On January 1st, the worldwide textile industry started operating under new rules.
A set of export quotas expired that determined who could sell what textiles to whom.
The big winner is expected to be China, with its vast resources and cheap labor.
Some in the U.S. textile industry are looking for better ways to compete.
Others figure this is the end, and are closing shop.
Still others are joining forces with the competition.
The L.W. Packard Company in Ashland, New Hampshire is taking that last route.
And as NHPR correspondent Shannon Mullen reports, after nearly a century in operation, this may be the company's last shot.
IN THE MID 1990s, THE L.W.PACKARD WOOLEN MILL BOASTS IT HAD ONE OF THE MOST MODERN TEXTILE MANUFACTURING FACILITIES IN THE WORLD.
300 EMPLOYEES WORKED WITH LUXURY FABRICS LIKE ANGORA AND CASHMERE FOR L.L.BEAN, SAKS, AND LANDS END.
TODAY, MOST OF THE MACHINES THAT MIXED, SPUN AND WOVE THOSE FABRICS� HAVE BEEN SOLD TO A FACTORY IN CHINA.
THE COMPANY IS DOWN TO SIX EMPLOYEES�
MARGOT HUGHES HAS BEEN STITCHING FOR L.W.PACKARD FOR 42 YEARS.
2:24 everybody in town once worked in here� as long as I can remember when I came in, the punch clock was out there, they�d talk to each other, took care of each other�
3:00 it was nice here, everybody stick together here�
[Bring up NAT of Margot sewing� KEEP UNDER�]
THESE DAYS MARGOT SITS BY HERSELF IN A BIG EMPTY ROOM, USING A 30 YEAR OLD SEWING MACHINE TO STITCH BLANKETS OUT OF WHAT�S LEFT OF THE COMPANY�S WOOL INVENTORY�
[Fade out sewing machine� to silence.]
L.W.PACKARD IS 99 PERCENT CLOSED. (pause)
IT'S A DISORGANIZED COMPLEX�.A KIND OF INDUSTRIAL VERSION OF A TYPICAL SPRAWLING NEW ENGLAND FARMHOUSE.
A FEW WEATHERED WOODEN WINGS CONNECT TWO BRICK BUILDINGS AND A 65,000 SQUARE FOOT WAREHOUSE.
IT'S ALL CLUSTERED IN THE CENTER OF ASHLAND.
IT STANDS EMPTY AND COLD. � TOO EXPENSIVE TO HEAT.
AND ON THIS GRAY WINTER DAY, THE SCENE IS PARTICULARLY BLEAK.
INSIDE, WORKERS ARE TAKING APART WHAT�S LEFT OF THE MACHINERY�
IT TOO WILL BE SOLD AND SHIPPED TO FACTORIES IN CHINA.
[BRING UP BANGING SOUND, GLIDDEN TELLING WHAT IT IS]
T12 0:20 more of machines being taken apart�
T8 3:04 Here we are, we�re taking some machines apart�3:40 these stainless steel dye kettles� we�ll have to patch the floor when we�re done�
JOHN GLIDDEN IS THE FOURTH GENERATION FROM HIS FAMILY TO RUN L.W. PACKARD.
HIS GRANDFATHER�S UNCLE - LUTHER PACKARD -STARTED IT IN 1916.
BACK THEN NEW HAMPSHIRE WAS ONE OF THE CAPITALS OF THE COUNTRY�S BOOMING MANUFACTURING INDUSTRY.
L.W.PACKARD LIVED THROUGH THE GREAT DEPRESSION WHEN THE ECONOMY WENT SOUTH.
AND THE COMPANY SURVIVED WHEN TEXTILE MANUFACTURING WENT SOUTH, GEOGRAPHICALLY DUE TO COMPETITION FROM DEVELOPING COUNTRIES.
GLIDDEN SAYS EACH TIME, THE COMPANY ADAPTED.
T7 1:05 (GLIDDEN) ...in the last 15 years of operation we concentrated on going upscale in our market. The bottom end was getting consumed by Italians, Uruguayans, Asian markets.We kept going more expensive, higher quality, more value added, right to top of market. But the facility was so large, the volume available in this high end market so small that it really became unmarketable, unprofitable.
THE MILL MAY BE PRACTICALLY WORTHLESS FROM A BUSINESS PERSPECTIVE.
BUT IT STILL HOLDS A LOT OF HISTORICAL AND SENTIMENTAL VALUE, ESPECIALLY FOR GLIDDEN.
