From the Sector

With the pollen season starting, new independent test results by the German external laboratory BMA-Labor have shown Purissimo’s™ effectiveness against pollen, making it an all-in-one solution for reducing allergens.

Devan’s allergen control technology, known as Purissimo™, has been found effective against allergens from pollen. The technology had already been proven to significantly reduce the amount of allergens from house dust mites and pets (cats & dogs).

“Allergens are small protein molecules, which can cause allergic reactions and asthma. All allergy sufferers are different when it comes to their sensitivity to allergens”, says Sofie Depluverez, PhD researcher at Devan. “However, few people are only allergic to a single allergen – and the effects of multiple allergens can add up. The key to reducing and even eliminating symptoms is to reduce your exposure to the allergens themselves.”

Allergy threshold
When people move into a house or bring in a new dog, the number of allergens starts to rise. In the beginning there are little to none, so the allergy threshold causing symptoms is far from being reached. Nobody is suffering any reaction at this stage.

“As time goes by, the various allergens start to build up inside the house, certainly when ventilation is limited”, Depluverez continues. “As the allergen concentration increases (especially in combination with seasonal allergens such as pollen), the allergy threshold may be reached if no allergen reduction measures are in place.”

Purissimo™
Purissimo™ is a natural allergen control technology that significantly reduces allergens from pet dander, dust mites and pollen in textiles throughout the home. The technology is based on encapsulated probiotics, which are naturally occurring microorganisms similar in kind to those you can find in probiotic yogurt, tempeh, kombucha.

Inactive probiotics (spores) are encapsulated and integrated onto the textiles. Friction opens the microcapsules and releases the spores. The spores absorb humidity and self-activate. They are transformed into probiotic bacteria that start to consume the allergens.

“As the probiotics consume the allergens, exposure is gradually reduced to below threshold levels”, Depluverez adds. “Therefore, individuals with respiratory allergies will be exposed to fewer ‘attacks’ and perceive a better well-being.”

• Partner to Enable Sustainable Microbe- and Odor-Resistant Textiles
• Huntsman Now Delivers Complete End-to-End System for Protection Effects

SINGAPORE – Huntsman Textile Effects and Sciessent have entered into a strategic partnership to bring revolutionary antimicrobial and odor-control solutions to textile mills and brands worldwide. As consumers around the world begin paying more attention to health and hygiene, Huntsman Textile Effects and Sciessent will cooperate to help mills and brands deliver active wear, outerwear, home textiles and other products with long-lasting protection against microbial growth and odor. Huntsman Textile Effects will also become the exclusive distribution partner of Sciessent’s Agion® Antimicrobial*, Lava XL® anti-odor solution, and dual-action Active XL®.

“Both Huntsman Textile Effects and Sciessent share a deep commitment to innovation, environmental sustainability and customer service. As partners, our joint goal is to offer the highest level of protection for textiles so that they stay fresher for longer,” said Rohit Aggarwal, President of Huntsman Textile Effects. “Huntsman Textile Effects now has one of the industry’s most complete end-to-end systems for high-performance protection effects, with a full range of innovative and sustainable protection and comfort technologies from pre-treatment to coloration and finishing.”

“Our presence in the global textile and apparel market has been rapidly expanding based on the strength of our solution set and reputation for delivering an exceptional customer experience,” said Sciessent CEO Paul C. Ford. “Through this partnership, we are both extending our reach to manufacturers and enhancing our offerings by coupling them with Huntsman Textile Effects’ broad range of innovative and sustainable protection technologies. It is a great opportunity for manufacturers to differentiate their products through the combined strength of our brands.”

Sciessent is recognized for the proven effectiveness and safety of its antimicrobial and anti-odor technologies throughout the global textile and apparel industry.

Sciessent Agion® Antimicrobial is the industry-leading antimicrobial solution. Designed with smart-release technology, it delivers long-lasting protection by releasing its active antimicrobial agents only when needed. It can be built-in or applied via padding, exhaust or package yarn to any textile alongside other functional finishes, dyes, inks and pre-treatments. Durable up to 100 home washes, Agion® is also customizable to meet brands’ performance and cost goals. Agion® Antimicrobial has been used on FDA-approved medical devices.*

Sciessent Lava XL® is a next-generation non-bioactive odor-control solution, ideal for sportwear and athleisure wear. While other odor-control technologies capture odors and release them during laundering, Lava XL®’s triple action technology utilizes zeolite minerals with a large surface area to capture, absorb and degrade odors as they pass through the fabric.

