Current industrial reports

MISSING IMAGE

Material Information

Title:
Current industrial reports
Portion of title:
Manufacturers' shipments, inventories, and orders
Physical Description:
v. : ; 28-29 cm.
Language:
English
Creator:
United States -- Bureau of the Census. -- Manufacturers' Shipments, Inventories, and Orders Branch
United States -- Bureau of the Census
Publisher:
U.S. Dept. of Commerce, the Bureau of the Census :
For sale by the Subscriber Services Section (Publications), Bureau of the Census
Place of Publication:
Washington, D.C
Creation Date:
July 1973
Publication Date:
Frequency:
monthly, with annual summary[1976-]
monthly[ former 1963-1975]
monthly
normalized irregular

Subjects

Subjects / Keywords:
Manufacturing industries -- Statistics -- Periodicals -- United States   ( lcsh )
Inventories -- Statistics -- Periodicals -- United States   ( lcsh )
Genre:
serial   ( sobekcm )
federal government publication   ( marcgt )
statistics   ( marcgt )

Notes

Additional Physical Form:
Also distributed to depository libraries in microfiche.
Additional Physical Form:
Some monthly issues also available via Internet from the Census Bureau website as: Highlights from the preliminary report on manufacturers' shipments, inventories, and orders. Address as of 12/17/03: http://www.census.gov/indicator/www/m3/prel/priorrel.htm; current access available via PURL.
Additional Physical Form:
Some annual summaries also available via Internet from the Census Bureau website. Address as of 12/8/2005: http://www.census.gov/prod/www/abs/m3-1.html; current access available via PURL.
Dates or Sequential Designation:
Oct. 1963-
Numbering Peculiarities:
Some annual summaries issued in revised editions.
Numbering Peculiarities:
Each annual summary cumulates previous issues for a period of prior years, i.e., annual summaries for <1976>-197 cumulate from 1958.
Issuing Body:
Prepared by: Bureau of the Census, Industry Division, Manufactures' Shipments, Inventories, and Orders Branch, 1963-1964; issued by: U.S. Department of Commerce, Economics and Statistics Administration, Bureau of the Census, <2000->
General Note:
Title from cover.
General Note:
Some issues not distributed to depository libraries in a tangible format.
General Note:
Paper copy no longer sold by Supt. of Docs., U.S.G.P.O.
General Note:
Latest issue consulted: July 2002.

Record Information

Source Institution:
University of Florida
Rights Management:
All applicable rights reserved by the source institution and holding location.
Resource Identifier:
aleph - 001320832
notis - AGH1708
oclc - 02548418
lccn - 74614399
issn - 0364-1880
Classification:
lcc - HD9724 .U52a
ddc - 380.1/0973
System ID:
AA00008477:00069

Related Items

Preceded by:
Industry survey
Preceded by:
Manufacturers' shipments, inventories, and orders

Full Text

CURRENT


A UNITED STATES
DEPARTMENT OF
COMMERCE
PUBLICATION


INDUSTRIAL


-Ma nufacturers'


inventories,


and


REPORTS


Orders


at..


July


0-
t*IO


1973


MERCE Social and Economic Statistics Administration BUREAU OF THE CENSUS


FOR RELEASE:


SERIES:


M3-1 (73)-7


SUMMARY


New orders
July remained
billion from J
Shipments incr
to $73.60 bill
Unfilled orders
percent to $10
Manufacturers'
lion or 0,8 per
of July. The
decreased from


for manufactured products in
virtually unchanged at $75.39
une after seasonal adjustment.
eased $1.98 billion or 2.8 percent
on from $71.62 billion in June.
Increased $1.80 billion or 1.8
4.15 billion at the end of July.
inventories increased $945 mil-
cent to $113.97 billion at the end
inventories to shipments ratio
1.58 to 1.55.


For the 3 months ending in July the average
month to month change in new orders increased
0.9 percent compared with a 1.5 percent increase


months


percent increase
January.

NEW ORDERS


ending


for the 3


in April
months


and a 1.8


ending


and fabricated metal products ($250 million).
Shipments of nondurable goods increased $310
million or 1.0 percent to $32.67 billion in July.
An increase in the foods industries ($250million)
led the overall increase in nondurables.

