UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549
                                    FORM 10-Q


[ X ]  QUARTERLY  REPORT  PURSUANT  TO  SECTION  13  OR  15(d)  OF  THE
       SECURITIES  EXCHANGE  ACT  OF  1934

For  the  quarterly  period  ended  September  30,  2000
OR
[   ]  TRANSITION  REPORT  PURSUANT  TO  SECTION 13 OR 15  (d)  OF  THE
       SECURITIES  EXCHANGE  ACT  OF  1934

For  the  transition  period  from  ____________  to  ____________

Commission  File  number  333-376-17

                               DELTA MILLS, INC.
             ------------------------------------------------------
             (Exact name of registrant as specified in its charter)

                DELAWARE                                   13-2677657
   -------------------------------                    --------------------
   (State or other jurisdiction of                     (I.R.S.  Employer
    Incorporation or organization)                    Identification  No.)


100  Augusta  Street
Greenville,  South  Carolina                                  29601
---------------------------------------                    -----------
(Address of principal executive offices)                   (Zip  Code)

                                  864\255-4100
                                  ------------
              (Registrant's telephone number, including area code)

                               (Not Applicable)
     -------------------------------------------------------------------------
    (Former name, former address and former fiscal year, if changed since last
                                    report.)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding  12  months  (or  for such shorter period that the registrant was
required  to  file  such  reports),  and  (2)  has  been  subject to such filing
requirements  for  the  past  90  days.  Yes  [X]  No  [ ].

Indicate  the  number  of  shares outstanding of each of the issuer's classes of
common  stock, as of the latest practicable date. Common Stock, $.01 Par Value--
100  shares  as  of  November 14,  2000.

THE  REGISTRANT  MEETS  THE CONDITIONS SET FORTH IN GENERAL INSTRUCTIONS H(1)(a)
AND  H(1)(b)  OF  FORM  10-Q  AND IS THEREFORE FILING THIS FORM WITH THE REDUCED
DISCLOSURE  FORMAT.


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DELTA  MILLS,  INC.

                                      INDEX

PART  I.  FINANCIAL  INFORMATION

Item  1.  Financial  Statements  (Unaudited)

  Condensed  consolidated  balance  sheets--
  September  30,  2000  and  July  1,  2000                                  3-4

  Condensed  consolidated  statements  of  operations--
  Three  months  ended  September  30,  2000  and
  October  2,  1999                                                            5

  Condensed  consolidated  statements  of  cash
  flows-Three  months  ended  September  30,  2000
  and  October  2,  1999                                                       6

  Notes  to  condensed  consolidated  financial
  statements-September  30,  2000                                            7-8

Item  2.  Management's  Discussion  and  Analysis  of
          Financial  Condition  and  Results  of  Operations                9-10

Item  3.  Quantitative  and Qualitative Disclosures About Market Risk         10

Part II.  OTHER  INFORMATION                                                  11

SIGNATURES                                                                    12


                                        2
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<TABLE>
<CAPTION>
PART  I.  FINANCIAL  INFORMATION

ITEM  1.  FINANCIAL  STATEMENTS

DELTA  MILLS,  INC.

CONDENSED CONSOLIDATED BALANCE SHEETS                                   September 30,   July 1,
                                                                             2000         2000
                                                                        --------------  --------
                                                                         (Unaudited)
                                                                             (In thousands)

ASSETS

CURRENT ASSETS
<S>                                                                     <C>             <C>
  Cash and cash equivalents                                             $        5,311  $ 18,287
  Accounts receivable:
    Factor and other                                                            65,944    71,670
    Less allowances for doubtful accounts and returns                              171       173
                                                                        --------------  --------
                                                                                65,773    71,497

Inventories:
  Finished goods                                                                 7,871     4,916
  Work in process                                                               31,778    31,324
  Raw materials and supplies                                                     8,368     7,679
                                                                        --------------  --------
                                                                                48,017    43,919

Deferred income taxes                                                            1,222     1,208
Other assets                                                                       506       467
                                                                        --------------  --------
                       TOTAL CURRENT ASSETS                                    120,829   135,378

PROPERTY, PLANT AND EQUIPMENT
  Cost                                                                         162,192   161,670
  Accumulated depreciation                                                      73,070    70,322
                                                                        --------------  --------
                                                                                89,122    91,348

