Northeast Region Fourth Quarter Capital Spending Jumps 33% from 2005 to $3 Billion

---

Reported by Annette Kreuger, Industrial Info Resources (Sugar Land, Texas). A recent survey of active projects covering a variety of industry groups within Industrial Info Resources’ project database has revealed that the Northeast region currently has 136 project starts on the books carrying a total investment value (TIV) of $3 billion during the fourth quarter of 2006. A more detailed look at the data illustrates that these figures represent an 11% increase in regards to number of projects over the same period in 2005, when there were 121 project starts forecast for the region. In terms of TIV, the Northeast’s current 2006 figure of $3 billion is 33% higher than figures from the same quarter in 2005, which projects were worth an aggregate $2 billion.

Click on the image at right to view a chart showing the breakdown of projects by industry

In terms of individual states within the region, Pennsylvania currently has the biggest financial slice of fourth quarter 2006 new capital /MRO (maintenance) project starts. While both New York and Pennsylvania each have 54 projects forecast to begin construction through the end of 2006, it is a different story in terms of the TIV of each state’s projects. Pennsylvania is currently the clear spending leader with its projects carrying a total investment value of $1.5 million, which represent a sizeable 53% increase over its 2005 TIV figure of $698 million. New York’s 2006 projects have a TIV of just over $1 billion, another gain of 25% from the $752 million tally in 2005. The remaining 2006 project activity for the region’s other two states show Delaware having seven projects with a TIV of $61 million and New Jersey with 21 projects valued at $368 million.

When determining which industry group is generating the majority of the Northeast’s individual project activity for the present quarter, the Industrial Manufacturing sector is the leader with 33 projects carrying a TIV of $660 million. That number actually represents a decline compared to the fourth quarter 2005 total of 36 projects, which translates into a nine percent decrease. While the Power Industry’s number of projects placed them second, the sector’s TIV of $1.3 billion made it the clear investment leader. These figures represent a huge 48% increase over the same period in 2005.

As detailed in Industrial Info’s Northeast Region Online Plant Directory, these projects are taking place at the over 3,000 industrial plants located in the region. The region represents a wide variety of industrial plants, with the Food & Beverage Industry and Industrial Manufacturing plants responsible for over 1,200 locations. Others with a presence in the region include approximately 500 chemical plants, 40 major petroleum refineries, 130 bulk storage terminals, and 300 power-generating stations.

To test drive a demo of the Northeast Online Plant Directory, click the image at right.

Industrial Info Resources (IIR) is a Marketing Information Service company that has been doing business for over 23 years. IIR is respected as the leader in providing comprehensive market intelligence pertaining to the industrial processing, heavy manufacturing, and energy-related industries throughout the world.