UNFILLED ORDERS


Unfilled
$1.77 billion


orders of durable goods increased
Sor 1.8 percent to $99.42 billion at


the end of July. The July increase was led by
primary metals ($645 million), nonelectrical
machinery ($535 million), fabricated metal prod-
ucts ($365 million) and electrical machinery


($315 million).

INVENTORIES


Inventories


goods


increa


respectively


$Jew orders for durable goods decreased $320
ffllioni or 0.7 percent to $42.70 billion in July.
July decreases in aircraft and parts ($675
milorn), shipbuilding and railroad equipment
:($f5 :million), and primary metals industries
i($325 million) were partially offset by increases
SM jnotor vehicles and parts* ($525 million),
Wbxicated metal products ($355 million) and


nionelectrical machinery ($240 million). Among
the supplementary series, the capital goods
industries decreased $1.01 billion with the de-
fense component decreasing $1.08 billion.


SHIPMENTS


Shipments of durable goods increased $1.67
Billion or 4.3 percent to $40.93 billion in July.
The July increase was led by motor vehicles
and parts ($815 million), nonelectrical machinery
($260 million), primary metals ($260 million)
ZIt should be noted that new orders for the
motor vehicles industry are not reported as such


but are estimated as equal to shipments.


Hence a


sizeable increase in shipments is necessarily


level,
million:
$230


I


mater


of durable goods and nondurable
sed $510 million and $435 million
in July. At the all manufacturing
ials and supplies increased $790


n, work in process inventories increased
million and finished goods inventories


decreased


$75 million.


SCHEDULED RELEASE DATES
The figures on the durable goods industries
in this report supersede those issued earlier in
the advance report on durable goods. The present
report is based on more complete reporting, but
the estimates are also considered preliminary.
Final figures will appear as historical data in the
report to be published for next month. The
advance report on durable goods for August is
scheduled for release on September 24, 1973 and


the full
October


report
. 1973.


For an explanati


scheduled

on of term


for release


used


in this


report see appendix following table


Inquiries concerning these figures should be
addressed to the U.S. Department of Commerce,
Social and Economic Statistics Administration,
Bureau of the Census, Industry Division, Wash-


Shipments,


&I~ 4


)








INVENTORIES,


(Millions


of dollars)


Industry


All manufact
tries:
Total.....


group


during


Total, excluding


indus-


trains-


portation.............. .


Durable g

Stone, c

Primary


oods industries,


total.


;lay, and glass products.


metals,


t


Blast furnaces,
Nonferrous meta


All other primary


Fabricated


Metal


Machinery,


otal.........
steel mills.
ls. e..........


metals...


metal products


cans, barrels,


except


electrical,


total.......... ,...........


Engines


and turbines.......


Farm machinery and equipment.


Construction,


mining,


material handling equipment.


Metalworking


General
Electrical
Electric,


machinery......


industrial
machinery,


machinery
total...


transmission


distribution equipment and
industrial apparatus.......
Household appliances........
Radio and TV................


Communication


equipment.....


Transportation equipment,


Motor vehicles


Aircraft,


total


and parts....


missiles,


parts.e ...... .............


Shipbuilding


and railroad


equipment..................

Instruments and related
products, total..............


Scientific and


All other
related


engineering..


instruments
products...,.


All other durable


goods


industries.............


Nondurable


goods industries,


total........ ...

Food and kindred
total...........
Meat products..
Fats and oils..


Tobacco
Textile


products,
.o.. ne... w....


products.....
mill products


Paper and allied


Pulp, paper,
Paperboard c
All other pa

Chemicals and


products,


etcae..........
;ontainers.......


Lper

alli


containers..

ed products,


total........................


Industrial


Drugs,

Petroleum
Rubber an


soap,


cheracials,


except


and toiletries.


and coal products...


d plastics


products,


All other nondurable


Shipments


inventories


Seasonally adjusted Without season Seasonally adj ed Without seasonal
adjustment Seasonally adjustment1
adutet


4,662

456


6,421
557
592

1,253
359
560
5,451


991
663
631
1.136


5.685


2,903

378


1,171
607

564


4,160


32,000


10,872
2,648
779

520
2.611


5.387


5.962


2,081

329


1,056
522

534


3,383


26,762


113,97,2

96,'920

74,313

2,677


1,280


7,027


39.659


96,048

73,801

2,593


111,625

94,991


2,524


113,432

96,753

'74,085

2.699


113,175

96,557

73,911

2,637


1,278


7,069


39,264


9.711


7.068


104,248

88,953


GROUP


goods









OF MANUFACTURERS'


(Millions


of dollars)


Industry


group


All manufacturing
tries:
Total..........


