	$ 6,074	(131,187)	2,195,028	$ 6,074	2,191
Balance (in shares) at Dec. 31, 2019	169,622		169,622
Increase (Decrease) in Equity [Roll Forward]
Shares issued under employee stock plans	$ 42,020		$ 16	42,004				42,020
Shares issued under employee stock plans (in shares)			1,594
Shares repurchased under provisions of stock repurchase plan	(314,225)		$ (44)	(66,780)	(247,401)			(314,225)
Shares repurchased under provisions of stock repurchase plans (in shares)			(4,400)
Stock compensation expense	32,794			32,794				32,794
Net earnings	306,970				306,213			306,213		757
Other comprehensive income (loss)	(22,439)						(21,971)	(21,971)		(468)
Dividends paid	(86,815)			1,000	(87,815)			(86,815)
Balance at Jun. 30, 2020	$ 2,161,598		$ 1,668	12,221	2,298,387		(153,158)	2,159,118		2,480
Balance (in shares) at Jun. 30, 2020	166,816		166,816
Balance at Mar. 31, 2020	$ 2,037,145		$ 1,662	682	2,202,208		(169,746)	2,034,806		2,339
Balance (in shares) at Mar. 31, 2020			166,193
Increase (Decrease) in Equity [Roll Forward]
Shares issued under employee stock plans	20,017		$ 10	20,007				20,017
Shares issued under employee stock plans (in shares)			1,023
Shares repurchased under provisions of stock repurchase plan	(30,985)		$ (4)	(30,981)				(30,985)
Shares repurchased under provisions of stock repurchase plans (in shares)			(400)
Stock compensation expense	21,638			21,638				21,638
Net earnings	184,188				183,869			183,869		319
Other comprehensive income (loss)	16,410						16,588	16,588		(178)
Dividends paid	(86,815)			875	(87,690)			(86,815)
Balance at Jun. 30, 2020	$ 2,161,598		$ 1,668	$ 12,221	$ 2,298,387		$ (153,158)	$ 2,159,118		$ 2,480
Balance (in shares) at Jun. 30, 2020	166,816		166,816

Consolidated Statements of Equi

Consolidated Statements of Equity (Parenthetical) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Statement Of Stockholders Equity [Abstract]
Dividends paid, per share	$ 0.52	$ 0.50	$ 0.52	$ 0.50

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 1. Summary of Significant Accounting Policies A. Basis of Presentation Expeditors International of Washington, Inc. (the Company) is a non-asset based provider of global logistics services operating through a worldwide network of offices and exclusive or non-exclusive agents. The Company’s customers include retailing and wholesaling, electronics, industrial and manufacturing companies around the world. The condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. As a result, certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (U.S. GAAP) have been condensed or omitted. The Company believes that the disclosures made are adequate to make the information presented not misleading. The condensed consolidated financial statements reflect all adjustments, consisting of normal recurring items, which are, in the opinion of management, necessary for a fair statement of the results for the interim periods presented. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in the Company's Form 10-K as filed with the Securities and Exchange Commission on February 21, 2020. All significant intercompany accounts and transactions have been eliminated in consolidation. All dollar amounts in the notes are presented in thousands except for per share data or unless otherwise specified. B. Revenue Recognition The Company derives its revenues by entering into agreements that are generally comprised of a single performance obligation, which is that freight is shipped for and received by the customer. The Company's three principal services are the revenue categories presented in the condensed consolidated statements of earnings: 1) airfreight services, 2) ocean freight and ocean services, and 3) customs brokerage and other services. The Company typically satisfies its performance obligations as services are rendered over time. A typical shipment would include services rendered at origin, such as pick-up and delivery to port, freight services from origin to destination port and destination services, such as customs clearance and final delivery. The Company measures the performance of its obligations as services are completed over the life of a shipment, including services at origin, freight and destination. The Company fulfills nearly all of its performance obligations within a one to two month-period and contracts with customers have an original expected duration of less than one year. The Company satisfied nearly all performance obligations for the contract liabilities recorded as of March 31, 2020. Beginning in the second quarter 2019, the Company revised its presentation for revenue transfers between its geographic operating segments and services rendered at the destination, which moved certain revenues and directly related operating expenses for air and ocean transactions to destination services within customs brokerage and other services. These changes better align revenue reporting with the location where the services are performed, as well as the transactional reporting being developed as part of the Company’s new accounting systems and processes. The change in presentation had no impact on consolidated or segment operating income. The impact on reported consolidated and segment total revenues and expenses for these changes was immaterial and six months ended June 30, 2019 presentation has not been revised. C. Leases The Company determines if an arrangement is a lease at inception. Right-of-use (ROU) assets represent the Company's right to use an underlying asset for the lease term, and lease liabilities represent the Company's obligation to make lease payments arising from the lease. All ROU assets and lease liabilities are recognized at the commencement date at the present value of lease payments over the lease term. ROU assets are adjusted for lease incentives and initial direct costs. The lease term includes renewal options exercisable at the Company's sole discretion when the Company is reasonably certain to exercise that option. As the Company's leases generally do not have an implicit rate, the Company uses an estimated incremental borrowing rate based on market information available at the commencement date to determine the present value. Certain of our leases include variable payments, which may vary based upon changes in facts or circumstances after the start of the lease. The Company excludes variable payments from ROU assets and lease liabilities, to the extent not considered fixed, and instead expense variable payments as incurred. Lease expense is recognized on a straight-line basis over the lease term and is included in rent and occupancy expenses on the condensed consolidated statement of earnings. D. Accounts Receivable Effective January 1, 2020, the Company adopted a new accounting standard update related to the measurement of credit losses on financial instruments. The adoption had an immaterial effect on the Company’s consolidated financial statements and disclosures. Under this new standard, the valuation allowance reduces a financial asset’s balance for credit losses expected to be incurred over the assets contractual term. The Company determined that this new guidance is applicable to its accounts receivable, which are short term and for which the Company has not historically experienced significant credit losses. The Company adopted this standard using the modified retrospective transition method resulting in a $6 million $5,347 Additions and write-offs have not been significant in the periods presented. E. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of the assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. The Company uses estimates primarily in the following areas: accounts receivable valuation, accrual of costs related to ancillary services the Company provides, accrual of liabilities for the portion of the related exposure that the Company has self-insured, accrual of various tax liabilities including estimates associated with the U.S. enacted Tax Cuts and Jobs Act (the 2017 Tax Act), accrual of loss contingencies, the allocation of the purchase price in a business combination, calculation of share-based compensation expense and estimates related to determining the lease term and discount rate when measuring ROU assets and lease liabilities. Actual results could be materially different from the estimated provisions and accruals recorded. F. Recent Accounting Pronouncement In December 2019, the FASB issued an ASU, which simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740. The ASU also clarifies and amends existing guidance to improve consistent application among reporting entities. This standard will become effective for the Company on January 1, 2021. The Company is currently evaluating the impact of this standard on its consolidated financial statements and disclosures.

