Ram's Head Changes

Standing head & shoulders above its competitors is American Woolen Co., whose normal yearly sales volume is $100,000,000, chiefly in Ram's Head Fabrics. No other woolen-worsted company in the world approaches American's size, but its dominance is not a prosperous one. Long before general Depression began, American Woolen was having its depression. In 1923 the company earned $6,666,000, not much more than it had made in 1922 and 1921. But in 1924 it lost $6,953,000; in 1929 it lost $4,228,000.

With American Woolen's 1924 reversal came the story that stockholders were disgruntled with the rule of its president & founder, William B. Wood. That year he said he was in ill health, resigned from the presidency. A year later he resigned from the directorate. A year later he committed suicide.

Succeeding Mr. Wood was Andrew G. Pierce, a tight-mouthed man from New Bedford, Mass. Slowly he went about his task of strengthening the company. Inventories were gradually written down to their value. Cash was conserved although it meant passing preferred dividends. No lies were told about the company, and stockholders did not like to hear the truth. Lately Mr. Pierce has been anxious to resign, but it has been difficult to find a man to take his place.

Last week the man was found, engaged, announced. New president will be Lionel J. Noah, the conservative, shrewd Yankee who is now executive vice president of Gimbel Brothers, Philadelphia. More surprising and newsworthy was the simultaneous announcement that chairman of the executive committee will be William Bishop Warner, president of McCall Corp., publishers of McCall's Magazine (circulation 2,500,000); McCall Quarterly; McCall Needlework and Decorative Arts; McCall Style News; Red Book Magazine. McCall Corp. also publishes and distributes fashion patterns. Chairman Warner knows the retail field, knows much about distribution, and his press can do much to popularize woolens and worsteds.

In addition to Chairman Warner and President Noah, the executive committee will include famed Banker Albert Henry Wiggin of Chase National Bank; Ray Morris of Brown Brothers & Co., both of whom were previously directors, and Charles Hayden of Hayden, Stone & Co. Mr. Pierce will become board chairman, First Vice President Moses Pendleton will remain in his same position as general manager. Mr. Pendleton has always made the important yarn division turn in a profit, has skillfully directed wool buying, knows much about manufacturing.

Thus American Woolen is ready for a new era. The old management has worked on the financial structure until it is now in a highly liquid position with over $19,000,000 in cash, will afford no worry to the new management which will specialize in intensive selling, ramming the Ram's Head forward.

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