DEFERRED LOAN COSTS AND OTHER ASSETS                                             2,718     2,886
                                                                        --------------  --------
                        TOTAL ASSETS                                    $      212,669  $229,612
                                                                        ==============  ========
</TABLE>


                                        3
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<TABLE>
<CAPTION>
DELTA  MILLS,  INC

CONDENSED  CONSOLIDATED  BALANCE  SHEETS-Continued

                                                                September 30,   July 1,
                                                                     2000         2000
                                                                --------------  --------
                                                                 (Unaudited)
                                                                      (In thousands)
<S>                                                             <C>             <C>
LIABILITIES

CURRENT LIABILITIES
  Trade accounts payable                                        $       14,917  $ 14,514
  Payable to affiliates                                                    347     1,318
  Accrued employee compensation                                          1,765     2,858
  Accrued and sundry liabilities                                        19,042    21,530
                                                                --------------  --------
                          TOTAL CURRENT LIABILITIES                     36,071    40,220

LONG-TERM DEBT                                                          99,425   115,078
DEFERRED INCOME TAXES                                                   13,831    12,314
DEFERRED COMPENSATION                                                    5,936     5,813


SHAREHOLDERS' EQUITY
  Common Stock, par value $.01--authorized
    3,000 shares, issued and outstanding 100 shares                          0         0
  Additional paid-in capital                                            51,792    51,792
  Retained earnings                                                      5,614     4,395
                                                                --------------  --------
TOTAL SHAREHOLDERS' EQUITY                                              57,406    56,187
                                                                --------------  --------

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY                      $      212,669  $229,612
                                                                ==============  ========
</TABLE>


                                        4
<PAGE>
<TABLE>
<CAPTION>
DELTA  MILLS,  INC.

CONDENSED  CONSOLIDATED  STATEMENTS  OF  OPERATIONS  (UNAUDITED)

                                                      Three Months Ended
                                                 -----------------------------
                                                  September 30,    October 2,
                                                      2000            1999
                                                 ---------------  ------------
                                                         (In thousands)
<S>                                              <C>              <C>
Net sales to non-affiliated parties              $       63,199   $    58,008
Net sales to affiliated parties                               0         7,310
                                                 ---------------  ------------
Net sales                                                63,199        65,318
Cost of goods sold                                       53,925        59,501
                                                 ---------------  ------------
Gross profit on sales                                     9,274         5,817
Selling, general and administrative                       3,341         3,409
Other (income)                                             (373)          (33)
                                                 ---------------  ------------
                     OPERATING PROFIT                     6,306         2,441

Interest expense (income):
  Interest expense                                        2,949         4,313
  Interest (income)                                        (262)         (145)
                                                 ---------------  ------------
                                                          2,687         4,168


INCOME(LOSS) BEFORE INCOME TAXES AND
EXTRAORDINARY ITEM                                        3,619        (1,727)
Income tax expense (benefit)                              1,285          (677)
                                                 ---------------  ------------

INCOME (LOSS) BEFORE EXTRAORDINARY
ITEM                                                      2,334        (1,050)

Extraordinary gain on early retirement of debt
  less applicable income taxes                              639             0
                                                 ---------------  ------------

NET INCOME (LOSS)                                $        2,973   $    (1,050)
                                                 ===============  ============
</TABLE>


                                        5
<PAGE>
<TABLE>
<CAPTION>
DELTA  MILLS,  INC.

CONDENSED  CONSOLIDATED  STATEMENTS  OF  CASH  FLOWS  (UNAUDITED)

                                                           Three Months Ended
                                                     -----------------------------
                                                      September 30,    October 2,
                                                          2000            1999
                                                     ---------------  ------------
                                                             (In Thousands)
<S>                                                  <C>              <C>
OPERATING ACTIVITIES
Net Income (loss)                                    $        2,973   $    (1,050)

Adjustments to reconcile net income to net cash
 provided by operating activities:
    Depreciation                                              2,748         3,434
    Amortization                                                106           173
    Decrease in deferred loan costs                             392
    Gain on early retirement of debt                         (1,383)
    Provision for losses on accounts receivable                  (2)
    Provision for deferred income taxes                       1,503
    Gains on disposition of property and equipment             (341)
    Deferred compensation                                       123           138
    Changes in operating assets and liabilities              (2,276)       11,800
                                                     ---------------  ------------

