The Rupp Report: Savio: The First 100 Years Of Yarn-Forming Business

This is the last in a series of exhibitor previews leading up to ITMA 2011, which will open this
week in Barcelona, Spain. As everybody knows, Italy is one of the major players supplying textile
machinery to the world. In this issue, the Rupp Report pays respects to one of the well-known
Italian companies, Savio Macchine Tessili S.p.A. in Pordenone. For exactly 100 years, since its
founding in 1911, Savio has played an important role. The Rupp Report talked to Paolo Puntoni,
Savio’s marketing manager.

Today, Savio — as a member of the Italy-based Itema Group — comprises the Itema Spinning
business unit. In addition to the production site in Pordenone, Savio also operates daughter
companies including production sites in China — Savio (Shandong) Textile Machinery Co. Ltd. — and
India — Savio India Ltd. The company specializes in yarn-forming machinery including automatic
winders, two-for-one twisters and open-end rotor spinning frames.

Asian Market In The Foreground

Savio exports 95 percent of all the machinery it produces. “At the moment, China and India
are our most important export countries,” Puntoni said. These countries are customers for Savio’s
current top sellers, the manual winders Orion/M and Polar/M. “The Far East markets are still
requesting manual machines, even as there is increasing demand for fully automatic machines also in
the emerging markets, mainly to overcome the shortage of labor,” he added.

“After a period of rapid market reduction — which occurred in 2008 and the first half of 2009
due to a global financial crisis that has affected all manufacturing sectors — in the second half
of 2009, there has been a good market recovery, which lasted throughout 2010 and reached record
levels in the first half of 2011,” Puntoni continued.

According to Puntoni, the markets have been booming, thanks to the increased domestic demand
in several countries, especially in the Far East. However, from the second half of 2011, the market
has been moving toward lower levels, adjusting to market trends.

“For the time being,” Puntoni mentioned, “the market trend is still satisfactory after a boom
in the first part of the year 2011. And, of course, the current volatile currency situation is
influencing our business, because the majority of our sales are influenced by the euro/U.S. dollar
exchange situation.” And what are currently the most important market requirements for Savio’s
products? “Oh, this is quite clear,” he explained. “Our customers want machines that give value for
the money spent.”

ITMA Barcelona

Some 50 people will be present at the Savio booth at ITMA in Barcelona. The company invited
customers through its worldwide network of agencies. Great attendance is Puntoni’s expectation for
ITMA 2011.

The Future

Taking a look into the crystal ball, what are the targets of Savio for the next two years?
“We foresee a consolidation in the market,” Puntoni said. And how is Savio facing these challenges?
“We must be present to market trends with permanent technology developments. And for the coming
years we expect a repositioning of the market level for 2012,” he said.

September 20, 2011

From The Editor: Textiles: Making It In America

By Jim Borneman, Editor In Chief

It is common these days to hear of the demise of Made in the USA textiles and, for that matter, Made in the USA manufacturing. But there are wonderfully defiant companies — right here in the USA — that continue to buck the trend and ignore conventional wisdom.

This issue of Textile World features two examples of these wonderfully defiant companies — companies not just making it
in the USA, but succeeding at opposite ends of the textile spectrum.

Knitter and private-label apparel manufacturer FesslerUSA, tucked away in Pennsylvania’s Appalachian foothills, knits the majority of the fabrics used in its apparel. And there is much
more to the story — the company has embraced sustainability, works closely with brands and retailers and even provides design services. The FesslerUSA leadership — Walter, Bonnie and Brian Meck — would make for an interesting story no matter where they were located, but they are making it in the USA.

With a history that traces back 111 years, FesslerUSA is a story of change and adaptation. Whether it be developing a fabric sales business, focusing on high-end yarns or investing in flat
bed knitting, the company continues to focus on the future.

On the other end of the textile spectrum — although a spacesuit is apparel — is ILC Dover in Frederica, Del., which has been making innovative textile products for more than 60 years.

Yes, ILC still is making spacesuits for NASA and continues to have a protective garment business. But this issue of Textile World focuses on ILC’s development of inflatable textiles. The
company has been making blimps and airships for years — and for really interesting applications — but it is its inflatable wing applications that stand out in this story.

The technology is making a difference in creating unmanned, field-deployable aircraft that enter the field in a compact deflated form, but spring to life in a number of ways. ILC’s UAVs — unmanned aerial vehicles — are tough; have a long, useful life compared to some rigid competitors; and can be forgiving in the hands of a less skilled pilot. The wing technology is not new to ILC, as it was working on them in the 1970s, but the company reports material innovations are making better products a reality.

