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 But recently there have been infringements, of its
 patents, and cheap imitations of its exclusive
 products, rhich have materially affected its
 business, and will most probabl-r be more disastrous
 in future pending delys and. difficulties of
 litigation lookin.-: to our protection.

 In view, of this situation losses sustained in the
 fall cannot be counter-balanced as heretofore by
 profits on scoring business, which is further evidence
 of the need of a lower wage scale for our industry,
 -hich wouldd not 7ork a hardship on our employees in
 view of the lower cost of living in the south.

 (e) There are man- expenses, including taxes, licenses,
 rent, pooer, light and. hept, which ate common to all
 industrial concerns in its locality; and yet the
 Virginia Art Goods Studios, Incorporated, is required
 under the Code for its lidustr'-, to -ay a hither
 minimum ware than any other industry in its locality,
 even under the respective Codes for such other
 industries, thus placing" said Company at a mrnlrked
 disadvantage with such other local industrial concerns.

6. There are very few", certainly not exceeding, half a dozen
 concerns or establishments engaged in the manufacture of
 ladies' handbags in all the southern states. Those few
 are striving to develop the industry in their respective
 territories and to provide employment for labor now
 unemoloyed. But unless accorded 'a proper differential as
 to wages to be paid their e'iloyees, they will be so
 seriously handicapped in their efforts that they will not
 be able to maintain themselves on a fairly profitable basis,
 in competition with movie fortur.Ftely situated competitors.

7. It is necessary, in the business of the Virginia Art Goods
 Studios, Incorporated, to em-oloy at all times a number of
 unskilled anu-entices or learners, who are inefficient and
 not profitably productive during such period of training, at
 this wage scale fixed by the Code. And this natoriall,.
 increases the disadvantn-ae of its situation, as a con-
 oetitor of concerns which are not compellci to use such
 untrained labor to a like extent.

8. This affidavit is made for the purpose of filing the sme
 with the Administrator in sun .,ort of the petition of the
 Vir;inia Art Goods Studios, -icoroorated, praying an exten-
 sion of the period during which it ma. be exempted from the
 labor provisions of the Code of F?.ir Comnoetition for the
 Ladies' Handbag Industry.

9. A coD'T of said petition with its accomranying documents, has