<SEC-DOCUMENT>0001062993-12-005315.txt : 20121207
<SEC-HEADER>0001062993-12-005315.hdr.sgml : 20121207
<ACCEPTANCE-DATETIME>20121207131338
ACCESSION NUMBER:		0001062993-12-005315
CONFORMED SUBMISSION TYPE:	40-F
PUBLIC DOCUMENT COUNT:		13
CONFORMED PERIOD OF REPORT:	20120930
FILED AS OF DATE:		20121207
DATE AS OF CHANGE:		20121207

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Gildan Activewear Inc.
		CENTRAL INDEX KEY:			0001061894
		STANDARD INDUSTRIAL CLASSIFICATION:	APPAREL & OTHER FINISHED PRODS OF FABRICS & SIMILAR MATERIAL [2300]
		IRS NUMBER:				000000000
		STATE OF INCORPORATION:			Z4
		FISCAL YEAR END:			0930

	FILING VALUES:
		FORM TYPE:		40-F
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-14830
		FILM NUMBER:		121249152

	BUSINESS ADDRESS:	
		STREET 1:		600 BOULEVARD DE MAISONNEUVE OUEST
		STREET 2:		33RD FLOOR
		CITY:			MONTREAL
		STATE:			A8
		ZIP:			H3A 3J2
		BUSINESS PHONE:		5147352023

	MAIL ADDRESS:	
		STREET 1:		600 BOULEVARD DE MAISONNEUVE OUEST
		STREET 2:		33RD FLOOR
		CITY:			MONTREAL
		STATE:			A8
		ZIP:			H3A 3J2

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	GILDAN ACTIVEWEAR INC
		DATE OF NAME CHANGE:	19980515
</SEC-HEADER>
<DOCUMENT>
<TYPE>40-F
<SEQUENCE>1
<FILENAME>form40f.htm
<DESCRIPTION>FORM 40-F
<TEXT>
<HTML>
<HEAD>
   <TITLE>Gildan Activewear Inc.: Form 40-F - Filed by newsfilecorp.com</TITLE>

</HEAD>

<BODY style="font-size:10pt;">

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<A name=page_1></A>
<P align=center><B><FONT size=5>SECURITIES AND EXCHANGE COMMISSION
</FONT><BR>Washington, D.C. 20549 </B></P>
<P align=center><B><FONT size=5>FORM 40-F </FONT></B></P>
<P align=center>[&nbsp;&nbsp; ] Registration statement pursuant to Section 12 of the
Securities Exchange Act of 1934 or ; </P>
<P align=center>[X] Annual report pursuant to Section 13(a) or 15(d) of the
Securities Exchange Act of 1934 </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=center><B>For Fiscal year ended: September 30, 2012 </B></TD>
    <TD width="50%" align=center><B>Commission File number: 01-14830
  </B></TD></TR></TABLE>
<P align=center><B><FONT size=5>GILDAN ACTIVEWEAR INC.
</FONT><BR></B><I>(Exact name of registrant as specified in its charter)
</I></P>
<P align=center><B>Canada <BR></B><I>(Province or other jurisdiction of
incorporation or organization) </I></P>
<P align=center><B>2200, 2250, 2300 <BR></B><I>(Primary standard
industrial classification code number, if applicable) </I></P>
<P align=center><B>Not Applicable <BR></B><I>(I.R.S. employer
identification number, if applicable) </I></P>
<P align=center><B>600 de Maisonneuve Boulevard West, Montreal, Quebec,
Canada H3A 3J2, (514) 735-2023 <BR></B><I>(Address and telephone number of
registrant&#146;s principal executive office) </I></P>
<P align=center><B>Puglisi &amp; Associates, 850 Library Avenue, Suite 204,
P.O. Box 885, Newark, Delaware 19715, (302) 738-6680 <BR></B>(<I>Name,
address and telephone number of agent for service in the United States</I>) </P>
<P align=center>Securities registered pursuant to Section 12(b) of the Act: </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=center><U>Title of each class </U></TD>
    <TD width="50%" align=center><U>Name of each exchange on which registered
      </U></TD></TR>
  <TR vAlign=top>
    <TD align=center><B>Common Shares </B></TD>
    <TD width="50%" align=center><B>New York Stock Exchange
</B></TD></TR></TABLE>
<P align=center>Securities registered or to be registered pursuant to Section
12(g) of the Act:<B>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; None
<br>
</B>Securities for which there is a reporting
obligation pursuant to Section 15(d) of the Act:<B> None </B></P>
<P align=center>For annual reports, indicate by check mark the information filed
with this form: </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=center>[X]&nbsp;Annual Information Form </TD>
    <TD width="50%" align=center>[X]&nbsp;Audited Annual Financial
      Statements </TD></TR></TABLE>
<P align=center>Indicate the number of outstanding shares of each of the
issuer&#146;s classes of capital or common stock as of the close of the period
covered by the annual report: </P>
<P align=center><B>Common Shares: <BR>121,596,490 </B></P>
<P align=justify>Indicate by check mark whether the Registrant by filing the
information contained in this Form is also thereby furnishing the information to
the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934 (the "Exchange Act"). If "Yes" is marked, indicate the file number assigned
to the Registrant in connection with such Rule. </P>
<P align=center>Yes [&nbsp;&nbsp; ]&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; No [X]</P>
<P align=justify>Indicate by check mark whether the Registrant: (1) has filed all
reports required to be filed by Section 13 or 15(d) of the Exchange Act during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports); and (2) has been subject to such filing
requirements for the past 90 days. </P>
<P align=center>Yes [X]&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; No [&nbsp;&nbsp;
]</P>
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<P align=center><IMG border=0
src="aifx1x1.jpg" width="422" height="136"></P>
<BR>
<P align=center><B>GILDAN ACTIVEWEAR INC. </B></P>
<P align=center><B>ANNUAL INFORMATION FORM </B></P>
<P align=center>for the year ended September 30, 2012</P>
<P align=center>&nbsp;</P>
<P align=center>&nbsp;</P>
<P align=center>December 7, 2012</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
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<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=bottom>
    <TD align=center><B>GILDAN ACTIVEWEAR INC.</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>2012 ANNUAL INFORMATION FORM</B> </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>TABLE OF CONTENTS</B> </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left >&nbsp; <A
      href="#page_Page"></A></TD>
    <TD width="84%" align=left >&nbsp; <A
      href="#page_Page"></A></TD>
    <TD width="10%" align=right><A
      href="#page_Page"><B>Page</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=left ><B>1.</B> </TD>
    <TD bgColor=#eeeeee width="84%" align=left ><B>CORPORATE
      STRUCTURE</B> </TD>
    <TD bgColor=#eeeeee width="10%" align=left>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; <A
      href="#page_3"></A></TD>
    <TD width="84%" align=left ><A
      href="#page_3"><B>1.1
      Name, Address and Incorporation</B> </A></TD>
    <TD width="10%" align=right><A
      href="#page_3"><B>1</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=left >&nbsp; <A
      href="#page_4"></A></TD>
    <TD bgColor=#eeeeee width="84%" align=left ><A
      href="#page_4"><B>1.2
      Intercorporate Relationships</B> </A></TD>
    <TD bgColor=#eeeeee width="10%" align=right><A
      href="#page_4"><B>2</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>2.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><B>GENERAL DEVELOPMENT OF THE
      BUSINESS</B> </TD>
    <TD width="10%" align=left bgcolor="#EEEEEE">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; <A
      href="#page_4"></A></TD>
    <TD width="84%" align=left ><A
      href="#page_4"><B>2.1
      Recent Developments</B> </A></TD>
    <TD width="10%" align=right><A
      href="#page_4"><B>2</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" >&nbsp; <A
      href="#page_5"></A></TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_5"><B>2.2
      Developments in Fiscal 2012</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_5"><B>3</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; <A
      href="#page_5"></A></TD>
    <TD width="84%" align=left ><A
      href="#page_5"><B>2.3
      Developments in Fiscal 2011</B> </A></TD>
    <TD width="10%" align=right><A
      href="#page_5"><B>3</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" >&nbsp; <A
      href="#page_6"></A></TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_6"><B>2.4
      Developments in Fiscal 2010</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_6"><B>4</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#EEEEEE align=left ><B>3.</B> </TD>
    <TD bgColor=#EEEEEE width="84%" align=left ><B>DESCRIPTION OF
      THE BUSINESS</B> </TD>
    <TD bgColor=#EEEEEE width="10%" align=left>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; <A
      href="#page_7"></A></TD>
    <TD width="84%" align=left ><A
      href="#page_7"><B>3.1
      Business Overview</B> </A></TD>
    <TD width="10%" align=right><A
      href="#page_7"><B>5</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#EEEEEE align=left >&nbsp; <A
      href="#page_18"></A></TD>
    <TD bgColor=#EEEEEE width="84%" align=left ><A
      href="#page_18"><B>3.2
      Risk Factors</B> </A></TD>
    <TD bgColor=#EEEEEE width="10%" align=right><A
      href="#page_18"><B>16</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp; <A
      href="#page_18"></A></TD>
    <TD width="84%" align=left ><A
      href="#page_18"><B>3.3
      Employees</B> </A></TD>
    <TD width="10%" align=right><A
      href="#page_18"><B>16</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#EEEEEE align=left >&nbsp;</TD>
    <TD bgColor=#EEEEEE width="84%" align=left >&nbsp;</TD>
    <TD bgColor=#EEEEEE width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left ><B>4.</B> </TD>
    <TD width="84%" align=left ><A
      href="#page_18"><B>DIVIDEND
      POLICY</B> </A></TD>
    <TD width="10%" align=right><A
      href="#page_18"><B>16</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" >&nbsp;</TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" >&nbsp;</TD>
    <TD width="10%" align=right bgcolor="#EEEEEE">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left ><B>5.</B> </TD>
    <TD width="84%" align=left ><B>CAPITAL
      STRUCTURE</B> </TD>
    <TD width="10%" align=right>&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD bgColor=#EEEEEE align=left >&nbsp;</TD>
    <TD bgColor=#EEEEEE width="84%" align=left >
    <p align="justify"><b><a href="#page_19">5.1 First Preferred Shares</a></b></TD>
    <TD bgColor=#EEEEEE width="10%" align=right><A
      href="#page_19"><B>17</B></A></TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >
    <p ALIGN="LEFT"><b><a href="#page_19">5.2 Second Preferred Shares</a></b></TD>
    <TD width="10%" align=right><A
      href="#page_19"><B>17</B></A></TD>
  </TR>
  <TR vAlign=top>
    <TD bgColor=#EEEEEE align=left >&nbsp;</TD>
    <TD bgColor=#EEEEEE width="84%" align=left >
    <p ALIGN="LEFT"><b><a href="#page_20">5.3 Common Shares</a></b></TD>
    <TD bgColor=#EEEEEE width="10%" align=right><A
      href="#page_20"><B>18</B></A></TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>6.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_20"><B>MARKET
      FOR SECURITIES</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_20"><B>18</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>7.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_21"><B>DIRECTORS
      AND OFFICERS</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_21"><B>19</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>8.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><B>AUDIT
      AND FINANCE COMMITTEE DISCLOSURE</B> </TD>
    <TD width="10%" align=right bgcolor="#EEEEEE">&nbsp;</TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left ><b><a href="#page_24">8.1 Mandate of the Audit
    and Finance Committee</a></b></TD>
    <TD width="10%" align=right><A
      href="#page_24"><B>22</B></A></TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" >&nbsp;</TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><b><a href="#page_24">8.2
    Composition of the Audit and Finance Committee</a></b></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_24"><B>22</B></A></TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left ><b><a href="#page_25">8.3 Pre-Approval of
    Non-Audit Services</a></b></TD>
    <TD width="10%" align=right><A
      href="#page_25"><B>23</B></A></TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" >&nbsp;</TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><b><a href="#page_25">8.4
    External Auditor Service Fees</a></b></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_25"><B>23</B></A></TD>
  </TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>9.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_26"><B>LEGAL
      PROCEEDINGS</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_26"><B>24</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>10.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_26"><B>TRANSFER
      AGENT AND REGISTRAR</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_26"><B>24</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>11.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_26"><B>MATERIAL
      CONTRACTS</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_26"><B>24</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>12.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_26"><B>INTERESTS
      OF EXPERTS</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_26"><B>24</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>13.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_26"><B>FORWARD-LOOKING
      STATEMENTS</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_26"><B>24</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD align=left >&nbsp;</TD>
    <TD width="84%" align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" ><B>14.</B> </TD>
    <TD width="84%" align=left bgcolor="#EEEEEE" ><A
      href="#page_29"><B>ADDITIONAL
      INFORMATION</B> </A></TD>
    <TD width="10%" align=right bgcolor="#EEEEEE"><A
      href="#page_29"><B>27</B>
      </A></TD></TR>
  <TR vAlign=top>
    <TD colSpan=2 align=left >&nbsp;</TD>
    <TD width="10%" align=right>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD colSpan=2 align=left ><A
      href="#page_30"><B>APPENDIX
      A &#150; MANDATE OF THE AUDIT AND FINANCE COMMITTEE</B> </A></TD>
    <TD width="10%" align=right><A
      href="#page_30"><B>28</B>
      </A></TD></TR></TABLE><BR>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
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<P align=justify><I>This Annual Information Form is dated December 7, 2012 and,
except as otherwise indicated, the information contained herein is given as of
December 7, 2012.</I></P>
<P align=justify><I>Unless otherwise indicated, all dollar amounts set forth
herein are expressed in U.S. dollars and all financial information set forth
herein is prepared in accordance with International Financial Reporting
Standards (&#147;</I><B><I>IFRS</I></B><I>&#148;). </I></P>
<P align=justify><I>Unless otherwise indicated, all references to share prices,
trading volumes and per share measures are adjusted, on a retroactive basis, to
reflect all stock splits.</I></P>
<P align=justify><I>In this Annual Information Form, &#147;Gildan&#148;, the &#147;Company&#148; or
the words &#147;we&#148;, &#147;our&#148; and &#147;us&#148; refer, depending on the context, either to Gildan
Activewear Inc. or to Gildan Activewear Inc. together with its
subsidiaries.</I></P>
<P align=justify><I>The information appearing in the extracts of the documents
listed below and specifically referred to in this Annual Information Form is
incorporated herein by reference:</I></P>
<table border="0" cellpadding="0" cellspacing="0" style="border-collapse: collapse; font-size: 10pt" bordercolor="#111111" width="100%">
  <tr>
    <td width="5%" align="center">-</td>
    <td width="95%"><I>Audited Consolidated Financial Statements as at and for the year ended
  September 30, 2012 (the</I> <I>&#147;</I><B><I>2012 Financial
  Statements</I></B><I>&#148;);</I> </td>
  </tr>
  <tr>
    <td width="5%" align="center">&nbsp;</td>
    <td width="95%">&nbsp;</td>
  </tr>
  <tr>
    <td width="5%" align="center">-</td>
    <td width="95%"><I>Management&#146;s Discussion and Analysis for the year ended September 30,
  2012 (the &#147;</I><B><I>2012 Annual</I></B> <B><I>MD&amp;A</I></B><I>&#148;); and</I>
    </td>
  </tr>
  <tr>
    <td width="5%" align="center">&nbsp;</td>
    <td width="95%">&nbsp;</td>
  </tr>
  <tr>
    <td width="5%" align="center">-</td>
    <td width="95%"><I>The latest Notice of Annual Meeting of Shareholders and Management Proxy
  Circular filed on</I> <I>SEDAR.</I> </td>
  </tr>
</table>
<P align=justify><I>The foregoing documents are available on the SEDAR website
at www.sedar.com, on the EDGAR website at www.sec.gov and on the Company&#146;s
website at www.gildan.com/corporate.</I></P>
<P align=justify><I>This Annual Information Form contains certain
forward-looking statements that are based on Gildan&#146;s current expectations,
estimates, projections and assumptions and that were made by Gildan in light of
its experience and its perception of historical trends. Results indicated in
forward-looking statements may differ materially from the actual results. Please
refer to the cautionary statement on pages 24 and 25 of this Annual Information
Form for further explanation. </I></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>1.</B> </TD>
    <TD>
      <P align=justify><B>CORPORATE STRUCTURE</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>1.1</B> </TD>
    <TD>
      <P align=justify><B>Name, Address and
Incorporation</B></P></TD></TR></TABLE>
<P align=justify>We were incorporated on May 8, 1984 pursuant to the <I>Canada
Business Corporations Act </I>under the name of Textiles Gildan Inc. At our
inception, we focused our activities on the manufacture of textiles and produced
and sold finished fabric as a principal product-line. In 1992, we redefined our
operating strategy and, by 1994, our operations focused exclusively on the
manufacture and sale of activewear in the screenprint channel. In March 1995, we
changed our name to Gildan Activewear Inc./Les V&#234;tements de Sports Gildan Inc.
In 2005, we changed our French name to Les V&#234;tements de Sport Gildan Inc.</P>
<P align=justify>In June 1998, in conjunction with a planned initial public
offering, we filed Articles of Amendment to, among other things, remove the
private company restrictions contained in our charter documents and change the
structure of our authorized share capital. On June 17, 1998, we completed our
initial public offering of an aggregate of 3,000,000 Class A Subordinate Voting
shares at Cdn$10.29 per share, on a pre-split basis, for total gross proceeds of
Cdn$30,880,500. </P>
<P align=justify>On February 2, 2005, we filed Articles of Amendment in order
to, among other things, (i) create a new class of common shares (the &#147;<B>Common
Shares</B>&#148;), (ii) change each of the issued and outstanding Class A Subordinate
Voting shares into one of the newly-created Common Shares, and (iii) remove the
Class B Multiple Voting shares and the Class A Subordinate Voting shares as well
as the rights, privileges, restrictions and conditions attaching thereto. On
February 15, 2011, we filed Reinstated Articles of Incorporation in order to
change the number of directors to a minimum of five and a maximum of twelve as
determined by the directors from time to time and to appoint one or more
directors in accordance with the law governing the Company.</P>
<P align=center>1</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
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<P align=justify>Our principal executive offices and registered office are
located at 600 de Maisonneuve Boulevard West, 33<SUP>rd </SUP>Floor, Montreal,
Qu&#233;bec, Canada H3A 3J2, and our main telephone number at that address is (514)
735-2023.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>1.2</B> </TD>
    <TD>
      <P align=justify><B>Intercorporate
Relationships</B></P></TD></TR></TABLE>
<P align=justify>The following table indicates our principal subsidiaries, their
jurisdiction of incorporation and the percentage of voting securities that we
beneficially own or over which we exercise direct or indirect control:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD bgColor=#eeeeee align=center valign="middle" >
    <p align="left"><B>Subsidiary</B>
    <BR></TD>
    <TD bgColor=#eeeeee width="27%" align=center valign="middle"><B>Jurisdiction of</B> <BR><B>Incorporation</B> </TD>
    <TD bgColor=#eeeeee width="27%" align=center><B>Percentage of Voting
      Securities or</B> <BR><B>Partnership Interests that Gildan</B> <BR>
      <B>held
      as at December 7, 2012</B></TD>
  </TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#E6EFFF" >
    <p style="margin-top: 10">Gildan Activewear SRL </TD>
    <TD width="27%" align=center bgcolor="#E6EFFF">
    <p style="margin-top: 10">Barbados </TD>
    <TD width="27%" align=center bgcolor="#E6EFFF">
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left >
    <p style="margin-top: 10">Gildan USA Inc. </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">Delaware </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left >
    <p style="margin-top: 10">Gildan Choloma Textiles, S.
      de R.L. </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">Honduras </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left >
    <p style="margin-top: 10">Gildan Activewear Dominican
      Republic Textile Company Inc. </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">Barbados </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left >
    <p style="margin-top: 10">Gildan Honduras Hosiery
      Factory, S. de R.L. </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">Honduras </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left >
    <p style="margin-top: 10">Gildan Activewear Properties
      (Dominican Republic) Inc. </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">Barbados </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left >
    <p style="margin-top: 10">Gildan Activewear (UK)
      Limited </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">United Kingdom </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left >
    <p style="margin-top: 10">Gildan Hosiery Rio Nance, S.
      de R.L. </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">Honduras </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left >
    <p style="margin-top: 10">GoldToeMoretz, LLC </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">Delaware </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left >
    <p style="margin-top: 10">Gildan Honduras Properties,
      S. de R.L. </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">Honduras </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left >
    <p style="margin-top: 10">Gildan Mayan Textiles, S. de
      R.L. </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">Honduras </TD>
    <TD bgColor=#E6EFFF width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left >
    <p style="margin-top: 10">Anvil Knitwear, Inc. </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">Delaware </TD>
    <TD bgColor=#ffffff width="27%" align=center>
    <p style="margin-top: 10">100% </TD></TR></TABLE>
<P align=justify>The subsidiaries that have been omitted do not represent
individually more than 10% of the consolidated assets and 10% of the
consolidated revenue of Gildan, or in the aggregate more than 20% of the total
consolidated assets and the consolidated revenue as at and for the year ended
September 30, 2012.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>2.</B> </TD>
    <TD>
      <P align=justify><B>GENERAL DEVELOPMENT OF THE
  BUSINESS</B></P></TD></TR></TABLE>
<P align=justify>The following section describes how our business has evolved in
the last three completed financial years and lists key events that have
influenced the development of our business.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>2.1</B> </TD>
    <TD>
      <P align=justify><B>Recent Developments</B></P></TD></TR></TABLE>
<UL style="TEXT-ALIGN: justify">
  <LI>
  <P style="margin-bottom: 12">On November 28, 2012, Gildan&#146;s Board of Directors approved a 20% increase
  in the amount of the current quarterly dividend and declared a cash dividend
  of $0.09 per share payable on January 7, 2013 to shareholders of record on
  December 13, 2012. </P>
  <LI>
  <P style="margin-bottom: 12">During the first quarter of fiscal 2013, the Company completed the
  acquisition of the remaining 50% of CanAm Yarns, LLC (&#147;<B>CanAm</B>&#148;), its
  50%-owned yarn-spinning joint venture. The Company is currently planning to
  modernize and expand the two CanAm yarn-spinning facilities and is also
  planning a new yarn-spinning facility in the U.S. The strategic rationale for
  the Company&#146;s investment in vertically-integrated yarn-spinning is to support
  its projected sales growth and to continue to pursue its business model of
  investing in global low-cost manufacturing technology and in product
  technology which will provide consistent superior product quality. The Company
  is investing in ring-spun yarn technology which will provide enhanced quality
  features as well as qualify for duty-free access to U.S. markets under the
  Dominican Republic-Central America-United States Free Trade Agreement
  (&#147;<B>CAFTA-DR</B>&#148;), which requires the use of U.S. yarn or yarn
  spun in other CAFTA-DR member countries. Ring-spun products will be utilized
  as part of the Company&#146;s product offering in the Branded Apparel segment.</P>
  </LI></UL>
<P align=center>2</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
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<BR><TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>2.2</B> </TD>
    <TD>
      <P align=justify><B>Developments in Fiscal
2012</B></P></TD></TR></TABLE>
<UL style="TEXT-ALIGN: justify">
  <LI>
  <P style="margin-bottom: 12">The unprecedented volatility in the cost of cotton in fiscal 2011, which
  saw cotton prices reach historic highs in the first half of the year followed
  by an equally rapid and steep reversal in the second half of fiscal 2011, hurt
  overall profitability in the apparel industry in the first half of fiscal
  2012. Activewear margins in the first half of fiscal 2012 for our Printwear
  segment were significantly negatively affected by the consumption of inventory
  produced in fiscal 2011 with high-cost cotton. In addition, the Company&#146;s net
  loss reported in the first quarter of fiscal 2012 was impacted by significant
  inventory destocking by U.S. distributors in anticipation of selling price
  reductions from suppliers. In the first quarter of fiscal 2012, we reduced our
  selling prices in the U.S. distributor channel. We believe that lower selling
  prices helped stimulate the recovery in demand in the U.S. distributor channel
  in fiscal 2012 and reinforced our industry leading position in this market.
  Similarly, in the first half of fiscal 2012, the Branded Apparel segment was
  also affected by the consumption of inventory produced with high-cost cotton.
  </P>
  <LI>
  <P style="margin-bottom: 12">As of fiscal 2012, the Company began managing and reporting its business as
  two operating segments, Printwear and Branded Apparel, each of which is a
  reportable segment for financial reporting purposes. Each segment has its own
  management that is accountable and responsible for the segment&#146;s operations,
  results and financial performance. These segments are principally organized by
  the major customer markets they serve. A more detailed description of our
  operating segments is contained under item 3.1 &#147;Business Overview&#148;. </P>
  <LI>
  <P style="margin-bottom: 12">On May 9, 2012, the Company acquired 100% of the common shares of Anvil
  Holdings, Inc. (&#147;<B>Anvil</B>&#148;) for cash consideration of $87.4 million, net
  of cash acquired. Anvil is a supplier of high-quality basic T-shirts and sport
  shirts. The acquisition of Anvil further enhances Gildan&#146;s leadership position
  in the U.S. printwear market, and also positions the Company with potential
  growth opportunities as a supply chain partner to leading consumer brands with
  rigorous criteria for product quality and social responsibility. The
  acquisition is also expected to generate cost savings from integration
  synergies. Gildan financed the acquisition by the utilization of its revolving
  long-term credit facility. </P>
  <LI>
  <P style="margin-bottom: 12">During fiscal 2012, we began the ramp-up of our newest textile facility,
  Rio Nance 5. During the production ramp-up of Rio Nance 5, we suspended
  production temporarily at our most mature facility, Rio Nance 1, in order to
  modernize and refurbish the facility and improve its cost efficiency. Rio Nance
  1 is expected to be available to resume operations in the second half of
  fiscal 2013 and production at the facility will be ramped-up as required. The
  addition of Rio Nance 5 and the resumption of production at Rio Nance 1 are
  expected to support our capacity requirements for our planned growth over the
  next few years. </P>
  <LI>
  <P style="margin-bottom: 12">On December 2, 2011, the Toronto Stock Exchange (&#147;<B>TSX</B>&#148;) approved the
  renewal of Gildan&#146;s normal course issuer bid to purchase up to a maximum of
  1,000,000 Common Shares, representing approximately 0.8% of its issued and
  outstanding Common Shares as at November 30, 2011. The Company did not make
  any purchases during the period of the bid and did not renew its normal course
  issuer bid when it expired on December 5, 2012. </P></LI></UL>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>2.3</B> </TD>
    <TD>
      <P align=justify><B>Developments in Fiscal
2011</B></P></TD></TR></TABLE>
<UL style="TEXT-ALIGN: justify">
  <LI>
  <p style="margin-bottom: 12">In the first half of fiscal 2011, we experienced a recovery in demand in
  our target printwear markets. However, starting with the third quarter of
  fiscal 2011, market conditions weakened and demand in the U.S. wholesale
  distributor channel declined approximately 8% in the second half of fiscal
  2011. Towards the latter part of fiscal 2010 we began to see a dramatic
  increase in cotton prices which peaked to historical new highs during fiscal
  2011. In response to the significant increase in cotton costs, apparel
  suppliers, including Gildan, implemented successive price increases beginning
  in the fourth quarter of fiscal 2010 and during fiscal 2011. During the second
  half of fiscal 2011, cotton future prices began a rapid and significant
  decline, but with no immediate benefit on industry costs as existing
  manufacturer inventories continued to reflect cotton purchased at the
  previously higher levels of cotton prices. Despite existing high-cost cotton
  in manufacturer inventories, short-term promotional discounting began to
  increase in the U.S. distributor channel at the end of the fourth quarter of
  fiscal 2011.
  </LI></UL>
<P align=center>3</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_6></A>
<UL style="TEXT-ALIGN: justify">
  <LI>
  <P style="margin-bottom: 12">On December 1, 2010, the Company&#146;s Board of Directors approved the
  introduction of a quarterly cash dividend in the amount of  $0.075 per
  share payable on all issued and outstanding Common Shares. During fiscal 2011,
  the Company paid an aggregate of $27.5 million of dividends. </P>
  <LI>
  <P style="margin-bottom: 12">On December 1, 2010, the Company&#146;s Board of Directors also approved the
  reinstatement of a normal course issuer bid to repurchase up to 1,000,000
  outstanding Common Shares of the Company on the TSX and the New York Stock
  Exchange (&#147;<B>NYSE</B>&#148;). The Company was authorized to make purchases under
  the bid during the period from December 6, 2010 to December 5, 2011 or until
  such time as the bid was completed or terminated at the Company&#146;s option. The
  price paid was the market price of the Common Shares on the stock exchange on
  which the shares were purchased at the time of acquisition. During fiscal
  2011, the Company purchased 400,000 Common Shares under the bid for an
  aggregate amount of approximately $10.5 million. The Common Shares purchased
  under the bid were cancelled. </P>
  <LI>
  <P style="margin-bottom: 12">On April 15, 2011, the Company acquired 100% of the common shares of Gold Toe
Moretz Holdings Corp. (<b>&#147;Gold Toe Moretz&#148;</b>) for consideration transferred of
$347.7 million, net of cash acquired, including contingent consideration of $5.3
million. The contingent consideration at the date of acquisition was
comprised of up to 150,000 common shares which were issued in the form of
treasury restricted share units contingent on specified future events. Gold Toe Moretz is a leading supplier of high-quality branded athletic, casual and dress
socks for national chains, mass-market retailers, price clubs, department stores

and specialty sporting goods stores in the United States. The acquisition was
financed using $100 million of cash on hand and $250 million drawn on Gildan&#146;s
revolving credit facility. The acquisition of Gold Toe Moretz represents an
important step in our ongoing strategic development in retail. In addition to
the
introduction of leading consumer brands, the acquisition significantly expands
and diversifies our channels of distribution across the broad spectrum of the
U.S. retail channel. </P>
  <LI>
  <P style="margin-bottom: 12">During fiscal 2011, the Company completed the construction of its third
  textile manufacturing facility in Honduras, Rio Nance 5, and commenced
  operations at the end of the fiscal year. </P>
  <LI>
  <P style="margin-bottom: 12">During fiscal 2011, the Company consolidated U.S. sock manufacturing
  operations from its V.I. Prewett &amp; Son, Inc. subsidiary, which was acquired in fiscal 2008, to its Central American
  manufacturing hub. </P>
  <LI>
  <P style="margin-bottom: 12">During fiscal 2011, the Company increased its long-term unsecured revolving
  bank credit facility to $800 million from $400 million and extended the
  maturity date to June 2016 from June 2013. </P></LI></UL>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>2.4</B> </TD>
    <TD>
      <P align=justify><B>Developments in Fiscal
2010</B></P></TD></TR></TABLE>
<UL style="TEXT-ALIGN: justify">
  <LI>
  <P style="margin-bottom: 12">Following the severe economic downturn in 2009, we began to experience a
  recovery in demand in our target printwear markets in the second quarter of
  fiscal 2010. This recovery contributed in part to the Company&#146;s significant
  sales growth in fiscal 2010. The recessionary conditions from the severe
  economic downturn in fiscal 2009 followed by the economic recovery, however,
  created challenging conditions for the apparel marketplace, including global
  yarn shortages and freight distribution shortages, compounded by volatility in
  cotton prices. Towards the latter part of fiscal 2010, we began to see a
  dramatic increase in cotton prices which continued to increase in fiscal 2011
  and led to the commencement of selling price increases by apparel suppliers in
  order to mitigate the impact of increased raw material and other input costs.
  </P>
  <LI>
  <P style="margin-bottom: 12">During fiscal 2010, we commenced the ramp-up of production at our new sock
  manufacturing facility in Honduras, Rio Nance 4. </P>
  <LI>
  <P style="margin-bottom: 12">As an initial step towards the establishment of a manufacturing hub to
  support our growth in target markets in Asia and Europe, on March 31, 2010, we
  acquired a vertically-integrated manufacturing facility for the production of
  activewear in Bangladesh. </P>
  <LI>
  <P style="margin-bottom: 12">During fiscal 2010, we made progress with our strategic initiative to
  penetrate the retail channel. We obtained new activewear and underwear
  programs, including our first major men&#146;s underwear program for Walmart under
  the Starter<SUP>&#174; </SUP>brand. </P></LI></UL>
<P align=center>4</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_7></A>
<UL style="TEXT-ALIGN: justify">
  <LI>
  <P style="margin-bottom: 12">During fiscal 2010, we completed the construction of a biomass steam
  generation system in the Dominican Republic, which became operational during
  the year and initiated the construction of similar biomass steam generation
  projects at our sock manufacturing facilities in Honduras. These projects are
  expected to contribute to the reduction of our energy consumption and related
  costs. </P>
  <LI>
  <P style="margin-bottom: 12">On November 17, 2009, we completed the acquisition of a distribution centre
  and office building in Charleston, South Carolina, for approximately $20
  million. During fiscal 2010, we began to consolidate our retail sales,
  marketing and distribution activities at this location and proceeded with the
  closure of our distribution centres at Martinsville, Virginia and Fort Payne,
  Alabama. </P>
  <LI>
  <P style="margin-bottom: 12">During fiscal 2010, the Company acquired a new office building in Barbados
  for approximately $20 million, and moved its offices, including the sales and
  marketing functions of its Printwear business, to this location. </P>
  <LI>
  <P style="margin-bottom: 12">On January 12, 2010, Haiti was devastated by a massive earthquake, which
  had an impact on Gildan&#146;s third-party contractor operations in Haiti that are
  used to sew the majority of the fabric produced at our Dominican Republic
  textile facility. The impact on the Company&#146;s operations included a temporary
  loss of production, primarily during the second quarter, which subsequently
  resulted in lost sales opportunities as well as supply chain inefficiencies
  during the balance of the fiscal year. The Company received insurance proceeds
  of $8 million during the fourth quarter of fiscal 2010 which compensated in
  part for losses sustained as a result of the impact of the Haiti earthquake.
  </P></LI></UL>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>3.</B> </TD>
    <TD>
      <P align=justify><B>DESCRIPTION OF THE BUSINESS</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>3.1</B> </TD>
    <TD>
      <P align=justify><B>Business Overview</B></P></TD></TR></TABLE>
<UL style="TEXT-ALIGN: justify">
  <LI>Gildan is a marketer and globally low-cost vertically-integrated
  manufacturer of quality branded basic family apparel. We market our products
  under a portfolio of company-owned brands, including the Gildan<SUP>&#174; </SUP>,
  Gold Toe<SUP>&#174; </SUP>and Anvil<SUP>&#174; </SUP>brands and brand extensions, as
  well as under licensing arrangements for the Under Armour<SUP>&#174; </SUP>and New
  Balance<SUP>&#174; </SUP>brands. We design, manufacture and source basic products
  characterized by low-fashion risk and frequent replenishment, such as
  T-shirts, fleece, sport shirts, socks and underwear, the majority of which are
  made of cotton and synthetic fibres. We sell our products to customers
  requiring an efficient supply chain and consistent product quality for
  high-volume continuous replenishment programs in the North American and
  international printwear markets and to U.S. retailers. Gildan<SUP>&#174; </SUP>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. In the U.S. retail market, we are one of
  the largest suppliers of athletic, casual and dress socks sold to a broad
  spectrum of retailers and are pursuing a strategy to become a major supplier
  of basic branded activewear and underwear for this market. In addition to
  supplying retailers, Gildan also manufactures select activewear programs for
  leading global 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 also owns and operates a facility in Bangladesh to support its sales
  in Asia and Europe. </LI></UL>
<P align=justify><B>Strategy and Objectives </B></P>
<P align=justify>Our growth strategy comprises the following initiatives: </P>
<UL style="TEXT-ALIGN: justify">
  <LI><I>Maximize printwear market penetration and
  opportunities<BR></I><BR>While we have achieved a leadership position in the
  U.S. and Canadian printwear market, particularly in the U.S. wholesale
  distributor market, we continue to pursue additional growth opportunities to
  increase our penetration in the North American and international printwear
  markets as we expand our production capacity and introduce new products for
  these markets. </LI></UL>
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<UL style="TEXT-ALIGN: justify">During fiscal 2012, we began the ramp-up of
  our newest textile facility, Rio Nance 5. During the production ramp-up of Rio
  Nance 5, we suspended production temporarily at our most mature facility, Rio
  Nance 1, in order to modernize and refurbish the facility and improve its cost
  efficiency. Rio Nance 1 is expected to be available to resume operations in
  the second half of fiscal 2013 and production at the facility will be ramped-up as required. The addition of Rio Nance 5 and the resumption of production
  at Rio Nance 1 are expected to support our capacity requirements for our
  planned growth over the next few years.<BR><BR>In the third quarter of fiscal
  2012, we acquired Anvil, as described under the heading entitled &#147;Business
  Acquisitions&#148; in the Operating Results section of our 2012 Annual MD&amp;A. The
  acquisition of Anvil further enhances the Company&#146;s leadership position in the
  U.S. printwear market. We believe the Anvil<SUP>&#174; </SUP>brand positioning is
  complementary to the Gildan<SUP>&#174; </SUP>brand. Anvil has positioned itself as
  a supplier of niche products within the U.S. distributor channel, including
  products such as Anvilorganic<SUP>&#174; </SUP>, Anvilrecycled<SUP>&#174; </SUP>and
  Anvilsustainable<SUP>&#174; </SUP>. We believe we have an opportunity to further
  grow our sales in the U.S. printwear market and increase our combined market
  share.<BR><BR>The introduction of new products such as softer T-shirts and
  sport shirts, new styles tailored for women, a product-line with tear-away
  labels, performance products, enhanced sport shirts offerings and work wear
  assortments could enable us to further increase our market share penetration
  by servicing certain niches of the printwear market in which we previously did
  not participate. Recent product initiatives include our upcoming introduction
  of a New Balance<SUP>&#174; </SUP>sports performance line for activewear products
  in the printwear distributor channel in the U.S. and Canada. This initiative
  represents an expansion of our licensing relationship with New Balance<SUP>&#174;
  </SUP>for which the Company is the exclusive U.S. sock licensee. Additionally,
  in fiscal 2013 we will be introducing a basic performance activewear
  product-line under the Gildan Performance<SUP>&#174; </SUP>brand. Through
  innovations in our manufacturing process, our Gildan Performance<SUP>&#174;
  </SUP>line will have advanced features in moisture management, such as our
  Aquafx<SUP>&#174; </SUP>technology delivering premium wicking and evaporation
  properties, as well as our Freshcare<SUP>&#174; </SUP>anti-microbial properties
  incorporated into the textile production process to ensure long-lasting
  performance.<BR><BR>We also intend to continue to expand our presence in
  targeted international printwear markets which currently represent less than
  10% of the Company&#146;s consolidated sales. During fiscal 2012, our unit sales
  from international markets increased approximately 30% compared to fiscal
  2011. <BR><BR>
  <LI>
  <P><I>Continue penetration of retail market as a full-line supplier of branded
  family apparel<br>
  </I><BR>We intend to continue to leverage our existing core
  competencies, successful business model and competitive strengths to further
  grow our sales to U.S. retailers. As in the printwear market, success factors
  in penetrating the retail channel include consistent quality, competitive
  pricing and fast and flexible replenishment, together with a commitment to
  corporate social responsibility and environmental sustainability. We sell our
  products in the retail channel under the Gildan<SUP>&#174; </SUP>and Gold Toe<SUP>&#174;
  </SUP>brands and related brand extensions, as well as under licensing
  agreements for the Under Armour<SUP>&#174; </SUP>and New Balance<SUP>&#174;
  </SUP>brands. We are a leading supplier of socks in the U.S. mass-market
  retail channel. We are increasingly focusing on the steady development of our
  company-owned and exclusively licensed brands to retailers. We intend to
  leverage our current distribution with retailers, our manufacturing scale and
  expertise and our ongoing marketing investment to support the further
  development of company-owned and licensed brands to create additional sales
  growth opportunities in socks and other product categories.<BR><BR>During
  fiscal 2012 and early in fiscal 2013, we secured new branded programs for
  fiscal 2013 with national retail customers, as well as with regional retail
  chains, which will provide significant exposure and visibility for the
  Gildan<SUP>&#174; </SUP>brand. These new programs include underwear, socks and
  activewear. We also made significant progress in our key initiative to grow
  the proportion of our sales of Company branded programs. The Company also
  reached an agreement to further extend the term of its exclusive U.S. sock
  license for the Under Armour<SUP>&#174; </SUP>brand. In fiscal 2012, we retained a
  U.S. branding and marketing agency for the further development of the
  Gildan<SUP>&#174; </SUP>and Gold Toe<SUP>&#174; </SUP>portfolio of consumer brands and
  we intend to increase our investment in advertising in support of these
  brands. </P></LI></UL>
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<UL style="TEXT-ALIGN: justify">We are also focused on building our
  relationships as a supply chain partner to global consumer brands that are
  increasingly looking to source large-scale replenishment programs from
  manufacturers that meet rigorous quality and social compliance criteria and
  have an efficient supply chain strategically located in the Western
  Hemisphere. With the acquisition of Anvil, we now have strong established
  relationships with major sportswear and family entertainment companies. While
  we pursue further sales growth within this customer segment we believe there
  is an opportunity to leverage these relationships to expand into other product
  categories. We also believe there are potential opportunities to expand
  existing brand license relationships into new product categories<B>.</B>
  <BR><BR>
  <LI>
  <P><I>Continue to generate manufacturing and distribution cost
  reductions<br>
  </I><BR>We continuously seek to improve our manufacturing and
  distribution processes and cost structure by developing and investing in
  projects for capacity expansion, cost-reduction, as well as for further
  product quality enhancement. As previously discussed, during fiscal 2012, we
  proceeded with the ramp-up of Rio Nance 5 and initiated plans to modernize and
  refurbish our Rio Nance 1 facility and improve its cost efficiency.
  Rio Nance 5 is expected to be the most cost efficient of our manufacturing
  facilities. During the first quarter of fiscal 2013, the Company completed the
  acquisition of the remaining 50% of CanAm. Gildan is currently planning to
  modernize and expand the two CanAm yarn-spinning facilities and is also
  planning a new yarn-spinning facility in the U.S. The strategic rationale for
  the Company&#146;s investment in vertically-integrated yarn-spinning is to support
  its projected sales growth and to continue to pursue its business model of
  investing in global low-cost manufacturing technology and in product
  technology which will provide consistent superior product quality. The Company
  is investing in ring-spun yarn technology which will provide enhanced quality
  features as well as qualify for duty-free access to U.S. markets under CAFTA-DR, which requires the use of U.S. yarn or yarn spun in other CAFTA-DR
  member countries. Ring-spun products will be utilized as part of the Company&#146;s
  branded product offering in Branded Apparel.<BR><BR>We continue to execute our
  plans to reduce our reliance on high-cost fossil fuels and further reduce our
  impact on the environment by installing additional biomass facilities as an
  alternate source of natural renewable energy, and other initiatives to
  increase the efficiency of our energy-intensive equipment and processes, which
  reflect the Company&#146;s commitment to environmental sustainability. During
  fiscal 2012, we completed the installation of biomass facilities for steam
  generation for our textile production in Honduras, which is expected to lower
  our energy costs related to steam generation in fiscal 2013. The Company plans
  to continue to invest in biomass projects during fiscal 2013.<br>
  <BR>
  The
  acquisition of Gold Toe Moretz also creates the potential to achieve cost
  synergies by combining certain overhead functions of both companies and
  integrating certain high-volume products supplied by Gold Toe Moretz into
  Gildan&#146;s vertically-integrated sock manufacturing in Honduras. We are also
  seeking to achieve acquisition synergies from the integration of Anvil&#146;s
  production for the printwear market into Gildan&#146;s low-cost vertical
  manufacturing, the integration of Anvil&#146;s U.S. and international distributor
  sales and marketing functions into Gildan&#146;s existing Printwear business,
  consolidation of purchasing of raw materials and other purchased cost inputs,
  the elimination of certain duplicate administrative functions, and savings on
  ongoing working capital requirements.</P>
  <LI>
  <P><I>Reinvest cash flow<br>
  </I><BR>We will continue to evaluate opportunities to
  reinvest our cash flows generated from operations. We believe we will generate
  free cash flow after financing our working capital and capital expenditure
  requirements to support our organic growth. In order to re-invest our free
  cash flow, we will continue to seek complementary strategic acquisition
  opportunities which meet our return on investment criteria, based on our
  risk-adjusted cost of capital. In addition, we pay a dividend. On November 29,
  2012, the Company announced that its Board of Directors approved an increase
  in the amount of the current quarterly dividend per share by 20%. </P></LI></UL>
<P align=center>7</P>
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<P align=justify><B>Our Operating Segments</B></P>
<P align=justify>As of fiscal 2012, the Company began managing and reporting its
business as two operating segments, Printwear and Branded Apparel, each of which
is a reportable segment for financial reporting purposes. Each segment has its
own management that is accountable and responsible for the segment&#146;s operations,
results and financial performance. These segments are principally organized by
the major customer markets they serve. The following summary describes the
operations of each of the Company&#146;s operating segments:</P>
<P align=justify><I><U>Printwear segment</U></I></P>
<P align=justify>The Printwear segment, headquartered in Christ Church, Barbados, designs,
manufactures, sources and distributes undecorated activewear products in large
quantities primarily to wholesale distributors in printwear markets in over 30
countries across North America, Europe and the Asia-Pacific region. The products
sold through our Printwear segment consist mainly of undecorated or &#147;blank&#148;
T-shirts, fleece and sport shirts marketed primarily under our Gildan<SUP>&#174;
</SUP>brand. More recently, following the acquisition of Anvil on May 9, 2012,
the Anvil<SUP>&#174; </SUP>brand and brand extensions were added to our brand
portfolio. In addition, during fiscal 2012, we reached an agreement to license
the New Balance<SUP>&#174; </SUP>brand for performance activewear products in the
printwear distributor channel in the U.S. and Canada. Wholesale distributors buy
our products and subsequently sell to screenprinters and embroiderers who
decorate the products with designs and logos. Screenprinters and embroiderers
then sell the imprinted activewear to a highly diversified range of end-use
markets, including educational institutions, athletic dealers, event
merchandisers, promotional product distributors, charity organizations,
entertainment promoters, travel and tourism venues and retailers. Our activewear
products are used in a variety of daily activities by individuals, including
work and school uniforms and athletic team wear, and for various other purposes
to convey individual, group and team identity. </P>
<P align=justify><I><U>Branded Apparel segment</U></I></P>
<P align=justify>The Branded Apparel segment, headquartered in Charleston, South
Carolina, designs, manufactures, sources, and distributes branded family
apparel, which includes socks, underwear and activewear products primarily to
U.S. retailers. Currently, the majority of our Branded Apparel segment sales
consist of a variety of styles of socks, sold primarily under various
company-owned and licensed brands, as well as select national retailers&#146; brands.
We are now pursuing a strategy to grow our sales of underwear and activewear
products in the U.S. retail market as we add new production capacity. We are
increasingly focused on developing the Gildan brand within the retail channel.
In fiscal 2011, the acquisition of Gold Toe Moretz, a leading supplier of high-quality branded athletic, casual and dress
socks for U.S. retailers, allowed us to significantly expand our brand portfolio
to include the core Gold Toe<SUP>&#174; </SUP>brand, which has high consumer brand
recognition in national chains, department stores, and price clubs; the
SilverToe<SUP>&#174; </SUP>brand sold to a national chain; the GT<SUP>&#174; </SUP>brand
which we believe has further potential for development in the mass-market; the
PowerSox<SUP>&#174; </SUP>athletic performance brand which is  distributed mainly
through sports specialty retailers and national chains; the Auro<SUP>&#174;
</SUP>brand for the mass-market; and All Pro<SUP>&#174;</SUP>, an athletic sock
brand for the mass-market. We also have contractual licensing relationships with
Under Armour<SUP>&#174; </SUP>and New Balance<SUP>&#174; </SUP>as the exclusive U.S. sock
licensee for these brands. Furthermore, with the acquisition of Anvil, the
Branded Apparel segment now also includes the manufacture and distribution of
activewear products for leading consumer brands, including major sportswear and
family entertainment brands.</P>
<P align=justify><B>Competitive Environment</B></P>
<P align=justify>The market for our products is highly competitive and is served
by domestic and international manufacturers or suppliers. Competition is
generally based upon price, with reliable quality and service also being
critical requirements for success. Consumer brand recognition and appeal are
also factors in the retail market. Our competitive strengths include our
expertise in building and operating large-scale, vertically-integrated,
strategically-located manufacturing hubs. Our capital investments in
manufacturing allow us to operate efficiently and reduce costs, offer
competitive pricing, consistent product quality, and a reliable supply chain,
which efficiently services replenishment programs with short production/delivery
cycle times. Continued innovations in our manufacturing processes have also
allowed us to deliver enhanced product features, further improving the value
proposition of our product offering to our customers. We have enhanced our
consumer brand portfolio with the addition of the Gold Toe<SUP>&#174; </SUP>brand and
brand extensions and the Under Armour<SUP>&#174; </SUP>and New Balance<SUP>&#174;
</SUP>licensed brands. The Company is focused on further developing its brands
and is making a significant investment in advertising in support of further
enhancement of its Gildan<SUP>&#174; </SUP>and Gold Toe<SUP>&#174; </SUP>brands. Our
commitment to pursuing leading environmental and social responsibility practices
is also an increasingly important factor for our customers. </P>
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<P align=justify><I><U>Printwear segment</U></I></P>
<P align=justify>Our primary competitors in North America include major apparel
manufacturers such as Fruit of the Loom, Inc. (&#147;<B>Fruit of the Loom</B>&#148;) and
Russell Corporation (&#147;<B>Russell</B>&#148;), both subsidiaries of Berkshire Hathaway
Inc. (&#147;<B>Berkshire</B>&#148;), Hanesbrands Inc., and smaller U.S.-based
manufacturers, including Alstyle Apparel, a division of Ennis Corp., Delta
Apparel Inc., as well as Central American and Mexican manufacturers. Competitors
in the European printwear market include Fruit of the Loom and Russell, as well
as competitors that do not have integrated manufacturing operations and source
products from suppliers in Asia. </P>
<P align=justify><I><U>Branded Apparel segment</U></I></P>
<P align=justify>In the retail channel we compete primarily with Hanesbrands
Inc. and Berkshire&#146;s subsidiaries, Fruit of the Loom and Russell. In addition,
our company-owned and licensed sock brands compete with companies such as Renfro
Corporation, which manufactures and sources socks for owned and licensed brands, as
well as brands from well-established U.S. fashion apparel and sportswear
companies, which primarily source their products from Asia.</P>
<P align=justify><B>Manufacturing operations</B></P>
<P align=justify>We have developed a significant manufacturing infrastructure in
two main hubs in Central America and the Caribbean Basin, where we have built
modern textile and sock manufacturing facilities and have established sewing
operations. In addition, we own a small vertically-integrated manufacturing
facility for the production of activewear in Bangladesh which mainly serves our
international markets. </P>
<P align=justify><u><I>Central American manufacturing hub </I></u></P>
<P align=justify>Our largest manufacturing hub is based in Honduras and includes
three large-scale vertically-integrated textile facilities for the production of
activewear and underwear, Rio Nance 1, Rio Nance 2 and Rio Nance 5. Our newest
and largest facility, Rio Nance 5 commenced operations at the end of fiscal 2011
and continued to ramp-up production during fiscal 2012. Rio Nance 5 is expected
to be the most cost efficient of our manufacturing facilities once it is fully
ramped-up. While accelerating the production ramp-up of Rio Nance 5, we
suspended production at the Rio Nance 1 facility temporarily  in order to modernize and refurbish the facility
and improve the facility&#146;s
cost efficiency. The textiles produced at the Rio Nance complex are sewn in our
sewing facilities in Honduras and Nicaragua. At the same complex, we have also
constructed and operate two large-scale, integrated sock manufacturing
facilities, Rio Nance 3 and Rio Nance 4. Rio Nance 4 began production during
fiscal 2010 and is expected to support future sales growth in the sock category
in addition to supporting production for a portion of our sock product-line
previously sourced from third-party contractors, in order to reduce our sock
manufacturing costs. In addition, during fiscal 2012, we acquired a small
textile facility in Honduras and sewing facilities in Honduras and Nicaragua
through the acquisition of Anvil. </P>
<P align=justify><u><I>Caribbean Basin manufacturing hub </I></u></P>
<P align=justify>Our Caribbean Basin manufacturing hub includes a
vertically-integrated textile facility for the production of activewear fabric
in Bella Vista, Dominican Republic. Textiles produced at our manufacturing
facility in the Dominican Republic are sewn at third-party contractor operations
in Haiti and at our sewing facility in the Dominican Republic. </P>
<P align=justify>While we internally produce the majority of the products we
sell, we also have sourcing capabilities to complement Gildan&#146;s large scale,
vertically-integrated manufacturing. </P>
<P align=center>9</P>
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<P align=justify><B>Yarn-spinning</B></P>
<P align=justify>We satisfy our yarn requirements primarily by sourcing in the
U.S. from third-party yarn suppliers with which we have supply agreements, as
well as from our own yarn-spinning facilities in the U.S. previously owned by a
joint venture, CanAm. During the first quarter of fiscal 2013, CanAm became a
wholly-owned subsidiary, following our acquisition of the remaining 50%
interest. The Company is currently planning to modernize and expand the two
CanAm yarn-spinning facilities and is also planning a new yarn-spinning facility
in the U.S. for the production of ring-spun yarn which will be utilized as part
of the Company&#146;s branded product offering in the Branded Apparel segment. </P>
<P align=justify><B>Sales, marketing and distribution </B></P>
<P align=justify>Our sales and marketing offices are responsible for
customer-related functions, including sales management, marketing, customer
service, credit management, sales forecasting and production planning, and
inventory control and logistics for each of their respective operating
segments.</P>
<P align=justify><I><U>Printwear segment</U></I></P>
<P align=justify>Our sales and marketing office servicing our global printwear
markets is located in Christ Church, Barbados. Following the acquisition of
Anvil during fiscal 2012, Anvil&#146;s U.S. and international distributor sales
infrastructure was consolidated and integrated into our operations in Barbados.
We distribute our activewear products for the printwear markets primarily out of
our main distribution centre in Eden, North Carolina. We also use third-party
warehouses in the western United States, Canada, Mexico, Europe and Asia to
service our customers in these markets.</P>
<P align=justify><I><U>Branded Apparel segment</U></I></P>
<P align=justify>Our primary sales and marketing office for our Branded Apparel
segment is located in Charleston, South Carolina at the same location as our
primary distribution centre servicing our retail customers. In addition, we also
service retail customers from smaller distribution centres in North Carolina and
South Carolina. We also operate 32 Gold Toe retail stores located in outlet
malls throughout the United States. </P>
<P align=justify><B>Customers </B></P>
<P align=justify>We sell our products to customers requiring an efficient supply
chain and consistent product quality for high-volume quick replenishment
programs in the North American and international printwear markets and we are
becoming a growing supplier to U.S. retailers. In our printwear markets we sell
our products in over 30 countries across North America, Europe and the
Asia-Pacific region, primarily to wholesale distributors. Our products in the
U.S. retail market are sold to a broad spectrum of retailers, including
mass-market retailers, department stores, national and regional chains, sports
specialty stores and price clubs. In fiscal 2012 our sales totalled $1,948.3
million, of which $1,334.3 million were derived from our Printwear customers and
$614.0 million from Branded Apparel customers. In fiscal 2012, we sold our
products in the United States, Canada and Europe and other international
markets, which accounted for 89.2%, 3.5% and 7.3% of total sales, respectively.
For a breakdown of our total sales by geographic market for each of the last two
financial years, reference is made to note 27 to the 2012 Financial Statements,
which note is incorporated herein by reference.</P>
<P align=justify>Our total customer base is composed of a relatively small
number of significant customers. In fiscal 2012, our largest customer accounted
for 14.8% of our total sales, and our top ten customers accounted for 58.1% of
our total sales. Although we have long-term ongoing relationships with many of
our customers, our contracts with our customers do not require them to purchase
a minimum quantity of our products. Instead, we assess their projected
requirements and then plan our production and marketing strategy
accordingly.</P>
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<P align=justify><B>Raw Materials</B></P>
<P align=justify>Cotton and polyester fibres are the main raw materials used in
the manufacturing of our products. Cotton is used in the manufacturing of both
100% cotton yarn and blended yarn, while polyester is used in the manufacturing
of both blended yarn and 100% polyester yarns. The majority of the cotton fibre
used in the manufacturing of yarn for Gildan is typically purchased on Gildan&#146;s
behalf by our yarn suppliers for future delivery at pre-determined prices under
contracts as deemed appropriate by management. Polyester pricing is negotiated
directly with suppliers on an annual basis subject to the price variability of
certain polyester components.</P>
<P align=justify>During fiscal 2012, most of our yarn requirements for the
production of our product-lines were met by our long-term supply agreements with
third-party suppliers, as well as by our then jointly-owned CanAm yarn-spinning
facilities in Cedartown, Georgia and Clarkton, North Carolina. Our yarn
requirement for our Bangladesh operations is supplied by local and regional
spinners. During the course of the first quarter of 2013, Gildan proceeded to
acquire all of its partner&#146;s interest in CanAm, which then became a wholly-owned
subsidiary of Gildan. We expect that most of our yarn requirements will continue
to be met by these sources. </P>
<P align=justify>The primary sources of energy consumed in our manufacturing
facilities are (i) biomass, bunker fuel and natural gas, which are used to
generate steam required in the production process, and (ii) electricity, which
is used to power production equipment. The bunker fuel used in our operations is
supplied by local third-party suppliers, and the pricing is highly dependent on
international market prices for bunker fuel. Natural gas is used in our
operations in the Dominican Republic and Bangladesh, and is obtained from local
third-party suppliers. The electricity requirements at our two main production
complexes, located in Honduras and the Dominican Republic, are provided by
public utility companies. Electricity rates are variable and are, in part,
related to underlying oil prices.</P>
<P align=justify>Biomass, derived both from dedicated plantations and
agricultural waste, is sourced from private third-party suppliers, and now
provides a portion of the energy for our operations in both the Dominican
Republic and Honduras. We anticipate that our biomass consumption needs will
increase progressively over the next few years. During fiscal 2009, we began
construction of a biomass steam generation system in the Dominican Republic,
which began operating as of March 2010 and has contributed to the reduction of
the energy costs associated with our textile production in the Dominican
Republic. In addition, during fiscal 2010, we completed similar biomass steam
generation projects for our sock manufacturing facilities in Honduras. The
biomass facility for Rio Nance 3 became operational at the end of fiscal 2010,
and the second biomass facility for Rio Nance 4 became operational during the
first quarter of fiscal 2011. In the third quarter of 2011, we began the
construction of a biomass steam generation facility to support our textile
facilities in Honduras, which is now fully operational and provides the majority
of the steam used in our textile operations in Honduras.</P>
<P align=justify>We also purchase chemicals, dyestuffs and trims through a
variety of suppliers. These products have historically been available in
sufficient supply.</P>
<P align=justify><B>Management Information Systems </B></P>
<P align=justify>Our Enterprise Resource Planning (&#147;<B>ERP</B>&#148;) system supports
the majority of our operations in the areas of finance, manufacturing and
customer service. This system is centralized and is accessed from all of our
locations through secure networks. Our ERP system is linked to servers
supporting both local processes and specialized applications, including payroll
and distribution. Due to our increasing dependence on the availability of our
computer systems to support our operations, we plan to continue, in fiscal 2012,
to implement initiatives to enhance our information technology (&#147;<B>IT</B>&#148;)
processes and infrastructure based on the Information Technology Infrastructure
Library, a framework of &#147;best practices&#148; approaches intended to facilitate the
delivery of high-quality IT services.</P>
<P align=justify>The Gildan JD Edwards ERP World system has been in place since
1999. In fiscal 2010, we initiated a process to upgrade to the current release,
Enterprise One. The upgrade will facilitate the strategic objective of improving
and modernizing system functionality and business agility. We implemented the
first phase of the upgrade in fiscal 2012.</P>
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<P align=justify><B>Seasonality and Other Factors Affecting the Variability of
Results and Financial Condition</B></P>
<P align=justify>Our results of operations for interim periods and for full
fiscal years are impacted by the variability of certain factors, including, but
not limited to, changes in end-use demand and customer demand, our customers&#146;
decision to increase or decrease their inventory levels, changes in our sales
mix, and fluctuations in selling prices and raw material costs. While our
products are sold on a year-round basis, our business experiences seasonal
changes in demand which result in quarterly fluctuations in operating results.
Historically, net sales have been lowest in the first quarter and highest in the
third quarter of the fiscal year, reflecting the seasonality of the Printwear
segment net sales, which have historically accounted for a majority of the
Company&#146;s consolidated net sales. Demand for T-shirts is lowest in the first
fiscal quarter and highest in the third quarter of each fiscal year, when
distributors purchase inventory for the peak Summer selling season. Demand for
fleece is typically highest, in advance of the Fall and Winter seasons, in the
third and fourth quarters of each fiscal year. For our sock products, demand is
typically highest in the first and fourth quarters of each fiscal year,
stimulated largely by the cooler weather and the need to support requirements
for the back-to-school period and the holiday season in retail. </P>
<P align=justify>Historically, we have typically operated our mature facilities
at full capacity throughout the year in order to be cost efficient.
Consequently, with the seasonal sales trends of our business, we experience
fluctuations in our inventory levels throughout the year, in particular a
build-up of T-shirt inventory levels in the first half of the year. </P>
<P align=justify>In the first quarter of fiscal 2012, the Company reported a net
loss due to the impact of significant distributor inventory destocking, a
special distributor inventory devaluation discount of approximately $19 million,
and a charge to cost of sales of approximately $9 million relating to extended
holiday production downtime in December.</P>
<P align=justify>Our results are also impacted by fluctuations in the price of
raw materials and other input costs. Cotton and polyester fibres are the primary
raw materials used in the manufacture of our products, and we also use
chemicals, dyestuffs and trims which we purchase from a variety of suppliers.
Cotton prices, which directly affect the cost of the cotton fibres we purchase,
are affected by weather, consumer demand, speculation on the commodities market,
the relative valuations and fluctuations of the currencies of producer versus
consumer countries and other factors that are generally unpredictable. While we
enter into contracts in advance of delivery to establish firm prices for the
cotton component of our yarn, our realized cotton costs can fluctuate
significantly between interim and annual reporting periods. Energy costs in our
results of operations are also affected by fluctuations in crude oil and
petroleum prices, which can also influence transportation costs and the cost of
related items used in our business, such as polyester fibres, chemicals,
dyestuffs and trims.</P>
<P align=justify>As noted in our 2012 Annual MD&amp;A, under the section
entitled &#147;Economic Environment and Business Outlook&#148;, the Company&#146;s results in
the first half and in part in the third quarter of fiscal 2012 were
significantly negatively affected by the consumption of inventory manufactured
with cotton purchased at historically high cotton price levels during the
unprecedented rise of cotton prices which occurred in 2011. In addition, in the
first quarter of fiscal 2012, the Company reduced selling prices for its
Printwear products ahead of the consumption of this high-cost inventory.
Consequently, gross margins were negatively impacted during this period relative
to historical levels due to the misalignment of industry selling prices and the
cost of cotton in inventories being consumed. Gross margins in the fourth
quarter of fiscal 2012 reflected the return to more normal levels of historical
profitability as industry selling prices and the cost of cotton in inventories
consumed in the quarter were more closely aligned.</P>
<P align=justify>Business acquisitions may affect the comparability of results.
As noted in our 2012 Annual MD&amp;A, under the table entitled &#147;Summary of
Quarterly Results&#148;, the quarterly financial data reflects the acquisition of
Gold Toe Moretz from April 15, 2011 and the acquisition of Anvil from May 9,
2012.</P>
<P align=justify>Management decisions to consolidate or reorganize operations,
including the closure of facilities, may result in significant restructuring
costs in an interim or annual period. In addition, the effect of asset
write-downs, including provisions for bad debts and slow moving inventories, can
affect the variability of our results. The section entitled &#147;Restructuring and
acquisition related costs&#148; of our 2012 Annual MD&amp;A contains a discussion of
costs related to the Company&#146;s restructuring activities and business
acquisitions.</P>
<P align=justify>In the third quarter of fiscal 2012, following the transition
of production from Rio Nance 1 to Rio Nance 5, the Company suspended production
at its Rio Nance 1 facility temporarily as it proceeds with plans to modernize
and refurbish the facility. Consequently, a non-cash charge of approximately
$0.03 per share to write off obsolete equipment at Rio Nance 1 was recorded in
the third quarter of fiscal 2012 and results in the second half of the fiscal year also include transitional manufacturing
inefficiencies related to the ramp-down of the Rio Nance 1 facility and the
ramp-up of Rio Nance 5. Depreciation expense will continue to be recorded on
non-obsolete idle equipment during the temporary closure of Rio Nance 1.</P>
<P align=center>12</P>
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<P align=justify>Our reported amounts for sales, selling, general and
administrative expenses, and financial expenses/income are impacted by
fluctuations in the U.S. dollar versus certain other currencies as described in
the &#147;Financial Risk Management&#148; section of our 2012 Annual MD&amp;A. The Company
may periodically use derivative financial instruments to manage risks related to
fluctuations in foreign exchange rates.</P>
<P align=justify><B>Trade Regulation</B></P>
<P align=justify>As a multinational corporation, we are affected by
international trade legislation, as well as bilateral and multilateral trade
agreements in the countries in which we operate, source and sell products.
Although the textile and apparel industries of developed countries such as
Canada, the United States and the European Union have historically received a
relatively higher degree of trade protection than other industries, trade
liberalization has diminished this protection in recent years. In order to
remain globally competitive, we have situated our manufacturing facilities in
strategic locations to leverage the benefits of the trade liberalization
climate. Furthermore, management continuously monitors new developments and
risks relating to duties, tariffs and quotas that could impact our approach to
global manufacturing and sourcing and makes adjustments as needed. </P>
<P align=justify>The United States, Canada and Mexico have implemented several
free trade agreements and trade preference programs to enhance trade with
certain countries. There exist a number of regional free trade agreements and
trade preference programs, such as CAFTA-DR, the <I>Caribbean Basin Trade
Partnership Act </I>and the <I>Haitian Hemispheric Opportunity through
Partnership Encouragement Act </I>(&#147;<B>HOPE</B>&#148;), which allow qualifying
textiles and apparel from participating countries duty-free access to certain
developed countries&#146; markets.</P>
<P align=justify>The United States adopted CAFTA-DR and HOPE (as amended by HOPE
II legislation in 2008 and by the Haitian Economic Lift Program legislation in
2010) to strengthen and develop U.S. economic relations and expand trade with
Central America, the Dominican Republic and Haiti, where we have substantial
manufacturing operations and activities.</P>
<P align=justify>In 2012, the United States implemented free trade agreements
with South Korea, Colombia and Panama and has also continued free trade
negotiations with a group of countries under the umbrella of the Trans-Pacific
Partnership (&#147;<B>TPP</B>&#148;). Countries participating in the TPP negotiations at
this time are Australia, Brunei, Canada, Chile, Mexico, Malaysia, New Zealand,
Peru, Singapore and Vietnam. The United States&#146; entry into new free trade
agreements may negatively affect our competitive position in the United States.
</P>
<P align=justify>Periodically, U.S. domestic industry groups have threatened to
seek various trade remedies, including a section 421 action, under the terms of
the U.S.-China World Trade Organization accession agreement, against apparel
imports from China which could result in higher duty rates or tariff rate quotas
for Chinese apparel and improve our competitive position in affected product
classifications. Any action taken by the United States under section 421 would
be required to expire under the terms of the accession agreement in 2013. </P>
<P align=justify>The governments of Canada and Honduras have announced the
signing of a free trade agreement between the two countries. Once ratified, the
agreement will enable qualifying textiles and apparel from Honduras to benefit
from duty-free access into the Canadian market.</P>
<P align=justify>Imports into the Mexican market may qualify for trade
preferences from various free trade agreements such as the <I>Mexico-Costa Rica
Free Trade Agreement</I>, the <I>Mexico-Nicaragua Free Trade Agreement</I>, and
the <I>Mexico-Northern Triangle Regional Trade Agreement</I>, which includes El
Salvador, Guatemala and Honduras as member countries. Furthermore, the import
tariff rates on textile and apparel articles imported into Mexico will gradually
be reduced by 2013. </P>
<P align=justify>In addition to free trade arrangements among the individual
countries within the European Union, the European Union also has preferential
trade agreements with other European countries and with countries outside of
Europe. For example, the European Union maintains a Generalized System of
Preferences (&#147;<B>GSP</B>&#148;) and the Africa-Caribbean-Pacific programs that allow
duty-free entry into the European Union of qualifying articles, including
apparel, from developing countries such as Honduras and Nicaragua, and least
developed countries, including Haiti. Recent amendments regarding the reform of
certain of the GSP provisions, including the rules of origin, have not yet come into effect. The new provisions will further
enhance duty-free access to the European Union of qualifying apparel articles,
including, potentially, apparel articles from Pakistan, which could negatively
impact our competitive position in the European Union.</P>
<P align=center>13</P>
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<P align=justify>The European Union and the Central American countries Costa
Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama signed in 2012 a
comprehensive association agreement (the &#147;<B>Association Agreement</B>&#148;) which
includes a trade component allowing duty free entry into the European Union of
qualifying apparel articles. The Association Agreement, once enacted, would
supersede the eligibility for the GSP trade preference of the signatory Central
American countries. The European Union has reached similar agreements with
Colombia and Peru. The impact of the enactment of the Association Agreement and
the agreements with Colombia and Peru on our operations cannot be ascertained at
this time. Other European Union trade agreements, known as economic partnership
agreements, are already in effect with Mexico and several of the Caribbean
states.</P>
<P align=justify>The People&#146;s Republic of China extended duty-free and
quota-free trade benefits awarded to Bangladesh under the <I>Asia Pacific Trade
Agreement </I>to include certain chief-weight cotton apparel articles made in
Bangladesh.</P>
<P align=justify>Overall, new agreements or arrangements that further liberalize
access to our key developed country markets could potentially impact our
competiveness in those markets negatively. The likelihood that any such
agreements, measures or programs will be adopted, or that the agreements and
preference programs around which we have built our manufacturing supply chain
will be modified, repealed, or allowed to expire, and the extent of the impact
of such changes on our business, cannot be determined with certainty.</P>
<P align=justify><B>Product Safety Regulation</B></P>
<P align=justify>We are subject to consumer product safety laws and regulations
that could affect our business. In the United States, we are subject to the
<I>Consumer Product Safety Act</I>, as amended by the <I>Consumer Product Safety
Improvement Act </I>of 2008, to the <I>Federal Hazardous Substances Act</I>, to
the <I>Flammable Fabrics Act</I>, and to the rules and regulations promulgated
pursuant to such statutes. Such laws provide for substantial penalties for
non-compliance. These statutes and regulations include requirements for testing
and certification for flammability of wearing apparel, for lead content and lead
in surface coatings in children&#146;s products, and for phthalate content in child
care articles, including plasticized components of children&#146;s sleepwear. As of
December 31, 2011, the Consumer Product Safety Commission lifted its stay of
enforcement with respect to phthalate testing and certification, and is actively
enforcing all of the requirements listed above. In addition, we are also subject
to similar laws and regulations in the various individual states in which our
products are sold. </P>
<P align=justify>In Canada, we are subject to similar laws and regulations, the
most significant of which are the <I>Hazardous Products Act </I>(the
&#147;<B>HPA</B>&#148;) and the <I>Canada Consumer Product Safety Act </I>(the
&#147;<B>CCPSA</B>&#148;). The CCPSA came into force on June 20, 2011. It is aimed at
emphasizing industry's responsibility to provide safe products, strengthening
enforcement authorities, providing more and better information for the public,
improving the safety of imported products, ensuring better record keeping, and
instituting mandatory reporting. Regulations currently in place under the HPA
will be incorporated into the CCPSA or, where necessary because of structural
differences between the two statutes, replaced by new CCPSA regulations. For
example, the CCPSA&#146;s <I>Children&#146;s Sleepwear Regulations </I>replaced the HPA&#146;s
<I>Hazardous Products (Children's Sleepwear) Regulations</I>. The CCPSA also
provides for new regulations, such as the textile flammability regulations. As
under U.S. laws, surface coatings and phthalates are also regulated under the
CCPSA.</P>
<P align=justify>In the European Union, we are also subject to product safety
regulations, the most significant of which are imposed pursuant to the
<I>General Product Safety Directive</I>. We are also subject to similar laws and
regulations in the other jurisdictions in which our products are sold. </P>
<P align=justify>Although we believe that we are in compliance in all material
respects with applicable product safety laws and regulations in the
jurisdictions in which we operate, the extent of our liability, if any, for past
failures to comply with laws, regulations and permits applicable to our
operations cannot be reasonably determined.</P>
<P align=center>14</P>
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<P align=justify><B>Intellectual Property </B></P>
<P align=justify>We own several registered trademarks including, among others,
the Gildan<SUP>&#174; </SUP>trademark in Canada, the United States and in the
European Community as well as in many countries in Central America, South
America and Asia-Pacific, including Australia. Applications for the registration
of the Gildan<SUP>&#174; </SUP>trademark, as well as for the Ultra
Cotton<SUP>TM</SUP>, DryBlend<SUP>TM</SUP>, Smart Basics<SUP>TM</SUP>, Part of
Your Life<SUP>TM</SUP>, Gildan Sof'tag<SUP>TM</SUP>, Gildan Premium
Cotton<SUP>TM </SUP>and Gildan Softstyle<SUP>&#174; </SUP>trademarks, are also
pending in several countries. As a result of the acquisition of Gold Toe Moretz,
we also own the iconic Gold Toe<SUP>&#174; </SUP>trademark, as well as the Silver
Toe<SUP>&#174;</SUP>, GT<SUP>&#174;</SUP>, Auro<SUP>&#174;</SUP>, PowerSox<SUP>&#174;</SUP>, All
Pro<SUP>&#174;</SUP>, Soleution<SUP>&#174; </SUP>and The Best Socks On Two Feet<SUP>TM
</SUP>trademarks, and we will further expand registration of these marks
internationally. In addition, we have an exclusive license for Under
Armour<SUP>&#174; </SUP>branded socks in the U.S., with potential international
expansion. We also own an exclusive U.S. license for New Balance<SUP>&#174;
</SUP>branded socks and a license for New Balance<SUP>&#174; </SUP>branded basic,
performance and fleece apparel in the U.S. and Canada to the printwear industry.
Moreover, with the acquisition of Anvil, we now also own Anvil's portfolio of
trademarks for high-quality basic t-shirts and sport shirts including
Anvil<SUP>&#174;</SUP>, Anvil Not Just a T-Shirt<SUP>&#174;</SUP>, Anvil's eco collection
(Anvil Organic<SUP>&#174;</SUP>, Anvil Recycled<SUP>&#174;</SUP>, Anvil
Sustainable<SUP>&#174;</SUP>) as well as a number of other registered trademarks. In
addition, Shirt Scan<SUP>&#174; </SUP>and Track My T<SUP>&#174; </SUP>trademarks (and
copyright) pertain to computer and mobile applications which provide information
on clothing manufacturing. We have and intend to continue to maintain our
trademarks and the relevant registrations, and will actively pursue the
registration of trademarks in Canada, the United States and abroad.</P>
<P align=justify><B>Social and Environmental Responsibility</B></P>
<P align=justify>Our social and environmental responsibility program encompasses
four major areas of focus: </P>
<UL style="TEXT-ALIGN: justify">
  <LI>
  <P style="margin-bottom: 12"><B><I>People well-being</I></B><I>: </I>Commitment to industry-leading
  working conditions and labour practices at each of our worldwide locations;
  </P>
  <LI>
  <P style="margin-bottom: 12"><B><I>Community engagement</I></B><I>: </I>Commitment to our neighbours
  through dedicated support for youth and humanitarian aid; </P>
  <LI>
  <P style="margin-bottom: 12"><B><I>Environmental protection</I></B><I>: </I>Commitment to the
  development and implementation of leading and innovative environmental
  solutions that reduce the impact of our operations throughout our entire
  supply chain; and </P>
  <LI>
  <P style="margin-bottom: 12"><B><I>Product sustainability</I></B><I>: </I>Commitment to a responsible
  product-line through sustainable solutions. </P></LI></UL>
<P align=justify><B>Social Compliance</B></P>
<P align=justify>We provide favourable working conditions for all our employees.
All of Gildan&#146;s operations are governed by the Company&#146;s Code of Conduct, which
is based on the International Labour Organization Conventions and which also
encompasses elements set forth by the Fair Labor Association (&#147;<B>FLA</B>&#148;), and
the Worldwide Responsible Accredited Production (&#147;<B>WRAP</B>&#148;), as well as best
practices commonly agreed upon in the area of corporate social responsibility.
</P>
<P align=justify>We have implemented internal and external monitoring programs
that permit us to verify compliance with local labour laws, as well as with
internationally recognized labour standards. Our social compliance monitoring is
composed of both external third-party audits and internal monitoring audits.
Independent third-party monitors also regularly audit our plants, both on an
announced and unannounced basis. During fiscal 2012, 142 audits were performed
in our facilities and in the facilities of our third-party contractors. Over 37%
of these audits were carried out by third-party auditors, 70% of which were
mandated by our customers. </P>
<P align=justify>All of our mature sewing facilities and our contractors&#146;
facilities in Haiti have been certified by WRAP, an independent, non-profit
organization dedicated to the promotion and certification of lawful, humane and
ethical manufacturing throughout the world. WRAP, through independent
third-party verification, certifies facilities that comply with its Code of
Conduct. All of our third-party sewing contractors are contractually required to
follow prescribed employment policies as well as our Code of Conduct. </P>
<P align=center>15</P>
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<P align=justify>In November 2003, we joined the FLA as a &#147;Participating
Company&#148;. The FLA is internationally recognized and respected as a non-profit
organization whose goal is to promote adherence to international labour
standards and to improve working conditions for employees worldwide. In fiscal
2007, the FLA accorded accreditation status to our labour compliance
program.</P>
<P align=justify><B>Environmental Compliance</B></P>
<P align=justify>Gildan operates within the guidelines and practices set forth
in its Corporate Environmental Policy and in its Environmental Code of Practice.
The thrust of our environmental program is to reduce our environmental impact
and to preserve the external natural resources the Company utilizes. Innovative
systems such as the Biotop, a biological wastewater treatment system, and our
biomass steam generation systems are some of the sustainable practices we have
put in place. The Company monitors, controls and manages other environmental
issues through policies which include, but are not limited to, the recycling and
creation of measures for waste prevention, minimization, recovery and treatment
at all stages of the production cycle including the off-site disposal of any
hazardous waste.</P>
<P align=justify>We are subject to various federal, state and local
environmental  laws and regulations in the
jurisdictions in which we operate, concerning, among other things, wastewater
discharges, storm water flows, and solid waste disposal. Our manufacturing
plants generate small quantities of hazardous waste, which are either recycled
or disposed of by licensed waste management companies. Through our Corporate
Environmental Policy, Environmental Code of Practice and Environmental
Management System, we seek not only to comply with applicable laws and
regulations, but also to reduce our environmental footprint through waste
prevention, recovery and treatment. Although we believe that we are in
compliance in all material respects with the regulatory requirements of those
jurisdictions in which our facilities are located the extent of our liability,
if any, for past failures to comply with laws, regulations and permits
applicable to our operations cannot be reasonably determined. </P>
<P align=justify>In line with our commitment to the environment, as well as to
the health and safety of our employees, we incur capital and other expenditures
each year that are aimed at achieving compliance with current environmental
standards and applicable occupational health and safety laws and regulations. For fiscal 2012, the environmental protection requirements with
regard to the Company&#146;s operations did not have a significant financial or
operational impact on the Company's capital expenditures, earnings and
competitive position. Although we do not expect that the amount of these
expenditures in the future will have a material adverse effect on our
operations, financial condition or liquidity, there can be no assurance that
future changes in federal, state, or local regulations, interpretations of
existing regulations or the discovery of currently unknown problems or
conditions will not require substantial additional environmental remediation
expenditures or result in a disruption to our supply chain that could have a
material adverse effect on our business. </P>
<P align=justify>For more information on our Gildan Genuine Stewardship program,
you can visit www.genuinegildan.com.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>3.2</B> </TD>
    <TD>
      <P align=justify><B>Risk Factors</B></P></TD></TR></TABLE>
<P align=justify>Please see the &#147;Financial Risk Management&#148;, &#147;Critical
Accounting Estimates and Judgments&#148; and the &#147;Risks and Uncertainties&#148; sections
of our 2012 Annual MD&amp;A beginning on page 22, page 27 and page 33,
respectively, which are incorporated herein by reference.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>3.3</B> </TD>
    <TD>
      <P align=justify><B>Employees</B></P></TD></TR></TABLE>
<P align=justify>Gildan employs over 30,000 employees worldwide. The Company has
historically been able to operate in a productive manner in all of its
manufacturing facilities without experiencing significant labour disruptions,
such as strikes or work stoppages. Some of our employees are members of labour
organizations and, with the acquisition of Anvil, we are now a party to
collective bargaining agreements at our Anvil sewing facilities in Honduras and
Nicaragua.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>4.</B> </TD>
    <TD>
      <P align=justify><B>DIVIDEND POLICY</B></P></TD></TR></TABLE>
<P align=justify>In December 2010, the Company announced the adoption of a
dividend policy which aims to declare and pay cash dividends on a quarterly
basis. </P>
<P align=center>16</P>
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<!--$$/page=--><A name=page_19></A>
<P align=justify>While the Board of Directors of the Company wishes to retain
some of the Company&#146;s earnings to take advantage of opportunities to develop and
expand its business, the Company aims to declare and pay cash dividends on a
quarterly basis. The Board of Directors will consider several factors when
reviewing dividend payments, including the Company&#146;s present and future
earnings, cash flows, capital requirements and future regulatory restrictions,
while complying with laws governing the Company. There can be no assurance as to
the amount or timing of dividends in the future.</P>
<P align=justify>During fiscal 2011 and 2012, the Company declared quarterly
cash dividends amounting to US$0.075 per Common Share for shares listed on the
NYSE and the equivalent amount in Canadian dollars (using the Bank of Canada&#146;s
latest closing conversion rate at the time of payment) for shares listed on the
TSX.</P>
<P align=justify>On November 28, 2012, Gildan&#146;s Board of Directors approved a
20% increase in the amount of the quarterly dividends and declared a cash
dividend of $0.09 per share payable on January 7, 2013.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>5.</B> </TD>
    <TD>
      <P align=justify><B>CAPITAL STRUCTURE</B></P></TD></TR>

