BR: CEOs Anticipate Further Drop in Sales and Capital Expenditures

Most CEOs of America’s leading companies anticipate a drop in sales, capital expenditures and employment figures at their companies for the next six months, according to a nationwide survey released Tuesday by the Business Roundtable [BR]. The sentiment underscores the significant pressures that the global economy continues to put on U.S. businesses.

The BR survey found that in terms of the overall U.S. economy, member CEOs estimate real GDP will decline by 1.9 percent in 2009, down from the CEOs’ zero percent estimate in the fourth quarter of 2008.

In terms of how CEOs expect their company’s U.S. capital spending to change, 9% said it will go up; 25% reported no change; and 66% said it will drop.

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.

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