Highlights from 2012 CFO Outlook Spring Update

Bank of America Merrill Lynch June 26, 2012 About the CFO Outlook Webcast series Driven by the insights and opinions of financial executives, the CFO Outlook series offers a regular gauge of the health of the U.S. and world economies, and discussion of topics that drive successful business operations. CFOs warm on growth. Senior financial executives have a considerably warmer view on corporate performance and the U.S. economy than they did just a few months ago—with 93% of CFOs now forecasting growth in 2012. Rising revenue, employment and prices. 64% of CFOs expect their revenues to rise, half project greater profits and 51% anticipate more hiring in 2012. 57% of companies will be raising prices on their products and services. Oil prices and government fuel concern. In terms of economic impact, CFOs are most concerned about oil prices (65%) and the effectiveness of government leaders (63%). Energy costs (51%) and healthcare costs (51%) are the leading corporate financial concerns. Key CFO Perspectives Is sustainable growth ahead? Whether renewed CFO optimism signals a temporary spring thaw or a blossoming upward trend depends on several factors, from rising oil prices and looming legislative rulings to the fall elections. For more details and analysis, view the online report.