NET CASH PROVIDED BY OPERATING ACTIVITIES                     3,843        14,495

INVESTING ACTIVITIES
  Property, plant and equipment:
  Purchases                                                    (919)       (1,577)
  Proceeds of dispositions of assets                            450             0
  Other                                                        (330)            0
                                                     ---------------  ------------
NET CASH PROVIDED (USED) BY
           INVESTING ACTIVITIES                                (799)       (1,577)

FINANCING ACTIVITIES
  Repurchase and retirement of long term debt               (14,270)            0
  Dividends paid                                             (1,750)            0
                                                     ---------------  ------------

NET CASH PROVIDED (USED)
 BY FINANCING ACTIVITIES
                                                            (16,020)            0
                                                     ---------------  ------------

INCREASE (DECREASE) IN CASH AND
  CASH EQUIVALENTS                                          (12,976)       12,918

Cash and cash equivalents at beginning of quarter            18,287         9,903
                                                     ---------------  ------------

CASH AND CASH EQUIVALENTS AT END OF QUARTER          $        5,311   $    22,821
                                                     ===============  ============
</TABLE>


                                        6
<PAGE>
DELTA  MILLS,  INC.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

September  30,  2000

NOTE  A--BASIS  OF  PRESENTATION

The  accompanying unaudited consolidated condensed financial statements of Delta
Mills,  Inc.  ("the  Company")  have  been prepared in accordance with generally
accepted  accounting  principles  for interim financial information and with the
instructions  to  Form 10-Q and Article 10 of Regulation S-X.  Accordingly, they
do  not  include  all  of  the  information  and footnotes required by generally
accepted  accounting  principles  for  complete  financial  statements.  In  the
opinion  of  management,  all  adjustments  consisting  of only normal recurring
accruals  considered  necessary  for  a  fair  presentation  have been included.
Operating  results  for  the  three  months  ended  September  30,  2000 are not
necessarily  indicative  of the results that may be expected for the year ending
June  30,  2001.  For  further  information, refer to the consolidated financial
statements and footnotes thereto included in the Company's annual report on Form
10-K  for  the  year  ended  July  1,  2000.

NOTE  B--SUMMARIZED  FINANCIAL  INFORMATION  OF  SUBSIDIARY

Delta  Mills  Marketing,  Inc.  (the  "Guarantor")  does not comprise a material
portion  of the Company's assets or operations.  The Guarantor is a wholly-owned
subsidiary  of  the  Company  and  has fully and unconditionally guaranteed (the
"Guarantee")  the  Company's payment of principal, premium, if any, interest and
certain liquidated damages, if any, on the Company's senior notes (the "Notes").
The  Guarantor's  liability  under  the Guarantee is limited to such amount, the
payment  of  which  would  not  have  left  the  Guarantor  insolvent  or  with
unreasonably  small  capital  at  the time its Guarantee was entered into, after
giving  effect  to  the incurrence of existing indebtedness immediately prior to
such  time.

The Guarantor is the sole subsidiary of the Company.  All future subsidiaries of
the  Company  will  provide  guarantees  identical  to  the one described in the
preceding paragraph unless such future subsidiaries are Receivables Subsidiaries
(as defined in the indenture relating to the Notes).  Such additional guarantees
will  be  joint  and  several  with  the  Guarantee  of  the  Guarantor.

The Company has not presented separate financial statements or other disclosures
concerning  the  Guarantor  because  Company management has determined that such
information  is  not  material  to  investors.

Summarized financial information for the Guarantor is as follows (in thousands):

                          September 30,    July 1,
                              2000          2000
                         ---------------  ---------

Current assets           $          258   $    234
Noncurrent assets                   109        117
Current liabilities               1,470      1,479
Noncurrent liabilities              830        785
Stockholder's (deficit)          (1,933)    (1,913)


Summarized  results  of  operations  for  the  Guarantor  are  as  follows  (in
thousands):

                                            Three  Months  Ended
                                        ----------------------------
                                        September 30,    October 2,
                                            2000            1999
                                       ---------------  ------------

Net sales - intercompany commissions   $        1,043   $       944
Costs and expenses                              1,063         1,043
Income from continuing operations                 (20)           (9)
Net profit (loss)                                 (20)           (9)


