PMMI August BCI Drops in 3 of 4 Indices

Published: October 11, 2002, By PRESS RELEASE

ARLINGTON, VA, USA—According to the Packaging Machinery Manufacturers Institute's Business Conditions Index (BCI), the packaging machinery sector slowed overall in the month of August, though three out of four of the measures continued to show expansion.

PMMI reports quotation/proposal activity increased to 59.1, up a point from the previous month. New orders for packaging machinery dropped nine points to 51.8. General business conditions decreased by seven points to an index of 54.3. Shipments also continued to drop, dipping two points to 46.5, adds PMMI.

According to the industry institute, an index of more than 50 indicates an expansion in the period and an index below 50 indicates a slowdown in activity. The August BCI tabulates the input of approximately 100 of PMMI's 500 PMMI member companies and is based on PMMI's "How's Business" survey, a weekly poll of member companies. PMMI's BCI collects data on four business indicators on a weekly basis: general business conditions, new orders, shipments, and quotation/proposal activity, reports PMMI.

The summer months tend to slow overall for the industry, as this month's study indicates," says Charles D. Yuska, PMMI president. "The good news is that even with the slowdown, the indices continue to show expansion, and we are seeing signs of the overall economy improving as well."

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