A Few Bright Spots As Revenue Declines at Am Law 200
Although the Am Law 200 appeared to weather the 2008 economic recession storm better than their higher-ranked counterparts, the second hundred firms have stumbled with greater losses in profits per partner and revenues in 2009.
Decreased transactional work and increased client sensitivity to litigation costs led to a 0.3 percent fall of profits per partner among the second hundred, compared to the Am Law 100’s 0.3 percent boost, reports the American Lawyer. Revenue per lawyer of the Am Law 200 dropped 2 percent, to $575,855, compared to a 1.9 percent decline among the top 100.
Even as firms slashed costs across the board, deeper lawyer and staff cuts at larger firms may account for the slightly weaker numbers among the second hundred, according to the American Lawyer, where total headcount grew 1 percent in 2009.
The American Lawyer also reports some bright spots for regional and specialty-focused firms, particularly those the upper Midwest’s manufacturing belt, such as Indiana, Michigan and Ohio, where upheaval in the auto industry led to work for the region’s law firms.