Share-Based Compensation

Share-Based Compensation	6 Months Ended
	Jun. 30, 2020
Share Based Compensation [Abstract]
Share-Based Compensation	Note 2. Share-Based Compensation The Company has historically granted the majority of its share-based awards during the second quarter of each fiscal year. On May 5, 2020, shareholders approved the Amended and Restated 2017 Omnibus Incentive Plan (2017 Amended and Restated Plan), which made available 5.5 million shares of the Company’s common stock to be issued under all award types allowed by the 2017 Amended and Restated Plan. In the second quarter of 2020 and 2019, the Company awarded 459 and 462 restricted stock units (RSUs), respectively. The RSUs were granted at a weighted-average fair value of $72.90 in 2020 and $75.73 in 2019. The RSUs vest annually over 3 years The Company also awarded 95 and 96 performance stock units (PSUs) in the second quarter of 2020 and 2019, respectively. Outstanding PSUs include performance conditions to be finally measured in 2020, 2021 and 2022. The final number of PSUs will be determined using an adjustment factor of up to 2 times or down to 0.5 of the targeted PSU grant. If the minimum performance thresholds are not achieved, no shares will be issued. Each PSU will convert to one share of the Company's common stock upon vesting. The grant of employee stock purchase rights and the issuance of shares under the employee stock purchase plan are made in the third quarter of each fiscal year. No shares were issued under the employee stock purchase plan in the three and six months ended June 30, 2020 and 2019. The Company recognizes stock compensation expense based on the fair value of awards granted to employees and directors under the Company’s 2017 Amended and Restated Plan, stock option and employee stock purchase rights plans. This expense, adjusted for expected forfeitures, is recognized in net earnings on a straight-line basis over the service periods as salaries and related costs on the condensed consolidated statements of earnings. RSUs and PSUs awarded to certain employees meeting specific retirement eligibility criteria at the time of grant are expensed immediately as there is no substantive service period associated with those awards.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	Note 3. Income Taxes During 2020 and 2019, the Internal Revenue Service (IRS) and the U.S. Department of Treasury (Treasury) issued additional guidelines and clarifying regulations related to the implementation of the 2017 Tax Act. The Company expects that additional guidance may continue to be issued in future periods. As this guidance is issued, the Company will evaluate the information to determine whether any additional adjustments to its tax provisions are required. The 2017 Tax Act included provisions for Global Intangible Low-Taxed Income (GILTI) under which taxes on foreign income are imposed on the excess of a deemed return on tangible assets of certain foreign subsidiaries and for Base Erosion and Anti-Abuse Tax (BEAT) under which taxes are imposed on certain base eroding payments to affiliated foreign companies. The Company treats BEAT and GILTI as components of current income tax expense. For the three and six months ended June 30, 2020 and 2019, there was no BEAT expense and GILTI expense was insignificant. The Company’s consolidated effective income tax rate was 26.6% for the three and six months ended June 30, 2020, as compared to 23.6% and 25.9% The Company is subject to taxation in various states and many foreign jurisdictions including the People’s Republic of China, including Hong Kong, Taiwan, Vietnam, India, Mexico, Canada, Netherlands and the United Kingdom. The Company believes that its tax positions, including intercompany transfer pricing policies, are reasonable and consistently applied. The Company is under, or may be subject to, audit or examination and assessments by the relevant authorities in respect to these and any other jurisdictions primarily for years 2009 and thereafter. Sometimes audits result in proposed assessments where the ultimate resolution could result in significant additional tax, penalties and interest payments being required. The Company establishes liabilities when, despite its belief that the tax return positions are appropriate and consistent with tax law, it concludes that it may not be successful in realizing the tax position. In evaluating a tax position, the Company determines whether it is more likely than not that the position will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position and in consultation with qualified tax advisors. The total amount of the Company’s tax contingencies may increase in 2020. In addition, changes in state, federal, and foreign tax laws and changes in interpretations of these laws may increase the Company’s existing tax contingencies. The timing of the resolution of income tax examinations can be highly uncertain, and the amounts ultimately paid including interest and penalties, if any, upon resolution of the issues raised by the taxing authorities may differ from the amounts recorded. It is reasonably possible that within the next twelve months the Company may undergo further audits and examinations by various tax authorities and possibly may reach resolution related to income tax examinations in one or more jurisdictions. These assessments or settlements could result in changes to the Company’s contingencies related to positions on tax filings in future years. The estimate of any ultimate tax liability contains assumptions based on experiences, judgments about potential actions by taxing jurisdictions as well as judgments about the likely outcome of issues that have been raised by the taxing jurisdiction. Any interest and penalties expensed in relation to the underpayment of income taxes were insignificant for the three and six months ended June 30, 2020 and 2019. As discussed above, some elements of the recorded impacts of the 2017 Tax Act could be impacted by further legislative action as well as additional interpretations and guidance issued by the IRS or Treasury. As a result, the amount of income tax recorded in the future may differ, possibly materially. For further information and discussion of the potential impact of the 2017 Tax Act, refer to Note 7 to the consolidated financial statements in the Company's 2019 Annual Report on Form 10-K.

