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Reorganizations Yield Results

Reorganizaitons Yield ResultsU.S. textile firms under Chapter 11 bankruptcy protection have begun to emerge after successfully reorganizing operations and reducing debt. Kannapolis, N.C.-based Pillowtex Corp. recently completed an 18-month reorganization process. The company has reduced its debt from $1.1 billion to approximately $205 million. Its strategies for success include strong brand marketing, more efficient manufacturing operations, development of sourcing partnerships and attention to quality.Malden Mills, Lawrence, Mass., has filed a plan of reorganization with the U.S. Bankruptcy Court after filing for protection in November 2001. Malden has streamlined its manufacturing operations, accelerated product commercialization and strengthened its Polartec® brand. The company credits employee, customer and consumer support for helping it increase earnings and improve its balance sheet during the reorganization process. September 2002




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