  <TR>
    <TD vAlign=top width="5%">&nbsp;</TD>
    <TD>&nbsp;
      </TD></TR>

  <TR>
    <TD vAlign=top width="5%"><b>5.1</b></TD>
    <TD>
      <B>First Preferred Shares</B></TD></TR></TABLE>
<P align=justify><I>Issuance in Series</I></P>
<P align=justify>The First Preferred shares are issuable in series and the Board
of Directors has the right, from time to time, to fix the number of, and to
determine the designation, rights, privileges, restrictions and conditions
attaching to, the First Preferred shares of each series, subject to the
limitations, if any, set out in the Articles of the Company.</P>
<P align=justify><I>Rank</I></P>
<P align=justify>The First Preferred shares rank senior to the Second Preferred
shares and the Common Shares with respect to the payment of dividends, return of
capital and the distribution of assets in the event of the liquidation,
dissolution or winding-up of Gildan. The First Preferred shares in each series
rank equally with the First Preferred shares of any other series.</P>
<P align=justify><I>Voting Rights</I></P>
<P align=justify>Unless the Articles otherwise provide with respect to any
series of the First Preferred shares, the holders of the First Preferred shares
are not entitled to receive any notice of or attend any meeting of the
shareholders of Gildan and are not entitled to vote at any such meeting.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><b>5.2</b></TD>
    <TD>
      <B>Second Preferred Shares</B></TD></TR></TABLE>
<P align=justify><I>Issuance in Series</I></P>
<P align=justify>The Second Preferred shares are issuable in series and the
Board of Directors has the right, from time to time, to fix the number of, and
to determine the designation, rights, privileges, restrictions and conditions
attaching to, the Second Preferred shares of each series subject to the
limitations, if any, set out in the Articles of the Company.</P>
<P align=justify><I>Rank</I></P>
<P align=justify>The Second Preferred shares are subject and subordinate to the
rights, privileges, restrictions and conditions attaching to the First Preferred
shares. The Second Preferred shares rank senior to the Common Shares with
respect to payment of dividends, return of capital and distribution of assets in
the event of the liquidation, dissolution or winding-up of Gildan. The Second
Preferred shares in each series rank equally with the Second Preferred shares of
any other series.</P>
<P align=center>17</P>
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<!--$$/page=--><A name=page_20></A>
<P align=justify><I>Voting Rights</I></P>
<P align=justify>Unless the Articles otherwise provide with respect to any
series of the Second Preferred shares, the holders of the Second Preferred
shares are not entitled to receive any notice of or attend any meeting of the
shareholders of Gildan and are not entitled to vote at any such meeting.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><b>5.3</b></TD>
    <TD>
      <B>Common Shares</B></TD></TR></TABLE>
<P align=justify>Following the conversion of all of the Company&#146;s Class B
Multiple Voting shares into Class A Subordinate Voting shares, the Company&#146;s
shareholders approved a special resolution on February 2, 2005 to amend the
Company&#146;s Articles in order to change each of the issued and outstanding Class A
Subordinate Voting shares into one newly-created Common Share and to remove the
Class B Multiple Voting shares and the Class A Subordinate Voting shares.</P>
<P align=justify>The Common Shares are subject and subordinate to the rights,
privileges, restrictions and conditions attaching to the First Preferred shares
and the Second Preferred shares. Each holder of Common Shares shall have the
right to receive any dividend declared by the Company and the right to receive
the remaining property and assets of the Company on dissolution.</P>
<P align=justify>Each holder of Common Shares is entitled to receive notice of
and to attend all meetings of shareholders of the Company, except meetings at
which only holders of another particular class or series shall have the right to
vote. Each Common Share entitles the holder thereof to one vote.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>6.</B> </TD>
    <TD>
      <P align=justify><B>MARKET FOR SECURITIES</B></P></TD></TR></TABLE>
<P align=justify>The Common Shares are listed on the NYSE and the TSX under the
symbol &#147;GIL&#148;. The Class A Subordinate Voting shares (now the Common Shares),
which were issued at an offering price of $0.88 (Cdn$1.29), on a post-split
basis, began trading on the TSX, the Montreal Exchange (the &#147;<B>ME</B>&#148;) and the
American Stock Exchange (&#147;<B>AMEX</B>&#148;) on June 17, 1998. Prior to that date,
there was no public market for the Class A Subordinate Voting shares. We
delisted such shares from AMEX on August 31, 1999. On September 1, 1999, the
Class A Subordinate Voting shares (now the Common Shares) commenced trading on
the NYSE. As a result of a restructuring of Canada&#146;s stock exchanges, which took
effect on December 7, 1999, we are no longer listed on the ME.</P>
<P align=justify>The table below shows the monthly price range per share and the
trading volume of the Common Shares for the fiscal year ended September 30, 2012
on the TSX (in Cdn$) and on the NYSE (in US$).</P>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD bgColor=#eeeeee colSpan=4 align=center>
    <p style="margin-top: 5; margin-bottom: 5">&nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;<B>Toronto
      Stock Exchange (TSX)<SUP>(1)</SUP></B> </TD>
    <TD bgColor=#eeeeee width="48%" colSpan=4 align=center>
    <p style="margin-top: 5; margin-bottom: 5"><B>New York Stock
      Exchange (NYSE)<SUP>(2)</SUP></B> &nbsp; </TD>
    </TR>
  <TR vAlign=top>
    <TD align=center><B>Month</B> </TD>
    <TD width="12%" align=center><B>High</B> </TD>
    <TD width="12%" align=center><B>Low</B> </TD>
    <TD width="12%" align=center><B>Trading</B> <B>Volume</B> </TD>
    <TD width="12%" align=center><B>Month</B> </TD>
    <TD width="12%" align=center><B>High</B> </TD>
    <TD width="12%" align=center><B>Low</B> </TD>
    <TD width="12%" align=center><B>Trading</B> <B>Volume</B> </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left>
    <p style="margin-top: 2">October 2011 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">28.32 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">24.64 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">9,520,260 </TD>
    <TD bgColor=#E6EFFF width="12%" align=left nowrap>
    <p style="margin-top: 2">October 2011 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">&nbsp;27.53 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">23.16 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">3,743,669 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left>
    <p style="margin-top: 2">November 2011 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">27.76 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">23.37 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">10,521,900 </TD>
    <TD bgColor=#ffffff width="12%" align=left nowrap>
    <p style="margin-top: 2">November 2011 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">&nbsp;27.34 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">22.47 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">3,164,602 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left>
    <p style="margin-top: 2">December 2011 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">20.25 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">16.54 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">27,434,577 </TD>
    <TD bgColor=#E6EFFF width="12%" align=left nowrap>
    <p style="margin-top: 2">December 2011 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">&nbsp;19.76 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">16.33 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">5,552,948 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left>
    <p style="margin-top: 2">January 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">22.82 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">19.46 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">13,745,974 </TD>
    <TD bgColor=#ffffff width="12%" align=left nowrap>
    <p style="margin-top: 2">January 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">&nbsp;22.60 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">19.02 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">3,246,568 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left>
    <p style="margin-top: 2">February 2012 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">25.94 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">21.03 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">10,519,369 </TD>
    <TD bgColor=#E6EFFF width="12%" align=left nowrap>
    <p style="margin-top: 2">February 2012 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">&nbsp;25.94 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">21.14 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">4,719,272 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left>
    <p style="margin-top: 2">March 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">27.76 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">24.20 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">8,655,265 </TD>
    <TD bgColor=#ffffff width="12%" align=left nowrap>
    <p style="margin-top: 2">March 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">&nbsp;28.00 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">24.19 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">4,087,770 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left>
    <p style="margin-top: 2">April 2012 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">28.46 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">26.41 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">5,340,492 </TD>
    <TD bgColor=#E6EFFF width="12%" align=left nowrap>
    <p style="margin-top: 2">April 2012 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">&nbsp;28.81 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">26.49 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">3,355,885 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left>
    <p style="margin-top: 2">May 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">29.38 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">24.04 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">11,982,785 </TD>
    <TD bgColor=#ffffff width="12%" align=left nowrap>
    <p style="margin-top: 2">May 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">&nbsp;28.99 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">23.22 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">5,822,085 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left>
    <p style="margin-top: 2">June 2012 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">28.59 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">23.09 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">9,385,979 </TD>
    <TD bgColor=#E6EFFF width="12%" align=left nowrap>
    <p style="margin-top: 2">June 2012 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">&nbsp;28.01 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">22.19 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">4,006,148 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left>
    <p style="margin-top: 2">July 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">29.39 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">27.06 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">5,878,301 </TD>
    <TD bgColor=#ffffff width="12%" align=left nowrap>
    <p style="margin-top: 2">July 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">&nbsp;28.84 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">26.55 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">2,190,627 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left>
    <p style="margin-top: 2">August 2012 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">32.09 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">27.09 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">10,182,938 </TD>
    <TD bgColor=#E6EFFF width="12%" align=left nowrap>
    <p style="margin-top: 2">August 2012 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">&nbsp;32.42 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">26.92 </TD>
    <TD bgColor=#E6EFFF width="12%" align=center>
    <p style="margin-top: 2">3,278,194 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left>
    <p style="margin-top: 2">September 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">31.56 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">29.62 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">7,731,742 </TD>
    <TD bgColor=#ffffff width="12%" align=left nowrap>
    <p style="margin-top: 2">September 2012 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">&nbsp;32.21 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">30.05 </TD>
    <TD bgColor=#ffffff width="12%" align=center>
    <p style="margin-top: 2">1,536,687
</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">(1) </TD>
    <TD>
      <P align=justify>These trading volumes do not reflect any trades done on
      &#147;alternative trading systems&#148; and therefore only represent approximately
      66.7% of all trades executed in Canada.</P></TD></TR>
  <TR>
    <TD vAlign=top width="5%">(2) </TD>
    <TD>
      <P align=justify>These trading volumes do not reflect any trades done on
      &#147;alternative trading systems&#148; and therefore only represent approximately
      26.4% of all trades executed in the United States.</P></TD></TR></TABLE>
<P align=center>18</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_21></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>7.</B> </TD>
    <TD>
      <P align=justify><B>DIRECTORS AND OFFICERS</B></P></TD></TR></TABLE>
<P align=justify>Listed below is certain information about the current directors
of Gildan. The directors have served in their respective capacities since their
election and/or appointment and will continue to serve until the next annual
meeting of shareholders or until a successor is duly elected.</P>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD bgColor=#eeeeee align=left>
    <p style="margin-top: 5; margin-bottom: 5"><B>Name and Municipality of Residence</B>
    </TD>
    <TD bgColor=#eeeeee width="40%" align=left>
    <p style="margin-top: 5; margin-bottom: 5"><B>Principal Occupation</B> </TD>
    <TD bgColor=#eeeeee width="20%" align=left>
    <p style="margin-top: 5; margin-bottom: 5"><B>Director Since</B> </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left>Glenn J. Chamandy <BR>Westmount, Qu&#233;bec,
      Canada</TD>
    <TD bgColor=#E6EFFF width="40%" align=left valign="bottom">
    <p style="margin-left: 5; margin-right: 5">President and Chief
      Executive Officer of the Company </TD>
    <TD bgColor=#E6EFFF width="20%" align=left>May 1984 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left>
    <p style="margin-top: 5">William D. Anderson<SUP>(1)(3)(4)</SUP>
      <BR>Toronto, Ontario, Canada</TD>
    <TD bgColor=#ffffff width="40%" align=left valign="bottom">
    <p style="margin-left: 5; margin-right: 5; margin-top: 5">Corporate Director </TD>
    <TD bgColor=#ffffff width="20%" align=left>
    <p style="margin-top: 5">May 2006 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#E6EFFF align=left>
    <p style="margin-top: 5">Russell Goodman<SUP>(1)(3)</SUP> <BR>Mont
      Tremblant, Qu&#233;bec, Canada</TD>
    <TD bgColor=#E6EFFF width="40%" align=left valign="bottom">
    <p style="margin-left: 5; margin-right: 5; margin-top: 5">Corporate Director </TD>
    <TD bgColor=#E6EFFF width="20%" align=left>
    <p style="margin-top: 5">December 2010 </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff align=left>
    <p style="margin-top: 5">George Heller<SUP>(2)(3)</SUP> <BR>Toronto,
      Ontario, Canada</TD>
    <TD bgColor=#ffffff width="40%" align=left valign="bottom">
    <p style="margin-left: 5; margin-right: 5; margin-top: 5">Corporate Director </TD>
    <TD bgColor=#ffffff width="20%" align=left>
    <p style="margin-top: 5">December 2009 </TD></TR>
  <TR vAlign=top>
    <TD align=left bgColor=#E6EFFF>
    <p style="margin-top: 5">Sheila O&#146;Brien <SUP>(2)(3)</SUP>
      <BR>Calgary, Alberta, Canada<BR></TD>
    <TD width="40%" align=left valign="bottom" bgColor=#E6EFFF>
    <p style="margin-left: 5; margin-right: 5; margin-top: 5">Corporate Director and
      business advisor <BR>President of Belvedere 1 Investments Ltd. (private investment company) </TD>
    <TD width="20%" align=left bgColor=#E6EFFF>
  <p style="margin-top: 5">June 2005 </TD></TR>
  <TR vAlign=top>
    <TD align=left>
    <p style="margin-top: 5">Pierre Robitaille<SUP>(1)(2)</SUP>
      <BR>St-Lambert, Qu&#233;bec, Canada</TD>
    <TD width="40%" align=left valign="bottom">
    <p style="margin-left: 5; margin-right: 5; margin-top: 5">Corporate Director </TD>
    <TD width="20%" align=left>
  <p style="margin-top: 5">February 2003 </TD></TR>
  <TR vAlign=top>
    <TD align=left bgColor=#E6EFFF>
    <p style="margin-top: 5">James R. Scarborough<SUP>(2)(3)</SUP>
      <BR>Wolfeboro, New Hampshire, United States</TD>
    <TD width="40%" align=left valign="bottom" bgColor=#E6EFFF>
    <p style="margin-left: 5; margin-right: 5; margin-top: 5">Corporate Director </TD>
    <TD width="20%" align=left bgColor=#E6EFFF>
  <p style="margin-top: 5">December 2009 </TD></TR>
  <TR vAlign=top>
    <TD align=left>
    <p style="margin-top: 5">Richard P. Strubel <SUP>(1)(3)</SUP>
      <BR>Chicago, Illinois, United States</TD>
    <TD width="40%" align=left valign="bottom">
    <p style="margin-left: 5; margin-right: 5; margin-top: 5">Corporate Director </TD>
    <TD width="20%" align=left>
  <p style="margin-top: 5">February 1999 </TD></TR>
  <TR vAlign=top>
    <TD align=left bgColor=#E6EFFF>
    <p style="margin-top: 5">Gonzalo F. Valdes-Fauli<SUP>(1)(2)</SUP>
      <BR>Key Biscayne, Florida, United States <BR></TD>
    <TD width="40%" align=left valign="bottom" bgColor=#E6EFFF>
    <p style="margin-left: 5; margin-right: 5; margin-top: 5">Corporate Director
      <BR>Chairman of BroadSpan Capital LLC (investment banking firm) </TD>
    <TD width="20%" align=left bgColor=#E6EFFF>
    <p style="margin-top: 5">October 2004
  <BR><BR></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top colSpan=2>_______________________________</TD></TR>
  <TR>
    <TD vAlign=top width="5%">(1) </TD>
    <TD>
      <P align=justify>Member of the Audit and Finance Committee.</P></TD></TR>
  <TR>
    <TD vAlign=top width="5%">(2) </TD>
    <TD>
      <P align=justify>Member of the Corporate Governance Committee.</P></TD></TR>
  <TR>
    <TD vAlign=top width="5%">(3) </TD>
    <TD>
      <P align=justify>Member of the Compensation and Human Resources
      Committee.</P></TD></TR>
  <TR>
    <TD vAlign=top width="5%">(4) </TD>
    <TD>
      <P align=justify>Chairman of the Board.</P></TD></TR></TABLE>
<P align=justify>Listed below is certain information about the executive
officers of Gildan in office as of the date hereof.</P>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left bgcolor="#EEEEEE" height="15">
    <p style="margin-top: 5; margin-bottom: 5"><B>Name and Municipality of Residence</B> </TD>
    <TD width="50%" align=left bgcolor="#EEEEEE" height="15">
    <p style="margin-top: 5; margin-bottom: 5"><B>Position Held Within the Company and
      Principal Occupation</B> </TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#E6EFFF">Glenn J. Chamandy <SUP>(1)</SUP> <BR>Westmount, Qu&#233;bec,
      Canada</TD>
    <TD width="50%" align=left valign="bottom" bgcolor="#E6EFFF">President, Chief Executive Officer and
      Director</TD></TR>
  <TR vAlign=top>
    <TD align=left>
    <p style="margin-top: 5">Laurence G. Sellyn <SUP>(1)</SUP> <BR>Beaconsfield, Qu&#233;bec,
      Canada </TD>
    <TD width="50%" align=left valign="bottom">
    <p style="margin-top: 5">Executive Vice-President, Chief Financial
      and Administrative Officer </TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#E6EFFF">
    <p style="margin-top: 5">Michael R. Hoffman <BR>St. James, Barbados </TD>
    <TD width="50%" align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="margin-top: 5">President, Printwear </TD></TR>
  <TR vAlign=top>
    <TD align=left>
    <p style="margin-top: 5">Benito A. Masi <SUP>(1)</SUP> <BR>Laval, Qu&#233;bec, Canada </TD>
    <TD width="50%" align=left valign="bottom">
    <p style="margin-top: 5">Executive Vice-President, Manufacturing
  </TD></TR>
  <TR vAlign=top>
    <TD align=left bgcolor="#E6EFFF">
    <p style="margin-top: 5">Eric R. Lehman <BR>Charleston, South Carolina, United
    States</TD>
    <TD width="50%" align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="margin-top: 5">President, Branded Apparel
</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top
    colSpan=2>________________________________&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%">(1) </TD>
    <TD>
      <P align=justify>Officer of the Company.</P></TD></TR></TABLE>
<P align=center>19</P>
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<P align=justify><I>Glenn J. Chamandy </I>is one of the founders of the Company
and has devoted his entire career to building Gildan into an industry leader.
Mr. Chamandy has been involved for over twenty years in various textile and
apparel businesses. He served as a Co-Chief Executive Officer and Chief Operating
Officer of Gildan since December 1994 and has been the President and Chief
Executive Officer since August 2004. </P>
<P align=justify><I>William D. Anderson </I>has had a career as a business
leader in Canada spanning over thirty years. Mr. Anderson joined the Bell Canada
organization in 1992, where from 1998 to 2001, he served as Chief Financial
Officer of BCE Inc., Canada&#146;s largest telecommunications company. From 2001 to
2005, Mr. Anderson served as President of BCE Ventures, the strategic investment
unit of BCE Inc. and, from 2001 to 2007, he was the Chairman and Chief Executive
Officer of Bell Canada International Inc., a subsidiary of BCE Inc. formed to
invest in telecommunications operations outside Canada. Prior to joining the
Bell Canada organization, Mr. Anderson was in public practice for nearly twenty
years with the accounting firm KPMG LLP, where he was a partner for eleven
years. Mr. Anderson is also Chairman of the Board of Nordion Inc., formerly
known as MDS Inc. (global life sciences company) and serves on the board of
directors of TransAlta Corporation (power generation and energy marketing firm),
where he is also Chairman of the Audit and Risk Committee. He also serves on the
board of directors of Sun Life Financial Inc., an international financial
services organization where he also is the Chairman of the Audit and Conduct
Review Committee as well as a member of the Risk Review Committee. Mr. Anderson
was educated at the University of Western Ontario and is a Fellow of the
Institute of Chartered Accountants of Ontario.</P>
<P align=justify><I>Russell Goodman </I>is a corporate director. From 1998 to
June 2011, Mr. Goodman was a senior partner of PricewaterhouseCoopers LLP, where
he served successively as Managing Partner of Project Finance and Privatization
for the Americas, Managing Partner of the Montreal office, and Canadian Managing
Partner of the Transactions business. Prior to the formation of
PricewaterhouseCoopers in 1998, Mr. Goodman served for twenty-one years with
Price Waterhouse LLP, including eleven years as a partner. Mr. Goodman is a
member of the board of directors and a member of the Audit Committee of Metro
Inc., a leader in the food and pharmaceutical sectors in Qu&#233;bec and Ontario. He
is Chair of the Audit Committee and a member of the Compensation Committee of
Whistler Blackcomb Holdings Inc., North America's largest ski resort. Mr.
Goodman is also a member of the board of directors of Forth Ports Limited, which
owns and operates major sea and container ports in the United Kingdom. Mr.
Goodman is, as well, a member of the Independent Review Committee of Investors
Group Mutual Funds. He also serves on a number of advisory and not-for-profit
boards, including the Pointe-&#224;-Calli&#232;re Foundation, where he is Chairman of the
Board, Centraide of Greater Montreal, where he is Treasurer, and Alpine Canada
Alpin, where he is Chair of the Performance Committee. He previously served as
President of the Canadian Club of Montreal. He is a Fellow of the Order of
Chartered Professional Accountants of Quebec and is certified by the Institute
of Corporate Directors. Mr. Goodman was educated at McGill University.</P>
<P align=justify><I>George Heller </I>has had a career as a business leader in
the retail sector that spans over forty years. From 1999 to 2006, Mr. Heller
served as President and Chief Executive Officer of the Hudson&#146;s Bay Company,
Canada&#146;s largest diversified general merchandise retailer, operating more than
600 retail outlets in Canada under four banners: the Bay, Zellers, Home
Outfitters and Fields. Prior to that, Mr. Heller was President and Chief
Executive Officer of Zellers, the mass merchandise retailer of the Hudson&#146;s Bay
Company and a leading Canadian mass merchandise department store. Mr. Heller has
also held a number of other key positions in the retail industry, including as
President and Chief Executive Officer of Kmart Canada (discount department
stores), President, North America &amp; Europe of Bata Industries Ltd.
(international footwear manufacturer) and Executive Vice-President of Woodwards
Department Stores (department store chain). Mr. Heller also served as President
and Chief Executive Officer of the Victoria Commonwealth Games. Mr. Heller
currently serves as President of the Commonwealth Games of Canada Foundation (a
fundraising organization for amateur athletes) and is a member of its board of
directors. Mr. Heller also serves on the board of the Asia Pacific Foundation of
Canada, a not-for-profit think-tank on Canada&#146;s relations with Asia, where he is
Chair of the Investment Committee. Mr. Heller has acted since 2008 as Honorary
Consul General of Thailand and as Honorary Trade Advisor to the Government of
Thailand since 2000. Mr. Heller has received Honorary Doctorates from Ryerson
University and the University of Victoria.</P>
<P align=justify><I>Sheila O&#146;Brien</I>, CM, is president, business advisor and
corporate director of Belvedere 1 Investments Ltd. She has over thirty years&#146;
experience in the oil and gas, pipeline and petrochemical sectors in Canada, the
United States and Europe. She has held executive positions in the areas of human
resources, investor relations, public affairs and government relations with
Amoco International, Petro-Canada and Nova Corporation. She created and
implemented an innovative workforce restructuring program based on the dignity
of the employee, which was designated a Worldwide Best Practice by Watson Wyatt
International Consultancy. In addition, she has been active in the
not-for-profit sector, having served on over 25 boards of directors, dealing
primarily with human rights, women&#146;s rights and giving voice to marginalized
members of society, and is the founder of several enduring community events
celebrating the accomplishments of women. She was invested in the Order of
Canada in 1998 and was awarded the Diamond Jubilee Medal in 2012 for community
service. She has served on the boards of directors of TransForce Income Fund, Canada&#146;s
largest trucking enterprise, publicly traded and headquartered in Montreal, Skye
Resources, a Vancouver-based, publicly traded nickel mining company with assets
in Guatemala, and CFM Majestic, a Mississauga-based publicly traded, fireplace
manufacturing company. She currently serves on the boards of directors Advantage
Oil &amp; Gas Ltd., a Calgary-based, publicly traded income trust; MaRS, a
biotechnology accelerator based in Toronto, and is a member of the Board of
Governors of Alberta College of Art and Design in Calgary. Ms. O&#146;Brien is the
co-author of three books &#147;An Extraordinary West &#150; A Narrative Exploration of
Western Canada&#146;s Future&#148; published in November 2010, &#147;Catching a Rising Tide &#150; A
Western Energy Vision for Canada&#148; published in November 2011 and &#147;A Place to
Call Home&#148; Published in November 2012. She is a graduate of the MTC program at
the University of Western Ontario, and completed a one-year sabbatical on
creativity and innovation at various U.S. schools in 1990.</P>
<P align=center>20</P>
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<P align=justify><I>Pierre Robitaille </I>is a corporate director. Mr.
Robitaille previously pursued his career at SNC-Lavalin Group Inc., a global
engineering and construction firm, where he was Executive Vice-President and
Chief Financial Officer from 1990 to 1998. Prior to this, Mr. Robitaille was in
public practice for more than twenty years with the public accounting and
management consulting firm Ernst &amp; Whinney, where he held the positions of
Managing Partner of the Montreal office, President of the firm in Qu&#233;bec, and
member of its national board of directors. Mr. Robitaille is a Fellow of the
Order of Chartered Professional Accountants of Quebec. He was educated at HEC
Montreal and McGill University Business School.</P>
<P align=justify><I>James R. Scarborough </I>has had a career as a business
leader in the retail industry that spans over forty years. Mr. Scarborough
retired in June 2010 as Chairman of the Board of Stage Stores, Inc., a
U.S.-based specialty department store retailer that operates over 780 department
stores in thirty-nine states under five banners: Bealls, Goody&#146;s, Palais Royal,
Peebles, and Stage. Mr. Scarborough joined Stage Stores in 2000 as its President
and Chief Executive Officer, and held this position until his retirement in
2008. Mr. Scarborough previously held other senior positions in the retail
sector, including President and Chief Executive Officer of Busy Body, Inc., a
specialty retailer of premium fitness equipment, and Seattle Lighting, Inc., a
supplier of lighting fixtures to the homebuilder, commercial and retail markets,
as well as President and Chief Operating Officer of Enstar Specialty Retail,
Inc., a footwear and women&#146;s apparel retailer, and its subsidiary AMRET, Inc.
Mr. Scarborough began his retail career in 1972, at Filene&#146;s of Boston, a
division of Federated Department Stores. Mr. Scarborough also serves on the
board of directors and is Chair of the Compensation Committee of Charming
Charlie, Inc., a U.S. based specialty retailer of women&#146;s fashion accessories.
Mr. Scarborough was educated at St. Michael&#146;s College in Vermont, United
States.</P>
<P align=justify><I>Richard P. Strubel </I>is a corporate director. Prior to
2008, he was Vice-Chairman of the Board of Cardean Learning Group (formerly
known as Unext), a provider of advanced education over the Internet, where from
1999 to 2004 he served as President and Chief Operating Officer. From 1990 to
1999, Mr. Strubel was Managing Director of Tandem Partners, Inc., a
privately-held management services firm, and from 1984 to 1994, he served as
President and Chief Executive Officer of Microdot, Inc. Prior to that, Mr.
Strubel served as President of Northwest Industries, then a NYSE-listed company,
which included Fruit of the Loom and BVD among its operating entities. Mr.
Strubel also serves on the board of directors of the mutual funds of Goldman
Sachs &amp; Co. and is Chairman of the Board of the Northern Funds of Northern
Trust. Mr. Strubel is also Trustee of the University of Chicago. Mr. Strubel was
educated at Williams College and Harvard Business School. </P>
<P align=justify><I>Gonzalo F. Valdes-Fauli </I>is Chairman of the Board of
BroadSpan Capital LLC, an investment banking firm specializing in financial
advisory services. Mr. Valdes-Fauli retired from Barclays Bank PLC (major
UK-based global bank) in 2001, where he held the position of Vice-Chairman,
Barclays Capital, and Group Chief Executive Officer, Latin America. Mr.
Valdes-Fauli also serves on the board of directors of Blue Cross Shield of
Florida (health insurance provider), and was Chairman of the Board of Republic
Bank of Dominican Republic (financial services provider) until November 2007. He
is Trustee Emeritus of the University of Miami and Spring Hill College in
Mobile, Alabama. Mr. Valdes-Fauli holds a Master&#146;s Degree in international
finance from Thunderbird Graduate School for International Management.</P>
<P align=justify><I>Laurence G. Sellyn </I>was appointed to the position of
Executive Vice-President, Chief Financial and Administrative Officer of the
Company in November 2005. He joined Gildan as Executive Vice-President, Finance
and Chief Financial Officer of the Company in April 1999. Prior to joining
Gildan, Mr. Sellyn served as Senior Vice-President, Finance and Corporate
Development and Chief Financial Officer of Wajax Limited, an industrial
distribution company, where he was employed from October 1992 to March 1999.
Prior to joining Wajax, he was employed by Domtar Inc., where he held various
positions, including Corporate Controller and Vice-President, Business Planning
and Development. Mr. Sellyn is a Fellow of the Institute of Chartered
Accountants of England and Wales and a graduate of Oxford University. Mr. Sellyn is on the
Advisory Board of H&#233;ritage Montr&#233;al, and acts as Co-Chairman of their
fundraising campaign.</P>
<P align=center>21</P>
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<P align=justify><I>Michael R. Hoffman </I>joined Gildan in October 1997. He
served as Vice-President, Sales and Marketing for the international division
until his appointment as President of Printwear in February 2001. Prior to
joining Gildan, Mr. Hoffman was employed by Fruit of the Loom, Inc., where he
last served as Divisional Vice-President of the Activewear Division.</P>
<P align=justify><I>Benito A. Masi </I>has been involved in apparel
manufacturing in North America for over twenty-five years. He joined Gildan in
1986, and since then has held various positions in the Company. He was appointed
Vice-President, Apparel Manufacturing in February 2001 and his title was changed
to Vice-President, Corporate Apparel Operations in September 2003. In August
2004, he was appointed Executive Vice-President, Apparel Manufacturing and was
appointed Executive Vice-President, Manufacturing in January 2005.</P>
<P align=justify><I>Eric R. Lehman </I>joined Gildan in December 2006 as
Executive Vice-President, Supply Chain. In November 2008, Mr. Lehman&#146;s
responsibilities were expanded to include information technology and operational
excellence and his title changed to Executive Vice-President, Supply Chain,
Information Technology and Operational Excellence until his appointment as
President of Branded Apparel in January 2011. He has over twenty years of
experience in the supply chain function with major national apparel brands.
Prior to joining Gildan, Mr. Lehman was employed by Russell Corporation, where
he last served as Vice-President of Supply Chain. Prior to that, he held senior
supply chain planning positions at both Fruit of the Loom, Inc. and the Hanes
Division of Sara Lee Corporation.</P>
<P align=justify>As at November 30, 2012, the executive officers and directors
of the Company as a group own 10,254,480 Common Shares, which represents 8.4% of
the voting rights attached to all Common Shares.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>8.</B> </TD>
    <TD>
      <P align=justify><B>AUDIT AND FINANCE COMMITTEE DISCLOSURE</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>8.1</B> </TD>
    <TD>
      <P align=justify><B>Mandate of the Audit and Finance
  Committee</B></P></TD></TR></TABLE>
<P align=justify>The mandate of the Audit and Finance Committee is included
herewith as Appendix A.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>8.2</B> </TD>
    <TD>
      <P align=justify><B>Composition of the Audit and Finance
    Committee</B></P></TD></TR></TABLE>
<P align=justify>The Audit and Finance Committee is composed of five independent
and financially literate directors, as such terms are defined under Canadian and
U.S. securities laws and regulations, and in accordance with the NYSE Corporate
Governance Standards. Their education and experience relevant to the performance
of their responsibilities as members of the Audit and Finance Committee are as
follows:</P>
<P align=justify><I>Russell Goodman </I>is the Chairman of the Audit and Finance
Committee and a corporate director. He was previously a senior partner of
PricewaterhouseCoopers LLP, where he served successively as Managing Partner of
Project Finance and Privatization for the Americas, Managing Partner of the
Montreal office, and Canadian Managing Partner of the Transactions business.
Prior to this, Mr. Goodman served for twenty-one years with Price Waterhouse
LLP, including eleven years as a partner. Mr. Goodman is a member of the board
of directors and a member of the Audit Committee of Metro Inc. He is Chair of
the Audit Committee and a member of the Compensation Committee of Whistler
Blackcomb Holdings Inc. Mr. Goodman is also a member of the board of directors
of Forth Ports Limited, as well, a member of the Independent Review Committee of
Investors Group Mutual Funds and serves on a number of advisory and
not-for-profit boards. Mr. Goodman is a Fellow of the Order of Chartered
Professional Accountants of Quebec, a Certified Fraud Examiner, and is certified
by the Institute of Corporate Directors. </P>
<P align=justify><I>William D. Anderson </I>is a corporate director. He has had
a career as a business leader in Canada spanning over thirty years. Mr. Anderson
joined the Bell Canada organization in 1992, where from 1998 to 2001, he served
as Chief Financial Officer of BCE Inc. From 2001 to 2005, Mr. Anderson served as
President of BCE Ventures and, from 2001 to 2007, he was the Chairman and Chief
Executive Officer of Bell Canada International Inc. Prior to joining the Bell
Canada organization, Mr. Anderson was in public practice for nearly twenty years
with the accounting firm KPMG LLP, where he was a partner for eleven years. Mr.
Anderson is also Chairman of the Board of Nordion Inc. and serves on the board
of directors of TransAlta Corporation, where he is also Chairman of the Audit
and Risk Committee. He also serves on the board of directors of Sun Life
Financial Inc. where he also is the Chairman of the Audit and Conduct Review Committee as well as a member of the
Risk Review Committee and Mr. Anderson was educated at the University of Western
Ontario and is a Fellow of the Institute of Chartered Accountants of
Ontario.</P>
<P align=center>22</P>
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<P align=justify><I>Pierre Robitaille </I>is a business advisor and corporate
director. He was previously Executive Vice-President and Chief Financial Officer
at SNC-Lavalin Group Inc., a position he held from 1990 to 1998. Prior to his
career at SNC-Lavalin Group Inc., Mr. Robitaille worked more than twenty years
with the public accounting and management services firm Ernst &amp; Whinney,
including ten years as Audit Partner, and served as Managing Partner of the
Montreal office and as President of the firm in Quebec. He has served on audit
committees of several listed companies, including until recently as Chair of the
Audit Committee of Nav Canada. Mr. Robitaille is a Fellow of the Order of
Chartered Professional Accountants of Quebec. He was educated at HEC Montreal
and McGill Business School. </P>
<P align=justify><I>Richard P. Strubel </I>is a corporate director. He was
previously President and Chief Operating Officer of Cardean Learning Group, a
position he held from 1999 to 2004, and served as Vice-Chairman of its Board
until 2008. Prior to this, Mr. Strubel had an extensive career as a business
executive. He served as Managing Director of Tandem Partners Inc., as President
and Chief Executive Officer of Microdot Inc., and as President of Northwest
Industries. Mr. Strubel also has extensive experience serving on several boards
of directors, including as a member of audit committees. Mr. Strubel was
educated at Williams College and Harvard Business School. </P>
<P align=justify><I>Gonzalo F. Valdes-Fauli </I>is a corporate director. He
retired from Barclays Bank PLC in 2001, where he held the position of
Vice-Chairman, Barclays Capital, and served as Group Chief Executive Officer of
Barclays Bank Latin America from 1988 to 2001. Mr. Valdes-Fauli is Chairman of
BroadSpan Capital LLC, and served as Chairman of the Board of Republic Bank of
Dominican Republic until November 2007. Mr. Valdes-Fauli has more than thirty
years of experience in finance and holds a Master&#146;s Degree in international
finance from Thunderbird Graduate School for International Management.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
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  <TR>
    <TD vAlign=top width="5%"><B>8.3</B> </TD>
    <TD>
      <P align=justify><B>Pre-Approval of Non-Audit
  Services</B></P></TD></TR></TABLE>
<P align=justify>In accordance with the Code of Ethics of the <I>Ordre des
comptables professionnels agr&#233;&#233;s du Qu&#233;bec (CPA) </I>independence standards for
auditors, the <I>Sarbanes-Oxley Act of 2002 </I>and rules of the U.S. Securities
and Exchange Commission, the Company is restricted from engaging its external
auditor to provide certain non-audit services to the Company and its
subsidiaries, including bookkeeping or other services related to the accounting
records or financial statements, information technology services, valuation
services, actuarial services, internal audit services, corporate finance
services, management functions, human resources functions, legal services and
expert services unrelated to the audit. The Company does engage its external
auditor from time to time to provide certain non-audit services other than the
restricted services. All non-audit services must be specifically pre-approved by
the Audit and Finance Committee.</P>
<TABLE
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  <TR>
    <TD vAlign=top width="5%"><B>8.4</B> </TD>
    <TD>
      <P align=justify><B>External Auditor Service
Fees</B></P></TD></TR></TABLE>
<P align=justify>The aggregate fees billed by KPMG LLP (&#147;<B>KPMG</B>&#148;), the
Company&#146;s external auditor, for various audit-related and non-audit services
rendered for the fiscal years 2012 and 2011 were as follows:</P>
<P align=justify><B><I>Audit Fees </I></B>&#151; The aggregate audit fees billed by
KPMG were Cdn$2,106,000 for fiscal 2012 and Cdn$1,752,531 for fiscal 2011. These
services consisted of professional services rendered for the annual audit of the
Company&#146;s consolidated financial statements and the quarterly reviews of the
Company&#146;s interim financial statements, consultation concerning financial
reporting and accounting standards, including assistance in preparing the
Company for compliance with the requirements of IFRS, and services provided in
connection with statutory and regulatory filings or engagements. The fees for
the annual audit of the Company&#146;s consolidated financial statements include fees
relating to KPMG&#146;s audit of the effectiveness of the Company&#146;s internal control
over financial reporting.</P>
<P align=justify><B><I>Audit-Related Fees </I></B>&#151; The aggregate audit-related
fees billed by KPMG were Cdn$396,000 for fiscal 2012 and Cdn$418,610 for fiscal
2011. These services consisted of due diligence services relating to business
acquisitions and also translation services in both years. Such due diligence
services related primarily to financial accounting and internal control
issues.</P>
<P align=center>23</P>
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<!--$$/page=--><A name=page_26></A>
<P align=justify><B><I>Tax Fees </I></B>&#151; The aggregate tax fees billed by KPMG
were Cdn$642,000 for fiscal 2012 and Cdn$795,810 for fiscal 2011. These services
consisted of tax compliance, including the review of tax returns, assistance
regarding income, capital and sales tax audits, the preparation of annual
transfer pricing studies, and tax advisory services relating to domestic and
international taxation.</P>
<P align=justify><B><I>All Other Fees </I></B>&#151; The aggregate fees billed by
KPMG for all other professional services rendered were nil for both fiscal 2012
and fiscal 2011.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>9.</B> </TD>
    <TD>
      <P align=justify><B>LEGAL PROCEEDINGS</B></P></TD></TR></TABLE>
<P align=justify>On October 12, 2012, Russell Brands LLC, an affiliate of Fruit
of the Loom, filed a lawsuit against the Company in the United States District
Court for the Western District of Kentucky, alleging trademark infringement and
unfair competition and seeking injunctive relief and unspecified monetary
damages. The litigation concerns labeling errors on certain inventory products
shipped by Gildan to one of its customers. Upon being made aware of the error,
the Company took immediate action to retrieve the disputed products. The Company
believes that the value of the products in dispute is immaterial.</P>
<TABLE
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border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>10.</B> </TD>
    <TD>
      <P align=justify><B>TRANSFER AGENT AND
REGISTRAR</B></P></TD></TR></TABLE>
<P align=justify>The transfer agent and registrar of the Company is
Computershare Investor Services Inc. having offices in Montreal and Toronto at
which the register of transfer of the Common Shares is held. The co-transfer
agent and co-registrar of the Company is Computershare Trust Company, N.A.,
having an office in Golden, Colorado.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>11.</B> </TD>
    <TD>
      <P align=justify><B>MATERIAL CONTRACTS</B></P></TD></TR></TABLE>
<P align=justify>Other than the agreements entered into during the normal course
of business, the only material agreements entered into in fiscal 2012, or before
fiscal 2012 and which are still in force, are the following: </P>
<UL style="TEXT-ALIGN: justify">
  <LI>
  <P style="margin-bottom: 12">The Agreement and Plan of Merger dated May 2, 2012 by and among Gildan
  (Delaware) Inc., ACME Acquisition Corp., Anvil Holdings Corp. and Lampe,
  Conway &amp; Co. LLC, as the Stockholder Representative; and </P>
  <LI>
  <P style="margin-bottom: 12">The Shareholder Rights Plan Agreement approved by the Board of Directors on
  December 1, 2010, and which was subsequently submitted to the Company&#146;s
  shareholders for ratification at the annual shareholders&#146; meeting on February
  9, 2011. This agreement was filed through SEDAR on December 3, 2010.
</P></LI></UL>
<TABLE
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border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>12.</B> </TD>
    <TD>
      <P align=justify><B>INTERESTS OF EXPERTS</B></P></TD></TR></TABLE>
<P align=justify>KPMG, the external auditor of the Company, reported on the 2012
Financial Statements, which were filed with the securities regulatory
authorities. We are advised that, as at the date hereof, the members of KPMG are
independent in accordance with the Code of Ethics of the <I>Ordre des comptables
professionnels agr&#233;&#233;s du Qu&#233;bec (CPA)</I>. These rules are equivalent or similar
to Rules of Professional Conduct applicable to chartered accountants in the
other provinces of Canada.</P>
<TABLE
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  <TR>
    <TD vAlign=top width="5%"><B>13.</B> </TD>
    <TD>
      <P align=justify><B>FORWARD &#150; LOOKING
STATEMENTS</B></P></TD></TR></TABLE>
<P align=justify>Certain statements included in this Annual Information Form
constitute &#147;forward-looking statements&#148; within the meaning of the U.S.
<I>Private Securities Litigation Reform Act of 1995 </I>and Canadian securities
legislation and regulations, and are subject to important risks, uncertainties
and assumptions. This 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 &#147;may&#148;, &#147;will&#148;, &#147;expect&#148;, &#147;intend&#148;,
&#147;estimate&#148;, &#147;project&#148;, &#147;assume&#148;, &#147;anticipate&#148;, &#147;plan&#148;, &#147;foresee&#148;, &#147;believe&#148; or
&#147;continue&#148; or the negatives of these terms or variations of them or similar
terminology. We refer you to the Company&#146;s filings with the Canadian securities regulatory
authorities and the U.S.
Securities and Exchange Commission, as well as the risks described under the
&#147;Financial Risk
Management&#148; and &#147;Risks and Uncertainties&#148; sections beginning on page 22 and page
33 of our 2012
Annual MD&amp;A, respectively, and the risks described under the &#147;Critical
Accounting Estimates and
Judgments&#148; section beginning on page 27 of our 2012 Annual MD&amp;A for a discussion
of the various
factors that may affect the Company&#146;s future results. Material factors and
assumptions that were applied
in drawing a conclusion or making a forecast or projection are also set out
throughout this document.</P>
<P align=center>24</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_27></A>
<P align=justify>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. Material factors, which could cause
actual results or events to differ materially from a conclusion, forecast or
projection in such forward-looking information, include, but are not limited
to:</P>
<UL style="TEXT-ALIGN: justify">
  <LI>our ability to implement our growth strategies and plans, including
  achieving market share gains, obtaining and successfully introducing new sales
  programs, implementing cost reduction initiatives and completing and
  successfully integrating acquisitions;
  <LI>the intensity of competitive activity and our ability to compete
  effectively;
  <LI>adverse changes in general economic and financial conditions globally or
  in one or more of the markets we serve;
  <LI>our reliance on a small number of significant customers;
  <LI>the fact that our customers do not commit contractually to minimum
  quantity purchases;
  <LI>our ability to anticipate changes in consumer preferences and trends;
  <LI>our ability to manage production and inventory levels effectively in
  relation to changes in customer demand;
  <LI>fluctuations and volatility in the price of raw materials used to
  manufacture our products, such as cotton and polyester fibres;
  <LI>our dependence on key suppliers and our ability to maintain an
  uninterrupted supply of raw materials and finished goods;
  <LI>the impact of climate, political, social and economic risks in the
  countries in which we operate or from which we source production;
  <LI>disruption to manufacturing and distribution activities due to such
  factors as operational issues, disruptions in transportation logistic
  functions, labour disruptions, political or social instability, bad weather,
  natural disasters, pandemics and other unforeseen adverse events;
  <LI>changes to international trade legislation that the Company is currently
  relying on in conducting its manufacturing operations or the application of
  safeguards thereunder;
  <LI>factors or circumstances that could increase our effective income tax
  rate, including the outcome of any tax audits or changes to applicable tax
  laws or treaties;
  <LI>compliance with applicable environmental, tax, trade, employment, health
  and safety, anti-corruption, privacy and other laws and regulations in the
  jurisdictions in which we operate;
  <LI>our significant reliance on computerized information systems for our
  business operations, including our JD Edwards Enterprise Resource Planning
  (ERP) system which is currently being upgraded to the latest system release,
  Enterprise One;
  <LI>changes in our relationship with our employees or changes to domestic and
  foreign employment laws and regulations;
  <LI>negative publicity as a result of violation of local labour laws or
  international labour standards, or unethical labour or other business
  practices by the Company or one of its third-party contractors;
  <LI>our dependence on key management and our ability to attract and/or retain
  key personnel;
  <LI>changes to and failure to comply with consumer product safety laws and
  regulations;
  <LI>adverse changes in third-party licensing arrangements and licensed brands;
  <LI>our ability to protect our intellectual property rights;
  <LI>changes in accounting policies and estimates;
  <LI>exposure to risks arising from financial instruments, including credit
  risk, liquidity risk, foreign currency risk and interest rate risk, as well as
  risks arising from commodity prices; and
  <LI>the adverse impact of any current or future legal and regulatory actions.  </LI></UL>
<P align=center>25</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_28></A>
<P align=justify>These factors may cause the Company&#146;s actual performance and
financial results in future periods to differ materially from any estimates or
projections of future performance or results expressed or implied by such
forward-looking statements. Forward-looking statements do not take into account
the effect that transactions or non-recurring or other special items announced
or occurring after the statements are made, may have on the Company&#146;s business.
For example, they do not include the effect of business dispositions,
acquisitions, other business transactions, asset write-downs, asset impairment
losses or other charges announced or occurring after forward-looking statements
are made. The financial impact of such transactions and non-recurring and other
special items can be complex and necessarily depends on the facts particular to
each of them. </P>
<P align=justify>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&#146;s expectations regarding the Company&#146;s future financial performance
  and may not be appropriate for other purposes. Furthermore, unless otherwise
  stated, the forward-looking statements contained in this report are made as of
  the date hereof, 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
  report are expressly qualified by this cautionary statement.</P>
<P align=center>26</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_29></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>14.</B> </TD>
    <TD>
      <P align=justify><B>ADDITIONAL INFORMATION</B></P></TD></TR></TABLE>
<P align=justify>Additional information, including directors&#146; and officers&#146;
remuneration and indebtedness, principal holders of the Company&#146;s securities and
securities authorized for issuance under the Company&#146;s equity compensation plans
is contained in the management proxy circular for its most recent annual meeting
of security holders that involve the election of directors. Additional financial
information is provided in the 2012 Financial Statements and the 2012 Annual
MD&amp;A for its most recently completed financial year, both of which are
incorporated herein by reference. Copies of these documents and additional
information relating to Gildan may be found on the SEDAR website at
www.sedar.com and the EDGAR website at www.sec.gov and may also be obtained upon
request to the Secretary of Gildan at the following address:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="90%" align=left>600 de Maisonneuve Boulevard West, 33<SUP>rd
      </SUP>Floor </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="90%" align=left>Montreal, Qu&#233;bec </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="90%" align=left>H3A 3J2 </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="90%" align=left>Telephone: (514) 735-2023 </TD></TR></TABLE>
<P align=justify>The documents mentioned above, as well as Gildan&#146;s news
releases, are also available on the Company&#146;s website at www.gildan.com.</P>
<P align=center>27</P>
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width="100%" noShade>
<!--$$/page=--><A name=page_30></A>
<P align=center><B>APPENDIX A - MANDATE OF THE AUDIT AND FINANCE COMMITTEE
</B></P>
<P align=justify>The following description of the mandate of the Audit and
Finance Committee of the Company complies with applicable Canadian laws and
regulations, such as the rules of the Canadian Securities Administrators, and
with the disclosure and listing requirements of the Toronto Stock Exchange
(collectively, the &#147;<B>Canadian Corporate Governance Standards</B>&#148;), as they
exist on the date hereof. In addition, this mandate complies with applicable
U.S. laws, such as the <I>Sarbanes-Oxley Act of 2002</I>, and rules and
regulations adopted thereunder, and with the New York Stock Exchange&#146;s corporate
governance standards (collectively, the &#147;<B>US Corporate Governance
Standards</B>&#148;), as they exist on the date hereof. The mandate of the Audit and
Finance Committee of the Company (the &#147;<B>Audit Committee</B>&#148;) shall be
reviewed annually by the Board in order to ensure on-going compliance with such
standards.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>1.</B> </TD>
    <TD colSpan=2>
      <P align=justify><B>Membership and Quorum</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>a minimum of three directors;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>only &#147;independent&#148; (as contemplated by Canadian Corporate
      Governance Standards and US Corporate Governance Standards) directors
      shall be appointed, the whole as determined by the Board; no affiliate of
      the Company or any of its subsidiaries (including any person who, directly
      or indirectly, controls or is controlled by, or is under common control
      with the Company, or any director, executive officer, partner, member,
      principal or designee of such affiliate) may serve on the Audit Committee;
      a member of the Audit Committee shall receive no compensation from the
      Company or any of its affiliates other than compensation as a director and
      committee member of the Company; prohibited compensation includes fees
      paid, directly or indirectly, for services as a consultant or as legal or
      financial advisor, regardless of the amount;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>each member must be &#147;financially literate&#148; (as
      contemplated by Canadian Corporate Governance Standards and US Corporate
      Governance Standards), as determined by the Board;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>at least one member must be an &#147;audit committee financial
      expert&#148; (as contemplated by US Corporate Governance Standards), as
      determined by the Board;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>members of the Audit Committee shall be appointed
      annually by the Board upon recommendation of the Company&#146;s Corporate
      Governance Committee; such members may be removed or replaced, and any
      vacancies on the Audit Committee shall be filled by the Board upon
      recommendation of the Company&#146;s Corporate Governance Committee; membership
      on the Audit Committee shall automatically end at such time the Board
      determines that a member ceases to be &#147;independent&#148; as determined in the
      manner set forth above;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>the chair of the Compensation and Human Resources
      committee of the Company is a member of the Audit Committee;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>quorum of majority of members.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  <TR>
    <TD vAlign=top width="5%"><B>2.</B> </TD>
    <TD colSpan=2>
      <P align=justify><B>Frequency and Timing of Meetings</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>normally contemporaneously with the Company&#146;s Board
      meetings;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>at least four times a year and as
  necessary.</P></TD></TR></TABLE>
<P align=center>28</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_31></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>3.</B> </TD>
    <TD>
      <P align=justify><B>Mandate</B></P></TD></TR></TABLE>
<P align=justify>The responsibilities of the Audit Committee include the
following:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">&nbsp;</TD>
    <TD vAlign=top width="5%"><I>(a)</I> </TD>
    <TD colSpan=2>
      <P align=justify><I>Overseeing financial reporting</I></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>monitoring the integrity and quality of the Company&#146;s
      accounting and financial reporting process, disclosure controls and
      procedures, and systems of internal control, through independent
      discussions with management, the external auditors and the internal
      auditors;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing, with management and the external auditors, the
      annual audited consolidated financial statements of the Company and
      accompanying information, including the report of the auditors thereon to
      be included in the Annual Report of the Company, the Company&#146;s MD&amp;A
      disclosure and annual earnings press release, prior to their release,
      filing and distribution;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing, with management and the external auditors,
      quarterly consolidated financial statements of the Company and
      accompanying information, including the Company&#146;s MD&amp;A disclosure and
      quarterly earnings press release, prior to their release, filing and
      distribution;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing, with management and, where appropriate the
      external auditors, the financial information contained in prospectuses,
      offering memoranda, Annual Information Forms, Management Proxy Circulars,
      Forms 6-K (including Supplemental Disclosure) and 40-F and any other
      document required to be disclosed or filed by the Company before their
      public disclosure or filing with regulatory authorities in Canada or the
      United States of America;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing, with management, the level and type of
      financial information (including earnings guidance and other material
      forward-looking information) provided from time to time to analysts,
      investors and other stakeholders;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing, with management, that adequate procedures are
      in place for the review of the Company&#146;s disclosure of financial
      information extracted or derived from the Company&#146;s financial statements,
      such as annual reports and investor presentations, and periodically
      assessing the adequacy of those procedures;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing, with the external auditors and management, the
      quality, appropriateness and disclosure of the Company&#146;s accounting
      principles and policies, underlying assumptions and reporting practices,
      and any proposed changes thereto;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing any analysis or other written communications
      prepared by management, the internal auditors or external auditors setting
      forth significant financial reporting issues and judgments made in
      connection with the preparation of the financial statements, including
      analyses of the effect of alternative generally accepted accounting
      principles methods;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing the external auditors&#146; quarterly review
      engagement report;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>overseeing the procedures to review management
      certifications filed with applicable securities regulators;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing the potential impact of any litigation, claim
      or other contingency and any regulatory or accounting initiatives that
      could have a material effect upon the financial position or operating
      results of the Company and the appropriateness of the disclosure thereof
      in the documents reviewed by the Audit Committee;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>overseeing the procedures to monitor the public
      disclosure of information by the Company;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing the Company&#146;s disclosure policy on a regular
      basis;</P></TD></TR></TABLE>
<P align=center>29</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
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<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing the results of the external audit, any
      significant problems encountered in performing the audit, and management's
      response and/or action plan related to any Management Letter issued by the
      external auditors and any significant recommendations contained
      therein.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><I>(b)</I> </TD>
    <TD colSpan=2>
      <P align=justify><I>Monitoring risk management and internal
      controls</I></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>receiving periodically management&#146;s report assessing the
      adequacy and effectiveness of the Company&#146;s disclosure controls and
      procedures;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>receiving periodically management&#146;s reports assessing the
      adequacy and effectiveness of the Company&#146;s systems of internal control
      over financial reporting; and reviewing the report of the auditors
      thereon;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing insurance coverage (annually and as may
      otherwise be appropriate);</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>overseeing the processes in place to identify business
      risks and opportunities and overseeing the implementation of processes to
      manage these risks and opportunities;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing the Company&#146;s policies and parameters regarding
      hedging activity and derivatives contracts entered into by management in
      order to address risks associated with foreign exchange fluctuations,
      commodity prices, interest rates and any other risks where the Company
      enters into derivatives contracts;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>assisting the Board with the oversight of the Company&#146;s
      compliance with, and reviewing the Company&#146;s processes for complying with,
      applicable legal and regulatory requirements;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>overseeing the confidential, anonymous procedures for the
      receipt, retention and treatment of complaints or concerns received by the
      Company regarding accounting, internal accounting controls or auditing
      matters or employee concerns regarding accounting or auditing
    matters;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>requesting the performance of any specific audit, as
      required.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><I>(c)</I> </TD>
    <TD colSpan=2>
      <P align=justify><I>Monitoring internal auditors</I></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>ensuring that the head of internal audit has a functional
      reporting relationship with the Audit Committee;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>overseeing the access by internal auditors to all levels
      of management in order to carry out their duties;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>regularly monitoring the internal audit function&#146;s
      performance, its responsibilities, staffing and budget;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>approving the appointment and termination of the
      Company&#146;s chief internal auditor;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>ensuring the ongoing accountability of the internal audit
      function to the Audit Committee and to the Board.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><I>(d)</I> </TD>
    <TD colSpan=2>
      <P align=justify><I>Monitoring external auditors</I></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD valign="top">
    <LI>&nbsp;</LI></TD>
    <TD valign="top">
      <P align=justify>recommending the retention and, if appropriate, the
      removal of external auditors (both subject to shareholder approval), their
      compensation, as well as evaluating and monitoring their qualifications,
      performance and independence;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%" valign="top">&nbsp;</TD>
  <TD valign="top">&nbsp;</TD>
  </TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD valign="top">
    <LI>&nbsp;</LI></TD>
    <TD valign="top">
      <P align=justify>overseeing all relationships between the external
      auditors and the Company including, determining which non-audit services
      the external auditors are prohibited from providing, approving, or
      pre-approving policies defining audit and permitted non-audit services
      provided by the external auditors, overseeing the disclosure of
      all audit and permitted non-audit services provided by the external
      auditors, and reviewing the total amount of fees paid by the Company to
  the external auditors for all audit and non-audit services;</P></TD></TR></TABLE>
<P align=center>30</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_33></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>overseeing the direct reporting and accountability of the
      external auditors to the Audit Committee and to the Board;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>directly overseeing the external auditors and discussing
      with them the quality and not just the acceptability of the Company&#146;s
      accounting principles, including (i) critical accounting policies and
      practices used, (ii) alternative treatments of financial information that
      have been discussed with management, the ramification of their use and the
      treatment preferred by the external auditors, as well as (iii) other
      material written communications between the Company and the external
      auditors (including any disagreement with management and the resolution
      thereof);</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing at least annually, representations by the
      external auditors describing their internal quality-control procedures, as
      well as significant results arising from regulatory and professional
      quality-control examinations;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing at least annually, the external auditors&#146;
      representations as to independence and holding discussions with the
      external auditors as to any relationship or services that may impact their
      objectivity or independence;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing hiring policies for employees or former
      employees of the Company&#146;s firm of external auditors;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>overseeing the rotation of lead, concurring and other
      audit partners, to the extent required by Canadian and U.S. securities law
      standards.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><I>(e)</I> </TD>
    <TD colSpan=2>
      <P align=justify><I>Reviewing financings</I></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>reviewing the adequacy of the Company&#146;s financing,
      including terms and conditions of all new material financing
      arrangements.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><I>(f)</I> </TD>
    <TD colSpan=2>
      <P align=justify><I>Evaluating the performance of the Audit
      Committee</I></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD>
      <P align=justify>overseeing the existence of processes to annually
      evaluate the performance of the Audit Committee.</P></TD></TR></TABLE>
<P align=justify>Because of the Audit Committee&#146;s demanding role and
responsibilities, the Board chair, together with the Corporate Governance
Committee chair, reviews any invitation to Audit Committee members to join the
audit committee of another publicly-listed entity. Where a member of the Audit
Committee simultaneously serves on the audit committee of more than three public
companies, including the Company, the Board determines whether such simultaneous
service impairs the ability of such member to effectively serve on the Audit
Committee and either requires a correction to the situation or discloses in the
Company&#146;s Management Proxy Circular that there is no such impairment.</P>
<P align=justify>As appropriate, the Audit Committee may obtain advice and
assistance from outside legal, accounting or other advisors and set and pay
their compensation, and so advise the Board chair and, if appropriate, the
external auditors; the Audit Committee makes arrangements for the appropriate
funding for payment of the external auditors and any advisors retained by it. In
addition, the Company will provide appropriate funding for the Audit Committee,
including the payment of all outside legal, accounting and other advisors
retained by the Audit Committee.</P>
<P align=justify>The internal auditors and the external auditors will have at
all times a direct line of communication with the Audit Committee. Furthermore,
each meets separately with the Audit Committee, without management, at least
once a quarter, during which the Company&#146;s financial statements and control
environment must be discussed. Furthermore, at least once a quarter, and more
frequently as required, the Audit Committee meets separately with management. Finally, at each
regularly-scheduled and special meeting, the Audit Committee meets without
management or any non-independent directors present.</P>
<P align=center>31</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_34></A>
<P align=justify>The Audit Committee reports annually to the Board on the
adequacy of its mandate. In addition, the chair of the Audit Committee reports
regularly to the Board on the business of the Audit Committee.</P>
<P align=justify>Nothing contained in the above mandate is intended to transfer
to the Audit Committee the Board&#146;s responsibility to ensure the Company&#146;s
compliance with applicable laws or regulations or to expand applicable standards
of liability under statutory or regulatory requirements for the directors or the
members of the Audit Committee. Even though the Audit Committee has a specific
mandate and its members may have financial experience, they do not have the
obligation to act as auditors or to perform auditing, or to determine that the
Company&#146;s financial statements are complete and accurate and are in accordance
with generally accepted accounting principles. Such matters are the
responsibility of management, the internal auditors and the external auditors.
Members of the Audit Committee are entitled to rely, absent knowledge to the
contrary, on (i) the integrity of the persons and organizations from whom they
receive information, (ii) the accuracy and completeness of the information
provided, and (iii) representations made by management as to the non-audit
services provided to the Company by the external auditors. The Audit Committee&#146;s
oversight responsibilities are not established to provide an independent basis
to determine that (i) management has maintained appropriate accounting and
financial reporting principles or appropriate internal controls and procedures,
or (ii) the Company&#146;s financial statements have been prepared and, if
applicable, audited in accordance with generally accepted accounting
principles.</P>
<P align=center>* * *</P>
<P align=center>32</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_3></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>A.</B> </TD>
    <TD>
      <P align=justify><B>Undertaking</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">&nbsp;Gildan Activewear Inc. (the
&#147;Registrant&#148;) undertakes to make available, in person or by telephone,
representatives to respond to inquiries made by the staff of the Securities and
Exchange Commission (&#147;SEC&#148;), and to furnish promptly, when requested to do so by
the SEC staff, information relating to the securities in relation to which the
obligation to file an annual report on Form 40-F arises or transactions in such
securities. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>B.</B> </TD>
    <TD>
      <P align=justify><B>Consent to Service of
Process</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">The Registrant has previously
filed with the SEC a written irrevocable consent and power of attorney on Form
F-X in connection with the Class A Subordinate Voting Shares (now Common
Shares). </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>C.</B> </TD>
    <TD>
      <P align=justify><B>Evaluation of disclosure controls and
      procedures</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">Our disclosure controls and
procedures (as such term is defined in the Securities Exchange Act of 1934 (the
&#147;Exchange Act&#148;), as amended, Rules 13a-15(e) and 15d-15(e)) are designed to
ensure that information required to be disclosed in our reports filed with the
SEC is recorded, processed, summarized and reported within the time periods
specified in the SEC&#146;s rules and forms and is accumulated and communicated to
our management, including our principal executive officer and our principal
financial officer, as appropriate, to allow timely decisions regarding required
disclosure. </P>
<P align=justify style="text-indent: 10%">An evaluation was carried out under the supervision of, and
with the participation of, our management, including our principal executive
officer and our principal financial officer, of the effectiveness of our
disclosure controls and procedures as of the end of the period covered by this
Annual Report on Form 40-F. For the year ended September 30, 2012, management&#146;s
evaluation of the effectiveness of our disclosure controls and procedures
excluded the disclosure controls and procedures of Anvil Holdings, Inc.
(&#147;Anvil&#148;), a subsidiary acquired by the Registrant in an acquisition consummated
on May 9, 2012 the results of which are included in the audited annual
consolidated financial statements of the Registrant for the year ended September
30, 2012, to the extent Anvil&#146;s disclosure controls and procedures are subsumed
by internal control over financial reporting. The consolidated results of the
Registrant for the year ended September 30, 2012 include net sales of $86.1
million and net earnings of $2.1 million relating to Anvil&#146;s results of
operations since the date of acquisition. Anvil accounted for approximately
$96.4 million of current assets, $26.1 million of non-current assets, $34.6
million of current liabilities and $5.1 million of non-current liabilities, in
the Registrant&#146;s audited consolidated statement of financial position as at
September 30, 2012. </P>
<P align=justify style="text-indent: 10%">Based on that evaluation, which
excluded Anvil&#146;s disclosure controls and procedures, our principal executive
officer and our principal financial officer concluded that our disclosure
controls and procedures were effective as of the end of such period. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>D.</B> </TD>
    <TD>
      <P align=justify><B>Management&#146;s annual report on internal control over
      financial reporting</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">Our management is responsible for
establishing and maintaining adequate internal control over financial reporting,
as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Exchange
Act.</P>
<P align=justify style="text-indent: 10%">Our internal control over
financial reporting includes those policies and procedures that: (1) pertain to
the maintenance of records that, in reasonable detail, accurately and fairly
reflect the transactions and dispositions of our assets; (2) provide reasonable
assurance that transactions are recorded as necessary to permit preparation of
financial statements in accordance with generally accepted accounting
principles, and that our receipts and expenditures are being made only in
accordance with authorizations of our management and directors; and (3) provide
reasonable assurance regarding prevention or timely detection of unauthorized
acquisition, use or disposition of our assets that could have a material effect
on the financial statements.</P>
<P align=justify style="text-indent: 10%">Under the supervision and with
the participation of our principal executive officer and our principal financial
officer, management conducted an evaluation of the effectiveness of our internal
control over financial reporting, as of September 30, 2012, based on the
framework set forth in<B> </B><I>Internal Control-Integrated Framework</I>
issued by the Committee of Sponsoring Organizations of the Treadway Commission
(COSO). For the year ended September 30, 2012, management&#146;s evaluation of
internal control over financial reporting excluded the internal control over
financial reporting of Anvil, a subsidiary acquired by the Registrant in an
acquisition consummated on May 9, 2012 the results of which are included in the
audited annual consolidated financial statements of the Registrant for the year
ended September 30, 2012. </P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_4></A>
<P align=justify style="text-indent: 10%">Based on that evaluation, which
excluded Anvil&#146;s internal control over financial reporting, our principal
executive officer and our principal financial officer concluded that our
internal control over financial reporting was effective as of that date. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>E.</B> </TD>
    <TD>
      <P align=justify><B>Attestation report of the registered public accounting
      firm.</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">KPMG LLP (&#147;KPMG&#148;), an independent
registered public accounting firm, that audited and reported on our financial
statements attached as Exhibit 99.2 to this Annual Report on Form 40-F, has
issued an attestation report on the effectiveness of our internal control over
financial reporting as of September 30, 2012. The attestation report is included
on page 47 of the financial statements attached as Exhibit 99.2 to this
Annual Report on Form 40-F. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>F.</B> </TD>
    <TD>
      <P align=justify><B>Changes in internal controls over financial
      reporting.</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">There have been no changes during
fiscal year 2012 in our internal control over financial reporting that have
materially affected, or are reasonably likely to materially affect, our internal
control over financial reporting. </P>
<P align=justify style="text-indent: 10%">The design of any system of
controls and procedures is based in part upon certain assumptions about the
likelihood of certain events. There can be no assurance that any design will
succeed in achieving its stated goals under all potential future conditions,
regardless of how remote. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>G.</B> </TD>
    <TD>
      <P align=justify><B>Audit Committee Financial
Experts</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">The Registrant&#146;s board of
directors has determined that it has at least four (4) audit committee financial
experts serving on its Audit and Finance Committee. Mr. William D. Anderson, Mr.
Russell Goodman, Mr. Pierre Robitaille, and Mr. Gonzalo F. Valdes-Fauli have
been determined to be such audit committee financial experts and are
independent, as that term is defined by the New York Stock Exchange&#146;s listing
standards applicable to the Registrant. The SEC has indicated that the
designation of Mr. Anderson, Mr. Goodman, Mr. Robitaille, and Mr. Valdes-Fauli
as audit committee financial experts does not make Mr. Anderson, Mr. Goodman,
Mr. Robitaille, and Mr. Valdes-Fauli &#147;experts&#148; for any purpose, impose any
duties, obligations or liability on Mr. Anderson, Mr. Goodman, Mr. Robitaille,
and Mr. Valdes-Fauli that are greater than those imposed on members of the Audit
and Finance Committee and Board of Directors who do not carry this designation
or affect the duties, obligations or liability of any other member of the Audit
and Finance Committee. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>H.</B> </TD>
    <TD>
      <P align=justify><B>Code of Ethics</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">The Registrant has adopted a Code
of Ethics and Code of Conduct (the &#147;Code of Ethics&#148;) that applies to all
employees and officers, including its principal executive officer, principal
financial officer and principal accounting officer. The Code of Ethics is
available at the Registrant&#146;s website,
<U>www.gildan.com/corporate/IR/corporateGovernance.cfm</U>, and is available,
without charge, in print to any shareholder who requests it. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>I.</B> </TD>
    <TD>
      <P align=justify><B>Principal Accountant Fees and
  Services</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">In addition to retaining KPMG to
report upon the annual consolidated financial statements of the Registrant, the
Registrant retained KPMG to provide various audit-related and non-audit services
in fiscal 2011. The aggregate fees billed for professional services by KPMG for
each of the last two (2) fiscal years, were as follows: </P>
<P style="MARGIN-LEFT: 5%" align=justify><I>Audit Fees</I> &#151; The aggregate audit
fees billed by KPMG were Cdn$2,106,000 for fiscal 2012 and Cdn$1,752,531 for
fiscal 2011. The services provided in exchange for these fees consisted of
professional services rendered for the annual audit of the Company&#146;s
consolidated financial statements and the quarterly reviews of the Company&#146;s
interim financial statements, consultation concerning financial reporting and
accounting standards, including assistance in preparing the Company for
compliance with the requirements of International Financial Reporting Standards,
and services provided in connection with statutory and regulatory filings or
engagements. The fees for the annual audit of the Company&#146;s consolidated
financial statements include fees relating to KPMG&#146;s audit of the effectiveness
of the Company&#146;s internal control over financial reporting. </P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
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<P style="MARGIN-LEFT: 5%" align=justify><I>Audit-Related Fees</I> &#151; The
aggregate audit-related fees billed by KPMG were Cdn$396,00 for fiscal 2012 and
Cdn$418,610 for fiscal 2011. The services provided in exchange for these fees
consisted of due diligence services relating to business acquisitions and also
translation services in both years. Such due diligence services related
primarily to financial accounting and internal control issues. </P>
<P style="MARGIN-LEFT: 5%" align=justify><I>Tax Fees</I> &#151; The aggregate tax
fees billed by KPMG were Cdn$642,000 for fiscal 2012 and Cdn$795,810 for fiscal
2011. The services provided in exchange for these fees consisted of tax
compliance, including the review of tax returns, assistance regarding income,
capital and sales tax audits, the preparation of annual transfer pricing
studies, and tax advisory services relating to domestic and international
taxation. </P>
<P style="MARGIN-LEFT: 5%" align=justify><I>All Other Fees</I> &#151; The aggregate
fees billed by KPMG for all other professional services rendered were nil for
both fiscal 2012 and fiscal 2011. </P>
<P align=justify style="text-indent: 10%">All fees billed to the Registrant
by KPMG in fiscal 2012 were pre-approved by the Registrant&#146;s Audit and Finance
Committee pursuant to the procedures and policies set forth in the Audit and
Finance Committee mandate and pursuant to applicable legislation. The mandate of
the Audit and Finance Committee is available on the Registrant&#146;s Internet
website at <U>www.gildan.com/corporate/IR/corporateGovernance.cfm</U>.</P>
<P align=justify style="text-indent: 10%">In fiscal 2012 and fiscal 2011,
the Company&#146;s Audit and Finance Committee did not approve any audit-related, tax
or other services pursuant to paragraph (c) (7) (i) (C) of Rule 2-01 of
Regulation S-X. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>J.</B> </TD>
    <TD>
      <P align=justify><B>Off-Balance Sheet
Arrangements</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%"><I>Operating Leases and Commitments
</I></P>
<P align=justify style="text-indent: 10%">The Registrant has no commitments
that are not reflected in its balance sheets except for operating leases and
other purchase obligations, which are included in the table of contractual
obligations on page 25 of its Management&#146;s Discussion and Analysis (see
Exhibit 99.1) (the &#147;MD&amp;A&#148;). As disclosed in Note 25(c) to the Registrant&#146;s
Consolidated Financial Statements (see Exhibit 99.2), the Registrant has issued
corporate guarantees, irrevocable standby letters of credit and surety bonds
primarily from various servicing agreements amounting to $16.5 million at
September 30, 2012. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>K.</B> </TD>
    <TD>
      <P align=justify><B>Tabular Disclosure of Contractual
    Obligations</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">See page 25 of Exhibit 99.1. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>L.</B> </TD>
    <TD>
      <P align=justify><B>Corporate Governance
Guidelines</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">The Registrant has adopted
Corporate Governance Guidelines as well as mandates for its board of directors
and each of its three committees which are available at the Registrant&#146;s
Internet website, <U>www.gildan.com/corporate/IR/corporateGovernance.cfm</U>,
and are available in print to any shareholder who requests them. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>M.</B> </TD>
    <TD>
      <P align=justify><B>Identification of the Audit
  Committee</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">The Registrant has a standing audit committee
established in accordance with Section 3 (a) (58) (A) of the Exchange Act. The
members of the Registrant&#146;s Audit and Finance Committee are Mr. Russell Goodman,
Mr. William D. Anderson, Mr. Pierre Robitaille, Mr. Richard P. Strubel and Mr.
Gonzalo F. Valdez-Fauli. Please refer to the section 8 of our Annual Information
Form entitled &#147;Audit and Finance Committee Disclosure&#148;, included herein, for
additional information.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>N.</B> </TD>
    <TD>
      <P align=justify><B>Summary of Significant Differences from NYSE Corporate
      Governance Rules</B></P></TD></TR></TABLE>
<P align=justify style="text-indent: 10%">The Registrant is committed to
adopting and adhering to corporate governance practices that either meet or
exceed applicable Canadian and U.S. corporate governance standards. As a
Canadian reporting issuer with securities listed on the Toronto Stock Exchange
(TSX) and the New York Stock Exchange (NYSE), the Registrant complies with all
applicable rules adopted by the Canadian Securities Administrators as well as
the rules of the U.S. Securities and Exchange Commission giving effect to the
provisions of the U.S. Sarbanes-Oxley Act of 2002. </P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
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<P align=justify style="text-indent: 10%">Although many of the NYSE
Corporate Governance Standards do not apply to the Registrant, it nevertheless
voluntarily complies with most of the NYSE Standards. In fact, the Registrant&#146;s
corporate governance practices differ significantly in only one respect from
those required of U.S. domestic issuers under the NYSE Standards, which is with
respect to the approval of equity compensation plans. The NYSE Standards require
shareholder approval of all equity compensation plans and material revisions to
such plans, regardless of whether the securities to be delivered under such
plans are newly issued or purchased on the open market, subject to a few limited
exceptions. The TSX Rules, however, do not require shareholder approval in all
those circumstances. Hence, only the creation or material amendments to equity
compensation plans that provide for new issuances of securities are subject to
shareholder approval. The Registrant has in place plans which did not require
the approval of its shareholders under the TSX Rules but which could have
required the approval of its shareholders under the NYSE Standards as applicable
to U.S. domestic issuers. </P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
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<P align=center><B>SIGNATURES </B></P>
<P align=justify style="text-indent: 10%">Pursuant to the requirements of
the Exchange Act, the Registrant certifies that it meets all of the requirements
for filing on Form 40-F and has duly caused this annual report to be signed on
its behalf by the undersigned, thereto duly authorized. </P>
<P align=justify>DATED: December 7, 2012 </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="48%" colSpan=2 align=left><B>GILDAN ACTIVEWEAR INC.</B> </TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="5%" >&nbsp; </TD>
    <TD width="43%">&nbsp; </TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="5%" >&nbsp; </TD>
    <TD width="43%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="48%" colSpan=2
    align=left>/s/ <I>Lindsay Matthews</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="5%" align=left >Name: </TD>
    <TD width="43%" align=left>Lindsay Matthews </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="5%" align=left >Title: </TD>
    <TD width="43%" align=left>Vice-President, General Counsel and Corporate
    </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="5%" align=left >&nbsp; </TD>
    <TD width="43%" align=left>Secretary </TD></TR></TABLE><BR>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
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<P align=center><B>EXHIBIT INDEX </B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=center ><B><U>Exhibit No.</U></B> </TD>
    <TD width="90%" align=center><B><U>Description</U></B> </TD></TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="90%">&nbsp; </TD></TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="90%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=center ><a href="exhibit99-1.htm">99.1 </a> </TD>
    <TD bgColor=#eeeeee width="90%" align=left><a href="exhibit99-1.htm">Management&#146;s Discussion and
      Analysis of the Registrant for the year ended September 30, 2012 </a> </TD></TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="90%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=center ><a href="exhibit99-2.htm">99.2 </a> </TD>
    <TD bgColor=#eeeeee width="90%" align=left><a href="exhibit99-2.htm">Audited comparative
      consolidated financial statements of the Registrant as at and for the year
      ended September 30, 2012 </a> </TD></TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="90%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=center ><a href="exhibit99-3.htm">99.3 </a> </TD>
    <TD bgColor=#eeeeee width="90%" align=left><a href="exhibit99-3.htm">Consent of KPMG LLP
    </a> </TD></TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="90%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=center ><a href="exhibit99-4.htm">99.4 </a> </TD>
    <TD bgColor=#eeeeee width="90%" align=left><a href="exhibit99-4.htm">Officers&#146; Certifications
      Required by Rule 13a-14(a) or Rule 15d-14(a) </a> </TD></TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="90%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=center ><a href="exhibit99-5.htm">99.5 </a> </TD>
    <TD bgColor=#eeeeee width="90%" align=left><a href="exhibit99-5.htm">Officers&#146; Certifications
      Required by Rule 13a-14(b) or Rule 15d-14(b) and Section 1350 of Chapter
      63 of Title 18 of the United States Code </a> </TD></TR></TABLE><BR>
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</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>exhibit99-1.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
<HTML>
<HEAD>
   <TITLE>Gildan Activewear Inc.: Exhibit 99.1 - Filed by newsfilecorp.com</TITLE>
</HEAD>

