Spartan International, a Spartanburg, S.C.-based company has operated King Mill since 1968. The mill was named after John Pendleton King, a distinguished attorney, banker and judge in Augusta in the 1800s. June 1, 1881 - The John P. King Manufacturing Co. was organized. April 15, 1882 - The cornerstone of the King Mill was set, starting construction that lasted almost two years. July 30, 1958 - A gas explosion and fire at the mill injured 17 and caused property damage that left 40 in the vicinity homeless. May 10, 1978 - The mill announced a $4 million modernization that would add 130 jobs. August 26, 1979 - More than 1,000 people were employed at the sprawling King Mill complex. June 1, 1981 - Hundreds of Augustans gathered at the mill for the centennial celebration. Sept. 17, 1982 - The mill phased out its corduroy and sheeting production, putting about 120 people out of work. June 24, 1990 - The company cut its yarn division and expanded its health care product unit. By July, 119 people were laid off, but many of those were later rehired.

``A lot of companies have been pushed into the red,'' said David Link, chief economist for the American Textile Manufacturers Institute. ``Last year was the first time in 50 years the textile industry showed a (collective) loss.''

Domestic textile producers have been suffering at the hands of Pacific Rim competitors since the 1997 Asian financial crisis devalued Far East currencies, resulting in a flood of cheap imports to this country, the world's largest textile consumer.

Mr. Link could not specifically speak about King Mill owner Spartan International - the company withdrew from the national textile organization last month - but he said companies that did not offer speciality textiles, such as upholstery or industrial fabrics, have been hit hardest.

King Mill, officially the J.P. King Manufacturing division of Spartan International, produced cotton yarns and woven cotton fabrics.

``Of course, the imports take away from the domestic producers, but the low prices put downward pressure on companies whose margins are already squeezed tight,'' he said.

Southeast textile mill employment dropped 7,600 last year to 378,000 people, according to the U.S. Department of Labor's Bureau of Labor Statistics.

In March, Spartanburg, S.C.-based Mayfair Mills Inc. shut down its Lincolnton mill because of what the company called an ``extremely depressed market.'' The company shut down two other mills, resulting in a combined job loss of 150 employees.

In 1999, Forstmann & Co. closed its Louisville, Ga., wool mill in response to overseas price pressure. Forstmann, then the town's second-largest employer, laid off 150 workers.

The remaining textile companies, such as Monroe, Ga.-based Avondale Mills, which employs more than 3,100 people at mills throughout the Augusta-Aiken area, have been forced to make operations more efficient through modernization.

Avondale, which operates Augusta's Sibley Mill has pumped more than $100 million in new capital investment into area facilities while reducing its work force by nearly 500 employees.

``We expect employment to be steady in the near future,'' said Craig Crockard, Avondale's vice president of planning and development.

DECLINING TEXTILE EMPLOYMENT

Fourth quarter 1999/Fourth quarter 2000/percent change

Georgia: 104,200/105,900/-1.6

South Carolina: 71,000/69,000/-3.8

Alabama: 393,600/378,700/-3.8

Florida: 38,300/37,900/-1

Kentucky: 43,000/42,000/-2.3

Mississippi: 45,000/41,000/-8.9

North Carolina: 149,500/140,600/-6

Tennessee: 16,100/15,600/-3.1

Source: Bureau of Labor Statistics

Reach Damon Cline at (706) 823-3486 or bized@augustachronicle.com.