Basic and Diluted Earnings per

Basic and Diluted Earnings per Share	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Basic and Diluted Earnings per Share	Note 4. Basic and Diluted Earnings per Share Diluted earnings attributable to shareholders per share is computed using the weighted average number of common shares and dilutive potential common shares outstanding. Dilutive potential shares represent outstanding stock options, including purchase options under the Company's employee stock purchase plan, and unvested restricted stock units. Basic earnings attributable to shareholders per share is calculated using the weighted average number of common shares outstanding without taking into consideration dilutive potential common shares outstanding. The following table reconciles the numerator and the denominator of the basic and diluted per share computations for earnings attributable to shareholders: Three months ended June 30, Net earnings attributable to shareholders Weighted average shares Earnings per share 2020 Basic earnings attributable to shareholders $ 183,869 166,767 $ 1.10 Effect of dilutive potential common shares — 2,523 — Diluted earnings attributable to shareholders $ 183,869 169,290 $ 1.09 2019 Basic earnings attributable to shareholders $ 153,149 171,003 $ 0.90 Effect of dilutive potential common shares — 3,463 — Diluted earnings attributable to shareholders $ 153,149 174,466 $ 0.88 Six months ended June 30, Net earnings attributable to shareholders Weighted average shares Earnings per share 2020 Basic earnings attributable to shareholders $ 306,213 167,751 $ 1.83 Effect of dilutive potential common shares — 2,631 — Diluted earnings attributable to shareholders $ 306,213 170,382 $ 1.80 2019 Basic earnings attributable to shareholders $ 292,848 171,425 $ 1.71 Effect of dilutive potential common shares — 3,528 — Diluted earnings attributable to shareholders $ 292,848 174,953 $ 1.67 Substantially all outstanding potential common shares as of June 30, 2020 and 2019 were dilutive.

Shareholders' Equity

Shareholders' Equity	6 Months Ended
	Jun. 30, 2020
Stockholders Equity Note [Abstract]
Shareholders' Equity	Note 5. Shareholders' Equity The Company has a Discretionary Stock Repurchase Plan approved by the Board of Directors that authorizes management to reduce issued and outstanding common stock down to 160,000 shares. During the six months ended June 30, 2020, 4,400 shares were repurchased at an average price of $71.41 Accumulated other comprehensive loss consisted entirely of foreign currency translation adjustments, net of related income tax effects, for all the periods presented. On May 5, 2020, the Board of Directors declared a semi-annual dividend of $0.52 per share payable on June 15, 2020 to shareholders of record as of June 1, 2020. On May 7, 2019, the Board of Directors declared a semi-annual dividend of $0.50 per share payable on June 17, 2019 to shareholders of record as of June 3, 2019.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Fair Value of Financial Instruments	Note 6. Fair Value of Financial Instruments The Company’s financial instruments, other than cash, consist primarily of cash equivalents, accounts receivable, accounts payable and accrued expenses. The carrying value of these financial instruments approximates their fair value. All highly liquid investments with a maturity of three months or less at date of purchase are considered to be cash equivalents. Cash and cash equivalents consist of the following: June 30, 2020 December 31, 2019 Cost Fair Value Cost Fair Value Cash and Cash Equivalents: Cash and overnight deposits $ 576,740 $ 576,740 $ 417,456 $ 417,456 Corporate commercial paper 562,706 562,722 775,504 776,356 Time deposits 41,009 41,009 37,531 37,531 Total cash and cash equivalents $ 1,180,455 $ 1,180,471 $ 1,230,491 $ 1,231,343 The fair value of corporate commercial paper and time deposits is based on the use of market interest rates for identical or similar assets (Level 2 fair value measurement).

Contingencies

Contingencies	6 Months Ended
	Jun. 30, 2020
Loss Contingency [Abstract]
Contingencies	Note 7. Contingencies The Company is involved in claims, lawsuits, government investigations and other legal matters that arise in the ordinary course of business and are subject to inherent uncertainties. Currently, in management's opinion and based upon advice from legal advisors, none of these matters are expected to have a significant effect on the Company's operations, cash flows or financial position. As of June 30, 2020, the amounts accrued for these claims, lawsuits, government investigations and other legal matters are not significant to the Company's operations, cash flows or financial position. At this time, the Company is unable to estimate any additional loss or range of reasonably possible losses, if any, beyond the amounts recorded, that might result from the resolution of these matters.

