Evening star., 1926-11-13
MEN AND MONEY
By NJ. S. Rukeyser.
Copyright. 1926.)

Copyright l926)
The sun rays of prosperity diffuse
their light unevenly on different in
dustries. At this time, when lead
ers in most trades in the United
States are wondering how long the
| current era of good times will last,
the textile industry is making con-
lectures as to whether the long spell
of depression, which has confronted
it for five years. is over.
Frederick Kelsey Rupprecht, presi-
dent of the Consolidated Textile Cor
poration, whose group of mills con-
stitute the largest single factor in
the industry. told me that he believes
the cotton textile trade is on the
threshold of a marked recovery.
I asked Mr.. Rupprecht what, in
his opinion, will be the effect on the
goods trade of the recent collapse
in prices of raw cotton.
The cotton textile will benefit.
think" replied Mr.. Rupprecht, whose
company owns textile mills in the
South as we'll as in New England.
Our business has been suffering.
particularly during the last three
years. from the high cost of the raw
! material-high in relation to what
the finished product would fetch. In
the recent slump raw cotton prices
declined about 10 cents a pound and
cotton goods 5 cents. That is as 1t
should be. In past years, when we
would figure our goods at the rate
of 20 cents a pound for raw cotton
we frequently had to pay as high
as % cents"
I Take Inventory Losses.
Asked whether the textile mills
would have to take inventory losses
on the raw cotton in process during
the weeks of declining prices, Mr..
Rupprecht answered that they would
His company, he indicated. had writ
ten off $4,000 to cover the shrink
age in the market value of q month S
supply of cotton which was on hand.
This, however, will be averaged Off
during the next few months.
Mr.. Rupprecht explained that the
textile industry had been suffering
during recent years primarily from
overproduction. The manufacturers,
he said. were bearing the market
against themselves by accumulatlng
enormous stocks, and thus in effect
giving buyers an opportunity to name
the price. This practice has resulted
in the bringing of a dozen mills IN
New England to the verge of bank
ruptcy. He said he thought that
bankers financing the mills We're tired
Of a business system which resultel
steadily IN losses instead OF profits:
Il think the textile trade" Mr.. Rup-
precht added. has learned its lesson.
and is now making up goods only 1or
near-term delivery, instead OF plnts
up stocks. The lack of large 1nVen-
tories is the chief factor which makes
me more optimistic about the business
than l have been i'll five years.
Vogue for Cotton Goods.
"In my opinion. the country IS on
the verge of new vogue Tor cottol
fabrics. The new Cotton IeXtlie III
stitute will attempt to dramatiZe cot
ton az commodity, and also will en-
able manufacturers to get toSethe'
and exchange viewpoints. The cotloll
textile industry in recent years hao
been hurt by the new popularity Oh al
tifcial silk. which looks gooI. hut
does not, in my opinion. stand up so
we'll. Moreover, the nature OF lelli-
inina fashions with short 3klrtS, mas
greatly reduced the consumptlNe de
mand for cotton goods. thlhh NV we
are at a turn in fashions also. ne
process of shortening sklrts mas solle
about as far as 1t can. ana 1 now eA
meet neriod of longer skirts. Styles
rannot stand STILL The dressn@kefs
have to change them to keep up inter
est. 4 .+,,1a
.Tn the future, novelties and style
clements will determine the success
of cotton textile manufacturers pa
t;crla1.lv in New England. Inc TIME
i1as naSsed when mills can continue
through the years in operation az "a,
nacity on three staple nufnpe'S. lhsA
viii be a new opportunity Ior ti>si.ui '.;,1
in the industry. l thlnk Moills e w
1000 70 the fore in the styling OF COT
w. f,hr;cH We are about to one.
.1o,. .o line of textures and colors Whlch
,,,ill mark the beginning OF lhe re"
sr, The style element VIII oe
stressed more than ever before.
asked Mr.. Rupprecht whether the
,,,ift ~ mills to the South threatened
~, q. -, ,,ern,anence of New England as
tnxtile manufacturing center.
South Improving Quality
"xyhere the South can make the
s.,,,a goods" said Mr.. Rupprecnt' II
can nroducc 6 cents pound cleaP
or THE South is particularly soou oi
quantity work, but New 1h5
eScels in making the finer fabrics
The south. however, has been impfov-
ino, the quality of it's output. ana yel
The The movement to the South can De
overdone. There is a lack OF skllleu
ahor in the South, and the artlsans
Of New England will not move soutn-
ward. New England therefore mas
An y assured place in the future OF the
industry. and will find it's opportunity
in creating new designs, fabrics ana
appeals" .,. r~o,s,,a
effect of the slump in cotton prices
on the demand in the South for cotton
goods, Mr.. Rupprecht said:
"There is normally a good cotton
goods market in the South and the
nresent setback will be felt. However
although current prices are not piNht-
able for the cotton farmer, CONSIDER
able cash purchasing power VIII be
distributed in the South to those VINO
pick and gin the bumper crop
As for the effect of the expected
recovery in the cotton goods trade
Mr.. Rupprecht said: "The improve
roent will be reflected to some extent