The clothmaker. [volume] (Clinton, South Carolina) 1952-1984, March 15, 1989, Image 2
From the President
Our business was very good in 1988. We achieved record sales and
earnings. But 1989 does not look so good. Prices for woven greige fabrics^
are down considerably, polyester prices have increased twice this year to
near record levels, and our other manufacturing costs are increasing, too.
Our Greige Fabric inventories are high and will remain so until our
customers experience better business. We have already adjusted some
operating schedules to keep our inventories at manageable levels.
We are experiencing some difficulty in securing adequate quantities of
man-made fibers and yams. There is a shortage of polyester staple, and this
shortage is anticipated to continue through 1990. This is an industry-wide
problem brought about by reduced production of polyester by industry
suppliers, greater demands from mills for polyester, and greater demands
from other industries for the raw materials required to manufacture
polyester. Our knit division continues to
have difficulty in securing sufficient yarns to
meet the demands of its customers. This
shortage is caused by demand being greater
than supply and is also expected to continue
for the near future. In spite of these
problems, we are making every effort to see
that we have sufficient raw materials to
keep our plants operating at optimum
levels, and we believe we will be successful.
It is important for all of us to produce the
best quality product we can, always be
conscious of costs, and keep waste to a
minimum. These goals are of utmost
importance if we are to remain competitive.
Increased quality production, waste, and
cost containment are several areas which
should concern us everyday.
We must also be concerned about the
number of medical accidents in our plants.
Our safety goal is to reduce medicals by 25
percent during 1989, as compared to 1988. This is a challenging but
attainable goal. Each of us must take the time to do our job safely in order
to reduce unnecessary accidents. Our accident costs are excessively high,
and we must work harder to bring these costs down.
Our life insurance and health plan is a very costly benefit for our
employees. In 1989, we project our costs to exceed $4-5 million. This benefit
is funded by contributions from you and the company. All of us should
strive to use our Health Care Plan wisely and only when medically
necessary. By doing this, we can be sure that your health care plan will
continue to be among the best in the Textile Industry.
Our Company is positioning itself to meet the challenges of the next
decade. We have had more technological advances in the last ten years than
in the previous fifty. All of these have been necessary to remain
competitive, improve the work environment and better serve our
customers. There is still much to be done. Company-wide, in 1989 we are
committing approximately $17 million dollars to modernize and expand
our manufacturing base. Approximately $12 million of this will be allocated
to Qinton Plant No. 2 to install 110 Air Jet Weaving Machines and
Auxiliary Equipment, and $2 million will to go our knit division to continue
the expansion program started there last year.
Spring is an exciting time for most of our employees — especially those
with children who are completing their high school, college or other
educational careers. This year we have received many applications for
educational assistance through the Qinton Foundation. Our Grants
Advisory Committee will be meeting soon to determine our 1989 Award
Recipients.
We are also pleased with the favorable response and participation in our
Literacy and Adult Education Programs. As our industry enters the decade
of the 90's, education will play a more important role in manufacturing. We
will require greater skills and more education than ever before, and we are
pleased that so many of our employees are taking advantage of these
programs.
Thank you for your everyday efforts, your loyalty and dedication.
G. Thaddeus Williams
Clinton Mills combines
North American Lace
Qinton Mills, Inc.,announced March
17 plans to consolidate its North
American Lace Co. (NALCO)
operations, Oxford, North Carolina,
into its recently expanded Greensboro,
North Carolina, Elastic Fabrics of
America facility.
Lace production will be relocated to
the Greensboro, North Carolina, plant
and marketed by Elastic Fabrics of
America through their various sales
locations.
EFA's lace manufacturing capability
has been expanded to serve the
Company's complete vertical needs.
Clinton Mills, Inc., is a leading
producer of greige woven fabrics,
marketing a broad range of fabrics to
the apparel, home furnishings and
industrial markets.
Clinton, through its Elastic Fabrics
of America division, purchased the 86-
year old North America Lace Co., in
February of last year.
In addition to lace, the Elastic Fabrics
of America divisionmanufacturesdyed
and finished elasticized knit fabrics
primarily for use in intimate apparel,
swimwear and active wear.
The consolidation will be complete
by late May.
Illiteracy still a problem
Until recently, America has had
justifiable pride in its education system
and its high rate of literacy. But in our
present society, with its emphasis on
technology and communications, some
of our traditional views are changing.
Last year, one out of five American
adults was functionally illiterate.
Twenty-seven million cannot read well
enough to complete a tax form or job
application. Thirty-five million more
are considered "marginally illiterate"
— unable to read and understand
beyond a sixth grade level.
Between now and the close of the
century, basic literacy will be required
of adultsentering the work force. Three
out of four jobs created by 1990 will
require more than a high school-
diploma.
No one can afford to ignore this
growing national problem. But there
are things you can do—as individuals
and as parents—to help turn it around.
As individuals:
• Leam more about illiteracy in your
community. Call your United Way and
find out which United Way-sponsored
agencies have programs that address
illiteracy. Become involved in these
programs.
• Be a volunteer tutor for a young
person or an immigrant who is learning
to read.
• When you are looking for a gif t for
a teenager,consider a book that features
a favorite subject.
• Write your congressional
representative and share your concern
about illiteracy in America.
• Form a task force to address
illiteracy in your own community.
As parents:
• Know the grade level at which
your children read. Schools test every
child in reading and the results are
readily available. If your child needs
extra help in reading, look into special
programs offered by the school or
contact a volunteer placement agency
to find a tutor.
• Limit the amount of time children
watch television. Encourage them to
watch educational programs — and to
check out library books that follow up
on those programs.
• Take your children to the library
and encourage them to get their own
library cards. Then have them choose
their own books and check them out.
Encourage teenagers to study and
conduct research at the library.
• Setanexamplebyreadingyourself.
When they are young, read to your
children and encourage them to read to
you. Question them to see if they
understand what they've read. As they
get older, encourage them to set aside
some time each night for reading.
• Work with your children's school
to encourage reading and writing skills.
Start a book-publishing center that will
publish students' best-written stories
... or publish these stories in a school
newsletter.
CM to match
education
contributions
Effective February 27,1989, Qinton
Mills will match only those qualifying
contributions to schools for educational
purposes.
The Company will not match any
future payments for athletic programs,
athletic scholarships funds, athletic
See Contributions Page 3
2
ClothMaker