Industrial Production Down
Article Number : 126
Article Detail
  
Date 11/17/2001 7:27:00 PM
Written By LGM & Associates Technical Flooring Services
View this article at: //floorbiz.com/BizResources/NPViewArticle.asp?ArticleID=126
Abstract
Article

Washington, DC, Nov. 16—Industrial productivity fell in October for the 13th month in a row, the longest string of declines in manufacturing activity since the Depression. According to the Federal Reserve, output at the nation's factories, utilities and mines dropped by 1.1% last month, on top of a big 1% decline in September.

The 13 month stretch of declining activity marked the longest period of falling industrial output since a 15 month stretch that ended in July 1932. The nation's manufacturing sector has been hardest hit by the more than yearlong economic slump and September 11 terror attacks dealt the industry another severe blow.

To cope with the fallout, companies have sharply cut back production, trimmed hours and let go of workers. The report suggests that the battered manufacturing sector sunk deeper into recession last month.

The 1.1% drop in industrial activity was the biggest decline since a 1.3% drop in November 1990. Operating capacity sank to 74.8% in October, the lowest level since June 1983, as companies throttled back production in the face of sagging sales.

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