<BODY style="font-size:10pt;">

<HR noshade align="center" width=100% size=3 color="black">
<A name=page_1></A>
<P align=right><b>Exhibit 99.1</b></P>
<P align=right><IMG border=0 src="exhibit99-1x1x1.jpg" width="370" height="81"> </P>
<P align=right><b><FONT color=#000080 size="5">2012</FONT></b></P>
<P align=right><b><FONT color=#000080 size="5">REPORT TO </FONT></b></P>
<P align=right><b><FONT color=#000080 size="5">SHAREHOLDERS</FONT></b></P>
<P align=right><FONT color=#000080 size="4">December 7,
2012</FONT></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><B>MD&amp;A: </B></TD>
    <TD bgColor=#eeeeee width="15%" align=left nowrap>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap><A href="#page_2">OUR BUSINESS </A></TD>
    <TD width="15%" align=right nowrap><A href="#page_2">2 </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_6">STRATEGY AND OBJECTIVES
      </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_6">6 </A></TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap><A href="#page_9">OPERATING RESULTS </A></TD>
    <TD width="15%" align=right nowrap><A href="#page_9">9 </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_15">SUMMARY OF QUARTERLY
      RESULTS </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_15">15
  </A></TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap><A href="#page_18">FINANCIAL CONDITION </A></TD>
    <TD width="15%" align=right nowrap><A href="#page_18">18 </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_19">CASH FLOWS </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_19">19
  </A></TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap><A href="#page_20">LIQUIDITY AND CAPITAL RESOURCES </A></TD>
    <TD width="15%" align=right nowrap><A href="#page_20">20 </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_22">LEGAL PROCEEDINGS
    </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_22">22
  </A></TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap><A href="#page_22">OUTLOOK </A></TD>
    <TD width="15%" align=right nowrap><A href="#page_22">22 </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_22">FINANCIAL RISK
      MANAGEMENT </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_22">22
  </A></TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap><A href="#page_27">CRITICAL ACCOUNTING ESTIMATES AND
      JUDGMENTS </A></TD>
    <TD width="15%" align=right nowrap><A href="#page_27">27 </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_29">ACCOUNTING POLICIES AND
      NEW ACCOUNTING STANDARDS NOT YET APPLIED </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_29">29
  </A></TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap><A href="#page_31">RELATED PARTY TRANSACTIONS </A></TD>
    <TD width="15%" align=right nowrap><A href="#page_31">31 </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_31">DISCLOSURE CONTROLS AND
      PROCEDURES </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_31">31
  </A></TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap><A href="#page_32">INTERNAL CONTROL OVER FINANCIAL
      REPORTING </A></TD>
    <TD width="15%" align=right nowrap><A href="#page_32">32 </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_33">RISKS AND UNCERTAINTIES
      </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_33">33
  </A></TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap><A href="#page_41">DEFINITION AND RECONCILIATION OF
      NON-GAAP MEASURES </A></TD>
    <TD width="15%" align=right nowrap><A href="#page_41">41 </A></TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_43">CAUTION REGARDING
      FORWARD-LOOKING STATEMENTS </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_43">43
  </A></TD></TR>
  <TR>
    <TD nowrap>&nbsp; </TD>
    <TD width="15%" nowrap>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_45">MANAGEMENT'S
      RESPONSIBILITY FOR FINANCIAL REPORTING </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_45">45
  </A></TD></TR>
  <TR>
    <TD nowrap>&nbsp; </TD>
    <TD width="15%" nowrap>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_46">AUDITED CONSOLIDATED
      FINANCIAL STATEMENTS </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_46">46
  </A></TD></TR>
  <TR>
    <TD nowrap>&nbsp; </TD>
    <TD width="15%" nowrap>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#eeeeee align=right nowrap><A href="#page_52">NOTES TO AUDITED
      CONSOLIDATED FINANCIAL STATEMENTS </A></TD>
    <TD bgColor=#eeeeee width="15%" align=right nowrap><A href="#page_52">52
  </A></TD></TR></TABLE><BR>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
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<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>This Management&#146;s Discussion and Analysis (MD&amp;A) comments
on Gildan&#146;s operations, performance and financial condition as at and for the
years ended September 30, 2012 and October 2, 2011, compared to the preceding
years. For a complete understanding of our business environment, trends, risks
and uncertainties and the effect of accounting estimates on our results of
operations and financial condition, this annual MD&amp;A should be read together
with the 2012 audited annual consolidated financial statements and the related
notes. This annual MD&amp;A is dated December 7, 2012. All amounts in this
report are in U.S. dollars, unless otherwise noted. </P>
<P align=justify><B>International Financial Reporting Standards (IFRS)<br>
</B>This is the Company&#146;s first annual report under IFRS as issued
by the International Accounting Standards Board (IASB) and should be read in
conjunction with our audited annual consolidated financial statements for the
year ended September 30, 2012. For periods beginning after October 2, 2011, the
Company has adopted IFRS for the preparation of its consolidated financial
statements and has applied IFRS 1, <I>First-time adoption of IFRS</I>. The
comparative figures for the fiscal year ended October 2, 2011, have been recast
to comply with IFRS. Prior to October 2, 2011, the Company prepared its
consolidated financial statements in accordance with previous Canadian GAAP. See
note 29 to the 2012 audited annual consolidated financial statements for details
on the reconciliations of the Company&#146;s financial statements from previous
Canadian GAAP to IFRS. </P>
<P align=justify>All financial information contained in this annual MD&amp;A and
in the audited annual consolidated financial statements has been prepared in
accordance with International Financial Reporting Standards (IFRS), except for
information pertaining to periods prior to fiscal 2011 and certain information
discussed in the paragraph entitled &#147;Definition and Reconciliation of Non-GAAP
Measures&#148; in this annual MD&amp;A. The audited annual consolidated financial
statements and this MD&amp;A were reviewed by Gildan&#146;s Audit and Finance
Committee and were approved by our Board of Directors.</P>
<P align=justify>Additional information about Gildan, including our 2012 Annual
Information Form, is available on our website at www.gildan.com, on the SEDAR
website at www.sedar.com, and on the EDGAR section of the U.S. Securities and
Exchange Commission website (which includes the Annual Report on Form 40-F) at
www.sec.gov.</P>
<P align=justify>This document contains forward-looking statements, which are
qualified by reference to, and should be read together with, the &#147;Caution
Regarding Forward-Looking Statements&#148; notice on page 43.</P>
<P align=justify>In this annual MD&amp;A, &#147;Gildan&#148;, the &#147;Company&#148;, or the words
&#147;we&#148;, &#147;us&#148;, &#147;our&#148; refer, depending on the context, either to Gildan Activewear
Inc. or to Gildan Activewear Inc. together with its subsidiaries.</P>
<P align=justify><B><font size="3">OUR BUSINESS</font> </B></P>
<P align=justify><B>OVERVIEW</B></P>
<P align=justify>Gildan is a marketer and globally low-cost
vertically-integrated manufacturer of quality branded basic family apparel. We
market our products under a portfolio of company-owned brands, including the
Gildan&#174;, Gold Toe&#174; and Anvil&#174; brands and brand extensions, as well as under
licensing arrangements for the Under Armour&#174; and New Balance&#174; brands. We design,
manufacture and source basic products characterized by low-fashion risk and
frequent replenishment, such as T-shirts, fleece, sport shirts, socks and
underwear, the majority of which are made of cotton and synthetic fibres. We
sell our products to customers requiring an efficient supply chain and
consistent product quality for high-volume continuous replenishment programs in
the North American and international printwear markets and to U.S. retailers.
Gildan<SUP>&#174; </SUP>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. In the U.S. retail market,
we are one of the largest suppliers of athletic, casual and dress socks sold to
a broad spectrum of retailers and are pursuing a strategy to become a major
supplier of basic branded activewear and underwear for this market. In addition
to supplying retailers, Gildan also manufactures select activewear programs for
leading global consumer brands. With over 30,000 employees worldwide, Gildan
owns and operates highly </P>
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<P align=justify>efficient, large-scale, environmentally and socially
responsible manufacturing facilities in Central America and the Caribbean Basin
and also owns and operates a facility in Bangladesh to support its sales in Asia
and Europe.</P>
<P align=justify><B>OUR OPERATING SEGMENTS</B></P>
<P align=justify>As of fiscal 2012, the Company began managing and reporting its
business as two operating segments, Printwear and Branded Apparel, each of which
is a reportable segment for financial reporting purposes. Each segment has its
own management that is accountable and responsible for the segment&#146;s operations,
results and financial performance. These segments are principally organized by
the major customer markets they serve. The following summary describes the
operations of each of the Company&#146;s operating segments:</P>
<P align=justify><B>Printwear segment<BR></B>The Printwear segment,
headquartered in Christ Church, Barbados, designs, manufactures, sources and distributes
undecorated activewear products in large quantities primarily to wholesale
distributors in printwear markets in over 30 countries across North America,
Europe and the Asia-Pacific region. The products sold through our Printwear
segment consist mainly of undecorated or &#147;blank&#148; T-shirts, fleece and sport
shirts marketed primarily under our Gildan&#174; brand. More recently, following the
acquisition of Anvil Holdings, Inc. (Anvil) on May 9, 2012, the Anvil&#174; brand and
brand extensions were added to our brand portfolio. In addition, during fiscal
2012, we reached an agreement to license the New Balance&#174; brand for performance
activewear products in the printwear distributor channel in the U.S. and Canada.
Wholesale distributors buy our products and subsequently sell to screenprinters
and embroiderers who decorate the products with designs and logos.
Screenprinters and embroiderers then sell the imprinted activewear to a highly
diversified range of end-use markets, including educational institutions,
athletic dealers, event merchandisers, promotional product distributors, charity
organizations, entertainment promoters, travel and tourism venues and retailers.
Our activewear products are used in a variety of daily activities by
individuals, including work and school uniforms and athletic team wear, and for
various other purposes to convey individual, group and team identity. </P>
<P align=justify><B>Branded Apparel segment<BR>
</B>The Branded Apparel segment,
headquartered in Charleston, South Carolina, designs, manufactures, sources, and
distributes branded family apparel, which includes socks, underwear and
activewear products, primarily to U.S. retailers. Currently, the majority of our
Branded Apparel segment sales consist of a variety of styles of socks, sold
primarily under various company-owned and licensed brands, as well as select
national retailers&#146; brands. We are now pursuing a strategy to grow our sales of
underwear and activewear products in the U.S. retail market as we add new
production capacity. We are increasingly focused on developing the Gildan brand
within the retail channel. In fiscal 2011, the acquisition of Gold Toe Moretz
Holdings Corp. (Gold Toe Moretz), a leading supplier of high-quality branded
athletic, casual and dress socks for U.S. retailers, allowed us to significantly
expand our brand portfolio to include the core Gold Toe&#174; brand, which has high
consumer brand recognition in national chains, department stores, and price
clubs; the SilverToe&#174; brand sold to a national chain; the GT&#174; brand which we
believe has further potential for development in the mass-market; the PowerSox&#174;
athletic performance brand which is  distributed mainly through sports specialty
retailers and national chains; the Auro&#174; brand for the mass-market; and All
Pro&#174;, an athletic sock brand for the mass-market. We also have contractual
licensing relationships with Under Armour&#174; and New Balance&#174; as the exclusive
U.S. sock licensee for these brands. Furthermore, with the acquisition of Anvil,
the Branded Apparel segment now also includes the manufacture and distribution
of activewear products for leading consumer brands, including major sportswear
and family entertainment brands.</P>
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<P align=justify><B>OUR OPERATIONS</B></P>
<P align=justify><B>Manufacturing operations<BR></B>We have developed a
significant manufacturing infrastructure in two main hubs in Central America and
the Caribbean Basin, where we have built modern textile and sock manufacturing
facilities and have established sewing operations. In addition, we own a small
vertically-integrated manufacturing facility for the production of activewear in
Bangladesh which mainly serves our international markets. </P>
<P align=justify><I><U>Central American manufacturing hub </U><BR></I>Our
largest manufacturing hub is based in Honduras and includes three large-scale
vertically-integrated textile facilities for the production of activewear and
underwear, Rio Nance 1, Rio Nance 2 and Rio Nance 5. Our newest and largest
facility, Rio Nance 5 commenced operations at the end of fiscal 2011 and
continued to ramp-up production during fiscal 2012. Rio Nance 5 is expected to
be the most cost efficient of our manufacturing facilities once it is fully
ramped-up. While accelerating the production ramp-up of Rio Nance 5, we
suspended production at the Rio Nance 1 facility temporarily in order to modernize and refurbish the facility
and improve the facility&#146;s
cost efficiency. The textiles produced at the Rio Nance complex are sewn in our
sewing facilities in Honduras and Nicaragua. At the same complex, we have also
constructed and operate two large-scale, integrated sock manufacturing
facilities, Rio Nance 3 and Rio Nance 4. Rio Nance 4 began production during
fiscal 2010 and is expected to support future sales growth in the sock category
in addition to supporting production for a portion of our sock product-line
previously sourced from third-party contractors, in order to reduce our sock
manufacturing costs. In addition, during fiscal 2012, we acquired a small
textile facility in Honduras and sewing facilities in Honduras and Nicaragua
through the acquisition of Anvil.</P>
<P align=justify><I><U>Caribbean Basin manufacturing hub </U><BR></I>Our
Caribbean Basin manufacturing hub includes a vertically-integrated textile
facility for the production of activewear fabric in Bella Vista, Dominican
Republic. Textiles produced at our manufacturing facility in the Dominican
Republic are sewn at third-party contractor operations in Haiti and at our
sewing facility in the Dominican Republic. </P>
<P align=justify>While we internally produce the majority of the products we
sell, we also have sourcing capabilities to complement Gildan&#146;s large scale,
vertically-integrated manufacturing. </P>
<P align=justify><B>Yarn-spinning<BR></B>We satisfy our yarn requirements
primarily by sourcing in the U.S. from third-party yarn suppliers with which we
have supply agreements, as well as from our own yarn-spinning facilities in the
U.S. previously owned by a joint venture, CanAm Yarns, LLC (CanAm). During the
first quarter of fiscal 2013, CanAm became a wholly-owned subsidiary, following
our acquisition of the remaining 50% interest. The Company is currently planning
to modernize and expand the two CanAm yarn-spinning facilities and is also
planning a new yarn-spinning facility in the U.S. for the production of
ring-spun yarn which will be utilized as part of the Company&#146;s branded product
offering in the Branded Apparel segment. </P>
<P align=justify><B>Sales, marketing and distribution <BR></B>Our sales and
marketing offices are responsible for customer-related functions, including
sales management, marketing, customer service, credit management, sales
forecasting and production planning, and inventory control and logistics for
each of their respective operating segments.</P>
<P align=justify><I><U>Printwear segment<BR></U></I>Our sales and marketing
office servicing our global printwear markets is located in Christ Church,
Barbados. Following the acquisition of Anvil during fiscal 2012, Anvil&#146;s U.S.
and international distributor sales infrastructure was consolidated and
integrated into our operations in Barbados. We distribute our activewear
products for the printwear markets primarily out of our main distribution centre
in Eden, North Carolina. We also use third-party warehouses in the western
United States, Canada, Mexico, Europe and Asia to service our customers in these
markets.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.4</P>
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<P align=justify><I><U>Branded Apparel segment<BR></U></I>Our primary sales and
marketing office for our Branded Apparel segment is located in Charleston, South
Carolina at the same location as our primary distribution centre servicing our
retail customers. In addition, we also service retail customers from smaller
distribution centres in North Carolina and South Carolina. We also operate 32
Gold Toe retail stores located in outlet malls throughout the United States.
</P>
<P align=justify><B>Employees and corporate office <BR></B>We currently employ
over 30,000 full-time employees worldwide. Our corporate head office is located
in Montreal, Canada.</P>
<P align=justify><B>COMPETITIVE ENVIRONMENT</B></P>
<P align=justify>The market for our products is highly competitive and is served
by domestic and international manufacturers or suppliers. Competition is
generally based upon price, with reliable quality and service also being
critical requirements for success. Consumer brand recognition and appeal are
also factors in the retail market. Our competitive strengths include our
expertise in building and operating large-scale, vertically-integrated,
strategically-located manufacturing hubs. Our capital investments in
manufacturing allow us to operate efficiently and reduce costs, offer
competitive pricing, consistent product quality, and a reliable supply chain,
which efficiently services replenishment programs with short production/delivery
cycle times. Continued innovations in our manufacturing processes have also
allowed us to deliver enhanced product features, further improving the value
proposition of our product offering to our customers. We have enhanced our
consumer brand portfolio with the addition of the Gold Toe&#174; brand and brand
extensions and the Under Armour&#174; and New Balance&#174; licensed brands. The Company
is focused on further developing its brands and is making a significant
investment in advertising in support of further enhancement of its Gildan&#174; and
Gold Toe&#174; brands. Our commitment to pursuing leading environmental and social
responsibility practices is also an increasingly important factor for our
customers.</P>
<P align=justify><I><U>Printwear segment<BR></U></I>Our primary competitors in
North America include major apparel manufacturers such as Fruit of the Loom,
Inc. (Fruit of the Loom) and Russell Corporation (Russell), both subsidiaries of
Berkshire Hathaway Inc. (Berkshire), Hanesbrands Inc., and smaller U.S.-based
manufacturers, including Alstyle Apparel, a division of Ennis Corp., Delta
Apparel Inc., as well as Central American and Mexican manufacturers. Competitors
in the European printwear market include Fruit of the Loom and Russell, as well
as competitors that do not have integrated manufacturing operations and source
products from suppliers in Asia. </P>
<P align=justify><I><U>Branded Apparel segment<BR></U></I>In the retail channel
we compete primarily with Hanesbrands Inc. and Berkshire&#146;s subsidiaries, Fruit
of the Loom and Russell. In addition, our company-owned and licensed sock brands
compete with companies such as Renfro Corporation, which manufactures and sources
socks for owned and licensed brands, as well as brands from well-established
U.S. fashion apparel and sportswear companies, which primarily source their
products from Asia.</P>
<P align=justify><B>ECONOMIC ENVIRONMENT AND BUSINESS OUTLOOK</B></P>
<P align=justify>Demand in the U.S. distributor channel, the largest market for
our Printwear segment, began to recover in the second quarter of fiscal 2012,
after selling prices were reduced to reflect lower cotton costs, and has
continued on a positive trend. However, there can be no assurance that improved
demand trends will be maintained or will continue. For our Branded Apparel
segment, weak macroeconomic conditions during fiscal 2012 affected the retail
market resulting in retailers carefully managing inventory levels during the
year. While we anticipate sales growth in our Branded Apparel segment for fiscal
2013, which is expected to result from having secured new Gildan&#174; branded
programs in fiscal 2012 and early in fiscal 2013, it is difficult to assess the
health of consumer demand in the market going forward. Growth in the U.S. has
been slow and uncertainty about the economy remains, which could negatively
affect consumer sentiment and spending.</P>
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<P align=justify>The unprecedented volatility in the cost of cotton in fiscal
2011, which saw cotton prices reach historic highs in the first half of the year
followed by an equally rapid and steep reversal in the second half of fiscal
2011, hurt overall profitability in the apparel industry in the first half of
fiscal 2012. Activewear margins in the first half of fiscal 2012 for our
Printwear segment were significantly negatively affected by the consumption of
inventory produced in fiscal 2011 with high cost cotton. In addition, the
Company&#146;s net loss reported in the first quarter of fiscal 2012 was impacted by
significant inventory destocking by U.S. distributors in anticipation of selling
price reductions from suppliers. In the first quarter of fiscal 2012, we reduced
our selling prices in the U.S. distributor channel. We believe that lower
selling prices helped stimulate the recovery in demand in the U.S. distributor
channel in fiscal 2012 and reinforced our industry leading position in this
market. Similarly, in the first half of fiscal 2012, the Branded Apparel segment
was also affected by the consumption of inventory produced with high cost
cotton.</P>
<P align=justify>We anticipate results in fiscal 2013 will benefit from the
consumption of inventory produced with lower year over year cotton costs based
on our current cotton commitments and assuming current levels of cotton futures
prices for the portion of our cotton commitments that have not been fixed at
this time. However, inflation in labour and electricity and other input costs in
fiscal 2013 are expected to offset in part the benefit of lower cotton costs.
For fiscal 2013, the Company is assuming lower selling prices and increased
promotional discounting for its Printwear segment. There can be no assurance
that selling prices in fiscal 2013 will not come under more pressure than the
level of pricing assumed by the Company, as a result of deteriorating market
conditions, increased competitive promotional activity or a further decline in
cotton futures prices. In the Branded Apparel segment, Gildan has maintained
selling prices during fiscal 2012 after having implemented price increases
mainly towards the end of fiscal 2011, as Gildan&#146;s selling price increases to
retailers at that time did not reflect the full pass-through of high-cost
cotton. There can be no assurance that selling prices in the retail market will
remain stable during fiscal 2013.</P>
<P align=justify>A discussion of management&#146;s expectations as to our outlook for
fiscal 2013 is contained in our fourth quarter earnings results press release
dated November 29, 2012 under the sections entitled &#147;Fiscal 2013 Guidance&#148; and
&#147;Fiscal 2013 Cash Flow&#148;.</P>
<P align=justify><B><font size="3">STRATEGY AND OBJECTIVES</font> </B></P>
<P align=justify>Our growth strategy comprises the following initiatives: </P>
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    <TD align=left ><B>1.</B> </TD>
    <TD width="95%" align=left><B>Maximize printwear market penetration and
      opportunities</B> </TD></TR>
  <TR vAlign=top>
    <TD align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>While we have achieved a leadership position in the U.S.
      and Canadian printwear market, particularly in the U.S. wholesale
      distributor market, we continue to pursue additional growth opportunities
      to increase our penetration in the North American and international
      printwear markets as we expand our production capacity and introduce new
      products for these markets. </P></TD></TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="95%">
      <P align=justify> </P></TD></TR>
  <TR vAlign=top>
    <TD align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>During fiscal 2012, we began the ramp-up of our newest
      textile facility, Rio Nance 5. During the production ramp-up of Rio Nance
      5, we suspended production temporarily at our most mature facility, Rio
      Nance 1, in order to modernize and refurbish the facility and improve its
      cost efficiency. Rio Nance 1 is expected to be available to resume
      operations in the second half of fiscal 2013 and production at the
      facility will be ramped-up as required. The addition of Rio Nance 5 and
      the resumption of production at Rio Nance 1 are expected to support our
      capacity requirements for our planned growth over the next few years.
    </P></TD></TR>
  <TR>
    <TD >&nbsp; </TD>
    <TD width="95%">
      <P align=justify> </P></TD></TR>
  <TR vAlign=top>
    <TD align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>In the third quarter of fiscal 2012, we acquired Anvil,
      as described under the heading entitled &#147;Business Acquisitions&#148; in the
      Operating Results section. The acquisition of Anvil further enhances the
      Company&#146;s leadership position in the U.S. printwear market. We believe the
      Anvil&#174; brand positioning is complementary to the Gildan&#174; brand. Anvil has
      positioned itself as a supplier of niche products within the U.S.
      distributor channel, including products such as Anvilorganic&#174;,
      Anvilrecycled&#174; and Anvilsustainable&#174;. We believe we have an opportunity to
      further grow our sales in the U.S. printwear market and increase our
      combined market share. </P></TD></TR></TABLE>
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  </TD></TR></TABLE><BR>
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    <TD>
      <P align=justify>The introduction of new products such as softer T-shirts
      and sport shirts, new styles tailored for women, a product-line with
      tear-away labels, performance products, enhanced sport shirts offerings
      and work wear assortments could enable us to further increase our market
      share penetration by servicing certain niches of the printwear market in
      which we previously did not participate. Recent product initiatives
      include our upcoming introduction of a New Balance&#174; sports performance
      line for activewear products in the printwear distributor channel in the
      U.S. and Canada. This initiative represents an expansion of our licensing
      relationship with New Balance&#174; for which the Company is the exclusive U.S.
      sock licensee. Additionally, in fiscal 2013 we will be introducing a basic
      performance activewear product-line under the Gildan Performance&#174; brand.
      Through innovations in our manufacturing process, our Gildan Performance&#174;
      line will have advanced features in moisture management, such as our
      Aquafx&#174; technology delivering premium wicking and evaporation properties,
      as well as our Freshcare&#174; anti-microbial properties incorporated into the
      textile production process to ensure long-lasting performance.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>We also intend to continue to expand our presence in
      targeted international printwear markets which currently represent less
      than 10% of the Company&#146;s consolidated sales. During fiscal 2012, our unit
      sales from international markets increased approximately 30% compared to
      fiscal 2011.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>2.</B> </TD>
    <TD>
      <P align=justify><B>Continue penetration of retail market as a full-line
      supplier of branded family apparel</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>We intend to continue to leverage our existing core
      competencies, successful business model and competitive strengths to
      further grow our sales to U.S. retailers. As in the printwear market,
      success factors in penetrating the retail channel include consistent
      quality, competitive pricing and fast and flexible replenishment, together
      with a commitment to corporate social responsibility and environmental
      sustainability. We sell our products in the retail channel under the
      Gildan&#174; and Gold Toe&#174; brands and related brand extensions, as well as
      under licensing agreements for the Under Armour&#174; and New Balance&#174; brands.
      We are a leading supplier of socks in the U.S. mass-market retail channel.
      We are increasingly focusing on the steady development of our
      company-owned and exclusively licensed brands to retailers. We intend to
      leverage our current distribution with retailers, our manufacturing scale
      and expertise and our ongoing marketing investment to support the further
      development of company-owned and licensed brands to create additional
      sales growth opportunities in socks and other product
categories.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>During fiscal 2012 and early in fiscal 2013, we secured
      new branded programs for fiscal 2013 with national retail customers, as
      well as with regional retail chains, which will provide significant
      exposure and visibility for the Gildan&#174; brand. These new programs include
      underwear, socks and activewear. We also made significant progress in our
      key initiative to grow the proportion of our sales of Company branded
      programs. The Company also reached an agreement to further extend the term
      of its exclusive U.S. sock license for the Under Armour&#174; brand. In fiscal
      2012, we retained a U.S. branding and marketing agency for the further
      development of the Gildan&#174; and Gold Toe&#174; portfolio of consumer brands and
      we intend to increase our investment in advertising in support of these
      brands.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>We are also focused on building our relationships as a
      supply chain partner to global consumer brands that are increasingly
      looking to source large-scale replenishment programs from manufacturers
      that meet rigorous quality and social compliance criteria and have an
      efficient supply chain strategically located in the Western Hemisphere.
      With the acquisition of Anvil, we now have strong established
      relationships with major sportswear and family entertainment companies.
      While we pursue further sales growth within this customer segment we
      believe there is an opportunity to leverage these relationships to expand
      into other product categories. We also believe there are potential
      opportunities to expand existing brand license relationships into new
      product categories<B>.</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>3.</B> </TD>
    <TD>
      <P align=justify><B>Continue to generate manufacturing and distribution
      cost reductions</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>We continuously seek to improve our manufacturing and
      distribution processes and cost structure by developing and investing in
      projects for capacity expansion, cost-reduction, as well as for further
      product quality enhancement. As previously discussed, during fiscal 2012,
      we proceeded with the ramp-up of Rio Nance 5 and initiated plans to
      modernize and refurbish our Rio Nance 1 facility </P></TD></TR></TABLE>
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      <P align=justify>and&nbsp; improve its cost efficiency. Rio Nance 5 is expected
      to be the most cost efficient of our manufacturing facilities. During the
      first quarter of fiscal 2013, the Company completed the acquisition of the
      remaining 50% of CanAm. Gildan is currently planning to modernize and
      expand the two CanAm yarn-spinning facilities and is also planning a new
      yarn-spinning facility in the U.S. The strategic rationale for the
      Company&#146;s investment in vertically-integrated yarn-spinning is to support
      its projected sales growth and to continue to pursue its business model of
      investing in global low-cost manufacturing technology and in product
      technology which will provide consistent superior product quality. The
      Company is investing in ring-spun yarn technology which will provide
      enhanced quality features as well as qualify for duty-free access to U.S.
      markets under the Dominican Republic&#150;Central America&#150;United States Free
      Trade Agreement (CAFTA-DR), which requires the use of U.S. yarn or yarn
      spun in other CAFTA-DR member countries. Ring-spun products will be
      utilized as part of the Company&#146;s branded product offering in Branded
      Apparel.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>We continue to execute our plans to reduce our reliance
      on high-cost fossil fuels and further reduce our impact on the environment
      by installing additional biomass facilities as an alternate source of
      natural renewable energy, and other initiatives to increase the efficiency
      of our energy-intensive equipment and processes, which reflect the
      Company&#146;s commitment to environmental sustainability. During fiscal 2012,
      we completed the installation of biomass facilities for steam generation
      for our textile production in Honduras, which is expected to lower our
      energy costs related to steam generation in fiscal 2013. The Company plans
      to continue to invest in biomass projects during fiscal 2013.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The acquisition of Gold Toe Moretz also creates the
      potential to achieve cost synergies by combining certain overhead
      functions of both companies and integrating certain high-volume products
      supplied by Gold Toe Moretz into Gildan&#146;s vertically-integrated sock
      manufacturing in Honduras. We are also seeking to achieve acquisition
      synergies from the integration of Anvil&#146;s production for the printwear
      market into Gildan&#146;s low-cost vertical manufacturing, the integration of
      Anvil&#146;s U.S. and international distributor sales and marketing functions
      into Gildan&#146;s existing Printwear business, consolidation of purchasing of
      raw materials and other purchased cost inputs, the elimination of certain
      duplicate administrative functions, and savings on ongoing working capital
      requirements.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>4.</B> </TD>
    <TD>
      <P align=justify><B>Reinvest cash flow</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>We will continue to evaluate opportunities to reinvest
      our cash flows generated from operations. We believe we will generate free
      cash flow after financing our working capital and capital expenditure
      requirements to support our organic growth. In order to re-invest our free
      cash flow, we will continue to seek complementary strategic acquisition
      opportunities which meet our return on investment criteria, based on our
      risk-adjusted cost of capital. In addition, we pay a dividend. On November
      29, 2012, the Company announced that its Board of Directors approved an
      increase in the amount of the current quarterly dividend per share by
      20%.</P></TD></TR></TABLE>
<P align=justify>We are subject to a variety of business risks that may affect
our ability to maintain our current market share and profitability, as well as
our ability to achieve our short and long-term strategic objectives. These risks
are described under the &#147;Financial Risk Management&#148; and &#147;Risks and
Uncertainties&#148; sections of this annual MD&amp;A.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.8</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_9></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B><font size="3">OPERATING RESULTS </font> </B></P>
<P align=justify><B>BUSINESS ACQUISITIONS</B></P>
<P align=justify><B>Anvil<BR></B>On May 9, 2012, the Company acquired 100% of
the common shares of Anvil for cash consideration of $87.4 million, net of cash
acquired. Anvil is a supplier of high-quality basic T-shirts and sport shirts.
The acquisition of Anvil further enhances the Company&#146;s leadership position in
the U.S. printwear market, and also positions the Company with potential growth
opportunities as a supply chain partner to leading consumer brands with rigorous
criteria for product quality and social responsibility. The acquisition is also
expected to generate cost savings from integration synergies. The Company
financed the acquisition by the utilization of its revolving long-term credit
facility. </P>
<P align=justify>The Company accounted for this acquisition using the
acquisition method in accordance with IFRS 3, Business Combinations, and the
results of Anvil have been consolidated with those of the Company from the date
of acquisition. Consequently, the audited annual consolidated financial
statements for the year ended September 30, 2012 include the results of Anvil
from May 9, 2012 to September 30, 2012. We have determined the fair value of the
assets acquired and liabilities assumed based on management&#146;s best estimate of
their fair values and taking into account all relevant information available at
that time. Please refer to note 5 to the 2012 audited annual consolidated
financial statements for a summary of the amounts recognized for the assets
acquired and liabilities assumed at the date of acquisition.</P>
<P align=justify><B>Gold Toe Moretz<BR></B>On April 15, 2011, the Company
acquired 100% of the common shares of Gold Toe Moretz for consideration
transferred of $347.7 million, net of cash acquired, including contingent
consideration of $5.3 million. Gold Toe Moretz is a leading supplier of
high-quality branded athletic, casual and dress socks for national chains,
mass-market retailers, price clubs, department stores and specialty sporting
goods stores in the United States. The acquisition of Gold Toe Moretz provided
the Company with enhanced brand management expertise which is being utilized to
further the development of the Gildan&#174; brand. In addition to the introduction of
leading consumer brands, the acquisition significantly expanded and diversified
the Company&#146;s channels of distribution in the U.S. retail market. The Company
financed the acquisition by using approximately $100 million of cash on hand and
approximately $250 million drawn on its revolving long-term credit facility.</P>
<P align=justify>Gildan accounted for this acquisition using the acquisition
method in accordance with IFRS 3, Business Combinations, and the results of Gold
Toe Moretz have been consolidated with those of Gildan from the date of
acquisition. Consequently, the 2011 audited annual consolidated financial
statements include the results of Gold Toe Moretz from April 15, 2011 to October
2, 2011. We have determined the fair value of the assets acquired and
liabilities assumed based on management&#146;s best estimate of their fair values and
taking into account all relevant information available at that time. Please
refer to note 5 to the 2012 audited annual consolidated financial statements for
a summary of the amounts recognized for the assets acquired and liabilities
assumed at the date of acquisition.</P>
<P align=justify><B>NON-GAAP MEASURES</B></P>
<P align=justify>We use non-GAAP measures to assess our operating performance.
Securities regulations require that companies caution readers that earnings and
other measures adjusted to a basis other than IFRS do not have standardized
meanings and are unlikely to be comparable to similar measures used by other
companies. Accordingly, they should not be considered in isolation. We use
non-GAAP measures including adjusted net earnings, adjusted diluted EPS, EBITDA,
free cash flow, total indebtedness, and net indebtedness to measure our
performance from one period to the next without the variation caused by certain
adjustments that could potentially distort the analysis of trends in our
operating performance, and because we believe such measures provide meaningful
information on the Company&#146;s financial condition and financial performance. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.9</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_10></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>We refer the reader to the section entitled &#147;Definition and
Reconciliation of Non-GAAP Measures&#148; in this MD&amp;A for the definition and
complete reconciliation of all non-GAAP measures used and presented by the
Company to the most directly comparable IFRS measures.</P>
<P align=justify><B>SELECTED ANNUAL INFORMATION</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="23%" align=left valign="bottom" bordercolor="#000000" colspan="4" nowrap>
    <p align="right">&nbsp; <B>IFRS</B> </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
    width="2%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="23%" colSpan=4 align=right valign="bottom" bordercolor="#000000" nowrap>Previous Canadian GAAP </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000"><I>(in $ millions, except per share amounts)</I> </TD>
    <TD width="1%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000"><B>2012</B> </TD>
    <TD width="2%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">2011 </TD>
    <TD width="2%" align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">2011 </TD>
    <TD width="2%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">2010 </TD>
    <TD width="2%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Net sales </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000"><B>1,948.3</B> </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">1,725.7 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">1,726.0 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">1,311.5 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Cost of sales </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom" bordercolor="#000000"><B>1,552.1</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom" bordercolor="#000000">1,288.1 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom" bordercolor="#000000">1,288.3 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom" bordercolor="#000000">947.2
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Gross profit </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000"><B>396.2</B> </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000">437.6 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000">437.7 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000">364.3 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Selling, general and administrative expenses </TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000"><B>226.0</B> </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">198.8 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">199.1 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">154.7 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Restructuring and acquisition-related costs </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000"><B>15.0</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">18.2 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">8.5 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">8.7 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Operating income </TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000"><B>155.2</B> </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">220.6 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">230.1 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">200.9 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Financial expenses, net </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000"><B>11.6</B> </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000">6.1 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000">5.4 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000">0.8 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-controlling interest in consolidated joint venture </TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000"><B>-</B> </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">0.5 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">3.8 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Equity earnings in investment in joint venture </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000"><B>(0.6</B></TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000"><B>)</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">(0.5</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Earnings before income taxes </TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000"><B>144.2</B> </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">215.0 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">224.2 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">196.3 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Income tax recovery </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000"><B>(4.3</B></TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000"><B>)</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">(19.2</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">(15.7</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">(1.9</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Net earnings </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom" bordercolor="#000000"><B>148.5</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=right valign="bottom" bordercolor="#000000">234.2
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=right valign="bottom" bordercolor="#000000">239.9
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=right valign="bottom" bordercolor="#000000">198.2
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Earnings per share: </TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Basic </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000"><B>1.22</B> </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000">1.93 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000">1.97 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom" bordercolor="#000000">1.64 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Diluted </TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000"><B>1.22</B> </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">1.91 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">1.96 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">1.63 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Total assets </TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000"><B>1,896.4</B> </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">1,858.5 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">1,889.7 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom" bordercolor="#000000">1,327.5 </TD>
    <TD width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Total long-term financial liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000"><B>181.0</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">209.0 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">209.0 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: medium none #000000; "
      align=left valign="bottom" bordercolor="#000000" colspan="12">
    <font size="1">Certain minor rounding variances exist between the financial
statements and this summary.</font></TD>
    <TD style="BORDER-BOTTOM: medium none #000000; " width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR></TABLE>
<P align=justify>The analysis that follows is for fiscal 2012, fiscal 2011 and
fiscal 2010. The Company did not recast its fiscal 2010 financial information in
accordance with IFRS and, as such, fiscal 2010 financial information is not
entirely comparable with fiscal 2012 financial information. The variance
analysis between fiscal 2011 and fiscal 2010, in this MD&amp;A, is based on
figures in accordance with previous Canadian GAAP for both fiscal 2011 and
fiscal 2010. </P>
<P align=justify><B>Net sales<BR></B>Consolidated net sales in fiscal 2012
amounted to $1,948.3 million, up $222.6 million, or 12.9%, from $1,725.7 million
in fiscal 2011. Printwear segment sales in fiscal 2012 were $1,334.3 million, up
slightly from sales of $1,327.7 million last year. Branded Apparel segment sales
were $614.0 million, up $216.0 million, or 54.3% from $398.0 million in fiscal
2011. Consolidated net sales for fiscal 2012 were in line with the Company's
guidance provided on August 2, 2012 of sales of approximately $1,950
million.</P>
<P align=justify>The increase in consolidated net sales in fiscal 2012 compared
to fiscal 2011 was due to the impact of the acquisitions of Gold Toe Moretz and
Anvil, higher Printwear unit sales volumes, as well as higher selling prices and
more favourable product-mix for Branded Apparel, partially offset by lower net
selling prices for Printwear and lower organic unit volumes in Branded Apparel
due to weak retail market conditions and the transition out of private label
programs. The increase in Printwear unit sales volumes in fiscal 2012 was mainly
attributable to increased demand in the U.S. distributor channel and further
market share penetration in the U.S. and international printwear markets, partly
offset by significant inventory destocking in the first quarter of fiscal 2012
in the U.S. distributor channel, which was not fully replenished during the
year. Sales from Canada of $67.8 million in fiscal 2012 were up 6.9% compared to
sales of $63.4 million in fiscal 2011 driven by higher unit sales volumes. Net
sales from international markets of $141.9 million during fiscal 2012 increased
$19.6 million, or 16.0% compared to $122.3 million in fiscal 2011 reflecting
</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.10</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<A name=page_11></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>higher unit sales volumes, offset in part by lower average
selling prices and the impact of the decrease in the value of local currencies
compared to the U.S. dollar.</P>
<P align=justify><I><U>Fiscal 2011 compared to fiscal 2010</U><BR></I>Net sales
in fiscal 2011 totalled $1,726.0 million, up 31.6%, from $1,311.5 million in
fiscal 2010. Sales of activewear and underwear in fiscal 2011 were $1,406.0
million, up 29.6% from $1,085.0 million in fiscal 2010, and sales of socks were
$320.0 million, up 41.3% from $226.5 million in fiscal 2010.</P>
<P align=justify>The increase in activewear and underwear sales in fiscal 2011
compared to fiscal 2010 was primarily due to higher average net selling prices
and increased unit sales volumes. Unit sales growth of activewear and underwear
was due to an increase in industry demand in the U.S. distributor channel in the
first half of fiscal 2011, increased market share penetration in other printwear
markets and increased shipments of activewear and underwear to mass-market
retailers, partially offset by a decline in overall market demand in the U.S.
distributor channel in the second half of fiscal 2011. Canadian sales totalled
$63.4 million in fiscal 2011, up 17.0% compared to sales of $54.2 million in
fiscal 2010 due to higher average selling prices and the appreciation of the
Canadian dollar, partially offset by lower unit volume sales. Net sales from
international markets of $122.3 million during fiscal 2011 increased $19.8
million, or 19.3% compared to international sales of $102.5 million in fiscal
2010 due to higher average selling prices and higher unit volume sales in most
of the markets we serve, partially offset by the discontinuation of certain
programs previously serviced from our Bangladesh facility. The increase in socks
sales for fiscal 2011 was due to the impact of the acquisition of Gold Toe
Moretz and the implementation of selling price increases, partially offset by
lower organic sales of socks, in part attributable to inventory destocking by
mass-market retailers. </P>
<P align=justify><B>Gross profit <BR></B>Consolidated gross profit is the result
of our net sales less cost of sales. Gross margin reflects gross profit as a
percentage of sales. Our cost of sales includes all raw material costs,
manufacturing conversion costs, including manufacturing depreciation expense,
sourcing costs, inbound freight and inter-facility transportation costs, and
outbound freight to customers. Cost of sales also includes the costs of
purchased finished goods, costs relating to purchasing, receiving and inspection
activities, manufacturing administration, third-party manufacturing services,
sales-based royalty costs, insurance, inventory write-downs, and customs and
duties. Our reporting of gross profit and gross margin may not be comparable to
these metrics as reported by other companies, since some entities include
warehousing and handling costs, and/or exclude depreciation expense, outbound
freight to customers and royalty costs from cost of sales.</P>
<P align=justify>Consolidated gross profit for fiscal 2012 was $396.2 million,
down $41.4 million from gross profit of $437.6 million in fiscal 2011. As a
percentage of sales, gross margins in fiscal 2012 were 20.3%, down from 25.4% in
fiscal 2011. The decline in gross margin was mainly due to higher cotton costs,
lower average net selling prices for Printwear and a special distributor
inventory devaluation discount incurred in the first quarter of fiscal 2012, as
well as manufacturing inefficiencies, including the impact of transitional
inefficiencies related to the ramp-down of our Rio Nance 1 facility and the
ramp-up of Rio Nance 5, and manufacturing shutdown costs during the year. The
negative effect of these factors was partially offset by the impact of the Gold
Toe Moretz acquisition, favourable efficiencies in sock manufacturing and higher
selling prices and more favourable product-mix in the Branded Apparel segment.
Gross margins in the second half of fiscal 2012 improved significantly compared
to gross margins in the first half of the fiscal year as the Company consumed
inventory with increasingly lower cost cotton compared to the first half of
fiscal 2012. </P>
<P align=justify><I><U>Fiscal 2011 compared to fiscal 2010</U><BR></I>Gross
profit for fiscal 2011 was $437.7 million, up $73.4 million from gross profit of
$364.3 million in fiscal 2010. As a percentage of sales, gross margin in fiscal
2011 declined to 25.4% compared to gross margin of 27.8% in fiscal 2010. The
decline in gross margin was primarily due to significantly higher cotton costs
compared to the prior year, which as a percentage of net sales, more than offset
the impact of higher average net selling prices.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.11</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<A name=page_12></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B>Selling, general and administrative expenses<BR></B>Selling,
general and administrative (SG&amp;A) expenses include warehousing and handling
costs, selling and administrative personnel costs, co-op advertising and
marketing expenses, costs of leased facilities and equipment, professional fees,
non-manufacturing depreciation and amortization expense, and other general and
administrative expenses. SG&amp;A expenses also include bad debt expense and
amortization of intangible assets.</P>
<P align=justify>SG&amp;A expenses were $226.0 million in fiscal 2012, or 11.6%
of net sales, up $27.2 million compared to SG&amp;A expenses of $198.8 million,
or 11.5% of net sales in fiscal 2011. The increase in SG&amp;A expenses in
fiscal 2012 compared to last year was due to the impact of the acquisitions of
Gold Toe Moretz and Anvil. Excluding the impact of the acquisitions of Gold Toe
Moretz and Anvil, SG&amp;A expenses in fiscal 2012 declined compared to last
year primarily due to lower variable compensation expenses, distribution
efficiencies in the Branded Apparel segment and the non-recurrence of a prior
year loss relating to the early termination of the Company&#146;s previous corporate
aircraft lease, which more than offset higher amortization of intangible assets
related to the acquisition of Gold Toe Moretz, and increased marketing
expenses.</P>
<P align=justify><I><U>Fiscal 2011 compared to fiscal 2010</U><BR></I>SG&amp;A
expenses were $199.1 million in fiscal 2011, up $44.4 million compared to
SG&amp;A expenses of $154.7 million in fiscal 2010. SG&amp;A expenses as a
percent of net sales for fiscal 2011 decreased to 11.5% compared to 11.8% of net
sales in fiscal 2010. The increase in SG&amp;A expenses was primarily due to the
impact of the acquisition of Gold Toe Moretz, increases in compensation
expenses, legal and professional fees and retail marketing expenses combined
with the impact of the higher-valued Canadian dollar on corporate administrative
expenses. </P>
<P align=justify><B>Restructuring and acquisition-related
costs<BR></B>Restructuring and acquisition-related costs amounted to $15.0
million in fiscal 2012, including $9.0 million related to business acquisitions
and changes in management structure and $6.0 million related to facility
closures and relocations. In fiscal 2011, restructuring and acquisition-related
costs amounted to $18.2 million, including $11.2 million related to business
acquisitions and changes in management structure and $7.0 million related to
facility closures. Costs related to facility closures in fiscal 2012 and fiscal
2011 consisted primarily of asset write-downs and employee termination benefits
incurred in connection with facilities closed in prior years, which are
currently included in assets held for sale. Costs related to business
acquisitions and changes in management structure in fiscal 2012 consisted
primarily of transaction, exit and integration costs, and employee termination
benefits in connection with the acquisition of Anvil, net of a purchase gain of
$6.7 million, as well as employee termination benefits in connection with the
acquisition of Gold Toe Moretz. Costs related to business acquisitions and
changes in management structure in fiscal 2011 consisted primarily of
transaction costs and costs relating to the wind-up of a pension plan in
connection with the acquisition of Gold Toe Moretz. </P>
<P align=justify>The Company expects to incur additional carrying costs relating
to the closed facilities, which will be accounted for as restructuring charges
as incurred and until all assets related to the closures are disposed. Any fair
value adjustments and gains or losses on the disposal of the assets held for
sale will also be accounted for as restructuring charges as incurred.</P>
<P align=justify><I><U>Fiscal 2011 compared to fiscal
2010</U><BR></I>Restructuring and acquisition-related costs in fiscal 2011 and
fiscal 2010 under previous Canadian GAAP were $8.5 million and $8.7 million,
respectively and were comprised of costs related to facility closures. An IFRS
adjustment of $9.7 million resulted in higher restructuring and
acquisition-related costs for fiscal 2011 under IFRS when compared to previous
Canadian GAAP primarily due to the difference in accounting between IFRS and
previous Canadian GAAP for acquisition-related costs in connection with business
combinations. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.12</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<A name=page_13></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B>Operating income<BR></B>During fiscal 2012, the Company
reported operating income of $155.2 million, down $65.4 million or 29.6%
compared to operating income of $220.6 million for fiscal 2011. The decrease in
consolidated operating income reflected lower operating income from the
Printwear segment, particularly as it incurred an operating loss in the first
quarter of fiscal 2012. The operating income decline in Printwear was
partially offset by improved operating income performance in the Branded Apparel
segment and lower corporate and other expenses related mainly to lower variable
compensation expenses and the non-recurrence of a prior year loss related to the
early termination of the Company&#146;s previous corporate aircraft lease. </P>
<P align=justify><B>Financial expenses, net<BR></B>Net financial expenses
include: interest expense on borrowings, including realized gains and/or losses
on interest rate swaps designated for hedge accounting; bank and other financial
charges; interest income on funds invested; accretion of interest on discounted
provisions; net foreign currency losses and/or gains; and losses and/or gains on
financial derivatives that do not meet the criteria for effective hedge
accounting. Net financial expense amounted to $11.6 million in fiscal 2012,
compared to net financial expense of $6.1 million in fiscal 2011. The increase
of $5.5 million in net financial expense in fiscal 2012 was primarily due to
higher interest expense resulting from increased borrowings from the Company&#146;s
revolving long-term credit facility. </P>
<P align=justify><I><U>Fiscal 2011 compared to fiscal 2010</U><BR></I>Net
financial expense amounted to $5.4 million in fiscal 2011, compared to net
financial expense of $0.8 million in fiscal 2010. The increase of $4.6 million
in net financial expense in fiscal 2011 resulted mainly from increased interest
expense and bank charges due primarily to the financing of the acquisition of
Gold Toe Moretz and a loss related to derivative financial instruments which
were not designated as hedges for accounting purposes.</P>
<P align=justify><B>Income taxes<BR></B>The Company recorded an income tax
recovery of $4.3 million for fiscal 2012 compared to an income tax recovery of
$19.2 million for fiscal 2011. Excluding the impact of restructuring and
acquisition-related costs in both years, the Company recorded an income tax
expense of $1.9 million for fiscal 2012 compared to an income tax recovery of
$13.7 million in fiscal 2011. The income tax recovery for fiscal 2011 was due
primarily to the recognition of deferred income tax assets related to higher tax
losses incurred by the Company&#146;s U.S. legal entities during the year related to
the Branded Apparel segment, the benefits of which have been recognized as it is
probable that we will be able to utilize the losses in future years. The lower
income tax recovery in fiscal 2012 compared to fiscal 2011 was due to the
improved profitability of our Branded Apparel segment.</P>
<P align=justify>The Company&rsquo;s growth plans for the Branded Apparel segment are expected to result in an increased proportion of the Company&rsquo;s profits earned in higher tax rate jurisdictions, and consequently, would result in an increase to the Company&rsquo;s overall effective income tax rate in future years.</P>
<P align=justify><B>Net earnings<BR></B>Net earnings for fiscal 2012 of $148.5
million, or $1.22 per share on a diluted basis, were down 36.6% and 36.1%,
respectively compared with net earnings of $234.2 million, or $1.91 per share on
a diluted basis in fiscal 2011. Before the after tax impact of restructuring and
acquisition-related costs, the Company reported adjusted net earnings and
adjusted diluted EPS for fiscal 2012 of $157.3 million and $1.29 compared with
adjusted net earnings of $246.9 million, or $2.02 per share, respectively, for
the prior year. The decline in the Company&#146;s earnings compared to last year was
primarily due to lower consolidated gross margins compared to last year and
higher income taxes, partially offset by the accretive impact of the
acquisitions of Gold Toe Moretz and Anvil, and higher Printwear unit sales
volumes.</P>
<P align=justify>Adjusted diluted EPS for fiscal 2012 were essentially in line
with the Company&#146;s earnings guidance of approximately $1.30 per share provided
on August 2, 2012. </P>
<P align=justify><I><U>Fiscal 2011 compared to fiscal 2010<BR></U></I>Net
earnings for fiscal 2011 of $239.9 million, or $1.96 per share on a diluted
basis, were up 21.0% and 20.2%, respectively compared with net earnings of
$198.2 million, or $1.63 per share on a diluted basis in fiscal 2010. Adjusted
net earnings and adjusted diluted EPS for fiscal 2011 totalled $245.5 million
and $2.01 per share compared with adjusted net earnings of $203.6 million, or
$1.67 per share for the prior </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.13</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_14></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>year. The increase in the Company&#146;s earnings results for fiscal
2011 compared to the prior year was due to sales growth for activewear, the
earnings accretion from the Gold Toe Moretz acquisition and higher income tax
recoveries, which more than offset higher cotton and other input costs, lower
organic sock sales and increased selling, general and administrative
expenses.</P>
<P align=justify><B>SEGMENTED OPERATING REVIEW</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom"><I>(in $ millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="10%" align=right nowrap valign="bottom"><B>2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="10%" align=right nowrap valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="10%" align=right nowrap valign="bottom">Variation </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Segment net sales: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Printwear </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom"><B>1,334.3</B> </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,327.7 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">6.6 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Branded Apparel </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom"><B>614.0</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">398.0 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">216.0 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total net sales
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom"><B>1,948.3</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">1,725.7 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">222.6
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Segment operating income (loss): </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Printwear </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom"><B>209.4</B> </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">330.2 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">(120.8</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;
      &nbsp;Branded Apparel </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom"><B>32.8</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
    align=right valign="bottom">(16.2</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">49.0
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total segment operating income </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom"><B>242.2</B> </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">314.0 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">(71.8</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Corporate and
      other<SUP>(1)</SUP> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom"><B>(87.0</B></TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom"><B>)</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
    align=right valign="bottom">(93.4</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">6.4
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total operating income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom"><B>155.2</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">220.6 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(65.4</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: medium none #000000; "
      align=left valign="bottom" colspan="9"><font size="1">(1) Includes corporate head office expenses, restructuring and
acquisition-related costs, and amortization of intangible assets. <br>
Certain minor
rounding variances exist between the financial statements and this summary.</font></TD>
  <TD style="BORDER-BOTTOM: medium none #000000; "
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify><B><I>Printwear </I></B></P>
<P align=justify><B>Net sales<BR></B>Printwear segment net sales in fiscal 2012
amounted to $1,334.3 million, slightly up from $1,327.7 million in fiscal 2011.
The slight improvement in sales reflected the benefit of the Anvil acquisition
and sales growth from our international markets driven by increased market share
penetration, which essentially offset lower net selling prices for the year that
resulted from the Company&#146;s decision to reduce selling prices in the first
quarter of fiscal 2012. Excluding the impact of Anvil, unit sales volumes were
up in fiscal 2012 due to increased unit volumes from international markets,
partly offset by a unit volume decline in the U.S. printwear market as a result
of the significant inventory destocking by U.S. distributors in the first
quarter of fiscal 2012, which was not fully offset by the replenishment of
inventories by U.S. distributors and the recovery in demand during the balance
of the year.</P>
<P align=justify><B>Operating income<br>
</B>The Printwear segment reported operating income of $209.4
million for fiscal 2012 compared to operating income of $330.2 million in fiscal
2011. The operating income decline in fiscal 2012 was primarily due to higher
cotton costs in the first half of fiscal 2012 and lower net selling prices
combined with the impact of significant inventory destocking by U.S.
distributors in the first quarter of fiscal 2012, which was not fully
replenished during the year. Operating income in fiscal 2012 was also negatively
impacted by a special inventory devaluation discount of approximately $19 million granted to
U.S. distributors in the first quarter of fiscal 2012, transitional
manufacturing inefficiencies related to the ramp-up of Rio Nance 5 and the
ramp-down of Rio Nance 1, and higher costs related to production downtime during
the year. These negative factors more than offset the benefit of increased
penetration in international markets and the impact of the Anvil acquisition. </P>
<P align=justify><B><I>Branded Apparel</I></B></P>
<P align=justify><B>Net sales <BR></B>Branded Apparel segment net sales amounted
to $614.0 million for fiscal 2012, up $216.0 million, or 54.3%, compared to
fiscal 2011. The growth in Branded Apparel segment sales compared to last year
was primarily due to the Gold Toe Moretz and Anvil acquisitions together with
higher net selling prices and </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.14</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_15></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>more favourable product-mix, partially offset by lower organic
unit volumes due to weak retail market conditions and the exit from private
label programs. </P>
<P align=justify><B>Operating income / loss<BR></B>The Branded Apparel segment
reported operating income of $32.8 million in fiscal 2012, up $49.0 million
compared to an operating loss of $16.2 million in the same period last year. The
significant improvement in operating performance in fiscal 2012 compared to last
year was due to the accretive impact of the Gold Toe Moretz and Anvil
acquisitions, higher net selling prices and more favourable product mix as the
Company increasingly continues to focus on more profitable branded programs.
These positive factors were partially offset by higher cotton costs in the first
half of fiscal 2012 and the impact of retailers managing inventories during weak
market conditions in fiscal 2012.</P>
<P align=justify><B><font size="3">SUMMARY OF QUARTERLY RESULTS</font></B></P>
<P align=justify>The table below sets forth certain summarized unaudited
quarterly financial data for the eight most recently completed quarters, in
accordance with IFRS. This quarterly information is unaudited and has been
prepared on the same basis as the audited annual consolidated financial
statements. The operating results for any quarter are not necessarily indicative
of the results to be expected for any period.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom" >&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="6%" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="6%" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="6%" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="6%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="6%" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="6%" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="6%" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="6%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom"
      >
    <p style="text-indent: -15pt; margin-left: 15pt"><I>(in $ millions, except per share amounts)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="6%"
      align=right valign="bottom"><B>Q4</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="6%" align=right valign="bottom">Q3</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom"><SUP>(2)</SUP> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="6%" align=right valign="bottom">Q2 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="6%" align=right valign="bottom">Q1 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="6%" align=right valign="bottom">Q4 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="6%" align=right valign="bottom">Q3</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom"><SUP>(1)</SUP> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="6%" align=right valign="bottom">Q2 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="6%" align=right valign="bottom">Q1 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="6%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="6%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="6%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="6%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="6%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="6%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="6%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="6%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">Net sales </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right><B>561.7</B> </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>600.2 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>482.6 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>303.8 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>481.6 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>529.7 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>383.2 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>331.2 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">Net earnings (loss)</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right><B>89.0</B> </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>78.6 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>26.9 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>(46.1</TD>
    <TD vAlign=bottom  width="2%" align=left>) </TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>48.5 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>88.1 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>61.7 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>35.9 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">Net earnings (loss) per share </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp;Basic<SUP>(3)</SUP> </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right><B>0.73</B> </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>0.65 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>0.22 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>(0.38</TD>
    <TD vAlign=bottom  width="2%" align=left>) </TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>0.40 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>0.72 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>0.51 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>0.30 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp;Diluted<SUP>(3)</SUP> </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right><B>0.73</B> </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>0.64 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>0.22 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>(0.38</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" align=left>)
</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>0.40 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>0.72 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>0.50 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>0.29 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">Total assets </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right><B>1,896.4</B> </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>1,939.2 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>1,854.5 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>1,806.8 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>1,858.5 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>1,857.3 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>1,433.7 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=right>1,359.8 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">Total long-term financial
      liabilities </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right><B>181.0</B> </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>306.0 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>333.0 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>305.0 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>209.0 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>252.0 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">Weighted average number of shares outstanding
      <I>(in &#145;000s)</I> </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=left></TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=left></TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=left></TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=left></TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=left></TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=left></TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=left></TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="6%" align=left></TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" >
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp;Basic </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right><B>121,473</B>
</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>121,527 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>121,518 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>121,434 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>121,548 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>121,649 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>121,515 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="6%" align=right>121,394 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom"
      >
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp;Diluted </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="6%"
    align=right><B>122,322</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="6%"
    align=right>122,047 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="6%"
    align=right>121,985 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="6%"
    align=right>121,434 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="6%"
    align=right>122,143 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="6%"
    align=right>122,506 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="6%"
    align=right>122,273 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="6%"
    align=right>122,161 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: medium none #000000; " align=left valign="bottom" colspan="24"
      >
<P align=justify><I><font size="1">(1) Results reflect the acquisition of Gold Toe Moretz from
April 15, 2011. <BR>(2) Results reflect the acquisition of Anvil from May 9,
2012.<BR>(3) Quarterly EPS may not add to year-to-date EPS due to
rounding.<br>
Certain minor rounding variances exist between the financial
statements and this summary.</font></I></P>
    </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; " vAlign=bottom
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=justify><B>SEASONALITY AND OTHER FACTORS AFFECTING THE VARIABILITY OF
RESULTS AND FINANCIAL CONDITION</B></P>
<P align=justify>Our results of operations for interim periods and for full
fiscal years are impacted by the variability of certain factors, including, but
not limited to, changes in end-use demand and customer demand, our customers&#146;
decision to increase or decrease their inventory levels, changes in our sales
mix, and fluctuations in selling prices and raw material costs. While our
products are sold on a year-round basis, our business experiences seasonal
changes in demand which results in quarterly fluctuations in operating results.
Historically, net sales have been lowest in the first quarter and highest in the
third quarter of the fiscal year, reflecting the seasonality of the Printwear
segment net sales, which have historically accounted for a majority of the
Company&#146;s consolidated net sales. Demand for T-shirts is lowest in the first
fiscal quarter and highest in the third quarter of each fiscal year, when
distributors purchase inventory for the peak Summer selling season. Demand for
fleece is typically highest, in advance of the Fall and Winter seasons, in the
third and fourth quarters of each fiscal year. For our sock products, demand is
typically highest in the first and fourth quarters of each fiscal year,
stimulated largely by the cooler weather and the need to support requirements
for the back-to-school period and the holiday season in retail. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.15</P>
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    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>Historically, we have typically operated our mature facilities
at full capacity throughout the year in order to be cost efficient.
Consequently, with the seasonal sales trends of our business, we experience
fluctuations in our inventory levels throughout the year, in particular a
build-up of T-shirt inventory levels in the first half of the year. </P>
<P align=justify>In the first quarter of fiscal 2012, the Company reported a net
loss due to the impact of significant distributor inventory destocking, a
special distributor inventory devaluation discount of approximately $19 million,
and a charge to cost of sales of approximately $9 million relating to extended
holiday production downtime in December.</P>
<P align=justify>Our results are also impacted by fluctuations in the price of
raw materials and other input costs. Cotton and polyester fibres are the primary
raw materials used in the manufacture of our products, and we also use
chemicals, dyestuffs and trims which we purchase from a variety of suppliers.
Cotton prices, which directly affect the cost of the cotton fibres we purchase,
are affected by weather, consumer demand, speculation on the commodities market,
the relative valuations and fluctuations of the currencies of producer versus
consumer countries and other factors that are generally unpredictable. While we
enter into contracts in advance of delivery to establish firm prices for the
cotton component of our yarn, our realized cotton costs can fluctuate
significantly between interim and annual reporting periods. Energy costs in our
results of operations are also affected by fluctuations in crude oil and
petroleum prices, which can also influence transportation costs and the cost of
related items used in our business, such as polyester fibres, chemicals,
dyestuffs and trims.</P>
<P align=justify>As noted under the section entitled &#147;Economic Environment and
Business Outlook&#148;, the Company&#146;s results in the first half and in part in the
third quarter of fiscal 2012 were significantly negatively affected by the
consumption of inventory manufactured with cotton purchased at historically high
cotton price levels during the unprecedented rise of cotton prices which
occurred in 2011. In addition, in the first quarter of fiscal 2012, the Company
reduced selling prices for its Printwear products ahead of the consumption of
this high-cost inventory. Consequently, gross margins were negatively impacted
during this period relative to historical levels due to the misalignment of
industry selling prices and the cost of cotton in inventories being consumed.
Gross margins in the fourth quarter of fiscal 2012 reflected the return to more
normal levels of historical profitability as industry selling prices and the
cost of cotton in inventories consumed in the quarter were more closely
aligned.</P>
<P align=justify>Business acquisitions may affect the comparability of results.
As noted in the table under &#147;Summary of Quarterly Results&#148;, the quarterly
financial data reflects the acquisition of Gold Toe Moretz from April 15, 2011
and the acquisition of Anvil from May 9, 2012.</P>
<P align=justify>Management decisions to consolidate or reorganize operations,
including the closure of facilities, may result in significant restructuring
costs in an interim or annual period. In addition, the effect of asset
write-downs, including provisions for bad debts and slow moving inventories, can
affect the variability of our results. The section entitled &#147;Restructuring and
acquisition-related costs&#148; in this annual MD&amp;A contains a discussion of
costs related to the Company&#146;s restructuring activities and business
acquisitions.</P>
<P align=justify>In the third quarter of fiscal 2012, following the transition
of production from Rio Nance 1 to Rio Nance 5, the Company suspended production
at its Rio Nance 1 facility temporarily as it proceeds with plans to modernize
and refurbish the facility. Consequently, a non-cash charge of approximately
$0.03 per share to write off obsolete equipment at Rio Nance 1 was recorded in
the third quarter of fiscal 2012 and results in the second half of the fiscal
year also include transitional manufacturing inefficiencies related to the
ramp-down of the Rio Nance 1 facility and the ramp-up of Rio Nance 5.
Depreciation expense will continue to be recorded on non-obsolete idle equipment
during the temporary closure of Rio Nance 1.</P>
<P align=justify>Our reported amounts for sales, SG&amp;A expenses, and
financial expenses/income are impacted by fluctuations in the U.S. dollar versus
certain other currencies as described in the &#147;Financial Risk Management&#148; section
of this annual MD&amp;A. The Company may periodically use derivative financial
instruments to manage risks related to fluctuations in foreign exchange
rates.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.16</P>
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<TABLE
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  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B>FOURTH QUARTER RESULTS</B></P>
<P align=justify>Consolidated net sales in the fourth quarter of fiscal 2012
amounted to $561.7 million, up $80.1 million, or 16.6% from $481.6 million in
the fourth quarter of fiscal 2011, and in line with the Company&#146;s guidance of
approximately $560 million provided on August 2, 2012. Sales for the Printwear
segment amounted to $376.8 million, up $26.3 million, or 7.5% from $350.5
million in the fourth quarter of fiscal 2011, and sales for the Branded Apparel
segment were $184.8 million, up $53.7 million, or 41.0%, from $131.1 million in
the fourth quarter of last year.</P>
<P align=justify>The increase in sales in the Printwear segment compared to the
fourth quarter of fiscal 2011 was due to higher unit sales volumes, as a result
of continuing organic growth in the U.S. market, the impact of the Anvil
acquisition, and continuing penetration in the Company&#146;s target international
markets. The impact on Printwear net sales revenues of higher unit sales volumes
was partially offset by lower net selling prices, unfavourable product-mix, and
higher seasonal inventory destocking in the U.S. distributor channel compared to
the fourth quarter of fiscal 2011.</P>
<P align=justify>The growth in sales for the Branded Apparel segment was due
primarily to the impact of the acquisition of Anvil, together with more
favourable product-mix and higher net selling prices. Excluding Anvil, sales
revenues for Branded Apparel in the fourth quarter were up approximately 18%
compared to the fourth quarter of fiscal 2011.</P>
<P align=justify>Consolidated gross profit for the fourth quarter of fiscal 2012
of $160.2 million increased by $60.8 million from consolidated gross profit of
$99.4 million during the fourth quarter of fiscal 2011. As a percentage of
sales, gross margins for the fourth quarter of fiscal 2012 were 28.5%, up from
20.6% in the fourth quarter of fiscal 2011. The significant increase in gross
margins was due to the impact of lower-cost cotton and more favourable
product-mix and higher selling prices for Branded Apparel, partially offset by
lower selling prices and unfavourable product-mix for Printwear, together with
higher manufacturing input costs, as well as a charge related to a product
labelling issue in the Branded Apparel segment which was disclosed in the
Company&#146;s press release dated October 16, 2012.</P>
<P align=justify>SG&amp;A expenses in the fourth quarter of fiscal 2012 were
$64.1 million, or 11.4% of net sales, compared with $53.4 million, or 11.1% of
net sales, in the fourth quarter of fiscal 2011. The increase in SG&amp;A
expenses was largely due to the impact of the acquisition of Anvil, increased
marketing and advertising expenses and higher legal and professional fees.
Excluding the impact of the acquisition of Anvil, SG&amp;A expenses in the
fourth quarter of fiscal 2012 were approximately $58.0 million up approximately
8.6% from fiscal 2011. </P>
<P align=justify>In the fourth quarter, the Printwear segment reported operating
income of $100.7 million, compared with $68.4 million in the fourth quarter of
fiscal 2011. The operating income increase in Printwear was primarily due to the
impact of lower cotton costs, higher unit sales volumes, and the accretive
impact of the Anvil acquisition, partially offset by lower selling prices and
unfavourable product-mix. The Branded Apparel segment reported quarterly
operating income of $15.1 million, compared with an operating loss of $5.7
million in the fourth quarter of fiscal 2011. The improved results for Branded
Apparel were due to lower cotton costs, more favourable product-mix, higher
selling prices, and the accretive impact of the Anvil acquisition, partially
offset by the charge for the labelling issue, previously noted.</P>
<P align=justify>Net earnings for the fourth quarter of fiscal 2012 were $89.0
million or $0.73 per share on a diluted basis, up respectively 83.5% and 82.5%
from $48.5 million or $0.40 per share in the fourth quarter of fiscal 2011.
Results for the fourth quarter of fiscal 2012 and fiscal 2011 include after-tax
restructuring and acquisition-related costs of $5.9 million, and $3.5 million,
respectively, primarily related to the write-down of real estate assets held for
divestiture since the closure of U.S. sock manufacturing operations, as well as
severance costs resulting from the integration of acquisitions. Excluding
restructuring and acquisition-related costs in both years, adjusted net earnings
for the fourth quarter of fiscal 2012 amounted to $94.9 million, or $0.78 per
share, up 82.5% and 81.4% respectively, compared to $52.0 million, or $0.43 per
share in the fourth quarter of fiscal 2011. The Company had previously projected
adjusted net earnings of close to $0.80 per share for the fourth quarter, when
it reported its third quarter results on August 2, 2012. Adjusted net </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.17</P>
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<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
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  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>earnings for the fourth quarter included an after-tax charge of
$0.02 per share related to the product labelling issue previously noted, which
had not been anticipated in the Company&#146;s fourth quarter EPS guidance. The
growth in the Company&#146;s net earnings in the fourth quarter compared to last year
was due to the benefit of significantly lower cotton costs, higher Printwear
unit sales volumes, more favourable product-mix and higher selling prices for
Branded Apparel and the initial accretion from the acquisition of Anvil. These
positive factors were partially offset by lower net selling prices for
Printwear, primarily reflecting the selling price reduction implemented in the
first quarter of fiscal 2012, unfavourable Printwear product-mix, higher
electricity, labour and other manufacturing input costs, the above-mentioned
charge relating to the labelling issue, and higher income taxes due to the
improved profitability of Branded Apparel. </P>
<P align=justify><B><font size="3">FINANCIAL CONDITION</font></B></P>
<P align=justify>Trade accounts receivable, which are net of accrued sales
discounts, amounted to $260.6 million as at September 30, 2012 compared to
$191.6 million at the end of fiscal 2011. The increase in trade accounts
receivable of $69.0 million, or 36% was mainly due to higher sales in the fourth
quarter compared to the same period of fiscal 2011, and the inclusion of
accounts receivable from the acquisition of Anvil which amounted to $26.1
million as of September 30, 2012. </P>
<P align=justify>Inventories as at September 30, 2012 were $553.1 million
compared to $568.3 million at the end of fiscal 2011. Excluding the inventories
from the acquisition of Anvil which amounted to $65.6 million as at September
30, 2012, inventories decreased by $80.8 million from the end of fiscal 2011,
due mainly to lower average unit costs as a result of significantly lower cotton
costs, partially offset by a planned increase in activewear inventory volumes to
service projected demand.</P>
<P align=justify>Assets held for sale of $8.0 million as at September 30, 2012
and $13.1 million as at October 2, 2011 include property, plant and equipment
primarily relating to closed facilities. The decrease in assets held for sale
was due mainly to a $5.0 million charge recorded for the reduction in the fair
value of assets held for sale, primarily for our former sock manufacturing and
distribution facilities in Fort Payne, Alabama that were closed in prior
years.</P>
<P align=justify>Property, plant and equipment, which are net of accumulated
depreciation, including asset impairment losses, amounted to $552.4 million at
September 30, 2012, compared to $550.3 million at October 2, 2011. The slight
increase of $2.1 million reflected net capital additions of $68.1 million and
the inclusion of $14.8 million of property, plant and equipment acquired from
Anvil, offset by depreciation of $80.8 million. Capital additions included
expenditures primarily for our Rio Nance 5 textile facility and our biomass
energy project in Honduras. Capital expenditures for fiscal 2012 were slightly
below the Company&#146;s previous projection of approximately $90 million provided
on August 2, 2012 due to the later timing of certain expenditures which will now
be incurred in fiscal 2013.</P>
<P align=justify>Deferred income tax assets net of deferred income tax
liabilities were $3.4 million at September 30, 2012 compared to net deferred
income tax liabilities of $12.0 million at the end of fiscal 2011. The variation
in deferred income taxes was due to a deferred income tax recovery of $10.3
million and the acquisition of Anvil, which resulted in the assumption of
approximately $5.1 million of net deferred income tax assets at May 9, 2012 due
to the tax effect of temporary differences between the accounting and tax basis
of net assets acquired.</P>
<P align=justify>Intangible assets are comprised of customer contracts and
relationships, trademarks, license agreements, non-compete agreements and
computer software, and amounted to $260.0 million as at September 30, 2012
compared to $261.7 million at the end of fiscal 2011. The decrease of $1.7
million reflects amortization of $16.8 million, partially offset by $9.7 million
related to the acquisition of Anvil and $5.4 million related to expenditures for
the acquisition of the rights to the Gold Toe&#174; trademark in Canada and computer
software.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.18</P>
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<TABLE
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    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>Goodwill of $141.9 million as at September 30, 2012 remained
unchanged from the end of fiscal 2011. Management performed its annual review
for impairment of goodwill, and trademarks which are considered to be indefinite
life intangible assets, and concluded that there has been no impairment as at
September 30, 2012.</P>
<P align=justify>Total assets were $1,896.4 million as at September 30, 2012,
compared to $1,858.5 million at the end of the previous year. Working capital
was $659.2 million as at September 30, 2012 compared to $577.7 million as at
October 2, 2011. The current ratio at the end of fiscal 2012 was 3.6 compared to
2.9 at the end of fiscal 2011.</P>
<P align=justify>Accounts payable and accrued liabilities amounted to $256.4
million as at September 30, 2012 compared to $298.0 million at the end of fiscal
2011. Excluding the accounts payable related to the acquisition of Anvil which
amounted to $34.6 million as at September 30, 2012, accounts payable and accrued
liabilities decreased by $76.2 million. The decrease from the end of fiscal 2011
was mainly due to the impact of lower cotton costs, as well as lower accruals
for variable compensation expenses.</P>
<P align=justify>Employee benefit obligations of $19.6 million as at September
30, 2012 (October 2, 2011 - $20.2 million) include liabilities related to the
Company&#146;s defined benefit plans, which consists primarily of $12.2 million
(October 2, 2011 - $12.6 million) related to the Company&#146;s statutory severance
obligations for its active employees located in the Caribbean Basin and Central
America, and $5.8 million (October 2, 2011 - $6.4 million) related to the
pension liability assumed in connection with the acquisition of Gold Toe Moretz
in fiscal 2011. </P>
<P align=justify>Provisions of $13.0 million as at September 30, 2012 increased
by $4.8 million compared to $8.2 million at the end of fiscal 2011. The increase
is due primarily to a provision of $4.5 million related to decommissioning and
site-restoration liabilities recorded in connection with the acquisition of
Anvil.</P>
<P align=justify><B><font size="3">CASH FLOWS</font></B></P>
<P align=justify>Cash flows from operating activities in fiscal 2012 were $219.6
million compared to cash flows from operating activities of $163.6 million for
the previous year. Despite significantly lower net earnings this year due
primarily to the net loss that was reported in the first quarter of fiscal 2012,
operating cash flows increased by $56.0 million in fiscal 2012 when compared to
last year primarily as a result of lower increases in non-cash working capital
balances. The increase in non-cash working capital for fiscal 2012 negatively
impacted operating cash flows by $23.1 million compared with a negative impact
of $118.4 million for fiscal 2011. The year-over-year variance in working
capital was due mainly to the impact during fiscal 2012 of changes in cotton
prices on average inventory costs, with declining prices resulting in a
significant decrease in inventories during fiscal 2012, while increasing cotton
prices during fiscal 2011 contributed to an increase in inventories at the end
of last year. The positive impact of the decrease in inventories was partially
offset by the negative impact on operating cash flows of the decrease in
accounts payable as a result of declining cotton costs, as well as the increase
in accounts receivable as noted in the &#147;Financial Condition&#148; section of this
annual MD&amp;A.</P>
<P align=justify>Cash flows used in investing activities were $162.0 million in
fiscal 2012, compared to $488.0 million in fiscal 2011. Cash flows used in
investing activities in fiscal 2012 included cash outflows for the acquisition
of Anvil of $87.4 million combined with capital spending of $76.8 million. Cash
flows used in investing activities in fiscal 2011 included cash outflows for the
acquisition of Gold Toe Moretz of $342.4 million combined with capital spending
of $160.0 million, partially offset by proceeds on the disposal of a corporate
asset of $13.2 million. For fiscal 2012, capital additions included expenditures
primarily for our Rio Nance 5 textile facility and our biomass energy project in
Honduras as noted under the &#147;Financial Condition&#148; section of this annual
MD&amp;A. For fiscal 2011, capital additions consisted primarily of the
construction of our Rio Nance 5 textile facility, as well as expenditures
related to the ramp-up of our Rio Nance 4 sock facility, our biomass energy
project in Honduras, and other capacity expansion projects.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.19</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
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<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
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  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>Free cash flow totalled $145.0 million in fiscal 2012 compared
to $18.0 million for the same period last year, due to the higher operating cash
flows as noted above, and lower capital expenditures. Free cash flow for fiscal
2012 exceeded the Company&#146;s previous estimate of free cash flow in excess of
$100 million provided on August 2, 2012 primarily as a result of the lower than
anticipated working capital requirements and capital expenditures. Free cash
flow is comprised of cash flows from operating activities, including net changes
in non-cash working capital balances, less cash used in investing activities,
excluding business acquisitions. See the heading entitled &#147;Free Cash Flow&#148; under
the section entitled &#147;Definition and Reconciliation of Non-GAAP Measures&#148; in
this annual MD&amp;A. </P>
<P align=justify>Cash flows used in financing activities in fiscal 2012 amounted
to $69.1 million compared to cash flows from financing activities of $155.6
million in fiscal 2011. Net cash flows used in financing activities in fiscal
2012 reflected a net reduction of amounts drawn on our revolving long-term
credit facility of $28.0 million, compared to an increase in funds drawn on the
revolving long-term credit facility of $209.0 million for the same period last
year which reflected funds that were utilized to finance the acquisition of Gold
Toe Moretz. The Company paid an aggregate of $36.6 million of dividends during
fiscal 2012 for dividends declared in November 2011, February 2012, May 2012,
and August 2012. During fiscal 2011, the Company only paid three quarterly
dividends due to the timing of the Company&#146;s initiation of its quarterly
dividend in fiscal 2011. The Company also repurchased and cancelled 0.4 million
common shares during fiscal 2011 for a total cost of $10.5 million under our
normal course issuer bid. During fiscal 2012, the Company purchased common
shares of Gildan on the open market for an amount totaling $6.0 million compared
to $2.2 million in fiscal 2011, for the purpose of settling the vesting of
non-Treasury RSUs in lieu of cash.</P>
<P align=justify><B><font size="3">LIQUIDITY AND CAPITAL RESOURCES</font></B></P>
