Here is a crack at what this all means:
BAXIX 18= Clothing Depot #18 of the 19th Army Corps
SATTLER LIEF. VERB= Saddler's Association
IM SUBM. AMT+ Small Arms Office(I am not absolutely certain on this one)
LEIPZIG 1918+ Where and when made.
Now about the cut down part. When the war ended, many thousands of LP-08 holsters were is storage in depots and in vendor warehouses throughout Germany. This particular one was in a clothing depot.
These holsters were part of the vast amount of German military equipment seized by the Allied Control Comission. Most of the German munitions and equipment were simply destroyed under Allied supervision (I have seen pictures of piles of Lugers and 'brooms being destroyed by fire; some of the equipment was re-issued to German police and some was sold on the open market.
Most, if not all of the LP-08 cut downs such as you describe were sold in the US by retailers and distributors such as Stoeger, Pacific Arms, Arnold Wolfe, E. Wagner, etc. to accompany P-08 pistols. The guns retailed for $25-27 based on the old ads in my Luger paper collection and the holsters were $3. I encounter these pieces fairly frequently at the larger shows. They are almost always in minty condition except the barrel plug stitching tends to be somewhat ratty. I guess the quality of the thread available after the war was not up to pre 1918 standards. I purchased one of these holsters at a show 2 years ago for $75.
Hope this helps,
Tom A.
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