Ann: Preliminary Final Report-WOR.AX, page-43

Everywhere you look there is more stuff stating/illustrating how capex spend across world and esp in West is falling substantially with no sign of a turnaround. WOR depends on capex for majority of its income. maintenance just a small part of what it does.



'Moving on to investment, we see that US non-residential investment has slowed and is actually contracting on a year-over-year basis. Corporate capex is also declining perhaps due to increased import competition. From 2011-2014, as the yuan strengthened by roughly 10%, US corporate capex grew around 10% per year. Now that the yuan has been declining, US corporate capex is actually contracting to the tune of about 11% on a year-over-yea basis.'

In addition to corporations cutting capex spending, US corporate profits have slowed as well. NIPA corporate profits are off 16% from the high made in the fourth quarter of 2014. And it isn’t just profits that have slipped, profit margins have contracted as well. Corporate profit margins have fallen from 10% in 2011 to just under 8% as June 2016.


All of this adds up to slower economic output in aggregate. Both real and nominal US GDP have noticeably slowed. The year-over-year change in nominal GDP has slowed from 5% to about 2.5% while the year-over-year change in real GDP has 3.3% to just 1.2%.

http://www.advisorperspectives.com/...economy-has-been-affected-by-a-weakening-yuan