Abstract: The present invention provides an improved method and apparatus for manufacturing elastic hair fasteners that eliminate the need for a metal clamp in the fastener assembly. The apparatus of the present invention that employs the inventive process is an incremental, automatic system that utilizes intricate mechanisms that are pneumatically actuated and controlled electrically. The machine feeds textile feedstock from a bulk supply along a feed track to a predefined staging position. Once the feedstock has reached this position, it is cut into an extension having a predetermined length and a pair of opposed free ends. The extension is rolled into a half circle, and one free end is positioned in a precise location. In this location, adhesive is applied to the free end, and the other half of the extension is thereafter rolled into a half circle, completing the loop. At this point, the two loop ends are positioned adjacent one another so as to be adhesively joined.