AIA Billings Index Improves But Shows Contraction

Washington, DC, March 24, 2010--The Architecture Billings Index, a leading indicator of U.S. nonresidential construction spending, improved slightly in February.

The index was up 2.3 points to 44.8 last month, according to the American Institute of Architects. A measure of inquiries for new projects fell 0.5 points to 52.0, after a seven-point drop in January.

"Funding dedicated for construction projects in the stimulus package has not yet been awarded, resulting in a bottleneck of potential projects that could help jumpstart the economy," said AIA Chief Economist Kermit Baker.

Private sector projects continue to face "a persistently rigid credit market," Baker noted.

All four U.S. geographic regions were below 50 in billings in January, with the Midwest highest at 49.4.

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