Hides and Leather

Ever since the crash in 1920, the leather companies have been in almost continuous difficulties. Addeo to their huge losses on inventory values is the fact that since leather is a by-product of the meat and other industries, the leather trade cannot regulate the supply of raw hides with the same ease as other industries regulate their sources of supply. Moreover, the new styles in women's shoes make for a reduced use of leather, and automobile manufacturers are employing painted cloth and leather substitutes to a greater degree than formerly.

The current statement of the American Hide & Leather Co., covering the last six months' operations, shows the hand-to-mouth methods resorted to in the leather field. Expenses and taxes exceeded earnings by $169,980, which, coupled with a depreciation of $137,330, makes a total deficit for the six months of $307,310.