The Wall Street Journal has an article posted today about Martin’s honorable approach to avoiding layoffs at their factory and managing to sell some guitars in this troubled economy.

Workers at C.F Martin & Co. are putting finishing touches on the solid-wood 1 Series model, so named for its simplicity. It lacks inlay, as did the company’s stripped-down 1930s model, and is expected to sell for less than $1,000, breaking a key price point and far less than its $100,000 limited-edition guitars made of Brazilian rosewood. More popular Martins generally sell for $2,000 to $3,000.

Initial reaction is promising. The company, which had sales of $93 million last year, introduced the 1 Series in April and promptly sold out its first year’s output of 8,000 guitars.

“We needed something so we wouldn’t have to start laying people off,” says Chris Martin, the company’s chief executive and sixth generation of his family to lead the closely held company, which was founded in 1833 in New York City. Martin employs about 575 workers, who make 52,000 guitars a year, at the plant here. It has another factory in Mexico that makes beginner guitars.

I think I misinterpreted their intentions when the Series 1 was first announced. My laminate DX1 was likely made in Mexico and would thus not help retain factory staff here in the U.S. So, if this is what it takes, more power to them!