Business Segment Information

Business Segment Information	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
Business Segment Information	Note 8. Business Segment Information The Company is organized functionally in geographic operating segments. Accordingly, management focuses its attention on revenues, directly related cost of transportation and other expenses for each of the Company’s three primary sources of revenue, salaries and other operating expenses, operating income, identifiable assets, capital expenditures and equity generated in each of these geographical areas when evaluating the effectiveness of geographic management. Transactions among the Company’s various offices are conducted using the same arms-length pricing methodologies the Company uses when its offices transact business with independent agents. Certain costs are allocated among the segments based on the relative value of the underlying services, which can include allocation based on actual costs incurred or estimated cost plus a profit margin. Financial information regarding the Company’s operations by geographic area is as follows: UNITED STATES OTHER NORTH AMERICA LATIN AMERICA NORTH ASIA SOUTH ASIA EUROPE MIDDLE EAST, AFRICA AND INDIA ELIMI- NATIONS CONSOLI- DATED For the three months ended June 30, 2020: Revenues 1 $ 639,231 74,314 37,553 1,117,058 224,313 387,430 101,611 (878 ) 2,580,632 Directly related cost of transportation and other expenses 2 $ 354,624 41,449 22,701 907,915 160,355 271,540 72,908 (451 ) 1,831,041 Salaries and other operating expenses 3 $ 207,703 25,283 12,112 97,171 39,184 95,757 25,188 (433 ) 501,965 Operating income $ 76,904 7,582 2,740 111,972 24,774 20,133 3,515 6 247,626 Identifiable assets at period end $ 1,886,463 170,873 72,912 669,335 213,007 581,988 221,381 (5,782 ) 3,810,177 Capital expenditures $ 19,076 1,148 216 385 182 993 114 — 22,114 Equity $ 1,399,124 71,165 29,758 306,022 108,777 168,060 116,279 (37,587 ) 2,161,598 For the three months ended June 30, 2019: Revenues 1 $ 681,076 85,537 38,757 621,951 181,380 319,331 108,311 (764 ) 2,035,579 Directly related cost of transportation and other expenses 2 $ 386,093 50,336 22,043 487,554 132,487 220,676 75,089 (394 ) 1,373,884 Salaries and other operating expenses 3 $ 207,060 26,343 14,368 69,944 33,380 89,340 29,423 (364 ) 469,494 Operating income $ 87,923 8,858 2,346 64,453 15,513 9,315 3,799 (6 ) 192,201 Identifiable assets at period end $ 1,819,718 176,151 73,197 580,311 193,771 581,518 229,692 (7,368 ) 3,646,990 Capital expenditures $ 8,985 768 145 300 428 1,914 447 — 12,987 Equity $ 1,303,381 83,417 31,014 282,192 107,229 168,570 109,790 (33,199 ) 2,052,394 UNITED STATES OTHER NORTH AMERICA LATIN AMERICA NORTH ASIA SOUTH ASIA EUROPE MIDDLE EAST, AFRICA AND INDIA ELIMI- NATIONS CONSOLI- DATED For the six months ended June 30, 2020: Revenues 1 $ 1,289,638 156,145 75,443 1,655,013 393,355 708,070 206,650 (1,818 ) 4,482,496 Directly related cost of transportation and other expenses 2 $ 728,585 87,339 46,466 1,333,216 281,637 493,538 147,884 (896 ) 3,117,769 Salaries and other operating expenses 3 $ 433,647 48,995 23,861 154,604 69,092 177,611 51,138 (902 ) 958,046 Operating income $ 127,406 19,811 5,116 167,193 42,626 36,921 7,628 (20 ) 406,681 Identifiable assets at period end $ 1,886,463 170,873 72,912 669,335 213,007 581,988 221,381 (5,782 ) 3,810,177 Capital expenditures $ 23,573 1,209 318 710 370 1,638 423 — 28,241 Equity $ 1,399,124 71,165 29,758 306,022 108,777 168,060 116,279 (37,587 ) 2,161,598 For the six months ended June 30, 2019: Revenues 1 $ 1,340,859 176,947 72,936 1,254,804 358,559 632,021 220,986 (1,482 ) 4,055,630 Directly related cost of transportation and other expenses 2 $ 753,448 106,576 41,158 986,200 262,298 436,571 154,592 (1,022 ) 2,739,821 Salaries and other operating expenses 3 $ 425,475 50,553 26,796 138,371 64,841 172,183 58,234 (446 ) 936,007 Operating income $ 161,936 19,818 4,982 130,233 31,420 23,267 8,160 (14 ) 379,802 Identifiable assets at period end $ 1,819,718 176,151 73,197 580,311 193,771 581,518 229,692 (7,368 ) 3,646,990 Capital expenditures $ 15,900 996 238 644 604 2,896 1,144 — 22,422 Equity $ 1,303,381 83,417 31,014 282,192 107,229 168,570 109,790 (33,199 ) 2,052,394 1 Beginning in the second quarter of 2019, the Company revised its process to record the transfer, between its geographic operating segments, of revenues and the directly related cost of transportation and other expenses for freight service transactions between Company origin and destination locations. This change better aligns revenue reporting with the location where the services are performed, as well as the transactional reporting being developed as part of the Company’s new accounting systems and processes. The change in presentation had no impact on consolidated or segment operating income. The impact of these changes on reported segment revenues was immaterial and in the six months ended June 30, 2019, segment revenues have not been revised. 2 Directly related cost of transportation and other expenses totals operating expenses from airfreight services, ocean freight and ocean services and customs brokerage and other services as shown in the condensed consolidated statements of earnings. 3 Salaries and other operating expenses totals salaries and related, rent and occupancy, depreciation and amortization, selling and promotion and other as shown in the condensed consolidated statements of earnings. The Company’s consolidated financial results in the first and second quarter 2020 were significantly impacted by the effects of the global pandemic and are expected to be further impacted in the remainder of 2020. The impact is affecting the Company’s geographical segments unevenly. In the second quarter of 2020, North Asia experienced significant increases in airfreight services revenues and related expenses as a result of demand for time-sensitive delivery of technology equipment and medical equipment and supplies from China, which combined with reductions in airfreight supply resulted in significantly higher rates. In the second quarter 2020 and 2019, the People's Republic of China, including Hong Kong, represented 37% and 26%, respectively, of the Company’s total revenues and 38% and 28%, respectively, of the Company’s total operating income. This is in contrast with slower activity in North Asia in the first quarter of 2020 as the global pandemic resulted in temporary closures and limited operations from the Company’s China offices and shipments that were rerouted or delayed by customers and service providers taking their own precautionary measures. In the first half of 2020 and 2019, the People's Republic of China, including Hong Kong, represented 31% and 26%, respectively, of the Company’s total revenues and 33% and 28%, respectively, of the Company’s total operating income.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2020
Accounting Policies [Abstract]
Basis of Presentation	A. Basis of Presentation Expeditors International of Washington, Inc. (the Company) is a non-asset based provider of global logistics services operating through a worldwide network of offices and exclusive or non-exclusive agents. The Company’s customers include retailing and wholesaling, electronics, industrial and manufacturing companies around the world. The condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. As a result, certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (U.S. GAAP) have been condensed or omitted. The Company believes that the disclosures made are adequate to make the information presented not misleading. The condensed consolidated financial statements reflect all adjustments, consisting of normal recurring items, which are, in the opinion of management, necessary for a fair statement of the results for the interim periods presented. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in the Company's Form 10-K as filed with the Securities and Exchange Commission on February 21, 2020. All significant intercompany accounts and transactions have been eliminated in consolidation. All dollar amounts in the notes are presented in thousands except for per share data or unless otherwise specified.