[Bring up nat of walking, maybe up steps]
T6 0:00 This would have been a hot place to work, windows open, a dozen people here, the 1920s�
0:40 who knows what stories walked here, floor worn down with straight every-day ole� foot traffic. This operation probably stopped in the 1950s, and this room has looked like that since then. Just full of history, full of knowledge, full of stories to tell if we could only get �em to come out of the timbers� it�d be something�
[BRING UP RIVER SOUND�]
THE MILL WAS BUILT OVER A RIVER.
ITS ORIGINAL WATER TURBINES STILL PRODUCE ELECTRICITY ENOUGH TO KEEP THE LIGHTS ON, AND A FEW MACHINES RUNNING.
T11 1:54 you can actually feel the water going through, turbine unit going round and round and round� been here since 1935 when my granddad installed it� been turning like that barring a draught or something, ever since. There�s about 120 cubic feet per second going through this thing, that�s a lot of water.
2:40 Makes probably between $5000 and $10,000/month of electricity� (steps)� I�m about the only guy in town that smiles when it rains�
IT�S SOMETHING THAT GLIDDEN EVEN SMILES AT ALL THESE DAYS�
THE TEXTILE QUOTAS ARE OFF AND COUNTRIES LIKE CHINA ARE POISED TO SNATCH UP WHAT�S LEFT OF THE US TEXTILE INDUSTRY�S CUSTOMERS.
SOME IN HIS INDUSTRY CALL IT AN APOCOLYPSE.
GLIDDEN SAYS IT�S MORE LIKE A LONG, SLOW EROSION�
HE�S HAD TIME TO GET USED TO THE IDEA THAT THE END IS IN SIGHT.
1:37 It is a sad story, without a doubt, but you�ve got to remember, I�ve been living with it for many years now, so it�s not something that just didn�t happen all at once, for me. Just like getting old, didn�t happen all at once.
[CUT TO] 2:39 I�m sure my grandfather and my father both would be very sad to see the state of the business, but both would understand, that there was an end coming to manufacturing in the US.
GLIDDEN SCRATCHES HIS HEAD�
HE SEES THE END OF THIS COUNTRY'S TEXTILE INDUSTRY AS A SIGN OF A MORE PROFOUND PROBLEM.
THIS COUNTRY, HE SAYS, DOESN'T SEEM TO MAKE THINGS ANYMORE.
T14 8:32 I don�t know how you can have an economy without making things. I�m not an economist, I fared very poorly in those classes, (laughs) but still, if you don�t work, if you don�t produce something, you don�t get paid�
[CUT TO] 7:05ish today�s economy is a lot of things, just digital this and digital that, lots of virtual things. Here we actually make things, that was a very rewarding feeling for me, I see it�s missing in the US economy, it�s part of the heartbeat of this country that�s going away.
[bring up sound from T2 of Glidden showing off the Minus33 long underwear, unzipping the package, etc.]
L.W.PACKARD IS HANGING ON�.JUST BARELY.
IT OWNS A SMALL SUBSIDIARY THAT MAKES PREMIUM LONG UNDERWEAR OUT OF SUPER-SOFT WOOL.
GLIDDEN STARTED THE LITTLE COMPANY FIVE YEARS AGO, AND HE SAYS BUSINESS IS STARTING TO PICK UP.
AND HE WANTS THAT TREND TO CONTINUE.
SO HE PLANS TO SIGN A NEW JOINT VENTURE CONTRACT WITH A MANUFACTURER IN BEIJING.
T14 5:16 hopefully a small New England company can make some profit manufacturing in China. It�s a daunting task, risky task, but I think we can do it, it�s our wool, it�s our skills, our knowledge, and it still applies.
IT WON'T BE U.S LABOR, THOUGH.
BUT GLIDDEN'S CONTRADICTIONS DON'T SEEM TO BOTHER HIM.
5:20 �..I can�t make these products in the US, make them, market them, sell them to the average consumer. But I can have it made in China, bring it in legally, pay the duties, pay the quotas, and market some really nice products, at very attractive prices to American consumers. I can make a living. Amongst everything else, I do have to do that�
IN THE MEANTIME, GLIDDEN PLANS TO CLOSE UP COMPLETELY BY THE END OF THE SUMMER.
THOSE BUILDINGS THAT AREN'T SLATED TO BE KNOCKED DOWN ARE FOR SALE.
FOR N-H-P-R NEWS, I�M SM.