<P align=justify>In recent years, we have funded our operations and capital
requirements with cash generated from operations. A revolving long-term credit
facility has been periodically utilized to finance seasonal peak working capital
requirements and business acquisitions, including our acquisition of Anvil in
May 2012 and Gold Toe Moretz in April 2011. Our primary uses of funds on an
ongoing basis are for working capital requirements, capital expenditures, and
payment of dividends. In addition, we may also use funds for business
acquisitions.</P>
<P align=justify>We have a committed revolving long-term credit facility of $800
million, on an unsecured basis. Amounts drawn under the facility during fiscal
2012 bore interest at a variable banker&#146;s acceptance or U.S. LIBOR-based
interest rate plus a spread ranging from 125 to 200 basis points. As at
September 30, 2012, $181 million (October 2, 2011 &#150; $209 million) was drawn
under this facility bearing an effective interest rate for the period of
2.2%, including the impact of interest rate swaps. In addition, an amount of
$6.0 million (October 2, 2011 - $5.8 million) has been committed against this
facility to cover various letters of credit<B>. </B>In November 2012, we amended
the revolving long-term credit facility to extend the maturity date from June
2016 to January 2018. The amended agreement provides for an annual extension
clause, subject to the approval of the lenders. It also provides for a reduction
in drawn pricing when the net debt to EBITDA ratio is below 1.0:1, and reduced
undrawn pricing. Amounts drawn under the facility now bear interest at a
variable banker&#146;s acceptance or U.S. LIBOR-based interest rate plus a spread
ranging from 100 to 200 basis points.</P>
<P align=justify>Total indebtedness as at September 30, 2012 was $181.0 million
compared to $209.0 million as at October 2, 2011. We ended the year with net
indebtedness of $110.6 million compared to net indebtedness of $127.0 million as
at the end of fiscal 2011, as the excess of free cash flows over cash
requirements for acquisitions and divided payments was used to reduce our level
of net indebtedness. Total indebtedness is comprised of bank indebtedness and
long-term debt (including the current portion), and net indebtedness is
calculated as total indebtedness net of cash and cash equivalents as described
under the section entitled &#147;Definition and Reconciliation of Non-GAAP measures&#148;
in this annual MD&amp;A. </P>
<P align=justify>As disclosed in note 12 to the 2012 audited annual consolidated
financial statements, the Company is required to comply with certain covenants
including maintenance of a net debt to trailing twelve months </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.20</P>
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  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>EBITDA ratio below 3.0:1, although the credit agreement
provides that this limit may be exceeded in the short term under certain
circumstances, as well as an interest coverage ratio of at least 3.5:1. EBITDA
is defined under the facility as net earnings before interest, income taxes,
depreciation and amortization, with adjustments for certain non-recurring items.
As at September 30, 2012, the Company was in compliance with these
covenants.</P>
<P align=justify>Gildan is currently projecting capital expenditures for fiscal
2013 of approximately $200 million, including a total of approximately $85
million for yarn-spinning investments. The balance of the fiscal 2013 capital
expenditure program is primarily for expansion of textile capacity in Honduras,
including the carry-over of expenditures from fiscal 2012 for Rio Nance 5 and
the refurbishment of Rio Nance 1, as well as for expansion of distribution
capacity, including the construction of a new distribution centre in Honduras
and continued investments in biomass projects.</P>
<P align=justify>We expect that cash flows from operating activities and the
unutilized financing capacity under our revolving long-term credit facility will
continue to provide us with sufficient liquidity for the foreseeable future to
fund our organic growth strategy, including anticipated working capital and
capital expenditure requirements, to fund dividends to shareholders, as well as
provide us with financing flexibility to take advantage of potential acquisition
opportunities which complement our organic growth strategy. </P>
<P align=justify>The Company, upon approval from its Board of Directors, may
issue or repay long-term debt, issue or repurchase shares, or undertake other
activities as deemed appropriate under the specific circumstances.</P>
<P align=justify><B>OUTSTANDING SHARE DATA </B></P>
<P align=justify>Our common shares are listed on the New York Stock Exchange
(NYSE) and the Toronto Stock Exchange (TSX) under the symbol GIL. As at November
30, 2012 there were 121,612,283 common shares issued and outstanding along with
1,233,323 stock options and 877,514 dilutive restricted share units (Treasury
RSUs) outstanding. Each stock option entitles the holder to purchase one common
share at the end of the vesting period at a pre-determined option price. Each
Treasury RSU entitles the holder to receive one common share from treasury at
the end of the vesting period, without any monetary consideration being paid to
the Company. However, the vesting of at least 50% of each Treasury RSU grant is
contingent on the achievement of performance conditions that are primarily based
on the Company&#146;s average return on assets performance for the period as compared
to the S&amp;P/TSX Capped Consumer Discretionary Index, excluding income trusts,
or as determined by the Board of Directors.</P>
<P align=justify><B>DECLARATION OF DIVIDEND</B></P>
<P align=justify>During fiscal 2012, the Company paid dividends of $36.6
million. On November 28, 2012, the Board of Directors approved a 20% increase in
the amount of the current quarterly dividend and declared a cash dividend of
$0.09 per share for an expected aggregate payment of $10.9 million which will be
paid on January 7, 2013 on all of the issued and outstanding common shares of
the Company, rateably and proportionately to the holders of record on December
13, 2012. This dividend is an &#147;eligible dividend&#148; for the purposes of the Income
Tax Act (Canada) and any other applicable provincial legislation pertaining to
eligible dividends.</P>
<P align=justify>The Board of Directors consider several factors when deciding
to declare quarterly cash dividends, including the Company&#146;s present and future
earnings, cash flows, capital requirements and present and/or future regulatory
and legal restrictions. There can be no assurance as to the declaration of
future quarterly cash dividends. Although the Company&#146;s revolving long-term
credit facility requires compliance with lending covenants in order to pay
dividends, these covenants are not currently, and are not expected to be, a
constraint to the payment of dividends under the Company&#146;s dividend policy.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.21</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
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<TABLE
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  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B>NORMAL COURSE ISSUER BID</B></P>
<P align=justify>In December 2011, the Company implemented a normal course
issuer bid to repurchase for cancellation up to one million outstanding common
shares of the Company on the TSX and the NYSE representing approximately 0.8% of
its issued and outstanding common shares, in accordance with the requirements of
the TSX (the &#147;NCIB&#148;). During fiscal 2012, there were no repurchases under the
NCIB. The Company did not renew the NCIB which expired on December 5, 2012.</P>
<P align=justify><B><font size="3">LEGAL PROCEEDINGS</font></B></P>
<P align=justify><B>Securities class actions<BR></B>In June 2008, the Company
and certain of its senior officers were named as defendants in a number of class
action lawsuits filed in the United States District Court for the Southern
District of New York, which were subsequently consolidated, alleging claims
under the U.S. securities laws, as well as in class action lawsuits filed in the
Ontario Superior Court of Justice and in the Quebec Superior Court. Each of
these U.S. and Canadian lawsuits alleged, among other things, that the
defendants misrepresented the Company&#146;s financial condition and its financial
prospects in its earnings guidance concerning the 2008 fiscal year, which
guidance was subsequently revised on April 29, 2008. </P>
<P align=justify>In August 2010, the Company entered into an agreement to settle
all claims raised in these class action lawsuits and final court approval of the
settlement was obtained from each of the courts in February and March 2011.
Consequently, all of the actions have been dismissed. The settlement agreement
provided for a total settlement amount of $22.5 million, which was entirely
funded by the Company&#146;s insurers. Therefore no provision has been recorded in
the consolidated financial statements and no amounts have been disbursed by the
Company in respect of the settlement.</P>
<P align=justify><B>Claims and litigation<BR>
</B>On October 12, 2012, Russell
Brands, LLC, an affiliate of Fruit of the Loom, filed a lawsuit against the
Company in the United States District Court of the Western District of Kentucky
at Bowling Green, alleging trademark infringement and unfair competition and
seeking injunctive relief and unspecified money damages. The litigation concerns
labelling errors on certain inventory products shipped by Gildan to one of its
customers. Upon being made aware of the error, the Company took immediate action
to retrieve the disputed products. The Company believes that the value of the
products in dispute is immaterial.</P>
<P align=justify><B><font size="3">OUTLOOK</font></B></P>
<P align=justify>A discussion of management&#146;s expectations as to our outlook for
fiscal 2013 is contained in our fourth quarter earnings results press release
dated November 29, 2012 under the sections entitled &#147;Fiscal 2013 Guidance&#148; and
&#147;Fiscal 2013 Cash Flow&#148;. The press release is available on the SEDAR website at
<U>www.sedar.com</U>, on the EDGAR website at <U>www.sec.gov </U>and on our
website at <U>www.gildan.com</U>.</P>
<P align=justify><B><font size="3">FINANCIAL RISK MANAGEMENT</font></B></P>
<P align=justify>This section of the MD&amp;A provides disclosures relating to
the nature and extent of the Company&#146;s exposure to risks arising from financial
instruments, including credit risk, liquidity risk, foreign currency risk and
interest rate risk, as well as risks arising from commodity prices, and how the
Company manages those risks. The disclosures under this section, in conjunction
with the information in note 16 to the 2012 audited annual consolidated
financial statements, are designed to meet the requirements of IFRS 7,
<I>Financial Instruments: Disclosures</I>, and are therefore incorporated into,
and are an integral part of, the 2012 audited annual consolidated financial
statements. </P>
<P align=justify>The Company may periodically use derivative financial
instruments to manage risks related to fluctuations in foreign exchange rates,
commodity prices and interest rates. Derivative financial instruments are not
used for trading purposes.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.22</P>
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  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B>CREDIT RISK</B></P>
<P align=justify>Credit risk is the risk of an unexpected loss if a customer or
counterparty to a financial instrument fails to meet its contractual
obligations, and arises primarily from the Company&#146;s trade receivables. The
Company may also have credit risk relating to cash and cash equivalents, forward
foreign exchange contracts, zero-cost collar options and interest rate swaps,
which it manages by dealing only with highly-rated North American and European
financial institutions. Our trade receivables and credit exposure fluctuate
throughout the year based on the seasonality of our sales and other factors. The
Company&#146;s average trade receivables and credit exposure during an interim
reporting period may be significantly higher than the balance at the end of that
reporting period.</P>
<P align=justify>The Company&#146;s credit risk for trade receivables is
concentrated, as the majority of its sales are to a relatively small group of
wholesale distributors within the Printwear segment and mass-market retailers
within the Branded Apparel segment. As at September 30, 2012, the Company&#146;s ten
largest trade debtors accounted for 56% of trade accounts receivable, of which
one wholesale customer within the Printwear segment accounted for 9% and one
mass-market retailer within the Branded Apparel segment accounted for 11%. Of
the Company&#146;s top ten trade debtors, seven are in the Printwear segment, three
are in the Branded Apparel segment and all ten are located in the United States.
The remaining trade receivable balances are dispersed among a larger number of
debtors across many geographic areas including the United States, Canada,
Europe, Mexico and the Asia-Pacific region.</P>
<P align=justify>Most sales are invoiced with payment terms of between 30 to 60
days. In accordance with industry practice, sales to wholesale distributors of
certain seasonal products, primarily in the second half of the fiscal year, are
invoiced with extended payment terms, generally not exceeding six months. From
time-to-time, the Company may initiate other special incentive programs with
extended payment terms.</P>
<P align=justify>Most of the Company&#146;s customers have been transacting with the
Company or its subsidiaries for several years. Many distributors and other
customers in the Printwear segment are highly-leveraged with significant
reliance on trade credit terms provided by a few major vendors, including the
Company, and third-party debt financing, including bank debt secured with
accounts receivable and inventory pledged as collateral. The financial leverage
of these customers may limit or prevent their ability to refinance existing
indebtedness or to obtain additional financing, and could affect their ability
to comply with restrictive debt covenants and meet other obligations. The
profile and credit quality of the Company&#146;s customers in the Branded Apparel
segment varies significantly. Adverse changes in a customer&#146;s financial
condition could cause us to limit or discontinue business with that customer,
require us to assume more credit risk relating to that customer&#146;s future
purchases or result in uncollectible accounts receivable from that customer.
Future credit losses relating to any one of our top ten customers could be
material and could result in a material charge to earnings.</P>
<P align=justify>The Company&#146;s extension of credit to customers involves
considerable judgment and is based on an evaluation of each customer&#146;s financial
condition and payment history. The Company has established various internal
controls designed to mitigate credit risk, including a dedicated credit function
which recommends customer credit limits and payment terms that are reviewed and
approved on a quarterly basis by senior management at the Company&#146;s sales
offices in Barbados and Charleston, South Carolina. Where available, the
Company&#146;s credit departments periodically review external ratings and customer
financial statements, and in some cases obtain bank and other references. New
customers are subject to a specific vetting and pre-approval process. From time
to time, the Company will temporarily transact with customers on a prepayment
basis where circumstances warrant. While the Company&#146;s credit controls and
processes have been effective in mitigating credit risk, these controls cannot
eliminate credit risk and there can be no assurance that these controls will
continue to be effective, or that the Company&#146;s low credit loss experience will
continue.</P>
<P align=justify>The Company&#146;s exposure to credit risk for trade receivables by
geographic area and operating segment was as follows as at:</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.23</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
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<TABLE
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border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom"><I>(in $ millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="10%" noWrap align=right valign="bottom"><B>September 30, 2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" noWrap align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" noWrap align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="10%" noWrap align=right valign="bottom">October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" noWrap align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" noWrap align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="10%" noWrap align=right valign="bottom">October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Trade receivables by geographic area: </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;United States </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom"><B>237.5</B> </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">163.3 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">118.4 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Canada </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom"><B>5.1</B> </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">8.2 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">6.4 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Europe and
      other </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom"><B>18.0</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">20.1
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">20.9
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total trade receivables </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom"><B>260.6</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">191.6 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">145.7 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Trade receivables by operating segment: </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Printwear </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom"><B>142.5</B> </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">118.0 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">96.3 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Branded Apparel </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom"><B>118.1</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">73.6 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">49.4 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total trade
      receivables </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom"><B>260.6</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=right valign="bottom">191.6
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=right valign="bottom">145.7
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#ffffff valign="bottom">&nbsp; </TD>
    <TD bgColor=#ffffff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#ffffff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#ffffff width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#ffffff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#ffffff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#ffffff width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#ffffff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#ffffff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#ffffff width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#ffffff colSpan=9 align=left valign="bottom">The aging of trade receivable
      balances was as follows as at:</TD>
    <TD bgColor=#ffffff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="1%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
      width="10%" valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="2%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="1%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
      width="10%" valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="2%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="1%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
      width="10%" valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom"><I>(in $
      millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom"><B>September 30, 2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom">October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom">October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Not past due </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom"><B>226.6</B> </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">166.9 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">129.1 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Past due 0-30 days </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom"><B>32.9</B> </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">21.0 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">17.5 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Past due 31-60 days </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom"><B>3.0</B> </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">2.8 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">3.5 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Past due 61-120 days </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom"><B>1.2</B> </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1.4 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1.2 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Past due over 121 days </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom"><B>1.4</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">3.6 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">1.4 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Trade receivables </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom"><B>265.1</B> </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">195.7 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">152.7 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Less allowance for doubtful accounts </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom"><B>(4.5</B></TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom"><B>)</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(4.1</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(7.0</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total trade
      receivables </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom"><B>260.6</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=right valign="bottom">191.6
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=right valign="bottom">145.7
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify><B>LIQUIDITY RISK </B></P>
<P align=justify>Liquidity risk is the risk that the Company will not be able to
meet its financial obligations as they fall due. We require continued access to
capital markets to support our operations as well as to achieve our strategic
plans. We rely on cash resources, debt and cash flows generated from operations
to satisfy our financing requirements. Any impediments to our ability to
continue to meet the covenants and conditions contained in our revolving
long-term credit facility as well as our ability to access capital markets, or
the failure of a financial institution participating in our revolving long-term
credit facility, or an adverse perception in capital markets of our financial
condition or prospects, could have a material impact on our financing
capability. In addition, our access to financing at reasonable interest rates
could become influenced by the economic and credit market environment.</P>
<P align=justify>We manage liquidity risk through the management of our capital
structure and financial leverage, as outlined in note 26 to the 2012 audited
annual consolidated financial statements. In addition, we manage liquidity risk
by continuously monitoring actual and projected cash flows, taking into account
the seasonality of our sales and receipts. We also monitor the impact of credit
market conditions in the current environment. The Board of Directors reviews and
approves the Company&#146;s operating and capital budgets, as well as transactions
such as the declaration of dividends, the initiation of share repurchase
programs, mergers, acquisitions and other major investments or divestitures.</P>
<P align=justify><B>Off-balance sheet arrangements and maturity analysis of
contractual obligations<BR></B>In the normal course of business, we enter into
contractual obligations that will require us to disburse cash over future
periods. All commitments have been reflected in our consolidated statements of
financial position except for operating leases and other purchase obligations
including minimum annual lease payments under operating leases for premises,
equipment, aircraft and minimum royalty payments, which are included in the
table of contractual obligations that follows. The following table sets forth
the maturity of our contractual obligations by period for the following items as
at September 30, 2012, excluding derivative financial instruments and future
interest payments: </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.24</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_25></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%"
      align=right nowrap><B>Carrying</B> </TD>
    <TD style="BORDER-TOP: #000000 2px solid; BORDER-RIGHT: #000000 1px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%"
      align=right nowrap>Contractual </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right nowrap>Less than
      1 </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right nowrap>1 to 3
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right nowrap>4 to 5
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right nowrap>More than
      5 </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left><I>(in $
      millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap><B>amount</B> </TD>
    <TD
    style="BORDER-BOTTOM: #000000 1px solid; BORDER-RIGHT: #000000 1px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>cash
      flows </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>fiscal
      year </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>fiscal
      years </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>fiscal
      years </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>fiscal
      years </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD style="BORDER-RIGHT: #000000 1px solid"
    width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Accounts payable and accrued liabilities
</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom"><B>256.4</B> </TD>
    <TD style="BORDER-RIGHT: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">256.4 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">256.4 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Long-term debt </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom"><B>181.0</B> </TD>
    <TD style="BORDER-RIGHT: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">181.0 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">181.0 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Purchase obligations </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom"><B>-</B> </TD>
    <TD style="BORDER-RIGHT: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">131.1 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">131.1 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Operating leases and other obligations </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom"><B>-</B> </TD>
    <TD
    style="BORDER-BOTTOM: #000000 1px solid; BORDER-RIGHT: #000000 1px solid"  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">140.3 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">26.7 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">75.4 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">32.8 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">5.4 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Total contractual
      obligations </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom" bgcolor="#E6EFFF"><B>437.4</B> </TD>
    <TD
    style="BORDER-BOTTOM: #000000 2px solid; BORDER-RIGHT: #000000 1px solid"
     width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom" bgcolor="#E6EFFF">708.8
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom" bgcolor="#E6EFFF">414.2
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom" bgcolor="#E6EFFF">256.4
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom" bgcolor="#E6EFFF">32.8
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom" bgcolor="#E6EFFF">5.4
</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left bgcolor="#E6EFFF">&nbsp;</TD></TR></TABLE>
<P align=justify>As disclosed in note 25 to our 2012 audited annual consolidated
financial statements, we have granted corporate guarantees, irrevocable standby
letters of credit and surety bonds to third parties to indemnify them in the
event the Company and some of its subsidiaries do not perform their contractual
obligations. As at September 30, 2012, the maximum potential liability under
these guarantees was $16.5 million, of which $6.9 million was for surety bonds
and $9.6 million was for corporate guarantees and standby letters of credit.</P>
<P align=justify><B>Derivative financial instruments <BR></B>The Company may
periodically use derivative financial instruments to manage risks related to
fluctuations in exchange rates, commodity prices and interest rates. Derivative
financial instruments are not used for speculative purposes. As at September 30,
2012, the Company had forward foreign exchange contracts outstanding in order to
minimize the exposure of forecasted cash inflows and outflows in currencies
other than the U.S. dollar. Please refer to note 16 to the 2012 audited annual
consolidated financial statements for a description of the maturities, carrying
values and fair values of the derivative financial instruments outstanding as at
September 30, 2012. </P>
<P align=justify><B>FOREIGN CURRENCY RISK </B></P>
<P align=justify>The majority of the Company&#146;s cash flows and financial assets
and liabilities are denominated in U.S. dollars, which is the Company&#146;s
functional and reporting currency. Foreign currency risk is limited to the
portion of the Company&#146;s business transactions denominated in currencies other
than U.S. dollars, primarily for sales and distribution expenses for customers
outside of the United States, and head office expenses in Canada. The Company&#146;s
exposure relates primarily to changes in the U.S. dollar versus the Canadian
dollar, the British pound, the Euro, the Australian dollar and the Mexican peso
exchange rates. For the Company&#146;s foreign currency transactions, fluctuations in
the respective exchange rates relative to the U.S. dollar will create volatility
in the Company&#146;s cash flows and the reported amounts for sales and SG&amp;A
expenses in its consolidated statements of earnings and comprehensive income,
both on a period-to-period basis and compared with operating budgets and
forecasts. Additional earnings variability arises from the translation of
monetary assets and liabilities denominated in currencies other than the U.S.
dollar at the rates of exchange at each reporting dates, the impact of which is
reported as a foreign exchange gain or loss and included in financial expense
(income) in the statements of earnings and comprehensive income. </P>
<P align=justify>The Company also incurs a portion of its manufacturing costs in
foreign currencies, primarily payroll costs paid in Honduran Lempiras. The
Lempira to U.S. dollar exchange rate has not fluctuated significantly in recent
years. However, should there be a change in the Lempira to U.S. dollar exchange
rate in the future, such change may have an impact on our operating results.</P>
<P align=justify>The Company&#146;s objective in managing its foreign currency risk
is to minimize its net exposures to foreign currency cash flows, by transacting
with third parties in U.S. dollars to the maximum extent possible and practical,
and holding cash and cash equivalents and incurring borrowings in U.S. dollars.
The Company monitors and forecasts the values of net foreign currency cash
flows, and from time-to-time will authorize the use of derivative financial
instruments such as forward foreign exchange contracts, and zero-cost collar
</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.25</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_26></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>options to economically hedge a portion of foreign currency
cash flows, with maturities of up to two years. The Company had forward foreign
exchange contracts outstanding as at September 30, 2012 consisting primarily of
contracts to sell or buy Euros, British pounds, Australian dollars, Canadian
dollars, and Mexican pesos in exchange for U.S. dollars. These outstanding
contracts and other foreign exchange contracts that were settled during fiscal
2012 were designated as cash flow hedges and qualified for hedge accounting. We
refer the reader to note 16 to the 2012 audited annual consolidated financial
statements for details of these financial derivative contracts and the impact of
applying hedge accounting.</P>
<P align=justify>The following tables provide an indication of the Company&#146;s
significant foreign currency exposures included in the consolidated statement of
financial position as at September 30, 2012 arising from financial
instruments:</P>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="52%" align=left nowrap valign="bottom" colspan="13">
    <p align="right"><B>September 30, 2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom"><I>(in U.S. $
      millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>CAD</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>EUR</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>GBP</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>MXN</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>AUD</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash and cash equivalents </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">16.0 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">1.1 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">1.2 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">0.6 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">1.1 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Trade accounts receivable </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">4.8 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">2.8 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">2.9 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">6.3 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3.2 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Accounts payable and accrued liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(24.9</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(2.8</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(0.3</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>Based on the Company&#146;s foreign currency exposures arising from
financial instruments noted above, and the impact of outstanding derivative
financial instruments designated as effective hedging instruments, varying the
foreign exchange rates to reflect a 5 percent strengthening of the U.S. dollar
would have increased (decreased) net earnings and other comprehensive income as
follows, assuming that all other variables remained constant:</P>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="52%" align=left nowrap valign="bottom" colspan="13">
    <p align="right"><B>For the year ended September 30,
      2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom"><I>(in U.S. $
      millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>CAD</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>EUR</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>GBP</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>MXN</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom"><B>AUD</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Impact on net earnings before income taxes
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">0.2 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(0.1</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(0.2</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(0.3</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(0.2</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Impact on other
      comprehensive income before income taxes </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom">1.3
</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom">2.1
</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom">1.2
</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom">0.1
</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right valign="bottom">0.4
</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>An assumed 5 percent weakening of the U.S. dollar during the
year ended September 30, 2012 would have had an equal but opposite effect on the
above currencies to the amounts shown above, on the basis that all other
variables remain constant.</P>
<P align=justify><B>COMMODITY RISK FOR COTTON</B></P>
<P align=justify>The Company is subject to the commodity risk of cotton prices
and cotton price movements, as the majority of its products are made of 100%
cotton or blends of cotton and synthetic fibres. The Company purchases
cotton-based yarn from third party yarn manufacturers as well as from its
yarn-spinning joint venture, CanAm. The Company assumes the risk of cotton price
fluctuations for these yarn purchases. The Company enters into contracts, up to
eighteen months in advance of future delivery dates, to establish fixed prices
for its cotton and cotton yarn purchases in order to reduce the effects of
fluctuations in the cost of cotton used in the manufacture of its products.
These contracts are not used for trading purposes, and are not considered to be
financial instruments that would need to be accounted for at fair value in the
Company&#146;s consolidated financial statements. Without taking into account the
impact of fixed price contracts, a change of $0.01 per pound in cotton prices
would affect the Company&#146;s annual raw material costs by approximately $4
million, based on estimated production levels for fiscal 2013.</P>
<P align=justify>The Company has the ability to enter into derivative financial
instruments, including market-traded cotton futures and option contracts, to
manage its exposure to movements in commodity prices. Such contracts would be
accounted for at fair value in the consolidated financial statements in
accordance with the accounting standards applicable to financial instruments. At
the end of fiscal 2012 and 2011, the Company had no significant cotton related
derivative financial instruments outstanding.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.26</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_27></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B>INTEREST RATE RISK </B></P>
<P align=justify>The Company&#146;s interest rate risk is primarily related to the
Company&#146;s revolving long-term credit facility, for which amounts drawn are
primarily subject to LIBOR rates in effect at the time of borrowing, plus a
margin. Although LIBOR-based borrowings under the credit facility can be fixed
for periods of up to six months, the Company generally fixes rates for periods
of one to three months. The interest rates on amounts drawn on this facility and
on any future borrowings will vary and are unpredictable. Increases in short
term interest rates and increases in interest rates on new debt issues may
result in a material increase in interest charges.</P>
<P align=justify>The Company has the ability to enter into derivative financial
instruments that would effectively fix its cost of current and future borrowings
for an extended period of time. As at September 30, 2012, the Company had
interest rate swap contracts outstanding to fix the variable interest rates on
the designated interest payments of a portion of the borrowings under the
revolving long-term credit facility, which were designated as cash flows hedges
and qualified for hedge accounting. We refer the reader to note 16 to the 2012
audited annual consolidated financial statements for details of the interest
rate swap contracts and the impact of applying hedge accounting.</P>
<P align=justify>Based on the value of interest-bearing financial instruments
during the year ended September 30, 2012, an assumed 0.5 percentage point
increase in interest rates during such period would have increased (decreased)
net earnings and other comprehensive income as follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom"><I>(in $ millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" noWrap align=right valign="bottom"><B>For the year ended September 30,
      2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Impact on net earnings before income taxes
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom"><B>(1.1</B></TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom"><B>)</B> </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Impact on other
      comprehensive income before income taxes </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom"><B>2.2</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>An assumed 0.5 percentage point decrease in interest rates
would have had an equal but opposite effect on net earnings and other
comprehensive income to the amounts shown above.</P>
<P align=justify><B><font size="3">CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS</font></B></P>
<P align=justify>Our significant accounting policies are described in note 3 to
our 2012 audited annual consolidated financial statements. The preparation of
financial statements in conformity with IFRS requires management to make
estimates and assumptions that affect the application of accounting policies and
the reported amounts of assets, liabilities, income and expenses. Actual results
may differ from these estimates. </P>
<P align=justify>Estimates and underlying assumptions are reviewed on an ongoing
basis. Revisions to accounting estimates are recognized in the period in which
the estimates are revised and in any future periods affected. We have not made
any significant changes to our estimates in the past two years. </P>
<P align=justify><B>CRITICAL JUDGMENTS IN APPLYING ACCOUNTING POLICIES</B></P>
<P align=justify>The following are critical judgements that management has made
in the process of applying accounting policies and that have the most
significant effect on the amounts recognized in the consolidated financial
statements:</P>
<P align=justify><B>Determination of cash-generating units (CGUs)<BR></B>The
identification of CGUs and grouping of assets into the respective CGUs is based
on currently available information about actual utilization experience and
expected future business plans. Management has taken into consideration various
factors in identifying its CGUs including how the Company manages and monitors
its operations, which is essentially based on operating segments that are
organized by the major customer markets they serve. As such, the Company has
identified its CGUs for purposes of testing the </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.27</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_28></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>recoverability and impairment of non-financial assets to be the
same as the segments used for financial reporting purposes, which are the
Printwear and Branded Apparel operating segments.</P>
<P align=justify><B>Income taxes<BR></B>The Company&#146;s income tax provisions and
income tax assets and liabilities are based on interpretations of applicable tax
laws, including income tax treaties between various countries in which the
Company operates as well as underlying rules and regulations with respect to
transfer pricing. These interpretations involve judgments and estimates and may
be challenged through government taxation audits that the Company is regularly
subject to. New information may become available that causes the Company to
change its judgment regarding the adequacy of existing income tax assets and
liabilities; such changes will impact net earnings in the period that such a
determination is made. </P>
<P align=justify><B>KEY SOURCES OF ESTIMATION UNCERTAINTY</B></P>
<P align=justify>Key sources of estimation uncertainty that have a significant
risk of resulting in a material adjustment to the carrying amount of assets and
liabilities within the next financial year are as follows:</P>
<P align=justify><B>Allowance for doubtful accounts<BR></B>The Company makes an
assessment of whether accounts receivable are collectable, which takes into
account the credit-worthiness of each customer in order to estimate an
appropriate allowance for doubtful accounts. Furthermore, these estimates must
be continuously evaluated and updated. The Company is not able to predict
changes in the financial condition of its customers, and if circumstances
related to its customers&#146; financial condition deteriorate, the estimates of the
recoverability of trade accounts receivable could be materially affected and the
Company may be required to record additional allowances. Alternatively, if the
Company provides more allowances than needed, a reversal of a portion of such
allowances in future periods may be required based on actual collection
experience.</P>
<P align=justify><B>Inventory valuation<BR></B>The Company regularly reviews
inventory quantities on hand and records a provision for those inventories no
longer deemed to be fully recoverable. The cost of inventories may no longer be
recoverable if those inventories are slow moving, damaged, if they have become
obsolete, or if their selling prices or estimated forecast of product demand
decline. If actual market conditions are less favorable than previously
projected, or if liquidation of the inventory no longer deemed to be fully
recoverable is more difficult than anticipated, additional provisions may be
required.</P>
<P align=justify><B>Business combinations<BR></B>Business combinations are
accounted for in accordance with the acquisition method. On the date that
control is obtained, the identifiable assets, liabilities and contingent
liabilities of the acquired company are measured at their fair value. Depending
on the complexity of determining these valuations, the Company uses appropriate
valuation techniques which are generally based on a forecast of the total
expected future net discounted cash flows. These valuations are linked closely
to the assumptions made by management regarding the future performance of the
related assets and the discount rate applied. </P>
<P align=justify><B>Recoverability and impairment of non-financial
assets<BR></B>The calculation of value in use for purposes of measuring the
recoverable amount of non-financial asset involves the use of significant
assumptions and estimates with respect to a variety of factors, including
expected sales, gross margins, SG&amp;A expenses, capital expenditures, cash
flows and the selection of an appropriate discount rate, all of which are
subject to inherent uncertainties and subjectivity. The assumptions are based on
annual business plans and other forecasted results as well as discount rates
which are used to reflect market based estimates of the risks associated with
the projected cash flows, based on the best information available as of the date
of the impairment test. Changes in circumstances, such as technological
advances, adverse changes in third party licensing arrangements, changes to the
Company&#146;s business strategy, and changes in economic conditions can result in
actual useful lives and future cash flows differing significantly from estimates
and could result in increased charges for amortization or impairment. Revisions
to the estimated useful lives of finite life non-financial assets or </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.28</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_29></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>future cash flows constitute a
change in accounting estimate and are applied prospectively. There can be no
assurance that the estimates and assumptions used in the impairment tests will
prove to be accurate predictions of the future. If the future adversely differs
from management&#146;s best estimate of key economic assumptions, and if associated
cash flows materially decrease, the Company may be required to record material
impairment charges related to its non-financial assets. </P>
<P align=justify><B>Measurement of the estimate of expected expenditures for
decommissioning and site restoration costs<BR></B>The measurement of the
provision for decommissioning and site restoration costs requires assumptions to
be made including expected timing of the event which would result in the outflow
of resources, the range of possible methods of decommissioning and site
restoration, and the expected costs that would be incurred to settle any
decommissioning and site restoration liabilities. The Company has measured the
provision using the present value of the expected expenditures which requires
assumptions on the discount rate to use. Revisions to any of the assumptions and
estimates used by management may result in changes to the expected expenditures
to settle the liability which would require adjustments to the provision which
may have an impact on the operating results of the Company in the period the
change occurs.</P>
<P align=justify><B>Income taxes<BR></B>The Company recognizes deferred income
tax assets for unused tax losses, and deductible temporary differences only to
the extent that, in management&#146;s opinion, it is probable that future taxable
profit will be available against which available tax losses and temporary
differences can be utilized. The Company&#146;s projections of future taxable profit
involve the use of significant assumptions and estimates with respect to a
variety of factors, including future sales and operating expenses. There can be
no assurance that the estimates and assumptions used in our projections of
future taxable income will prove to be accurate predictions of the future, and
in the event that our assessment of the recoverability of these deferred tax
assets changes in the future, a material reduction in the carrying value of
these deferred tax assets could be required, with a corresponding charge to net
earnings.</P>
<P align=justify><B><font size="3">ACCOUNTING POLICIES AND NEW ACCOUNTING STANDARDS NOT YET
APPLIED</font></B></P>
<P align=justify><B>ACCOUNTING POLICIES</B></P>
<P align=justify>For periods beginning on or after October 2, 2011, the Company
has adopted IFRS as issued by the International Accounting Standards Board
(IASB) for the preparation of its consolidated financial statements. The
comparative figures for the fiscal year ended October 2, 2011 have been recast
to comply with IFRS. See note 29 to the 2012 audited consolidated financial
statements for details on the reconciliations of the Company&#146;s financial
statements from previous Canadian GAAP to IFRS. The Company applied the
accounting policies described in note 3 to the 2012 audited consolidated
financial statements. </P>
<P align=justify><B>NEW ACCOUNTING STANDARDS AND INTERPRETATIONS NOT YET
APPLIED</B></P>
<P align=justify>A number of new accounting standards, and amendments to
accounting standards and interpretations, are not yet effective for the year
ending September 30, 2012, and have not been applied in preparing the audited
annual consolidated financial statements. These include: </P>
<P align=justify><B>Financial instruments<BR></B>In October 2010, the IASB
released IFRS 9, Financial Instruments, which is the first part of a three-part
project to replace IAS 39, Financial Instruments: Recognition and Measurement.
This first part only covers classification and measurement of financial assets
and financial liabilities, with impairment of financial assets and hedge
accounting being addressed in the other two parts.</P>
<P align=justify>IFRS 9 uses a single approach to determine whether a financial
asset is measured at amortized cost or fair value, replacing the multiple rules
in IAS 39. The approach in IFRS 9 is based on how an entity manages</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.29</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_30></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
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  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>&nbsp;its
financial instruments and the contractual cash flow characteristics of the
financial assets. Most of the requirements in IAS 39 for classification and
measurement of financial liabilities were carried forward in IFRS 9. However,
requirements for measuring a financial liability at fair value have changed, as
the portion of the changes in fair value related to the entity&#146;s own credit risk
must be presented in other comprehensive income rather than in net earnings.
IFRS 9 will be effective for the Company&#146;s fiscal year beginning on October 5,
2015, with earlier application permitted. The Company has not yet assessed the
impact of the adoption of this standard on its consolidated financial
statements.</P>
<P align=justify><B>Consolidation<BR></B>In May 2011, the IASB released IFRS 10,
Consolidated Financial Statements, which replaces SIC-12, Consolidation -
Special Purpose Entities, and parts of IAS 27, Consolidated and Separate
Financial Statements. The new standard builds on existing principles by
identifying the concept of control as the determining factor in whether an
entity should be included in a company&#146;s consolidated financial statements. The
standard provides additional guidance to assist in the determination of control
where it is difficult to assess. IFRS 10 will be effective for the Company&#146;s
fiscal year beginning on September 30, 2013, with earlier application permitted.
The Company has not yet assessed the impact of the adoption of this standard on
its consolidated financial statements.</P>
<P align=justify><B>Joint arrangements<BR></B>In May 2011, the IASB released
IFRS 11, Joint Arrangements, which supersedes IAS 31, Interests in Joint
Ventures, and SIC-13, Jointly Controlled Entities - Non-monetary Contributions
by Venturers. IFRS 11 focuses on the rights and obligations of a joint
arrangement, rather than its legal form as is currently the case under IAS 31.
The standard addresses inconsistencies in the reporting of joint arrangements by
requiring the equity method to account for interests in joint ventures. IFRS 11
will be effective for the Company&#146;s fiscal year beginning on September 30, 2013,
with earlier application permitted. The Company has not yet assessed the impact
of the adoption of this standard on its consolidated financial statements.</P>
<P align=justify><B>Disclosure of interests in other entities<BR></B>In May
2011, the IASB released IFRS 12, Disclosure of Interests in Other Entities. IFRS
12 is a new and comprehensive standard on disclosure requirements for all forms
of interests in other entities, including subsidiaries, joint arrangements,
associates, and unconsolidated structured entities. The standard requires an
entity to disclose information regarding the nature and risks associated with
its interests in other entities and the effects of those interests on its
financial position, financial performance and cash flows. IFRS 12 will be
effective for the Company&#146;s fiscal year beginning on September 30, 2013, with
earlier application permitted. The Company has not yet assessed the impact of
the adoption of this standard on its consolidated financial statements.</P>
<P align=justify><B>Fair value measurement<BR></B>In May 2011, the IASB released
IFRS 13, Fair value measurement. IFRS 13 will improve consistency and reduce
complexity by providing a precise definition of fair value and a single source
of fair value measurement and disclosure requirements for use across IFRS. The
standard will be effective for the Company&#146;s fiscal year beginning on September
30, 2013, with earlier application permitted. The Company has not yet assessed
the impact of the adoption of this standard on its consolidated financial
statements.</P>
<P align=justify><B>Financial statement presentation<BR></B>In June 2011, the
IASB amended IAS 1, Presentation of Financial Statements. The principal change
resulting from the amendments to IAS 1 is a requirement to group together items
within other comprehensive income that may be reclassified to the statement of
income. The amendments also reaffirm existing requirements that items in other
comprehensive income and net income should be presented as either a single
statement or two consecutive statements. The amendments to IAS 1 will be
effective for the Company&#146;s fiscal year beginning on October 1, 2012. As the
amendments only require changes in the presentation of items in other
comprehensive income, the Company does not expect the amendments to the standard
to have a material impact on its consolidated financial statements.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.30</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_31></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B>Employee benefits</B></P>
<P align=justify>In June 2011, the IASB amended IAS
19, Employee Benefits. Amongst other changes, the amendments require entities to
compute the financing cost component of defined benefit plans by applying the
discount rate used to measure post-employment benefit obligations to the net
post-employment benefit obligations (usually, the present value of defined
benefit obligations less the fair value of plan assets). Furthermore, the
amendments to IAS 19 enhance the disclosure requirements for defined benefit
plans, providing additional information about the characteristics of defined
benefit plans and the risks that entities are exposed to through participation
in those plans. The amendment to IAS 19 will be effective for the Company&#146;s
fiscal years beginning on September 30, 2013, with earlier application
permitted. The Company has not yet assessed the impact of the adoption of the
amendments on its consolidated financial statements.</P>
<P align=justify><B><font size="4">RELATED PARTY TRANSACTIONS</font></B></P>
<P align=justify>We purchase a portion of our yarn requirements from our yarn
spinning joint venture, CanAm, which as at September 30, 2012 was a
jointly-controlled entity over which the Company exercises joint control. The
purchase of yarn from CanAm is in the normal course of operations and is
measured at the exchange amounts, which is the amount of consideration
established and agreed to by the related parties. For fiscal 2012, total
purchases of yarn from CanAm were $126.1 million compared to $142.6 million in
fiscal 2011. As at September 30, 2012, the Company had an outstanding payable to
CanAm of $2.0 million compared to $3.3 million as of October 2, 2011. The
Company also had a note receivable from CanAm of $3.9 million which was fully
reimbursed during the third quarter of fiscal 2012. During the first quarter of
fiscal 2013, we completed the acquisition of the remaining 50% of CanAm. We also
lease warehouse and office space from an officer of a subsidiary of the Company
under operating leases. The payments made on these leases are in accordance with
the terms of the lease agreements established and agreed to by the related
parties, which amounted to $0.9 million for fiscal 2012, compared to $0.6
million for fiscal 2011. There were no amounts owing as at September 30, 2012
and October 2, 2011. </P>
<P align=justify><B><font size="4">DISCLOSURE CONTROLS AND PROCEDURES</font></B></P>
<P align=justify>As stated in the Canadian Securities Administrators&#146; National
Instrument 52-109, <I>Certification of Disclosure in Issuers&#146; Annual and Interim
Filings</I>, disclosure controls and procedures means controls and other
procedures of an issuer that are designed to provide reasonable assurance that
information required to be disclosed by the issuer in its annual filings,
interim filings or other reports filed or submitted by it under securities
legislation is recorded, processed, summarized and reported within the time
periods specified in the securities legislation and include controls and
procedures designed to ensure that information required to be disclosed by an
issuer in its annual filings, interim filings or other reports filed or
submitted under securities legislation is accumulated and communicated to the
issuer&#146;s management, including its certifying officers, as appropriate to allow
timely decisions regarding required disclosure.</P>
<P align=justify>An evaluation was carried out under the supervision of, and
with the participation of, our management, including our Chief Executive Officer
and our Chief Financial Officer, of the effectiveness of our disclosure controls
and procedures as at September 30, 2012. For the year ended September 30, 2012,
management&#146;s evaluation of the effectiveness of its disclosure controls and
procedures excluded the disclosure controls and procedures of Anvil, a
subsidiary acquired by the Company in an acquisition consummated on May 9, 2012,
the results of which are included in the audited annual consolidated financial
statements of the Company for the year ended September 30, 2012, to the extent
Anvil&#146;s disclosure controls and procedures are subsumed by internal control over
financial reporting. The consolidated results of the Company for the year ended
September 30, 2012 include net sales of $86.1 million and net earnings of $2.1
million relating to Anvil&#146;s results of operations since the date of acquisition.
Anvil accounted for approximately $96.4 million of current assets, $26.1 million
of non-current assets, $34.6 million of current liabilities and $5.1 million of
non-current liabilities, in the Company&#146;s audited consolidated statement of
financial position as at September 30, 2012. Based on that evaluation, which excluded Anvil&#146;s disclosure controls and procedures, our Chief
Executive Officer and our Chief Financial Officer concluded that our disclosure
controls and procedures were effective as of the end of such period.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.31</P>
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  </TD></TR></TABLE>
<P align=justify>Canadian and U.S. securities regulations and related
interpretations allow issuers to limit the scope of the design and evaluation of
disclosure controls and procedures of a business that an issuer acquired not
more than 365 days before the last day of the period covered by the Company&#146;s
filings.</P>
<P align=justify><B><font size="4">INTERNAL CONTROL OVER FINANCIAL REPORTING</font></B></P>
<P align=justify><B>Management&#146;s annual report on internal control over
financial reporting<BR></B>Our management is responsible for establishing and
maintaining adequate internal control over financial reporting, as such term is
defined in Rules 13(a)-15(f) and 15(d)-15(f) under the U.S. Securities Exchange
Act of 1934.</P>
<P align=justify>Our internal control over financial reporting includes those
policies and procedures that: (1) pertain to the maintenance of records that, in
reasonable detail, accurately and fairly reflect the transactions and
dispositions of our assets; (2) provide reasonable assurance that transactions
are recorded as necessary to permit preparation of financial statements in
accordance with generally accepted accounting principles, and that our receipts
and expenditures are being made only in accordance with authorization of our
management and directors; and (3) provide reasonable assurance regarding
prevention or timely detection of unauthorized acquisition, use or disposition
of our assets that could have a material effect on the financial statements.</P>
<P align=justify>Under the supervision and with the participation of our Chief
Executive Officer and our Chief Financial Officer, management conducted an
evaluation of the effectiveness of our internal control over financial
reporting, as at September 30, 2012, based on the framework set forth in
<I>Internal Control-Integrated Framework issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO)</I>. For the year ended
September 30, 2012, management&#146;s evaluation of internal control over financial
reporting excluded the internal control over financial reporting of Anvil, a
subsidiary acquired by the Company in an acquisition consummated on May 9, 2012,
the results of which are included in the audited annual consolidated financial
statements of the Company for the year ended September 30, 2012. Based on that
evaluation, which excluded Anvil&#146;s internal control over financial reporting,
our Chief Executive Officer and our Chief Financial Officer concluded that our
internal control over financial reporting was effective as of that date.</P>
<P align=justify>Canadian and U.S. securities regulations and related
interpretations allow issuers to limit the evaluation of internal control over
financial reporting of a business that an issuer acquired not more than 365 days
before the last day of the period covered by the Company&#146;s filings.</P>
<P align=justify><B>Attestation report of independent registered public
accounting firm<BR></B>KPMG LLP, an independent registered public accounting
firm, which audited and reported on our financial statements in this Report to
Shareholders, has issued an unqualified attestation report on the effectiveness
of our internal control over financial reporting as at September 30, 2012.</P>
<P align=justify><B>Changes in internal control over financial
reporting<BR></B>There have been no changes during fiscal 2012 in our internal
control over financial reporting that have materially affected, or are
reasonably likely to materially affect, our internal control over financial
reporting.</P>
<P align=justify>The design of any system of controls and procedures is based in
part upon certain assumptions about the likelihood of certain events. There can
be no assurance that any design will succeed in achieving its stated goals under
all potential future conditions, regardless of how remote.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.32</P>
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    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B><font size="3">RISKS AND UNCERTAINTIES</font></B></P>
<P align=justify>In addition to the risks previously described under the
sections &#147;Financial Risk Management&#148;, &#147;Critical Accounting Estimates and
Judgments&#148;, and those described elsewhere in this annual MD&amp;A, this section
describes the principal risks that could have a material and adverse effect on
our financial condition, results of operations or business, cash flows or the
trading price of our common shares, as well as cause actual results to differ
materially from our expectations expressed in or implied by our forward-looking
statements. The risks listed below are not the only risks that could affect the
Company. Additional risks and uncertainties not currently known to us or that we
currently deem to be immaterial may also materially and adversely affect our
financial condition, results of operations, cash flows or business. </P>
<P align=justify><B>Our ability to implement our strategies and plans
<BR></B>The growth of our business depends on the successful execution of our
key strategic initiatives, specifically to maximize market share penetration in
printwear markets, leverage our successful business model to further penetrate
the mass-market retail channel, continue to generate manufacturing and
distribution cost reductions, and continue to evaluate opportunities to reinvest
cash flows. We may not be able to successfully implement our growth strategy in
the future, including growing our market share in the U.S., where we currently
have the majority of our sales, and in further penetrating international
printwear markets. Success factors may be different and economic returns may be
lower in new market channels and new geographical markets which the Company
enters. In addition, we may not be successful in further developing our
company-owned brands and obtaining and successfully introducing new programs in
the U.S. retail channel, including increasing our sales of underwear and
activewear to retailers, or achieving targeted levels of profitability in our
Branded Apparel segment. Failure to develop new business in new market channels
or new geographical markets will limit our opportunities for growth. Also, there
can be no assurance that we do not encounter operational issues that may affect
or disrupt our production or supply chain or that we will be successful in
optimizing our manufacturing and distribution cost reduction initiatives. In
addition, our ability to generate cash flows from operations will depend on the
success we have in executing our key strategic initiatives, which in turn will
ultimately impact our ability to reinvest cash flows or distribute cash flows to
our shareholders. We may be unable to identify acquisition targets, successfully
integrate a newly acquired business, or achieve expected synergies from such
integration.</P>
<P align=justify><B>Our ability to compete effectively<BR></B>The markets for
our products are highly competitive. Competition is generally based upon price,
with reliable quality and service also being critical requirements for success.
Our competitive strengths include our expertise in building and operating
large-scale, vertically-integrated, strategically-located manufacturing hubs
which has allowed us to operate efficiently and reduce costs, offer competitive
pricing, and a reliable supply chain. There can be no assurance that we will be
able to maintain our low cost manufacturing and distribution structure, and
remain competitive in the areas of price, quality, service, and marketing. In
addition, there can be no assurance that the level and intensity of competition
will not increase, or that competitors will not improve their competitive
position relative to Gildan&#146;s. Any changes in our ability to compete effectively
in the future may result in the loss of customers to competitors, reduction in
customer orders or shelf space, lower prices, the need for customer price
incentives and other forms of marketing support to our customers, all of which
could have an adverse effect on our profitability if we are unable to offset
such negative impact with new business or cost reductions. </P>
<P align=justify><B>Our ability to integrate acquisitions<BR></B>The Company&#146;s
strategic opportunities include the potential reinvestment of cash into
complementary acquisitions that could support, strengthen or expand our
business. The integration of newly acquired businesses may prove to be more
challenging, take more time than originally anticipated and result in
significant additional costs and/or operational issues, all of which could
adversely affect our financial condition and results of operations. In addition,
we may not be able to fully realize expected synergies and other benefits. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.33</P>
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  </TD></TR></TABLE>
<P align=justify><B>Adverse changes in general economic
conditions<BR></B>Although we manufacture basic, non-fashion, continuous
replenishment products used by consumers in a wide variety of applications,
general economic and financial conditions, globally or in one or more of the
markets we serve, may adversely affect our business. If there is a decline in
economic growth and in consumer and commercial activity, and/or if adverse
financial conditions exist in the credit markets, as in the case of the global
credit crisis in 2008 and 2009, this may lead to lower demand for our products
resulting in sales volume reductions and lower selling prices, and may cause us
to operate at levels below our optimal production capacity, which would result
in higher unit production costs, all of which could adversely affect our
profitability and reduce cash flows from operations. Weak economic and financial
conditions could also negatively affect the financial condition of our
customers, which could result in lower sales volumes and increased credit risk.
The nature and extent of the Company&#146;s credit risks are described under the
section &#147;Financial Risk Management&#148;.</P>
<P align=justify><B>Our reliance on a small number of significant
customers<BR></B>We rely on a small number of customers for a significant
portion of our total sales. In fiscal 2012 our largest and second largest
customers accounted for 14.8% and 12.0% (2011 &#150; 19.4% and 12.1%) of total sales
respectively, and our top ten customers accounted for 58.1% (2011 &#150; 63.5%) of
total sales. We expect that these customers will continue to represent a
significant portion of our sales in the future. </P>
<P align=justify>Future sales volumes and profitability could be adversely
affected should one or more of the following events occur:</P>
<UL style="TEXT-ALIGN: justify">
  <LI>a significant customer substantially reduces its purchases or ceases to
  buy from us, or Gildan elects to reduce its volume of business with or cease
  to sell to a significant customer, and we cannot replace that business with
  sales to other customers on similar terms;
  <LI>a large customer exercises its purchasing power to negotiate lower prices
  or to require Gildan to incur additional service and other costs;
  <LI>further industry consolidation leads to greater customer concentration and
  competition; and
  <LI>a large customer encounters financial difficulties and is unable to meet
  its financial obligations. </LI></UL>
<P align=justify><B>Our customers do not commit to purchase minimum quantities
<BR></B>Our contracts with our customers do not require them to purchase a
minimum quantity of our products or commit to minimum shelf space allocation for
our products. If any of our customers experience a significant business downturn
or fail to remain committed to our products, they may reduce or discontinue
purchases from us. Although we have maintained long-term relationships with many
of our wholesale distributor and retail customers, there can be no assurance
that historic levels of business from any of our customers will continue in the
future. </P>
<P align=justify><B>Our ability to anticipate evolving consumer preferences and
trends<BR></B>While we currently focus on basic, non-fashion products, the
apparel industry, particularly within the retail channel, is subject to evolving
consumer preferences and trends. Our success may be negatively impacted by
changes in consumer preferences which do not fit with Gildan&#146;s core competency
of marketing and large-scale manufacturing of basic, non-fashion apparel
products. If we are unable to successfully anticipate, identify or react to
changing styles or trends or misjudge the market for our products, our sales
could be negatively impacted and we may be faced with unsold inventory which
could adversely impact our profitability. </P>
<P align=justify><B>Our ability to manage production and inventory levels
effectively in relation to changes in customer demand<BR></B>Demand for our
products may vary from year to year. We aim to appropriately balance our
production and inventory with our ability to meet market demand. Based on
discussions with our customers and internally generated projections reflecting
our analysis of factors impacting industry demand, we produce and carry finished
goods inventory to meet the expected demand for delivery of specific product
categories. If, after producing and carrying inventory in anticipation of
deliveries, demand is significantly less than expected, we may have to carry
inventory for extended periods of time, or sell excess inventory at reduced
prices. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.34</P>
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  </TD></TR></TABLE>
<P align=justify>In either case, our profits would be reduced. Excess inventory
could also result in lower production levels, resulting in lower plant and
equipment utilization and lower absorption of fixed operating costs.
Alternatively, we are also exposed to loss of sales opportunities and market
share, if we produce insufficient inventory to satisfy our customers&#146; demand for
specific product categories as a result of underestimating market demand or not
meeting production targets, in which case our customers could seek to fulfill
their product needs from competitors and reduce the amount of business they do
with us. </P>
<P align=justify><B>Fluctuations and volatility in the price of raw materials
used to manufacture our products<BR></B>Cotton and polyester fibers are the
primary raw materials used in the manufacture of our products. We also use
chemicals, dyestuffs and trims which we purchase from a variety of suppliers.
The price of cotton fluctuates and is affected by weather, consumer demand,
speculation in the commodities market, the relative valuations and fluctuations
of the currencies of producer versus consumer countries and other factors that
are generally unpredictable and beyond our control. In addition, fluctuations in
crude oil or petroleum prices affect our energy consumption costs and can also
influence transportation costs and the cost of related items used in our
business, such as polyester fibers, chemicals, dyestuffs and trims. As discussed
under the heading entitled &#147;Commodity Risk&#148; in the &#147;Financial Risk Management&#148;
section of this annual MD&amp;A, the Company purchases cotton and polyester
fibers through its yarn-spinning facilities, and also purchases processed cotton
yarn and blended yarn from outside vendors, at prices that are correlated with
the price of cotton and polyester fibers. The Company may enter into contracts
up to eighteen months in advance of future delivery dates to establish fixed
prices for cotton and cotton yarn purchases and reduce the effect of price
fluctuations in the cost of cotton used in the manufacture of its products. For
future delivery periods where such fixed price contracts have been entered into,
the Company will be protected against cotton price increases but would not be
able to benefit from cotton price decreases. Conversely, in the event that we
have not entered into sufficient fixed priced contracts for cotton or have not
made other arrangements to lock in the price of cotton yarn in advance of
delivery, we will not be protected against cotton price increases, but will be
in a position to benefit from any cotton price decreases. A significant increase
in raw material costs, particularly cotton costs, could have a material adverse
effect on our business, results of operations and financial condition, if the
increase or part of the increase is not mitigated through additional
manufacturing and distribution cost reductions and/or higher selling prices, or
if resulting selling price increases adversely impact demand for the Company&#146;s
products. In addition, when the Company fixes its cotton costs for future
delivery periods and the cost of cotton subsequently decreases significantly for
that delivery period, the Company may need to reduce selling prices, which could
adversely impact the Company&#146;s results of operations.</P>
<P align=justify><B>Our dependence on key suppliers<BR></B>Our ability to meet
our customers&#146; needs depends on our ability to maintain an uninterrupted supply
of raw materials and finished goods from third party suppliers. More
specifically, we source cotton and polycotton yarns primarily from the United
States  and from a limited number of outside suppliers. In
addition, the  majority of the products sold by our recently acquired Gold
Toe Moretz subsidiary are purchased from a number of third party suppliers in
Asia. Our business, financial condition or results of operations could be
adversely affected if there is a significant change in our relationship with any
of our principal suppliers of yarn or finished goods, or if any of these key
suppliers have difficulty sourcing cotton fibers and other raw materials,
experience production disruptions, fail to maintain production quality,
experience transportation disruptions or encounter financial difficulties. These
events can result in lost sales, cancellation charges or excessive markdowns,
all of which can adversely affect our business, financial condition or results
of operations.</P>
<P align=justify><B>Climate, political, social and economic risks in the
countries in which we operate or from which we source production<BR></B>The
majority of our products are manufactured in Central America, primarily in
Honduras and the Caribbean Basin, and to a lesser extent in Bangladesh, as
described in the section entitled &#147;Our Operations&#148;. As a result of the
acquisition of Gold Toe Moretz we are now purchasing significant volumes of
finished goods from third party suppliers in Asia. Some of the countries in
which we operate or source from have experienced political, social and economic
instability in the past, and we cannot be certain of their future stability. In
addition, most of our facilities are located in geographic regions that are
exposed to </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.35</P>
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  </TD></TR></TABLE>
<P align=justify>the risk of, and have experienced in the past, hurricanes,
floods and earthquakes, and any such events in the future could have a material
adverse impact on our business. </P>
<P align=justify>The following conditions or events could disrupt our supply
chain, interrupt production at our facilities or those of our suppliers,
materially increase our cost of sales and other operating expenses, result in
material asset losses, or require additional capital expenditures to be
incurred:</P>
<UL style="TEXT-ALIGN: justify">
  <LI>fires, pandemics, extraordinary weather conditions or natural disasters,
  such as hurricanes, tornadoes, floods, tsunamis and earthquakes;
  <LI>political instability, labour unrest, war or terrorism;
  <LI>disruptions in shipping and freight forwarding services;
  <LI>interruptions in the availability of basic services and infrastructure,
  including power and water shortages. </LI></UL>
<P align=justify><B>We rely on certain international trade agreements and
preference programs and are subject to evolving international trade regulations
<BR></B>As a multinational corporation, we are affected by international trade
legislation, bilateral and multilateral trade agreements and trade preference
programs in the countries in which we operate, source and sell products. In
order to remain globally competitive, we have strategically positioned our
manufacturing facilities to take advantage of a number of trade liberalization
measures, providing us duty free access to many of our markets. Such measures
are advantageous because of the otherwise generally high duty rates that apply
to apparel products in many countries. The Company relies on a number of
preferential trade programs which provide duty free access to the U.S. market,
including the Caribbean Basin Trade Partnership Act and the Dominican Republic &#150;
Central America &#150; United States Free Trade Agreement. The Company relies on
similar arrangements to access the European Union, Canada and other markets.
Changes to trade agreements or trade preference programs that the Company
currently relies on may negatively impact our global competitive position. The
likelihood that the agreements and preference programs around which we have
built our manufacturing supply chain will be modified, repealed, or allowed to
expire, and the extent of the impact of such changes on our business, cannot be
determined with certainty.</P>
<P align=justify>Most trade agreements provide for the application of safeguards
in the form of reinstatement of normal duties if increased imports cause or
threaten to cause substantial injury to a domestic industry. The likelihood that
a safeguard will be adopted and the extent of its impact on our business cannot
be determined with certainty.</P>
<P align=justify>In 2012, the United States implemented free trade agreements
with South Korea, Colombia and Panama and has also continued free trade
negotiations with a group of countries under the umbrella of the TransPacific
Partnership ("<B>TPP</B>"). Countries participating in the TPP negotiations at
this time are Australia, Brunei, Canada, Chile, Mexico, Malaysia, New Zealand,
Peru, Singapore and Vietnam. The United States&#146; entry into new free trade
agreements may negatively affect our competitive position in the United States.
Overall, new agreements or arrangements that further liberalize access to our
key developed country markets could potentially impact our competiveness in
those markets negatively. The likelihood that any such agreements, measures or
programs will be adopted, modified, repealed, or allowed to expire, and the
extent of the impact of such changes on our business, cannot be determined with
certainty.</P>
<P align=justify>In addition, the Company is subject to customs audits and
origin verifications in the various countries in which it operates. Although we
believe that our customs compliance programs are effective, we cannot predict
the outcome of any governmental audit.</P>
<P align=justify>In recent years, governmental bodies have responded to the
increased threat of terrorist activity by requiring greater levels of inspection
of imported goods and imposing security requirements on importers, carriers and
others in the global supply chain. These added requirements can sometimes cause
delays and increase costs in bringing imported goods to market. We believe we
have effectively addressed these requirements in order to maximize velocity in
our supply chain, but changes in security requirements or tightening of security
procedures, for example, in the aftermath of a terrorist incident, could cause
delays in our goods reaching the markets in which we distribute our products.
</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.36</P>
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  </TD></TR></TABLE>
<P align=justify><B>Factors or circumstances that could increase our effective
income tax rate <BR></B>The Company benefits from a low overall effective
corporate tax rate as the majority of its profits are earned and the majority of
its sales, marketing and manufacturing operations are carried out in low tax
rate jurisdictions in Central America and the Caribbean Basin. The Company&#146;s
income tax filing positions and income tax provisions are based on
interpretations of applicable tax laws, including income tax treaties between
various countries in which the Company operates as well as underlying rules and
regulations with respect to transfer pricing. These interpretations involve
judgments and estimates and may be challenged through government taxation audits
that the Company is regularly subject to. Although the Company believes its tax
filing positions are sustainable, we cannot predict with certainty the outcome
of any audit undertaken by taxation authorities in any jurisdictions in which we
operate, and the final result may vary compared to the estimates and assumptions
used by management in determining the Company&#146;s consolidated income tax
provision and in valuing its income tax assets and liabilities. Depending on the
ultimate outcome of any such audit, there may be a material adverse impact on
the Company&#146;s financial condition, results of operations and cash flows. In
addition, if the Company were to receive a tax reassessment by a taxation
authority prior to the ultimate resolution of an audit, the Company could be
required to submit an advance deposit on the amount reassessed.</P>
<P align=justify>The Company&#146;s overall effective income tax rate may also be
adversely affected by the following: unanticipated changes to current domestic
laws in the countries in which the Company operates; changes to the income tax
treaties the Company currently relies on; an increase in income and
withholding tax rates; changes to free trade and export processing zone
rules in certain countries where the Company is currently not subject to income
tax; and, a higher proportion of the Company&#146;s overall profits being earned in higher tax rate jurisdictions due to changes in the locations of the Company&#146;s operations, changes in the mix of profits between operating segments or other factors.</P>
<P align=justify>We have not recognized a deferred income tax liability for the
undistributed profits of our subsidiaries, as we currently have no intention to
repatriate these profits. If our expectations or intentions change in the
future, we could be required to recognize a charge to earnings for the tax
liability relating to the undistributed profits of our subsidiaries, which could
also result in a corresponding cash outflow in the years in which the earnings
would be repatriated. As at September 30, 2012, the estimated  income
taxes payable that would result in the event of a full repatriation of these
undistributed profits is approximately $28 million.</P>
<P align=justify><B>Compliance with environmental, health and safety
regulations<BR></B>We are subject to various federal, state and local
environmental  laws and regulations in the
jurisdictions in which we operate concerning, among other things, wastewater
discharges, storm water flows, and solid waste disposal. Our manufacturing
plants generate small quantities of hazardous waste, which are either recycled
or disposed of by licensed waste management companies. Through our Corporate
Environmental Policy, Environmental Code of Practice and Environmental
Management System, we seek not only to comply with applicable laws and
regulations, but also to reduce our environmental footprint through waste
prevention, recovery and treatment. Although we believe that we are in
compliance in all material respects with the regulatory requirements of those
jurisdictions in which our facilities are located, the extent of our liability,
if any, for past failures to comply with laws, regulations and permits
applicable to our operations cannot be reasonably determined.</P>
<P align=justify>In line with our commitment to the environment, as well as to
the health and safety of our employees, we incur capital and other expenditures
each year that are aimed at achieving compliance with current environmental
standards and applicable occupational health and safety laws and regulations. For fiscal 2012, the environmental protection requirements with
regard to the Company&#146;s operations did not have a significant financial or
operational impact on the Company's capital expenditures, earnings and
competitive position. Although we do not expect that the amount of these
expenditures in the future will have a material adverse effect on our
operations, financial condition or liquidity, future changes in federal, state,
or local regulations, interpretations of existing regulations or the discovery
of currently unknown problems or conditions may result in substantial additional
environmental remediation expenditures, negative publicity which could harm our
reputation, or a disruption to our supply chain, which could have a material
adverse effect on our business. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.37</P>
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      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B>Our significant reliance on our information systems for our
business operations<BR></B>We place significant reliance on our information
systems, including our JD Edwards Enterprise Resource Planning (ERP) system. We
are in the process of upgrading our ERP system to the current release. We depend
on our information systems to purchase raw materials and supplies, schedule and
manage production, process transactions, summarize results, respond to customer
inquiries, manage inventories and ship goods on a timely basis to our customers.
There can be no assurance that we will not experience operational problems with
our information systems as a result of system failures, viruses, security
breaches, disasters or other causes, or in connection with the implementation of
the upgrade to our ERP system. In addition, there can be no assurance that we
will be able to timely modify or adapt our systems to meet evolving requirements
for our business. Any material disruption or slowdown of our systems could cause
operational delays and other impacts that could have a material adverse effect
on our business.</P>
<P align=justify><B>Adverse changes in third party licensing arrangements and
licensed brands<BR></B>A number of products are designed, manufactured, sourced
and sold under trademarks that we license from third parties, under contractual
licensing relationships that are subject to periodic renewal, such as Under
Armour&#174; and New Balance&#174; branded socks. Because we do not control the brands
licensed to us, our licensors could make changes to their brands or business
models that could result in a significant downturn in a brand&#146;s business,
adversely affecting our sales and results of operations. If any licensor fails
to adequately maintain or protect their trademarks, engages in behaviour with
respect to the licensed marks that would cause us reputational harm, or if any
of the brands licensed to us violates the trademark rights of a third party or
are deemed to be invalid or unenforceable, we could experience a significant
downturn in that brand&#146;s business, adversely affecting our sales and results of
operations, and we may be required to expend significant amounts on public
relations, advertising, legal and other termination costs. In addition, if any
of these licensors chooses to cease licensing these brands to us in the future,
our sales and results of operations would be adversely affected.</P>
<P align=justify><B>Our ability to protect our intellectual property
rights<BR></B>Our trademarks are important to our marketing efforts and have
substantial value. We aggressively protect these trademarks from infringement
and dilution through appropriate measures, including court actions and
administrative proceedings; however, the actions we have taken to establish and
protect our trademarks and other intellectual property may not be adequate. We
cannot be certain that others will not imitate our products or infringe our
intellectual property rights. Infringement or counterfeiting of our products
could diminish the value of our brands or otherwise adversely affect our
business. In addition, unilateral actions in the United States or other
countries, such as changes to or the repeal of laws recognizing trademark or
other intellectual property rights, could have an impact on our ability to
enforce those rights. </P>
<P align=justify>From time to time we are involved in opposition and
cancellation proceedings with respect to our intellectual property, which could
affect its validity, enforceability and use. The value of our intellectual
property could diminish if others assert rights in, or ownership of, or oppose
our applications to register, our trademarks and other intellectual property
rights. In some cases, there may be trademark owners who have prior rights to
our trademarks or to similar trademarks, which could harm our ability to sell
products under or register such trademarks. In addition, we have registered
trademarks in certain foreign jurisdictions and the laws of foreign countries
may not protect our intellectual property rights to the same extent as do the
laws of the United States. We do not own trademark rights to all of our brands
in all jurisdictions, which may limit the future sales growth of certain branded
products in such jurisdictions. Furthermore, actions we have taken to protect
our intellectual property rights may not be adequate to prevent others from
seeking to invalidate our trademarks or block sales of our products as a
violation of the trademarks and intellectual property rights of others.</P>
<P align=justify>In some cases, litigation may be necessary to protect our
trademarks and other intellectual property rights, to enforce our rights or
defend against claims by third parties alleging that we infringe, dilute,
misappropriate or otherwise violate third party trademark or other intellectual
property rights. Any litigation or claims brought by or against us, whether with
or without merit, and whether successful or not, could result in substantial
costs and diversion of our resources, which could adversely affect our business,
financial condition, results of operation and cash flows. Any intellectual
property litigation claims against us </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.38</P>
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    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>could result in the loss or compromise of our intellectual
property rights, could subject us to significant liabilities, require us to seek
licenses on unfavorable terms, if available at all, and/or require us to rebrand
our products and services, any of which could adversely affect our business,
financial condition, results of operations and cash flows.</P>
<P align=justify><B>Changes in our relationship with our employees or changes to
domestic and foreign employment regulations<BR></B>We employ approximately
30,000 employees worldwide. As a result, changes in domestic and foreign laws
governing our relationships with our employees, including wage and human
resources laws and regulations, fair labour standards, overtime pay,
unemployment tax rates, workers&#146; compensation rates and payroll taxes, would
likely have a direct impact on our operating costs. The vast majority of our
employees are employed outside of Canada and the United States. A significant
increase in wage rates in the countries in which we operate could have a
material impact on our operating costs. </P>
<P align=justify>The Company has historically been able to operate in a
productive manner in all of its manufacturing facilities without experiencing
significant labour disruptions, such as strikes or work stoppages. Some of our
employees are members of labour organizations and, with the acquisition of Anvil
on May 9, 2012, we are now a party to collective bargaining agreements at our
Anvil sewing facilities in Honduras and Nicaragua. In connection with its
textile operations in the Dominican Republic, the Company was previously a party
to a collective bargaining agreement with a union registered with the Dominican
Ministry of Labor, covering approximately 900 employees. The collective
bargaining agreement was terminated in February 2011 upon the mutual consent of
the Company and the union, although the union is still claiming to represent a
majority of the factory workers. A second union is also claiming that it
represents the majority of the workers at the plant and the matter is now before
the Dominican Republic Labour Court. Notwithstanding the termination of the
agreement, the Company is continuing to provide all of the benefits to the
employees covered by the original agreement. If labour relations were to change
or deteriorate at any of our facilities or any of our third-party contractors&#146;
facilities, this could adversely affect the productivity and cost structure of
the Company&#146;s manufacturing operations.</P>
<P align=justify><B>Negative publicity as a result of violation in local labour
laws or international labour standards, unethical labour and other business
practices <BR></B>We are committed to ensuring that all of our operations comply
with our strict internal Code of Conduct, local and international laws, and the
codes and principles to which we subscribe, including those of Worldwide
Responsible Accredited Production (WRAP) and the Fair Labor Association (FLA).
While the majority of our manufacturing operations are conducted through
company-owned facilities, we also utilize third-party contractors, which we do
not control, to complement our vertically-integrated production. If one of our
own manufacturing operations or one of our third-party contractors or
sub-contractors violates or is accused of violating local or international
labour laws or other applicable regulations, or engages in labour or other
practices that would be viewed, in any market in which our products are sold, as
unethical, we could suffer negative publicity which could harm our reputation
and result in a loss of sales.</P>
<P align=justify><B>Our dependence on key management and our ability to attract
and/or retain key personnel<BR></B>Our success depends upon the continued
contributions of our key management, some of whom have unique talents and
experience and would be difficult to replace in short order. The loss or
interruption of the services of a key executive could have a material adverse
effect on our business during the transitional period that would be required to
restructure the organization or for a successor to assume the responsibilities
of the key management position. Our future success will also depend on our
ability to attract and retain key managers, sales people and other personnel. We
may not be able to attract or retain these employees, which could adversely
affect our business.</P>
<P align=justify><B>Product safety regulation<BR></B>We are subject to consumer
product safety laws and regulations that could affect our business. In the
United States, we are subject to the <I>Consumer Product Safety Act</I>, as
amended by the <I>Consumer Product Safety Improvement Act </I>of 2008, to the
<I>Federal Hazardous Substances Act</I>, to the <I>Flammable Fabrics Act</I>,
</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.39</P>
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    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>and to the rules and regulations promulgated pursuant to such
statutes. Such laws provide for substantial penalties for non-compliance. These
statutes and regulations include requirements for testing and certification for
flammability of wearing apparel, for lead content and lead in surface coatings
in children&#146;s products, and for phthalate content in child care articles,
including plasticized components of children&#146;s sleepwear. As of December 31,
2011, the Consumer Product Safety Commission (the &#147;<B>CPSC</B>&#148;) lifted its stay
of enforcement with respect to phthalate testing and certification, and is
actively enforcing all of the requirements listed above. In addition, we are
also subject to similar laws and regulations in the various individual states in
which our products are sold. </P>
<P align=justify>In Canada, we are subject to similar laws and regulations, the
most significant of which are the <I>Hazardous Products Act </I>(the
&#147;<B>HPA</B>&#148;) and the <I>Canada Consumer Product Safety Act </I>(the
&#147;<B>CCPSA</B>&#148;). The CCPSA came into force on June 20, 2011. It is aimed at
emphasizing industry's responsibility to provide safe products, strengthening
enforcement authorities, providing more and better information for the public,
improving the safety of imported products, ensuring better record keeping, and
instituting mandatory reporting. Regulations currently in place under the HPA
will be incorporated into the CCPSA or, where necessary because of structural
differences between the two statutes, replaced by new CCPSA regulations. For
example, the CCPSA&#146;s <I>Children&#146;s Sleepwear Regulations </I>replaced the HPA&#146;s
<I>Hazardous Products (Children's Sleepwear) Regulations</I>. The CCPSA also
provides for new regulations, such as the textile flammability regulations. As
under U.S. laws, surface coatings and phthalates are also regulated under the
CCPSA.</P>
<P align=justify>In the European Union, we are also subject to product safety
regulations, the most significant of which are imposed pursuant to the
<I>General Product Safety Directive</I>. We are also subject to similar laws and
regulations in the other jurisdictions in which our products are sold. </P>
<P align=justify>Compliance with existing and future product safety laws and
regulations and enforcement policies may require that we incur capital and other
costs, which may be significant. Non-compliance with applicable product safety
laws and regulations may result in substantial fines and penalties, costs
related to the recall, replacement and disposal of non-compliant products, as
well as negative publicity which could harm our reputation and result in a loss
of sales. Our customers may also require us to meet existing and additional
consumer safety requirements, which may result in our inability to provide the
products in the manner required. Although we believe that we are in compliance
in all material respects with applicable product safety laws and regulations in
the jurisdictions in which we operate, the extent of our liability, if any, for
past failure to comply with laws, regulations and permits applicable to our
operations cannot be reasonably determined.</P>
<P align=justify><B>Litigation and/or regulatory actions <BR></B>Our business

