NEW YORK, NY--(Marketwire - March 12, 2009) - As the nation's unemployment figures continue to reach new heights, Chief Executive magazine's 2009 "Best & Worst States" survey took CEOs' pulse on what the best and worst places for jobs and business growth are. For the fourth year in a row, CEOs rated Texas as the #1 state to do business and California as the worst.

Chief Executive's fifth annual survey asked 543 CEOs to evaluate their states on a broad range of issues, including proximity to resources, regulation, tax policies, education, quality of living and infrastructure. Providing additional insight to the evaluations, CEOs were also asked to grade each state based on the following criteria: 1) Taxation & Regulation, 2) Workforce Quality, and 3) Living Environment.

"Our survey, year-over-year proves that those states with the worst records continue to practice the same policies that alienate businesses," said JP Donlon, Editor-in-Chief of Chief Executive magazine. "As the nation's economic problems continue to snowball and an increasing number of states experience budgetary problems, state governments ought to take a hard look at their taxation and unionization policies if they want to turn the page and attract new businesses and capital to their provinces."

Once again, this year, the same states that took the bottom five spots over the past few years preserved their rankings for the most part. For the fourth year in a row, California and New York were ranked the worst and second worst state to do business in, respectively. Michigan was ranked third from the bottom for the second year in a row. The only difference in the bottom five was a flip in the worst fourth and fifth states, as New Jersey took over Massachusetts as the fourth worst state.

Plaguing business growth and opportunities in these states are high business taxes exposed on business owners as well as a strongly unionized labor force. Coincidentally, all the bottom three states, California, New York and Michigan, also support some of the nation's highest unemployment rates -- 10.1 percent, 7.6 percent and 11.6 percent, respectively, as of January (most recent data available). This compares to a national average of 7.6 percent in the same month (national unemployment rate reached 8.1 percent in February).

Expressing the prevalent attitude among CEOs, one CEO said, "Michigan and California literally need to do a 180 if they are ever to become competitive again. California has huge advantages with its size, quality of work force, particularly in high tech, as well as the quality of life and climate advantages of the state. However, it is an absolute regulatory and tax disaster, as is Michigan."

As states put on an intense competition to attract business and investment in this tough economic environment, Chief Executive magazine's Best & Worst States survey experienced a flurry of activity in the top ranks with the entry of three new states into the top five: Florida, Georgia and Tennessee.

Texas maintained its #1 spot in the ranking for the fourth year in a row, as North Carolina, Florida, Georgia and Tennessee all jumped up in ranks, taking the #2, 3, 4 and 5 spots, respectively.

"Texas and the Carolinas are great for business," said one CEO. "South Carolina's Research Authority is exemplary in terms of creating new economic growth and Texas is strategically centered, has low taxes, and outstanding demographics."

As a testament to this statement, in contrast to much of the nation, in fiscal 2008, Texas' gross state product grew by 4.2 percent, compared to 1.9 percent for the national economy.

For complete results regarding the confidence of public- and private-company CEOs, please visit our full report at www.chiefexecutive.net.

About Chief Executive Magazine

Chief Executive is a controlled circulation magazine that has been published since 1977. It reaches 42,000 chief executive officers and their peers, reaches a total readership of 220,000. Chief Executive Group facilitates "Chief Executive of the Year," a prestigious honor bestowed upon an outstanding corporate leader, nominated and selected by a group of his or her peers. Anne Mulcahy, Bob Ulrich, A. G. Lafley, George David, Fred Smith, Bill Gates, John Chambers, Michael Dell and Sandy Weill are just some of the leaders who have been honored during the award's 23-year history. Chief Executive also organizes roundtable meetings and conferences to foster opportunities for top corporate officers to discuss key subjects and share their experiences within a community of peers. Visit www.chiefexecutive.net for more information.

Top 5 States                    Rank 2009  Rank 2008  Rank 2007  Rank 2006
                                ---------- ---------- ---------- ----------
Texas                                  1st        1st        1st        1st
                                ---------- ---------- ---------- ----------
North Carolina                         2nd        3rd        4th        3rd
                                ---------- ---------- ---------- ----------
Florida                                3rd       10th        3rd        4th
                                ---------- ---------- ---------- ----------
Georgia                                4th        7th        6th        5th
                                ---------- ---------- ---------- ----------
Tennessee                              5th        6th        7th       11th
                                ---------- ---------- ---------- ----------




Worst 5 States                  Rank 2009  Rank 2008  Rank 2007  Rank 2006
                                ---------- ---------- ---------- ----------
California                            51st       51st       51st       51st
                                ---------- ---------- ---------- ----------
New York                              50th       50th       50th       50th
                                ---------- ---------- ---------- ----------
Michigan                              49th       49th       47th       48th
                                ---------- ---------- ---------- ----------
New Jersey                            48th       47th       46th       46th
                                ---------- ---------- ---------- ----------
Massachusetts                         47th       48th       49th       49th
                                ---------- ---------- ---------- ----------



                         Positions
Biggest Gainers            Gained
                         ----------
Mississippi                      15
                         ----------
Pennsylvania                     10
                         ----------


                         Positions
Biggest Losers              Lost
                         ----------
Ohio                             11
                         ----------
Washington                       10
                         ----------
Minnesota                        10
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