The recently completed Standard for Woven Textile Characteristics Tex4.1-2004 from The Business
& Institutional Furniture Manufacturers Association (BIFMA) International, Grand Rapids, Mich.,
now is available on the organization’s website,
www.bifma.org. The standard is the first document published by
BIFMA’s Supply Chain Management Committee. The committee’s Textile Subcommittee, working with the
Association for Contract Textiles, studied the textile supply process for standard fabrics
purchased directly from textile mills, as well as the direct or indirect supply of customers own
materials from jobbers. The standard, which applies to all sellers of woven fabrics, defines
policies for textile flaws and provides a common basis for distinguishing the face from the back of
a woven fabric.

July 2004

During an open house held recently, Switzerland-based Sultex Ltd. unveiled two new weaving machines
the G6500 rapier machine and its latest-generation high-performance (HP) projectile machine, the
P7300HP. The G6500 features a compact, low mass gripper head a modified version of the gripper
found on Sultex’s G6200 machine to provide smooth operation at high revolutions per minute. Using
either a raceboard or supporting teeth, the machine is capable of handling a wide range of warp
yarns. Shedding is controlled using either a dobby or a jacquard machine, and the machine is able
to insert four, eight or 12 weft colors, offering maximum patterning versatility.

Three different warp tensioning systems are available for the G6500: a negatively or
positively controlled back rest roller; tensioning with or without deflection roller; or a
positively controlled warp tensioner. According to Sultex, minimal warp loading and optimal running
parameters are created by the warp tensioning systems in conjunction with horizontal compensation
for the shedding motion to maintain rear shed geometry. Touch-screen controls with
easy-to-understand pictograms and network integration capabilities make the G6500 easy to operate.

“Before the G6500 was introduced to a broader audience, we already noticed a very high level
of interest in this machine,” said Rolf Kehlhofer, CEO. “We even signed contracts with customers
who only knew the machine from photographs and drawings!”

The P7300HP projectile loom offers an increase in performance over its predecessors. Sultex
has redesigned the projectile picking unit and optimized the motion sequences of all components.
“Redesigning has enabled us to keep the shed open longer during each machine revolution,” said
Gianfranco DiNatale, product manager for the projectile machine. This allows insertion of more
picks per minute at the same weft velocity.A customized weaving technology (CWT) version also is
available for exceptionally demanding applications.

July 2004

West Point, Ga.-based home fashion textiles manufacturer WestPoint Stevens Inc. has announced plans
to open its first overseas office in Shanghai on July 1, 2004.

“We have spent the last several years building our direct offshore sourcing operations,” said
M.L. Chip Fontenot, president and CEO. “We have now reached a point of critical mass, currently
running at over $400 million of our revenues, such that a direct presence overseas is warranted. We
have chosen China initially because of its strategic importance in the globalization of the home
fashions industry.”

The company has promoted William T. Walker to managing director and president, Asian
Operations. Walker, formerly senior vice president, sourcing, will manage the Shanghai office and
open additional offices overseas. He also will continue to develop, coordinate and oversee
vendor/country relationships in Asia.

The Shanghai office initially will employ a staff of three, but that number will eventually
grow to 12. Shanghai native Mingzi Ye will serve as sourcing coordinator in that office.

In other news, the US Bankruptcy Court has extended through July 29, 2004, WestPoint Stevens’
exclusive right to file a reorganization plan in accordance with its June 1, 2003, filing for
protection under Chapter 11 of the US Bankruptcy Code.

“While we are sensitive to the desire to exit bankruptcy as quickly as possible, it is more
important to conclude this process with a sound strategic vision that will ensure WestPoint
Stevens’ long-term competitive position in a rapidly changing global market,” Fontenot said.
“WestPoint Stevens remains committed to its high level of customer service and product innovation,
and continues to enjoy ample financial flexibility.
”

June 2004

Textile and apparel trade associations representing manufacturers in 47 countries have agreed to
seek their governments help in getting the World Trade Organization (WTO) to conduct a review of
trade policies that would include a continuation of extension of textile and apparel quotas until
2008. They also are calling for implementation of automatic safeguard mechanisms that permit
imposition of quotas on products that are disrupting markets and expedited and effective remedies
to address unfair trade practices.

At a summit meeting of 25 of the organizations who are members of the Global Alliance for
Fair Textile Trade, Allen Gant, chairman of the National Council of Textile Organizations, said
“Clearly it is time for governments to act.”

Summit attendees and other members of the alliance are urging governments whose textile and
clothing manufacturing industries are at risk to petition the WTO for an emergency meeting to
discuss the textile and clothing trade crisis.

The organizations and their governments have three possible approaches to getting the WTO to
act. They can ask the Council For Trade In Goods, which has jurisdiction over textile issues, to
call a meeting. They can seek a meeting at the ministerial level or the WTO Director General can
call a meeting. In addition, alliance members will urge their respective governments to use their
own trade laws to remedy trade problems.

While the US government is opposed to extending textile and apparel quotas, trade
associations in this country are mounting a major political effort to change that stance. In
addition, they are putting increasing emphasis on the use of the safeguard mechanism in the
US-China bilateral trade agreement. Last year, the US government used the safeguard mechanism to
impose quotas on three categories of imports, but industry lobbyists are seeking a more
comprehensive approach. They say the government has the power to impose quotas if there is a threat
of market disruption, and it does not have to wait until actual market disruption is demonstrated.
US importers of textiles and apparel are opposed to that, and in fact, they contend that market
disruption was not demonstrated in the case of the three categories last year.US textile
manufacturers have turned to Congress for help. They have secured letters to the White House from
99 House members and 29 senators urging President Bush to endorse an emergency meeting of the WTO
to reconsider the wisdom of allowing world-wide quotas on textiles and apparel to expire next
January 1.

June 2004