                                        7
<PAGE>
NOTE  C-LONG-TERM  DEBT,  CREDIT  ARRANGEMENTS,  AND  NOTES  PAYABLE

The  Company has obtained a secured three-year $50 million revolving bank credit
facility.  At  each  of  July  1,  2000  and September 30, 2000, no amounts were
outstanding  under  this  facility.  The  credit  facility  contains restrictive
covenants  that,  among  other  things,  require  that  the Delta Mills' Maximum
Leverage  Ratio,  as  defined, not exceed specified amounts.  The agreement also
restricts  additional  indebtedness,  dividends,  and capital expenditures.  The
payment  of  dividends with respect to the Company's stock is permitted if there
is  no  event  of  default  and  there  is at least $1 of availability under the
facility.

During  the  quarter  ended  September  30,  2000,  the  Company  acquired  for
$14,270,480  a portion of its 9 5/8% Senior Notes.  The aggregate principal face
amount  of  the acquired Senior Notes was $15,653,000. The Company recognized an
extraordinary  gain  on the early retirement of debt of $639,000 net of taxes of
$352,000.

In  October  2000,  the Company acquired for the sum of $3,664,810 an additional
portion of its 9 5/8% Senior Notes, the aggregate principal face amount of which
was  $4,063,000.


                                        8
<PAGE>
Item  2.  MANAGEMENT'S  DISCUSSION  AND  ANALYSIS  OF  FINANCIAL  CONDITION  AND
          RESULTS  OF  OPERATIONS

The  following  discussion  contains  certain "forward-looking statements".  All
statements,  other  than statements of historical fact, that address activities,
events or developments that the Company expects or anticipates will or may occur
in  the  future, including such matters as future revenues, future cost savings,
future  capital  expenditures,  business strategy, competitive strengths, goals,
plans,  references  to  future  success  and  other  such  information  are
forward-looking  statements.  The  words  "estimate",  "project",  "anticipate",
"expect",  "intend",  "believe" and similar expressions are intended to identify
forward-looking  statements.

The  forward-looking  statements  in  this  Quarterly  Report  are  based on the
Company's  expectations  and  are  subject  to  a  number  of business risks and
uncertainties, any of which could cause actual results to differ materially from
those  set  forth  in or implied by the forward-looking statements.  These risks
and  uncertainties  include,  among  others,  changes  in  the retail demand for
apparel  products,  the  cost  of  raw  materials, competitive conditions in the
apparel  and  textile  industries,  the  relative  strength of the United States
dollar  as  against other currencies, changes in United States trade regulations
and  the  discovery of unknown conditions (such as with respect to environmental
matters,  and similar items).  The Company does not undertake publicly to update
or  revise  the  forward-looking  statements  even  if it becomes clear that any
projected  results  will  not  be  realized

The  Company sells a broad range of finished apparel fabric primarily to branded
apparel  manufactures  and  resellers.

Net  sales  to  non-affiliated  parties in the first quarter of fiscal year 2001
were  $63.2  million  as  compared  to $58.0 million in the first quarter of the
prior  fiscal  year,  an increase of 9%.  The increase was due principally to an
increase  in  unit  sales  of  cotton  products  as  a result of improved market
conditions.  Net  sales  to  affiliated  parties  were  eliminated  in the first
quarter  of  fiscal  year  2001  due to the sale of the Rainsford Plant to Delta
Apparel,  Inc.  in  the  fourth  quarter  of  fiscal  year  2000.

Gross  profit  from continuing operations increased to $9.3 million and 14.7% of
sales  in  the first quarter of fiscal year 2001.  This compares to gross profit
of  $5.8  million  and 8.9% of sales in the prior year quarter.  The increase in
gross  profit  margin  was  the result of increased sales and increased capacity
utilization  associated with cotton products.  Also contributing to the increase
in  gross profit margin was the reduction in cost associated with the downsizing
of the synthetic product line that occurred during the first part of fiscal year
2000.

Selling,  general and administrative expense (SG&A) was $3.3 million and 5.3% of
net  sales  for  the first quarter of fiscal year 2001 compared to SG&A of  $3.4
million  and 5.2% of net sales for the prior year quarter.  The decrease in SG&A
was  directly  related  to  the  reduction in overhead associated with corporate
management  fees.

