Rockwood To Form Global Specialty Chemicals Group

Affiliates of Rockwood Specialties
Group Inc., Princeton, N.J., a global specialty chemicals and advanced materials company, will
acquire four businesses from Germany-based Dynamit Nobel, the chemical branch of Frankfurt-based mg
technologies AG, to form a new global specialty chemicals group with combined revenues of $2.5
billion. The four businesses include Sachtleben Chemie GmbH, Chemetall GmbH, CeramTec AG and DNES
Custom Synthesis.

Sachtleben Chemie produces titanium dioxide for man-made fiber applications, and barium- and
zinc-based white pigments. Currently it is developing ultraviolet-protection, cosmetics and
catalyst nanoparticle applications for titanium dioxide.


June 2004

SML Group Acquires KalPak

Hong Kong-based SML Group, a global
manufacturer of woven and printed fabric labels and hangtags, has acquired KalPak International,
Hillside, N.J. The acquisition expands SML Group’s presence in Central and South America, the
Caribbean region and the United States.

KalPak operations now are known as SML/KalPak. Rob Kaliner, president of KalPak, now leads
SML/KalPak’s sales and marketing operations within the Americas. SML Group also plans to open
additional offices in four new countries within the next year.


June 2004

Barco Supplies Optitwist Systems To Shaw Facility

Dalton, Ga.-based Shaw Industries
Inc. has selected Belgium-based Barco NV’s Optitwist system for installation in all 32 twisters at
Plant 67 in La Fayette, Ga. The plant manufactures carpet yarn for the Shaw Commercial business
unit.

Optitwist enables increased production and improved yarn quality, according to Barco. The
system uses an optical sensor to monitor ends down and spindle speed at each position on the
twister, and immediately alerts the operator when a problem must be corrected. Performance and
efficiency data are stored in the Optitwist machine terminal, and can be downloaded to a
centralized system.

The installation will include Barco’s newest data collection terminal, which features a
touchscreen interface and standard OLE for process control (OPC) communication protocol.


June 2004

WestPoint Stevens To Open Shanghai Office, Receives Filing Extension

West Point, Ga.-based home fashion textiles manufacturer WestPoint Stevens Inc. has announced plans
to open its first overseas office in Shanghai on July 1, 2004.

“We have spent the last several years building our direct offshore sourcing operations,” said
M.L. Chip Fontenot, president and CEO. “We have now reached a point of critical mass, currently
running at over $400 million of our revenues, such that a direct presence overseas is warranted. We
have chosen China initially because of its strategic importance in the globalization of the home
fashions industry.”

The company has promoted William T. Walker to managing director and president, Asian
Operations. Walker, formerly senior vice president, sourcing, will manage the Shanghai office and
open additional offices overseas. He also will continue to develop, coordinate and oversee
vendor/country relationships in Asia.

The Shanghai office initially will employ a staff of three, but that number will eventually
grow to 12. Shanghai native Mingzi Ye will serve as sourcing coordinator in that office.

In other news, the US Bankruptcy Court has extended through July 29, 2004, WestPoint Stevens’
exclusive right to file a reorganization plan in accordance with its June 1, 2003, filing for
protection under Chapter 11 of the US Bankruptcy Code.

“While we are sensitive to the desire to exit bankruptcy as quickly as possible, it is more
important to conclude this process with a sound strategic vision that will ensure WestPoint
Stevens’ long-term competitive position in a rapidly changing global market,” Fontenot said.
“WestPoint Stevens remains committed to its high level of customer service and product innovation,
and continues to enjoy ample financial flexibility.
”

June 2004

Quality Fabric Of The Month: Textile Sensitivity

Interactive textiles are taking their place in the array of cutting-edge products available in today’s marketplace. Some incorporate various electronic sensors and control devices aimed at improving safety and comfort, providing communication and entertainment, and allowing
users to interact with the world in countless other ways.

