Foreign Sales by U.S. Companies Tick-down in 2010; 46.3% of All Sales Were Derived Outside of the States
Taxes Paid to Foreign Countries Jump Significantly
NEW YORK, July 19, 2011 /PRNewswire/ -- S&P 500 companies with full reporting information posted 46.3% of their sales from outside of the United States in 2010, down slightly from the 46.6% posted in 2009 and significantly below the 47.9% recorded in 2008, according to research published today by S&P Indices. The data is derived from the 255 companies within the S&P 500 that have full reporting information.
“While the percentage of foreign sales posted a slight tick-downward in 2010, we believe that multiple changes in currency, membership and contracts negate any strong implication to the second yearly drop,” adds Howard Silverblatt, S&P Indices' Senior Index Analyst and author of the report. "Looking at these results on a proforma basis, foreign sales ticked-up for the year, a direction we feel will continue as non-U.S. growth outpaces U.S. domestic growth."
According to the report, sales to European countries rebounded to 29.1% in 2010 from 25.6% in 2009. Sales to Asian countries decreased to 13.1% from the 17.6% posted in 2009.
On a country by country basis, while Canada was again the primary recipient of S&P 500 foreign sales, it is continuing to fall out of favor. Only 4.1% of declared sales came from Canada in 2010 down from the 7.4% reported in 2009 and the 9.3% reported in 2008. At 3.13%, Great Britain was the second choice destination for foreign sales of the S&P 500 companies in 2010.
Looking at sectors, Information Technology continues to dominate with over 56% of its declared sales coming from outside of the United States; the sector now represents 22.4% of all U.S. foreign sales.
S&P Indices also determined that total income taxes paid to foreign entities increased 27.7% to $117.3 billion in 2010 from $91.9 billion in 2009. In comparison, S&P 500 companies paid $101.7 billion in domestic incomes taxes in 2010, a 9.7% increase over the $92.7 billion paid in 2009.
"In 2010, S&P 500 issues paid more income tax to foreign countries than to Washington," notes S&P's Silverblatt. "Only 46.4% of all income taxes paid by U.S. companies went to Washington in 2010 versus 53.6% paid abroad. Apparently, jobs weren't the only major export in 2010."
The full report, S&P 500: 2010 Global Sales, can be accessed by going to www.indexresearch.standardandpoors.com.
S&P 500 Foreign Sales Sector Report | ||||||||
S&P Indices | ||||||||
S&P 500 FOREIGN SALES SECTOR REPORT | ||||||||
% OF TOTAL FOREIGN SALES | ||||||||
2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | ||
Consumer Discretionary | 42.98% | 42.43% | 44.05% | 42.46% | 38.76% | 37.28% | 34.98% | |
Consumer Staples | 45.61% | 46.56% | 46.95% | 39.06% | 36.57% | 37.51% | 38.89% | |
Energy | 38.86% | 43.66% | 50.47% | 55.69% | 56.50% | 56.62% | 53.51% | |
Financials | 37.05% | 40.19% | 34.09% | 31.59% | 29.93% | 31.36% | 32.06% | |
Health Care | 49.82% | 47.21% | 48.61% | 44.54% | 41.76% | 37.54% | 40.81% | |
Industrials | 45.06% | 44.21% | 46.14% | 44.11% | 41.14% | 39.68% | 41.47% | |
Information Technology | 56.30% | 56.02% | 55.27% | 55.38% | 53.50% | 54.86% | 61.18% | |
Materials | 52.46% | 52.06% | 49.66% | 46.99% | 42.22% | 40.81% | 40.66% | |
Telecommunication Services | NM | NM | ||||||
Utilities | NM | NM | 52.18% | 55.16% | 63.60% | 60.48% | 58.52% | |
Total Non-U.S. 15%-85% | 46.29% | 46.57% | 47.94% | 45.84% | 43.55% | 43.26% | 43.75% | |
* NM = Not Enough Information Publicly Reported | ||||||||
REGION | 2010 | 2009 | 2008 | 2007 | 2006 | |
% OF | % OF | % OF | % OF | % OF | ||
FOREIGN | FOREIGN | FOREIGN | FOREIGN | FOREIGN | ||
SALES | SALES | SALES | SALES | SALES | ||
Africa | 6.47% | 7.94% | 5.84% | 6.82% | 5.57% | |
Asia | 13.11% | 17.65% | 13.21% | 16.76% | 18.97% | |
Australia | 0.26% | 0.27% | 0.20% | 0.21% | 0.16% | |
Europe | 29.12% | 25.57% | 27.69% | 28.79% | 31.09% | |
North America | 4.55% | 7.80% | 10.24% | 8.92% | 4.75% | |
South America | 4.27% | 5.38% | 4.98% | 3.74% | 3.59% | |
Foreign Countries | 42.22% | 35.39% | 37.85% | 34.76% | 35.87% | |
Total | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | |
S&P Indices | ||||||||
S&P 500 2010 INCOME TAXES PAID, US$ | ||||||||
2010 | 2009 | 2008 | 2007 | 2006 | 2005 | 2004 | ||
FOREIGN US$ MILLION | $117,341 | $91,876 | $135,129 | $123,610 | $112,686 | $91,794 | $72,172 | |
U.S. US$ MILLION | $101,662 | $92,667 | $107,205 | $151,104 | $155,269 | $141,471 | $100,376 | |
FOREIGN % OF TOTAL | 53.6% | 49.8% | 55.8% | 45.0% | 42.1% | 39.4% | 41.8% | |
U.S. % OF TOTAL | 46.4% | 50.2% | 44.2% | 55.0% | 57.9% | 60.6% | 58.2% | |
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