Sciessent Agion Active XL® combines the advanced dual technologies of Agion® Antimicrobial and Lava XL® to deliver outstanding odor protection. The antimicrobial fights odor-causing bacteria on the garment, while the odor-control solution captures odor generated by sweat on the skin. The result is that garments smell fresher for longer and sustain a high level of performance for more wears.

The Sciessent solutions are easily integrated into the finishing process and can be combined with a range of other finishes, including Huntsman Textile Effects’ durable water repellents and comfort systems to cost-effectively produce high-performance textile products that are safe and sustainable.

Huntsman Textile Effects and Sciessent both champion environmentally responsible products that help the textile industry meet its regulatory obligations and the expectations of the world’s most exacting brands and consumers. The Agion®, Lava XL® and Active XL® products are all bluesign® approved and listed on the Zero Discharge of Hazardous Chemicals (ZDHC) Foundation ZDHC Gateway, complying with ZDHC Level 3 requirements.

*The Agion® Antimicrobial is presently registered by the United States Environmental Protection Agency as a preservative and bacteriostatic agent for use in treated articles under 40 CFR 152.25a. The information presented herein is not intended to support or endorse public health claims for treated articles. The Agion® Antimicrobial is also used in medical devices under the Food and Drug Administration; those medical device claims are based on safety and efficacy testing and are limited to those approved by FDA.

Order Intake Continued to Recover in the Fourth Quarter of 2020:

• Order intake increased to CHF 215.1 million in the fourth quarter of 2020 and reached a total of CHF 640.2 million in the 2020 financial year
• As expected, sales of CHF 573.0 million in the 2020 financial year were significantly down on the previous year
• EBIT margin of around -15% and net profit of around -16% of sales expected
• First half of 2021 still heavily impacted by the COVID-19 pandemic
• Change to the Group Executive Committee

Rieter posted a globally and broadly supported order intake of CHF 215.1 million in the fourth quarter of 2020. Thus, the recovery that began in the third quarter of 2020 after the slump in demand in the second quarter continued (order intake second quarter: CHF 45.7 million, third quarter: CHF 174.4 million). Overall, Rieter’s annual order intake for the 2020 financial year totaled CHF 640.2 million, which corresponds to a decrease of 31% compared to the previous year.

At the end of 2020, the company had an order backlog of about CHF 560 million (December 31, 2019: about CHF 500 million).

As expected, as a consequence of the economic effects of the COVID-19 pandemic, the Rieter Group closed the 2020 financial year with considerably lower sales than in the previous year. According to the first, as yet unaudited figures, total sales of CHF 573.0 million were achieved, which corresponds to a decrease of 25% compared to the previous year (2019: CHF 760.0 million).

Order Intake by Business Group
All three business groups were affected by the slump in demand in the second quarter of 2020 due to the COVID-19 pandemic. Despite the recovery in order intake in the third and fourth quarters of 2020, the weak second quarter was only partially offset.

The Business Group Machines & Systems was particularly hard hit by the effects of the pandemic, with a year-on-year decline of 35%. The Business Groups Components and After Sales each recorded a 24% reduction in order intake.*

Sales by Business Group
The exceptional market situation in 2020 gave rise to a significant decline in sales in all three business groups. Accordingly, reluctance to invest and deferred deliveries by customers caused sales in the Business Group Machines & Systems to decline by 24% compared to the previous year.

Due to COVID-19, a large number of spinning mills stopped production worldwide. This led to low demand for spare parts and wear parts, especially in the second and third quarters of 2020. Accordingly, compared to the previous year, sales in the Business Groups Components and After Sales fell by 24% and 27% respectively in the 2020 financial year.*

Sales by Region
With the exception of Turkey, all regions were affected by the low demand as a consequence of the COVID-19 pandemic.*

EBIT Margin and Net Profit
In the 2020 financial year, Rieter anticipates an EBIT margin of around -15% (2019: 11.2%) and net profit of around -16% of sales (2019: 6.9%). As of December 31, 2020, Rieter had liquid funds of exceeding CHF 280 million and unused credit lines in the mid three-digit million range.