England-based SOFTswitch Ltd.’s electronic fabric technology can turn conventional textile products into interactive ones, while also allowing them to maintain their flexibility and hand. Dianne C. Jones, Ph.D., general manager, said SOFTswitch™ products — which include keypads; single or multiphase switches; lighting systems; pressure sensors and mapping systems; and power, signal and audio data-bus cables — replace conventional hard devices. They can be used in wireless
applications, or they can interface directly with an electronic circuit. Jones said they are durable and washable, and the electronic components can withstand extreme conditions.

qfom_Copy_12

Frederica, Del.-based ILC Dover’s I-Suit, developed for planetary surface operations, uses
SOFT
switch™ components to control helmet-mounted lights and robotic rover assistants.

 

The technology involves combining lightweight conductive textile materials with a quantum tunneling composite that has pressure-sensitive switching properties. Jones said the fabrics normally act as insulators, but when pressure is applied, the resistance decreases, and the fabric becomes conductive in proportion to the amount of pressure applied. This property makes the fabric suitable for applications such as adjustable lighting or sound, as well as on/off functions. A switch incorporated into a sofa, chair, carpet or wallcovering allows the user to turn on and adjust a lighting or stereo system, or to control a climate or security system.

The proportional pressure response also lends the fabrics to pressure-mapping uses such as in automobile seating to sense the presence and size of a body in order to deploy an air bag during a collision, or in hospital bedding or bandages to monitor a patient’s condition.

Interactive outerwear and backpacks offered by Burton Snowboards, Burlington, Vt.; Nike Inc., Beaverton, Ore.; and The North Face Inc., San Leandro, Calif., incorporate audio, communications or heating systems with SOFTswitch keypad controls on the sleeve or strap. A snowboarding jacket from O’Neill Inc., Santa Cruz, Calif., uses SOFTswitch controls and an imbedded MP3 chip from Germany-based Infineon Technologies AG to enable the wearer to record songs and download them into a computer.

Other flexible interface possibilities include soft keyboards for personal digital
assistants and mobile phones, and computer mice and other computing controls.

Jones said SOFTswitch offers a complete textile solution, noting the technology can be used with any type of fabric; is not bound by shape, size or design; and can be integrated seamlessly into a product. The fabric’s sensitivity can be customized to detect any degree of pressure. In addition, end-products can be made using standard manufacturing techniques.


For more information about SOFTswitch™, contact Dianne C. Jones, Ph.D., 44 1943
603888;
diane.jones@softswitch.co.uk.


June 2004

 

President Signs Central American Free Trade Agreement

President Bush has signed a Central American Free Trade Agreement (CAFTA) granting trade
preferences to Costa Rica, El Salvador, Guatemala, Honduras, and Nicaragua the Dominion Republic is
expected to be added later this month. The pact, which must be approved by Congress, is strongly
opposed by the US textile industry, but it enjoys equally strong support from the importing
community. In view of its controversial nature, the agreement is not likely to be considered by
Congress until next year.

Describing signing of the agreement as a momentous occasion, Kevin Burke, president of the
American Apparel and Footwear Association, said CAFTA is the only opportunity available to support
US exports of textiles and fabrics to the region and retain, as well as possibly bolster, demand in
the region for US textile inputs. While expressing disappointment that CAFTA does not go far enough
in liberalizing trade, Laura E. Jones, executive director of the United States Association of
Importers of Textiles and Apparel, said the agreement will preserve textile jobs in the Western
Hemisphere. While the world is changing dramatically on January 1, when quotas are finally phased
out, the partnerships and commercial alliances created because of CAFTA will encourage textile and
apparel manufacturing operations to remain in Central America and in the United States.US textile
manufacturers remain opposed to CAFTA because of the way it will permit use of some yarn and fabric
from non-participating countries.

June 2004

Study Shows Import Surge Of Quota-Free Products

The National Council of Textile Organizations (NCTO) has issued a report designed to demonstrate
that China will dominate textile and apparel trade in a quota-free world. The analysis focuses on
25 textile and apparel product categories released from quotas 28 months ago where Chinese imports
have grown from 9 percent of the US market to 65 percent. At the same time, according to the
analysis, all major suppliers except India have shown major declines. India’s market share remained
at a static 3 percent.

NCTO claims that China cut its prices for the decontrolled products by 48 percent and this
correlates with their increases in market share in the past 28 months. The textile lobbying group
sees the analysis as an important tool to predict Chinas behavior when the remaining quotas are
removed next January 1.



