WASHINGTON (MNI) – The following is the text of highlights from the
Business Roundtable’s fourth quarter 2010 CEO Economic Outlook Survey
published Tuesday:
The CEOs of America’s leading companies plan increases in
employment, sales and capital expenditures over the next six months
according to the results of Business Roundtable’s fourth quarter 2010
CEO Economic Outlook Survey.
“Demand is returning as evidenced by anticipated sales increases,
and that is good news. When demand increases, capital expenditures and
employment follow which is what we expect to see in the next six
months,” said Ivan G. Seidenberg, Chairman of Business Roundtable and
Chairman and CEO of Verizon Communications. “However, our CEOs expect
GDP to grow at rate of only 2.5 percent in 2011, so there is still more
work that needs to be done to get the economy back on the path toward
strong, sustainable growth.”
…
In terms of the overall U.S. economy, member CEOs estimate real GDP
will grow by 2.5 percent in 2011.
Cost Pressures
This quarter’s survey also asked member CEOs to identify their
greatest cost pressures. Materials, health care and labor costs ranked
among the CEOs’ top concerns. About one-third of CEOs named materials
costs as having the greatest impact among a diverse range of pressures
that include pension, litigation and energy expenditures.
…
“Copper prices and corn prices are at near record highs. Cotton
prices and most metals prices are also very high,” added Seidenberg. “As
a result of these marked increases, materials are being cited as the
greatest cost pressure, with health care costs coming in next as a
significant cost pressure.”
Fourth Quarter 2010 CEO Economic Outlook Survey Index
The Business Roundtable CEO Economic Outlook Survey Index increased
to 101 in the fourth quarter of 2010, up from 86 in the third quarter of
2010.
** Market News International Washington Bureau: 202-371-2121 **
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