CONSTRUCTION MATERIAL COSTS OUTRUN FINISHED BUILDING PRICES IN JUNE, SUBJECTING CONTRACTORS TO PRICE SQUEEZE DESPITE ONE-MONTH DIP IN COSTS

WASHINGTON, D.C. – July 14, 2011 – (RealEstateRama) — Construction costs again outpaced other producer prices in June but contractors remained unable to recoup the costs through higher bid prices, according to an analysis of producer price index figures released today by the Associated General Contractors of America. Association officials said the ongoing cost squeeze will put new pressure on construction firms to reduce staff and possibly close.