Naturally Advanced Technologies, Hanesbrands Sign CRAiLAR® Supply Agreement

Portland, Ore.- and Vancouver, B.C., Canada-based Naturally Advanced Technologies Inc. (NAT) — a
developer of technology to process bast fibers including industrial hemp for use in a range of
applications — has signed a short-term supply agreement with Winston-Salem, N.C.-based apparel
manufacturer Hanesbrands Inc. to allow Hanesbrands to pre-purchase up to $375,000 of CRAiLAR
® Organic Fibers between Dec. 1, 2010, and early 2011 for additional product testing.
NAT recently completed spinning trials using Crailar flax fibers and has been working with
Hanesbrands to develop apparel products containing Crailar/cotton blends.

Crailar technology, developed by NAT in collaboration with the National Research Council of
Canada, involves processing bast fibers such as hemp and flax using a proprietary enzyme wash to
give them an organic cotton-like texture while allowing them to retain their durability and

“We are excited to move to this next level in our commercialization plans,” said Ken Barker,
CEO, NAT. “Our partnership with Hanesbrands has proven to be a truly collaborative effort. We
believe this next step is a significant validation of our technology and we look forward to
bringing Crailar Flax fiber to consumers in 2011.”

“We are encouraged by our spinning tests with Crailar Flax fiber and believe that our
continued investment in this process will accelerate development of the commercialization process,”
said Mike Faircloth, senior vice president of supply chain, Hanesbrands.

December 7, 2010