Charlotte, N.C., June 26—The joint meeting of the cotton manufacturers’ associations of North Carolina and of South Carolina Blowing Rock Friday and Saturday of this week has been looked forward to with keen interest by textile men who are eager for the exchange of views and ideas regarding the market situation which has spelled losses for the industry during the past year and which is yet as apathetic as it has been during what, even now, is described as the longest and most disastrous period through which the industry has passed.
Hunter Marshall Jr., secretary and treasurer of the Cotton Manufacturers’ Association of North Carolina, before leaving the convention today, gave a resume of the past year in the industry as follows:
The past year has been one of the most trying in the history of the textile industry in North Carolina, this being true also, of course, of the industry in the South and New England generally. The market for yarns and goods has been apathetic and it has been the very exceptional mill that has sold any considerable portion of its products even at a small profit. Most of the mills have hardly broke even and a very considerable proportion have actually lost money on practically everything they have sold.
In New England there have been little or no profits, but it is also true that there have been small losses for the simple reason that most of the mills in that section, when they saw that to continue to operate meant an inevitable loss, shut down so that their only loss has been interest upon their investment.
In North Carolina and the South, mill owners have pursued a different course. Instead of closing down and throwing their employees out of employment, they have kept their mills operating on part time, in most instances three to five days in the week. It is a logical assumption that a complete shutdown of the mills would have more quickly remedied the market situation which has caused such distress in the industry, but the attitude of Southern mill men toward the workers in the industry and the relationship between mill managements and workers generally in this section would not permit such a course.
The losses of profits to the stockholders of North Carolina during the past year have been serious. The mills of this state are owned by approximately 30,000 stockholders, so one may readily judge how widespread has been the inconvenience and distress as a result of the absence of returns on the investments of these stockholders whose money has made possible the wonderful development of the textile industry in this state. In the face of these losses, however, there has been no question in the minds of a vast majority of stockholders as well as mill managements as to whether or not they should continue to operate as many days in the week as possible and share the pinch of the textile slump with their co-workers in the industry to a greater extent than they would if they should shut down.
Our mill men could not be said to be optimistic over the outlook in the industry at present. Many of them face heavy losses, and all of them face heavier losses unless there is a turn for the better in the immediate future. The opinion does prevail, however, that the lethargy in the cotton goods market has lasted about as long as it can last and that better conditions must come within a short while. some of them do not hesitate to predict that when the turn does come, dealers who have been holding out of the market except for hand-to-mouth purchases are going to find a greatly depleted supply and that there is apt to be a scramble for goods with resultant stiff prices.
Textile leaders, in the interest of the industry and for the sake of stockholders and workers, are devoting their best thought and effort to the improvement of conditions which have recently depresses the industry.
From the front page of the Lincoln County News, Lincolnton, N.C., June 30, 1924
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