GLOSSARY OF TECHNICAL TERMS This glossary of technical terms contains terms used in this prospectus in connection with the Company. The meanings given to these terms may differ from meanings given to them by others in the industry. “blind-dyeing” . . . . . . . . . . . . . . . . . A dyeing process driven by equipment and systems without the need for a traditional dye master “brushed” . . . . . . . . . . . . . . . . . . . . . A finishing process used for knit or woven fabrics in which brushes are used to raise the surface to create a soft, fuzzy and comfortable texture “chemical oxygen demand” . . . . . . or “COD” The amount of oxygen consumed to completely chemically oxidize the organic water constituents to inorganic end products “core-spun yarn” . . . . . . . . . . . . . . . A yarn made by twisting fibers around a filament or a previously spun yarn, thus concealing the core “cotton” . . . . . . . . . . . . . . . . . . . . . . A unicellular, natural fiber composed of pure cellulose “cotton fabric” . . . . . . . . . . . . . . . . Cloth which is made from cotton yarn knitted together “cotton yarn” . . . . . . . . . . . . . . . . . . Yarn produced from cotton fibers used in knitting and weaving. For the purposes of this prospectus, cotton yarn includes cotton polyester blend and other cotton blends “double-knit” . . . . . . . . . . . . . . . . . . Fabric produced on a circular-knitting machine equipped with two sets of latch needles situated at right angles to each other (dial and cylinder) “ERP system” . . . . . . . . . . . . . . . . . An enterprise resource planning system, an accounting-oriented information system for identifying and planning the enterprisewide resources needed to take, make, distribute, and account for customer orders “fleece fabric” . . . . . . . . . . . . . . . . . Fabric with a thick, heavy body resembling sheep’s wool “Four Point System” . . . . . . . . . . . A standard issued by the American Society for Testing and Materials in relation to fabrics “functional fabrics” . . . . . . . . . . . . Fabrics that incorporate value-added features such as moisture management, anti-microbial and anti-odor “greige fabric” . . . . . . . . . . . . . . . . An unprocessed form of fabric just off the loom or knitting machine “interlock” . . . . . . . . . . . . . . . . . . . . A type of double-knit fabric that has a smooth surface on both sides “ISO” . . . . . . . . . . . . . . . . . . . . . . . . International Organization for Standardization, a worldwide federation of national standards bodies from all over the world 15 GLOSSARY OF TECHNICAL TERMS “ISO 14001” . . . . . . . . . . . . . . . . . . The international standards of environmental management formulated by ISO Technical Committee 207 (ISO/TC 207) “ISO 9001” . . . . . . . . . . . . . . . . . . . The international standards of quality management and quality assurance formulated by ISO Technical Committee 176 (ISO/TC 176) in 1987. The most recent upgraded version, ISO 9001:2000, was released in December 2000 “jacquard” . . . . . . . . . . . . . . . . . . . . Fabric with special texture or design pattern “jersey” . . . . . . . . . . . . . . . . . . . . . . A plain light-weight single-knit fabric “lacoste” . . . . . . . . . . . . . . . . . . . . . Knitted fabric with a raised pearl-look surface “metric ton” . . . . . . . . . . . . . . . . . . . A unit of measure equal to 2,204.6 pounds “Multi-Fibre Arrangement” . . . . . . An arrangement that imposed textile and clothing quotas on imports from developing countries to industrialized countries that was phased out on January 1, 2005 by the WTO. Also known as Agreement on Textiles and Clothing (“ATC”) “nylon” . . . . . . . . . . . . . . . . . . . . . . . A lightweight, quick-drying, stretchy, durable and easy-care synthetic fiber “Oeko-Tex Standard 100” . . . . . . . A globally uniform testing and certification system for textile raw materials, intermediate and end products at all stages of production. There are four Oeko-Tex product classes based on a product’s intended use. The more intensively a product comes into contact with the skin, the stricter the human ecological requirements it must fulfill. Manufacturers are entitled to mark successfully tested products or article groups with the Oeko-Tex label and to advertise in other forms as long as it has been proven within the extensive laboratory tests that all components, including accessories, comply with the specified test criteria without exception. A certificate, once issued, is valid for one year and can be renewed as often as required “polar-fleece” . . . . . . . . . . . . . . . . . Plain knitted fabric with both sides brushed and single side anti-pilling “polyester” . . . . . . . . . . . . . . . . . . . . A synthetic fiber with high strength and resistance to shrinking and stretching that is also quick drying and tends to have wrinkle resistance and crease retention, when either wet or dry. Polyester is used alone and in blends. It was one of the first fibers developed with durable-press features “rib” . . . . . . . . . . . . . . . . . . . . . . . . . Plain double-knit fabric with good horizontal stretch and recovery 16 GLOSSARY OF TECHNICAL TERMS “selvage” . . . . . . . . . . . . . . . . . . . . . The edge of a piece of fabric “spandex” . . . . . . . . . . . . . . . . . . . . . The generic term for a synthetic stretch fiber that is known for its excellent stretch and recovery “stretch fabrics” . . . . . . . . . . . . . . . Fabrics knitted with elastomers (spandex) to provide stretch properties “striped” . . . . . . . . . . . . . . . . . . . . . . Fabric of horizontal strip-pattern made by a series of colored yarns “synthetic yarn” . . . . . . . . . . . . . . . Yarn produced from synthetic fibers “Testex ®” . . . . . . . . . . . . . . . . . . . . . An independent, neutral, Swiss textile testing institute which provides public services worldwide for companies engaged in textile and related fields “velour” . . . . . . . . . . . . . . . . . . . . . . Plain knitted terry fabric with a sheared surface on one side and a smooth surface on the reverse “warp” . . . . . . . . . . . . . . . . . . . . . . . A sheet of yarns wound together on a beam for the purpose of weaving or warp knitting “warp knit” . . . . . . . . . . . . . . . . . . . A knitting method that differs from weft knitting in that each needle loops its own thread. The needles produce parallel rows of loops simultaneously that are interlocked in a zigzag pattern. “weft” . . . . . . . . . . . . . . . . . . . . . . . . Yarn that runs crosswise during the knitting process “weft knit” . . . . . . . . . . . . . . . . . . . . Weft knitting uses one continuous yarn to form rows of loops across a fabric “yarn” . . . . . . . . . . . . . . . . . . . . . . . . A long, continuous length of interlocked fibers used to construct a fabric. As used in this prospectus, yarn includes cotton yarn and synthetic yarn 17