involves the risk of legal and regulatory actions regarding such
matters as product liability, employment practices, trademark infringement,
bankruptcies and other claims. Due to the inherent uncertainties of litigation
or regulatory actions in both domestic and foreign jurisdictions, we cannot
accurately predict the ultimate outcome of any such proceedings. These
proceedings could cause us to incur costs and may require us to devote resources
to defend against these claims and could ultimately result in a loss against
these claims or other remedies such as product recalls, which could adversely
affect our financial condition and results of operations.</P>
<P align=justify>As part of the regulatory and legal environments in which we
operate, Gildan is subject to anti-bribery laws that prohibit improper payments
directly or indirectly to government officials, authorities or persons defined
in those anti-bribery laws in order to obtain business or other improper
advantages in the conduct of business. Failure by our employees, subcontractors,
suppliers, agents and/or partners to comply with anti-bribery laws could impact
Gildan in various ways that include, but are not limited to, criminal, civil and
administrative legal sanctions, negative publicity, and could have a significant adverse impact on Gildan&#146;s results.</P>
<P align=justify><B>Data security and privacy breaches<BR></B>Our business
involves the regular collection and use of sensitive and confidential
information regarding customers and employees. These activities are highly
regulated and privacy and information security laws are complex and constantly
changing. Non-compliance with these laws and regulations can lead to legal </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.40</P>
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    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify>liability. Furthermore, despite the security measures we have
in place, any actual or perceived information security breach, whether due to
"cyber attack", computer viruses or human error, could lead to damage to our
reputation and a resulting material adverse effect on our financial condition
and results of operations.</P>
<P align=justify><B><font size="3">DEFINITION AND RECONCILIATION OF NON-GAAP MEASURES</font></B></P>
<P align=justify>We use non-GAAP measures to assess our operating performance
and financial condition. The terms and definitions of the non-GAAP measures used
in this report and a reconciliation of each non-GAAP measure to the most
directly comparable GAAP measure are provided below. The non-GAAP measures are
presented on a consistent basis for all periods presented in this annual
MD&amp;A. These non-GAAP measures do not have any standardized meanings
prescribed by IFRS and are therefore unlikely to be comparable to similar
measures presented by other companies. Accordingly, they should not be
considered in isolation. </P>
<P align=justify><B>Adjusted net earnings and adjusted diluted EPS<BR></B>To
measure our performance from one period to the next, without the variations
caused by the impacts of restructuring and acquisition-related costs, net of
related income tax recoveries, management uses adjusted net earnings and
adjusted diluted earnings per share, which are calculated as net earnings and
diluted earnings per share excluding these items. We exclude these items because
they affect the comparability of our financial results and could potentially
distort the analysis of trends in our business performance. Excluding these
items does not imply they are necessarily non-recurring.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom"><I>(in $ millions, except per share amounts)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom"><B>2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net earnings </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom"><B>148.5</B> </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">234.2 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Adjustments for: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Restructuring and acquisition-related
      costs </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom"><B>15.0</B> </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">18.2 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Income tax
      recovery on restructuring and acquisition-related costs </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom"><B>(6.2</B></TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom"><B>)</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(5.5</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Adjusted net earnings </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom"><B>157.3</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">246.9 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Basic EPS </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom"><B>1.22</B> </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">1.93 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Diluted EPS </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom"><B>1.22</B> </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">1.91 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Adjusted diluted EPS </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom"><B>1.29</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">2.02 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: medium none #000000; "
      align=left valign="bottom" colspan="6"><font size="1">Certain minor rounding variances exist between the financial
statements and this summary.</font></TD>
    <TD style="BORDER-BOTTOM: medium none #000000; "
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify><B>EBITDA<BR></B>EBITDA is calculated as earnings before
financial expenses, income taxes and depreciation and amortization and excludes
the impact of restructuring and acquisition-related costs as well as the equity
earnings in investment in joint venture. We use EBITDA, among other measures, to
assess the operating performance of our business. We also believe this measure
is commonly used by investors and analysts to measure a company&#146;s ability to
service debt and to meet other payment obligations, or as a common valuation
measurement. We exclude depreciation and amortization expenses, which are
non-cash in nature and can vary significantly depending upon accounting methods
or non-operating factors such as historical cost. Excluding these items does not
imply they are necessarily non-recurring.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.41</P>
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    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom"><I>(in $ millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom"><B>2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net earnings </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom"><B>148.5</B> </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">234.2 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Restructuring and acquisition-related costs </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom"><B>15.0</B> </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">18.2 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Depreciation and amortization </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom"><B>94.6</B> </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">74.1 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Financial expenses, net </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom"><B>11.6</B> </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">6.1 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Income tax recovery </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom"><B>(4.3</B></TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom"><B>)</B> </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(19.2</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Equity earnings in
      investment in joint venture </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom"><B>(0.6</B></TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom"><B>)</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(0.5</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">EBITDA </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom"><B>264.8</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">312.9 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: medium none #000000; "
      align=left valign="bottom" colspan="6"><font size="1">Certain minor rounding variances exist between the financial
statements and this summary.</font></TD>
    <TD style="BORDER-BOTTOM: medium none #000000; "
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify><B>Free cash flow<BR></B>Free cash flow is defined as cash from
operating activities including net changes in non-cash working capital balances,
less cash flow used in investing activities excluding business acquisitions. We
consider free cash flow to be an important indicator of the financial strength
and performance of our business, because it shows how much cash is available
after capital expenditures to repay debt and to reinvest in our business, and/or
to redistribute to our shareholders. We believe this measure is commonly used by
investors and analysts when valuing a business and its underlying assets.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><I>(in $ millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom"><B>2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows from operating activities </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom"><B>219.6</B> </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">163.6 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows used in investing activities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom"><B>(162.0</B></TD>
    <TD  width="2%" align=left valign="bottom"><B>)</B> </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(488.0</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Adjustment for: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Business
      acquisitions </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom"><B>87.4</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">342.4
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Free cash flow </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom"><B>145.0</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">18.0 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: medium none #000000; "
      align=left valign="bottom" colspan="6"><font size="1">Certain minor rounding variances exist between the financial
statements and this summary.</font></TD>
    <TD style="BORDER-BOTTOM: medium none #000000; "
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify><B>Total indebtedness and net indebtedness<BR></B>Total
indebtedness is comprised of bank indebtedness and long-term debt (including any
current portion), and net indebtedness is calculated as total indebtedness net
of cash and cash equivalents. We consider total indebtedness and net
indebtedness to be important indicators of the financial leverage of the
Company.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom"><I>(in $ millions)</I> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap valign="bottom"><B>September 30, 2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap valign="bottom">October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Long-term debt and total indebtedness </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom"><B>181.0</B> </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">209.0 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash and cash
      equivalents </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom"><B>(70.4</B></TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom"><B>)</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(82.0</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net indebtedness </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom"><B>110.6</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">127.0 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: medium none #000000; "
      align=left valign="bottom" colspan="6"><font size="1">Certain minor rounding variances exist between the financial
statements and this summary.</font></TD>
    <TD style="BORDER-BOTTOM: medium none #000000; "
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.42</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_43></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<P align=justify><B><font size="3">CAUTION REGARDING FORWARD-LOOKING STATEMENTS</font></B></P>
<P align=justify>Certain statements included in this MD&amp;A constitute
&#147;forward-looking statements&#148; within the meaning of the U.S. <I>Private
Securities Litigation Reform Act of 1995 </I>and Canadian securities legislation
and regulations, and are subject to important risks, uncertainties and
assumptions. This 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 &#147;may&#148;, &#147;will&#148;, &#147;expect&#148;, &#147;intend&#148;,
&#147;estimate&#148;, &#147;project&#148;, &#147;assume&#148;, &#147;anticipate&#148;, &#147;plan&#148;, &#147;foresee&#148;, &#147;believe&#148; or
&#147;continue&#148; or the negatives of these terms or variations of them or similar
terminology. We refer you to the Company&#146;s filings with the Canadian securities
regulatory authorities and the U.S. Securities and Exchange Commission, as well
as the risks described under the &#147;Financial Risk Management&#148; and &#147;Risks and
Uncertainties&#148; sections of this MD&amp;A, and the risks described under the
&#147;Critical Accounting Estimates and Judgments&#148; section of this MD&amp;A for a
discussion of the various factors that may affect the Company&#146;s future results.
Material factors and assumptions that were applied in drawing a conclusion or
making a forecast or projection are also set out throughout this document.</P>
<P align=justify>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. Material factors, which could cause
actual results or events to differ materially from a conclusion, forecast or
projection in such forward-looking information, include, but are not limited
to:</P>
<UL style="TEXT-ALIGN: justify">
  <LI>our ability to implement our growth strategies and plans, including
  achieving market share gains, obtaining and successfully introducing new sales
  programs, implementing cost reduction initiatives and completing and
  successfully integrating acquisitions;
  <LI>the intensity of competitive activity and our ability to compete
  effectively;
  <LI>adverse changes in general economic and financial conditions globally or
  in one or more of the markets we serve;
  <LI>our reliance on a small number of significant customers;
  <LI>the fact that our customers do not commit contractually to minimum
  quantity purchases;
  <LI>our ability to anticipate changes in consumer preferences and trends;
  <LI>our ability to manage production and inventory levels effectively in
  relation to changes in customer demand;
  <LI>fluctuations and volatility in the price of raw materials used to
  manufacture our products, such as cotton and polyester fibres;
  <LI>our dependence on key suppliers and our ability to maintain an
  uninterrupted supply of raw materials and finished goods;
  <LI>the impact of climate, political, social and economic risks in the
  countries in which we operate or from which we source production;
  <LI>disruption to manufacturing and distribution activities due to such
  factors as operational issues, disruptions in transportation logistic
  functions, labour disruptions, political or social instability, bad weather,
  natural disasters, pandemics and other unforeseen adverse events;
  <LI>changes to international trade legislation that the Company is currently
  relying on in conducting its manufacturing operations or the application of
  safeguards thereunder;
  <LI>factors or circumstances that could increase our effective income tax
  rate, including the outcome of any tax audits or changes to applicable tax
  laws or treaties;
  <LI>compliance with applicable environmental, tax, trade, employment, health
  and safety, anti- corruption, privacy and other laws and regulations in the
  jurisdictions in which we operate;
  <LI>our significant reliance on computerized information systems for our
  business operations, including our JD Edwards Enterprise Resource Planning
  (ERP) system which is currently being upgraded to the latest system release,
  Enterprise One;
  <LI>changes in our relationship with our employees or changes to domestic and
  foreign employment laws and regulations; </LI></UL>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.43</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_44></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>MANAGEMENT&#146;S DISCUSSION AND ANALYSIS
  </TD></TR></TABLE>
<UL style="TEXT-ALIGN: justify">
  <LI>negative publicity as a result of violation of local labour laws or
  international labour standards, or unethical labour or other business
  practices by the Company or one of its third-party contractors;
  <LI>our dependence on key management and our ability to attract and/or retain
  key personnel;
  <LI>changes to and failure to comply with consumer product safety laws and
  regulations;
  <LI>adverse changes in third party licensing arrangements and licensed brands;

  <LI>our ability to protect our intellectual property rights;
  <LI>changes in accounting policies and estimates;
  <LI>exposure to risks arising from financial instruments, including credit
  risk, liquidity risk, foreign currency risk and interest rate risk, as well as
  risks arising from commodity prices; and
  <LI>the adverse impact of any current or future legal and regulatory actions.
  </LI></UL>
<P align=justify>These factors may cause the Company&#146;s actual performance and
financial results in future periods to differ materially from any estimates or
projections of future performance or results expressed or implied by such
forward-looking statements. Forward-looking statements do not take into account
the effect that transactions or non-recurring or other special items announced
or occurring after the statements are made, may have on the Company&#146;s business.
For example, they do not include the effect of business dispositions,
acquisitions, other business transactions, asset write-downs, asset impairment
losses or other charges announced or occurring after forward-looking statements
are made. The financial impact of such transactions and non-recurring and other
special items can be complex and necessarily depends on the facts particular to
each of them. </P>
<P align=justify>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&#146;s expectations regarding the Company&#146;s future financial performance
and may not be appropriate for other purposes. Furthermore, unless otherwise
stated, the forward-looking statements contained in this report are made as of
the date hereof, 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
report are expressly qualified by this cautionary statement.</P>
<P align=justify>December 7, 2012</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.44</P>
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<DOCUMENT>
<TYPE>EX-99.2
<SEQUENCE>3
<FILENAME>exhibit99-2.htm
<DESCRIPTION>EXHIBIT 99.2
<TEXT>
<HTML>
<HEAD>
   <TITLE>Gildan Activewear Inc.: Exhibit 99.2 - Filed by newsfilecorp.com</TITLE>
</HEAD>

