Gildan Activewear to add Kentucky Derby Hosiery Co Inc in portfolio
20 Jun '06
3 min read
In conjunction with the continuation of its growth strategy, Gildan is currently constructing two new state-of-the-art facilities at its Rio Nance manufacturing complex in Honduras, including a facility for the large-scale production of athletic socks, as well as completing the ramp-up of its new Dominican Republic textile facility.
The current majority owner and Chief Executive Officer of Kentucky Derby, William H. Nichol, Jr., will continue to lead the business subsequent to its acquisition by Gildan. Bill is fully committed to work in partnership with Gildan's sales and marketing team to combine the strengths of the two companies in order to further enhance Kentucky Derby's existing business, drive the development of the Gildan retail brand for basic family apparel products, and position Gildan as a leader in the U.S. hosiery market.
The Company also announced that its results to-date for its third fiscal quarter have been more favourable than anticipated in the guidance which it had provided on May 4, 2006, primarily due to more favourable product-mix.
Consequently, the Company is now comfortable that it will achieve or exceed the consensus of analyst diluted E.P.S. estimates for the third quarter, which is U.S. $0.67 per share, compared to Gildan's prior E.P.S. guidance of approximately U.S. $0.63 per share. As a result of this upward revision, the Company now expects to achieve or exceed diluted E.P.S. of U.S. $2.00 for the full 2006 fiscal year, compared to its prior E.P.S. guidance of approximately U.S. $1.96 per share.
marketing@alchempro.com
