HanesBrands and Gildan agree to combine to create a global basic apparel leader

Client(s) Hanesbrands Inc.

Jones Day is advising Hanesbrands Inc. in the $2.2 billion acquisition of Hanesbrands by Gildan Activewear Inc.

Under the terms of the merger agreement, which has been unanimously approved by the Boards of Directors of Gildan and HanesBrands, HanesBrands shareholders will receive 0.102 common shares of Gildan and $0.80 in cash for each share of HanesBrands common stock. The Board of Directors of HanesBrands recommends that the HanesBrands shareholders vote in favor of the proposed transaction.

The transaction is subject to HanesBrands shareholder approval and other customary closing conditions, including regulatory approvals, and the Gildan common shares to be issued pursuant to the merger agreement being approved for listing on the New York Stock Exchange and the Toronto Stock Exchange.