Revenue Recognition	B. Revenue Recognition The Company derives its revenues by entering into agreements that are generally comprised of a single performance obligation, which is that freight is shipped for and received by the customer. The Company's three principal services are the revenue categories presented in the condensed consolidated statements of earnings: 1) airfreight services, 2) ocean freight and ocean services, and 3) customs brokerage and other services. The Company typically satisfies its performance obligations as services are rendered over time. A typical shipment would include services rendered at origin, such as pick-up and delivery to port, freight services from origin to destination port and destination services, such as customs clearance and final delivery. The Company measures the performance of its obligations as services are completed over the life of a shipment, including services at origin, freight and destination. The Company fulfills nearly all of its performance obligations within a one to two month-period and contracts with customers have an original expected duration of less than one year. The Company satisfied nearly all performance obligations for the contract liabilities recorded as of March 31, 2020. Beginning in the second quarter 2019, the Company revised its presentation for revenue transfers between its geographic operating segments and services rendered at the destination, which moved certain revenues and directly related operating expenses for air and ocean transactions to destination services within customs brokerage and other services. These changes better align revenue reporting with the location where the services are performed, as well as the transactional reporting being developed as part of the Company’s new accounting systems and processes. The change in presentation had no impact on consolidated or segment operating income. The impact on reported consolidated and segment total revenues and expenses for these changes was immaterial and six months ended June 30, 2019 presentation has not been revised.
Leases	C. Leases The Company determines if an arrangement is a lease at inception. Right-of-use (ROU) assets represent the Company's right to use an underlying asset for the lease term, and lease liabilities represent the Company's obligation to make lease payments arising from the lease. All ROU assets and lease liabilities are recognized at the commencement date at the present value of lease payments over the lease term. ROU assets are adjusted for lease incentives and initial direct costs. The lease term includes renewal options exercisable at the Company's sole discretion when the Company is reasonably certain to exercise that option. As the Company's leases generally do not have an implicit rate, the Company uses an estimated incremental borrowing rate based on market information available at the commencement date to determine the present value. Certain of our leases include variable payments, which may vary based upon changes in facts or circumstances after the start of the lease. The Company excludes variable payments from ROU assets and lease liabilities, to the extent not considered fixed, and instead expense variable payments as incurred. Lease expense is recognized on a straight-line basis over the lease term and is included in rent and occupancy expenses on the condensed consolidated statement of earnings.
Accounts Receivable	D. Accounts Receivable Effective January 1, 2020, the Company adopted a new accounting standard update related to the measurement of credit losses on financial instruments. The adoption had an immaterial effect on the Company’s consolidated financial statements and disclosures. Under this new standard, the valuation allowance reduces a financial asset’s balance for credit losses expected to be incurred over the assets contractual term. The Company determined that this new guidance is applicable to its accounts receivable, which are short term and for which the Company has not historically experienced significant credit losses. The Company adopted this standard using the modified retrospective transition method resulting in a $6 million $5,347 Additions and write-offs have not been significant in the periods presented.
Use of Estimates	E. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of the assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. The Company uses estimates primarily in the following areas: accounts receivable valuation, accrual of costs related to ancillary services the Company provides, accrual of liabilities for the portion of the related exposure that the Company has self-insured, accrual of various tax liabilities including estimates associated with the U.S. enacted Tax Cuts and Jobs Act (the 2017 Tax Act), accrual of loss contingencies, the allocation of the purchase price in a business combination, calculation of share-based compensation expense and estimates related to determining the lease term and discount rate when measuring ROU assets and lease liabilities. Actual results could be materially different from the estimated provisions and accruals recorded.
Recent Accounting Pronouncement	F. Recent Accounting Pronouncement In December 2019, the FASB issued an ASU, which simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740. The ASU also clarifies and amends existing guidance to improve consistent application among reporting entities. This standard will become effective for the Company on January 1, 2021. The Company is currently evaluating the impact of this standard on its consolidated financial statements and disclosures.
Stock Plans	The Company recognizes stock compensation expense based on the fair value of awards granted to employees and directors under the Company’s 2017 Amended and Restated Plan, stock option and employee stock purchase rights plans. This expense, adjusted for expected forfeitures, is recognized in net earnings on a straight-line basis over the service periods as salaries and related costs on the condensed consolidated statements of earnings. RSUs and PSUs awarded to certain employees meeting specific retirement eligibility criteria at the time of grant are expensed immediately as there is no substantive service period associated with those awards.
Income Tax	During 2020 and 2019, the Internal Revenue Service (IRS) and the U.S. Department of Treasury (Treasury) issued additional guidelines and clarifying regulations related to the implementation of the 2017 Tax Act. The Company expects that additional guidance may continue to be issued in future periods. As this guidance is issued, the Company will evaluate the information to determine whether any additional adjustments to its tax provisions are required. The 2017 Tax Act included provisions for Global Intangible Low-Taxed Income (GILTI) under which taxes on foreign income are imposed on the excess of a deemed return on tangible assets of certain foreign subsidiaries and for Base Erosion and Anti-Abuse Tax (BEAT) under which taxes are imposed on certain base eroding payments to affiliated foreign companies. The Company treats BEAT and GILTI as components of current income tax expense. For the three and six months ended June 30, 2020 and 2019, there was no BEAT expense and GILTI expense was insignificant.
Earnings Per Share	Diluted earnings attributable to shareholders per share is computed using the weighted average number of common shares and dilutive potential common shares outstanding. Dilutive potential shares represent outstanding stock options, including purchase options under the Company's employee stock purchase plan, and unvested restricted stock units. Basic earnings attributable to shareholders per share is calculated using the weighted average number of common shares outstanding without taking into consideration dilutive potential common shares outstanding.
Cash Equivalents	The Company’s financial instruments, other than cash, consist primarily of cash equivalents, accounts receivable, accounts payable and accrued expenses. The carrying value of these financial instruments approximates their fair value. All highly liquid investments with a maturity of three months or less at date of purchase are considered to be cash equivalents.
Segment Reporting	The Company is organized functionally in geographic operating segments. Accordingly, management focuses its attention on revenues, directly related cost of transportation and other expenses for each of the Company’s three primary sources of revenue, salaries and other operating expenses, operating income, identifiable assets, capital expenditures and equity generated in each of these geographical areas when evaluating the effectiveness of geographic management. Transactions among the Company’s various offices are conducted using the same arms-length pricing methodologies the Company uses when its offices transact business with independent agents. Certain costs are allocated among the segments based on the relative value of the underlying services, which can include allocation based on actual costs incurred or estimated cost plus a profit margin.