Speaking of high-tech materials, the Industrial Fabrics Association International (IFAI) Expo Americas is highlighted in the issue. This year, the expo will be held at the Baltimore Convention Center October 25-27. Aside from the 320-plus exhibitors, the expo will include a full slate of conferences, symposiums and demonstrations. In 2012, IFAI will celebrate the 100th anniversary of the show, which will be held in Boston.

At a time when all businesses are challenged, it is encouraging to observe some positive moves in textiles. Whether it be DAK Americas expanding its PET business, Specialty Textiles Inc.
(STI) adding 32,000 square feet and 62 jobs, or Patrick Yarn Mills adding a 140,000 kilowatt-hours-per-year solar power installation — these stories plucked from the pages of Textile
World demonstrate some of the positive news one rarely sees in a news environment seemingly obsessed with negativity.

There really is much, much more to the story.

September/October 2011

Cotton LCI, LCA Set Benchmarks For Cotton Sustainability

Cotton Incorporated, Cary, N.C., has published “Life Cycle Assessment of Cotton Fiber and Fabric,”
a report that includes a life cycle inventory (LCI) and life cycle assessment (LCA) of cotton
products with the goal of setting benchmarks of potential environmental impacts throughout the
global cotton supply chain. The report is part of the Memphis, Tenn.-based Cotton Foundation’s
Vision 21 Project, managed by Cotton Incorporated; the National Cotton Council, Memphis; and Cotton
Council International, Washington. The comprehensive two-year study — managed by PE International,
a global strategic consultancy that provides expertise, software solutions and other services
related to sustainability performance — involved collection of data and quantification of material
and energy inputs related to fiber production and fabric manufacturing, and establishment of a
model of the environmental impact of a knit golf shirt and woven cotton trousers from fiber through
disposal.

Data from China, India and the United States — the top three cotton-producing countries —
were averaged to determine the LCI for the cradle-to-gate fiber production phase. Data from mills
in Turkey, India, China and Latin America — the top four textile-processing regions — were averaged
to determine the gate-to-gate fabric production LCI. Secondary sources added to the data used in
calculating the cut-and-sew and consumer-use LCI.

The LCA involves the environmental impact of cotton without regard to other fibers. “The
cotton LCA is about measurement, not marketing,” said Berrye Worsham, president and CEO, Cotton
Incorporated. “The textile industry and consumers alike are weary of competition-motivated green
marketing. This project is about facts, and establishing a baseline to measure cotton’s
environmental gains moving forward.”

“Vision of U.S. Cotton’s 21st Century,” or Vision 21, includes four initiatives: First, it
analyses demographics and structure in Asian markets for consumer apparel and textile products, and
also looks at underlying sources of change. Second, it establishes a program titled “Cotton’s
Revolutions” to provide a forum within the world cotton textile industry to discuss influences on
the textile and apparel sector through 2025. Third, it looks at sustainability and the
environmental aspects of the U.S. cotton chain from production through consumer handling. Finally,
it provides a study of U.S. raw cotton flow with a logistical analysis from bale formation through
delivery to the spinning mill.

September/October 2011

Karl Mayer Malimo To Transfer Nonwovens Technology To Christian Pinkert

Karl Mayer Malimo — the technical textiles business unit of Germany-based Karl Mayer
Textilmaschinenfabrik GmbH — has announced that as of Jan. 1, 2012, its machine technology for
producing stitch-bonded nonwovens will be transferred to Christian Pinkert Textilmaschinen, a
19-year-old family-run company that manufactures special machinery for niche markets in the textile
industry. Karl Mayer reports that Christian Pinkert has accumulated considerable experience from
its previous work with Malimo technology, and that the company collaborates with the Chemnitz
University of Technology and the Saxon Textile Research Institute when developing its
products. 

KMMalimoMALIVLIES

Karl Mayer Malimo’s Malivlies stitch-bonding machine

Karl Mayer will transfer all Malimo technology know-how to Christian Pinkert and will license
the company to manufacture the complete range of Malimo stitch-bonding machinery, including the
Malivlies, Maliwatt, Kunit and Multiknit machines. Christian Pinkert also will assume
responsibilities for marketing and distribution, assembly, commissioning, servicing and spare
parts, and will provide customer support when developing products. Caption: Karl Mayer Malimo’s
Malivlies stitch-bonding machine

September 20, 2011

ROJ, Victrex Develop Thermoformed Braking Cone

Weft insertion accessories manufacturer ROJ Electrotex, Italy, and polyaryletherketones producer
Victrex Polymer Solutions, Germany, have developed a thermoformed braking cone to replace the
traditional metal cone on textile weft feeders. The new cones, made using Victrex’s thermoplastic
APTIV® film made from VICTREX® PEEK™ polymer, exhibit improved braking consistency and structural
integrity compared with metal cones, ROJ reports.

