General highlights

In 2009, U.S. nonfarm businesses invested $1,090.1 billion in new and used structures and equipment, a decrease of $284.1 billion (20.7 percent) from the revised 2008 total of $1,374.2 billion.^1,2 (See Tables 1a and 1b) Total spending on new structures and new equipment was $1,028.0 billion.

Expenditures in 2009 for new and used structures totaled $448.1 billion, a decrease of $114.2 billion (20.3 percent) from 2008. (See Figure 1) Of this amount, $421.0 billion (94.0 percent) was spent for new structures, down $102.0 billion (19.5 percent) from 2008. Expenditures for used structures totaled $27.1 billion, a decrease of $12.3 billion (31.2 percent) from 2008.

Spending on new and used equipment totaled $641.9 billion in 2009, down $169.8 billion (20.9 percent) from 2008. Of this amount, $606.9 billion (94.5 percent) was for new equipment, a decrease of $158.3 billion (20.7 percent) from 2008. Expenditures for used equipment totaled $35.0 billion, down $11.5 billion (24.7 percent) from 2008.

The Annual Capital Expenditures Survey collects data from companies with and without employees. Companies with employees accounted for $1,014.7 billion (93.1 percent) of total capital spending in 2009. These companies invested $412.6 billion in structures, a decrease of $116.8 billion (22.1 percent) from 2008, and $602.1 billion in equipment, down $163.0 billion (21.3 percent) from 2008. (See Figure 2)

Companies without employees accounted for $75.4 billion of capital spending in 2009, with $35.5 billion spent on structures and $39.9 billion spent on equipment.

• Tables
• Figures

Highlights by business sector for companies with employees

(See Tables 2, 3, and 4)

(Data in this section are based on the 2007 North American Industry Classification System. Data are only for companies with employees because companies without employees are not asked to report capital expenditures by sector or industry.)

Of the 19 NAICS major industry sectors covered in this report, 1 had a statistically significant increase in spending in 2009 compared with 2008, 12 had a statistically significant decrease, and 6 showed no statistically significant change. The values of structures and equipment may not sum to the values of total capital expenditures due to rounding. (See Table A, and Figure 3)

Of the 132 industries covered in this report, 6 had a statistically significant increase in spending, 78 had a statistically significant decrease, and 48 showed no statistically significant change from 2008.

Manufacturing

The manufacturing sector spent $155.8 billion on capital goods in 2009, a decrease of 26.9 percent from 2008. Of the total spending by this sector, $35.9 billion was for structures, and $119.9 billion was for equipment. (See Figure 4)

Investment spending by durable goods manufacturers totaled $76.7 billion in 2009, down 25.6 percent from 2008. Of this amount, $13.1 billion was for structures, while $63.5 billion was for equipment. The motor vehicle, body, trailer and parts industry was the largest durable goods investor, spending $9.7 billion in 2009, a decrease of 47.3 percent from 2008. The next largest durable goods investors in 2009 were the semiconductor and other electronic component industry at $8.7 billion, down 24.9% from 2008, and the fabricated metal product industry at $7.9 billion, not statistically different from 2008.

Nondurable goods manufacturers spent $79.2 billion on capital goods in 2009, a decrease of 28.1 percent from 2008. Spending for structures was $22.8 billion, and spending for equipment was $56.4 billion. The top contributors in this category were: the petroleum and coal products industry at $18.2 billion, down 18.5 percent from 2008; the food manufacturing industry at $16.7 billion, not statistically different from 2008; the pharmaceutical and medicine manufacturing industry at $9.4 billion, a decrease of 11.0 percent from 2008; and the basic chemical, resin, synthetics, rubber, and fiber manufacturing industry at $9.2 billion, down 63.2 percent from 2008.

