Gildan's President and Chief Executive Officer Initiates 10b5-1 Plan
August 29 2012 - 8:11AM
Marketwired
Gildan Activewear Inc. (TSX:GIL)(NYSE:TSX) today announced that
Glenn J. Chamandy, President and CEO, has entered into a
pre-arranged share disposition plan, under which he has authorized
and directed a U.S. financial institution to sell up to 2.75
million of his total of 9.8 million common shares of Gildan, over a
maximum 24-month period beginning on December 17, 2012.
Accordingly, no disposition of shares will take place before the
Company has reported its fiscal 2012 fourth quarter and full year
results and initiated its sales and earnings guidance for fiscal
2013.
This share disposition plan was adopted in accordance with the
guidelines under Rule 10b5-1 of the Securities Exchange Act of 1934
and guidelines for Automatic Securities Disposition Plans under
applicable Canadian securities laws. Plans established pursuant to
Rule 10b5-1 permit insiders of a corporation to sell shares over a
predetermined period of time, subject to predetermined volume and
price parameters. A plan can only be established when the insider
participating in the plan is not in possession of material
non-public information. Once a plan is established, the insider
retains no discretion over sales under the plan. Mr. Chamandy will
disclose publicly the sales under this plan through Form 144
filings as required by the U.S. Securities and Exchange Commission
and through insider reports filed on SEDI as required under
Canadian securities laws.
Subsequent to the sale of shares under the 10b5-1 plan, Mr.
Chamandy will remain one of the largest investors in Gildan, with
approximately 5.7% of the outstanding shares on a fully diluted
basis. Mr. Chamandy's investment in Gildan will continue to
comprise the majority of his personal net worth and he has
reiterated his personal commitment to continuing to lead Gildan's
growth strategy, as well as his confidence in the future prospects
for the Company. Mr. Chamandy also noted that he had increased his
shareholdings in Gildan by an aggregate of 2.6 million shares in
December 2008 and February 2009 and that he currently views the
position he will hold in Gildan subsequent to implementing the
10b5-1 plan as a core shareholding position.
About Gildan
Gildan is a marketer and globally low-cost vertically-integrated
manufacturer of quality branded basic family apparel. Gildan® is
the leading activewear brand in the printwear market in the U.S.
and Canada, and is increasing its penetration in international
markets, such as Europe, Mexico and the Asia-Pacific region. We are
also one of the largest suppliers of athletic, casual and dress
socks sold to a broad spectrum of retailers in the U.S. The Company
markets its products under a diversified portfolio of company-owned
brands, including Gildan®, Anvil®, Gold Toe®, PowerSox®,
SilverToe®, Auro®, All Pro® and GT®. We are also the exclusive U.S.
sock licensee for the Under Armour® and New Balance® brands. The
Company is now pursuing a strategy to become a major supplier of
basic branded activewear and underwear for U.S. retailers. In
addition to supplying retailers, Gildan also manufactures select
activewear programs for leading consumer brands. With over 30,000
employees worldwide, Gildan owns and operates highly efficient,
large-scale, environmentally and socially responsible manufacturing
facilities in Central America and the Caribbean Basin and has taken
initial steps towards the potential development of a manufacturing
hub in Asia to support its planned growth in Asia and Europe. More
information on the Company can be found on Gildan's website at
www.gildan.com and more information on its corporate citizenship
practices can be found at www.genuinegildan.com.
Forward-Looking Statements
Certain statements included in this press release may constitute
"forward-looking statements" within the meaning of the U.S. Private
Securities Litigation Reform Act of 1995 and Canadian securities
legislation and regulations, and are subject to important risks,
uncertainties and assumptions. Such forward-looking information
includes, amongst others, information with respect to our
objectives and the strategies to achieve these objectives, as well
as information with respect to our beliefs, plans, expectations,
anticipations, estimates and intentions. Forward-looking statements
generally can be identified by the use of conditional or
forward-looking terminology such as "may", "will", "expect",
"intend", "estimate", "project", "assume", "anticipate", "plan",
"foresee", "believe" or "continue" or the negatives of these terms
or variations of them or similar terminology. Forward-looking
information is inherently uncertain and the results or events
predicted in such forward-looking information may differ materially
from actual results or events. We refer you to the Company's
filings with the Canadian securities regulatory authorities and the
U.S. Securities and Exchange Commission, as well as the "Risks and
Uncertainties" section and the risks described under the "Critical
Accounting Estimates" and "Financial Risk Management" sections in
our most recent Management's Discussion and Analysis for a
discussion of the various factors that may affect the Company's
future results. There can be no assurance that the expectations
represented by our forward-looking statements will prove to be
correct. The purpose of the forward-looking statements is to
provide the reader with a description of management's expectations
regarding the Company's future financial performance and may not be
appropriate for other purposes. Furthermore, unless otherwise
stated, the forward-looking statements contained in this press
release are made as of the date of this press release, and we do
not undertake any obligation to update publicly or to revise any of
the included forward-looking statements, whether as a result of new
information, future events or otherwise unless required by
applicable legislation or regulation. The forward-looking
statements contained in this press release are expressly qualified
by this cautionary statement.
Contacts: Investor Relations Laurence G. Sellyn Executive
Vice-President Chief Financial and Administrative Officer (514)
343-8805lsellyn@gildan.com Sophie Argiriou Director Investor
Communications (514) 343-8815sargiriou@gildan.com Media Relations
Genevieve Gosselin Director, Corporate Communications (514)
343-8814ggosselin@gildan.com
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