Total,


excluding


indus-


trans-


portation......


Durable g

Primary


dods


industries


total.


metals,


Blast furnaces


Nonferrous

Fabricated m

Machinery, e
total......


Engines


total.........

. steel mills.


metals...........

[etal products.....


xcept


electrical,


and turbines........


Construction,


mining,


Material handling equipment.


Metalworking


machinery......


General industrial machinery.


Electrical ma

Electrical
distribute
industrial
Household a


chinery,


total...


transmission and
on equipment and
apparatus.......
.ppliances........


Radio and TV................


Communication

Transportation


equipment.....

equipment,


total.......... ...............


Aircraft,


missiles,


parts......................


Shipbuilding


and railroad


equipment..................


All other durable


$o~durabie


goods


goods


industries


total..................... .....


Industries


with unfilled


orders.......


Industries


without


unfilled


New orders


Unfilled


orders


Without seasonal Without seasonal
Seasonally adjusted adjustment1 Seasonally adjusted adjustment1


5,029


6,957

746

1,368
415
616

5,765



1,146
670
702
896


10,858


2,592

533


7,397


32,693:


8,284

24,409


4,672


6,719

618

1,288
380
548

5,682



1,059
696
508
1,251


11,329


3,269

867


7,599


32,345


8,186

24,159


57,765


18,298


102,355


103,596

74,462

98,848

12,862


12,660


18,360

5,126

3,510
1,691
1,845

18,401



4,973
142
743
6,117


29,134


19,052

6,284


7,431


4,748


4.748


- Represent
'Adjusted


ts


~Preliminary.


Revised.


for trading-day and calendar-month


6.619









Table 2.--VALUE


OF MANUFACTURERS'


(Mlllions


AND ORDERS,
of dollars)


FOR MARKET


CATInORIES


AND SUPPLEMENTARY


SERIES


Without seasonal Without seasonal
Seasonally adjusted adjustmenta Seasonally adjusted adjustment
adjustment1 adjustment
Industry group 1
July June May July June July July June May July June July
1973p 1973r 1973 1973 1973r 1972 1973p 1973r 1973 1973 1973 1972

Shipments Total inventories


All manufacturing industries, total.. 73,597 71,616 7.1,284 67,699 76,273 56,394 113,972 113,025 111,625 113,432 113,175 104,248

Durable goods industries, total............ 40,927 39,257 39,284 36,791 42,641 29,632 74,313 73,801 72,867 74,085 73,911 67,613
Nondurable goods industries, total......... 32,670 32,359 32,000 30,908 33,632 26,762 39,659 39,224 38,758 39,347 39,264 36,635

Industry groups arranged by market
categories:
Home goods and apparel................... 6,597 6,681 6,682 6,158 6,983 5,456 12,727 12,586 12,426 12,983 13,103 11,669
Consumer staples......................... 13,981 13,734 13,570 13,375 14,071 11,505 15,245 14,976 14,849 14,830 14,665 13,752
Equipment and defense products, except
automotive.............................. 10,576 10,279 10,192 9,636 10,899 7,921 28,872 28,680 28,338 28,806 28,726 26,028
Automotive equipment..................... 8,298 7,436 7,560 6,654 8,547 4,656 6,745 6,753 6,432 6,369 6,427 5,613
Construction materials, supplies, and
intermediate products................... 6,079 6,021 6,079 5,988 6,609 5,161 9,520 9,378 9,235 9,567 9,463 8,471
Other materials and supplies and
intermediate products.................. 28,066 27,465 27,201 25,888 29,164 21,695 40,863 40,652 40,345 40,877 40,791 38,715

Supplementary series:2
Household durable goods industries....... 3,105 2,975 2,993 2,765 3,146 2,313 5,905 5,904 5,870 6,030 6,066 5,452
Capital goods industries................. 12,273 11,964 11,844 11,170 12,668 9,265 32,705 32,490 32,101 32,666 32,565 29,362
Nondefense............................. 10,623 10,381 10,098 9,588 10,988 7,775 27,302 27,013 26,717 27,251 27,095 24,517
Defense .............................. 1,650 1,583 1,746 1,582 1,680 1,490 5,403 5,477 5,384 5,415 5,470 4,845