June 2004

Associations Seek Review Of Textile Trade Policies

Textile and apparel trade associations representing manufacturers in 47 countries have agreed to
seek their governments help in getting the World Trade Organization (WTO) to conduct a review of
trade policies that would include a continuation of extension of textile and apparel quotas until
2008. They also are calling for implementation of automatic safeguard mechanisms that permit
imposition of quotas on products that are disrupting markets and expedited and effective remedies
to address unfair trade practices.

At a summit meeting of 25 of the organizations who are members of the Global Alliance for
Fair Textile Trade, Allen Gant, chairman of the National Council of Textile Organizations, said
“Clearly it is time for governments to act.”

Summit attendees and other members of the alliance are urging governments whose textile and
clothing manufacturing industries are at risk to petition the WTO for an emergency meeting to
discuss the textile and clothing trade crisis.

The organizations and their governments have three possible approaches to getting the WTO to
act. They can ask the Council For Trade In Goods, which has jurisdiction over textile issues, to
call a meeting. They can seek a meeting at the ministerial level or the WTO Director General can
call a meeting. In addition, alliance members will urge their respective governments to use their
own trade laws to remedy trade problems.

While the US government is opposed to extending textile and apparel quotas, trade
associations in this country are mounting a major political effort to change that stance. In
addition, they are putting increasing emphasis on the use of the safeguard mechanism in the
US-China bilateral trade agreement. Last year, the US government used the safeguard mechanism to
impose quotas on three categories of imports, but industry lobbyists are seeking a more
comprehensive approach. They say the government has the power to impose quotas if there is a threat
of market disruption, and it does not have to wait until actual market disruption is demonstrated.
US importers of textiles and apparel are opposed to that, and in fact, they contend that market
disruption was not demonstrated in the case of the three categories last year.US textile
manufacturers have turned to Congress for help. They have secured letters to the White House from
99 House members and 29 senators urging President Bush to endorse an emergency meeting of the WTO
to reconsider the wisdom of allowing world-wide quotas on textiles and apparel to expire next
January 1.

June 2004

Nanotube Composite Research Shows Progress

Researchers from the Atlanta-based Georgia Institute of Technology (Georgia Tech); Rice University
and Carbon Nanotechnologies Inc., both based in Houston; and the US Air Force presented findings
from their research on incorporating carbon nanotubes into fibers and films at the national meeting
of the Washington-based American Chemical Society, held recently in Anaheim, Calif.

Fibers created with carbon nanotubes and polyacrylonitrile

According to Satish Kumar, a professor at Georgia Tech’s School of Polymer, Textile and Fiber
Engineering, carbon nanotubes can provide thermal and electrical conductivity to textile fibers
while allowing them to maintain the touch and feel of typical textiles. Moreover, the addition of
carbon nanotubes to traditional fibers can double the fibers stiffness, reduce shrinkage by 50
percent, raise the temperature at which the material softens by 40°C, and improve solvent
resistance.

Kumar’s research team, in collaboration with Richard Smalley, a Rice professor and Nobel
Prize-winning scientist, has developed a technique to produce composite fibers containing up to
10-percent carbon nanotubes. Produced by Rice University and Carbon Nanotechnologies, single-walled
nanotubes exist in bundles 30 nanometers in diameter and containing more than 100 tubes. To produce
composite fibers, the bundles first are dispersed in an organic solvent, acid or water containing
surfactants. Polymer materials then are dissolved with the dispersed nanotubes, and fibers are
produced using standard textile manufacturing methods and equipment.

To advance nanotube composite research further, Kumar hopes to form a Carbon Nanotube-Enabled
Materials Consortium at Georgia Tech to conduct basic and applied research.

June 2004

Ioline Celebrates 20th Anniversary

Woodinville, Wash.-based Ioline Corp. celebrates its 20th anniversary this year. Founded in 1984,
the company originally manufactured open-architecture plotters for the architectural and graphic
arts industries. It expanded its product line just a few years later to include appliqué 
cutting systems, sign cutters and apparel plotters. Current president and CEO Frank Schimicci
bought the company in 1991.

“For 20 years we have been singularly focused on helping our customers maximize
profitability,” Schimicci said. “We look forward to doing the same for the next 20 years.
”

June 2004

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