SEAMS To Present USA Supply Chain Pavilion At SPESA Expo

Columbia, S.C.-based SEAMS, the National Association for the Sewn Products Industry, will set up a
“Made in USA Supply Chain” pavilion at The Sewn Products Equipment & Suppliers of the Americas
(SPESA) Expo 2010, to be held May 18-20 at the Georgia World Congress Center in Atlanta. The
pavilion is expected to cover more than 2,000 square feet and will feature products made by SEAMS
member companies, along with individual exhibits by US-based companies that provide manufacturing
and other services for the soft goods supply chain.

“The Made in USA Supply Chain pavilion will provide a unique opportunity for US-based
companies to show the world what we can do,” said Sarah Friedman, executive director, SEAMS. “We
expect that many of our brand, manufacturer, contractor and service provider members will
participate in the pavilion with their US-made products and services.”

The SEAMS pavilion is one of several special focus areas to be presented at the SPESA Expo.
Others include the “Cool Zone,” featuring exciting new technologies that are changing the industry;
an “IT Showcase” of innovative enterprise- and industry-specific software solutions; and “Supply
Chain of the Americas,” presenting opportunities and resources in the Western Hemisphere, among
others.

August 11, 2009

Argotec Restructures Business

Greenfield, Mass.-based Argotec Inc., a producer of custom-engineered extruded thermoplastic
polyurethane (TPU) films and sheets, has restructured its business in order to improve its services
to the textile lamination, performance apparel and footwear industries.

“Instead of focusing just on products we can make and market, we are concentrating in better
matching our film extrusion capabilities, technical expertise and resources with the applications
of our customers — strength to strength,” said Bruce Wilby, president and CEO, Argotec.

The company has reorganized its business into six products groups: ArgoFlex™: textile
laminating films for bonding fabric layers together, air and water containment, and waterproofing
applications; OmniFlex™: waterproof-breathable films offering antibacterial odor-control technology
for performance apparel and footwear applications; ArgoBond™: optical interlayer films and edge
seal tapes for laminated glass applications; ArgoGuard™: durable, weatherable high-gloss aliphatic
protective films for paint and metal; ArgoGraph™: printable, conformable, high-gloss overlaminate
films for graphics applications; and ArgoThane™: TPU films and sheets for applications that require
a high degree of customization but are not necessarily associated with markets served by the other
five groups. 

August 11, 2009

SDC Presents New Quality Assurance Standards

England-based SDC Enterprises Ltd. (SDC), a manufacturer of colorfastness testing consumables for
use in ISO and BS EN ISO test procedures, has introduced two industrial-laundry standard-reference
detergents. SDC reference detergent type 6 with an optical brightening agent (OBA), and OBA-free
SDC reference detergent type 7 can be used in procedures specified in ISO 15797:2002 (E); BS EN ISO
15797:2004 Textiles – Industrial washing and finishing procedures for workwear testing; and BS EN
ISO 105-C12:2006 Textiles – test for Colour fastness part C12: Colour fastness to industrial
laundering.

SDC also recently introduced a security hologram for use on product packaging to verify the
product’s authenticity. The company also has been offering a Multifibre DW Adjacent Fabric that
includes a security thread woven into the selvage.

“Because each piece of multifibre used for testing continues to be clearly identified as SDC,
testers are able to demonstrate their use of the highest quality material to both accreditors and
those commissioning the tests,” said Mark Yare, managing director, SDC.

August 11, 2009

SABIC Introduces Environmentally Friendly Valox IQ* 2205HV Resin

Pittsfield, Mass-based Sabic Innovative Plastics — a global supplier of thermoplastic resins,
coatings, specialty compounds, films and sheets and a wholly owned subsidiary of Saudi Arabia-based
Saudi Basic Industries Corp. (SABIC) — has collaborated with Atlanta-based modular carpet
manufacturer Interface Inc. and Universal Fibers — a Bristol, Va.-based supplier of solution-dyed
melt-pigmented fibers — to develop Valox iQ* 2205HV high-performance resin for use in Interface’s
new Convert™ carpet line, made using ReFresh® post-consumer recycled (PCR) nylon fiber supplied by
Universal Fibers.