<BODY style="font-size:10pt;">

<HR noshade align="center" width=100% size=3 color="black">
<A name=page_1></A>
<P align=right><b>Exhibit 99.2</b><A name=page_45></A><BR>
</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap><IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>CONSOLIDATED FINANCIAL
STATEMENTS</TD></TR></TABLE>
<P align=justify><B>MANAGEMENT&#146;S RESPONSIBILITY FOR FINANCIAL REPORTING</B></P>
<P align=justify>The accompanying consolidated financial statements have been
prepared by management and approved by the Board of Directors of the Company.
The consolidated financial statements were prepared in accordance with
International Financial Reporting Standards and, where appropriate, reflect
management&#146;s best estimates and judgments. Where alternative accounting methods
exist, management has chosen those methods deemed most appropriate in the
circumstances. Management is responsible for the accuracy, integrity and
objectivity of the consolidated financial statements within reasonable limits of
materiality, and for maintaining a system of internal controls over financial
reporting as described in &#147;Management&#146;s annual report on internal control over
financial reporting&#148; of the 2012 Annual Management&#146;s Discussion and Analysis.
Management is also responsible for the preparation and presentation of other
financial information included in the 2012 Annual Report and its consistency
with the consolidated financial statements.</P>
<P align=justify>The Audit and Finance Committee, which is appointed annually by
the Board of Directors and comprised exclusively of independent directors, meets
with management as well as with the independent auditors and internal auditors
to satisfy itself that management is properly discharging its financial
reporting responsibilities and to review the consolidated financial statements
and the independent auditors&#146; report. The Audit and Finance Committee reports
its findings to the Board of Directors for consideration in approving the
consolidated financial statements for presentation to the shareholders. The
Audit and Finance Committee considers, for review by the Board of Directors and
approval by the shareholders, the engagement or reappointment of the independent
auditors.</P>
<P align=justify>The consolidated financial statements have been independently
audited by KPMG LLP, on behalf of the shareholders, in accordance with Canadian
generally accepted auditing standards and the standards of the Public Company
Accounting Oversight Board (United States). Their report outlines the nature of
their audit and expresses their opinion on the consolidated financial statements
of the Company. In addition, our auditors have issued an attestation report on
the Company&#146;s internal controls over financial reporting as at September 30,
2012. KPMG LLP has direct access to the Audit and Finance Committee of the Board
of Directors.</P>
<P align=justify>&nbsp;</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>(Signed: Glenn J. Chamandy) </TD>
    <TD width="50%" align=left nowrap>(Signed: Laurence G. Sellyn) </TD></TR>
  <TR>
    <TD nowrap>&nbsp; </TD>
    <TD width="50%" nowrap>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left nowrap>Glenn J. Chamandy </TD>
    <TD width="50%" align=left nowrap>Laurence G. Sellyn </TD></TR>
  <TR vAlign=top>
    <TD align=left nowrap>President and Chief Executive Officer </TD>
    <TD width="50%" align=left nowrap>Executive Vice-President, </TD></TR>
  <TR vAlign=top>
    <TD align=left nowrap>&nbsp; </TD>
    <TD width="50%" align=left nowrap>Chief Financial and Administrative Officer
  </TD></TR>
  <TR>
    <TD nowrap>&nbsp; </TD>
    <TD width="50%" nowrap>&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left nowrap>December 7, 2012 </TD>
    <TD width="50%" align=left nowrap>&nbsp; </TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.45</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_46></A>
<P align=right><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;</TD>
    <TD width="50%" align=right nowrap>CONSOLIDATED FINANCIAL
STATEMENTS</TD></TR></TABLE></P>
<P align=justify><B>INDEPENDENT AUDITORS&#146; REPORT OF REGISTERED PUBLIC ACCOUNTING
FIRM</B></P>
<P align=justify>To the Shareholders of Gildan Activewear Inc.</P>
<P align=justify>We have audited the accompanying consolidated financial
statements of Gildan Activewear Inc. (the "Company"), which comprise the
consolidated statements of financial position as at September 30, 2012, October
2, 2011 and October 4, 2010, the consolidated statements of earnings and
comprehensive income, changes in equity and cash flows for the years ended
September 30, 2012 and October 2, 2011, and notes, comprising a summary of
significant accounting policies and other explanatory information.</P>
<P align=justify><B>Management&#146;s Responsibility for the Consolidated Financial
Statements<BR></B>Management is responsible for the preparation and fair
presentation of these consolidated financial statements in accordance with
International Financial Reporting Standards as issued by the International
Accounting Standards Board, and for such internal control as management
determines is necessary to enable the preparation of consolidated financial
statements that are free from material misstatement, whether due to fraud or
error.</P>
<P align=justify><B>Auditors&#146; Responsibility<BR></B>Our responsibility is to
express an opinion on these consolidated financial statements based on our
audits. We conducted our audits in accordance with Canadian generally accepted
auditing standards and the standards of the Public Company Accounting Oversight
Board (United States). Those standards require that we comply with ethical
requirements and plan and perform the audit to obtain reasonable assurance about
whether the consolidated financial statements are free from material
misstatement.</P>
<P align=justify>An audit involves performing procedures to obtain audit
evidence about the amounts and disclosures in the consolidated financial
statements. The procedures selected depend on our judgment, including the
assessment of the risks of material misstatement of the consolidated financial
statements, whether due to fraud or error. In making those risk assessments, we
consider internal control relevant to the entity&#146;s preparation and fair
presentation of the consolidated financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also includes
evaluating the appropriateness of accounting policies used and the
reasonableness of accounting estimates made by management, as well as evaluating
the overall presentation of the consolidated financial statements.</P>
<P align=justify>We believe that the audit evidence we have obtained in our
audits is sufficient and appropriate to provide a basis for our audit
opinion.</P>
<P align=justify><B>Opinion<BR></B>In our opinion, the consolidated financial
statements present fairly, in all material respects, the consolidated financial
position of Gildan Activewear Inc. as at September 30, 2012, October 2, 2011 and
October 4, 2010, and its consolidated financial performance and its consolidated
cash flows for the years ended September 30, 2012 and October 2, 2011 in
accordance with International Financial Reporting Standards as issued by the
International Accounting Standards Board.</P>
<P align=justify>We have also audited, in accordance with the standards of the
Public Company Accounting Oversight Board (United States), the Company's
internal control over financial reporting as at September 30, 2012, based on
criteria established in <I>Internal Control - Integrated Framework </I>issued by
the Committee of Sponsoring Organizations of the Treadway Commission (COSO), and
our report dated November 28, 2012 expressed an unqualified opinion on the
effectiveness of the Company's internal control over financial
reporting.</P><IMG border=0 src="exhibit99-1x46x2.jpg" width="248" height="73">
<br>
Montr&#233;al, Canada <BR>November 28, 2012<p>&nbsp;</p>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap >*CPA auditor, CA, public accountancy permit No.
    A120841&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD width="65%" align=left style="text-align: justify">KPMG LLP is a Canadian limited liability
      partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG
      International Cooperative ("KPMG International"), a Swiss entity. KPMG Canada provides services to
      KPMG LLP.&nbsp;&nbsp;</TD></TR>
  </TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.46</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_47></A>
<P align=right>CONSOLIDATED FINANCIAL STATEMENTS</P>
<P align=justify><B>REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING
FIRM</B></P>
<P align=justify>To the Shareholders and Board of Directors of Gildan Activewear
Inc.</P>
<P align=justify>We have audited Gildan Activewear Inc.'s internal control over
financial reporting as at September 30, 2012, based on the criteria established
in Internal Control - Integrated Framework issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO)<I>. </I>Gildan Activewear Inc.&#146;s
management is responsible for maintaining effective internal control over
financial reporting and for its assessment of the effectiveness of internal
control over financial reporting as presented in the section entitled
&#147;Management&#146;s Annual Report on Internal Control over Financial Reporting&#148;
included in Management&#146;s Discussion and Analysis. Our responsibility is to
express an opinion on the Company's internal control over financial reporting
based on our audit.</P>
<P align=justify>We conducted our audit in accordance with the standards of the
Public Company Accounting Oversight Board (United States). Those standards
require that we plan and perform the audit to obtain reasonable assurance about
whether effective internal control over financial reporting was maintained in
all material respects. Our audit included obtaining an understanding of internal
control over financial reporting, assessing the risk that a material weakness
exists, and testing and evaluating the design and operating effectiveness of
internal control based on the assessed risk. Our audit also included performing
such other procedures as we considered necessary in the circumstances. We
believe that our audit provides a reasonable basis for our opinion.</P>
<P align=justify>A company's internal control over financial reporting is a
process designed to provide reasonable assurance regarding the reliability of
financial reporting and the preparation of financial statements for external
purposes in accordance with generally accepted accounting principles. A
company's internal control over financial reporting includes those policies and
procedures that (1) pertain to the maintenance of records that, in reasonable
detail, accurately and fairly reflect the transactions and dispositions of the
assets of the company; (2) provide reasonable assurance that transactions are
recorded as necessary to permit preparation of financial statements in
accordance with generally accepted accounting principles, and that receipts and
expenditures of the company are being made only in accordance with
authorizations of management and directors of the company; and (3) provide
reasonable assurance regarding prevention or timely detection of unauthorized
acquisition, use, or disposition of the company's assets that could have a
material effect on the financial statements.</P>
<P align=justify>Because of its inherent limitations, internal control over
financial reporting may not prevent or detect misstatements. Also, projections
of any evaluation of effectiveness to future periods are subject to the risk
that controls may become inadequate because of changes in conditions, or that
the degree of compliance with the policies or procedures may deteriorate.</P>
<P align=justify>In our opinion, Gildan Activewear Inc. maintained, in all
material respects, effective internal control over financial reporting as of
September 30, 2012, based on criteria established in <I>Internal Control -
Integrated Framework </I>issued by the Committee of Sponsoring Organizations of
the Treadway Commission (COSO).</P>
<P align=justify>Management has excluded from its assessment of the
effectiveness of internal control over financial reporting as of September 30,
2012 the internal control over financial reporting of Anvil Holdings, Inc.
(Anvil) which Gildan Activewear Inc. acquired on May 9, 2012. The total assets
and total net sales of Anvil represent approximately 6.5% of the consolidated
total assets and approximately 4.4% of the consolidated net sales included in
the consolidated financial statements of Gildan Activewear Inc. as at and for
the year ended September 30, 2012. Our audit of internal control over financial
reporting of Gildan Activewear Inc. also excluded an evaluation of the internal
control over financial reporting of Anvil.</P>
<P align=justify>We also have audited in accordance with Canadian generally
accepted auditing standards and the standards of the Public Company Accounting
Oversight Board (United States), the consolidated statements of financial
position of Gildan Activewear Inc. as at September 30, 2012, October 2, 2011 and
October 4, 2010 and the related consolidated statements of earnings and
comprehensive income, changes in equity and cash flows for the years ended
September 30, 2012 and October 2, 2011, and our report dated November 28, 2012
expressed an unqualified (unmodified) opinion on those consolidated financial
statements.</P><IMG border=0 src="exhibit99-1x47x1.jpg" width="229" height="68">
<br>
Montr&#233;al, Canada<br>
November 28, 2012<p>&nbsp;</p>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap >*CPA auditor, CA, public accountancy permit No.
    A120841&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </TD>
    <TD width="65%" align=left style="text-align: justify">KPMG LLP is a Canadian limited liability
      partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG
      International Cooperative ("KPMG International"), a Swiss entity. KPMG Canada provides services to
      KPMG LLP.&nbsp;&nbsp;</TD></TR>
  </TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.47</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_48></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>CONSOLIDATED FINANCIAL
STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=bottom>
    <TD align=center><B>GILDAN ACTIVEWEAR INC.</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>CONSOLIDATED STATEMENTS OF FINANCIAL POSITION</B>
  </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>(in thousands of U.S. dollars)</B>
</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">September 30, </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">October 2, </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">October 4, </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(note 29</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(note 29</TD>
    <TD  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Current assets: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Cash and cash equivalents (note 6) </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;70,410 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;82,025 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;250,843 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Trade accounts
      receivable (note 7) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">260,595 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">191,594 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">145,684 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income taxes receivable </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">353 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">515 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Inventories (note 8)
</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">553,068 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">568,311 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">329,518 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Prepaid expenses and deposits </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">14,451 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">10,827 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">8,848 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Assets held for sale
      (note 19) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">8,029 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">13,142 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">3,246 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Other current assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">8,694
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">9,228
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">8,670
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total current assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">915,600 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">875,642 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">746,809 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-current assets: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Property, plant and
      equipment (note 9) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">552,437 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">550,324 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">483,013 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Investment in joint venture </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">12,126 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">13,038 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">12,533 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Intangible assets (note
      10) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">259,981 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">261,653 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">66,811 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Goodwill (note 10) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">141,933 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">141,933 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">10,197 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Deferred income taxes
      (note 20) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">3,371 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Other non-current assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">10,989 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">15,909 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">15,140 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total non-current assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">980,837 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">982,857 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">587,694 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total assets </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;1,896,437 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;1,858,499 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;1,334,503 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Current liabilities: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Accounts payable and
      accrued liabilities </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;256,442 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;297,960 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;179,795 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income taxes payable </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">5,024 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Current portion of
      long-term debt </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">16,879 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total current liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">256,442 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">297,960 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">201,698 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-current liabilities: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Long-term debt (note 12) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">181,000 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">209,000 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Deferred income taxes
      (note 20) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">11,977 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">4,771 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Employee benefit obligations (note 13)
    </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">19,612 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">20,246 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">12,179 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Provisions (note 14)
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">13,042 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">8,226 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">7,951 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total non-current liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">213,654 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">249,449 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">24,901 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">470,096 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">547,409 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">226,599 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Commitments, guarantees and contingent
      liabilities (note 25) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Equity: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Share capital </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">101,113 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">100,436 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">97,036 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Contributed surplus </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">25,579 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">16,526 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">10,091 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Retained earnings </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,306,724 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,194,804 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,002,487 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Accumulated other
      comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(7,075</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(676</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(1,710</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total equity attributable to shareholders of the Company
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">1,426,341 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">1,311,090 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">1,107,904 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total liabilities and equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;1,896,437 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;1,858,499 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;1,334,503 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=justify>See accompanying notes to consolidated financial
statements.</P>
<P align=justify>On behalf of the Board of Directors: </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" align=left nowrap>(Signed: Glenn J.
      Chamandy) </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" width="50%"
      align=left nowrap>(Signed: Russell Goodman) </TD></TR>
  <TR vAlign=top>
    <TD align=left nowrap style="border-style: none; border-width: medium">Director </TD>
    <TD width="50%" align=left nowrap style="border-style: none; border-width: medium">Director </TD></TR>
  <TR vAlign=top>
    <TD align=left nowrap style="border-top-style: none; border-top-width: medium"><B>Glenn J. Chamandy</B> </TD>
    <TD width="50%" align=left nowrap style="border-top-style: none; border-top-width: medium"><B>Russell Goodman</B> </TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.48</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_49></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>CONSOLIDATED FINANCIAL
STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=bottom>
    <TD align=center><B>GILDAN ACTIVEWEAR INC.</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>CONSOLIDATED STATEMENTS OF EARNINGS AND COMPREHENSIVE
      INCOME</B> </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>Years ended September 30, 2012 and October 2, 2011</B>
    </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>(in thousands of U.S. dollars, except per share
      data)</B> </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(note 29</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net sales </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;1,948,253 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;1,725,712 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cost of sales </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">1,552,128 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">1,288,106 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Gross profit </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">396,125 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">437,606 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Selling, general and administrative expenses (note 18) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">226,035 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">198,858 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Restructuring and acquisition-related costs
      (note 19) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">14,962 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">18,177 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Operating income </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">155,128 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">220,571 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Financial expenses, net (note 16(c)) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">11,598 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">6,142 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Equity earnings in investment in joint venture </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(597</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(504</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Earnings before income taxes </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">144,127 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">214,933 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Income tax recovery (note 20) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(4,337</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">(19,223</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net earnings </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">148,464 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">234,156 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Other comprehensive (loss) income, net of related income
      taxes (note 16(d)) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom"></TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom"></TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Cash flow hedges </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(6,399</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">1,034 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Actuarial gain (loss) on employee
      benefit obligations </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">323
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(3,952</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(6,076</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(2,918</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;142,388 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;231,238 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Earnings per share: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Basic (note 21) </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;1.22 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;1.93 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Diluted (note 21) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;1.22 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;1.91 </TD>
    <TD bgColor=#e6efff  width="2%"
  align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>See accompanying notes to consolidated financial statements.
</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.49</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_50></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>CONSOLIDATED FINANCIAL
STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=bottom>
    <TD align=center><B>GILDAN ACTIVEWEAR INC.</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY</B>
</TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>Years ended September 30, 2012 and October 2, 2011</B>
    </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>(in thousands or thousands of U.S. dollars)</B>
  </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">Accumulated </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">other </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="19%" colSpan=4
    align=center valign="bottom" nowrap bordercolor="#000000">Share capital </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">Contributed&nbsp; </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="8%" align=center valign="bottom" nowrap bordercolor="#000000">comprehensive&nbsp;</TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">Retained </TD>
    <TD  width="2%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=center valign="bottom" nowrap bordercolor="#000000">Total </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=center valign="bottom" nowrap bordercolor="#000000">Number </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=center valign="bottom" nowrap bordercolor="#000000">Amount </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=center valign="bottom" nowrap bordercolor="#000000">surplus </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=center valign="bottom" nowrap bordercolor="#000000">income (loss) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=center valign="bottom" nowrap bordercolor="#000000">earnings </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=center valign="bottom" nowrap bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=center valign="bottom" nowrap bordercolor="#000000">equity </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 4, 2010 (note 29) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">121,352 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;97,036 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;10,091 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;(1,710</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" align=left bordercolor="#000000">)
</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;1,002,487
    </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;1,107,904
    </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Share-based compensation related to stock
      options and Treasury restricted share units </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">4,899 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">4,899 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Shares issued under employee share purchase plan </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">23 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">642 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">642 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Shares issued pursuant to exercise of stock
      options </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">379 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">3,594 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">(219</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" align=left bordercolor="#000000">)
</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">3,375 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Shares issued or distributed pursuant to vesting of
      restricted share units </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">26 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">588 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">(588</TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">) </TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Shares issued for costs incurred in a
      business acquisition </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">30 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">1,065 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">1,065 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Shares repurchased and cancelled (note 15) </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">(400</TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">) </TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">(337</TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">) </TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">(10,200</TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">) </TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">(10,537</TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Share repurchases (note 15) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">(79</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" align=left bordercolor="#000000">)
</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">(2,152</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" align=left bordercolor="#000000">)
</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">2,152 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Dividends declared </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">191 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">(27,687</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">(27,496</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Transactions with shareholders of the
      Company recognized directly in equity </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">(21</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">3,400 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">6,435 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">(37,887</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">(28,052</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">) </TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flow hedges </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">1,034 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">1,034 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Actuarial loss on employee benefit obligations </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">(3,952</TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">) </TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">(3,952</TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Net earnings </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">234,156 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="8%" align=right bordercolor="#000000">234,156 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">1,034 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">230,204 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bordercolor="#000000">231,238 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 2, 2011 (note 29) </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">121,331 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;100,436 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;16,526 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;(676</TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">) </TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;1,194,804 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">$</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">&nbsp;1,311,090 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Share-based compensation related to stock options and
      Treasury restricted share units </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">4,606 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">4,606 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Shares issued under employee share purchase
      plan </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">28 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">728 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="8%" align=right bordercolor="#000000">728 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Shares issued pursuant to exercise of stock options </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">56 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">982 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">(209</TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">) </TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">773 </TD>
    <TD vAlign=bottom  width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Shares issued or distributed pursuant to&nbsp;vesting of restricted share units </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">181 </TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">4,957 </TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">(4,957</TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">) </TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" style="border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" style="border-style: none; border-width: medium" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Share-based consideration in connection
      with a business acquisition (note 5) </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium"
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="8%" align=right bordercolor="#000000">3,432 </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="8%" align=right bordercolor="#000000">3,432 </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF" style="border-style: none; border-width: medium" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Share repurchases (note 15) </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">(210</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">(5,990</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">5,929 </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">(61</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; ; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" style="border-top-style: none; border-top-width: medium; border-bottom-style: none; border-bottom-width: medium" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Dividends declared </TD>
    <TD  width="1%" align=left valign="bottom" style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%"
    align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%"
    align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%"
    align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%"
    align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">252 </TD>
    <TD vAlign=bottom  width="2%"
    align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%"
    align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%"
    align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%"
    align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">(36,867</TD>
    <TD vAlign=bottom  width="2%" align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">)
</TD>
    <TD vAlign=bottom  width="1%"
    align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">(36,615</TD>
    <TD vAlign=bottom  width="2%" align=left style="border-top-style: none; border-top-width: medium; border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">)
  </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF" style="border-top-style: none; border-top-width: medium" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Transactions with shareholders of the Company recognized
      directly in equity </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">55 </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">677 </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">9,053 </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">(36,867</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">(27,137</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:solid; border-top-width:1" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">) </TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flow hedges </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" bordercolor="#000000">(6,399</TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">) </TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bgcolor="#E6EFFF" bordercolor="#000000">(6,399</TD>
    <TD vAlign=bottom  width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Actuarial gain on employee benefit
      obligations </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">- </TD>
    <TD vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">323 </TD>
    <TD vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" align=right bordercolor="#000000">323 </TD>
    <TD vAlign=bottom  width="2%"
    align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Net earnings </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">148,464 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="8%"
    align=right bgcolor="#E6EFFF" bordercolor="#000000">148,464 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Comprehensive income (loss) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">(6,399</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">148,787 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">142,388 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bgcolor="#E6EFFF" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom  width="1%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD>
    <TD vAlign=bottom width="8%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp; </TD>
    <TD vAlign=bottom  width="2%" bgcolor="#E6EFFF" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, September 30, 2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">121,386 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">&nbsp;101,113 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">&nbsp;25,579 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">&nbsp;(7,075</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">&nbsp;1,306,724 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="1%" align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="8%" align=right bordercolor="#000000">&nbsp;1,426,341 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
     width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR></TABLE>
<P align=justify>See accompanying notes to consolidated financial
statements.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.50</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_51></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>CONSOLIDATED FINANCIAL
STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=bottom>
    <TD align=center><B>GILDAN ACTIVEWEAR INC.</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>CONSOLIDATED STATEMENTS OF CASH FLOWS</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>Years ended September 30, 2012 and October 2, 2011</B>
    </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>(in thousands of U.S. dollars)</B>
</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(note 29</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows from (used in) operating
      activities: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Net earnings </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;148,464 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;234,156 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;&nbsp;&nbsp;&nbsp; Adjustments to
      reconcile net earnings to cash flows from operating activities (note
      23(a)) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">94,221 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">47,917 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">242,685 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">282,073 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Changes in non-cash
      working capital balances: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp;Trade accounts receivable </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(36,660</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(18,861</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp;Income taxes
      receivable </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">2,440 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(5,341</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp;Inventories </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">77,111 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(177,821</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp;Prepaid expenses
      and deposits </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(1,828</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(569</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp;Other current assets </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(2,368</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">1,553 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp; &nbsp;Accounts payable
      and accrued liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(61,798</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">82,605 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows from operating activities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">219,582 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">163,639 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows from (used in) financing activities: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;(Decrease)
    increase in amounts drawn under revolving long-term credit facility
    </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">(28,000</TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">209,000 </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Dividends paid </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(36,615</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(27,496</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Repayment of other long-term debt </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">(17,233</TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Proceeds from the
      issuance of shares </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">1,501 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">4,017 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Repurchase and cancellation of shares
      (note 15(d)) </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">(10,537</TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Repurchase of shares
      (note 15(e)) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(5,990</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(2,152</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows from (used in) financing activities </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">(69,104</TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">155,599 </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows from (used in) investing activities: </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Purchase of property,
      plant and equipment </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(71,316</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(155,178</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Purchase of intangible assets </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">(5,439</TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">(4,776</TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Business acquisitions
      (note 5) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(87,373</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(342,368</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Proceeds on disposal of corporate asset
      (note 23(a)) </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">13,226 </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Proceeds on disposal of
      assets held for sale </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">600 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">1,125 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Dividend received from investment in
      joint venture </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom" bgcolor="#E6EFFF">1,509
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows used in investing activities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(162,019</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(487,971</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR>
    <TD valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Effect of exchange rate changes on cash and
      cash equivalents denominated in foreign currencies </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(74</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(85</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Net decrease in cash and cash equivalents during the year
    </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">(11,615</TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">(168,818</TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash and cash equivalents, beginning of
      year </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">82,025 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">250,843 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash and cash equivalents, end of year </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;70,410 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;82,025 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash paid during the period (included in cash flows from
      operating activities): </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Interest </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;8,101 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;3,481 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income taxes </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">4,331 </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" bgcolor="#E6EFFF">8,620 </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">Supplemental disclosure of cash flow
      information (note 23) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">See accompanying notes to consolidated
      financial statements. </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%"
  align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.51</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_52></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE>
<P align=justify><B>NOTES TO CONSOLIDATED FINANCIAL STATEMENTS</B></P>
<P align=justify><B>Years ended September 30, 2012 and October 2,
2011<BR></B><B>(Tabular amounts in thousands or thousands of U.S. dollars except
per share data, unless otherwise indicated)</B></P>
<P align=justify><B>1. REPORTING ENTITY:</B></P>
<P align=justify>Gildan Activewear Inc. (the "Company") is domiciled in Canada
and is incorporated under the <I>Canada Business Corporations Act. </I>Its
principal business activity is the manufacture and sale of activewear, socks and
underwear. The Company&#146;s fiscal year ends on the first Sunday following
September 28.</P>
<P align=justify>The address of the Company&#146;s registered office is 600 de
Maisonneuve Boulevard West, Suite 3300, Montreal, Quebec. The consolidated
financial statements include the accounts of the Company and its subsidiaries
and its interest in a joint venture. The Company is a publicly listed entity and
its shares are traded on the Toronto Stock Exchange and New York Stock Exchange
under the symbol GIL.</P>
<P align=justify><B>2. BASIS OF PREPARATION:</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD colSpan=2>
      <P align=justify><B>Statement of compliance:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD colSpan=2>
      <P align=justify>The Company&#146;s consolidated financial statements have been
      prepared in accordance with International Financial Reporting Standards
      (&#147;IFRS&#148;) as issued by the International Accounting Standards Board
      (&#147;IASB&#148;). These are the Company&#146;s first annual consolidated financial
      statements in accordance with IFRS and IFRS 1, First-time Adoption of
      International Financial Reporting Standards has been applied. An
      explanation of the impact of the changeover from previous Canadian GAAP to
      IFRS of our reported financial position, financial performance and cash
      flows is provided in note 29, First Time Adoption of IFRS.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD colSpan=2>
      <P align=justify>These consolidated financial statements for fiscal year
      ended September 30, 2012 were authorized for issuance by the Board of
      Directors of the Company on November 28, 2012.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD colSpan=2>
      <P align=justify><B>Basis of measurement:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD colSpan=2>
      <P align=justify>The consolidated financial statements have been prepared
      on the historical cost basis except for the following items in the
      consolidated statements of financial position:</P></TD></TR>
  <TR>
    <TD width="5%" valign="top"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD valign="top">
      <P align=justify>Derivative financial instruments which are measured at
      fair value;</P></TD></TR>
  <TR>
    <TD width="5%" valign="top"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD valign="top">
      <P align=justify>Non-current assets held for sale which are stated at the
      lower of carrying amount and fair value less costs to sell;</P></TD></TR>
  <TR>
    <TD width="5%" valign="top"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD valign="top">
      <P align=justify>Liabilities for cash-settled share-based payment
      arrangements which are measured at fair value;</P></TD></TR>
  <TR>
    <TD width="5%" valign="top"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD valign="top">
      <P align=justify>Employee benefit obligations related to defined benefit
      plans which are measured as the net total of the fair value of plan assets
      and the present value of the defined benefit obligation;</P></TD></TR>
  <TR>
    <TD width="5%" valign="top"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD valign="top">
      <P align=justify>Provision for decommissioning and site restoration costs
      which is measured at the present value of the expenditures expected to be
      required to settle the obligation;</P></TD></TR>
  <TR>
    <TD width="5%" valign="top"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD valign="top">
      <P align=justify>Contingent consideration in connection with a business
      combination which is measured at fair value; and</P></TD></TR>
  <TR>
    <TD width="5%" valign="top"></TD>
    <TD vAlign=top width="5%">
      <LI>&nbsp;</LI></TD>
    <TD valign="top">
      <P align=justify>Identifiable assets acquired and liabilities assumed in
      connection with a business combination which are initially measured at
      fair value.</P></TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>The functional and presentation
currency of the Company is the U.S. dollar.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.52</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_53></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE>
<P align=justify><B>3. SIGNIFICANT ACCOUNTING POLICIES:</B></P>
<P align=justify>The accounting policies set out below have been applied
consistently to all periods presented in these consolidated financial statements
and in preparing the opening IFRS statement of financial position as at October
4, 2010 for the purposes of the transition to IFRS, unless otherwise
indicated.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD colSpan=2>
      <P align=justify><B>Basis of consolidation:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%"><B>(i)</B> </TD>
    <TD>
      <P align=justify><B>Business combinations:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Business combinations are accounted for using the
      acquisition method. Accordingly, the consideration transferred for the
      acquisition of a business is the fair value of the assets transferred, and
      any debt and equity interests issued by the Company on the date control of
      the acquired company is obtained. The consideration transferred includes
      the fair value of any asset or liability resulting from a contingent
      consideration arrangement. Contingent consideration classified as equity
      is not remeasured and its subsequent settlement is accounted for within
      equity. Contingent consideration classified as an asset or a liability
      that is a financial instrument is remeasured at fair value, with any
      resulting gain or loss recognized in net earnings. Acquisition- related
      costs, other than those associated with the issue of debt or equity
      securities, are expensed as incurred and are included in restructuring and
      acquisition-related costs in the consolidated statement of earnings and
      comprehensive income. Identifiable assets acquired and liabilities and
      contingent liabilities assumed in a business combination are generally
      measured initially at their fair values at the acquisition date. The
      Company recognizes any non-controlling interest in an acquired company on
      an acquisition-by-acquisition basis either at fair value or at the
      non-controlling interest&#146;s proportionate share of the acquired company&#146;s
      net identifiable assets. The excess of the consideration transferred over
      the fair value of the identifiable net assets acquired is recorded as
      goodwill. If the total of consideration transferred and non-controlling
      interest recognized is less than the fair value of the net assets of the
      business acquired, a purchase gain is recognized immediately in the
      statement of earnings and comprehensive income. Intragroup transactions,
      balances and unrealized gains or losses on transactions between group
      companies are eliminated.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%"><B>(ii)</B> </TD>
    <TD>
      <P align=justify><B>Subsidiaries:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Subsidiaries are entities controlled by the Company. The
      financial statements of subsidiaries are included in the consolidated
      financial statements from the date that control commences until the date
      that control ceases. The accounting policies of subsidiaries are aligned
      with the policies adopted by the Company.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%"><B>(iii)</B> </TD>
    <TD>
      <P align=justify><B>Investment in a joint venture:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company&#146;s investment in a yarn spinning joint venture
      with Frontier Spinning Mills, Inc., CanAm Yarns, LLC (&#147;CanAm&#148;) is
      considered a jointly controlled entity over which the Company exercises
      joint control. Investments in jointly controlled entities are accounted
      for using the equity method. Under the equity method of accounting, the
      investment in a joint venture is initially recognized in the consolidated
      statement of financial position at cost and subsequently adjusted to
      recognize the Company&#146;s share of the post-acquisition earnings and
      movements in other comprehensive income in the consolidated statement of
      earnings and comprehensive income. Dividends received by an equity
      accounted investee are deducted from the carrying amount of the investment
      when the dividends are declared. The Company&#146;s investment in a joint
      venture includes goodwill identified on acquisition, if any, net of any
      accumulated impairment losses. If the Company&#146;s share of losses in a joint
      venture equals or exceeds its interests in the joint venture (which
      includes any long- term interests that, in substance, form part of the
      group&#146;s net investment in the joint venture), the Company does not
      recognize further losses, unless it has incurred obligations or made
      payments on behalf of the joint venture. Unrealized gains on transactions
      between the Company and the joint venture are eliminated to the extent of
      the Company&#146;s interest in the joint venture. Unrealized losses are also
      eliminated unless the transaction provides evidence of an impairment of
      the asset transferred. Accounting policies of the joint venture have been
      modified where necessary to ensure consistency with the policies adopted
      by the Company.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD>
  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD colSpan=2>
      <P align=justify><B>Foreign currency translation:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD colSpan=2>
      <P align=justify>Monetary assets and liabilities of the Company&#146;s Canadian
      and foreign operations denominated in currencies other than the U.S.
      dollar are translated using exchange rates in effect at the reporting
      date. Non-monetary assets and liabilities denominated in currencies other
      than U.S. dollars are translated at the rates prevailing at the respective
      transaction dates. Income and expenses denominated in currencies other
      than U.S. dollars are translated at average rates prevailing during the
      year. Gains or losses on foreign exchange are recorded in net earnings,
      and presented in the statement of earnings and comprehensive income within
      financial expenses.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.53</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_54></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>3.</B> <B>SIGNIFICANT ACCOUNTING POLICIES
      (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(c)</B> </TD>
    <TD>
      <P align=justify><B>Cash and cash equivalents:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company considers all liquid investments with
      maturities of three months or less when acquired to be cash
      equivalents.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(d)</B> </TD>
    <TD>
      <P align=justify><B>Trade accounts receivable:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Trade accounts receivable consist of amounts due from our
      normal business activities. An allowance for doubtful accounts is
      maintained to reflect expected credit losses. Bad debts are provided for
      based on collection history and specific risks identified on a
      customer-by-customer basis. Uncollected accounts are written off through
      the allowance for doubtful accounts.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(e)</B> </TD>
    <TD>
      <P align=justify><B>Inventories:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Inventories are stated at the lower of first-in first-out
      cost and net realizable value. Inventory costs include the purchase price
      and other costs directly related to the acquisition of raw materials and
      spare parts held for use in the manufacturing process, and the cost of
      purchased finished goods. Inventory costs also include the costs directly
      related to the conversion of materials to finished goods, such as direct
      labour, and a systematic allocation of fixed and variable production
      overhead, including manufacturing depreciation expense. The allocation of
      fixed production overheads to the cost of inventories is based on the
      normal capacity of the production facilities. Normal capacity is the
      average production expected to be achieved over a number of periods under
      normal circumstances. Net realizable value is the estimated selling price
      in the ordinary course of business, less the estimated costs of completion
      and selling expenses. Raw materials and spare parts are not written down
      if the finished products in which they will be incorporated are expected
      to be sold at or above cost.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(f)</B> </TD>
    <TD>
      <P align=justify><B>Assets held for sale:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Non-current assets are classified as assets held for
      sale, and are reported in current assets in the statement of financial
      position, when their carrying amount is to be recovered principally
      through a sale transaction and a sale is considered highly probable.
      Assets held for sale are stated at the lower of carrying amount and fair
      value less costs to sell.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(g)</B> </TD>
    <TD>
      <P align=justify><B>Property, plant and equipment:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Property, plant and equipment are initially recorded at
      cost, and are subsequently carried at cost less any accumulated
      depreciation and any accumulated impairment losses. The cost of an item of
      property, plant and equipment includes expenditures that are directly
      attributable to the acquisition or construction of an asset. The cost of
      self-constructed assets includes the cost of materials and direct labour,
      site preparation costs, initial delivery and handling costs, installation
      and assembly costs, and any other costs directly attributable to bringing
      the assets to the location and condition necessary for the assets to be
      capable of operating in the manner intended by management. The cost of
      property, plant and equipment also includes, when applicable, the initial
      present value estimate of the costs of dismantling and removing the asset
      and restoring the site on which it is located at the end of its useful
      life, and any applicable borrowing costs. Purchased software that is
      integral to the functionality of the related equipment is capitalized as
      part of other equipment. Subsequent costs are included in an asset&#146;s
      carrying amount or recognized as a separate asset, as appropriate, only
      when it is probable that future economic benefits are present and the cost
      of the item can be measured reliably. The costs of day-to-day servicing of
      property, plant and equipment are expensed as incurred in the consolidated
      statement of earnings and comprehensive income. For the purpose of
      impairment testing of property, plant and equipment, see note 3(j). Gains
      and losses on the disposal of an item of property, plant and equipment are
      determined by comparing the proceeds from disposal with the carrying
      amount of property, plant and equipment, and are recognized in the
      statement of earnings and comprehensive income.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Land is not depreciated. The cost of property, plant and
      equipment less its residual value, if any, is depreciated on a
      straight-line basis over the following estimated useful
  lives:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>Asset </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="20%" align=right
    >Useful life </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Buildings and improvements </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="20%" align=right >5 to 40 years
</TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Manufacturing equipment </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="20%" align=right >3 to 10 years </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Other equipment </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="20%" align=right >2 to 10 years
</TD>
    <TD bgColor=#e6efff  width="2%"
  align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.54</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_55></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>3.</B> <B>SIGNIFICANT ACCOUNTING POLICIES
      (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(g)</B> </TD>
    <TD>
      <P align=justify><B>Property, plant and equipment
  (continued):</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Significant components of property, plant and equipment
      which are identified as having different useful lives are depreciated
      separately over their respective useful lives. Depreciation methods,
      useful lives and residual values, if applicable, are reviewed and
      adjusted, if appropriate, on a prospective basis at the end of each fiscal
      year.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Assets not yet utilized in operations include
      expenditures incurred to date for plant expansions which are still in
      process and equipment not yet placed into service as at the reporting
      date. Depreciation on these assets commences when the assets are available
      for use.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Borrowing costs</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Borrowing costs that are directly attributable to the
      acquisition or construction of a qualifying asset are capitalized as part
      of the cost of the asset. A qualifying asset is one that necessarily takes
      a substantial period of time to get ready for its intended use.
      Capitalization of borrowing costs ceases when the asset is completed and
      ready for its intended use. All other borrowing costs are recognized as
      financial expenses as incurred. The Company had no capitalized borrowing
      costs as at September 30, 2012, October 2, 2011 and October 4,
  2010.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(h)</B> </TD>
    <TD>
      <P align=justify><B>Intangible assets:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Intangible assets are measured at cost less accumulated
      amortization and any accumulated impairment losses. Intangible assets
      include identifiable intangible assets acquired in a business combination,
      and consist of customer contracts and customer relationships, license
      agreements, non-compete agreements, and trademarks. Intangible assets also
      include computer software that is not an integral part of the related
      hardware. For the purpose of impairment testing of intangible assets, see
      note 3(j). Indefinite life intangible assets represent intangible assets
      which the Company controls with no contractual or legal expiration date,
      and therefore are not amortized as there is no foreseeable time limit to
      their useful economic life. An assessment of indefinite life intangible
      assets is performed annually to determine whether events and circumstances
      continue to support an indefinite useful life, and any change in the
      useful life assessment from indefinite to finite is accounted for as a
      change in accounting estimate on a prospective basis. Intangible assets
      with finite lives are amortized on a straight-line basis over the
      following estimated useful-lives:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>Asset </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="22%" align=right
    >Useful life </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Customer contracts and customer
      relationships </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="22%" align=right >7 to 20 years
</TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>License agreements </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="22%" align=right >7 years </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Computer software </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="22%" align=right >4 to 7 years </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Non-compete agreements </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="22%" align=right >2 years </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>Trademarks are not amortized as they
are considered to be indefinite life intangible assets.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="95%" colspan="2">
      The costs of information technology
projects that are directly attributable to the design and testing of
identifiable and unique software products, including internally developed
computer software are recognized as intangible assets when the following
criteria are met:</TD></TR>

  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="5%">
      <LI>&nbsp;</LI></TD>
    <TD valign="top" width="90%">
      it is technically feasible to complete the software
  product so that it will be available for use; </TD></TR>
  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="5%">
      <LI>&nbsp;</LI></TD>
    <TD valign="top" width="90%">
      management intends to complete the software product
  and use it; </TD></TR>
  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="5%">
     <LI>&nbsp;</LI></TD>
    <TD valign="top" width="90%">
     there is an ability to use the software product; </TD></TR>
  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="5%">
     <LI>&nbsp;</LI></TD>
    <TD valign="top" width="90%">
     it can be demonstrated how the software product
  will generate probable future economic benefits; </TD></TR>
  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="5%">
       <LI>&nbsp;</LI></TD>
    <TD valign="top" width="90%">
       adequate technical, financial and other resources
  to complete the development and to use the software product are available; and </TD></TR>
  <TR>
    <TD width="5%" valign="top"></TD>
    <TD valign="top" width="5%">
     <LI>&nbsp;</LI></TD>
    <TD valign="top" width="90%">
     the expenditures attributable to the software
  product during its development can be reliably measured. </TD></TR>
  </TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>Other development expenditures that do
not meet these criteria are recognized as an expense as incurred. Development
costs previously recognized as an expense are not recognized as an asset in a
subsequent period.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.55</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_56></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>3.</B> <B>SIGNIFICANT ACCOUNTING POLICIES
      (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(i)</B> </TD>
    <TD>
      <P align=justify><B>Goodwill:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Goodwill is measured at cost less accumulated impairment
      losses, if any.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Goodwill arising on business combinations on or after
      October 4, 2010</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Goodwill is measured as the excess of the consideration
      transferred and the recognized amount of the non- controlling interest in
      the acquired business, if any, over the fair value of net identifiable
      assets acquired and liabilities assumed of an acquired business. For the
      purpose of impairment testing of goodwill, see note 3(j).</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Goodwill arising on business combinations before
      October 4, 2010</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Goodwill recorded as at October 4, 2010 in connection
      with business combinations which occurred prior to October 4, 2010 is
      included in the consolidated statement of financial position on the basis
      of its deemed cost, which represents the amount recorded under previous
      Canadian GAAP.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(j)</B> </TD>
    <TD>
      <P align=justify><B>Impairment of non-financial assets:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Non-financial assets that have an indefinite useful life
      such as goodwill and trademarks are not subject to amortization and are
      tested annually for impairment or more frequently if events or changes in
      circumstances indicate that the asset might be impaired. Assets that are
      subject to amortization are assessed at the end of each reporting period
      as to whether there is any indication of impairment, or whenever events or
      changes in circumstances indicate that the carrying amount may not be
      recoverable. An impairment loss is recognized for the amount by which the
      asset&#146;s carrying amount exceeds its recoverable amount. The recoverable
      amount is the higher of an asset&#146;s value in use and fair value less costs
      to sell. The recoverable amount is determined for an individual asset,
      unless the asset does not generate cash inflows that are largely
      independent of those from other assets or groups of assets, in which case
      assets are grouped at the lowest levels for which there are separately
      identifiable cash inflows (i.e. cash-generating units or CGUs).</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>In assessing value in use, the estimated future cash
      flows expected to be derived from the asset or CGU by the Company are
      discounted to their present value using a pre-tax discount rate that
      reflects current market assessments of the time value of money and the
      risks specific to the asset and or the CGU. In assessing fair value less
      costs to sell, the Company uses the best information available to reflect
      the amount that the Company could obtain, at the time of the impairment
      test, from the disposal of the asset or CGU in an arm&#146;s length transaction
      between knowledgeable, willing parties, after deducting the estimated
      costs of disposal.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>For the purpose of testing goodwill for impairment,
      goodwill acquired in a business combination is allocated to a CGU or a
      group of CGUs that is expected to benefit from the synergies of the
      combination, regardless of whether other assets or liabilities of the
      acquired company are assigned to those CGUs. Impairment losses recognized
      are allocated first to reduce the carrying amount of any goodwill
      allocated to the CGU, and then to reduce the carrying amounts of the other
      assets in the CGU on a pro rata basis. Impairment losses are recognized in
      net earnings.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Reversal of impairment losses</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>A goodwill impairment loss is not reversed. Impairment
      losses on non-financial assets other than goodwill recognized in prior
      periods are assessed at each reporting date for any indications that the
      loss has decreased or no longer exists. An impairment loss is reversed if
      there has been a change in the estimates used to determine the recoverable
      amount. An impairment loss is reversed only to the extent that the asset&#146;s
      carrying amount does not exceed the carrying amount that would have been
      determined, net of depreciation or amortization, if no impairment loss had
      been recognized.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.56</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_57></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>3.</B> <B>SIGNIFICANT ACCOUNTING POLICIES
      (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(k)</B> </TD>
    <TD>
      <P align=justify><B>Financial instruments:</B></P></TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify><B><I>Financial
assets<BR></I></B>Financial assets are classified into the following categories,
and depend on the purpose for which the financial assets were acquired.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B><I>(i)</I></B> </TD>
    <TD colSpan=2>
      <P align=justify><B><I>Financial assets at fair value through profit or
      loss</I></B></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD colSpan=2 style="text-align: justify">A financial asset is classified at fair value through profit
      or loss (&#147;FVTPL&#148;) if it is classified as held for trading or is designated
      as such upon initial recognition. Derivatives are also categorized as held
      for trading unless they are designated as hedges. Upon initial recognition
      transaction costs are recognized in net earnings as incurred. Financial
      assets at fair value through profit or loss are measured at fair value,
      and changes therein are recognized in net earnings. Assets in this
      category are classified as current assets if expected to be settled within
      12 months; otherwise, they are classified as non-current. The Company
      currently has no financial assets at fair value through profit or
  loss.</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%" style="text-align: justify">&nbsp;</TD>
    <TD style="text-align: justify">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><B><I>(ii)</I></B> </TD>
    <TD colSpan=2 style="text-align: justify">
      <P align=justify><B><I>Held-to-maturity financial assets</I></B></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD colSpan=2 style="text-align: justify">A financial asset is classified as held-to maturity if the
      Company has the intent and ability to hold debt securities to maturity.
      Held-to-maturity financial assets are recognized initially at fair value
      plus any directly attributable transaction costs. Subsequent to initial
      recognition held-to-maturity financial assets are measured at amortized
      cost using the effective interest method, less any impairment losses. Any
      sale or reclassification of a more than insignificant amount of
      held-to-maturity investments not close to their maturity would result in
      the reclassification of all held-to-maturity investments as
      available-for-sale, and prevent the Company from classifying investment
      securities a held-to-maturity for the current and the following two fiscal
      years. The Company currently has no financial assets classified as
      held-to-maturity.</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%" style="text-align: justify">&nbsp;</TD>
    <TD style="text-align: justify">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><B><I>(iii)</I></B> </TD>
    <TD colSpan=2 style="text-align: justify">
      <P align=justify><B><I>Loans and receivables</I></B></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD colSpan=2 style="text-align: justify">
      <P align=justify>Loans and receivables are financial assets with fixed or
      determinable payments that are not quoted in an active market. Such assets
      are recognized initially at fair value plus any directly attributable
      transaction costs. Subsequent to initial recognition loans and receivables
      are measured at amortized cost using the effective interest method, less
      any impairment losses. The Company currently classifies its cash and cash
      equivalents, trade accounts receivable, certain other current assets, and
      long-term non-trade receivable as loans and receivables.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%" style="text-align: justify">&nbsp;</TD>
    <TD style="text-align: justify">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><B><I>(iv)</I></B> </TD>
    <TD colSpan=2 style="text-align: justify">
      <P align=justify><B><I>Available-for-sale financial
  assets</I></B></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD colSpan=2 style="text-align: justify">
      <P align=justify>Available-for-sale financial assets are non-derivative
      financial assets that are designated as available-for-sale and that are
      not classified in any of the previous categories. Subsequent to initial
      recognition, they are measured at fair value and changes therein, other
      than impairment losses are recognized in other comprehensive income and
      presented within equity in accumulated other comprehensive income. When an
      investment is derecognized, the cumulative gain or loss in other
      comprehensive income is transferred to profit or loss. The Company
      currently has no financial assets classified as
  available-for-sale.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%" style="text-align: justify">&nbsp;</TD>
    <TD style="text-align: justify">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD colSpan=2 style="text-align: justify">
      <P align=justify>The Company derecognizes a financial asset when the
      contractual rights to the cash flows from the asset expire, or it
      transfers the rights to receive the contractual cash flows on the
      financial asset in a transaction in which substantially all the risks and
      rewards of ownership of the financial asset are
  transferred.</P></TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify><B><I>Financial liabilities</I></B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%"><B><I>(i)</I></B> </TD>
    <TD>
      <P align=justify><B><I>Financial liabilities at fair value through profit
      or loss</I></B></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Financial liabilities at fair value through profit or
      loss are initially recognized at fair value and are re-measured at each
      reporting date with any changes therein recognized in net earnings. The
      Company currently has no financial liabilities at fair value through
      profit or loss.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.57</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_58></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>3.</B> <B>SIGNIFICANT ACCOUNTING POLICIES
      (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(k)</B> </TD>
    <TD colSpan=2>
      <P align=justify><B>Financial instruments (continued):</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%"><B><I>(ii)</I></B> </TD>
    <TD>
      <P align=justify><B><I>Other financial liabilities</I></B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Other financial liabilities are recognized initially at
      fair value less any directly attributable transaction costs. Subsequent to
      initial recognition other financial liabilities are measured at amortized
      cost using the effective interest method. The Company currently classifies
      accounts payable and accrued liabilities (excluding derivative financial
      instruments designated as effective hedging instruments and contingent
      consideration), and long-term debt as other financial
  liabilities.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Financial assets and liabilities are offset and the net
      amount presented in the statement of financial position when, and only
      when, the Company has a legal right to offset the amounts and intends
      either to settle on a net basis or to realize the asset and settle the
      liability simultaneously.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company derecognizes a financial liability when its
      contractual obligations are discharged or cancelled or
  expire.</P></TD></TR></TABLE>
<BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="95%" colspan="2">
     <B><I>Fair value of financial
instruments</I></B></TD>
    </TR>

  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="95%" colspan="2">
     Financial instruments measured at fair value use the
following fair value hierarchy to prioritize the inputs used in measuring fair
value:</TD>
    </TR>

