Gildan To Complete Offshore Manufacturing Consolidations

Montreal-based branded basic apparel
manufacturer Gildan Activewear Inc. announced plans to shutter its two remaining textile facilities
in Montreal and its Bombay, N.Y.-based cutting facility during the fourth quarter of fiscal 2007,
which ends September 30. In addition, the company is closing two Mexico-based sewing facilities
that receive fabric from its Canadian operations, effective immediately. These operations, which
employ some 465 people in Canada and the United States and 1,365 people in Mexico, will be
consolidated into expanded company hubs in Central America and the Caribbean Basin, which upon
consolidation will manufacture Gildan’s full range of fleece, sport shirt, T-shirt and underwear

The company also will move its corporate offices from its knitting plant in Montreal to
leased facilities in the Montreal area.

Gildan expects the consolidation of manufacturing and ongoing expansion of capacity offshore
will contribute annual savings of $45 million in activewear manufacturing and freight costs and
duties beginning in fiscal 2008. The company also has expanded its sock manufacturing facility in
Honduras, and said it plans to use the efficiencies created by these offshore expansions to help it
increase its retail mass-market and wholesale screenprint market presence.

March 28, 2007