“Previously, the brake cones were produced by using a metal cone placed on rubber supports
but ROJ found the mechanical decay of the rubber component was unacceptable and the metal cone
created an inconsistent braking performance,” said Cesare Brovarone, aeronautical engineer, ROJ
Electrotex.

“Brake consistency is a key feature, as it adjusts and maintains the optimum tension of the
weft which the weft feeder provides to the loom at the same level,” he added. “It also allows a
more consistent yarn tension at every desirable tension level, while the tension depends on the
pressure applied by the APTIV film cone on the weft feeder yarn running surface, thereby
eliminating defects in the cloth.”

The cones, made using Germany-based Niebling HDVF Kunststoffmaschinen GmbH’s high-pressure
forming technology, are produced using one of three thicknesses of APTIV film, depending on
required tension and weft properties.

September/October 2011

Sensor Products Introduces Sigma-Nip® V 2.2

Sensor Products Inc., Madison, N.J., has updated its Sigma-Nip® electronic nip analysis system for
measuring nip width on textile, pulp and paper, printing and converting rolls. Sigma-Nip Version
2.2 can operate in temperatures up to 300°F, pressures up to 10,000 pounds per square inch and high
moisture environments. New electronic hardware includes sensor and casing materials that can
withstand repeated use in demanding environments. Easy-to-use diagnostic software updates in real
time as pressure adjustments are made. Nip profiles may be viewed in several software formats.

Sigma-Nip is offered in the standard version as well as the Mini Sigma-Nip, which can be used
with rollers that have smaller circumferences or with larger hard roller sets that have small
contact areas.

September/October 2011

Orders Pick Up After Slight Downturn

When spinners returned to work after the July 4 holiday, they were met with a rather unpleasant
surprise: the business that had been so robust for the previous 18 months had dwindled to a
trickle.

“We saw signs that this might happen a bit earlier,” said one spinner, “but we were hoping
to avoid the extended downturns that have occurred after similar periods of brisk business.”

Indeed, from reports across various markets and specialties, the slowdown in new orders was
relatively short-lived. “In fact, business has picked up substantially in just the past few weeks,
especially in specialty yarns,” another spinner said in early September. Orders for commodity yarn
are still behind where they were a few months ago, he said, but are showing some signs of
resurgence.


Reasons For The Slowdown


Spinners attribute the short-term drop in business to multiple factors. Inventory
adjustment, increasing product flow from foreign suppliers and customer pricing concerns were the
most frequently mentioned contributors.

“I have to believe, from my observations, that the drop-off was primarily a result of
inventory adjustment,” said one spinner. “I think a lot of customers perhaps overbought in the
early part of the year, for a variety of reasons, and were trying to get rid of excess inventory
before placing additional orders. Now, it looks like that situation has stabilized, and orders are
starting to come in again.”

An observer close to the industry commented: “The slowdown in the economy around the middle
of the year certainly had some impact. In those conditions, certainly nobody was going to get
caught carrying a lot of high-priced inventory, or even any inventory at all.”

Another spinner observed: “A lot of the product that was produced in the first half of the
year, through July 4, was through long-term orders in which customers had the cotton price fixed at
about 90 cents per pound or so. They didn’t fix anything after that because the price of cotton was
ramping up so fast and they were waiting for it to come back down. There was a lot of concern that
customers were front-loading inventory and that the world would shut down in the second half. Some
of the denim people, for example, were worried that there wouldn’t be anything at all after
mid-year. And that hasn’t happened. It slowed down, but there was not this massive falloff.”

Added a yarn buyer: “There was certainly a disruption in the market from the flood of
low-cost products from Asia. Companies in India, for example, went from exporting virtually nothing
for an extended period of time to shipping a tremendous amount of product over a very short period
of time. They had abandoned their supply chains and had to ‘buy’ their way back in. They were
selling yarn below where the rest of the world saw their cotton prices. That had to get absorbed by
the market, and it took a little while for that to happen.”


Continuing Pricing Issues


Pricing continues to be a significant issue for most spinners. “It’s tough when customers
look at the price for new cotton and see it around $1.05 or $1.07 a pound and the mills are still
sitting on some $1.60 or $1.70 cotton. There’s a lot of pressure to reduce prices.”

As of September 2, the price for the base quality of cotton in the seven designated markets
measured by the U.S. Department of Agriculture averaged $1.0271 per pound, continuing the downward
spiral that began near the end of the first quarter. As recently as March, spot prices were more
than $1.80 per pound.

