Gildan To Close Two Mount Airy, N.C., Sock Facilities

Montreal-based Gildan Activewear Inc.
announced it will close two sock facilities in Mount Airy, N.C., and consolidate production from
those facilities at its new, large-scale facility in Honduras. The closure, which affects
approximately 520 employees, is expected to be completed by the end of August 2007.

The company, which acquired Kentucky Derby Hosiery in July 2006, also will consolidate
certain administrative and retail sales activities at the Hopkinsville, Ky.-based Kentucky Derby
headquarters into other Gildan operations.

Gildan will continue to operate its one remaining US sock facility in Hillsville, Va.

According to Gildan, the action, which is in line with its previously announced strategy to
integrate the Kentucky Derby operations and to consolidate all areas of production at Gildan’s
offshore facilities, is necessary in order for the company to remain competitive with imports from

The latest announcement follows news earlier this year of plans to consolidate production of
all of Gildan’s fleece, sport shirt, T-shirt and underwear products into expanded company hubs in
Central America and the Caribbean Basin during the fiscal quarter ending September 30, 2007
(See “Gildan To Complete Offshore Manufacturing Consolidations,”, March 27, 2007)

June 5, 2007