UO Index and "Insourcing"

We have two pieces of news for you today; one statewide and one from the Willamette Valley.

UO Index Declined in May
The University of Oregon Index of Economic Indicators describes itself as a leading indicator and a tool in assessing the economy. The UO Index fell 0.2 percent May, the second consecutive monthly decline. Reasons for the decline included "deterioration in building permits, employment services payrolls, and and the interest rate spread."

The UO Index analysis indicated that the decline does not signal the end of Oregon's recovery. The May summary explains that while "the weaker data is not consistent with an impending recession, it is certainly a disappointment considering the stronger momentum evident at the end of 2010 and serves as a reminder that the pace of recovery has proven to be relatively slow."

For more details, read the full UO Index summary. Analysis is also available for Portland, Lane County, and central Oregon (http://econforum.uoregon.edu/indexes.html).


Reverse Outsourcing
A local story caught our eye today too. We've long heard stories about outsourcing. But as the Statesman Journal reports, here's something we seldom see in the global economy: an Oregon-based apparel company leaving its contractors in China and bringing its sewing to a small factory in Oregon. Nine 1 One Gear, a Portland company with a line of outerwear for firefighters and emergency responders, will now rely on skilled workers in Salem.

The article explains that Nine 1 One Gear is merging with WaterShed Inc. WaterShed has been in business with its factory producing waterproof clothing for police and firefighters in Salem for about 27 years. Nine 1 One's outerwear was previously made in China. With the merger, both WaterShed's and Nine 1 One's brands will be manufactured at a 25,000-square-foot Salem plant.

Check out the full article for more information!