Valox iQ* 2205HV resin is used as an additive to provide permanent stain resistance and to
maximize PCR content. It contains up to 65 percent post-consumer polyethylene terephthalate (PET)
from plastic bottles that are upcycled to make polybutylene terephthalate (PBT), resulting in up to
55- to 75-percent fewer carbon dioxide emissions than are produced by the production of standard
PBT resin. According to SABIC, Valox iQ* 2205HV also helps disperse pigment throughout the polymer
melt to produce strong colors using fewer colorants.

“Valox iQ resin was developed as an environmentally responsible solution by incorporating
upcycled PET bottle content,” said Richard Crosby, global product marketing and technology leader,
Sabic Innovative Plastics. “Now, it’s being used as an important additive that, combined with other
environmental technologies, is helping to take sustainability to a whole new level. The versatile
Valox iQ resin technology is helping our customers in totally new market sectors to support their
most important environmental initiatives, like Universal Fibers’ ReFresh yarns and Interface’s new
Convert carpet.”

Crosby added that Sabic’s target applications for Valox iQ* 2205HV resin include the
automotive, outdoor vehicle and medical enclosure markets in addition to carpet applications.

August 11, 2009

Roaches International Adds Features To Dyeing Machines

England-based textile-laboratory solutions supplier Roaches International Ltd. now offers new
user-friendly control features on its Pyrotec, Colortec and Phoenix laboratory dyeing machines. The
machines now feature a variety of personal computer-based, touch-screen controllers that are able
to record the program parameters for every production batch and then store the data for future
reference. The system also has Internet capabilities and can connect to a standard 10/100 ethernet
network.

August 11, 2009

Suzhou Deylon, Shangdong Lawrance Earn Oeko-Tex® Standard 100plus Certification

Suzhou Deylon Textile Co. Ltd. and Shangdong Lawrance Textiles Co. Ltd. — China-based producers of
ready-to-wear apparel, and subsidiaries of Saudi Arabia-based investor Ajlan & Bros. — have
become the first companies in Asia to earn Oeko-Tex® Standard 100plus certification for their
products. To receive the certification, a company’s product must be free of harmful substances
according to Oeko-Tex Standard 100 and must be manufactured in environmentally-friendly facilities
that apply socially responsible policies according to Oeko-Tex Standard 1000. Testex®, the
Switzerland-based Swiss Textile Testing Institute, performed third-party testing of Suzhou Deylon’s
and Shangdong Lawrance’s products and facilities.

Suzhou Deylon specializes in producing the yashmagh and ghuttra, traditional Arab headwear.
Shangdong Lawrance manufactures outerwear and undergarments for the Asian and European markets.
There are currently three companies in the world whose ready-to-wear products are Oeko-Tex Standard
100plus-certified.

August 11, 2009

August 2009

Research and Markets Ltd., Ireland, has released the book “Sustainable Textiles:
Life Cycle and Environmental Impact.”

Rochester Hills, Mich.-based
cf stinson, a partner of Wakefield, Mass.-based
Agion Technologies Inc., has received the Best of NeoCon® Gold Award for
Healthcare Fabrics for its Now & Zen Woven Agion® upholstery fabrics.

The
Association of Italian Textile Machinery Manufacturers (ACIMIT), Milan, and the
Italian Institute for Foreign Trade have released an English version of The
Nonwovens Textbook, covering nonwovens production technologies.

The Hohenstein Institute, Germany, has introduced two “Tested Quality” labels: one
for bed linens that gives sleep comfort ratings ranging from 1 for “very good” to 6 for
“unsatisfactory,” and one for mattress covers that indicates whether an encasement is breathable
and suitable for allergy sufferers. 

The
Association of the Nonwoven Fabrics Industry (INDA), Cary, N.C., has added the
Babel Fish translator to its website, www.inda.org. Babel Fish can translate html pages into Dutch,
French, German, Greek, Italian, Japanese, Korean, Portuguese, Russian, Swedish, Spanish, and
simplified and traditional Chinese.

