Business Roundtable Releases First Quarter 2009 CEO Economic Outlook Survey.Outlook shows lower expectations for sales, capital expenditures and employment WASHINGTON -- The CEOs of America's leading companies anticipate a decrease in expected sales, capital expenditures and employment figures for the next six months, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. survey results released today. The results underscore The underscore character (_) is often used to make file, field and variable names more readable when blank spaces are not allowed. For example, NOVEL_1A.DOC, FIRST_NAME and Start_Routine. (character) underscore - _, ASCII 95. the significant pressures that the global economy continues to put on U.S. businesses. "Improving consumer confidence and demand, both in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and abroad, is the key to jump-starting the economy," said Harold McGraw III Harold "Terry" McGraw III is president and chief executive officer of McGraw-Hill Companies and chairman of the Business Roundtable, an association of CEOs of American companies. , Chairman of Business Roundtable Business Roundtable (BRT), an association consisting of the chief executive officers of major U.S. corporations that was founded in 1972 through the merger of the three preexisting business organizations. and Chairman, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of The McGraw-Hill Companies. "Fortunately, both U.S. and foreign governments have recognized this need and taken significant steps to spark demand. And while recently implemented Administration policies will take time to have an impact, they already have begun to restore confidence in our markets, which is a critical first step." Business Roundtable is an association of chief executive officers of leading corporations, representing a combined workforce of nearly 10 million employees and more than $5 trillion in annual revenues. The survey's key findings for the next six months include: [TABLE OMITTED] In terms of the overall U.S. economy, member CEOs estimate real GDP Real GDP This inflation-adjusted measure that reflects the value of all goods and services produced in a given year, expressed in base-year prices. Often referred to as "constant-price", "inflation-corrected" GDP or "constant dollar GDP". will decline by 1.9 percent in 2009, down from the CEOs' zero percent estimate in the fourth quarter of 2008. "Despite the considerable challenges facing our country, by working together, we can turn our economy around, put Americans back to work and preserve our position as the world's economic leader," added McGraw. "We stand ready to work with President Obama and Congress to ensure sustained, long-term economic growth for our workers, communities and companies." The Business Roundtable CEO Economic Outlook Index contracted to negative 5.0 in the first quarter of 2009. While lower than the 16.5 index reading in the fourth quarter of 2008, the decline was less dramatic than in the previous quarter when it had fallen from 78.8 in the third quarter of 2008. The Index is a composite diffusion index Diffusion Index 1. A measure of the percentage of stocks that have advanced in price or are showing a positive momentum over a defined period. It is used in the technical analysis of stocks. 2. that combines member CEO projections for sales, capital spending capital spending Spending for long-term assets such as factories, equipment, machinery, and buildings that permits the production of more goods and services in future years. and employment in the six months ahead. The index is centered on 50, and results can range from negative 50 to positive 150. An index reading of 50 or lower is consistent with overall economic contraction An economic contraction is a reduction in goods and services for sale in the market place. Typically it relates to a downturn in production caused by external factors such as weather or a decline in exports, or by such internal factors as taxes, regulatory constraints or other and a reading of 50 or higher is consistent with expansion.
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Business Roundtable's CEO Economic Outlook Survey, conducted quarterly since the fourth quarter of 2002, provides a forward-looking view of the economic assumptions and outlooks of Business Roundtable member CEOs. The survey was completed between March 16 and March 27. The percentages in some categories may not equal 100 due to rounding. Results of all surveys can be found at http://www.businessroundtable.org/ceo_survey. Business Roundtable (www.businessroundtable.org) is an association of chief executive officers of leading U.S. companies with more than $5 trillion in annual revenues and nearly 10 million employees. Member companies comprise nearly a third of the total value of the U.S. stock markets and represent over 40 percent of all corporate income taxes paid to the federal government. Collectively, they returned $114 billion in dividends to shareholders and the economy in 2006. |
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