1
1977 — A Year Of Growth And Innovation
Fieldcrest Mills, Inc., achieved record sales and earnings for the third con
secutive year in 1977. The graphic report on page three will show you the
disposition of the 1977 sales dollar.
Other expansion and modernization projects during the year included|'f
dyeing equipment for blankets and bedspreads, new looms for the Coj,
bus Towel Mill, a dust abatement and modernization program at the Fiei"
Towel Mill, and installation of precipitators at North Carolina Finishing.
Flowever, sales and earnings figures don’t tell the whole qtory of Field-
crest 1977. It was a year of innovation and growth for the company in two
major areas particularly. First, a very satisfactory joint venture agreement
with two Irish partners for the construction of a terry towel mill in Kilkenny,
Ireland, was concluded. The two Irish partners are the Bank of Ireland and
P. J. Carroll & Company, Limited. This represents a significant undertaking
since the towels manufactured in Ireland will be for European common mar
ket consumption. The facility is now under construction and production ex
pected to begin in 1979.
Total expansion and modernization expenditures for the year
$12,693,000.
In the area of employment, at year-end Fieldcrest employed
2,3^
salaried and 10,100 hourly people. Total employment of 12,400 was
cent above the 11,500 level at the end of 1976.
The second major event of the year was the acquisition of a new bath rug
manufacturing plant in Scottsboro, Alabama, and the purchase of new equip
ment for that facility.
Three important factors contributed to the company’s success during the
year. These factors are fashion leadership, manufacturing skill and efficient
management of assets, all of which are critical to the company’s success,
enabling it to not only sell it products but also to make it competitive within
the industry.
While 1977 was an outstanding year for Fieldcrest in terms of 5'"'
$416,860,000, the graphic report on page three shows that 95.8 cents
each sales dollar was spent on the actual costs of doing business, vi'itJ’jj
cents of each dollar remaining for reinvestment in the business a'’’"
cents out of each dollar going to our share holders.
The further breakdowns shows that raw materials accounted f°f ^
cents of each sales dollar and manufacturing wages, salaries and
benefits 23.8 cents.
Architectural drawing of Fieldcrest towel manufacturing plant under construction in Kilkenny, Ireland.
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THE MILL WHiS