March 17, 2005 Press Release

SGMA Down to 22 Members

The Saipan Garment Manufacturers Association (SGMA) announced that their Membership In Good Standing now stands at 22 corporations licensed in the Commonwealth to export to the United States, down from a high of 34 Members in 2000.

SGMA’s spokesperson, executive director Richard A. Pierce, stated, “Unfortunately, two companies have folded, and one has been suspended for violation of an agreement to remain an association Member. We’ve also had two firms consolidate into one corporation.”

“Sako Corporation and Marianas Fashion, Inc. left us in the lurch, while LaMode (Saipan), Inc. has been suspended for violations of the SGMA Code of Conduct and an agreement which allowed their re-entry last year,” said Pierce.

Winners I Corporation and Winners II Corporation combined to become one single corporate entity, Winners Corporation.

Action will be initiated to collect association dues and related costs for SGMA prompted programs and partnership agreements. The 3 companies owe SGMA $14,566.00.

Two of the companies were Members of the Excellence 2000 Partnership between SGMA and the U.S. Department of Labor-OSHA Region IX Administration. Region IX OSHA will be notified that the companies are automatically withdrawn from the Partnership.

Under the SGMA Code of Conduct’s Rules and Guidelines, SGMA has the authority to notify any suspended Member’s buyers and retailers, while SGMA will file notice of its Members In Good Standing with the CNMI Garment Oversight Board, the CNMI Department of Labor and the CNMI Department of Finance.

SGMA was formed in 1993, after reorganization from its original namesake, the Garment Industry Association, formed in 1985. SGMA is a trade association representing its Members’ commitment toward corporate responsibility, industry excellence and compliance with federal and CNMI laws and regulations.