First Half of 2021 Still Heavily Impacted by the COVID-19 Pandemic
Thanks to the improved capacity utilization, Rieter is planning short-time working in only a few areas in the first half of 2021. Nevertheless, Rieter expects sales in the first half of 2021 to be below the break-even point.*

Change to the Group Executive Committee
With effect from March 1, 2021, the Board of Directors of Rieter Holding Ltd. has appointed Roger Albrecht as Head of the Business Group Machines & Systems and a member of the Group Executive Committee.*

Annual General Meeting April 15, 2021
The 2021 Annual General Meeting of Rieter Holding Ltd. will take place in Winterthur on April 15, 2021.*

*See attached document for more information.

First edition of JEC Summit Sports & Health – Connect, an online event platform devoted to medical and sports equipment manufacturers using composites, ended last week going above and beyond its set goals. JEC Summit Sports & Health – Connect brought together professionals from the whole composites value chain and allows decision-makers to evolve and inspire through a subsequent event program. This summit was the first in a long line of events devoted to composites in the Sports and Health industry that are to come within the next two years.

The three-day event was conceived as a forum to gather composites professionals, affiliates, and high-profile speakers to share their expertise in composites materials involved in creating state-of-the-art medical devices and sports equipment.

“Following the enforced postponement of many trade shows, we took the step of becoming the first organizer to stage an online event dedicated to composites in the sports and health industry. We put together a high-level conference agenda and speaker roster, and devised some great ideas for virtual networking, said Christian Strassburger, Event Director at JEC Group. “I could not be prouder of what we achieved with many delegates from Europe and Americas tuning in, including representatives from more than 36 countries. I would also like to take this opportunity to thank all our sponsors and partners. Their trust, support, and input were a crucial part of both the quality and success of the summit.”

The event attracted an audience of more than 1,100 professionals from the composites industry, from 36 countries, and helped organize 216 pre-arranged one to one meetings between buyers and sellers via our dedicated online meeting rooms, this without mentioning informal networking between participants. It reached these numbers, as participants logged on in considerable numbers to learn from the insights and ideas of the unparalleled line-up of high-level speakers who took part in the summit’s twenty-track conference.

The agenda for the JEC Summit Sports & Health – Connect featured tracks on current trends and Innovations in sports & health composite applications, with keynotes delivered by Dominic LeBlanc Senior Concept Engineer, at Callaway Golf, Christophe Lecomte, Director of Biomechanical Solutions R&D, at Össur, Fleur Jong, Professional Sprinter, and Co-founder of the Para Athletics Foundation and Damiano Salvatori, Materials Research Engineer, at the Straumann Group.

The panel of high-profile experts from Europe and America offered perspectives and inspiration for the next generation of medical and sports devices made of composites materials. The line-up included Bjorn Ivar Austrem, Technical Director, at Madshus, Laurine Calistri, Research Engineer, at Proteor, Anatole Gilliot, CEO of Suprem, Julien Duplay, Composites Methods Engineer, at Decathlon, Eric Jackson, President of Apex Watercraft, Stéphan Vérin, General Secretary, at EuraMaterials, Maximilian Segl, Principal Expert Composites, and Johannes Wölper, Development Engineer, both from Ottobock, and Matthew Dickinson, Senior Lecturer in Engineering, at University of Central Lancashire. Christos Karatzias, at Mitsui Chemicals Europe and Anthony Bert, at Helicoid Industries.

And one cannot omit the international startups that pitched all through the three-day event: ProsFit (Bulgaria), Alchemy (Greece), moi composites (Italy), Mercuris (Germany), Arevo/Superstrata (USA), Checkerspot/WNDR Alpine (USA), Ambrocio (Finland) Nairoby (Argentina). All gave inspiring and promising perspectives in the sector and what to look for in the near future.

• "We only promote products that we like and Kornit is offering a line up of technologically advanced equipment that can take our selected customers into the future of textile print on demand.”
• Responding to market needs for textile print on demand

Kornit Digital (Nasdaq: KRNT), a worldwide market leader in digital textile printing technology, continues to expand its market reach through Grup Transilvae partnership.