Basic and Diluted Earnings pe_2

Basic and Diluted Earnings per Share (Tables)	6 Months Ended
	Jun. 30, 2020
Earnings Per Share [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table reconciles the numerator and the denominator of the basic and diluted per share computations for earnings attributable to shareholders: Three months ended June 30, Net earnings attributable to shareholders Weighted average shares Earnings per share 2020 Basic earnings attributable to shareholders $ 183,869 166,767 $ 1.10 Effect of dilutive potential common shares — 2,523 — Diluted earnings attributable to shareholders $ 183,869 169,290 $ 1.09 2019 Basic earnings attributable to shareholders $ 153,149 171,003 $ 0.90 Effect of dilutive potential common shares — 3,463 — Diluted earnings attributable to shareholders $ 153,149 174,466 $ 0.88 Six months ended June 30, Net earnings attributable to shareholders Weighted average shares Earnings per share 2020 Basic earnings attributable to shareholders $ 306,213 167,751 $ 1.83 Effect of dilutive potential common shares — 2,631 — Diluted earnings attributable to shareholders $ 306,213 170,382 $ 1.80 2019 Basic earnings attributable to shareholders $ 292,848 171,425 $ 1.71 Effect of dilutive potential common shares — 3,528 — Diluted earnings attributable to shareholders $ 292,848 174,953 $ 1.67

Fair Value of Financial Instr_2

Fair Value of Financial Instruments (Tables)	6 Months Ended
	Jun. 30, 2020
Fair Value Disclosures [Abstract]
Schedule of Fair Value of Cash and Cash Equivalents by Balance Sheet Grouping	Cash and cash equivalents consist of the following: June 30, 2020 December 31, 2019 Cost Fair Value Cost Fair Value Cash and Cash Equivalents: Cash and overnight deposits $ 576,740 $ 576,740 $ 417,456 $ 417,456 Corporate commercial paper 562,706 562,722 775,504 776,356 Time deposits 41,009 41,009 37,531 37,531 Total cash and cash equivalents $ 1,180,455 $ 1,180,471 $ 1,230,491 $ 1,231,343

Business Segment Information (T

Business Segment Information (Tables)	6 Months Ended
	Jun. 30, 2020
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	Financial information regarding the Company’s operations by geographic area is as follows: UNITED STATES OTHER NORTH AMERICA LATIN AMERICA NORTH ASIA SOUTH ASIA EUROPE MIDDLE EAST, AFRICA AND INDIA ELIMI- NATIONS CONSOLI- DATED For the three months ended June 30, 2020: Revenues 1 $ 639,231 74,314 37,553 1,117,058 224,313 387,430 101,611 (878 ) 2,580,632 Directly related cost of transportation and other expenses 2 $ 354,624 41,449 22,701 907,915 160,355 271,540 72,908 (451 ) 1,831,041 Salaries and other operating expenses 3 $ 207,703 25,283 12,112 97,171 39,184 95,757 25,188 (433 ) 501,965 Operating income $ 76,904 7,582 2,740 111,972 24,774 20,133 3,515 6 247,626 Identifiable assets at period end $ 1,886,463 170,873 72,912 669,335 213,007 581,988 221,381 (5,782 ) 3,810,177 Capital expenditures $ 19,076 1,148 216 385 182 993 114 — 22,114 Equity $ 1,399,124 71,165 29,758 306,022 108,777 168,060 116,279 (37,587 ) 2,161,598 For the three months ended June 30, 2019: Revenues 1 $ 681,076 85,537 38,757 621,951 181,380 319,331 108,311 (764 ) 2,035,579 Directly related cost of transportation and other expenses 2 $ 386,093 50,336 22,043 487,554 132,487 220,676 75,089 (394 ) 1,373,884 Salaries and other operating expenses 3 $ 207,060 26,343 14,368 69,944 33,380 89,340 29,423 (364 ) 469,494 Operating income $ 87,923 8,858 2,346 64,453 15,513 9,315 3,799 (6 ) 192,201 Identifiable assets at period end $ 1,819,718 176,151 73,197 580,311 193,771 581,518 229,692 (7,368 ) 3,646,990 Capital expenditures $ 8,985 768 145 300 428 1,914 447 — 12,987 Equity $ 1,303,381 83,417 31,014 282,192 107,229 168,570 109,790 (33,199 ) 2,052,394 UNITED STATES OTHER NORTH AMERICA LATIN AMERICA NORTH ASIA SOUTH ASIA EUROPE MIDDLE EAST, AFRICA AND INDIA ELIMI- NATIONS CONSOLI- DATED For the six months ended June 30, 2020: Revenues 1 $ 1,289,638 156,145 75,443 1,655,013 393,355 708,070 206,650 (1,818 ) 4,482,496 Directly related cost of transportation and other expenses 2 $ 728,585 87,339 46,466 1,333,216 281,637 493,538 147,884 (896 ) 3,117,769 Salaries and other operating expenses 3 $ 433,647 48,995 23,861 154,604 69,092 177,611 51,138 (902 ) 958,046 Operating income $ 127,406 19,811 5,116 167,193 42,626 36,921 7,628 (20 ) 406,681 Identifiable assets at period end $ 1,886,463 170,873 72,912 669,335 213,007 581,988 221,381 (5,782 ) 3,810,177 Capital expenditures $ 23,573 1,209 318 710 370 1,638 423 — 28,241 Equity $ 1,399,124 71,165 29,758 306,022 108,777 168,060 116,279 (37,587 ) 2,161,598 For the six months ended June 30, 2019: Revenues 1 $ 1,340,859 176,947 72,936 1,254,804 358,559 632,021 220,986 (1,482 ) 4,055,630 Directly related cost of transportation and other expenses 2 $ 753,448 106,576 41,158 986,200 262,298 436,571 154,592 (1,022 ) 2,739,821 Salaries and other operating expenses 3 $ 425,475 50,553 26,796 138,371 64,841 172,183 58,234 (446 ) 936,007 Operating income $ 161,936 19,818 4,982 130,233 31,420 23,267 8,160 (14 ) 379,802 Identifiable assets at period end $ 1,819,718 176,151 73,197 580,311 193,771 581,518 229,692 (7,368 ) 3,646,990 Capital expenditures $ 15,900 996 238 644 604 2,896 1,144 — 22,422 Equity $ 1,303,381 83,417 31,014 282,192 107,229 168,570 109,790 (33,199 ) 2,052,394 1 Beginning in the second quarter of 2019, the Company revised its process to record the transfer, between its geographic operating segments, of revenues and the directly related cost of transportation and other expenses for freight service transactions between Company origin and destination locations. This change better aligns revenue reporting with the location where the services are performed, as well as the transactional reporting being developed as part of the Company’s new accounting systems and processes. The change in presentation had no impact on consolidated or segment operating income. The impact of these changes on reported segment revenues was immaterial and in the six months ended June 30, 2019, segment revenues have not been revised. 2 Directly related cost of transportation and other expenses totals operating expenses from airfreight services, ocean freight and ocean services and customs brokerage and other services as shown in the condensed consolidated statements of earnings. 3 Salaries and other operating expenses totals salaries and related, rent and occupancy, depreciation and amortization, selling and promotion and other as shown in the condensed consolidated statements of earnings.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands	Jun. 30, 2020	Mar. 31, 2020	Jan. 01, 2020	Dec. 31, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect of accounting change	$ 2,161,598	$ 2,037,145		$ 2,197,219	$ 2,052,394	$ 2,125,434	$ 1,987,720
Accounts receivable, allowance for credit loss	$ 5,347			11,143
Cumulative Effect, Period of Adoption, Adjustment
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect of accounting change				$ 6,074
Accounting Standards Update 2016-13 | Cumulative Effect, Period of Adoption, Adjustment
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Cumulative effect of accounting change			$ 6,000
Accounts receivable, allowance for credit loss			$ (8,000)

