Gildan Activewear Inc., Montreal, has finalized the acquisition of CanAm Yarns LLC — its
50-percent-owned yarn-spinning joint venture with Frontier Spinning Mills Inc., Sanford, N.C. — and
is investing approximately $85 million to expand CanAm’s yarn-spinning operations.

CanAm was established in 2003 to supply yarn to Gildan for use in knitted apparel. Gildan
plans to expand and modernize CanAm’s existing open-end yarn-spinning facilities, which are located
in Clarkton, N.C., and Cedartown, Ga., and employ approximately 230 people.

Through CanAm, Gildan also will open a ring-spinning plant in Salisbury, N.C., and will hire
approximately 170 employees, with production expected to begin in 2014. That project is funded in
part by a North Carolina Job Development Investment Grant.

In addition to its U.S. yarn-spinning facilities, Gildan operates 15 sewing, textile
manufacturing and sock manufacturing facilities in Honduras, Nicaragua, and the Dominican Republic.
The Salisbury plant will allow Gildan to take advantage of the Central America-Dominican Republic
Free Trade Agreement (CAFTA-DR).

According to a statement from Gildan, “the strategic rationale for the company’s investment
in vertically-integrated yarn-spinning is to support its projected sales growth and to continue to
pursue its business model of investing in global low-cost manufacturing technology and in product
technology which will provide consistent superior product quality. The company is investing in
ring-spun yarn technology which will provide enhanced quality features as well as qualify for
duty-free access to U.S. markets under CAFTA-DR, which requires the use of U.S. yarn or yarn spun
in other CAFTA-DR member countries. Ring-spun products will be utilized as part of the company’s
branded product offering in Branded Apparel.”

Gildan has secured new branded programs for fiscal 2013 and has launched the first national
marketing campaign to support its retail brand.

“Quality products plus smart, targeted marketing are helping to define this brand as we
greatly expand our presence at retail,” said Rob Packard, vice president of marketing and
merchandising, Gildan’s retail unit.

January/February 2013

Geosynthetics producer Agru America Inc., Georgetown, S.C., is investing $39.1 million to expand
its operations in Georgetown, S.C., and Andrews, S.C., and add 126 jobs.

The company will expand its Georgetown plant by 40,000 square feet (ft2) to accommodate at
least three new machines and will add a 130,000-ft2 asphalt storage yard. That site will add 49
employees.

It will also upgrade and expand its Andrews plant to accommodate additional production
equipment, and will add 77 new jobs. The company acquired that facility in January 2012 and added
production of needlepunched nonwoven textiles for environmental, industrial, automotive, bedding
and furniture products.

“We are pleased with the opportunity to move forward with these expansions,” said Robert
Johnson, president, Agru America. “We have seen demand for our products increase and adding
capacity at both facilities will help us meet our manufacturing goals.”

Agru America claims to be the only U.S. manufacturer to use the flat die extrusion
calendering process to produce structured geo-membranes for the global civil/environmental market.
The company reports the process enables production of a textured liner that offers a consistent
core thickness and high puncture, tear and elongation values.

January/February 2013