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I'm guessing that the Cavanagh label was not yet in use, necessitating the generic label.
The writing to the left of the initials I believe reads "cav div," as in Cavanagh Division.
Derbies could be finished with the Cavanagh Edge process without actually having a Cavanagh Edge, but examples do survive that also feature Cavanagh Edges, though they are hidden under the brim edge binding. From top, left to right, a circa-1929 Derby, an early-'30s Derby, a circa 1929/'30 Opera hat, a circa-1936 Derby, and a '33-'35 soft felt hat: Within this period, there are a few clues we can use to date a hat.
Still, Cavanagh did produce some modern styles, especially once the changes in the mid-1950s came around.The second label below featuring a lot number is from the circa-1930 Derby, though this lot number appears to have far more in common with a "To Duplicate" or "Reorder" number. Photos from left to right, or top to bottom: "Cavanagh Make" debossment on the Derby, an Opera hat, the inside of the Derby, and a label from a circa-1930 Derby for comparison.Because I knew that John Cavanagh liked to drop in from time to time on the Cavanagh division's curling bench to curl the brims on some of his branded hats, I had originally hoped that his initials meant he had personally curled the brim on this particular Derby.While there is some validity to this rule of thumb due to the changing nature of fashion over the decades, hats of all these styles can be found in all periods, so internal clues to dating hats are needed to make more accurate estimations of age.Cavanagh Hats in particular are notorious for hiding their age regarding their style.