CEOs See More Sales, Hiring in 2011

Washington, DC, Dec. 15, 2010 -- CEOs expect sales and hiring to pick up next year, although the outlook for economic growth remains muted, according to the Business Roundtable.

The Business Roundtable, an association of CEOs at large U.S. companies, said in its fourth-quarter survey that 80% of its members expect sales to increase in 2011. Nearly one in six expect to invest more in their businesses, and 45% plan to increase hiring over the next six months.

However, the business leaders surveyed expect economic growth to be subdued next year, with gross domestic product growing by 2.5%.

After falling to a low of 18.5 in the second quarter of 2009, the Roundtable's CEO economic outlook index rose to 101 in the fourth-quarter of this year. That's its highest level since the first quarter of 2006.

The survey also showed that corporate leaders are concerned about rising prices for basic commodities such as copper, corn and cotton. The CEOs also said rising health care spending was their second-largest expected cost pressure next year after commodities.