Banker's Opinion of What Has To be Done London, Jan. 27.
The Cotton Yarn, Association is attempting to end the "unrestrained. ed competition" in the section of the Lancashire cotton industry spinning American cotton, The President of the Yarn Association. states that production at the present time is 70 per cent. of capacity, but, with the cotton basis up and raw materials falling, margins are back at almost their lowest poifit, touched in December, The Directors of the Association have sent a circular to non-members. of the Association proposing a scheme for ce-operation " without ip, non-members to be They may as full members for a period of six months, at the end of which they may resign or become per-ant members. No price regulations or grading of yarns shall be instituted during the six months, the "associates" to supply return including their weekly productions end daily sales records, and to appoint a committee to ce-operate with the Directors of the Cotton Yarn Association, who will advise the Board on curtailment of production. The whole scheme depends upon obtaining a majority of 75 per cent. of non-members by Jun-vary 31 Coincident with the Gerald Dewhurst, Chairman Williams, Deacons Bank, ut the annual meeting, expressed the opin. ion that the financial reorganization of the cotton industry must be undertaken by drastic writing= down of unproductive cubital, cutting out of dead assets and closing down the weakest mills, Co-operation from the banks in those mat tora would be forthcoming, but the banks were incompetent to initiate or enforce re-organization.—Reuter,
Text read from the printed page and cleaned; old type leaves the occasional error.