Tavex Completes Acquisition
Of Acabados Y Cortex Textiles

The Tavex Group — a Spain-based
sportswear, home textile fabrics and technical textiles manufacturer that has an installed capacity
of 200 million meters per year of denim fabrics and twills for workwear and sportswear — has
completed its acquisition of Mexico-based apparel manufacturer Acabados y Cortes Textiles S.A. de
C.V. The purchase includes two manufacturing facilities in Mexico. Acabados y Cortes assets and
management are now the sole responsibility of Tavex and its Board of Directors.

The acquisition will increase Tavex’s manufacturing capacity in Mexico to 30 million meters,
including workwear and denim fabrics. The purchase is in line with Tavex’s goal of consolidating
global denim fabric production and definitively positioning the company in the US market.

“Our objective with this investment is to increase denim production in the differentiated
product segments [Authentic and Premium lines] in North America,” said Herbert Schmid, CEO, Tavex

“As part of this strategy, in July, Tavex will open a service center in New York to meet the
demand of current and future clients.”

July/August 2007