Founded in 1993 in Cluj, Grup Transilvae later expanded its reach nationally with a move to Bucharest. It has since developed into a complete solutions and services provider following partnerships with key industry manufacturers such as HP, MGI Digital Graphic Technology, Canon, Esko, Caldera, Efi, X-Rite - Pantone and Fotoba International etc. It has also more recently agree to support Matic, Highcon, Xlam, Sefa, Chemica and PlastGrommet. Now the company is increasingly focusing on the textile industry which is why it is partnering with Kornit.

CEO Bogdan Vasilescu explains: "We started with color management solutions, working on demand for Fogra with digitally printed DMI colors on textiles. We have also worked with Mimaki, Roland, Epson and Vutek on various projects including Eurotex Iasi, Zara and Rofobit in Bucharest. Eager to continue our growth spurt in the textile printing industry, we were looking for a trusted partner and Kornit was the obvious choice.”

"The collaboration with Kornit began officially in September and is a natural progression,” Vasilescu adds. “For a number of years, we have been considering ways to improve our offering by moving into textiles in the same way that we did for sign and display, home decor or packaging. We were just waiting for the right partner. We are always looking to collaborate with market leaders and we wanted to work with Kornit to tap into the potential of the print on demand textile market with an extensive textile printing portfolio.”

Grup Transilvae will represent all Kornit’s textile solutions, including Direct to Garment and Direct to Fabric, particularly for T-shirts, activewear, denim, fashion, beachwear, home textiles and fabrics.

Vasilescu continues: “We are looking forward to showing our existing customers how they can take advantage of the Covid 19 accelerated trends in digital print-on-demand and short-run print jobs. We will signpost how they can expand their application range, grow volumes and experience better ROI.”

Vasilescu concludes: “We only promote products that we like and Kornit is offering a line up of technologically advanced equipment that can take our valued customers into the future of textile print on demand.”

Omer Kulka, CMO at Kornit Digital states: “We are delighted to announce another great partnership with a distributor that is as passionate about our products and the textile printing industry as we are. Grup Transilvae has a long history of successfully entering new markets with leading manufacturers. We look forward to a long and happy partnership.”

• The new company in the Group is dedicated to metal accessories for luxury and haute couture, in the heart of the Tuscan fashion district.

Mendrisio – Another important milestone has been reached at Riri: the incorporation of Cobrax Metal Hub, the new company in the Group which specialises in the design, development and manufacturing of metal components for the luxury and haute couture sector. The company’s headquarters are in the heart of the Tuscan fashion district, combining high quality Made in Italy, decades-long expertise and the care for details which has always characterised Riri.

The new company is a result of the acquisition of 2Frame, a historical Italian brand in the industry, which is now an integral part of the Riri family, under the new name Cobrax Metal Hub. Thanks to this new entry, the Swiss Group has become the first sole supplier of metal accessories for the leatherwear industry, adding to its traditional range of zips and buttons a new line of products which includes all types of fastening, padlocks, snap hooks and buckles. It is an actual strategic hub, to offer the brands a single contact point for any needs and requests concerning metal accessories.

This new acquisition also makes it possible for Riri to respond, in an even faster and more effective way, to the demand for developing new articles and prototypes. By focusing on customer needs, Cobrax Metal Hub is actually able to design and develop customised products, guaranteeing continuous support in all process phases: from the search for materials, to technical and finishing solutions, the prototyping and sampling stage, to the industrialisation and manufacturing stage.

Renato Usoni, CEO at Riri Group adds: “Thanks to Cobrax Metal Hub the Riri Group has become the first sole supplier of accessories for the leatherwear sector. It is a project intended to add value and increase the company’s ability to serve its market, providing increasingly comprehensive and tailor-made answers, bearing witness to a vision whereby investing in the future is the best response to the scenarios, more complex than ever before, with which the whole market is confronted today”.

An impairment charge has become necessary based on the current status of the new 5 year plan.