August 2009

August 2009

Bristol, Va.-based
Universal Fibers Systems LLC‘s Board of Directors has appointed
Marc Ammen CEO.

ammenPeople

Ammen

Compton, Calif.-based
Crown Crafts Infant Products Inc. has promoted
Tracie Schor to vice president of marketing.

New York City-based
Jones Apparel Group Inc. has appointed
Mehmet Tangoren senior vice president of product development, Jeanswear Division.

Greenville-based
Frankl & Thomas Inc. has awarded its annual scholarship to
Collin Alexander, a sophomore at The Citadel.

The Netherlands-based
DSM Biomedical has named
Samuel Stupp,
James Kirkpatrick and
Wouter Dhert to its Biomedical Scientific Advisory Board.

Portland, Ore.-based
Naturally Advanced Technologies Inc. has appointed
Jeremy K. Jones to its Board of Directors.

The Boston-based
National Textile Association (NTA) has promoted
Jane Lomas to office manager.

August 2009

Some Industry Improvement

Newly released government statistics suggest the huge month-to-month textile declines of late last
year and early 2009 may be nearing an end. To be sure, the latest overall numbers can hardly be
described as bullish. On the other hand, the industry tumble does seem to be bottoming out. Over
the past three months, for example, the Federal Reserve Board’s overall mill output index declined
by only about 1 percent. And this trend seems to be confirmed by another bellwether industry
barometer — textile shipments, which over the past three-month period also slipped by the same
small 1 percent. The point to keep in mind: These latest estimates from Uncle Sam’s number
crunchers are a lot better than those reported over the previous 12 months — a time when mill
output and shipments both fell by more than 20 percent.

But a note of caution: All this in no way means that a big drop for all of 2009 can be
avoided. Put succinctly, the hefty textile activity declines of earlier this year and the only
very-modest leveling off now noted will be taking their toll on 2009’s final results.

Textile World
 ‘s revised mid-year updated 2009 forecast, for example, now points to something in the order
of a 15-percent or slightly larger decline in industry activity. That’s actually bigger than last
year, when mill production dropped by about 12 percent. On a more optimistic note, however,

TW
 now sees 2010 turning out considerably better — with perhaps only some fractional slippage
in mill activity as the US economy slowly recovers from the biggest downturn since the Great
Depression.

BFgraphAugust09


A Closer Look At The Economy


This modestly upbeat 2010 outlook seems fairly certain — despite all the recent talk that
Uncle Sam’s big stimulus package isn’t working. Much of this gloom and doom talk is based on the
fact that unemployment is still very high. But it’s important to remember that the jobless rate is
a lagging indicator. Put another way: During past downturns, employment only began to rise well
after the economy had begun to bottom out. Indeed, if history is any indicator, it may not be until
next spring or summer before these jobless numbers begin to show any meaningful shrinkage.

Meantime, there’s plenty of evidence that the economy is beginning to turn the corner. Some
of these positive signs: overall retail sales are no longer falling; the lion’s share of
Washington’s stimulus money has yet to be spent (some experts say that close to 80 percent of the
total still has not been committed); and the federal minimum wage has just gone up. The impact of
the latter can’t be underestimated since it should funnel more money into the pockets of some 2.8
million workers. The higher minimum should also raise the pay of an additional 7 million employees
— workers whose wages are tied to the minimum level.

In any event, estimates supplied by the Economic Policy Institute suggest that the new
minimum pay boost could add a hefty $5.5 billion to the economy. And most of this money — since
it’s going to low-income workers – is likely to be spent almost immediately. Given all the above
encouraging signs, most economists now see the remainder of the year as flat to slightly higher.
And by next spring or summer, they expect to see gross domestic product increasing at a small but
respectable 2-percent annual rate.


