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Although construction firms reported a reduction in work backlog nationwide, the southern U.S. showed the most decline, according to the latest report from Associated Builders and Contractors Inc., a national association which represents 25,000 firms in the construction industry.

ABC’s Construction Backlog Indicator sharply declined by 9 percent between November 2009 and January 2010.

This index, a forward-looking indicator which measures the amount of construction work under contract to be completed in the future, has slipped 16.3 percent during the last year.

It currently stands at 5.5 months, the lowest point reported in the 15 months ABC has gathered this data.

The sharpest regional decline occurred in the South, falling from 8.12 months in January 2009 to 6.03 months in January 2010.

“The fact that the CBI is now at its lowest point since ABC began measuring the statistic in November 2008 indicates that the nation’s nonresidential construction industry remains mired in its own recession,” said Anirban Basu, ABC chief economist cash advance no fax.

Nonresidential construction tends to lag the overall economy by 12 to 24 months.

“With the broader economy having been in a slow recovery for roughly three quarters, and with the stimulus package still having an impact, the hope had been that some signs of backlog stability would be apparent by now,” Basu said. “However, all indications continue to point toward an ongoing decline in the commercial and industrial construction industry.”

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