New orders Unfilled orders


All manufacturing industries, total.. 75,390 75,361 74,535 70,308 78,486 57,765 104,150 102,355 98,602 103,596 100,983 79,254

Durable goods industries, total............ 42,697 43,016 42,449 39,411 44,914 30,996 99,421 97,647 93,882 98,848 96,222 75,632
Nondurable goods industries, total......... 32,693 32,345 32,086 30,897 33,572 26,769 4,729 4,708 4,720 4,748 4,761 3,622

Industry groups arranged by market
categories:
Home goods and apparel................... 6,736 6,778 6,695 6,439 7,125 5,513 2,916 2,770 2,668 3062 2,772 2,489
Consumer staples......................... 13,989 13,738 13,561 13,382 14,064 11,503
Equipment and defense products, except
automotive.............................. 10,651 11,520 11,097 10,749 11,854 8,740 50,744 50,683 49,165 50,930 49,703 41,348
Automotive equipment.................... 8,281 7,708 7.746 6,766 8.647 4,778
Construction materials, supplies, and
intermediate products..................... 6,390 6,240 6,423 6,276 6,843 5,185 11,789 11,477 11,258 11,868 11,579 9,750
Other materials and supplies and
intermediate products................... 29,343 29,377 29,013 26,696 29,953 22,046 38,701 37,425 35,511 37,736 36,929 25,667

Supplementary series:2
Household durable goods industries....... 3,166 3,078 3,007 2,961 3,298 2,367 2,292 2,230 2,127 2,422 2,224 1,993
Capital goods industries................. 12,579 13,590 12,768 12,538 13,913 10,205 56,616 56,308 54,679 56,807 55,435 46,761
Nondefense............................ 11,488 11,415 10,919 10,443 12,011 8,171 36,232 35,364 34,329 36,226 35,369 27,429
Defense ............................... 1,091 2,175 1,849 2,095 1,902 2,034 20,384 20,944 20,350 20,581 20,066 19,332


~Dur 1mg


1968 manufacturers in ordnance,


communications, aircraft and aircraft parts, and shipbuilding industries began to


provide


aggre-


gate figures on
included in the


shipments, orders, and total inventories of work


defense


PPreliminarv.


variations; unfilled orders and inventories as of
categories as follows:

Household durable goods industries Househol
appliances; ophthalmic goods, watches, and


rRevised.
end of month,.


furniture;


performed for


the Department


of Defense.


tShipments and new orders adjusted


supplementary series


kitchen


articles


The results of these reports are


for trading-day and calendar-month


are regroupings


cutlery,


handtools,


of the


separate industry


and hardware;


household


clocks; and miscellaneous personal goods.


Capital goods industries The capital goods industries series is comparable


to the previous


Producers'


Capital


Goods and the Defense


Products


(old series)


categories.


Nondefense products Machinery, except electrical (excluding


(excluding


household appliances and


farm machinery and equipment and machine shops ,


electronic components), and the nondefense


portions of shipbuilding and


electrical machinery
repairing and railroad


equipment, communication equipment, aircraft and aircraft parts, and ordnance.


Defense products Based on separate reports on defense work filed
communications, aircraft and aircraft parts, and shipbuilding.


by large defense contractors in the following industries:
The data are comparable to those published annually in the


ordnance,
MA-175,


Shipments of Defense-Oriented Industries,


and pottery;










Table 3.--MANUFACTURERS'


(Based


on seasonal


ly adjusted


Month-to-month Average monthly rates of change Average, 1967-72

3 months 12 months
Item and industry group June- May- Apr.- __________ Average Average
---------------------Average Average
July June May
19l7 193 1973 Apr.- Jan.- Oct. 1972- July 1972- rise decline
1973 1973 1973 July 1973 Apr. 1973 Jan. 1973 July 1973
July 1973 Apr. 1973 Jan. 1973 July 1973


Shipments:
All manufacturing


Durable go
Nondurable


industries..


ods industries,


goods industries,


Total inventories:
All manufacturing

New orders:
All manufacturing


Durable


total.


total


industries.


industries.


goods industries,


total


Nondurable goods industries,


Unfilled


........
*. -. ..


total.


orders:


Durable goods


industries


total.