More Chinese Concerns


That’s not to say that the industry is out of the woods. Chinese trade, for example,
continues to present serious question marks for both textile and apparel firms. Note, for instance,
that while US imports of these products from all countries are down 11 percent so far this year,
the drop-off is far less when it comes to China — which is off by only 6.5 percent. Conclusion:
Beijing’s share of US textile imports is still on the rise. Moreover, because of even bigger
declines in domestic demand for these products, the Chinese share of the overall US market
continues to grow. More importantly, there’s little to suggest that Beijing will be willing to give
up on its drive for even greater market penetration. Thus, aside from halting any further upward
revaluation of its currency, the yuan, which as jumped 20 percent over the past four years, China
has been recently granting exporters larger tax rebates, more generous loans from state-owned banks
to finance trade, and more government-paid travel to promote themselves at global trade shows.
Another trade worry is that the nation’s banning of all its government agencies from buying
imported goods except where no local substitutes are available. And, last but not least, there’s
China’s huge labor cost advantage – with their current factory pay average put at only $1.25 an
hour. That’s a pretty strong advantage when it comes to selling labor-intensive products like
textiles and apparel. 

August 2009

Steady Progress For Spinners


T
 he backlogs aren’t where spinners would hope them to be, and the orders are generally
smaller, but since the near-disastrous conditions of the first quarter, many spinners have
recovered to enjoy a steady stream of business during the middle part of the year. In July,
spinners were reporting orders in-house averaging two to four weeks. 

“We’ve been steady in our ring spinning business,” said one North Carolina spinner. “A few
months ago, we had one plant struggling and one running a relatively full schedule. Today, one
plant is operating seven days and the other six days, so both are running very strong. But there’s
not a lot of depth to that. We’re running three to four weeks out and we’re keeping the pipeline
full, but we don’t see any longevity beyond that time period that people are willing to place
orders on. Ideally, we would like to have a six-to-eight-week order backlog and run a three-week
delivery schedule.”

A two-to three-week turnaround seems to be the sweet spot for many of those spinners that
experienced a solid second quarter. “For our products, we’ve got to be able to turn them in a
two-to-three-week period,” said one specialty spinner. “That’s why we continue to get the business
we do. But it would be nice to have program orders in place for longer than that.”

Another spinner added: “We’re busy, but our pipeline is a lot shorter than we would
like.  Our customers and retailers are limiting orders to just what they need for the
immediate future. We didn’t see as big a jump as we had hoped for the back-to-school period, so we
are looking optimistically toward the end-of-the-year holidays. At this point, it all hinges how
confident retailers are that we are moving out of recession and into a recovery period.”

Retailer confidence is directly tied to consumer confidence. Consumer confidence in the US
economy dipped slightly in June and July after several successive months of increase. Despite the
decreases, consumer confidence is still well above the all-time low recorded in February of this
year. Many economists attribute the June and July blips in consumer confidence to the worsening job
market. As well, these same economists predict the initial stages of any recovery will be weak
until the job market improves.

As surprisingly robust as ring spinning has been the past few months, however, open-end
business has been just as unsurprisingly weak, continuing a trend that began more than a year ago.
“It’s been the same for a good while, now,” said one spinner. Said another: “It’s week-to-week
right now. There’s just not much coming in.”


Pricing


Yarn pricing for customers has remained relatively stable for the first seven months of the
year, spinners report. “We’re close to where we’ve been since the beginning of the year,” said a
Carolinas spinner. “It’s been pretty stable. We’ve had a few price increases in raw materials along
the way, some of which we’ve absorbed and some that we have tried to pass along. The latest
increase is in rayon, which seems to be heading northwards again. Cotton prices have been up and
down. We’ve been into a little more expensive cotton than we were earlier in the year, but I don’t
see that being too dramatic right now.”

As of the end of July, spot market cotton prices averaged 56.86 cents per pound, down from
64.25 for the same period a year ago. Landed mill prices averaged 58.08 cents, down from 64.25 for
the same period a year ago.


Looking Ahead


Compared to just a few months ago, most spinners interviewed were considerably more
optimistic about the prospect for favorable business conditions for the remainder of the year. “As
we head toward the year end, I think it will continue to get stronger,” said one spinner. “The
worst I foresee is maintaining where we are. Of course, I am talking just about ring-spun. Open-end
is horrible, and it doesn’t look to get better any time soon.”

Said another: “The end result for this year will be decided by how strong holiday sales are.
If retail picks up and has a strong close, we have the opportunity to finish our year well ahead of
where we expected back in January or February. However, if retailers forecast slow holiday sales,
then the year will end up being very disappointing.”

August 2009

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