AIA Billings Index Highest Since Before Crisis

Washington, DC, Nov. 18, 2009--The Architecture Billings Index was up 3 points at 46.1 last month, its highest level since August 2008, according to the American Institute of Architects.

The leading indicator of U.S. nonresidential construction spending rose in October to levels last seen before the economic crisis, providing an early signal of a possible recovery in U.S. construction activity, AIA said.

The index has remained below 50, indicating contraction in demand for design services, since January 2008.

The increase in billings could be "an early signal towards a recovery for the design and construction industry," said AIA Chief Economist Kermit Baker.

"On the other hand, because we continue to get reports of architecture firms struggling in a competitive marketplace with a continued decline in commercial property values, it is far too early to think we are out of the woods."

A measure of inquiries for new projects fell to 58.5, from 59.1 in September.

All four U.S. construction sectors and all four geographic regions tracked by the group remained below 50 in October.

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