+1.8


+4.0


+3.5


+3.1


+2.9


+1.5


+0.7


+2.3


+1.3


-1.2


-0.1


-1.1


Table 4.--VALUE


OF MANUFACTURERS'


INVENTORIES


, BY STAGE OF FABRICATION,


BY INDUSTRY


(Millions


of dollars)


Without seasonal Without seasonal
Seasonally adjusted au eSeasonally adjusted
adjustment adjustment
Industry group
July June May July June July July June May July June July
1973 1973r 1973 1973p 1973r 1972 1973 1973r 1973 p973 1973r 1972

Total Materials and supplies


All manufacturing industries, total.. 113,972 113,025 111,625 113,432 113,175 104,248 37,223 36,434 35,858 37,089 36,213 32,882
Durable goods industries, total............ 74,313 73,801 72,867 74,085 73,911 67,613 21,863 21,424 21,198 21,937 21,326 19,386
Stone, clay, and glass products.......... 2,677 2,593 2,524 2,699 2,637 2,395 889 865 853 889 864 780
Primary metals........................... 9,457 9,391 9,425 9,313 9,293 9,569 3,384 3,326 3,348 3,338 3,252 3,276
Machinery (electrical and nonelectrical). 26,965 26,755 26,383 26,978 26,993 23,720 7,558 7,245 7,157 7,682 7,300 6,206
Transportation equipment.................. 17,052 16,977 16,634 16,679 16,618 15,295 3,406 3,433 3,195 3,168 3,281 2,874
All other durable goods industries....... 18,162 18,085 17,901 18,416 18,370 16,634 6,626 6,555 6,645 6,860 6,629 6,250
Nondurable goods industries, total......... 39,659 39,224 38,758 39,347 39,264 36,635 15,360 15,010 14,660 15,152 14,887 13,496
Chemicals and allied products............ 7,129 7,046 7,036 7,162 7,068 6,931 2,598 2,559 2,507 2,618 2,559 2,406
Petroleum and coal products.............. 2,406 2,335 2,321 2,391 2,303 2,324 518 490 511 521 497 507
Rubber and plastics products, n.e.c...... 2,549 2,484 2,457 2,507 2,477 2,272 830 799 753 840 799 696
All other nondurable goods industries.... 27,575 27,359 26,944 27,287 27,416 25,108 11,414 11,162 10,889 11,173 11,032 9,887

Work in process Finished goods

All manufacturing industries, total.. 40,118 39,886 39,452 39,928 39,734 35,995 36,631 36,705 36,315 36,415 37,228 35,371
Durable goods industries, total............ 33,861 33,735 33,318 33,635 33,533 30,209 18,589 18,642 18,351 18,513 19,052 18,018
Stone, clay, and glass products.......... 358 355 347 360 363 327 1,430 1,373 1,324 1,450 1,410 1,288
Primary metals........................... 3,520 3,493 3,544 3,475 3,450 3,429 2,553 2,572 2,533 2,500 2,591 2,864
Machinery (electrical and nonelectrical). 12,204 12,237 11,964 12,113 12,226 10,575 7,203 7,273 7,262 7,183 7,467 6,939
Transportation equipment................. 12,181 12,100 11,999 12,083 11,901 10,895 1,465 1,444 1,440 1,428 1,436 1,526
All other durable goods industries....... 5,598 5,550 5,464 5,604 5,593 4,983 5,938 5,980 5,792 5,952 6,148 5,401

Nondurable goods industries, total......... 6,257 6,151 6,134 6,293 6,201 5,786 18,042 18,063 17,964 17,902 18,176 17,353

Chemicals and allied products............ 1,119 1,103 1,107 1,116 1,112 1,010 3,412 3,384 3,422 3,428 3,397 3,515
Petroleum and coal products.............. 544 530 530 548 542 511 1,344 1,315 1,280 1,322 1,264 1,306
Rubber and plastics products, n.e.c...... 402 389 391 401 386 366 1,317 1,296 1,313 1,266 1,292 1,210
All other nondurable goods industries.... 4,192 4,129 4,106 4,228 4,161 3,899 11,969 12,068 11,949 11,886 12,223 11,322


~Preliminary.


data)


GROUP


+1.6









INVENTORIES TO SHIPMENTS AND UNFILLED ORDERS TO SHIPMENTS, BY INDUSTRY


(Based


on seasonally adjusted


e Unfilled orders shipments ratio1
Inventories shipments ratio
(months backlog)
Industry group
July June May July July June May July
1973p 1973r 1973 1972 1973P 1973r 1973 1972