Share-Based Compensation - Addi

Share-Based Compensation - Additional Information (Detail) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	May 05, 2020
Restricted Stock Units (RSUs)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, equity Instruments other than options, grants in period	459,000	462,000
Share-based compensation arrangement by share-based payment award, equity Instruments other than options, grants in period. Weighted average fair value	$ 72.90	$ 75.73
Share-based compensation arrangement by share-based payment award, award vesting period	3 years	3 years
Number of common stock issued per unit based award upon vesting	100.00%	100.00%
Non-Employee Directors Restricted Stock Units (RSUs)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, equity Instruments other than options, grants in period	19,000	24,000
Performance Stock Units (PSUs)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share-based compensation arrangement by share-based payment award, equity Instruments other than options, grants in period	95,000	96,000
Number of common stock issued per unit based award upon vesting	100.00%	100.00%
Maximum adjustment factor	200.00%	200.00%
Minimum adjustment factor	50.00%	50.00%
Minimum shares issued	0	0
Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock issued during period, shares, employee stock purchase plans	0	0	0	0
2017 Amended and Restated Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares authorized					5,500,000

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Income Taxes [Line Items]
Income tax expense	$ 66,794	$ 47,449	$ 111,258	$ 102,710
Effective income tax rate reconciliation, percent	26.60%	23.60%	26.60%	25.90%
Base Erosion and Anti-Abuse Tax
Income Taxes [Line Items]
Income tax expense	$ 0	$ 0	$ 0	$ 0

Basic and Diluted Earnings pe_3

Basic and Diluted Earnings per Share - Numerator and Denominator of the Basic and Diluted Per Share Computations for Earnings Attributable to Shareholders Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Net Earnings Attributable to Shareholders
Basic earnings attributable to shareholders	$ 183,869	$ 153,149	$ 306,213	$ 292,848
Diluted earnings attributable to shareholders	$ 183,869	$ 153,149	$ 306,213	$ 292,848
Weighted Average Shares
Weighted average basic shares outstanding	166,767	171,003	167,751	171,425
Effect of dilutive potential common shares	2,523	3,463	2,631	3,528
Weighted average diluted shares outstanding	169,290	174,466	170,382	174,953
Earnings Per Share
Basic earnings attributable to shareholders per share	$ 1.10	$ 0.90	$ 1.83	$ 1.71
Diluted earnings attributable to shareholders per share	$ 1.09	$ 0.88	$ 1.80	$ 1.67

Shareholders' Equity - Addition

Shareholders' Equity - Additional Information (Detail) - $ / shares shares in Thousands	May 05, 2020	May 07, 2019	Mar. 31, 2019	Jun. 30, 2020	Jun. 30, 2019
Class of Stock [Line Items]
Date of declaration of dividends	May 5, 2020	May 7, 2019
Dividend declared per share	$ 0.52	$ 0.50
Date of dividend payment	Jun. 15, 2020	Jun. 17, 2019
Dividends payable to shareholders date of record	Jun. 1, 2020	Jun. 3, 2019
Discretionary Plan
Class of Stock [Line Items]
Expected common stock shares issued and outstanding				160,000
Shares repurchased				4,400	3,110
Average price per share				$ 71.41	$ 73.45
Non-Discretionary Plan
Class of Stock [Line Items]
Shares repurchased			88
Average price per share			$ 74.03

Fair Value of Financial Instr_3

Fair Value of Financial Instruments - Cash and Cash Equivalents (Detail) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Cost
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total cash and cash equivalents	$ 1,180,455	$ 1,230,491
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total cash and cash equivalents	1,180,471	1,231,343
Cash and Overnight Deposits | Cost
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total cash and cash equivalents	576,740	417,456
Cash and Overnight Deposits | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total cash and cash equivalents	576,740	417,456
Corporate Commercial Paper | Cost
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total cash and cash equivalents	562,706	775,504
Corporate Commercial Paper | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total cash and cash equivalents	562,722	776,356
Time Deposits | Cost
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total cash and cash equivalents	41,009	37,531
Time Deposits | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Total cash and cash equivalents	$ 41,009	$ 37,531

