The Economic Roundtable
The general economy appears to be at the bottom of one of the longest recessionary cycles since the Great Depression. Unfortunately, while the construction industry is always on the “tail end” of any recessionary cycle, it is also at the “tail end” of any recovery. While bidding activity has increased in some areas we don’t expect any significant growth before the first quarter of 2012. While NFSA has budgeted revenues as being flat for 2011 when compared to 2010, many suppliers and manufacturers we have spoken to are forecasting single digit increases. The strength in modern building codes which effect buildings with sprinkler protection is such that we will be protecting a larger number of buildings from a much smaller inventory. This will bode well for the recovery. We welcome any comments in our “blog” from our members. We would be interested in bidding activity and if anyone is seeing any easing of credit lines in recent months.