71% of U.S. Finance Executives Say the Economic Recovery Here to Stay; Latest Global Confidence Survey from CFO Magazine Gives Us All Reason to Cheer.

Business Editors

BOSTON--(BUSINESS WIRE)--Dec. 9, 2003

The latest numbers from the quarterly CFO Global Confidence Survey suggest many of us may have a Happier New Year. CFOs are more hopeful about the prospects for the U.S. economy than they have been since the quarterly survey was launched in June of 2000. A full 71 percent of U.S. respondents hold a positive outlook for the economy in 2004.

"CFOs are by nature rather cautious," states Joe McCafferty, news editor for CFO magazine. "But they are also in the trenches, and they are telling us they believe that the recovery is real. Not only do they expect profits and revenues to increase in the next quarter, they also expect to do more spending. Until now, company-to-company spending has been weak." Spending will increase in most areas, with insurance (65 percent), benefits (63 percent), and travel (46 percent) leading the way.

Other Encouraging Findings

Until now, hiring has not kept pace with economic gains. That may well change, as 45 percent of CFOs say they will increase hiring over the next six months while another 46 percent expect to keep employee levels constant. There's good news on the compensation front too. More than 66 percent of finance chiefs say they will boost salaries, and 39 percent intend to increase bonuses.

For more information visit: http://www.cfo.com/article/1,5309,11322||M|766,00.html?f=insidecfo.

About CFO

CFO is published monthly by CFO Publishing Corp., a division of The Economist Group. With a rate base of 450,000, CFO is the leading business publication for C-level and senior executives. CFO reaches an international audience of corporate leaders with its global group of magazines, including CFO.com, CFO Europe, CFO Asia, and CFO China.