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The Leggs Investment Eventually Exceeded All of Its Financial Objectives

Because of capacity considerations and the unusual sales/distribution program, with its requirements for personnel and training, Leggs had to expand region by region and required approximately three years to become fully national. The anticipated start-up costs and gradual buildup of distribution and consumer acceptance prevented Leggs from achieving a profit during its expansion phase. However, the program became highly profitable in the fourth year. The actual financial results exceeded all anticipations, as Leggs became the dominant brand of hosiery in the food and drug trade in every market it entered.