Gildan Activewear Acquires Kentucky Derby Hosiery

Gildan Activewear Inc. completed the acquisition of 100 per cent of the capital stock of Kentucky Derby Hosiery Co., Inc. on July 6, 2006. The total purchase price, including the assumption of all the debt of Kentucky Derby, was approximately US$45 million. Gildan Activewear is a vertically integrated marketer and manufacturer of quality branded basic apparel. Kentucky Derby Hosiery, Inc. is a US hosiery manufacturer based in Hopkinsville, Kentucky.

Gildan was advised by Lindsay Matthews, its director of legal services and corporate secretary, and by Ogilvy Renault LLP with a team that consisted of Frank Picciola, Patrick Shea, Norman Steinberg, Horia Bundaru and David Millette (corporate and M&A); Jules Charette (tax); Thierry Dorval and Andrew Bleau (securities); Annie Gauthier (IP) and George Maughan (banking). In connection with certain US legal matters, Gildan was advised by Moore & Van Allen, PLLC with a team that consisted of T. Randolph Perkins and Kevin Barnes (corporate and M&A); Bernard Clark (tax); Peter McGrath (environmental); Danny Johnson and Beth Grimes (employee benefits); Bryan Durrett (real estate) and Larry Levine (employment).

William H. Nichol, Jr., the majority shareholder of Kentucky Derby Hosiery Co., Inc., was advised by Wyatt, Tarrant & Combs, LLP with a team that consisted of Edwin Pyle, J. Allen Roberts, Casey Riggs and Kristal Hall Boone (corporate and M&A); Douglas Schelling (IP) and Anthony Saunders (real estate and banking).