Minnesota Economy Growing at a Modest Pace

                  Minnesota Economy Growing at a Modest Pace

- Housing shows signs of stability

- Manufacturing and export growth moderating

- Government job cuts ease

PR Newswire

MINNEAPOLIS and ST. PAUL, Minn., Nov. 13, 2012

MINNEAPOLIS and ST. PAUL, Minn., Nov. 13, 2012 /PRNewswire/ --The Minnesota
economy is growing at a modest pace, according to the State Monitor Report
released today by BMO Capital Markets Economics. While growth in exports and
factory activity has moderated, government-sector job cuts have eased and the
jobless rate is below the national average.

Employment continues to exhibit modest growth.Nonfarm payrolls were up and
the jobless rate was a relatively low 5.8 percent in September. The
manufacturing sector is gradually adding jobs and construction employment has
bounced back alongside a modest pickup in home building. Government-sector job
cuts have subsided with payrolls in that category rising in 3 of the latest 4
months.

"Our commercial customers continue to express optimism and confidence in the
state's economic resiliency," said Todd Senger, Commercial Banking Managing
Director for Minneapolis, BMO Harris Bank."Our local expertise, sector
knowledge and mid-market focus are real advantages to helping our customers
find solutions as they invest and upgrade their businesses."

While housing is still weak in Minnesota, a prolonged period of price declines
has given way to some positive momentum in recent months.The months' supply
of homes for sale in the Twin Cities has gradually fallen and residential
construction has also gained some positive momentum in 2012. "All told,
Minnesota's housing market exhibits about average stress," said Dr. Sherry
Cooper, Chief Economist, BMO Financial Group."But firmer price trends and an
upturn in homebuilding activity are encouraging."

A recession in Europe and slowdown in Asia have weighed on global factory
output and that has begun to cool growth in the export sector. In Minnesota,
exports were up just 1.2 percent year-over-year in the second quarter, down
from a double-digit pace a year earlier.

State tax collections are on the rise, up 10 percent year over year in the
second quarter of 2012 alongside a jump in corporate tax receipts.

The full State Monitor report can be downloaded at www.bmocm.com/economics .

About BMO Harris Bank
Based in Chicago, BMO Harris Bank N.A. provides a broad range of personal
banking products and solutions through over 600 branches and approximately
1,300 ATMs in Illinois, Wisconsin, Indiana, Kansas, Missouri, Minnesota,
Nevada, Arizona and Florida. BMO Harris Bank's commercial banking team
provides a combination of sector expertise, local knowledge and mid-market
focus throughout the U.S. Deposit and loan products and services provided by
BMO Harris Bank N.A. Member FDIC. BMO Harris Bank^SM is a trade name used by
BMO Harris Bank N.A. BMO Harris Bank is part of BMO Financial Group, a North
American financial organization with 1,600 branches, and a retail deposit base
of approximately $180 billion

SOURCE BMO Harris Bank

Website: http://www.harrisbank.com
Contact: Beth Copeland, +1-317-269-1395, beth.copeland@bmo.com
 
Press spacebar to pause and continue. Press esc to stop.