(Market Abuse Regulation N° 596/2014)
•    Impairment loss amounting to €80-100 million in the fourth quarter 2020 in the business unit CFM
•    Restructuring program resolved with savings target of more than €100 million until 2023
•    Guidance 2020 for Group sales and operating recurring Group EBIT confirmed
•    Guidance 2020 for net result reduced to minus €130-150 million

In the current status of the 5 year plan, which is at present under preparation, significant deviations have already become apparent today, particularly in the market segments Automotive, Aerospace and Wind Energy in the business unit Composites – Fibers & Materials (CFM). Partially also due to the pandemic, Automotive and Aerospace is developing slower than anticipated in the last 5 year plan. In contrast, business with Wind Energy is growing much stronger than previously planned. These changes in the product mix lead to lower mid-term earnings at CFM compared to the prior 5 year plan. Following these deviations from the last 5 year plan, an event-driven impairment test was undertaken. This results in a non-cash impairment charge amounting to €80-100 million, which will be recorded in the fourth quarter 2020.

The Board of Management of SGL Carbon SE today also resolved the implementation of a restructuring program, with which the Company is targeting savings of more than €100 million until 2023 (compared to the base year 2019). These savings consist of a planned socially compatible reduction in personnel of more than 500 employees and substantial reduction in indirect spend, particularly in the areas of travel, consulting and external services. Costs of approximately €40 million are anticipated for the implementation of this restructuring program. A little more than half of this is expected to be recorded as expenses in the fourth quarter 2020, while the associated cash outflows are mainly forecasted for 2021.

This requires a partial adjustment of the guidance for 2020. The solid operational development in the third quarter 2020 with Group sales between €220 and €230 million and operating recurring EBIT1 between €13 and €15 million (plus approximately €9 million positive one-time effects) is within the framework of our expectations for the full year 2020. However, the Group net result is likely to develop below the prior year level of minus €90 million and reach approximately between minus €130 and €150 million due to the restructuring provisions as well as the impairment charge (prior guidance: improvement to a negative low double-digit million € amount).

With liquidity of €167 million as of September 30, 2020 (compared to €137 million at year-end 2019) and further cash inflows in the fourth quarter 2020 from successfully implemented additional funding measures, the Company’s position is solid. This liquidity is more than sufficient for the payment of the purchase price for SGL Composites USA in the amount of USD 62 million at the end of 2020 as well as the restructuring-related cash outflows expected mainly in 2021. The Company continues to have access to the revolving credit facility (RCF) in the amount of €175 million, which remains undrawn.

The quarterly statement as of September 30, 2020 will be published on November 12, 2020 as scheduled. Further details on the new 5 year plan as well as the guidance on the fiscal year 2021 will be presented with the publication of the Annual Report 2020 on March 25, 2021.

*The use of KPIs in this notification is aligned to the annual report 2019 and the interim report for the first half year 2020. There were no changes to the scope of consolidation or to valuation methods compared to the previous guidance.

• Technology webtalk on production and packaging technologies for respiratory protection masks

Frankfurt – The next VDMA technology webtalk on 29th October 2020 (2 pm - 4 pm CEST) will focus on production and packaging technologies for respiratory protection masks (FFP- and surgical masks).

The presenters and their topics at a glance:

Heiko Irlbacher, Schott& Meissner Maschinen- und Anlagenbau: “Our new mask production line for foldable masks - completely Made in Germany - is becoming your new key player to produce FFP1 and FFP2 face masks as well as N95 or KN95 standards."
Title of the presentation: “Sophisticated production line for FFP folding masks – Made in Germany”

Timo Kollmann: Hugo Beck Maschinenbau shows different styles and possibilities for packaging masks in film, singlewise or in stacks. Timo will present best practices and delivered machines as well as future concepts.
Title of the presentation: “How to pack respiratory masks in film”

Fabrice Ferretti, ANDRITZ Nonwoven and Textile: "Disposable face masks are now important more than ever. ANDRITZ Diatec has developed a fully automatic, high-speed production line for surgical and FFP disposable face masks. Production speed can reach up to 600 pcs per minute."
Title of the presentation: “Fully-automatic, high-speed-production lines for surgical and FFP masks” 

After the presentations, the three experts will be available to answer the participants' questions. Free registration is still possible.

Over 300 brands have spent three months showcasing their offerings at the world’s first digital trade show. PREMIUM+SEEK Passport, in collaboration with JOOR, provided the industry with a digital addition to the physical trade shows that were unable to take place at all this summer, due to the current situation. The virtual event concluded yesterday.