Business Segment Information -

Business Segment Information - Financial Information Regarding Company's Operations by Geographic Area (Detail) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Mar. 31, 2020	Dec. 31, 2019	Mar. 31, 2019	Dec. 31, 2018
Segment Reporting Information [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	$ 2,580,632	$ 2,035,579	$ 4,482,496	$ 4,055,630
Directly related cost of transportation and other expenses	[2]	1,831,041	1,373,884	3,117,769	2,739,821
Salaries and other operating expenses	[3]	501,965	469,494	958,046	936,007
Operating income		247,626	192,201	406,681	379,802
Identifiable assets at period end		3,810,177	3,646,990	3,810,177	3,646,990		$ 3,691,884
Capital expenditures		22,114	12,987	28,241	22,422
Equity		2,161,598	2,052,394	2,161,598	2,052,394	$ 2,037,145	$ 2,197,219	$ 2,125,434	$ 1,987,720
Operating Segments | United States Segment
Segment Reporting Information [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	639,231	681,076	1,289,638	1,340,859
Directly related cost of transportation and other expenses	[2]	354,624	386,093	728,585	753,448
Salaries and other operating expenses	[3]	207,703	207,060	433,647	425,475
Operating income		76,904	87,923	127,406	161,936
Identifiable assets at period end		1,886,463	1,819,718	1,886,463	1,819,718
Capital expenditures		19,076	8,985	23,573	15,900
Equity		1,399,124	1,303,381	1,399,124	1,303,381
Operating Segments | Other North America Segment
Segment Reporting Information [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	74,314	85,537	156,145	176,947
Directly related cost of transportation and other expenses	[2]	41,449	50,336	87,339	106,576
Salaries and other operating expenses	[3]	25,283	26,343	48,995	50,553
Operating income		7,582	8,858	19,811	19,818
Identifiable assets at period end		170,873	176,151	170,873	176,151
Capital expenditures		1,148	768	1,209	996
Equity		71,165	83,417	71,165	83,417
Operating Segments | Latin America Segment
Segment Reporting Information [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	37,553	38,757	75,443	72,936
Directly related cost of transportation and other expenses	[2]	22,701	22,043	46,466	41,158
Salaries and other operating expenses	[3]	12,112	14,368	23,861	26,796
Operating income		2,740	2,346	5,116	4,982
Identifiable assets at period end		72,912	73,197	72,912	73,197
Capital expenditures		216	145	318	238
Equity		29,758	31,014	29,758	31,014
Operating Segments | North Asia Segment
Segment Reporting Information [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	1,117,058	621,951	1,655,013	1,254,804
Directly related cost of transportation and other expenses	[2]	907,915	487,554	1,333,216	986,200
Salaries and other operating expenses	[3]	97,171	69,944	154,604	138,371
Operating income		111,972	64,453	167,193	130,233
Identifiable assets at period end		669,335	580,311	669,335	580,311
Capital expenditures		385	300	710	644
Equity		306,022	282,192	306,022	282,192
Operating Segments | South Asia Segment
Segment Reporting Information [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	224,313	181,380	393,355	358,559
Directly related cost of transportation and other expenses	[2]	160,355	132,487	281,637	262,298
Salaries and other operating expenses	[3]	39,184	33,380	69,092	64,841
Operating income		24,774	15,513	42,626	31,420
Identifiable assets at period end		213,007	193,771	213,007	193,771
Capital expenditures		182	428	370	604
Equity		108,777	107,229	108,777	107,229
Operating Segments | Europe Segment
Segment Reporting Information [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	387,430	319,331	708,070	632,021
Directly related cost of transportation and other expenses	[2]	271,540	220,676	493,538	436,571
Salaries and other operating expenses	[3]	95,757	89,340	177,611	172,183
Operating income		20,133	9,315	36,921	23,267
Identifiable assets at period end		581,988	581,518	581,988	581,518
Capital expenditures		993	1,914	1,638	2,896
Equity		168,060	168,570	168,060	168,570
Operating Segments | Middle East Africa And India Segment
Segment Reporting Information [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	101,611	108,311	206,650	220,986
Directly related cost of transportation and other expenses	[2]	72,908	75,089	147,884	154,592
Salaries and other operating expenses	[3]	25,188	29,423	51,138	58,234
Operating income		3,515	3,799	7,628	8,160
Identifiable assets at period end		221,381	229,692	221,381	229,692
Capital expenditures		114	447	423	1,144
Equity		116,279	109,790	116,279	109,790
Intersegment Eliminations
Segment Reporting Information [Line Items]
Revenue from Contract with Customer, Excluding Assessed Tax	[1]	(878)	(764)	(1,818)	(1,482)
Directly related cost of transportation and other expenses	[2]	(451)	(394)	(896)	(1,022)
Salaries and other operating expenses	[3]	(433)	(364)	(902)	(446)
Operating income		6	(6)	(20)	(14)
Identifiable assets at period end		(5,782)	(7,368)	(5,782)	(7,368)
Equity		$ (37,587)	$ (33,199)	$ (37,587)	$ (33,199)
[1]	Beginning in the second quarter of 2019, the Company revised its process to record the transfer, between its geographic operating segments, of revenues and the directly related cost of transportation and other expenses for freight service transactions between Company origin and destination locations. This change better aligns revenue reporting with the location where the services are performed, as well as the transactional reporting being developed as part of the Company’s new accounting systems and processes. The change in presentation had no impact on consolidated or segment operating income. The impact of these changes on reported segment revenues was immaterial and in the six months ended June 30, 2019, segment revenues have not been revised.
[2]	Directly related cost of transportation and other expenses totals operating expenses from airfreight services, ocean freight and ocean services and customs brokerage and other services as shown in the condensed consolidated statements of earnings
[3]	Salaries and other operating expenses totals salaries and related, rent and occupancy, depreciation and amortization, selling and promotion and other as shown in the condensed consolidated statements of earnings.

Business Segment Information _2

Business Segment Information - Additional Information (Detail) - People's Republic of China, including Hong Kong - Geographic Concentration Risk	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Revenues
Concentration Risk [Line Items]
Concentration percentage	37.00%	26.00%	31.00%	26.00%
Operating Income
Concentration Risk [Line Items]
Concentration percentage	38.00%	28.00%	33.00%	28.00%