All manufacturing industries, total................... 1.55 1.58 1.57 1.71 2.39 2.41 2.32 2.17
Durable goods industries, total....................... ..... 1.82 1.88 1.85 2.06 2.82 2.85 2.75 2.61

Stone, clay- and glass products.......................... 1.30 1.25 1.20 1.29 (NA) (NA) (NA) (NA)
Primary metals................................. .... ....- 1.56 1.62 1.65 2.06 2.29 2.28 2.09 1.49
Fabricated metasls......... ................. .... .... ...... 1.77 1.87 1.83 1.94 3.01 3.10 2.98 3.02
Machinery, except electrical............................. 2.41 2.50 2.51> 2.69 2.88 2.91 2.87 2.59
Electrical machinery..................................... 2.10 2.16 2.12 2.17 3.36 3.42 3.32 3.20
Transportation equipment............................... 1.54 1.66 1.61 1.93 4,77 4.89 4.75 4.93
Instruments and related products................"........ 2.40 2.38 2.34 2.34 (NA) (NA) (NA) (NA)
Nondurable goods industries, total.......................... 1.21 1.21 1.21 1.31 0.57 0.57 0.57 0.48
Food and kindred products...........................*... 0.89 0.91 0.91 1.00 (X) (X) (X) (X)
Tobacco products......................................... 4.52 4.55 4.52 4.51 (X) (X) (X) (X)
Textile mill products.................................... 1.70 1.68 1.64 1.79 (NA) (NA) (NA) (NA)
Paper and allied products............................... 1.09 1.10 1.09 1.20 (NA) (NA) (NA) (NA)
Chemicals and allied products...................-.......... 1.25 1.26 1.31 1.46 (X) (X) (X) (X)
Petroleum and coal products............................. 0.83 0.81 0.82 0.93 (X) (X) (X) (X)
Rubber and plastics products, n.e.c.................-----.. 1.50 1.48 1.48 1,50 (X) (X) (X) (X)


Not available.


PPrelimlnary.


'Excludes the following industries with


rRevised. (N
no unfilled order:


Not applicable.
Wooden containers;


glass containers;


metal cans,


barrels


and drums; motor


vehicle assembly operations; foods and related products; tobacco; apparel and related products; chemicals; petroleum and coal products; and
rubber and plastics products, n.e.c.


data)


GROUP










Appendix


The following is a description of the survey and


definitions used.


the meaning
represent ai


EXPLANATION OF TERMS


These are provided to clarify


of the items


involved and do not


revisions from those definitions


previously employed.


Value of Shipments--Shipments in the monthly
survey are equivalent to value of shipments as


reported


DESCRIPTION OF THE SURVEY


~The


Manufacturers'


Shipments,


Inventories,


and Orders survey provides monthly figures that
are comparable to the annual totals published each
year in the annual survey of manufactures (ASM).
The ASM is based on a sample of approximately
60,000 manufacturing establishments drawn from
the 5-year census universe of about 310,000 estab-
lishments. In the ASM, each manufacturing
establishment provides data on employment, pay-


rolls,


shipments,


penditures, an
selected items.
information on


cost of materials,


inventories


as wel


capital ex-
l as other


The establishments do not provide


Unfilled


orders or new orders.


Since the ASM is establishment based, itprovides
data for each of the 425 manufacturing industries
in the Standard Industrial Classification System
(SIC) and area data for industry groups.


ASM


which


are received


receivable net selling values, f.o.b. plant, after
discounts and allowances and excluding freight
charges and excise taxes. Included in shipments
are the value of all products sold, transferred to
other plants of the same company, or shipped on
consignment.

Shipments also include receipts of establish-
ments in the industry for contract work performed


for others,


resales,


receipts for miscellaneous


activities such as the sale of scrap and refuse;
value of installation and repair work performed by
employees of the plant; and value of research and
development performed at the plant. In the aircraft
industry and shipbuilding, the value of work done
in a given year varies considerably fromthe value
of shipments because of the long lead time between
the input of the materials and labor and the ship-
ments of the completed aircraft or ship. In the


annual survey,.


therefore, the value of work done


monthly


survey


M3-1 does not provide


information at the complete SIC industry detail
because of the smaller size of the reporting panel
and the fact that most companies cannot provide


shipments, inventories,
for individual establish


and orders data monthly


during the year is requested rather than the value
of shipments.