Utilities

The utilities sector spent $101.8 billion on capital goods in 2009, not statistically different from 2008. Spending for structures totaled $43.5 billion, and spending for equipment totaled $58.4 billion. Within this sector, the electric power generation, transmission, and distribution industry accounted for $89.3 billion, not statistically different from 2008, and 87.6 percent of the sector's total capital spending. The natural gas distribution industry spent $8.9 billion on capital goods, an amount that was down 10.0 percent from 2008 and that accounted for 8.17percent of the sector's total capital spending in 2009.

Mining

The mining sector spent $101.2 billion on capital goods in 2009, a decrease of 32.2 percent from 2008. Spending for structures totaled $72.3 billion, and spending for equipment totaled $28.9 billion. The oil and gas extraction industry at $79.8 billion (down 31.6 percent from 2008) accounted for 78.9 percent of the sector's overall capital spending in 2009. The support activities for oil and gas operations industry spent $12.6 billion on capital goods in 2009, a decrease of 41.8 percent from 2008 and accounted for 12.4 percent of the sector's overall capital spending.

Finance and insurance

The finance and insurance sector spent $99.7 billion on capital goods in 2009, down 25.0 percent from 2008. Of this amount, $22.2 billion was for structures, and $77.6 billion was for equipment. The leading spender in this sector was the nondepository credit intermediation industry (e.g., sales and lease financing, and credit card issuing) at $45.2 billion, a decrease of 39.4 percent from 2008. The second leading spender in this sector was depository credit intermediation at $23.4 billion, down 10.2 percent from 2008.

Information

The information sector spent $87.7 billion on capital goods in 2009, a decrease of 15.1 percent from 2008. Of this spending, $21.8 billion was for structures, and $65.9 billion was for equipment. The leading spender in this sector was the wired telecommunications carriers industry at $43.4 billion, down 16.4 percent from 2008. The second leading spender was the wireless telecommunications carriers industry at $20.7 billion, a decrease of 18.3 percent from 2008.

Health care and social assistance

The health care and social assistance sector spent $79.3 billion for structures and equipment in 2009, a decrease of 12.1 percent from 2008. Of this amount, $44.4 billion was for structures, and $35.0 billion was for equipment. The leading contributor to overall spending in this sector was the general medical and surgical hospitals industry at $48.8 billion, down 12.8 percent from 2008. The second largest contributor was the nursing and residential care facilities industry at $8.3 billion, down 17.5 percent from 2008.

Real estate and rental and leasing

This sector spent $73.0 billion on capital goods in 2009, a decrease of 31.7 percent from 2008. Spending for structures was $26.7 billion, and spending for equipment was $46.4 billion. The top two spenders in this sector were the real estate industry at $29.7 billion, down 38.9 percent from 2008; and the automotive equipment rental and leasing industry at $29.2 billion (a decrease of 19.0 percent from 2008) with 99.1 percent of this amount spent for equipment. The next leading spender, commercial and industrial machinery and equipment rental and leasing, spent $11.6 billion (down 38.7 percent from 2008) with 95.4 percent of this amount spent for equipment.

Retail trade

In 2009, capital spending by the retail trade sector was $58.4 billion, a decrease of 20.2 percent from 2008. Spending for structures was $28.2 billion, and spending for equipment was $30.2 billion. The leading spender in this sector, other retail trade stores including gasoline stations, spent $21.0 billion in 2008, down 12.0 percent from 2008. The second leading spender, general merchandise stores, spent $13.2 billion in 2008, down 19.5 percent from 2008.

Transportation and warehousing

Total spending by this sector was $56.1 billion in 2009, a decrease of 29.6 percent from 2008. Of this spending, $22.1 billion was for structures, and $34.0 billion was for equipment. The sector's top spender was the air transportation industry at $11.1 billion, down 25.7 percent from 2008. The sector's second largest spender was the rail transportation industry at $10.3 billion, down 10.2 percent from 2008. The sector's next two largest spenders were the truck transportation industry at $8.8 billion, down 38.4 percent from 2008; and the pipeline transportation of natural gas industry at $8.3 billion, down 48.8 percent from 2008.