“With the volatility of prices, there is a limit to what mills can do,” said a yarn broker.
“I think over the next few months — especially until we get some amount of equalization between the
cost of our raw materials and the perceived market price for our product — there is going to have
to be some give and take from both mills and customers.”

Another spinner agreed: “When the price of cotton began increasing dramatically, mills and
their customers had to work at agreeing to price increases on an incremental basis. Customers were
not willing to accept price increases that tracked the cotton futures market. Now that prices are
falling, the same thing is going to have to happen in reverse. Customers want lower prices, but
they are going to have to accept price decreases in stages.”

September/October 2011

SSM Industries Expands

SSM Industries Inc., Spring City, Tenn. — a manufacturer of flame-resistant (FR), cut-resistant and
thermal fabrics for military, fire and rescue and industrial applications — will add 45,000 square
feet of manufacturing space at its plant and 13 jobs to its current workforce of 90, with an
additional 12 positions to be added in the future. The $3 million expansion will allow the company
to produce specialized yarns to enhance its protective fabrics portfolio.

“This expansion will take SSM Industries to the next level in the textile manufacturing
industry, and we are excited about the opportunities this expansion will allow us,” said Phil
Chandler, vice president of development, SSM Industries. “I am grateful for the continued support
from state and local officials and look forward to growing our company in Spring City.”

September/October 2011

Rieter VARIOline, AC SERVOcombi Upgrade Now Available

Rieter Spun Yarn Systems, Germany, reports its VARIOline blow room line processes up to 1,200
kilograms per hour of cotton, man-made fiber or blends, with minimal fiber shortening and reduced
waste. The line includes UNIcontrol blowroom control and adjustable VARIOset function in the
cleaning machine to regulate cleaning intensity and waste. Cleaning occurs in several stages
according to the raw material processed.

NewProdsRieter

Rieter VARIOline blow room line

Rieter’s AC SERVOcombi upgrade package — designed to improve output on earlier-generation
autoleveler draw frames with DC servo motors — features an updated, maintenance-free servo motor;
digital control unit that processes signals in real time; quiet operation; high dynamics; and
homogeneous control behavior. Electronic control using the G90 motor brake further reduces
maintenance time.

September/October 2011

FibeRio Closes Private Financing To Support Product Initiatives, Commercial Ramp-Up, And Workforce Expansion

MCALLEN, Texas — September 20, 2011 — FibeRio Technology Corporation — The Force For Nanofibers™,
announces that it has closed an oversubscribed Series B round of private investment led by
Silverton Partners and supported by current investors including series A lead investor Cottonwood
Technology Fund. The new capital will facilitate the Company’s production ramp for its new
industrial scale nanofiber equipment formally launching later this year. The financing will also be
used for workforce expansion in Manufacturing, Customer Service, Engineering and Sales and
Marketing departments.  

FibeRio, a capital equipment and technology provider to the nonwoven, filtration, energy,
medical device and textiles industries, launched its first product, designed for research and
development, in December of last year. In doing so, FibeRio introduced a novel technology for
nanofiber production called Forcespinning™, which uses centrifugal force to process polymers into
nanofibers. Since that time the company has focused on scaling the technology to industrial volumes
with continuous production equipment that can be integrated into their customers’ production lines.
The capital infusion from the Series B round provides the operating capital and infrastructure
required to manufacture and service the industrial equipment for which FibeRio has already begun
taking orders.

“We are proud to be associated with Silverton Partners and believe that their technology and
people-driven philosophy and history of achievement will complement FibeRio’s culture and
contribute significantly to our success” says FibeRio CEO Ellery Buchanan. “This investment allows
us to accelerate our plan to provide our customers with the most advanced nanofiber production
equipment and technology available while delivering market-leading service and support.”

In August of last year, FibeRio received funding from the Texas Emerging Technology Fund, a
competitive multi-stage process to invest in the most advanced technologies and experienced
management teams to create jobs in Texas. The capital provided by the State of Texas enabled
FibeRio to rapidly advance the state-of-the-art technology, while receiving several awards such as
the 2011 R&D 100 from R&D Magazine.

“We have been impressed with FibeRio’s rapid pace of development and believe that the
management team has well-positioned the company  to enable the nonwovens and textiles
industries to exploit nanofiber technology to the fullest extent using Forcespinning™ technology”
said Silverton Partners’ Bill Wood. He went on to say that “we look forward to a bright future for
FibeRio.”

Posted on September 20, 2011

Source: FibeRio Technology Corp.

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