The value of shipments figures developed from
the ASM contain duplication at the all manufac-
turing and industry group levels since the products
of some industries are used as materials by other


industries within the industry group.


The monthly reporting panel consists of ap-
proximately 5,000 reporting units and includes
virtually all companies with 1,000 or more em-
ployees and a sample of the smaller ones. The


With the ex-


ception of motor vehicles, it is not significant at
the 4-digit SIC group level. Since the M3-1 in-
dustry categories typically are groupings of


industries,


this duplication is significant for the


reporting


typically


comprises


the entire


operations of a company although many of the
larger diversified companies file separate divi-
sional type reports for their operations in different
industries.


Most


of the


reporting


units


include


mixed


industry activity even within the broad industry
categories of the monthly survey. The survey
methodology assumes that the month-to-month
changes of the reporting units classified in each
industry category represent effectively the month-
to-month movements of the establishments in the
SIC industries which make up the category. Thus,
the monthly reports are used to update the ASM


estimates by using a
companies in each indus


link relative of matched


all manufacturing, durable goods and nondurable
goods categories and the various market groups.
The significance of the duplication within the


'S


&


specific M3-1 industry groups varies depending on
the 4-digit industry composition of these groups.
It is most pronounced in a few highly integrated
industry areas such as primary metals and motor
vehicles and parts.

Since most monthly reports are for the entire
company or major divisions rather than establish-
ments, the companies are requested to report net
sales, i.e., total company billings after discounts


and allowances.


Companies which file divisional


reports are requested to treat transfersfromone
division of the company to another as if they were


net sales


to outside customers.


Although this


The








definition of shipments in the monthly reports
differs from that used in the annual establishment


reports,


changes in company sales in the industry are
representative of the month-to-month shipments
of the establishments in the industry.


inventories--End-of-month inventories in the
monthly survey are identical in definition to the


end-of-year inventories in the ASM.


In the ASM,


respondents are asked to report inventories of
individual establishments at approximate current
cost if feasible; otherwise, "atbook values." Since
different methods of inventory valuation are used
(LIFO, FIFO, etc.), the definition of the aggregate
inventories for establishments in an industry is
not precise. The figures on the change in in-


ventortes


from


one period


to the next are of


greater significance than the actual aggregates.


Inven
cation:
and (c)
inventor


stories are reported by stage of fabri-
(a) finished goods; (b) work in process;


te


materials, s
s. In using


applies,


inventories


and other
by stage of


fabrication at the all manufacturing and 2-digit
industry levels a-s well as for the durable and non-


durable goods sectors,


finished


it should be noted that a


product of one industry may be a raw


material for another industry at the next stage of


fabrication.


Insofar as the durable and nondurable


goods sectors and also the 2-digit industry groups


contain


industries


with


successive


stages


processing, the same type of commodity may be
included under different inventory categories in
the aggregate statistics.


New Orders Received


and Unfilled Orders--


Orders as reported in the monthly survey are net


of cancellations during the month.


They include


orders received during the period and also filled
during the period as well as those orders received


for future delivery.


They also include the net


sales value of contract change documents which
increase or 'decrease the sales value of the un-
filled orders to which they relate. Orders include
only those supported by binding legal documents
such as signed contracts, or letter contracts. In
case of letter contracts the full amount of the sales
value is included if the parties are in substantial
agreement on the amount; otherwise, only the funds
specifically authorized to be expended are in-
cluded. The respondent is instructed to deduct
the sales value ofparitialor complete cancellation
of existing orders.

Unfilled orders include orders as defined above
that have not yet passed through the sales account.
Generally, unfilled orders at the end of the re-
porting period are equal to unfilled orders at the
beginning of the period plus net new orders
received less net sales.
While both new orders and unfilled orders are
used in reviewing individual company reports for
consistency, only unfilled orders are estimated


New orders are


directly in the tabulated totals.


derived


unfilled orders for each industry category. This
procedure is followed for seasonallyadjusteddata
as well as for the unadjusted data. Shipments and
unfilled orders are seasonally adjustedindepend-
ently. Seasonally adjusted new orders are derived
from seasonally adjusted shipments and sea-
sonally adjusted unfilled orders.


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it is assumed that the month-to-month


from the shipments plus net change in


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