Other services (except public administration)

This sector spent $29.3 billion on capital goods in 2009, not statistically different from 2008. Spending for structures was $22.1 billion, and spending for equipment was $7.2 billion. The religious, grantmaking, social advocacy, civic, and social organizations industry was the sector's largest spender at $20.3 billion, not statistically different from 2008.

Educational services

The educational services sector spent $28.0 billion on capital goods in 2009, not statistically different from 2008. Of this amount, $22.4 billion was for structures, and $5.6 billion was for equipment.

Professional, scientific, and technical services

This sector spent $27.5 billion for capital goods in 2009, down 16.7 percent from 2008. Spending for structures totaled $6.7 billion, and spending for equipment totaled $20.7 billion. The largest contributor to the sector total was the computer systems design and related services industry at $7.4 billion, not statistically different from 2008. The second largest contributor was the scientific research and development services industry at $4.9 billion, not statistically different from 2008.

Accommodation and food services

This sector's capital spending totaled $26.4 billion in 2009, down 34.7 percent from 2008. Spending for structures was $14.7 billion, and spending for equipment was $11.7 billion. The foor services and drinking places industry accounted for $14.7 billion of the total capital expenditures for this sector, not statistically significant from 2008. The traveler accommodation services industry, which includes hotels and casino hotels, accounted for $11.7 billion of the total, down 51.0 percent from 2008.

Wholesale trade

The wholesale trade sector spent $24.5 billion on capital goods in 2009, down 24.2 percent from 2008. Of this spending, $5.3 billion was for structures, and $19.3 billion was for equipment. Within the sector, the merchant wholesalers durable goods industry spent $14.1 billion, down 31.5 percent from 2008. The merchant wholesalers nondurable goods industry spent $9.6 billion, not significantly different from 2008. Wholesale electronic markets and agents spent $0.8 billion, down 31.7 percent from 2008.

Construction

The construction sector spent $19.8 billion for capital goods in 2009, down 51.6 percent from 2008. Of this amount, $4.6 billion was for structures, and $15.2 billion was for equipment. The special trade contractors industry spent $8.6 billion, down 55.6 percent from 2008; the construction of buildings industry spent $6.0 billion, not significantly different from 2008; and the heavy and civil engineering construction industry spent $5.1 billion, down 68.2 percent from 2008.

Administrative and support and waste management

This sector spent $19.4 billion on capital goods in 2009, which was not significantly different from spending in 2008. Spending for structures totaled $5.9 billion, and spending for equipment totaled $13.5 billion. Within the sector, office administrative, facilities, employment, and other support services industry spent $8.2 billion, not significantly different from 2008. The investigation, security, and services to buildings and dwellings spent $4.1 billion, not statistically different from 2008; and the waste collection, treatment, and disposal industry spent $3.4 billion, not significantly different from 2008.

Arts, entertainment, and recreation

Arts, entertainment, and recreation. This sector spent $16.3 billion on capital goods in 2009, not statistically different from 2008. Of this spending, $11.0 billion was for structures, and $5.2 billion was for equipment. The amusement, gambling and recreation industry, which accounted for 69.9 percent of all capital expenditures in this sector, spent $11.4 billion, not statistically different from 2008.

¹ The 2008 estimate of $1,374.2 billion presented in this year's report reflects a $1.0 billion downward revision in the amount reported in last year's report. The present report compares business investment in 2009 and 2008. For an assessment of investment spending patterns over a longer period, see 2010 Spending Report: U.S. Capital Spending Patterns-1999-2008.

² Estimated measures of sampling variability have been calculated for each estimate and are used to construct 90-percent confidence intervals (or ranges) for all estimates of change. If the estimated range of change contains zero (0), then it is uncertain whether there was an increase or a decrease; that is, the change is not statistically different from zero (0), and the current estimate is not statistically different from the prior estimate at the 90-percent confidence level. See the "Reliability of the Estimates"; Section of the Sampling and Estimation Methodologies appendix for more information on confidence intervals and statistical significance.