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Knitting / Apparel

PCCA Purchases Koramsa Assets, Forms Denimatrix LP

Lubbock, Texas-based Plains Cotton Cooperative Association (PCCA) has purchased Guatemala-based Koramsa Corp. and has established a new company, Denimatrix LP, which will manufacture fashion jeans at Koramsa's former facilities in Guatemala City.

"Denimatrix will be the first fully-integrated vertical supply chain from raw cotton to finished jeans in the Western hemisphere," said Carlos Arias, president, Denimatrix. "We are very excited about the opportunity to partner with PCCA's American Cotton Growers (ACG) denim mill. The synergies achieved by incorporating joint product development and design from raw cotton all the way through finished apparel will give us the flexibility to offer a broad range of quick-response fashion jeans and other apparel to our customers."

According to PCCA President and CEO Wally Darneille, Koramsa's management team will stay in place. PCCA will keep producing denim at its Littlefield, Texas, plant and will deliver fabric to Guatemala City.

"Denimatrix is open for business," said Arias. "We have received substantial orders from two large brands, and we are actively negotiating styles and deliveries with several others. We expect to deliver our first units in early May and expect Denimatrix to continue to rely on a well-established supply chain for jeans in the Americas."

ACG's production capacity is sufficient to provide denim fabric to make some 20 million pairs of jeans annually.

March/April 2009

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