  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="5%">
     <LI>&nbsp;</LI></TD>
    <TD valign="top" width="90%">
     Level 1: quoted prices (unadjusted) in active
  markets for identical assets or liabilities; </TD></TR>
  <TR>
    <TD width="5%" valign="top">&nbsp;</TD>
    <TD valign="top" width="5%">
       <LI>&nbsp;</LI></TD>
    <TD valign="top" width="90%">
       Level 2: inputs other than quoted prices included
  within Level 1 that are observable for the asset or liability, either directly
  (i.e. as prices) or indirectly (i.e. derived from prices); and </TD></TR>
  <TR>
    <TD width="5%" valign="top"></TD>
    <TD valign="top" width="5%">
     <LI>&nbsp;</LI></TD>
    <TD valign="top" width="90%">
     Level 3: inputs for the asset or liability that are
  not based on observable market data. </TD></TR>
  </TABLE>&nbsp;
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Impairment of financial assets</I></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company assesses at the end of each reporting period
      whether there is objective evidence that a financial asset or group of
      financial assets is impaired. A financial asset or a group of financial
      assets is impaired and impairment losses are incurred only if there is
      objective evidence of impairment as a result of one or more events that
      occurred after the initial recognition of the asset (a &#145;loss event&#146;) and
      that loss event (or events) has an impact on the estimated future cash
      flows of the financial asset or group of financial assets that can be
      reliably estimated. Evidence of impairment may include indications that
      the debtors or a group of debtors is experiencing significant financial
      difficulty, default or delinquency in interest or principal payments, the
      probability that they will enter bankruptcy or other financial
      reorganization, and where observable data indicate that there is a
      measurable decrease in the estimated future cash flows, such as changes in
      arrears or economic conditions that correlate with defaults.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>If, in a subsequent period, the amount of the impairment
      loss decreases and the decrease can be related objectively to an event
      occurring after the impairment was recognized (such as an improvement in
      the debtor&#146;s credit rating), the reversal of the previously recognized
      impairment loss is recognized in net earnings.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%"><B>(l)</B> </TD>
    <TD>
      <P align=justify><B>Derivative financial instruments and hedging
      relationships:</B></P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company enters into derivative financial instruments
      to hedge its market risk exposures. On initial designation of the hedge,
      the Company formally documents the relationship between the hedging
      instruments and hedged items, including the risk management objectives and
      strategy in undertaking the hedge transaction, together with the methods
      that will be used to assess the effectiveness of the hedging relationship.
      The Company makes an assessment, both at the inception of the hedge
      relationship as well as on an ongoing basis, whether the hedging
      instruments are expected to be &#147;highly effective&#148; in offsetting the
      changes in the fair value or cash flows of the respective hedged items
      during the period for which the hedge is designated, and whether the
      actual results of each hedge are within a range of 80-125 percent. For a
      cash flow hedge of a forecasted transaction, the transaction should be
      highly probable to occur and should present an exposure to variations in
      cash flows that could ultimately affect reported net earnings.</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Derivatives are recognized initially at fair value, and
      attributable transaction costs are recognized in net earnings as incurred.
      Subsequent to initial recognition, derivatives are measured at fair value,
      and changes therein are accounted for as described
below.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.58</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_59></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>3.</B> <B>SIGNIFICANT ACCOUNTING POLICIES
      (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(l)</B> </TD>
    <TD>
      <P align=justify><B>Derivative financial instruments and hedging
      relationships (continued):</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Cash flow hedges</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>When a derivative is designated as the hedging instrument
      in a hedge of the variability in cash flows attributable to a particular
      risk associated with a recognized asset or liability or a highly probable
      forecasted transaction that could affect net earnings, the effective
      portion of changes in the fair value of the derivative is recognized in
      other comprehensive income and presented in accumulated other
      comprehensive income in equity. The intrinsic value of zero-cost collar
      options is designated as cash flow hedges. Consequently, gains and losses
      related to the time value of zero-cost collar options are immediately
      recognized in earnings in the same caption as the item being hedged. The
      amount recognized in other comprehensive income is removed and included in
      net earnings in the same period as the hedged cash flows affect net
      earnings under the same line item in the consolidated statement of
      earnings and comprehensive income as the hedged item. Any ineffective
      portion of changes in the fair value of the derivative is recognized
      immediately in net earnings. If the hedging instrument no longer meets the
      criteria for hedge accounting, expires or is sold, terminated, exercised,
      or the designation is revoked, then hedge accounting is discontinued
      prospectively. The cumulative gain or loss previously recognized in other
      comprehensive income remains in accumulated other comprehensive income
      until the forecasted transaction affects profit or loss. If the forecasted
      transaction is no longer expected to occur, then the balance in
      accumulated other comprehensive income is recognized immediately in net
      earnings.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>When the hedged item is a non-financial asset, the amount
      recognized in other comprehensive income is transferred to net earnings in
      the same period that the hedged item affects net earnings.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Embedded derivatives</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Embedded derivatives are separated from the host contract
      and accounted for separately if the economic characteristics and risks of
      the host contract and the embedded derivative are not closely related, a
      separate instrument with the same terms as the embedded derivative would
      meet the definition of a derivative, and the combined instrument is not
      measured at fair value through profit or loss.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Other derivatives</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>When a derivative financial instrument is not designated
      in a qualifying hedge relationship, all changes in its fair value are
      recognized immediately in net earnings.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(m)</B> </TD>
    <TD>
      <P align=justify><B>Accounts payable and accrued
liabilities:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Accounts payable and accrued liabilities are recognized
      initially at fair value and subsequently measured at amortized cost using
      the effective interest method. Accounts payable and accrued liabilities
      are classified as current liabilities if payment is due within one year,
      otherwise, they are presented as non-current liabilities.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(n)</B> </TD>
    <TD>
      <P align=justify><B>Long-term debt:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Long-term debt is recognized initially at fair value, and
      is subsequently carried at amortized cost. Initial facility fees are
      deferred and treated as an adjustment to the instrument's effective
      interest rate and recognized as an expense over the instrument's estimated
      life if it is probable that the facility will be drawn down. However, if
      it is not probable that a facility will be drawn down, then the fees are
      considered service fees and are deferred and recognized as an expense on a
      straight-line basis over the commitment period.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company classifies its existing revolving long-term
      credit facility as a non-current liability on the basis that the Company
      has the discretion to refinance or rollover amounts drawn under the
      facility for at least twelve months following the reporting
date.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(o)</B> </TD>
    <TD>
      <P align=justify><B>Employee benefits:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;
      </TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Short-term employee benefits</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Short-term employee benefits include wages, salaries,
      compensated absences and bonuses. Short-term employee benefit obligations
      are measured on an undiscounted basis and are expensed as the related
      service is provided. A liability is recognized for the amount expected to
      be paid under short-term cash bonus or profit sharing plans if the Company
      has a present legal or constructive obligation to pay this amount as a
      result of past service provided by the employee, and the obligation can be
      estimated reliably. Short-term employee benefit obligations are included
      in accounts payable and accrued liabilities.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.59</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_60></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><B>3. SIGNIFICANT ACCOUNTING POLICIES (continued):</B>
  </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(o)</B> </TD>
    <TD>
      <P align=justify><B>Employee benefits (continued):</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Defined contribution plans</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company offers group defined contribution plans to
      eligible employees whereby the Company matches employees' contributions up
      to a fixed percentage of the employee's salary. Contributions by the
      Company to trustee-managed investment portfolios or employee associations
      are expensed as incurred. Benefits are also provided to employees through
      defined contribution plans administered by the governments in the
      countries in which the Company operates. The Company&#146;s contributions to
      these plans are recognized in the period when services are
  rendered.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Defined benefit plans</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company also maintains a funded qualified defined
      benefit plan (&#147;Retirement Plan&#148;) covering certain employees of Gold Toe
      Moretz. The Retirement Plan has been frozen since January 1, 2007, and as
      such no additional employees became participants in the Retirement Plan
      and existing participants in the Retirement Plan ceased accruing any
      additional benefits after that date. The pension obligation is actuarially
      determined using the projected benefit method to determine plan
      obligations and related periodic costs. Assets of the Retirement Plan are
      invested in high quality money market funds and are recorded at fair
      value. Plan valuations require economic assumptions, including expected
      rates of return on plan assets, discount rates to value plan obligations,
      and participant demographic assumptions including mortality rates. Because
      the Retirement Plan is frozen, salary escalation is not considered in the
      actuarial valuation, and there are no current service costs
    incurred.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company also maintains a liability for statutory
      severance and pre-notice benefit obligations for active employees located
      in the Caribbean Basin and Central America which is payable to the
      employees in a lump sum payment upon termination of employment. The
      liability is based on management&#146;s best estimates of the ultimate costs to
      be incurred to settle the liability and is based on a number of
      assumptions and factors, including historical trends, actuarial
      assumptions and economic conditions.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Liabilities related to defined benefit plans are included
      in employee benefit obligations in the consolidated statement of financial
      position. Actuarial gains and losses arising from experience adjustments
      and changes in actuarial assumptions are recognized directly to other
      comprehensive income in the period in which they arise, and are
      immediately transferred to retained earnings without reclassification to
      net earnings in a subsequent period.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(p)</B> </TD>
    <TD>
      <P align=justify><B>Provisions:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Provisions are recognized when the Company has a present
      legal or constructive obligation as a result of past events, it is
      probable that an outflow of resources will be required to settle the
      obligation, and the amount has been reliably estimated. Provisions are not
      recognized for future operating losses. Provisions are measured at the
      present value of the expenditures expected to be required to settle the
      obligation using a pre-tax rate that reflects current market assessments
      of the time value of money and the risks specific to the obligation. The
      increase in the provision due to passage of time is recognized as
      financial expense.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Decommissioning and site restoration
  costs</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company recognizes decommissioning and site
      restoration obligations for future removal and site restoration costs
      associated with the restoration of certain property, plant and equipment
      should it decide to discontinue some of its activities. A corresponding
      amount is added to the carrying value of the related asset and amortized
      over the remaining life of the underlying asset.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Onerous contracts</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>A provision for onerous contracts is recognized if the
      unavoidable costs of meeting the obligations specified in a contractual
      arrangement exceed the economic benefits expected to be received from the
      contract. Provisions for onerous contracts are measured at the lower of
      the cost of fulfilling the contract and the expected cost of terminating
      the contract.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.60</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_61></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>3.</B> <B>SIGNIFICANT ACCOUNTING POLICIES
      (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(q)</B> </TD>
    <TD>
      <P align=justify><B>Share capital:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Common shares are classified as equity. Incremental costs
      directly attributable to the issue of common shares and stock options are
      recognized as a deduction from equity, net of any tax effects.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>When the Company repurchases its own shares, the
      consideration paid, including any directly attributable incremental costs
      (net of income taxes) is deducted from equity attributable to the
      company&#146;s equity holders until the shares are cancelled or reissued. Where
      such common shares are subsequently reissued, any consideration received,
      net of any directly attributable incremental transaction costs and the
      related income tax effects, is included in equity attributable to the
      Company&#146;s equity holders.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(r)</B> </TD>
    <TD>
      <P align=justify><B>Dividends declared:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Dividends declared to the Company&#146;s shareholders are
      recognized as a liability in the consolidated statement of financial
      position in the period in which the dividends are approved by the
      Company&#146;s Board of Directors.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(s)</B> </TD>
    <TD>
      <P align=justify><B>Revenue recognition:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Revenue is recognized upon shipment of products to
      customers, since title passes upon shipment, and to the extent that the
      selling price is fixed or determinable. At the time of sale, estimates are
      made for customer price discounts and volume rebates based on the terms of
      existing programs. Sales are recorded net of these program costs and
      estimated sales returns, which are based on historical experience, current
      trends and other known factors, and exclude sales taxes. New programs
      which relate to prior sales are recognized at the time the new program is
      introduced.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(t)</B> </TD>
    <TD>
      <P align=justify><B>Cost of sales and gross profit:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Cost of sales includes all raw material costs,
      manufacturing conversion costs, including manufacturing depreciation
      expense, sourcing costs, inbound freight and inter-facility transportation
      costs, and outbound freight to customers. Cost of sales also includes the
      cost of purchased finished goods, costs relating to purchasing, receiving
      and inspection activities, manufacturing administration, third-party
      manufacturing services, sales-based royalty costs, insurance, inventory
      write-downs, and customs and duties. Gross profit is the result of sales
      less cost of sales. The Company&#146;s gross profit may not be comparable to
      this metric as reported by other companies, since some entities include
      warehousing and handling costs, and/or exclude depreciation expense,
      outbound freight to customers and royalty costs from cost of
  sales.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(u)</B> </TD>
    <TD>
      <P align=justify><B>Selling, general and administrative
    expenses:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Selling, general and administrative (&#147;SG&amp;A&#148;) expenses
      include warehousing and handling costs, selling and administrative
      personnel costs, co-op advertising and marketing expenses, costs of leased
      facilities and equipment, professional fees, non-manufacturing
      depreciation and amortization expense, and other general and
      administrative expenses. SG&amp;A expenses also include bad debt expense
      and amortization of intangible assets.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(v)</B> </TD>
    <TD>
      <P align=justify><B>Product introduction expenditures:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Product introduction expenditures are one-time fees paid
      to retailers to allow the Company&#146;s products to be placed on store
      shelves. These fees are recognized as a reduction in revenue. If the
      Company receives a benefit over a period of time and certain other
      criteria are met, these fees are recorded as an asset and are amortized as
      a reduction of revenue over the term of the arrangement. The Company
      evaluates the recoverability of these assets on a quarterly
  basis.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(w)</B> </TD>
    <TD>
      <P align=justify><B>Restructuring and acquisition-related
  costs:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Restructuring and acquisition-related costs are expensed
      when incurred, or when a legal or constructive obligation exists.
      Restructuring and acquisition-related costs are comprised of costs
      directly related to the closure of business locations or the relocation of
      business activities, changes in management structure, as well as
      transaction and integration costs incurred pursuant to business
      acquisitions. Restructuring and acquisition-related costs include:
      severance and termination benefits, including the termination of employee
      benefit plans; gains or losses from the re-measurement and disposal of
      assets held for sale; facility exit and closure costs; costs incurred to
      eliminate redundant business activities pursuant to business acquisitions;
      legal, accounting and other professional fees (excluding costs of issuing
      debt or equity) directly incurred in connection with a business
      acquisition; purchase gains on business acquisitions; and the
      re-measurement of liabilities related to contingent consideration incurred
      in connection with a business acquisition.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.61</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_62></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>3.</B> <B>SIGNIFICANT ACCOUNTING POLICIES
      (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(x)</B> </TD>
    <TD>
      <P align=justify><B>Cotton-based yarn procurements:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company contracts to buy cotton-based yarn with
      future delivery dates at fixed prices in order to reduce the effects of
      fluctuations in the prices of cotton used in the manufacture of its
      products. These contracts are not used for trading purposes and are not
      considered to be financial instruments. The Company commits to fixed
      prices on a percentage of its cotton-based yarn requirements up to
      eighteen months in the future. If the cost of committed prices for
      cotton-based yarn plus estimated costs to complete production exceed
      current selling prices, a loss is recognized for the excess as a charge to
      cost of sales.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(y)</B> </TD>
    <TD>
      <P align=justify><B>Financial expenses (income):</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Financial expenses (income) include: interest expense on
      borrowings, including realized gains and/or losses on interest rate swaps
      designated for hedge accounting; bank and other financial charges;
      interest income on funds invested; accretion of interest on discounted
      provisions; net foreign currency losses and/or gains; and losses and/or
      gains on financial derivatives that do not meet the criteria for effective
      hedge accounting.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(z)</B> </TD>
    <TD>
      <P align=justify><B>Income taxes:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Income tax expense is comprised of current and deferred
      income taxes, and is included in net earnings except to the extent that it
      relates to a business acquisition, or items recognized directly in equity
      or in other comprehensive income. Current tax is the expected tax payable
      or receivable on the taxable income or loss for the year, using tax rates
      enacted or substantively enacted at the reporting date, and any adjustment
      to tax payable in respect of previous years.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Deferred income tax assets and liabilities are measured
      at the tax rates that are expected to be applied to temporary differences
      when they reverse, based on the laws that have been enacted or
      substantively enacted by the reporting date, for all temporary differences
      caused when the tax bases of assets and liabilities differ from those
      reported in the financial statements. The Company recognizes deferred
      income tax assets for unused tax losses, and deductible temporary
      differences only to the extent that, in management&#146;s opinion, it is
      probable that future taxable profit will be available against which the
      temporary differences can be utilized. Deferred tax assets are reviewed at
      each reporting date and are reduced to the extent that it is no longer
      probable that the related tax benefit will be realized. Deferred income
      tax is provided on temporary differences arising on the Company&#146;s
      investments in subsidiaries and its jointly-controlled entity, except for
      deferred income tax liabilities where the timing of the reversal of the
      temporary difference is controlled by the group and it is probable that
      the temporary difference will not reverse in the foreseeable future.
      Deferred tax is not recognized for the following temporary differences:
      the initial recognition of assets or liabilities in a transaction that is
      not a business combination and that affects neither accounting nor taxable
      profit or loss, and differences relating to investments in subsidiaries
      and jointly controlled entities to the extent that it is probable that
      they will not reverse in the foreseeable future. In addition, deferred tax
      is not recognized for taxable temporary differences arising on the initial
      recognition of goodwill.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Deferred income tax assets and liabilities are offset
      when there is a legally enforceable right to offset and when the deferred
      income taxes assets and liabilities relate to income taxes levied by the
      same taxation authority on either the same taxable entity or different
      taxable entities where there is an intention to settle the balances on a
      net basis.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>In determining the amount of current and deferred income
      taxes, the Company takes into account the impact of uncertain tax
      positions and whether additional taxes and interest may be due. Provisions
      for uncertain tax positions are measured at the best estimate of the
      amounts expected to be paid upon ultimate resolution. The Company
      periodically reviews and adjusts its estimates and assumptions of income
      tax assets and liabilities as circumstances warrant, such as changes to
      tax laws, administrative guidance, change in management&#146;s assessment of
      the technical merits of its positions due to new information, and the
      resolution of uncertainties through either the conclusion of tax audits or
      expiration of prescribed time limits within relevant
  statutes.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.62</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_63></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE>
<P align=justify><B>3. SIGNIFICANT ACCOUNTING POLICIES (continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(aa)</B> </TD>
    <TD>
      <P align=justify><B>Earnings per share:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Basic earnings per share are computed by dividing net
      earnings by the weighted average number of common shares outstanding for
      the year. Diluted earnings per share are computed using the weighted
      average number of common shares outstanding for the period adjusted to
      include the dilutive impact of stock options and restricted share units.
      The number of additional shares is calculated by assuming that all common
      shares held in trust for the purpose of settling Non-treasury restricted
      share units have been delivered, all dilutive outstanding options are
      exercised and all dilutive outstanding Treasury restricted share units
      have vested, and that the proceeds from such exercises, as well as the
      amount of unrecognized share-based compensation which is considered to be
      assumed proceeds, are used to repurchase common shares at the average
      share price for the period. For Treasury restricted share units, only the
      unrecognized share-based compensation is considered assumed proceeds since
      there is no exercise price paid by the holder.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><STRONG>(bb)</STRONG></TD>
    <TD width="95%" align=left><B>Share based payments:</B>
</TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify><I>Stock options and Treasury
restricted share units<BR></I>Stock options and Treasury restricted share units
are equity settled share based payments, which are measured at fair value at the
grant date. For stock options, the compensation cost is measured using the
Black-Scholes option pricing model, and is expensed over the award's vesting
period. For Treasury restricted share units, compensation cost is measured at
the fair value of the underlying common share, and is expensed over the award's
vesting period. Compensation expense is recognized in net earnings with a
corresponding increase in contributed surplus. Any consideration paid by plan
participants on the exercise of stock options is credited to share capital. Upon
the exercise of stock options and the vesting of Treasury restricted share
units, the corresponding amounts credited to contributed surplus are transferred
to share capital. Stock options and Treasury restricted share units that are dilutive and meet the non-market performance conditions as at the reporting date
are considered in the calculation of diluted earnings per share, as per note
3(aa) to these consolidated financial statements.</P>
<P style="MARGIN-LEFT: 5%" align=justify><I>Non-Treasury restricted share units
expected to be settled in cash<BR></I>Non-Treasury restricted share units are
expected to be settled in cash, except to the extent that common shares have
been purchased on the open market and held in a trust for the purpose of
settling the Non-Treasury restricted share units in shares in lieu of cash.
Non-Treasury restricted share units expected to be settled in cash are accounted
for as cash settled awards, with the recognized compensation expense included in
accounts payable and accrued liabilities. Compensation expense is initially
measured at fair value at the grant date and is recognized in net earnings over
the vesting period. The liability is re-measured at fair value, based on the
market price of the Company&#146;s common shares, at each reporting date.
Re-measurements during the vesting period are recognised immediately to net
earnings to the extent that they relate to past services, and recognition is
amortized over the remaining vesting period to the extent that they relate to
future services. The cumulative compensation cost that will ultimately be
recognized is the fair value of the Company's shares at the settlement date.
</P>
<P style="MARGIN-LEFT: 5%" align=justify><I>Non-Treasury restricted share units
expected to be settled in common shares<BR></I>Non-Treasury restricted share
units are expected to be settled in common shares only when common shares have
been purchased on the open market and held in a trust for the purpose of
settling a corresponding amount of non-Treasury restricted share units in common
shares in lieu of cash. At the time common shares are purchased on the open
market and designated for future settlement of a corresponding amount of
non-Treasury restricted share units, any accumulated accrued compensation
expense previously credited to accounts payable and accrued liabilities for such
non-Treasury restricted share units is transferred to contributed surplus, and
compensation expense continues to be recognized over the remaining vesting
period, based on the purchase cost of the common shares that are held in trust,
with a corresponding increase to contributed surplus. In addition, the common
shares purchased by the trust are considered as being temporarily held in
treasury, as described in note 15(e) to these consolidated financial statements.
Upon delivery of the common shares for settlement of vesting non-Treasury
restricted share units, the corresponding amounts in contributed surplus are
transferred to share capital.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.63</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_64></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><B>3. SIGNIFICANT ACCOUNTING POLICIES (continued):</B>
  </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><STRONG>(bb)</STRONG></TD>
    <TD width="95%" align=left><B>Share based payments (continued):</B> </TD></TR>
  <TR>
    <TD align=left>&nbsp;</TD>
    <TD width="95%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp;</TD>
    <TD width="95%" align=left><I>Estimates for forfeitures and performance
      conditions</I> </TD></TR>
  <TR vAlign=top>
    <TD align=left></TD>
    <TD width="95%" align=left>
      <P align=justify>The measurement of compensation expense for stock
      options, Treasury restricted share units and non-Treasury restricted share
      units is net of estimated forfeitures. For the portion of Treasury
      restricted share units and Non- Treasury restricted share units that are
      issuable based on non-market performance conditions, the amount recognized
      as an expense is adjusted to reflect the number of awards for which the
      related service and performance conditions are expected to be met, such
      that the amount ultimately recognized as an expense is based on the number
      of awards that do meet the related service and non-market performance
      conditions at the vesting date. </P></TD></TR>
  <TR>
    <TD>&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp;</TD>
    <TD width="95%" align=left><I>Deferred share unit plan</I> </TD></TR>
  <TR vAlign=top>
    <TD align=left></TD>
    <TD width="95%" align=left>
      <P align=justify>The Company has a deferred share unit plan for
      independent members of the Company&#146;s Board of Directors, who receive a
      portion of their compensation in the form of deferred share units
      (&#147;DSUs&#148;). These DSUs are cash settled awards, and are initially recognized
      in net earnings based on fair value at the grant date. The DSU obligation
      is included in accounts payable and accrued liabilities and is re-measured
      at fair value, based on the market price of the Company&#146;s common shares,
      at each reporting date. </P></TD></TR>
  <TR>
    <TD>&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp;</TD>
    <TD width="95%" align=left><I>Employee share purchase plans</I> </TD></TR>
  <TR vAlign=top>
    <TD align=left></TD>
    <TD width="95%" align=left>
      <P align=justify>For employee share purchase plans, the Company's
      contribution, on the employee's behalf, is recognized as compensation
      expense with an offset to share capital, and consideration paid by
      employees on purchase of common shares is also recorded as an increase to
      share capital. </P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(cc)</B> </TD>
    <TD>
      <P align=justify><B>Leases:</B></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Leases in which a significant portion of the risks and
      rewards of ownership are not assumed by the Company are classified as
      operating leases. Payments made under operating leases (net of any
      incentives received from the lessor) are charged to net earnings on a
      straight-line basis over the lease term.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Leases of property, plant and equipment where the Company
      has substantially all of the risks and rewards of ownership are classified
      as finance leases. Finance leases are capitalized at the lease&#146;s
      commencement at the lower of the fair value of the leased property and the
      present value of the minimum lease payments. The property, plant and
      equipment acquired under finance leases are depreciated over the shorter
      of the useful life of the asset and the lease term.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Determining whether an arrangement contains a
      lease</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>At inception of an arrangement where the Company receives
      the right to use an asset, the Company determines whether such an
      arrangement is or contains a lease. A specific asset is the subject of a
      lease if fulfillment of the arrangement is dependent on the use of that
      specified asset. An arrangement conveys the right to use the asset if the
      arrangement conveys to the Company the right to control the use of the
      underlying asset.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><STRONG>(dd) </STRONG></TD>
    <TD width="95%" align=left><B>Use of estimates and judgments:</B> </TD></TR>
  <TR vAlign=top>
    <TD align=left></TD>
    <TD width="95%" align=left>
      <P align=justify>The preparation of financial statements in conformity
      with IFRS requires management to make estimates and assumptions that
      affect the application of accounting policies and the reported amounts of
      assets, liabilities, income and expenses. Actual results may differ from
      these estimates. </P></TD></TR>
  <TR>
    <TD>&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD align=left></TD>
    <TD width="95%" align=left>
      <P align=justify>Estimates and underlying assumptions are reviewed on an
      ongoing basis. Revisions to accounting estimates are recognized in the
      period in which the estimates are revised and in any future periods
      affected. The Company has not made any significant changes to its
      estimates in the past two years. </P></TD></TR></TABLE><BR>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.64</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_65></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><B>3. SIGNIFICANT ACCOUNTING POLICIES (continued):</B>
  </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=right >
      <P align=justify><STRONG>(dd)&nbsp;</STRONG>&nbsp;</P></TD>
    <TD width="95%" align=right>
      <P align=justify><B>Use of estimates and judgments (continued):</B>
  </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><B><I>Critical judgments in applying accounting
      policies</I></B><B>:</B> </TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>The following are critical judgements that management has
      made in the process of applying accounting policies and that have the most
      significant effect on the amounts recognized in the consolidated financial
      statements: </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><I>Determination of Cash Generating Units
      (CGUs)</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>The identification of CGUs and grouping of assets into
      the respective CGUs is based on currently available information about
      actual utilization experience and expected future business plans.
      Management has taken into consideration various factors in identifying its
      CGUs including how the Company manages and monitors its operations, which
      is essentially based on operating segments that are organized by the major
      customer markets they serve. As such, the Company has identified its CGUs
      for purposes of testing the recoverability and impairment of non-financial
      assets to be the same as the segments used for financial reporting
      purposes, which are the Printwear and Branded Apparel operating segments.
      </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><I>Income taxes</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>The Company&#146;s income tax provisions and income tax assets
      and liabilities are based on interpretations of applicable tax laws,
      including income tax treaties between various countries in which the
      Company operates as well as underlying rules and regulations with respect
      to transfer pricing. These interpretations involve judgments and estimates
      and may be challenged through government taxation audits that the Company
      is regularly subject to. New information may become available that causes
      the Company to change its judgment regarding the adequacy of existing
      income tax assets and liabilities; such changes will impact net earnings
      in the period that such a determination is made. </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><B><I>Key sources of estimation
      uncertainty</I></B> </TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>Key sources of estimation uncertainty that have a
      significant risk of resulting in a material adjustment to the carrying
      amount of assets and liabilities within the next financial year are as
      follows: </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><I>Allowance for doubtful accounts</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>The Company makes an assessment of whether accounts
      receivable are collectable, which takes into account the credit-worthiness
      of each customer in order to estimate an appropriate allowance for
      doubtful accounts. Furthermore, these estimates must be continuously
      evaluated and updated. The Company is not able to predict changes in the
      financial condition of its customers, and if circumstances related to its
      customers&#146; financial condition deteriorate, the estimates of the
      recoverability of trade accounts receivable could be materially affected
      and the Company may be required to record additional allowances.
      Alternatively, if the Company provides more allowances than needed, a
      reversal of a portion of such allowances in future periods may be required
      based on actual collection experience. </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><I>Inventory valuation</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>The Company regularly reviews inventory quantities on
      hand and records a provision for those inventories no longer deemed to be
      fully recoverable. The cost of inventories may no longer be recoverable if
      those inventories are slow moving, damaged, if they have become obsolete,
      or if their selling prices or estimated forecast of product demand
      decline. If actual market conditions are less favorable than previously
      projected, or if liquidation of the inventory no longer deemed to be fully
      recoverable is more difficult than anticipated, additional provisions may
      be required. </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><I>Business combinations</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left style="text-align: justify">Business combinations are accounted for in
      accordance with the acquisition method. On the date that control is
      obtained, the identifiable assets, liabilities and contingent liabilities
      of the acquired company are measured at their fair value. Depending on the
      complexity of determining these valuations, the Company uses appropriate
      valuation techniques which are generally based on a forecast of the total
      expected future net discounted cash flows. These valuations are linked
      closely to the assumptions made by management regarding the future
      performance of the related assets and the discount rate applied.
  </TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.65</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_66></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>3.</B> </TD>
    <TD>
      <P align=justify><B>SIGNIFICANT ACCOUNTING POLICIES
  (continued):</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=center >
      <P align=justify>&nbsp;<STRONG>(dd) </STRONG></P></TD>
    <TD width="95%" align=center>
      <P align=justify><B>Use of estimates and judgments (continued):</B>
  </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><I>Recoverability and impairment of
      non-financial assets</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>The calculation of value in use for purposes of measuring
      the recoverable amount of non-financial asset involves the use of
      significant assumptions and estimates with respect to a variety of
      factors, including expected sales, gross margins, SG&amp;A expenses,
      capital expenditures, cash flows and the selection of an appropriate
      discount rate, all of which are subject to inherent uncertainties and
      subjectivity. The assumptions are based on annual business plans and other
      forecasted results as well as discount rates which are used to reflect
      market based estimates of the risks associated with the projected cash
      flows, based on the best information available as of the date of the
      impairment test. Changes in circumstances, such as technological advances,
      adverse changes in third party licensing arrangements, changes to the
      Company&#146;s business strategy, and changes in economic conditions can result
      in actual useful lives and future cash flows differing significantly from
      estimates and could result in increased charges for amortization or
      impairment. Revisions to the estimated useful lives of finite life
      non-financial assets or future cash flows constitute a change in
      accounting estimate and are applied prospectively. There can be no
      assurance that the estimates and assumptions used in the impairment tests
      will prove to be accurate predictions of the future. If the future
      adversely differs from management&#146;s best estimate of key economic
      assumptions, and if associated cash flows materially decrease, the Company
      may be required to record material impairment charges related to its
      non-financial assets. </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><I>Measurement of the estimate of expected
      expenditures for decommissioning and site restoration costs</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>The measurement of the provision for decommissioning and
      site restoration costs requires assumptions to be made including expected
      timing of the event which would result in the outflow of resources, the
      range of possible methods of decommissioning and site restoration, and the
      expected costs that would be incurred to settle any decommissioning and
      site restoration liabilities. The Company has measured the provision using
      the present value of the expected expenditures which requires assumptions
      on the discount rate to use. Revisions to any of the assumptions and
      estimates used by management may result in changes to the expected
      expenditures to settle the liability which would require adjustments to
      the provision which may have an impact on the operating results of the
      Company in the period the change occurs. </P></TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="95%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="95%" align=left><I>Income taxes</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left ></TD>
    <TD width="95%" align=left>
      <P align=justify>The Company recognizes deferred income tax assets for
      unused tax losses, and deductible temporary differences only to the extent
      that, in management&#146;s opinion, it is probable that future taxable profit
      will be available against which available tax losses and temporary
      differences can be utilized. The Company&#146;s projections of future taxable
      profit involve the use of significant assumptions and estimates with
      respect to a variety of factors, including future sales and operating
      expenses. There can be no assurance that the estimates and assumptions
      used in our projections of future taxable income will prove to be accurate
      predictions of the future, and in the event that our assessment of the
      recoverability of these deferred tax assets changes in the future, a
      material reduction in the carrying value of these deferred tax assets
      could be required, with a corresponding charge to net earnings.
  </P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>4.</B> <B>NEW ACCOUNTING STANDARDS AND INTERPRETATIONS
      NOT YET APPLIED:</B></TD></TR></TABLE>
<P align=justify>A number of new accounting standards, and amendments to
accounting standards and interpretations, are not yet effective for the year
ending September 30, 2012, and have not been applied in preparing these audited
annual consolidated financial statements. These include: </P>
<P align=justify><B>Financial instruments<BR></B>In October 2010, the IASB
released IFRS 9, Financial Instruments, which is the first part of a three-part
project to replace IAS 39, Financial Instruments: Recognition and Measurement.
This first part only covers classification and measurement of financial assets
and financial liabilities, with impairment of financial assets and hedge
accounting being addressed in the other two parts.</P>
<P align=justify>IFRS 9 uses a single approach to determine whether a financial
asset is measured at amortized cost or fair value, replacing the multiple rules
in IAS 39. The approach in IFRS 9 is based on how an entity manages its
financial instruments and the contractual cash flow characteristics of the
financial assets. Most of the requirements in IAS 39 for classification and
measurement of financial liabilities were carried forward in IFRS 9. However,
requirements for measuring a financial liability at fair value have changed, as
the portion of the changes in fair value related to the entity&#146;s own credit risk
must be presented in other comprehensive income rather than in net earnings.
IFRS 9 will be effective for the Company&#146;s fiscal year beginning on October 5,
2015, with earlier application permitted. The Company has not yet assessed the
impact of the adoption of this standard on its consolidated financial
statements.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.66</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<A name=page_67></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>4. </B><B>NEW</B><B> ACCOUNTING STANDARDS AND
      INTERPRETATIONS NOT YET APPLIED (continued):</B></TD></TR></TABLE>
<P align=justify><B>Consolidation<BR></B>In May 2011, the IASB released IFRS 10,
Consolidated Financial Statements, which replaces SIC-12, Consolidation -Special
Purpose Entities, and parts of IAS 27, Consolidated and Separate Financial
Statements. The new standard builds on existing principles by identifying the
concept of control as the determining factor in whether an entity should be
included in a company&#146;s consolidated financial statements. The standard provides
additional guidance to assist in the determination of control where it is
difficult to assess. IFRS 10 will be effective for the Company&#146;s fiscal year
beginning on September 30, 2013, with earlier application permitted. The Company
has not yet assessed the impact of the adoption of this standard on its
consolidated financial statements.</P>
<P align=justify><B>Joint arrangements<BR></B>In May 2011, the IASB released
IFRS 11, Joint Arrangements, which supersedes IAS 31, Interests in Joint
Ventures, and SIC-13, Jointly Controlled Entities - Non-monetary Contributions
by Venturers. IFRS 11 focuses on the rights and obligations of a joint
arrangement, rather than its legal form as is currently the case under IAS 31.
The standard addresses inconsistencies in the reporting of joint arrangements by
requiring the equity method to account for interests in joint ventures. IFRS 11
will be effective for the Company&#146;s fiscal year beginning on September 30, 2013,
with earlier application permitted. The Company has not yet assessed the impact
of the adoption of this standard on its consolidated financial statements.</P>
<P align=justify><B>Disclosure of interests in other entities<BR></B>In May
2011, the IASB released IFRS 12, Disclosure of Interests in Other Entities. IFRS
12 is a new and comprehensive standard on disclosure requirements for all forms
of interests in other entities, including subsidiaries, joint arrangements,
associates, and unconsolidated structured entities. The standard requires an
entity to disclose information regarding the nature and risks associated with
its interests in other entities and the effects of those interests on its
financial position, financial performance and cash flows. IFRS 12 will be
effective for the Company&#146;s fiscal year beginning on September 30, 2013, with
earlier application permitted. The Company has not yet assessed the impact of
the adoption of this standard on its consolidated financial statements.</P>
<P align=justify><B>Fair value measurement<BR></B>In May 2011, the IASB released
IFRS 13, Fair value measurement. IFRS 13 will improve consistency and reduce
complexity by providing a precise definition of fair value and a single source
of fair value measurement and disclosure requirements for use across IFRS. The
standard will be effective for the Company&#146;s fiscal year beginning on September
30, 2013, with earlier application permitted. The Company has not yet assessed
the impact of the adoption of this standard on its consolidated financial
statements.</P>
<P align=justify><B>Financial statement presentation<BR></B>In June 2011, the
IASB amended IAS 1, Presentation of Financial Statements. The principal change
resulting from the amendments to IAS 1 is a requirement to group together items
within other comprehensive income that may be reclassified to the statement of
income. The amendments also reaffirm existing requirements that items in other
comprehensive income and net income should be presented as either a single
statement or two consecutive statements. The amendments to IAS 1 will be
effective for the Company&#146;s fiscal year beginning on October 1, 2012. As the
amendments only require changes in the presentation of items in other
comprehensive income, the Company does not expect the amendments to the standard
to have a material impact on its consolidated financial statements.</P>
<P align=justify><B>Employee benefits<BR></B>In June 2011, the IASB amended IAS
19, Employee Benefits. Amongst other changes, the amendments require entities to
compute the financing cost component of defined benefit plans by applying the
discount rate used to measure post-employment benefit obligations to the net
post-employment benefit obligations (usually, the present value of defined
benefit obligations less the fair value of plan assets). Furthermore, the
amendments to IAS 19 enhance the disclosure requirements for defined benefit
plans, providing additional information about the characteristics of defined
benefit plans and the risks that entities are exposed to through participation
in those plans. The amendment to IAS 19 will be effective for the Company&#146;s
fiscal years beginning on September 30, 2013, with earlier application
permitted. The Company has not yet assessed the impact of the adoption of the
amendments on its consolidated financial statements.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.67</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_68></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>5.</B> <B>BUSINESS ACQUISITIONS:</B></TD></TR></TABLE>
<P align=justify><B>Anvil Holdings, Inc.</B></P>
<P align=justify>On May 9, 2012, the Company acquired 100% of the common shares
of Anvil Holdings, Inc. (&#147;Anvil&#148;) for cash consideration of $87.4 million, net
of cash acquired. Anvil is a supplier of high-quality basic T-shirts and sport
shirts. The acquisition of Anvil further enhances the Company&#146;s leadership
position in the U.S. printwear market, and also positions the Company with
potential growth opportunities as a supply chain partner to leading consumer
brands with rigorous criteria for product quality and social responsibility. The
acquisition is also expected to generate cost savings from integration
synergies. The Company financed the acquisition by the utilization of its
revolving long-term credit facility.</P>
<P align=justify>The Company accounted for this acquisition using the
acquisition method in accordance with IFRS 3, Business Combinations, and the
results of Anvil have been consolidated with those of the Company from the date
of acquisition. The Company has determined the fair value of the assets acquired
and liabilities assumed based on management&#146;s best estimate of their fair values
and taking into account all relevant information available at that time. </P>
<P align=justify>The following table summarizes the amounts recognized for the
assets acquired and liabilities assumed at the date of acquisition:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Assets acquired: </TD>
    <TD style="BORDER-TOP: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" bgColor=#e6efff width="12%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Trade accounts receivable </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;31,491 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income taxes receivable
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">2,253 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Inventories </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">59,005 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Prepaid expenses and
      deposits </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">1,796 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Other current assets </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">501 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Property, plant and
      equipment </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">14,753 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Intangible assets (i) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">9,700 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Deferred income taxes
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">5,066 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Other assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">1,714
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">126,279 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Liabilities assumed: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Accounts payable and accrued
      liabilities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(26,276</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Employee benefit
      obligations </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(1,451</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Provisions </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(4,500</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(32,227</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net identifiable assets acquired </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">94,052 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Purchase gain on
      business acquisition </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(6,679</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Consideration transferred (excluding cash acquired of $627) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;87,373 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">(i) </TD>
    <TD>
      <P align=justify>The intangible assets acquired are comprised of customer
      relationships in the amount of $5.0 million, which are being amortized on
      a straight line basis over their estimated useful lives of seven years,
      and trademarks in the amount of $4.7 million, which are not being
      amortized as they are considered to be indefinite life intangible
      assets.</P></TD></TR></TABLE>
<P align=justify>The fair value of acquired trade accounts receivable was $31.5
million. Gross contractual amounts receivable were $32.9 million and the best
estimate at the date of acquisition of the contractual cash flows not expected
to be collected amounted to $1.4 million.</P>
<P align=justify>The excess of the net assets acquired over the consideration
transferred represents a purchase gain on business acquisition of approximately
$6.7 million. Excluded from the purchase gain are $1.2 million of
acquisition-related transaction costs and $10.2 million of charges relating to a
restructuring plan pursuant to the acquisition of Anvil. These charges were
identified during the acquisition process, but were not recognized as
liabilities assumed in the acquisition accounting in accordance with IFRS. The
purchase gain in connection with this acquisition is not taxable. The purchase
gain, acquisition-related transaction costs and charges relating to the
restructuring plan have been included in restructuring and acquisition-related
costs in the consolidated statements of earnings and comprehensive income.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.68</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_69></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>5.</B> <B>BUSINESS ACQUISITIONS
  (continued):</B></TD></TR></TABLE>
<P align=justify><B>Anvil Holdings, Inc. (continued)</B></P>
<P align=justify>The consolidated results of the Company for fiscal 2012 include
net sales of $86.1 million and net earnings of $2.1 million relating to Anvil&#146;s
results of operation since the date of acquisition, excluding the purchase gain
on business acquisition of $6.7 million and acquisition-related transaction
costs of $1.2 million. Anvil&#146;s net earnings before the after-tax impact of
restructuring and acquisition-related costs since the date of acquisition to
September 30, 2012 amounted to $9.0 million. </P>
<P align=justify>If the acquisition of Anvil is accounted for on a pro forma
basis as if it had occurred at the beginning of the Company&#146;s fiscal year, the
Company&#146;s consolidated net sales and net earnings for the year ended September
30, 2012 would have been $2,081.5 million and $138.0 million, respectively.
These pro forma figures have been estimated based on the results of Anvil&#146;s
operations prior to being purchased by the Company, adjusted to reflect the fair
value adjustments, which arose on the date of acquisition, as if the acquisition
occurred on October 3, 2011, and should not be viewed as indicative of the
Company&#146;s future results.</P>
<P align=justify><B>Gold Toe Moretz Holdings Corp.</B></P>
<P align=justify>On April 15, 2011, the Company acquired 100% of the common
shares of Gold Toe Moretz Holdings Corp. (&#147;Gold Toe Moretz&#148;) for consideration
transferred of $347.7 million, net of cash acquired, including contingent
consideration of approximately $5.3 million. Gold Toe Moretz is a leading
supplier of high-quality branded athletic, casual and dress socks for national
chains, mass-market retailers, price clubs, department stores and specialty
sporting goods stores in the United States. The acquisition of Gold Toe Moretz
provided the Company with enhanced brand management expertise which is being
utilized to further the development of the Gildan&#174; brand. In addition to the
introduction of leading consumer brands, the acquisition significantly expanded
and diversified the Company&#146;s channels of distribution in the U.S. retail
market.</P>
<P align=justify>The Company financed the acquisition by using approximately
$100 million of cash on hand and approximately $250 million drawn on the
Company&#146;s revolving long-term credit facility.</P>
<P align=justify>The Company accounted for this acquisition using the
acquisition method in accordance with IFRS 3, Business Combinations, and the
results of Gold Toe Moretz have been consolidated with those of the Company from
the date of acquisition. The Company has determined the fair value of the assets
acquired and liabilities assumed based on management&#146;s best estimate of their
fair values and taking into account all relevant information available at that
time. </P>
<P align=justify>Acquisition-related transaction costs of $7.3 million have been
included in restructuring and acquisition-related costs in the consolidated
statements of earnings and comprehensive income. The fair value of acquired
trade accounts receivable was $28.2 million. Gross contractual amounts
receivable were $28.5 million and the best estimate at the date of acquisition
of the contractual cash flows not expected to be collected amounted to $0.3
million.</P>
<P align=justify>The contingent consideration at the date of acquisition was
comprised of up to 150,000 common shares which were issued in the form of
treasury restricted share units (&#147;Treasury RSUs&#148;) contingent on specified future
events. The contingent consideration is classified as a financial liability and
is included in accounts payable and accrued liabilities. The contingent
consideration was initially measured at fair value, and is re-measured at fair
value at each reporting date through net earnings in restructuring and
acquisition-related costs. Fair value has been estimated based on the Company&#146;s
share price at the reporting date and the best estimate of the number of
Treasury RSUs expected to vest. During fiscal 2012, certain specified future
events were confirmed resulting in 120,000 Treasury RSUs with a fair value of
$3.4 million being reclassified from accounts payable and accrued liabilities to
contributed surplus with no further remeasurements in the fair value because
there is no longer any variability in the number of common shares required to
settle the liability. The balance of the contingent consideration payable as at
September 30, 2012 is $1.0 million (October 2, 2011 - $3.9 million) which
reflects the fair value of the remaining 30,000 Treasury RSUs expected to vest.
The re-measurement of the contingent consideration resulted in a charge to net
earnings and comprehensive income for fiscal 2012 of $0.5 million (2011 - credit
of $1.5 million), and is included in restructuring and acquisition-related costs
(see note 19).</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.69</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_70></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>5.</B> <B>BUSINESS ACQUISITIONS
  (continued):</B></TD></TR></TABLE>
<P align=justify><B>Gold Toe Moretz Holdings Corp. (continued)</B></P>
<P align=justify>The following table summarizes the amounts recognized for the
assets acquired and liabilities assumed at the date of acquisition:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>
    <p style="text-indent: -15pt; margin-left: 15pt">Assets acquired: </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" align=left>&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Trade accounts
      receivable </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;28,150 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income taxes receivable </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">208 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Inventories </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">57,549 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Prepaid expenses and deposits </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">1,410 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Other current assets
</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">122 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Property, plant and equipment </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">3,523 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Intangible assets (i)
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">204,700 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Other assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">495
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">296,157 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Liabilities assumed: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Accounts payable and accrued
      liabilities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(31,969</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Employee benefit
      obligations </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(17,068</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Deferred income taxes </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">(31,178</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(80,215</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net identifiable assets acquired </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">215,942 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Goodwill </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">131,736 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Consideration transferred (excluding cash acquired of $3,576)
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;347,678 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Consideration transferred: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Cash paid at closing, net of cash
      acquired of $3,576 </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;342,368 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Contingent consideration </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">5,310 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;347,678 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>Goodwill recorded in connection with this acquisition is not
deductible for tax purposes.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">(i) </TD>
    <TD>
      <P align=justify>The intangible assets below, with the exception of the
      trademarks, are being amortized on a straight line basis over their
      estimated useful lives. The trademarks are not being amortized as they are
      considered to be indefinite life intangible
assets.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>Trademarks </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%"
      align=left nowrap>Indefinite life </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%"
      align=right>&nbsp;94,000 </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>License agreements </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left nowrap>7 years </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>51,000 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Customer relationships </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=left nowrap>20 years </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>58,000 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>Non-compete agreements </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=left nowrap>2 years </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>1,700 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=left nowrap>&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;204,700 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.70</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_71></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>6.</B> <B>CASH AND CASH
EQUIVALENTS:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap>September 30, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      2, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      4, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Bank balances </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;68,748 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;80,474 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;188,680 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>Term deposits </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right>1,662
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right>1,551
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right>62,163 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;70,410 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;82,025 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;250,843 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>7.</B> <B>TRADE ACCOUNTS
RECEIVABLE:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap>September 30, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      2, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      4, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Trade accounts receivable </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;265,090 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;195,700 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;152,653 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>Allowance for
      doubtful accounts </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
    align=right>(4,495</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
    align=right>(4,106</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
    align=right>(6,969</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;260,595 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;191,594 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;145,684 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left>The movement in the allowance for doubtful accounts in
      respect of trade receivables was as follows: </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;</TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;</TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, beginning of year </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;(4,106</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;(6,969</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Bad debt recovery (expense) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">401 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(632</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Write-off of trade accounts receivable </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">648 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">3,757 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Increase due to
      business acquisitions (note 5) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(1,438</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(262</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, end of year </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;(4,495</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;(4,106</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>8.</B> <B>INVENTORIES:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap>September 30, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      2, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      4, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Raw materials and spare parts inventories
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;61,841 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;66,914 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;50,862 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Work in process </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">37,358 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">31,710 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">37,410 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Finished goods </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">453,869 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">469,687 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">241,246 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;553,068 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;568,311 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;329,518 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>The amount of inventories recognized as an expense and included
in cost of sales was $1,517.8 million for fiscal 2012 (2011 - $1,262.7 million),
which included an expense of $4.2 million (2011 - $6.2 million) related to the
write-down of inventory to net realizable value.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>9.</B> <B>PROPERTY, PLANT AND
  EQUIPMENT:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right nowrap valign="bottom">Assets
      not yet </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Buildings and </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Manufacturing </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Other </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">utilized in </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap valign="bottom">Land
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">improvements </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">equipment </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">equipment </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">operations </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap valign="bottom">Total
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" valign="bottom" nowrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Net carrying amount</B> </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">At September 30, 2012 </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;38,936 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;165,864 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;289,418 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;46,450 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;11,769 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;552,437 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">At October 2, 2011 </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;35,113 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;141,649 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;273,190 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;52,825 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;47,547 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;550,324 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">At
      October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;34,487 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;122,005 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;227,143 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;55,059 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;44,319 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;483,013 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.71</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_72></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>9.</B> <B>PROPERTY, PLANT AND EQUIPMENT
    (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right nowrap valign="bottom">Assets
      not yet </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%"
  align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Buildings and </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Manufacturing </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Other </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">utilized in </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom"><B>2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
align=right nowrap valign="bottom">Land</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">improvements&nbsp;&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">equipment&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">equipment&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">operations </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap valign="bottom">Total
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Cost</B> </TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 2, 2011 </TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;35,113 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;194,530 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;464,886 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;91,853 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;47,547 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;833,929 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Additions </TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">3,620 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">17,066 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">35,891 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">4,689 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">8,755 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">70,021 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Additions through business acquisitions </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">100 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">2,703 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">7,310 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,626 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3,014 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">14,753 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Transfers from or to assets held for sale </TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">114 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">(212</TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">(98</TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Transfers </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">17,337 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">30,210 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(47,547</TD>
    <TD width="2%" align=left valign="bottom">) </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Disposals </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" bgcolor="#E6EFFF">(11</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
align=right valign="bottom" bgcolor="#E6EFFF">(392</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom" bgcolor="#E6EFFF">(5,956</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom" bgcolor="#E6EFFF">(1,544</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom" bgcolor="#E6EFFF">(7,903</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%" align=left valign="bottom" bgcolor="#E6EFFF">)
</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, September 30, 2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right valign="bottom">&nbsp;38,936 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right valign="bottom">&nbsp;231,032 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right valign="bottom">&nbsp;532,341 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right valign="bottom">&nbsp;96,624 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right valign="bottom">&nbsp;11,769 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right valign="bottom">&nbsp;910,702 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD width="1%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Depreciation</B> </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 2, 2011 </TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;- </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;52,881 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;191,696 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;39,028 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;- </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;283,605 </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Depreciation expense </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">12,494 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">55,763 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">12,560 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">80,817 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Transfers from or to assets held for sale </TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">(137</TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">- </TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bgcolor="#E6EFFF">(137</TD>
    <TD width="2%" align=left valign="bottom" bgcolor="#E6EFFF">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Disposals </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(70</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(4,536</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(1,414</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(6,020</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, September
      30, 2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;65,168 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;242,923 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;50,174 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom" bgcolor="#E6EFFF">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom" bgcolor="#E6EFFF">&nbsp;358,265 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right nowrap valign="bottom">Assets
      not yet </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Buildings and </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Manufacturing </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Other </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">utilized in </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom"><B>2011</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">Land&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">improvements&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">equipment&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">equipment&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">operations </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap valign="bottom">Total
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom"></TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Cost</B> </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 4, 2010 </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;34,487 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;168,747 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;386,846 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;85,966 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;44,319 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;720,365 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Additions </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">1,825 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">15,221 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">74,374 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">20,017 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">47,078 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">158,515 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Additions through business acquisitions </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">140 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,040 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,874 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">469 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3,523 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Transfers from or to assets held for sale
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(1,339</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(15,228</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(6,199</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(1,640</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(24,406</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Transfers </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">24,750 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">14,279 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">5,290 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(44,319</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Disposals </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(4,414</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(19,654</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(24,068</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October
      2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;35,113 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;194,530 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;464,886 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;91,853 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;47,547 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;833,929 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Depreciation</B> </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 4, 2010 </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;46,742 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;159,703 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;30,907 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;237,352 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Depreciation expense </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">10,743 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">40,233 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">13,192 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">64,168 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Transfers from or to assets held for sale
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(4,604</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(6,189</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(1,454</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(12,247</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Disposals </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(2,051</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(3,617</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(5,668</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;52,881 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;191,696 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;39,028 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;283,605 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>Assets not yet utilized in operations include expenditures
incurred to date for plant expansions which are still in process and equipment
not yet placed into service as at the end of the reporting period. </P>
<P align=justify>As at September 30, 2012, there were contractual purchase
obligations outstanding of approximately $38.3 million for the acquisition of
property, plant and equipment compared to $54.9 million as of October 2,
2011.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.72</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_73></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>10.</B>&nbsp; <B>INTANGIBLE ASSETS AND
  GOODWILL:</B></TD></TR></TABLE>
<P align=justify><B>Intangible assets</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left bordercolor="#000000">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right bordercolor="#000000" nowrap>Customer
    </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%"
  align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bordercolor="#000000">&nbsp; </TD>
    <TD width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right bordercolor="#000000" nowrap>contracts and </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right bordercolor="#000000" nowrap>Non- </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bordercolor="#000000">&nbsp; </TD>
    <TD width="1%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right bordercolor="#000000" nowrap>customer </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right bordercolor="#000000" nowrap>License </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right bordercolor="#000000" nowrap>Computer </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right bordercolor="#000000" nowrap>compete </TD>
    <TD width="2%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp; </TD>
    <TD width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>relationships </TD>
    <TD width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>Trademarks </TD>
    <TD width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>agreements </TD>
    <TD width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>software </TD>
    <TD width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>agreements </TD>
    <TD width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000" nowrap>Total </TD>
    <TD width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp; </TD>
    <TD width="1%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp; </TD>
    <TD width="2%" style="border-top-style: solid; border-top-width: 1" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bordercolor="#000000" bgcolor="#E6EFFF"><B>Net carrying amount</B> </TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="8%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bordercolor="#000000">At September 30, 2012 </TD>
    <TD width="1%" align=left bordercolor="#000000">$</TD>
    <TD width="8%" align=right bordercolor="#000000">&nbsp;110,567 </TD>
    <TD width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000">$</TD>
    <TD width="8%" align=right bordercolor="#000000">&nbsp;102,045 </TD>
    <TD width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000">$</TD>
    <TD width="8%" align=right bordercolor="#000000">&nbsp;39,913 </TD>
    <TD width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000">$</TD>
    <TD width="8%" align=right bordercolor="#000000">&nbsp;6,996 </TD>
    <TD width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000">$</TD>
    <TD width="8%" align=right bordercolor="#000000">&nbsp;460 </TD>
    <TD width="2%" align=left bordercolor="#000000">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000">$</TD>
    <TD width="8%" align=right bordercolor="#000000">&nbsp;259,981 </TD>
    <TD width="2%" align=left bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left bordercolor="#000000" bgcolor="#E6EFFF">At October 2, 2011 </TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;112,266 </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;94,000 </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;47,516 </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;6,561 </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;1,310 </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="1%" align=left bordercolor="#000000" bgcolor="#E6EFFF">$</TD>
    <TD width="8%" align=right bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;261,653 </TD>
    <TD width="2%" align=left bordercolor="#000000" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left bordercolor="#000000">At
      October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right bordercolor="#000000">&nbsp;59,050 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right bordercolor="#000000">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right bordercolor="#000000">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right bordercolor="#000000">&nbsp;7,761 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right bordercolor="#000000">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
    align=right bordercolor="#000000">&nbsp;66,811 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left bordercolor="#000000">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right nowrap valign="bottom">Customer
    </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%"
  align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">contracts and </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Non- </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">customer </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">License </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Computer </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">compete </TD>
    <TD width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom"><B>2012</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">relationships </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">Trademarks </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">agreements </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">software </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">agreements </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap valign="bottom">Total
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Cost</B> </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 2, 2011 </TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;128,866 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;94,000 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;51,000 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;26,038 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;1,700 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;301,604 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Additions </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">3,345 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">2,094 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">5,439 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Additions through business acquisitions </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">5,000 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">4,700 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">9,700 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Disposals </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(27</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(27</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, September
      30, 2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;133,866 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;102,045 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;51,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;28,105 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;1,700 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;316,716 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Amortization</B> </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 2, 2011 </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;16,600 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;3,484 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;19,477 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;390 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;39,951 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Amortization for the year </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">6,699 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">7,603 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,659 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">850 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">16,811 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Disposals </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(27</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(27</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, September
      30, 2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;23,299 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;11,087 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;21,109 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;1,240 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;56,735 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=right nowrap>Customer
    </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">contracts and </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Non- </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">customer </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">License </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Computer </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">compete </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom"><B>2011</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">relationships </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">Trademarks </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">agreements </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">software </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right nowrap valign="bottom">agreements </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap valign="bottom">Total
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Cost</B> </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 4, 2010 </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;70,866 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;26,453 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;97,319 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Additions </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">4,776 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">4,776 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Additions through business acquisitions </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">58,000 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">94,000 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">51,000 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,700 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">204,700 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Disposals </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(5,191</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(5,191</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October
      2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;128,866 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;94,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;51,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;26,038 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;1,700 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;301,604 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Amortization</B> </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October 4, 2010 </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;11,816 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;18,692 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;30,508 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Amortization for the year </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">4,784 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3,484 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">4,733 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">390 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">13,391 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Disposals </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(3,948</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(3,948</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, October
      2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;16,600 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;3,484 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;19,477 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;390 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;39,951 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.73</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_74></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>10.</B> <B>INTANGIBLE ASSETS AND GOODWILL
      (continued):</B></TD></TR></TABLE>
<P align=justify><B>Goodwill</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Balance, beginning of period </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;141,933 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;10,197 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>Goodwill acquired
      (note 5) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right>131,736 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Balance, end of period </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>&nbsp;141,933 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>&nbsp;141,933 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=justify><B>Recoverability of cash-generating units</B></P>
<P align=justify>Goodwill acquired through business acquisitions and trademarks
with indefinite useful lives have been allocated to CGUs that are expected to
benefit from the synergies of the acquisition, as follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap>September 30, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      2, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      4, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Branded Apparel </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; &nbsp; &nbsp;Goodwill </TD>
    <TD  width="1%" align=left>$</TD>
    <TD width="10%" align=right>&nbsp;138,445 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>$</TD>
    <TD width="10%" align=right>&nbsp;138,445 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>$</TD>
    <TD width="10%" align=right>&nbsp;6,709 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>&nbsp; &nbsp; &nbsp;Trademarks </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right>97,345 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right>94,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>&nbsp; </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>235,790 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>232,445 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>6,709 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Printwear </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=left>&nbsp; </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=left>&nbsp; </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=left>&nbsp; </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>&nbsp; &nbsp; &nbsp;Goodwill </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right>3,488 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right>3,488 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right>3,488 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; &nbsp;
      &nbsp;Trademarks </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right>4,700
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;8,188 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;3,488 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;3,488 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=justify>In assessing whether goodwill and indefinite life intangible
assets are impaired, the carrying amount of the CGUs (including goodwill and
indefinite life intangible assets) are compared to their recoverable amount. The
recoverable amounts of CGUs are based on the higher of the value in use and fair
value less costs to sell. The Company performed the annual impairment review for
goodwill and indefinite life intangible assets as at September 30, 2012, and the
estimated recoverable amounts exceeded the carrying amounts of the CGUs and
there was no impairment identified.</P>
<P align=justify><I>Recoverable amount &#150; Branded Apparel<BR></I>The Company
determined the recoverable amount of the Branded Apparel CGU based on a value in
use calculation using cash flow projections, which take into account financial
budgets and forecasts approved by senior management covering a five-year period
with a terminal value calculated by discounting the final year in perpetuity.
The key assumptions for the value in use calculation include estimated sales
volumes, selling prices and input costs, as well as discount rates which are
based on estimates of the risks associated with the projected cash flows based
on the best information available as of the date of the impairment test. The
pre-tax discount rate applied to cash flow projections is 15.2% . The growth
rate used to calculate the terminal value is based on growth rates reflecting
inflation ranging from 1% to 2% and do not exceed the long-term historical
growth rate and industry average growth rate. The Company determined that no
reasonably possible change in the assumptions would have resulted in any
impairment of goodwill or indefinite life intangible assets.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.74</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_75></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>11.</B> <B>BANKING FACILITY:</B></TD></TR></TABLE>
<P align=justify>The Company's subsidiary in Bangladesh, Shahriyar Fabric
Industries Limited, has a banking facility limited to a maximum aggregate amount
of $23.8 million (BDT 1,950,000,000). The banking facility bears interest at a
variable LIBOR-based rate plus a spread ranging from 250 to 400 basis points,
and any borrowings are due on demand. There were no amounts drawn under the line
of credit at September 30, 2012, October 2, 2011 and October 4, 2010.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>12.</B> <B>LONG-TERM DEBT:</B></TD></TR></TABLE>
<P align=justify>The Company has a committed revolving long-term credit facility
of $800 million, on an unsecured basis. Amounts drawn under the facility during
fiscal 2012 bore interest at a variable banker&#146;s acceptance or U.S. LIBOR-based
interest rate plus a spread ranging from 125 to 200 basis points. As at
September 30, 2012, $181.0 million (October 2, 2011 - $209.0 million; October 4,
2010 - nil) was drawn under this facility bearing an effective interest rate for
the period of 2.2%, including the impact of interest rate swaps. In addition, an
amount of $6.0 million (October 2, 2011 -$5.8 million; October 4, 2010 - $12.7
million) has been committed against this facility to cover various letters of
credit as described in note 25. The revolving long-term credit facility requires
the Company to comply with certain covenants including maintenance of a net debt
to trailing twelve months EBITDA ratio below 3.0:1, although the credit
agreement provides that this limit may be exceeded in the short term under
certain circumstances, as well as an interest coverage ratio of at least 3.5:1.
EBITDA is defined under the facility as net earnings before interest, income
taxes, depreciation and amortization, with adjustments for certain non-recurring
items. As at September 30, 2012, the Company was in compliance with these
covenants.</P>
<P align=justify>In November 2012, the Company amended its revolving long-term
credit facility to extend the maturity date from June 2016 to January 2018. The
amended agreement provides for an annual extension clause, subject to the
approval of the lenders. It also provides for a reduction in drawn pricing when
the net debt to EBITDA ratio is below 1.0:1, and reduced undrawn pricing.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>13.</B> <B>EMPLOYEE BENEFIT
  OBLIGATIONS:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap>September 30, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      2, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap>October
      4, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap>2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Defined benefit pension plan </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;5,871 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;6,419 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;1,233 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Statutory severance obligation </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>12,246 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>12,586 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>10,231 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>Defined contribution plan </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right>1,495 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right>1,241 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right>715 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right>&nbsp;19,612 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right>&nbsp;20,246 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right>&nbsp;12,179 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD>
      <P align=justify><B>Defined benefit plan:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company has a funded qualified defined benefit
      pension plan (&#147;Retirement Plan&#148;) covering certain employees of Gold Toe
      Moretz. At the time of the acquisition of Gold Toe Moretz in April 2011,
      the Retirement Plan was in a net deficit position of $17.1 million.
      Management&#146;s intention was to fully fund the deficit, and subsequently
      liquidate and wind-up the Retirement Plan, and steps taken in this regard
      since the date of acquisition have included funding contributions of $19
      million in fiscal 2011 and the de-risking of the Retirement Plan through
      settlement payments totaling $8.3 million for fiscal 2012 (2011 - $39
      million for the period from April 15, 2011 to October 2, 2011). An
      actuarial valuation was performed at September 30, 2012, October 2, 2011
      and at the date of acquisition. The last valuation for funding purposes
      was performed on January 1, 2012, and the next valuation for funding
      purposes is expected to be performed on January 1, 2013. The Company has
      not made funding contributions in fiscal 2012, but expects to contribute
      approximately $6.5 million to the Retirement Plan in fiscal 2013 followed
      by the termination and wind-up of the Retirement Plan shortly
      thereafter.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.75</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_76></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE>
<P align=justify><B>13. EMPLOYEE BENEFIT OBLIGATIONS (continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD>
      <P align=justify><B>Defined benefit plan
(continued):</B></P></TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>The funded status of the Company&#146;s
Retirement Plan was as follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD valign="bottom">&nbsp; </TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Benefit obligation, beginning of
      year<SUP>(1)</SUP> </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;18,983 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;51,249 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Interest cost </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">595 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">1,051 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Actuarial (gain) loss </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(765</TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">3,390 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Settlement (gain) charge </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(725</TD>
    <TD width="2%" align=left valign="bottom">) </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">4,176 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Benefits paid </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(180</TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(1,879</TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Plan settlements
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(8,337</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">(39,004</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%" align=left valign="bottom">)
</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Benefit obligation, end of year </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;9,571 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;18,983 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Fair value of plan assets, beginning of
      year<SUP>(1)</SUP> </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;12,564 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;34,181 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Employer contributions </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">19,000 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Plan settlements </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(8,337</TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(39,005</TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Expected return on plan assets </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">273 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">543 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Actuarial loss </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(620</TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(276</TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Benefits paid </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(180</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(1,879</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%" align=left valign="bottom">)
</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Fair value of plan assets, end of year </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;3,700 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;12,564 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Funded status and plan deficit / defined benefit pension
      liability, end of year </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;5,871 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;6,419 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; "
      align=left valign="bottom" colspan="6"><I><font size="1">(1) As at April 15, 2011 for fiscal
2011</font></I></TD>
    <TD style="BORDER-BOTTOM: medium none #000000; " width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<p style="margin-left: 5%">The plan assets are invested entirely
in high quality money market funds. The expected rate of return on plan assets
of 3.5% is based on published capital market assumptions for high quality money
market funds. The actual loss on plan assets for fiscal 2012 was $0.3 million
(2011 - actual gain of $0.3 million). </p>
<P style="MARGIN-LEFT: 5%" align=justify>The net periodic pension (gain) expense
of the Company&#146;s Retirement Plan for the years ended September 30, 2012 and
October 2, 2011 includes the following components:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD valign="bottom">&nbsp; </TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Interest cost </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;595 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;1,051 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Expected return on plan assets </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(273</TD>
    <TD width="2%" align=left valign="bottom">) </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(543</TD>
    <TD width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Settlement (gain) charge </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(725</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">4,176 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net periodic
      pension (gain) expense - included in restructuring and acquisition-related
      costs </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;(403</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;4,684 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>Weighted-average assumptions to
determine benefit obligations and net periodic benefit cost:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">&nbsp; </TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Benefit obligation: </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Discount rate </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">3.40% </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">4.42% </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net periodic benefit cost: </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Discount rate </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">4.37% </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">5.00% </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Rate of return on plan assets </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right valign="bottom">3.50%
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right valign="bottom">3.50%
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.76</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_77></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>13.</B> <B>EMPLOYEE BENEFIT OBLIGATIONS
    (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Statutory severance:</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Benefit obligation, beginning of year </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;12,586 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;10,231 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Service cost </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">7,691 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">8,088 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Interest cost </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">3,093 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">2,517 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Actuarial (gain) loss </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(178</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">1,643 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Benefits paid </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(10,946</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(9,893</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Benefit
      obligation, end of year </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;12,246 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;12,586 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>A discount rate of approximately 12% was used to
      calculate the accumulated benefit obligation of statutory
  severance.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(c)</B> </TD>
    <TD>
      <P align=justify><B>Defined contribution plan:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>During fiscal 2012, defined contribution expenses were
      $2.0 million (2011 - $2.1 million).</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(d)</B> </TD>
    <TD>
      <P align=justify><B>Actuarial losses recognized in other comprehensive
      income:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The cumulative amount of actuarial losses recognized in
      other comprehensive income as at September 30, 2012 was $3.6 million
      (October 2, 2011 - $3.9 million) which have been reclassified to retained
      earnings in the period in which they were
recognized.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>14.</B> <B>PROVISIONS:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Balance, beginning of year </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;8,226 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Assumed in a business acquisition (note 5) </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>4,500 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>Accretion of interest </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>316 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Balance, end of
      year </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;13,042 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P align=justify>Provisions include estimated future costs of decommissioning
and site restoration for certain assets located at the Company&#146;s textile and
sock facilities and a distribution centre in the U.S. for which the timing of
settlement is uncertain, but has been estimated to be in excess of twenty years.
</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>15.</B> <B>EQUITY:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD>
      <P align=justify><B>Shareholder rights plan:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company has a shareholder rights plan which provides
      the Board of Directors and the shareholders with additional time to assess
      any unsolicited take-over bid for the Company and, where appropriate,
      pursue other alternatives for maximizing shareholder value.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Accumulated other comprehensive income:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Accumulated other comprehensive income includes the
      changes in the fair value of the effective portion of qualifying cash flow
      hedging instruments outstanding at the end of the
period.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.77</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_78></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>15.</B> <B>EQUITY
(continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(c)</B> </TD>
    <TD>
      <P align=justify><B>Share capital:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Authorized:</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Common shares, authorized without limit as to number and
      without par value. First preferred shares, without limit as to number and
      without par value, issuable in series and non-voting. Second preferred
      shares, without limit as to number and without par value, issuable in
      series and non-voting. As at September 30, 2012 and October 2, 2011 none
      of the first and second preferred shares were issued.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify><I>Issued:</I></P></TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>As at September 30, 2012, there were 121,386,090 common
      shares (October 2, 2011 - 121,330,544) issued and outstanding, which are
      net of 210,400 common shares (October 2, 2011 - 79,108) that have been
      purchased and are held in trust as described in note 15(e).</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(d)</B> </TD>
    <TD>
      <P align=justify><B>Normal course issuer bid:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>On December 2, 2011 the TSX approved the renewal of the
      Company&#146;s normal course issuer bid to purchase up to one million common
      shares, representing approximately 0.8% of its issued and outstanding
      common shares, in accordance with the requirements of the TSX. Common
      shares purchased under the NCIB are cancelled. During fiscal 2012, there
      were no repurchases under the NCIB.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>During fiscal 2011, the Company repurchased and cancelled
      a total of 0.4 million common shares for a total cost of $10.5 million. Of
      the total cost, $0.3 million was charged to share capital and $10.2
      million was charged to retained earnings as there was no amount of
      contributed surplus attributable to these common shares.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(e)</B> </TD>
    <TD>
      <P align=justify><B>Common shares purchased as settlement for non-Treasury
      RSUs:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>In September 2011, the Company established a trust for
      the purpose of settling the vesting of non-Treasury RSUs. For non-Treasury RSUs
      that are to be settled in common shares
      in lieu of cash, the Company directs the trustee to purchase common shares of the
      Company on the open market to be held in trust for and on behalf of the
      holders of non-Treasury RSUs until they are delivered for settlement, when
      the non-Treasury RSUs vest. At the time the common shares are purchased,
      the amounts previously credited to accounts payable and accrued
      liabilities for the non-Treasury RSUs initially expected to be settled in
      cash are transferred to contributed surplus. For accounting purposes, the
      common shares are considered as held in treasury, and recorded as a
      temporary reduction of outstanding common shares and share capital. Upon
      delivery of the common shares for settlement of the non-Treasury RSUs, the
      number of common shares outstanding is increased, and the amount in
      contributed surplus is transferred to share capital. The common shares
      purchased as settlement for non-Treasury RSUs were as
  follows:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="8%" align=left nowrap>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="8%" align=left nowrap>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="8%" align=right nowrap>2012 </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="8%" align=left nowrap>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="8%" align=left nowrap>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="8%" align=right nowrap>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>&nbsp; </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="8%" align=left nowrap>&nbsp; </TD>
    <TD  width="2%" align=left nowrap>&nbsp;</TD>
    <TD  width="1%" align=left nowrap>&nbsp;</TD>
    <TD width="8%" align=left nowrap>&nbsp; </TD>
    <TD  width="2%" align=left nowrap>&nbsp;</TD>
    <TD  width="1%" align=left nowrap>&nbsp;</TD>
    <TD width="8%" align=right nowrap>Average </TD>
    <TD  width="2%" align=left nowrap style="border-top-style: none; border-top-width: medium">&nbsp;</TD>
    <TD  width="1%" align=left nowrap>&nbsp;</TD>
    <TD width="8%" align=left nowrap>&nbsp; </TD>
    <TD  width="2%" align=left nowrap>&nbsp;</TD>
    <TD  width="1%" align=left nowrap>&nbsp;</TD>
    <TD width="8%" align=left nowrap>&nbsp; </TD>
    <TD  width="2%" align=left nowrap>&nbsp;</TD>
    <TD  width="1%" align=left nowrap>&nbsp;</TD>
    <TD width="8%" align=right nowrap>Average </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>Shares
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>Amount
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>cost
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>Shares
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>Amount
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right nowrap>Cost
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="8%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="8%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="8%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="8%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="8%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="8%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, beginning of year </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right>79 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="8%" align=right>&nbsp;2,152 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="8%" align=right>&nbsp;27.24 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right>- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="8%" align=right>&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="8%" align=right>&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>
    <p style="text-indent: -15pt; margin-left: 15pt">Distributed </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="8%" align=right>(79</TD>
    <TD  width="2%" align=left>) </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="8%" align=right>(2,152</TD>
    <TD  width="2%" align=left>) </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="8%" align=right>27.24 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="8%" align=right>- </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="8%" align=right>- </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="8%" align=right>- </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>
    <p style="text-indent: -15pt; margin-left: 15pt">Purchased </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right>210 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right>5,990 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right>28.52 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right>79 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right>2,152 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right>27.24 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, end of
      year </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right>210
</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right>&nbsp;5,990 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right>&nbsp;28.52 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right>79 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right>&nbsp;2,152 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right>&nbsp;27.24 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>Subsequent to year end, the Company
distributed 205,536 common shares with an average cost of $28.52 per share as
settlement for the vesting of the equivalent number of non-Treasury RSUs.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>16.</B> <B>FINANCIAL
INSTRUMENTS:</B></TD></TR></TABLE>
<P align=justify>Disclosures relating to the nature and extent of the Company&#146;s
exposure to risks arising from financial instruments, including credit risk,
liquidity risk, foreign currency risk and interest rate risk, as well as risks
arising from commodity prices, and how the Company manages those risks, are
included in the section entitled &#147;Financial Risk Management&#148; of the Management&#146;s
Discussion and Analysis of the Company&#146;s operations, performance and financial
position as at September 30, 2012. Accordingly, these disclosures are
incorporated into these consolidated financial statements by cross-reference.
</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.78</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_79></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>16.</B> <B>FINANCIAL INSTRUMENTS
  (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD>
      <P align=justify><B>Financial instruments &#150; carrying amounts and fair
      values:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The carrying amounts and fair values of financial assets
      and liabilities included in the consolidated statements of financial
      position are as follows:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap valign="bottom">September 30, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">October
      2, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">October
      4, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Financial assets</B> </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Loans and receivables: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Cash and cash equivalents </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;70,410 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;82,025 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;250,843 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Trade accounts receivable </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">260,595 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">191,594 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">145,684 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Other current assets </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">8,561 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">5,929 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">7,571 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Long-term non-trade receivable included in other
      non-current assets </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">509 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,120 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">953 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Restricted cash related to the
      acquisition of Prewett included in other non-current assets </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">5,788 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Derivative financial instruments designated as
      effective hedging instruments </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">133 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">3,299 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,099 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt"><B>Financial liabilities</B> </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Other financial liabilities: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Accounts payable and accrued liabilities </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;247,622 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;290,103 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;176,707 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Long-term debt - bearing interest at
      variable rates </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">181,000 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">209,000 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">-&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;Derivative financial instruments designated as
      effective hedging instruments </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">7,870 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">4,007 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">3,088 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Contingent consideration </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">950 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">3,850 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company has determined that the fair value of its
      short-term financial assets and liabilities approximates their respective
      carrying amounts as at the reporting dates because of the short-term
      maturity of those instruments. The fair values of the long-term receivable
      and the restricted cash included in other assets, and the Company&#146;s
      interest-bearing financial liabilities also approximate their respective
      carrying amounts. The fair values of cash and cash equivalents and
      derivative financial instruments were measured using Level 2 inputs in the
      fair value hierarchy. In determining the fair value of financial assets
      and financial liabilities, including derivative financial instruments, the
      Company takes into account its own credit risk and the credit risk of the
      counterparty.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Derivative financial instruments:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>During fiscal 2012 and fiscal 2011, the Company entered
      into forward foreign exchange contracts and zero-cost collar options in
      order to reduce the exposure of forecasted cash flows in currencies other
      than the U.S. dollar. The forward foreign exchange contracts and the
      intrinsic value of zero-cost collar options were designated as cash flow
      hedges and qualified for hedge accounting. The forward foreign exchange
      contracts outstanding as at September 30, 2012 consisted primarily of
      contracts to reduce the exposure to fluctuations in Euros, Canadian
      dollars, Pounds sterling, Australian dollars and Mexican pesos, against
      the U.S. dollar. For fiscal 2012 and fiscal 2011, the derivatives
      designated as cash flow hedges were considered to be fully effective and
      no ineffectiveness has been recognized in net
earnings.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.79</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_80></A>
<P align=justify><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE></P><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>16.</B> <B>FINANCIAL INSTRUMENTS
  (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Derivative financial instruments
    (continued):</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The following table summarizes the Company&#146;s commitments
      to buy and sell foreign currencies as at September 30,
  2012:</P></TD></TR></TABLE><BR>
<DIV align=right>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="95%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="19%" colSpan=4 align=right nowrap valign="bottom">Carrying and fair value </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="8%" align=right nowrap valign="bottom">Maturity </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Notional </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Accounts </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">foreign </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">payable </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">currency </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Average </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Notional </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">Other </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">and </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">amount </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">exchange </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">U.S. $ </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">current </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">accrued </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right nowrap valign="bottom">0 to 12 </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">September 30, 2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right nowrap valign="bottom">equivalent </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right nowrap valign="bottom">rate
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right nowrap valign="bottom">equivalent </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right nowrap valign="bottom">assets
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right nowrap valign="bottom">liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=right nowrap valign="bottom">months
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="8%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff colSpan=18 align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Forward foreign exchange
      contracts designated as cash flow hedges: </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Sell EUR/Buy USD </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">34,000 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1.2553</TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;42,679 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;20 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;(1,326</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;(1,306</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Sell CAD/Buy USD </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">27,500 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">1.0089 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">27,744 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">52 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(224</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(172</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Sell GBP/Buy USD </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">16,400 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1.5899 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">26,074 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(523</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(523</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Sell AUD/Buy USD </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">8,400 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">1.0325 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">8,673 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">45 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">45 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Sell
      MXN/Buy USD </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">36,000
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">0.0770
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">2,771
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">16 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">16 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;107,941 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;133 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;(2,073</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;(1,940</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR></TABLE></DIV>
<P style="MARGIN-LEFT: 5%" align=justify>During fiscal 2011, the Company entered
into a series of interest rate swap contracts to fix the variable interest rates
on the designated interest payments of a portion of the borrowings under the
revolving long-term credit facility. As at September 30, 2012, the interest rate
swap contracts were designated as cash flow hedges and qualified for hedge
accounting. The following table summarizes the outstanding interest rate swap
contracts as at September 30, 2012:</P>
<DIV align=right>
<TABLE
style="BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="95%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=right nowrap valign="bottom" bordercolor="#000000">Notional </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="13%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="13%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="13%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="13%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: 2px solid #000000; ; border-bottom-style:solid; border-bottom-width:1"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-TOP: 2px solid #000000; ; border-bottom-style:solid; border-bottom-width:1" width="13%" align=right nowrap valign="bottom" bordercolor="#000000">Carrying
      and fair value </TD>
    <TD style="BORDER-TOP: 2px solid #000000; ; border-bottom-style:solid; border-bottom-width:1"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=right nowrap valign="bottom" bordercolor="#000000">amount of </TD>
    <TD  width="1%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" align=right nowrap valign="bottom" bordercolor="#000000">Fixed </TD>
    <TD  width="2%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" align=right nowrap valign="bottom" bordercolor="#000000">Floating </TD>
    <TD  width="2%" align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left nowrap style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" align=right nowrap style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000">Accounts payable </TD>
    <TD  width="2%" align=left nowrap style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=right nowrap valign="bottom" bordercolor="#000000">borrowings </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="13%"
      align=right nowrap valign="bottom" bordercolor="#000000">Maturity date </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="13%" align=right nowrap valign="bottom" bordercolor="#000000">Pay /
      Receive </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="13%" align=right nowrap valign="bottom" bordercolor="#000000">rate
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="13%" align=right nowrap valign="bottom" bordercolor="#000000">rate
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="13%" align=right nowrap valign="bottom" bordercolor="#000000">and
      accrued liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="13%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff align=right valign="bottom" bordercolor="#000000">$
      125,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="13%"
    align=right valign="bottom" bordercolor="#000000">June 3, 2016 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="13%"
    align=right valign="bottom" bordercolor="#000000">Pay fixed rate / <br>
    Receive floating rate </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="13%"
    align=right valign="bottom" bordercolor="#000000">1.08% to 1.88% </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="13%"
    align=right valign="bottom" bordercolor="#000000">1-month U.S. LIBOR </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="13%"
    align=right valign="bottom" bordercolor="#000000">&nbsp;(5,797</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">) </TD></TR></TABLE></DIV><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(c)</B> </TD>
    <TD>
      <P align=justify><B>Financial expenses,
net:</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Interest expense on financial liabilities
      recorded at amortized cost </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;7,315 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;3,238 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Bank and other financial charges </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">3,676 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">2,216 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Interest accretion on discounted provision
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">324 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">275 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Foreign exchange loss (gain) (i) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">283 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(1,098</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Derivative loss on financial instruments not designated for
      hedge accounting </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">1,511 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;11,598 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;6,142 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%">(i) </TD>
    <TD>
      <P align=justify>Foreign exchange loss (gain)</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="10%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD width="10%" >&nbsp;</TD>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="10%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Loss (gain) relating to financial assets
      and liabilities </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;238 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(1,104</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD width="10%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>Other foreign
      exchange loss </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right>45
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right>6 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="10%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>&nbsp;283 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>&nbsp;(1,098</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>) </TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.80</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_81></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><B>16. FINANCIAL INSTRUMENTS (continued):</B>
</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(d)</B> </TD>
    <TD>
      <P align=justify><B>Other comprehensive income
  (loss):</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net loss on derivatives designated as cash
      flow hedges </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;(4,955</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;(4,448</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Income taxes </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">50 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">45 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Amounts reclassified from other comprehensive income to net
      earnings, and included in: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom"></TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom"></TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Net sales </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(2,993</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">5,177 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Selling, general and administrative
      expenses </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(563</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(1,045</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Financial expenses, net
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">2,029 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">1,360 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Income taxes </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">33
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
align=right valign="bottom">(55</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flow hedges (loss) income </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(6,399</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">1,034 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Actuarial gain (loss) on employee benefit
      obligations </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">323 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(5,309</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
    <p style="text-indent: -15pt; margin-left: 15pt">Income taxes </TD>
    <TD  width="1%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1">- </TD>
    <TD  width="2%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1">1,357 </TD>
    <TD  width="2%" align=left valign="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Other
      comprehensive loss </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;(6,076</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;(2,918</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>As at September 30, 2012, approximately
$3.0 million of net losses presented in accumulated other comprehensive income
are expected to be reclassified to net earnings within the next twelve
months.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>17.</B> </TD>
    <TD>
      <P align=justify><B>SHARE-BASED
COMPENSATION:</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD>
      <P align=justify><B>Employee share purchase plans:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company has employee share purchase plans which allow
      eligible employees to authorize payroll deductions of up to 10% of their
      salary to purchase from Treasury, common shares of the Company at a price
      of 90% of the then current share price as defined in the plans. Employees
      purchasing shares under the plans subsequent to January 1, 2008 must hold
      the shares for a minimum of two years. The Company has reserved 2,500,000
      common shares for issuance under the plans. As at September 30, 2012, a
      total of 295,493 shares (October 2, 2011 - 266,925) were issued under
      these plans. Included as compensation costs in selling, general and
      administrative expenses is $0.1 million (2011 - $0.1 million) relating to
      the employee share purchase plans.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Stock options and restricted share
units:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company&#146;s Long-Term Incentive Plan (the "LTIP")
      includes stock options and restricted share units. The LTIP allows the
      Board of Directors to grant stock options, dilutive restricted share units
      ("Treasury RSUs") and non- dilutive restricted share units ("non-Treasury
      RSUs") to officers and other key employees of the Company and its
      subsidiaries. On February 2, 2006, the shareholders of the Company
      approved an amendment to the LTIP to fix at 6,000,316 the number of common
      shares that are issuable pursuant to the exercise of stock options and the
      vesting of Treasury RSUs. As at September 30, 2012, 2,306,592 common
      shares remained authorized for future issuance under this plan.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The exercise price payable for each common share covered
      by a stock option is determined by the Board of Directors at the date of
      the grant, but may not be less than the closing price of the common shares
      of the Company on the trading day immediately preceding the effective date
      of the grant. Stock options granted since fiscal 2007 vest equally
      beginning on the second, third, fourth and fifth anniversary of the grant
      date, with the exception of a special one-time award of 409,711 options
      which cliff vest on the fifth anniversary of the grant date, and expire no
      more than seven or ten years after the date of the grant. All stock
      options granted prior to fiscal 2007 have fully
vested.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.81</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_82></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>17.</B> <B>SHARE-BASED COMPENSATION
  (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Stock options and restricted share units
      (continued):</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Holders of Treasury RSUs, non-Treasury RSUs and deferred
      share units are entitled to dividends declared by the Company which are
      recognized in the form of additional equity awards equivalent in value to
      the dividends paid on common shares. The vesting conditions of the
      additional equity awards are subject to the same performance objectives
      and other terms and conditions as the underlying equity awards. The
      additional awards related to outstanding Treasury RSUs and non-Treasury
      RSUs expected to be settled in common shares are credited to contributed
      surplus when the dividends are declared, whereas the additional awards
      related to outstanding non- Treasury RSUs expected to be settled in cash
      and deferred share units are credited to accounts payable and accrued
      liabilities.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Outstanding stock options were as
  follows:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" align=left nowrap valign="bottom">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" align=right nowrap valign="bottom">Weighted
      average </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right nowrap valign="bottom">exercise price </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right nowrap valign="bottom">Number </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right nowrap valign="bottom">(CA$)
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Stock options outstanding, October 4, 2010
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">1,299 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;19.57 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Changes in outstanding stock options: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">69 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">28.64 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Exercised </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(379</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">8.72 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Forfeited </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(28</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">26.88 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Stock options outstanding, October 2, 2011 </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">961 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">24.28 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Changes in outstanding stock options: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">190 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">27.20 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Exercised </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(56</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">14.09 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Forfeited </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
align=right valign="bottom">(41</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">28.50
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Stock options outstanding, September 30, 2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">1,054 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;25.18 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>As at September 30, 2012, 246,006
outstanding options were exercisable at the weighted average exercise price of
CA$28.58 (October 2, 2011 - 244,296 options at CA$27.25) . For stock options
exercised during fiscal 2012, the weighted average share price at the date of
exercise was CA$25.09 (2011 - CA$32.22) . Based on the Black-Scholes option
pricing model, the grant date weighted average fair value of options granted
during the twelve months ended September 30, 2012 was $11.42 (October 2, 2011 -
$13.36) . Expected volatilities are based on the historical volatility of
Gildan&#146;s share price. The risk-free rate used is equal to the yield available on
Government of Canada bonds at the date of grant with a term equal to the
expected life of the options. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Exercise price </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;27.20 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;28.64 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Risk-free interest rate </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>1.31% </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>2.01% </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Expected volatility </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>52.75% </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>52.37% </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Expected life </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>5.25 years </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>5.25 years </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Expected dividend yield </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>1% </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.82</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_83></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>17.</B> <B>SHARE-BASED COMPENSATION
  (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Stock options and restricted share units
      (continued):</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The following table summarizes information about stock
      options issued and outstanding and exercisable at September 30,
    2012:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="23%" colSpan=4 noWrap align=right valign="bottom">Options issued and outstanding
</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
     width="2%" noWrap align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" noWrap align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="10%" noWrap align=right valign="bottom">Options exercisable </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" noWrap align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" noWrap align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" noWrap align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" noWrap align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" noWrap align=right valign="bottom">Remaining </TD>
    <TD  width="2%" noWrap align=left style="border-top-style: none; border-top-width: medium" valign="bottom">&nbsp;</TD>
    <TD  width="1%" noWrap align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" noWrap align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" noWrap align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">Exercise prices
      (CA$) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" noWrap
      align=right valign="bottom">Number </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%" noWrap
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%" noWrap
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" noWrap
      align=right valign="bottom">contractual life (yrs) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%" noWrap
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%" noWrap
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" noWrap
      align=right valign="bottom">Number </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%" noWrap
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">$ 20.12 </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">81 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">4 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">20 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">$ 22.13 </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">410 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">7 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">$ 23.49 </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">149 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">3 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">70 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">$ 27.17 </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">95 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">95 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">$ 27.20 </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">178 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">6 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">$ 28.64 </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">60 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">5 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff align=left valign="bottom">$
      39.39 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">81 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">2 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">61 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=right valign="bottom">1,054
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=left valign="bottom">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%" align=right valign="bottom">246
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>A Treasury RSU represents the right of
an individual to receive one common share on the vesting date without any
monetary consideration being paid to the Company. With limited exceptions, all
Treasury RSUs awarded to date vest within a five-year vesting period. The
vesting of at least 50% of each Treasury RSU grant is contingent on the
achievement of performance conditions that are primarily based on the Company&#146;s
average return on assets performance for the period as compared to the
S&amp;P/TSX Capped Consumer Discretionary Index, excluding income trusts, or as
determined by the Board of Directors.</P>
<P style="MARGIN-LEFT: 5%" align=justify>Outstanding Treasury RSUs were as
follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" align=left nowrap valign="bottom">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" align=right nowrap valign="bottom">Weighted
      average </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right nowrap valign="bottom">Number </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right nowrap valign="bottom">fair
      value per unit </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Treasury RSUs outstanding, October 4, 2010
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">748 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;19.93 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Changes in outstanding Treasury RSUs: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">62 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">35.40 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted for dividends declared </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">6 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">29.93 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Settled through the
      issuance of common shares </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(26</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">22.68 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Forfeited </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(29</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">25.78 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Treasury RSUs granted as contingent
      consideration (note 5) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">150 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">35.40 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Treasury RSUs outstanding, October 2, 2011 </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">911 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">23.34 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Changes in outstanding Treasury RSUs: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">68 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">26.60 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted for dividends
      declared </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">10 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">25.10 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Settled through the issuance of common
      shares </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(102</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">27.32 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Forfeited </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(3</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">27.61 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Treasury RSUs
      outstanding, September 30, 2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right valign="bottom">884
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;23.13 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>As at September 30, 2012 and October 2,
2011, none of the awarded and outstanding Treasury RSUs were vested. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.83</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_84></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>17.</B>&nbsp;&nbsp;<B>SHARE-BASED COMPENSATION
      (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Stock options and restricted share units
      (continued):</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The compensation expense included in selling, general and
      administrative expenses and cost of sales, in respect of the options and
      Treasury RSUs, for fiscal 2012 was $4.6 million (2011 - $4.9 million). The
      counterpart has been recorded as contributed surplus. When the underlying
      shares are issued to the employees, the amounts previously credited to
      contributed surplus are transferred to share capital. As described in note
      5, the compensation expense excludes the value of 150,000 Treasury RSUs
      granted in connection with the acquisition of Gold Toe Moretz as they are
      considered contingent consideration.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Outstanding non-Treasury RSUs were as
  follows:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">Number </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-Treasury RSUs outstanding, October 4,
      2010 </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">313 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Changes in outstanding non-Treasury RSUs: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">151 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted for dividends declared </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">3 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Settled </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(29</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Forfeited </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
align=right valign="bottom">(42</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-Treasury RSUs outstanding, October 2,
      2011 </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">396 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Changes in outstanding non-Treasury RSUs: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">247 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Granted for dividends declared </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">7 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Settled </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(94</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Forfeited </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
align=right valign="bottom">(27</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-Treasury RSUs outstanding, September 30, 2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">529 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Non-Treasury RSUs have the same features as Treasury
      RSUs, except that their vesting period is a maximum of three years and
      they can be settled in cash based on the Company&#146;s share price on the
      vesting date, or through the delivery of common shares purchased on the
      open market. The settlement amount for non-Treasury RSUs expected to be
      settled in cash is based on the Company's five-day average share price at
      the vesting date. Beginning in fiscal 2010, 100% of non-Treasury RSUs
      awarded to executive officers have vesting conditions that are dependent
      upon the financial performance of the Company relative to a benchmark
      group of Canadian publicly listed companies. In addition, up to two times
      the actual number of non-Treasury RSUs awarded to executive officers can
      vest if exceptional financial performance is achieved. As at September 30,
      2012 and October 2, 2011, none of the outstanding non-Treasury RSUs were
      vested.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The compensation expense included in selling, general and
      administrative expenses and cost of sales, in respect of the non-Treasury
      RSUs, for fiscal 2012 was $6.1 million (2011 - $3.7 million). As at
      September 30, 2012, 318,923 non-Treasury RSUs (October 2, 2011 &#150; 317,377)
      were expected to be settled in cash, for which a recognized amount of $4.3
      million (October 2, 2011 - $3.9 million) is included in accounts payable
      and accrued liabilities, based on a fair value per non-Treasury RSU of
      $31.68.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(c)</B> </TD>
    <TD>
      <P align=justify><B>Deferred share unit plan:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company has a deferred share unit plan for
      independent members of the Company&#146;s Board of Directors who must receive
      at least 50% of their annual board retainers in the form of deferred share
      units ("DSUs"). The value of these DSUs is based on the Company&#146;s share
      price at the time of payment of the retainers or fees. DSUs granted under
      the plan will be redeemable and the value thereof payable in cash only
      after the director ceases to act as a director of the Company. As at
      September 30, 2012, there were 110,322 (October 2, 2011 - 78,416; October
      4, 2010 - 53,602) DSUs outstanding at a value of $3.5 million (October 2,
      2011 - $2.0 million; October 4, 2010 - $1.5 million). This amount is
      included in accounts payable and accrued liabilities. The DSU obligation
      is adjusted each quarter based on the market value of the Company&#146;s common
      shares. The Company includes the cost of the DSU plan in selling, general
      and administrative expenses.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.84</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_85></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>17.</B> <B>SHARE-BASED COMPENSATION
  (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(c)</B> </TD>
    <TD>
      <P align=justify><B>Deferred share unit plan (continued):</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Changes in outstanding DSUs were as
  follows:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>Number </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>DSUs outstanding, October 4, 2010 </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>54 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>Granted </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right>24
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>DSUs outstanding, October 2, 2011 </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>78 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Granted </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>31 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>Granted for dividends declared </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>1 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>DSUs outstanding,
      September 30, 2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>110
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>18.</B> <B>SUPPLEMENTARY INFORMATION RELATING TO THE
      NATURE OF EXPENSES:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD>
      <P align=justify><B>Selling, general and administrative
    expenses:</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Selling expenses </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;75,206 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;50,397 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Administrative expenses </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>89,601 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>93,132 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>Distribution expenses </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>61,228 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>55,329 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;226,035 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;198,858 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Employee benefit
expenses:</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Short-term employee benefits </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;254,994 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;239,958 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Share-based payments </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>10,970 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>8,689 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>Post-employment benefits </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>21,344 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>20,055 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;287,308 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;268,702 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(c)</B> </TD>
    <TD>
      <P align=justify><B>Lease expense:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>During the year ended September 30, 2012 an amount of
      $14.0 million was recognized in the statement of earnings and
      comprehensive income relating to operating leases (2011 - $10.2
      million).</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.85</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_86></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>19.</B> <B>RESTRUCTURING AND ACQUISITION-RELATED COSTS,
      AND ASSETS HELD FOR SALE:</B></TD></TR></TABLE>
<P align=justify>Restructuring and acquisition-related costs are presented in
the following table, and are comprised of costs directly related to the closure
of business locations or the relocation of business activities, changes in
management structure, as well as transaction, exit and integration costs
incurred pursuant to business acquisitions. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=left nowrap valign="bottom">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">Business
    </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=left nowrap valign="bottom">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">acquisitions </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">Facility </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">and changes in </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">closures and </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">management </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom">relocations </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom">structure </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">Total
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Gain on disposal of assets held for sale
</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;(130</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;(130</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Impairment and write-down of assets held for sale </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">4,981 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">4,981 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Employee termination and benefit costs </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">533 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">7,324 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">7,857 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net pension recovery </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(403</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(403</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Exit, relocation and other costs </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">616 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">6,971 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">7,587 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Re-measurement of contingent consideration in connection
      with a business acquisition (note 5) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">532 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">532 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Purchase gain on business acquisition (note
      5) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">(6,679</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">(6,679</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Acquisition-related transaction costs </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">1,217
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">1,217
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;6,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;8,962 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;14,962 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=left nowrap valign="bottom">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">Business
    </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=left nowrap valign="bottom">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">acquisitions </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">Facility </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">and changes in </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">closures and </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right nowrap valign="bottom">management </TD>
    <TD  width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left nowrap valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom">relocations </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom">structure </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">Total
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Loss on disposal of assets held for sale
</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;634 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;634 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Impairment and write-down of assets held for sale </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,722 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,722 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Employee termination and benefit costs </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">2,764 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">123 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">2,887 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net pension expense </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">4,684 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">4,684 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Exit, relocation and other costs </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">1,898 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">540 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">2,438 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Re-measurement of contingent consideration in connection
      with a business acquisition (note 5) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(1,460</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(1,460</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Acquisition-related transaction costs </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">7,272 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">7,272 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;7,018 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;11,159 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;18,177 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>Facility closure and relocation costs incurred in fiscal 2012
and fiscal 2011 relate primarily to the closure, between fiscal 2009 and fiscal
2011, of the following facilities that are currently included in assets held for
sale:</P>
<UL style="TEXT-ALIGN: justify">
  <LI>The closure of the Company&#146;s U.S. sock knitting and finishing operations
  in Fort Payne, Alabama in connection with the consolidation of its sock
  manufacturing operations in Honduras; and
  <LI>The consolidation of the Company&#146;s distribution centre in Martinsville,
  Virginia and Fort Payne, Alabama into its primary distribution centre
  servicing Branded Apparel customers in Charleston, South Carolina. </LI></UL>
<P align=justify>Acquisition-related costs incurred in fiscal 2012 and fiscal
2011 relate primarily to costs incurred, net of a purchase gain on business
acquisition, pursuant to the acquisition of Anvil in fiscal 2012 and Gold Toe
Moretz in fiscal 2011 as described in note 5.</P>
<P align=justify>Net pension recovery of $0.4 million in fiscal 2012 (2011 &#150; net
pension expense of $4.7 million) relates to Gold Toe Moretz&#146;s defined benefit
pension plan which was incurred primarily as a result of the Company&#146;s plan to
liquidate and wind-up the Retirement Plan as described in note 13(a).</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.86</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_87></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>19.</B> <B>RESTRUCTURING AND ACQUISITION-RELATED COSTS,
      AND ASSETS HELD FOR SALE (continued):</B></TD></TR></TABLE>
<P align=justify>Assets held for sale of $8.0 million as at September 30, 2012
(October 2, 2011 - $13.1 million; October 4, 2010 - $3.2 million) include
property, plant and equipment primarily relating to closed facilities. The
Company expects to incur additional carrying costs relating to the closed
facilities, which will be accounted for as restructuring charges as incurred
until all assets related to the closures are disposed. Any gains or losses on
the disposal of the assets held for sale relating to closed facilities will also
be accounted for as restructuring charges as incurred.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>20.</B> <B>INCOME TAXES:</B></TD></TR></TABLE>
<P align=justify>The income tax provision differs from the amount computed by
applying the combined Canadian federal and provincial tax rates to earnings
before income taxes. The reasons for the difference and the related tax effects
are as follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Earnings before income taxes </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;144,127 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;214,933 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Applicable tax
      rate </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">27.2%
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">28.8%
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Income taxes at applicable statutory rate
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">39,246 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">61,901 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">(Decrease) increase in income taxes resulting from: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Effect of different tax
      rates on earnings of foreign subsidiaries </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(51,640</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(83,276</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income tax (recovery) charge for prior
      taxation years </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">974 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(413</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;&nbsp;&nbsp;&nbsp; Non-recognition of
      tax benefits related to tax losses and temporary differences </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">5,910 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">2,572 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Effect of non-deductible expenses and other </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">1,173
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">(7</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total income tax recovery </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;(4,337</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;(19,223</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Average effective
      tax rate (recovery) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right valign="bottom">(3.0%</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right valign="bottom">(8.9%</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD></TR></TABLE>
<P align=justify>The Company&#146;s applicable statutory tax rate is the Canadian
combined rate applicable in the jurisdictions in which the Company operates. The
decrease is mainly due to the reduction of the Canadian Federal income tax rate
applicable to the Company effective January 1, 2012 from 16.5% to 15%.</P>
<P align=justify>The details of income tax expense (recovery) are as
follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Current income taxes </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;6,005 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;3,376 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Deferred income taxes: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Origination and reversal of temporary
      differences </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(16,286</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(25,334</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;&nbsp;&nbsp;&nbsp; Non-recognition of
      tax benefits related to tax losses and temporary differences </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">5,910 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">2,572 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Effect of substantively enacted income tax rates changes </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">34
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" align=right valign="bottom">163
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(10,342</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(22,599</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right valign="bottom">&nbsp;(4,337</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right valign="bottom">&nbsp;(19,223</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="2%" align=left valign="bottom">) </TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.87</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<A name=page_88></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>20.</B> <B>INCOME TAXES
(continued):</B></TD></TR></TABLE>
<P align=justify>Significant components of the Company&#65426;s deferred income tax
assets and liabilities relate to the following temporary differences and unused
tax losses:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap valign="bottom">September 30, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">October
      2, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">October
      4, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Deferred tax assets: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Non-capital losses </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;66,386 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;67,142 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;13,655 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Non-deductible reserves
      and accruals </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">27,405 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">15,236 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">5,215 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Other items </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">9,357
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">4,067
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">3,179
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;103,148 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;86,445 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;22,049 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Unrecognized deferred tax assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">(12,053</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
    align=right valign="bottom">(3,123</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
    align=right valign="bottom">(1,179</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Deferred tax assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;91,095 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;83,322 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;20,870 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Deferred tax liabilities: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Property, plant and equipment </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;(189</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;(3,871</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;(5,890</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Intangible assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(87,535</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(91,428</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(19,751</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Deferred tax
      liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">&nbsp;(87,724</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">&nbsp;(95,299</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">&nbsp;(25,641</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;3,371 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;(11,977</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;(4,771</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD></TR></TABLE>
<P align=justify>The details of changes to deferred income tax assets and
liabilities were as follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, beginning of year, net </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;(11,977</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;(4,771</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Recognized in the statement of earnings: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Non-capital losses </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(859</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">21,851 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Non-deductible reserves and accruals
</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">152 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">725 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Property, plant and
      equipment </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">5,939 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">779 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Intangible assets </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">7,337 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">3,828 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Other items </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">3,683 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(2,640</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Unrecognized deferred tax assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(5,910</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
    align=right valign="bottom">(1,944</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">10,342 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">22,599 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Business acquisitions </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">5,066 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(31,178</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Other </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(60</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">1,373 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Balance, end of
      year, net </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;3,371 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;(11,977</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD></TR></TABLE>
<P align=justify>As at September 30, 2012, the Company has tax credits, capital
and non-capital loss carryforwards and other taxable temporary differences
available to reduce future taxable income for tax purposes representing a tax
benefit of approximately $12.1 million, for which no deferred tax asset has been
recognized (October 2, 2011 - $3.1 million; October 4, 2010 - $1.2 million). The
tax credits and capital and non-capital loss carryforwards expire between 2019
and 2032. The utilization of the recognized deferred tax asset is supported by
projections of future profitability of the Company.</P>
<P align=justify>The Company has not recognized a deferred income tax liability
for the undistributed profits of our subsidiaries, as the Company currently has
no intention to repatriate these profits. If expectations or intentions change
in the future, the Company may be subject to an additional tax liability upon
distribution of these earnings in the form of dividend or otherwise. As at
September 30, 2012, a deferred income tax liability of approximately $28 million would
result from the recognition of the taxable temporary differences of
approximately $123 million.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.88</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_89></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>21.</B> <B>EARNINGS PER SHARE:</B></TD></TR></TABLE>
<P align=justify>Reconciliation between basic and diluted earnings per share is
as follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">Net earnings - basic and diluted </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;148,464 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;234,156 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">Basic earnings per share: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">&nbsp; &nbsp;
      &nbsp;Basic weighted average number of common shares outstanding </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">121,488 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">121,526 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">&nbsp; &nbsp; &nbsp;Basic earnings per share </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;1.22 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;1.93 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">Diluted earnings per share: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">&nbsp; &nbsp; &nbsp;Basic weighted average number of common
      shares outstanding </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">121,488 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">121,526 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">&nbsp;&nbsp;&nbsp;&nbsp; Plus dilutive impact of stock options,
      Treasury RSUs and common shares held in trust </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">580 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">757 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid"
      align=left valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">&nbsp;&nbsp;&nbsp;&nbsp; Diluted weighted average number of
      common shares outstanding </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">122,068 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">122,283 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -25pt; margin-left: 25pt">&nbsp; &nbsp; &nbsp;Diluted earnings per share </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;1.22 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;1.91 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>Excluded from the above calculation for the year ended
September 30, 2012 are 823,687 stock options (2011 -155,848) and 62,000 Treasury
RSUs (2011 - nil) which were deemed to be anti-dilutive.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>22.</B>&nbsp; <B>DEPRECIATION AND
  AMORTIZATION:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Depreciation of property, plant and
      equipment </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff vAlign=bottom width="12%" align=right>&nbsp;80,625 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff vAlign=bottom width="12%" align=right>&nbsp;64,168 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Adjustment for the
      variation of depreciation of property, plant and equipment included in
      inventories at the beginning and end of the year </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="12%"
    align=right>(2,863</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left>) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom width="12%"
    align=right>(3,423</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" vAlign=bottom
    width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Depreciation of property, plant and
      equipment included in net earnings </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="12%" align=right>77,762 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="12%" align=right>60,745 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Amortization of intangible assets (excluding software) </TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="12%" align=right>15,152 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="12%" align=right>8,658 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Amortization of software </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="12%" align=right>1,659 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="12%" align=right>4,733 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Depreciation and
      amortization included in net earnings </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="12%"
    align=right>&nbsp;94,573 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom width="12%"
    align=right>&nbsp;74,136 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" vAlign=bottom
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=justify>Depreciation and amortization expense for fiscal 2012 includes
an impairment charge of $6.0 million, which consists primarily of a charge of
$3.9 million related to the retirement, before the end of the previously
estimated useful lives, of certain machinery and equipment in connection with
the ramp-down of the Company&#146;s Rio Nance 1 textile facility in Honduras. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.89</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_90></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>23.</B> <B>SUPPLEMENTAL CASH FLOW
  DISCLOSURE:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD>
      <P align=justify><B>Adjustments to reconcile net earnings to cash flows
      from operating activities:</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Depreciation and amortization (note 22) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;94,573 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;74,136 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Purchase gain on business acquisition (note 5) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(6,679</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Loss (gain) on re-measurement of contingent
      consideration in connection with a business acquisition (note 5) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">532 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(1,460</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Restructuring charges related to assets held for sale and
      property, plant and equipment (note 19) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">4,851 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">2,356 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Loss on disposal of property, plant and
      equipment </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">1,619 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">1,877 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Loss on disposal of corporate asset (i) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">3,693 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Share-based compensation costs </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">4,606 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">4,899 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Deferred income taxes </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(10,342</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(22,599</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Equity earnings in investment in joint
      venture </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(597</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(504</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Unrealized net loss on foreign exchange and financial
      derivatives </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">160 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">255 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Other non-current assets </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">6,634 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(701</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Employee benefit obligations </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(1,452</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(14,310</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Provisions </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">316 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">275 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;94,221 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;47,917 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%">(i) </TD>
    <TD>
      <P align=justify>During fiscal 2011, the Company purchased a corporate
      aircraft under a finance lease pursuant to an early purchase option for
      approximately $16.9 million. Immediately following the purchase, the
      Company sold the corporate aircraft to an unrelated third party for
      proceeds of $13.2 million, resulting in a loss of $3.7 million which is
      included in selling, general and administrative expenses. The Company has
      leased a new corporate aircraft which is being accounted for as an
      operating lease.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Non-cash transactions:</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Variance of non-cash transactions: </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="12%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom width="12%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;&nbsp; Additions to property, plant and equipment
      included in accounts payable and accrued liabilities </TD>
    <TD vAlign=bottom  width="1%" align=left>$</TD>
    <TD vAlign=bottom width="12%" align=right>&nbsp;(1,295</TD>
    <TD vAlign=bottom  width="2%" align=left>) </TD>
    <TD vAlign=bottom  width="1%" align=left>$</TD>
    <TD vAlign=bottom width="12%" align=right>&nbsp;2,927 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;&nbsp; Proceeds on disposal of property, plant and
      equipment in other non-current assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="12%" align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
    width="12%" align=right>427 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD vAlign=bottom  width="1%">&nbsp;</TD>
    <TD vAlign=bottom width="12%">&nbsp; </TD>
    <TD vAlign=bottom  width="2%">&nbsp;</TD>
    <TD vAlign=bottom  width="1%">&nbsp;</TD>
    <TD vAlign=bottom width="12%">&nbsp; </TD>
    <TD vAlign=bottom  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-cash ascribed value credited to
      contributed surplus for dividends attributed to Treasury RSUs </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff vAlign=bottom width="12%" align=right>&nbsp;252 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD>
    <TD bgColor=#e6efff vAlign=bottom  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff vAlign=bottom width="12%" align=right>&nbsp;191 </TD>
    <TD bgColor=#e6efff vAlign=bottom  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-cash ascribed value credited to share capital from
      shares issued or distributed pursuant to vesting of restricted share units and exercise of stock
      options </TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="12%" align=right>5,166 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD>
    <TD vAlign=bottom  width="1%" align=left>&nbsp;</TD>
    <TD vAlign=bottom width="12%" align=right>807 </TD>
    <TD vAlign=bottom  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Shares issued for lease termination costs incurred in a
      business acquisition </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff vAlign=bottom
    width="12%" align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff vAlign=bottom
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff vAlign=bottom
    width="12%" align=right>1,065 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff vAlign=bottom
     width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.90</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_91></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>24.</B> <B>RELATED PARTY
TRANSACTIONS:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD>
      <P align=justify><B>Joint ventures:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company has transactions with CanAm. These
      transactions are based on arm&#146;s length terms and are measured at the
      exchange amount, which is the amount of consideration established and
      agreed to by the related parties. All outstanding balances are to be
      settled in cash within twelve months of the reporting date. None of the
      balances are secured. The following is a summary of the related party
      transactions and balances owed:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Transactions: </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left>&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>&nbsp; &nbsp; &nbsp;Yarn purchases </TD>
    <TD  width="1%" align=left>$</TD>
    <TD width="12%" align=right>&nbsp;126,126 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>$</TD>
    <TD width="12%" align=right>&nbsp;142,601 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>&nbsp; &nbsp; &nbsp;Yarn sales </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>1,304 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>1,188 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>&nbsp; &nbsp; &nbsp;Dividend received </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>1,509 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>- </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff>&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Balances outstanding: </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=left>&nbsp; </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=left>&nbsp; </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>&nbsp; &nbsp; &nbsp;Other non-current
      assets (loan receivable) </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>3,895 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>&nbsp; &nbsp;
      &nbsp;Accounts payable and accrued liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>2,027
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>3,270
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P style="MARGIN-LEFT: 5%" align=justify>The Company has no contingent
liabilities or capital commitments with the joint venture. On October 29, 2012,
the Company acquired the remaining 50% ownership interest of CanAm as described
in note 28 to these consolidated financial statements.</P>
<P style="MARGIN-LEFT: 5%" align=justify>The following table illustrates the
Company&#146;s proportionate share of summarized financial information of CanAm as at
and for the years then ended:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap valign="bottom">September 30, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">October
      2, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">October
      4, </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Share of the joint venture's statement of
      financial position: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Current assets </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;6,449 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;8,973 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;8,075 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Non-current assets </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">6,878 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">8,130 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">7,680 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Current liabilities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(2,044</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(5,477</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(2,132</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Non-current liabilities </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">(2,386</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;11,283 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;11,626 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;11,237 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="1%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
      width="10%" valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="2%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="1%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
      width="10%" valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="2%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="1%" valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
      width="10%" valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#ffffff
    width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff width="10%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff width="10%"
    align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff width="10%"
    align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#ffffff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">Share of the joint venture's income and expenses: </TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;62,260 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;70,994 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom" bgcolor="#E6EFFF">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Expenses </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom" bgcolor="#E6EFFF">61,094 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom" bgcolor="#E6EFFF">70,605 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bgcolor="#E6EFFF">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
    align=right valign="bottom">&nbsp;1,166 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
    align=right valign="bottom">&nbsp;389 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Key management personnel compensation:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>Key management personnel includes those individuals that
      have authority and responsibility for planning, directing and controlling
      the activities of the Company, directly or indirectly, and is comprised of
      the members of the executive management team and the Board of Directors.
      The amount for compensation expense recognized in net earnings for key
      management personnel was as follows:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD bgColor=#e6efff align=left>Short-term employee benefits </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;3,263 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;6,415 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>Post-employment benefits </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>131 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>194 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>Share-based payments </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>6,976 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>5,000 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;10,370 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;11,609 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.91</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_92></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>24.</B> <B>RELATED PARTY TRANSACTIONS
  (continued):</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(c)</B> </TD>
    <TD>
      <P align=justify><B>Other:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company leases warehouse and office space from an
      officer of a subsidiary of the Company under operating leases. The
      payments made on these leases were in accordance with the terms of the
      lease agreements established and agreed to by the related parties, which
      amounted to $0.9 million for fiscal 2012 (2011 - $0.6 million). There were
      no amounts owing as at September 30, 2012 and October 2, 2011.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>25.</B> <B>COMMITMENTS, GUARANTEES AND CONTINGENT
      LIABILITIES:</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>(a)</B> </TD>
    <TD>
      <P align=justify><B>Security class actions:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>In June 2008, the Company and certain of its senior
      officers were named as defendants in a number of class action lawsuits
      filed in the United States District Court for the Southern District of New
      York, which were subsequently consolidated, alleging claims under the U.S.
      securities laws, as well as in class action lawsuits filed in the Ontario
      Superior Court of Justice and in the Quebec Superior Court. Each of these
      U.S. and Canadian lawsuits alleged, among other things, that the
      defendants misrepresented the Company&#146;s financial condition and its
      financial prospects in its earnings guidance concerning the 2008 fiscal
      year, which guidance was subsequently revised on April 29, 2008.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>In August 2010, the Company entered into an agreement to
      settle all claims raised in these class action lawsuits and final court
      approval of the settlement was obtained from each of the courts in
      February and March 2011. Consequently, all of the actions have been
      dismissed. The settlement agreement provided for a total settlement amount
      of $22.5 million, which was entirely funded by the Company&#146;s insurers.
      Therefore no provision has been recorded in the consolidated financial
      statements and no amounts have been disbursed by the Company in respect of
      the settlement.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(b)</B> </TD>
    <TD>
      <P align=justify><B>Claims and litigation</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>On October 12, 2012, Russell Brands, LLC, an affiliate of
      Fruit of the Loom, filed a lawsuit against the Company in the United
      States District Court of the Western District of Kentucky at Bowling
      Green, alleging trademark infringement and unfair competition and seeking
      injunctive relief and unspecified money damages. The litigation concerns
      labelling errors on certain inventory products shipped by Gildan to one of
      its customers. Upon being made aware of the error, the Company took
      immediate action to retrieve the disputed products. The Company believes
      that the value of the products in dispute is immaterial.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company is a party to other claims and litigation
      arising in the normal course of operations. The Company does not expect
      the resolution of these matters to have a material adverse effect on the
      financial position or results of operations of the Company.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%"><B>(c)</B> </TD>
    <TD>
      <P align=justify><B>Guarantees:</B></P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>The Company, and some of its subsidiaries, have granted
      corporate guarantees, irrevocable standby letters of credit and surety
      bonds, to third parties to indemnify them in the event the Company and
      some of its subsidiaries do not perform their contractual obligations. As
      at September 30, 2012, the maximum potential liability under these
      guarantees was $16.5 million (October 2, 2011 - $15.1 million; October 4,
      2010 - $21.8 million), of which $6.9 million was for surety bonds and $9.6
      million was for corporate guarantees and standby letters of credit
      (October 2, 2011 - $5.0 million and $10.1 million; October 4, 2010 - $5.1
      million and $16.7 million, respectively). The surety bonds are
      automatically renewed on an annual basis, the corporate guarantees and
      standby letters of credit mature at various dates in fiscal
2013.</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD>
      <P align=justify>As at September 30, 2012, the Company has recorded no
      liability with respect to these guarantees, as the Company does not expect
      to make any payments for the aforementioned items.</P></TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.92</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_93></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>26.</B> <B>CAPITAL DISCLOSURES:</B></TD></TR></TABLE>
<P align=justify>The Company&#146;s objective in managing capital is to ensure
sufficient liquidity to pursue its organic growth strategy and undertake
selective acquisitions, while at the same time taking a conservative approach
towards financial leverage and management of financial risk. </P>
<P align=justify>The Company&#146;s capital is composed of net debt and shareholders&#146;
equity. Net debt consists of interest-bearing debt less cash and cash
equivalents. The Company&#146;s primary uses of capital are to finance working
capital requirements, capital expenditures, payment of dividends, and business
acquisitions. The Company currently funds these requirements out of its
internally-generated cash flows and the periodic use of its revolving long-term
bank credit facility. The Company used its revolving long-term credit facility
to finance the acquisition of Gold Toe Moretz in fiscal 2011 and to finance the
acquisition of Anvil in fiscal 2012.</P>
<P align=justify>In November 2012, the Company amended its revolving long-term
credit facility to extend the maturity date from June 2016 to January 2018. The
amended agreement provides for an annual extension clause, subject to the
approval of the lenders. It also provides for reduced drawn pricing when the net
debt to EBITDA ratio is below 1.0:1, and reduced undrawn pricing. </P>
<P align=justify>The primary measure used by the Company to monitor its
financial leverage is its ratio of net debt to earnings before financial
expenses/income, taxes, depreciation and amortization, and restructuring and
acquisition-related costs (&#147;EBITDA&#148;), which it aims to maintain at less than a
maximum of 3.0:1. Net debt is defined as long-term debt less cash and cash
equivalents. As at September 30, 2012 and October 2, 2011 the Company&#146;s net debt
to EBITDA ratio was below 1.0:1. </P>
<P align=justify>In order to maintain or adjust its capital structure, the
Company, upon approval from its Board of Directors, may issue or repay long-term
debt, issue shares, repurchase shares, pay dividends or undertake other
activities as deemed appropriate under the specific circumstances.</P>
<P align=justify>During fiscal 2012, the Company paid an aggregate of $36.6
million of dividends (2011 - $27.5 million) representing a quarterly dividend of
$0.075 per share. On November 28, 2012 the Board of Directors declared a
quarterly dividend of $0.09 per share for an expected aggregate payment of $10.9
million which will be paid on January 7, 2013 on all of the issued and
outstanding common shares of the Company, rateably and proportionately to the
holders of record on December 13, 2012. This dividend is an &#147;eligible dividend&#148;
for the purposes of the Income Tax Act (Canada) and any other applicable
provincial legislation pertaining to eligible dividends.</P>
<P align=justify>The Board of Directors will consider several factors when
deciding to declare quarterly cash dividends, including the Company&#146;s present
and future earnings, cash flows, capital requirements and present and/or future
regulatory and legal restrictions. There can be no assurance as to the
declaration of future quarterly cash dividends. Although the Company&#146;s revolving
long-term credit facility requires compliance with lending covenants in order to
pay dividends, these covenants are not currently, and are not expected to be, a
constraint to the payment of dividends under the Company&#146;s dividend policy. </P>
<P align=justify>The Company is not subject to any capital requirements imposed
by a regulator.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>27.</B> <B>SEGMENT INFORMATION:</B></TD></TR></TABLE>
<P align=justify>During the first quarter of fiscal 2012, the Company began
managing and reporting its business as two operating segments, Printwear and
Branded Apparel, each of which is a reportable segment for financial reporting
purposes. Each segment has its own management that is accountable and
responsible for the segment&#146;s operations, results and financial performance.
These segments are principally organized by the major customer markets they
serve. The Company previously managed and reported its operations under one
reportable business segment, being high-volume, basic, frequently replenished,
non-fashion apparel. The following summary describes the operations of each of
the Company&#146;s operating segments:</P>
<P align=justify>Printwear: The Printwear segment, headquartered in Barbados,
designs, manufactures, sources, and distributes globally undecorated activewear
products primarily to wholesale distributors and decorators in over 30 countries
across North America, Europe and the Asia-Pacific region. </P>
<P align=justify>Branded Apparel: The Branded Apparel segment, headquartered in
Charleston, South Carolina, designs, manufactures, sources, and distributes
socks, underwear and activewear products primarily to U.S. retailers. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.93</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_94></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>27.</B> <B>SEGMENT INFORMATION
  (continued):</B></TD></TR></TABLE>
<P align=justify>Following the acquisition of Anvil as described in note 5, the
Printwear segment includes the results of operations of Anvil&#146;s printwear
business, while the Branded Apparel segment includes Anvil&#146;s operations related
to the manufacture and distribution of activewear products for leading consumer
brands, including major sportswear and family entertainment brands.</P>
<P align=justify>The chief operating decision-maker assesses segment performance
based on segment operating income which is defined as operating income before
corporate head office expenses, restructuring and acquisition-related costs, and
amortization of intangible assets. The accounting policies of the segments are
the same as those described in note 3 of these consolidated financial
statements.</P>
<P align=justify>The segment disclosures below include comparative financial
information for the year ended October 2, 2011, which have been presented on the
same reportable segment basis as fiscal 2012. Certain comparative figures for
entity-wide net sales disclosures have been reclassified to conform with the
current year&#146;s presentation.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right valign="bottom">2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Segmented net sales: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Printwear </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;1,334,252 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;1,327,682 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Branded Apparel </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">614,001 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">398,030 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total net sales
</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;1,948,253 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;1,725,712 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Segment operating income (loss): </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Printwear </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;209,426 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;330,220 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;
      &nbsp;Branded Apparel </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">32,827 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right valign="bottom">(16,180</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total segment operating income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;242,253 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">&nbsp;314,040 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Reconciliation to consolidated earnings
      before income taxes: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Total segment operating income </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;242,253 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="12%" align=right valign="bottom">&nbsp;314,040 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Amortization of
      intangible assets, excluding software </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(15,152</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(8,658</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Corporate expenses </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(57,011</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(66,634</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Restructuring and
      acquisition-related costs </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(14,962</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">(18,177</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Financial expenses, net </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(11,598</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(6,142</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Equity earnings in investment in joint
      venture </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">597 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">504 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Earnings before
      income taxes </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;144,127 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;214,933 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Additions to property, plant and equipment and intangible
      assets (including additions from business acquisitions): </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom"></TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom"></TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Printwear </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;73,205 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;119,664 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Branded Apparel </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">21,929 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">246,077 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Corporate </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">4,779 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">5,773 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;99,913 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;371,514 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD bgColor=#e6efff valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Depreciation of property, plant and equipment: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Printwear </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;54,473 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;37,885 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Branded Apparel </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">21,195 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">19,841 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Corporate </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">2,094 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">3,019 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;77,762 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right valign="bottom">&nbsp;60,745 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.94</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_95></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>27.</B> <B>SEGMENT INFORMATION
  (continued):</B></TD></TR></TABLE>
<P align=justify>The reconciliation of total assets to segmented assets is as
follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap valign="bottom">September 30, </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">October
      2, </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=right nowrap valign="bottom">October
      4, </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%"
  align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2012
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2011
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right nowrap valign="bottom">2010
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD>
    <TD width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Segmented assets (i): </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Printwear </TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;886,209 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;884,755 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">$</TD>
    <TD width="10%" align=right valign="bottom">&nbsp;637,728 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Branded Apparel </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">887,510 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">833,481 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">387,256 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total segmented assets </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,773,719 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,718,236 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">1,024,984 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Unallocated assets: </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Cash and cash equivalents </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">70,410 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">82,025 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">250,843 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income taxes receivable
    </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">353 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">515 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Assets held for sale </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">8,029 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">13,142 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">3,246 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Investment in joint
      venture </TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">12,126 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">13,038 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">12,533 </TD>
    <TD bgColor=#e6efff width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Deferred income taxes </TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">3,371 </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">- </TD>
    <TD width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Other - primarily corporate assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">28,429 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">31,543 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">42,897 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Consolidated
      assets </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;1,896,437 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;1,858,499 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="10%"
      align=right valign="bottom">&nbsp;1,334,503 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>(i) Segmented assets include the net carrying amounts of
intangible assets and goodwill. </P>
<P align=justify>Property, plant and equipment, intangible assets, and goodwill,
were allocated to geographic areas as follows:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
    width="10%" align=right nowrap>September 30, </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
    width="10%" align=right nowrap>October 2, </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
    width="10%" align=right nowrap>October 4, </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; BORDER-TOP: 2px solid #000000; "
     width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium" width="10%" align=right nowrap>2012
    </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium" width="10%" align=right nowrap>2011
    </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium"  width="2%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium"  width="1%"
    align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium" width="10%" align=right nowrap>2010
    </TD>
    <TD style="BORDER-BOTTOM: 1px solid #000000; ; border-top-style:none; border-top-width:medium"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>United States </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;450,581 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;461,654 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="10%" align=right>&nbsp;132,488 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Canada </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>15,101 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>13,620 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>31,874 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Honduras </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right>350,856 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right>334,976 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right>245,434 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Caribbean Basin </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>109,056 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>116,909 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="10%" align=right>120,960 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Bangladesh </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right>17,289 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right>15,879 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right>15,612 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>Other </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right>11,468 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right>10,872 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right>13,653 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;954,351 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;953,910 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right>&nbsp;560,021 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=justify>Net sales by major product group:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Activewear and underwear </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;1,472,510 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;1,405,707 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>Socks </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right>475,743 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%"
      align=right>320,005 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>&nbsp;1,948,253 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>&nbsp;1,725,712 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=justify>Net sales were derived from customers located in the following
geographic areas:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>United States </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;1,738,564 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;1,539,994 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Canada </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>67,752 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>63,424 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
      align=left>Europe and other </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>141,937 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="12%"
    align=right>122,294 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;1,948,253 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
      align=right>&nbsp;1,725,712 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.95</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_96></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>27.</B> <B>SEGMENT INFORMATION
  (continued):</B></TD></TR></TABLE>
<P align=justify>The Company has two customers accounting for at least 10% of
total net sales.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2012 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right>2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Customer A </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>14.8% </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>19.4% </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Customer B </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>12.0%
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>12.1%
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>28.</B> <B>EVENTS AFTER THE REPORTING
  PERIOD:</B></TD></TR></TABLE>
<P align=justify>On October 29, 2012, the Company acquired the remaining 50%