Income  from  continuing  operations  was  $2.3 million for the first quarter of
fiscal  2001 compared to a loss of  $1.1 million in the prior year quarter.  The
increase  of $3.4 million was the result of the increase in gross profit and the
decrease in SG&A as described above coupled with a reduction in interest expense
due  to lower debt levels associated with the extinguishment of a portion of the
Company's  senior  notes.

Extraordinary  gain,  net of taxes of $352,000, was $639,000 in the current year
quarter.  The  extraordinary  gain  occurred  when  the  Company purchased $15.7
million  face amount of its 9 5/8% Senior Notes for $14.2 million.  There was no
extraordinary  gain  in  the  prior  year  quarter. In October 2000, the Company
acquired  for  the  sum of $3,664,810 an additional portion of its 9 5/8% Senior
Notes,  the  aggregate  principal  face  amount  of  which  was  $4,063,000.

Net income was $3.0 million for the quarter ended September 30, 2000 compared to
a  net  loss  of  $1.1  million  in  the  prior  year  quarter.

The  Company's  order  backlog  at  September  30, 2000 was $76.4 million, a 29%
increase over the backlog of $59.2 million at October 2, 1999.  The increase was
spread  throughout  all  product  lines.


                                        9
<PAGE>
Item  2.  MANAGEMENT'S  DISCUSSION  AND  ANALYSIS  OF  FINANCIAL  CONDITION  AND
          RESULTS  OF  OPERATIONS  -  CONTINUED

The  Company  believes  that  cash  flow  generated  by  its  operations will be
sufficient  to  service  its  debt,  to  satisfy  its day to day working capital
requirements,  to  pay  dividends  and to fund its planned capital expenditures.

In  June  1998, The Financial Accounting Standards Board (FASB) issued Statement
of  Financial  Accounting  Standards  (SFAS) No. 133, "Accounting for Derivative
Instruments  and Hedging Activities".  This standard, as subsequently amended by
SFAS  Nos.  137  and  138, requires the recognition of all derivatives as either
assets or liabilities in the statement of financial position and the measurement
of  those  instruments  at fair value.  On July 2, 2000, the Company adopted the
new  standard.  The  Company's  management has determined that its cotton buying
contracts  meet the criteria for exclusion under the normal purchases and normal
sales  exemption  and are not considered derivatives; therefore, the Company had
no  financial  statement  impact  from  the  adoption  of  the  standard.

Item  3.  QUANTITATIVE  AND  QUALITATIVE  DISCLOSURES  ABOUT  MARKET  RISK

As  a part of the Company's business of converting fiber to finished fabric, the
Company  makes raw cotton purchase commitments and then fixes prices with cotton
merchants who buy from producers and sell to textile manufacturers.  Daily price
fluctuations  are  minimal, yet long-term trends in price movement can result in
unfavorable pricing of cotton. Before fixing prices, the Company looks at supply
and  demand  fundamentals,  recent  price  trends  and other factors that affect
cotton prices.  The Company also reviews the backlog of orders from customers as
well  as the level of fixed price cotton commitments in the industry in general.
As  of  September 30, 2000, a 10% decline in market price of the Company's fixed
price  contracts  would have had a negative impact of approximately $1.7 million
on  the  value  of  the  contracts.


                                       10
<PAGE>
PART  II.  OTHER  INFORMATION

Item  6.   Exhibits  and  Reports  on  Form  8-K

    (a)    Exhibits  required  by  Item  601  of  Regulation  S-K
                10.10.1  Amendment  of  2000 Stock Option Plan of Delta Woodside
                         Industries,  Inc.: Incorporated by reference to exhibit
                         10.10.1  to  Quarterly Report on  Form  10-Q  of  Delta
                         Woodside  Industries,  for  the  fiscal  quarter  ended
                         September 30, 2000 (File No.  1-10095).

    (b)    Reports  on  Form  8-K filed during quarter ended September 30, 2000.
                         None


                                       11
<PAGE>
                                   SIGNATURES



Pursuant  to  the  requirements  of  the  Securities  Exchange  Act of 1934, the
registrant  has  duly  caused  this  report  to  be  signed on its behalf by the
undersigned  thereunto  duly  authorized.



                                         Delta  Mills,  Inc.
                                         -------------------------
                                         (Registrant)




Date    November 14, 2000                 /s/  W.H.  Hardman,  Jr.
      ----------------------             -------------------------
                                         W.H.  Hardman,  Jr.
                                         Chief  Financial  Officer


                                       12
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