Faribault Woolen Mill Co. Acquired By Mooty Family

Faribault, Minn.-based Faribault Woolen Mill Co. — a vertically integrated manufacturer of woolen,
cashmere, Ingeo™ and other woven goods for the retail, hospitality and healthcare industries as
well as private-label manufacturing — has been purchased by former Dairy Queen International Inc.
CEO Chuck Mooty and his cousin and business partner Paul Mooty.

Established in 1865, Faribault Woolen Mill is Minnesota’s oldest manufacturing company and at
one time was the largest manufacturer of wool blankets in the United States. The Mootys have
acquired the mill, which was shuttered in July 2009, with the hope of re-establishing viable
production of wool products in the United States, and particularly Minnesota.

“This is a story about the revival of American excellence,” said Chuck Mooty. “The art of
manufacturing textiles should be retained by our country, particularly during a time when our
economy is so challenged with unemployment.”

Chuck Mooty will serve as president and CEO of Faribault Woolen Mill, and Paul Mooty will
become CFO. Chuck Mooty’s son, John Mooty, will head the company’s marketing department, and
additional family members are expected to take on other company responsibilities. The company also
plans to add more employees, including former Faribault Woolen Mill workers.

Production at the mill is expected to resume in August. The Mootys are currently assembling
their in-store and online retail services, and will market and sell product through hospitality,
health care, government and specialty design channels.

“We have a challenge in front of us to make this company relevant and economically viable,
but that is the beauty of this undertaking,” Mooty said. “What a fun challenge to rejuvenate a
community, a piece of history, a slice of a domestic industry and execute in a way which brings
pride, employment and fulfillment back into the lives of so many.”

July 19, 2011