"Quarterly Leasing Survey Shows Improving Industry"

ELTnews

The Equipment Leasing Association's (ELA) 3Q 2004 Performance Indicators Report (PIR) shows that new business volume grew at 7.1 percent when compared to the 3rd quarter 2003. Total net portfolio also increased 15 percent, indicating that the economy is gaining momentum.

Other key findings include:
o The total number of employees grew almost 9 percent as companies have increased their staff in response to an improved economic picture.
o Credit approval ratios are down slightly indicating that companies are focusing on improving credit quality.
o Average losses remained the same when compared to the previous year. In addition,current receivables data showed a marked improvement when compared to 3Q03.

"The key metrics are showing signs of life," said Ralph Petta, Vice President of Industry Services for ELA. "Originations are increasing and portfolio quality shows improvement as pockets of the economy continue to strengthen".

The PIR study is conducted quarterly by ELA, which provides a variety of data, including customized market analyses, to ELA members and organizations involved in the $218 billion equipment leasing industry. The survey is conducted among approximately 20 major leasing companies on a quarterly basis, affording trend analysis across all major performance areas.

Because the same companies were tracked and used in the analysis, the PIR provides fairly reliable trend analysis. Each illustration reflects the data provided by those companies responding to that particular question. Typically, not every company polled responds to every question.