Yorkville enquirer. [volume] (Yorkville, S.C.) 1855-2006, 1901-03-06
SUTRO CLOSING DOWN.

The Sutro Cotton milf will suspend
operations temporarily. Such a decis-
ion was arrived at last Saturday after
noon, and during this week the cotton
already in the various machines is be-
ing run out. When this process is
completed, the mill will stop. It is ex-
pected that everything will be ready
for suspension by next Saturday night
1t is simply a case Of adverse mar
kets and the impossibility Of making
headway against the inevitable. There
Is no trouble with the management, nc
trouble with the quality or quantity OF
the product, no trouble with the cost OF
production. The trouble is solely and
entirely due to a market depression
the like Of which the oldest spinners dc
not remember.
Since It's organization as a corpora
tion last summer, the Sutro mill has
been struggling bravely against ad-
verse conditions. The company had NO
surplus money for use as a working
capital, and this was a serious handi-
cap. The market desperately low at
the beginning has been going lower
and lower. There was a reasonable
profit at the outset; but this finally
disappeared, and Of late has been
changed into loss solely on account
Of the continually declining market.
With remarkable pluck, nerve and per-
severance the management continued
to hold out against these discouraging
conditions; but has at last decided
that in view of the uncertainty, pru-
dence and business judgment demands
a halt.
The situation or the Sutro mill Is Pc
culiar. 1t makes practically nothing
but hosiery yarns. Owing to the ex-
ceedingly mild winter, there has not
been the usual demand for products of
this class. Except where contracts
had been made already, there was vir-
tually no market. There Is no market
now. Mill men Of knowledge and ex-
perience advise us that just at this
time, hosiery yarns cannot be placed
with commission men at price equal
to the lowest possible cost Of produc-
ton under the most favorable circum-
stances. Indeed, 1t Is stated, that un-
less the yarn be sold in advance, cotton
converted into this class Of goods.
So far as hosiery yarn Is concerned,
the present situation looks like one Of
those very lowest Of commercial dips
that seem to have no bottom. 1t is not
unprecedented. There was a similar
depression in the skein yarn market in
1893. That time hard yarns were un-
salable at the cost Of production. while
hosiery yarns were salable at good
profit. Many mills that were manu-
featuring ordinary skein yarn and
warps, mad to shut down, and the hos
iery mills continued to prosper. At
this time the pressure is very heavy
on all kinds Of yarn products and es-
pecially so on hosiery yarns.
What the Sutro people are going to
do has not yet fully developed. While
they find it impossible to continue ope-
rations under present conditions, they
know that present conditions cannot
exist forever. A change there will GER
tainly be: but how soon they are un-
able to surmise. While it is possible
that they can raise the means to con-
tinue for awhile longer, they do not
feel justified in continuing under the
certainty of loss. Neither do they like
the idea Of allowing their present labor
force to become disorganized and scat
tered; but it seems also that this can