Gildan To Restructure Sock Manufacturing Operations, Close Three Plants

Montreal-based branded basic apparel manufacturer Gildan Activewear Inc. has announced it will
close three plants and phase out US sock-finishing operations. The company cited as reasons the
decline in economic conditions during October and November, in addition to the increasing global
competition in the sock market.

The restructuring — scheduled to be complete by the end of June 2009 — will comprise two
phases. In phase one, Knitting Plant #8 in Hillsville, Va., along with the Cherokee Finishing and
Plainsman Finishing plants in Fort Payne, Ala., will close at the end of February 2009. The three
plant closings will affect 180 employees in Virginia and 220 employees in Alabama. In phase two,
Gildan will consolidate the Fort Payne sock-finishing operations at its Honduras facilities by the
end of June. The company plans to maintain the sock-knitting operations as well as distribution and
administrative activities located there.

Gildan will work to provide employees with job transitioning and educational opportunities.
Following acceptance of application for the US Trade Adjustment Assistance Act, impacted employees
will be eligible for additional unemployment compensation and career-transition assistance.

December 16, 2008