Companies continue to invest in the US economy and businesses show strong levels of investment in new and upgraded facilities, according to the 2012 US Investment Monitor (USIM) prepared by the Quantitative Economics and Statistics (QUEST) practice of Ernst & Young LLP.

The report analyzes major US business investment projects in each state and focuses on mobile capital investments, defined as projects that are not tied to specific geographic markets, natural resources or other constraints.  The 2012 USIM analyzed 5,000 business investments, which account for $135 billion of capital investment in business facilities and more than 336,000 jobs announced in the US in 2011. Capital investments are highest in states with substantial energy sectors, primarily Louisiana, Texas and Pennsylvania. The Gulf and East Coast has the highest number of announced jobs, led by Texas, Pennsylvania and Ohio. This year's study shows that energy projects are shaping the landscape, the automotive industry remains a creator of significant jobs, and the US continues to be an important location for advanced manufacturing facilities.

"The announced projects reflect the modernization of manufacturing facilities and the development of new energy resources such as shale gas extraction and solar power," said Andrew Phillips, leader of EY's Regional Economic Contribution service. "After two full years of post-recession recovery, we're also seeing that the US automotive industry remains a creator of significant jobs in the Midwest, and that the US remains an important location for advanced manufacturing facilities like semiconductors."

Manufacturing projects accounted for 60 percent of announced capital investment and 56 percent of jobs. The average capital investment per announced job in 2011 was $405,000 compared to $213,000 in 2010. This level of investment is similar to 2008 and 2009, which was another period of large energy projects and other capital intensive facilities.

"While there are strong regional and industry factors driving a large portion of the overall investment and job creation associated with announced projects, the diversity and mobility of projects demonstrates that states must continue to offer competitive business climates to attract investment from a wide range of industries," said Mary Faye LaFaver, an executive director with Ernst & Young LLP's Indirect Tax practice.

Top states for mobile capital investment:

• Louisiana: $20.9 billion
• Pennsylvania: $12.5 billion
• Texas: $10.1 billion
• New York: $7.9 billion
• Arizona: $6.6 billion
• Ohio: $5.8 billion
• Illinois: $5.4 billion
• Alabama: $4.8 billion
• California: $4.6 billion
• North Carolina: $4.1 billion

Top states ranked by new and retained mobile project jobs:

• Texas: 30,100
• Pennsylvania: 27,100
• Ohio: 26,200
• Virginia: 23,100
• North Carolina: 20,300
• South Carolina: 17,700
• Georgia: 17,300
• Tennessee: 16,900
• Indiana: 14,500
• New York: 12,300

For a full copy of the report, please visit: www.ey.com/us/salt.