Summary
“The event was a success: it reached a network of 200,000 buyers, logged over 20,000 visits, and over 80,000 products were sold. The brands that achieved especially good results were those that engaged their own buyer contacts and networks and introduced them to the platform. Things are actually the same as always, the principle remains the same. Success doesn't just happen by itself,” says Anita Tillmann, Managing Partner of the PREMIUM GROUP. “There was a strong focus on communicative value at this digital event. We feel that creating visibility for new potential brands and customers is the best thing we can do to add value for our customers in the current situation. We have worked intensively on how we position ourselves in this crisis, which services we can deliver, and how we can offer our customers and partners support of lasting relevance.”

Outlook
It is not yet possible to announce a final, definitive decision on the PREMIUM GROUP’s January events. The market analysis carried out with exhibitors, partners and retailers is currently being evaluated. The current developments in the number of infections and forecasts by the Federal Government also have an influence on this. These provide reliable data that can serve as the basis for a well-informed and representative assessment of whether and how the trade shows and conferences will be able to take place. Further information on the PREMIUM GROUP events will follow at the end of October.
    
What is certain is that, for the first time, the PREMIUM GROUP and Messe Frankfurt will be putting on their SEEK, PREMIUM, FASHIONTECH, Neonyt and FashionSustain events – along with a host of other highlights – from 6-8 July 2021 as part of Frankfurt Fashion Week 2021. New business platforms, glamorous events, innovative formats and content hubs will be unveiled to the fashion industry – not just in a new setting, but in a totally new guise.

Two ISKO I-SKOOL™ 7 looks make their debut at the Graduate Fashion Foundation, part of London Fashion Week, a springboard for new talent striving to bridge the gap between education and industry.

Following an unprecedented academic year, GFF celebrates how the Class of 2020 have adapted and overcome adversity to complete their degrees across 26 fashion specialisms, from Design and Knitwear to Comms, Marketing and Business. London, 17-22 September – To bring together fashion educators and industry leaders and to support their graduates to reach their full potential once they have graduated: this has always been GFF’s main goal for the past 28 years. Now more than ever, GFF continues in its long-standing commitment to share good practice and knowledge and to inspire students to become innovators, environmental leaders, employees, and educators while promoting cultural diversity and inclusivity within an international platform – very much in keeping with ISKO I-SKOOL™ values and approach which resonate throughout the contest’s Denim Awards.

Designers Kotryna Adomaityte and Isabel Hambly from Nottingham Trent University were 2 of the 9 winners of the ISKO I-SKOOL™ 7 Awards, announced in a phygital ceremony held on July 22. The two students were invited to showcase their winning creations at GFF. Kotryna, winner of the ISKO I-SKOOL™ PERICOLO Award by Cadica Group, impressed the audience with her “Wild West Denim” look to London at the GFF Showroom.

Isabel Hambly, winner of the ISKO I-SKOOL™ Best Marketable Product, stole the show with her “Women at war” outfit which was displayed at the Catwalk Show, live-streamed from Samsung KX on September 22. That two of ISKO I-SKOOL™ 7 winners and finalists were part of this important event is proof of the significant role the contest – developed and supported by ISKO – plays in nurturing and championing talent and creativity. This edition’s main concept was world’s citizenship, with the Creative Theme “North, East, South, West – connected by one planet”. The twenty shortlisted finalists were asked to dig into their roots and to approach different cultures, defining and tracking down the geography of the world connecting them through responsibility. In addition to exploring the planet both locally and globally, they were also required to take into account the product life cycle of their outfits – featuring a 5-pocket jeans to interpret their view on the “local” concept and two Denim Show Pieces to reflect their worldwide influences and topics of interest. These were made with top ISKO™ denim fabrics, meeting the designers’ needs and providing a strong sustainable ingredient.

“We are really proud that two of our winners made it to GFF, with which we have many values in common – it marks another important step in their journey” said ISKO Senior Executive ISKO I-SKOOL™ Project Irem Orhun. “All of this goes to show how ISKO I-SKOOL™ plays a fundamental role in providing the foundation to enter the industry more aware of your skills and capabilities.”