International Textile Group's Cone Denim plans to lay off a quarter of its workforce, leaving 260 people jobless.

Its 101-year-old White Oak plant, in Greensboro, North Carolina, will reduce its working week from seven days to five as increased imports harm demand for domestically-made fabric.

The decision is also aimed at reducing operating costs.

Cone Denim will also shut down its open-end spinning facility at White Oak at the end of 2007's first quarter.