interest of CanAm, its jointly-controlled entity, for cash
consideration of $2.5 million, net of cash acquired of $8.8 million. The
strategic rationale
of the acquisition of the remaining 50% interest, combined with the Company&#146;s
plans to modernize and expand CanAm&#146;s two yarn-spinning facilities, is to
support the Company&#146;s projected sales growth and also to continue to pursue the
Company&#146;s business model of investing in global low-cost manufacturing
technology and in product technology which will provide consistent superior
product quality. The acquisition will be financed by the utilization of the
Company&#146;s revolving long-term bank credit facility. The Company will account for
this acquisition using the acquisition method in accordance with IFRS 3,
Business Combinations, and the results of CanAm will be consolidated with those
of the Company from the date of acquisition. The Company has not yet completed
the accounting for the business acquisition including the determination of the
fair values of the identifiable net assets acquired.</P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.96</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_97></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF
IFRS:</B></TD></TR></TABLE>
<P align=justify>As stated in note 2(a), these are the Company&#146;s first audited
annual consolidated financial statements prepared in accordance with IFRS.</P>
<P align=justify>The Company has applied the accounting policies set out in note
3 in the preparation of the consolidated financial statements for the year ended
September 30, 2012, the comparative information presented in the consolidated
financial statements related to the year ended October 2, 2011 and the opening
IFRS consolidated statement of financial position as at October 4, 2010 (the
Company&#146;s transition date).</P>
<P align=justify>This note provides a reconciliation, with explanatory notes, of
the adjustments made by the Company in recasting the following financial
information previously prepared in accordance with previous Canadian GAAP:</P>
<UL style="TEXT-ALIGN: justify">
  <LI>Consolidated statements of financial position as at October 2, 2011 and
  October 4, 2010; and
  <LI>Consolidated statement of earnings and comprehensive income for the year
  ended October 2, 2011. </LI></UL>
<P align=justify><B><U>IFRS 1 Exemptions</U></B></P>
<P align=justify>IFRS 1, First Time Adoption of International Financial
Reporting Standards, requires first time adopters to retrospectively apply all
effective IFRS standards as of its first annual financial statements, which for
the Company is September 30, 2012. However, IFRS 1 also provides first-time
adopters certain optional exemptions and mandatory exceptions from full
retrospective application. The following outlines the optional exemptions and
mandatory exception that the Company has applied at the transition date:</P>
<P align=justify><B><I>Optional exemptions:</I></B></P>
<P align=justify><B><I>Foreign exchange cumulative translation adjustments
</I></B>- The exemption permits the balance of any cumulative translation
adjustment (&#147;CTA&#148;) to be eliminated by an adjustment to opening retained
earnings at the transition date. As a result, the Company eliminated its CTA
balance of $26.2 million which was included in accumulated other comprehensive
income through an adjustment to retained earnings at the transition date.</P>
<P align=justify><B><I>Decommissioning and restoration liabilities </I></B>- The
exemption permits the Company not to apply IFRIC 1, Changes in Existing
Decommissioning, Restoration and Similar Liabilities, retrospectively to
calculate the opening depreciated cost of the asset relating to decommissioning
and site restoration costs under IFRS, but rather to use a simplified approach
based on the discounted value of the liability at the transition date.</P>
<P align=justify><B><I>Business combinations </I></B>- The exemption permits the
Company not to apply IFRS 3, Business Combinations, to business combinations
occurring prior to the transition date.</P>
<P align=justify><B><I>Share-based payment transactions </I></B>- The exemption
permits the Company to apply IFRS 2, Share-based Payment, only to equity
instruments that were granted after November 7, 2002, which have not yet vested
at the transition date.</P>
<P align=justify><B><I>Borrowing costs </I></B>- The exemption permits the
capitalization of borrowing costs to be limited to qualifying assets for which
commencement date for capitalization is on or after the date of transition.</P>
<P align=justify><B><I>Mandatory exceptions: </I></B></P>
<P align=justify><B><I>Estimates </I></B>&#150; Hindsight is not used to create or
revise estimates. The estimates previously made by the Company under Canadian
GAAP were not revised for the application of IFRS except where necessary to
reflect differences in accounting standards. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.97</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_98></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify>Reconciliation of financial position and equity at October 2,
2011 from Canadian GAAP to IFRS:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="19%" colSpan=4
    align=center valign="bottom" nowrap>IFRS adjustments </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; "  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" nowrap>CanAm </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" nowrap>Other </TD>
    <TD  width="2%" align=left valign="bottom" nowrap style="border-top-style: none; border-top-width: medium">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right valign="bottom" nowrap>Canadian GAAP </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right valign="bottom" nowrap>Adjustments </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right valign="bottom" nowrap>Adjustments </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" nowrap>&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" nowrap>IFRS
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" nowrap>Note 1 </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" nowrap>Note </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Current assets: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Cash and cash equivalents </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;88,802 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;(6,777</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;82,025 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Trade accounts
      receivable </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">191,594 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">191,594 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income taxes receivable </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">515 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">515 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Inventories </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">575,594 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(7,283</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">568,311 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Prepaid expenses and deposits </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">10,966 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(139</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">10,827 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Assets held for sale
</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">13,142 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">3 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">13,142 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Deferred income taxes </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">11,666 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(11,666</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">4 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Other current assets
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">9,307 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(79</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">9,228 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total current assets </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">888,444 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(14,278</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,476 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">875,642 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Property, plant and equipment </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">565,398 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(16,155</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">4,528 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">5 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">550,324 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(3,447</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">6 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Investment in joint venture </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">13,038 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">13,038 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Assets held for sale </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">13,142 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(13,142</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Intangible assets </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">256,467 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">5,186 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">7 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">261,653 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Goodwill </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">153,219 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(5,815</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">9 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">141,933 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">3,345 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">9 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(5,839</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">12 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(2,977</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">13 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Other assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">13,051
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">3,887
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(1,029</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">8 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">15,909
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total assets </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;1,889,721 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;(13,508</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;(17,714</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;1,858,499 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Current liabilities: </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Accounts payable and
      accrued liabilities </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;315,269 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;(3,359</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;3,850 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">9 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">&nbsp;297,960 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(13,827</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">10 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(3,973</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">14 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total current liabilities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">315,269 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(3,359</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(13,950</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">297,960 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Long-term debt </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">209,000 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">209,000 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Deferred income taxes </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">26,575 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(11,666</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">4 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">11,977 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(2,097</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">8 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(1,425</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">9 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">452 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">13 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(1,357</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">14 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(373</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">6 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,868 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">7 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Employee benefit obligations </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">13,827 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">10 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">20,246 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(1,220</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">13 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">7,639 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">14 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Provisions </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">8,226 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">5 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">8,226 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-controlling interest in consolidated
      joint venture </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">11,562 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(11,562</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total liabilities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">562,406 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(14,921</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(76</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">547,409 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Equity </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Share capital </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">100,436 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">100,436 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Contributed surplus </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">16,526 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">16,526 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Retained earnings </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,184,781 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,413 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">26,248 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">11 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,194,804 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(2,309</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">14 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(1,643</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">15 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(13,686</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Accumulated other comprehensive income
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">25,572
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(26,248</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">11 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
align=right valign="bottom">(676</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total equity attributable to shareholders
      of the Company </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">1,327,315 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">1,413 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(17,638</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom"></TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">1,311,090 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total liabilities and equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;1,889,721 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;(13,508</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;(17,714</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=left valign="bottom">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;1,858,499 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.98</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_99></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify>Reconciliation of financial position and equity at October 4,
2010 from Canadian GAAP to IFRS:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="19%" colSpan=4
    align=center valign="bottom" nowrap>IFRS adjustments </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; "  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" nowrap>CanAm </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" nowrap>Other </TD>
    <TD  width="2%" align=left style="border-top-style: none; border-top-width: medium" valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right valign="bottom" nowrap>Canadian GAAP </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right valign="bottom" nowrap>Adjustments </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right valign="bottom" nowrap>Adjustments </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" nowrap>&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" nowrap>IFRS
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">Note 1 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">Note </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Current assets: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Cash and cash equivalents </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;258,442 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;(7,599</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;250,843 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Trade accounts
      receivable </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">145,684 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">145,684 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Inventories </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">332,542 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(3,024</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">329,518 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Prepaid expenses and
      deposits </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">9,584 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(245</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(491</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">2 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">8,848 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Assets held for sale </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3,246 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3,246 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Deferred income taxes
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">6,340 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(6,340</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">4 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Other current assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">9,079
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
align=right valign="bottom">(409</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">8,670
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total current assets </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">761,671 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(11,277</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(3,585</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">746,809 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Property, plant and equipment </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">479,292 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(15,731</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">16,998 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">2 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">483,013 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">4,808 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">5 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(2,354</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">6 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Investment in joint venture </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">12,533 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">12,533 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Assets held for sale </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3,246 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(3,246</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">3 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Intangible assets </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">61,321 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">5,490 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">7 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">66,811 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Goodwill </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">10,197 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">10,197 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Other assets </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">11,805 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">4,364 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(1,029</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">8 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">15,140 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total assets </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;1,327,532 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;(10,111</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;17,082 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%" align=left valign="bottom">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="8%"
      align=right valign="bottom">&nbsp;1,334,503 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Current liabilities: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Accounts payable and accrued
      liabilities </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;186,205 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;(46</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;5,815 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">9 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">$</TD>
    <TD width="8%" align=right valign="bottom">&nbsp;179,795 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(12,179</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">10 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Income taxes payable </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">5,024 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">5,024 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Current portion of
      long-term debt </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">16,879 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">2 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">16,879 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total current liabilities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">191,229 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(46</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">10,515 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">201,698 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Deferred income taxes </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">10,816 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(1,366</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">8 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">4,771 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(6,340</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">4 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(315</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">6 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,976 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">7 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Employee benefit obligations </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">12,179 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">10 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">12,179 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Provisions </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">7,951 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">5 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">7,951 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-controlling interest in consolidated
      joint venture </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">11,058 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(11,058</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total liabilities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">213,103 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(11,104</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">24,600 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">226,599 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Equity </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Share capital </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">97,036 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">97,036 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Contributed surplus </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">10,091 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">10,091 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Retained earnings </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">982,764 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">993 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(372</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">2 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">1,002,487 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(3,143</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">5 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">(2,039</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">6 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">3,514 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">7 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">337 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">8 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">(5,815</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom">9 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">26,248 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom">11 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp; &nbsp;Accumulated other
      comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">24,538 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(26,248</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">11 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">(1,710</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total equity attributable to shareholders of the Company
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right valign="bottom">1,114,429 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom">993
</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom">(7,518</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom"></TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
      align=right valign="bottom">1,107,904 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Total liabilities and equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;1,327,532 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;(10,111</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;17,082 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom">&nbsp;1,334,503 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.99</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_100></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B>&nbsp; <B>FIRST TIME ADOPTION OF IFRS
      (continued):</B></TD></TR></TABLE>
<P align=justify>Reconciliation of comprehensive income for the year ended
October 2, 2011 from Canadian GAAP to IFRS:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 8pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="19%" colSpan=4
    align=center valign="bottom" bordercolor="#000000" nowrap>IFRS adjustments </TD>
    <TD style="BORDER-BOTTOM: medium none #000000; "  width="2%"
    align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000" nowrap>Canadian </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000" nowrap>CanAm </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000" nowrap>Other </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000" nowrap style="border-top-style: none; border-top-width: medium">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>GAAP </TD>
    <TD  width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>Adjustments </TD>
    <TD  width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>Adjustments </TD>
    <TD  width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>IFRS </TD>
    <TD  width="2%" align=left style="border-bottom-style: solid; border-bottom-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>Note 1 </TD>
    <TD  width="2%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=right style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>Note </TD>
    <TD  width="2%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD  width="1%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD>
    <TD width="8%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp; </TD>
    <TD  width="2%" align=left style="border-top-style: solid; border-top-width: 1" valign="bottom" bordercolor="#000000" nowrap>&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Net sales </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">&nbsp;1,726,041 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">&nbsp;(329</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%"
      align=left valign="bottom" bordercolor="#000000">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">&nbsp;1,725,712 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Cost of sales </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">1,288,293 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">316 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">280 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">5 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">1,288,106 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">860 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">6 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom" bordercolor="#000000">(1,643</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" bordercolor="#000000">15 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Gross profit </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">437,748 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(645</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">503 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">437,606 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Selling, general and administrative
      expenses </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">199,132 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">9 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">304 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">7 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">198,858 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">(820</TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">2 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">233 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">6 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Restructuring and acquisition-related costs </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">8,465 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">7,666 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">12 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">18,177 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(1,460</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">9 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" bordercolor="#000000">3,506
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" bordercolor="#000000">13 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Operating income </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">230,151 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(654</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(8,926</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">220,571 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Financial expenses, net </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">5,485 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(66</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">448 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">2 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">6,142 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">275 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">5 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Non-controlling interest in consolidated
      joint venture </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">504 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(504</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000"></TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Equity (earnings) loss in investment in joint venture </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
align=right valign="bottom" bordercolor="#000000">(504</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
align=right valign="bottom" bordercolor="#000000">(504</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Earnings before income taxes </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">224,162 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">420 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(9,649</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">214,933 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Income tax recovery </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(15,742</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(731</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">8 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(19,223</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">(58</TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">6 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(108</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">7 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">540 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">9 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(1,827</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">12 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom" bordercolor="#000000">(1,297</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" bordercolor="#000000">13 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Net earnings </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">239,904 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">420 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(6,168</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">234,156 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Other comprehensive income, net of related
      income taxes </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">1,034 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(2,309</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">14 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">(2,918</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%"
    align=right valign="bottom" bordercolor="#000000">(1,643</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=right valign="bottom" bordercolor="#000000">15 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp;
    </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom" bordercolor="#000000">&nbsp;240,938 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom" bordercolor="#000000">&nbsp;420 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom" bordercolor="#000000">&nbsp;(10,120</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=left valign="bottom" bordercolor="#000000">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="8%"
    align=right valign="bottom" bordercolor="#000000">&nbsp;231,238 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">Earnings per share: </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Basic EPS </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">&nbsp;1.97 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%"
      align=left valign="bottom" bordercolor="#000000">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">&nbsp;1.93 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;&nbsp; Basic weighted average number
      of shares outstanding </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">121,526 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000"></TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000"></TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000"></TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">121,526 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD  width="2%" valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; &nbsp;Diluted EPS </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">&nbsp;1.96 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%" align=left valign="bottom" bordercolor="#000000">&nbsp; </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff width="8%"
      align=left valign="bottom" bordercolor="#000000">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom" bordercolor="#000000">$</TD>
    <TD bgColor=#e6efff width="8%" align=right valign="bottom" bordercolor="#000000">&nbsp;1.91 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom" bordercolor="#000000">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp;&nbsp; Diluted weighted average number of shares
      outstanding </TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">122,283 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000"></TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000"></TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=left valign="bottom" bordercolor="#000000"></TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD>
    <TD width="8%" align=right valign="bottom" bordercolor="#000000">122,283 </TD>
    <TD  width="2%" align=left valign="bottom" bordercolor="#000000">&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.100</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_101></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS:</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>1)</B> </TD>
    <TD>
      <P align=justify><B>Investment in joint
venture</B></P></TD></TR></TABLE>
<P align=justify>Under Canadian GAAP, the Company consolidated the accounts of
its yarn-spinning joint venture CanAm. Under IFRS, CanAm is considered a jointly
controlled entity over which the Company has joint control. Consequently, the
Company no longer consolidates CanAm and accounts for the investment using the
equity method as at October 4, 2010, which is the opening IFRS statement of
financial position date.</P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>Under IFRS, the Company&#146;s net
investment in CanAm is presented as a long-term asset on one line in the
consolidated statement of financial position, for an amount equal to the
Company&#146;s initial investment and its cumulative share of undistributed earnings.
</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap valign="bottom">October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap valign="bottom">October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Increase in investment in joint venture </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;13,038 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;12,533 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Decrease in assets (excluding investment in joint venture)
    </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(26,546</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">(22,644</TD>
    <TD  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Decrease in total liabilities and equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(13,508</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right valign="bottom">(10,111</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD></TR></TABLE>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011</I></B><I>: </I>Consolidated net earnings and comprehensive income are not
significantly affected by this change. Non-material adjustments to certain
components of net earnings have been made as the Company&#146;s share of CanAm&#146;s net
earnings are presented in a separate caption in the statement of earnings,
appearing below the gross profit subtotal as opposed to presenting the results
of CanAm on each line of the statement of earnings and comprehensive income.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>2)</B> </TD>
    <TD>
      <P align=justify><B>Corporate aircraft lease</B></P></TD></TR></TABLE>
<P align=justify>A previous lease of a corporate aircraft, which was accounted
for as an operating lease under Canadian GAAP, met the criteria for a finance
lease under IFRS at the transition date primarily due to the fact that the
Company had given notice to the lessor in fiscal 2010 to exercise an early
purchase option. Accordingly, this lease was recognized on the statement of
financial position as a finance lease.</P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>The impact of reclassifying
the corporate aircraft lease, previously classified as an operating lease,
resulted in an increase in property, plant and equipment, an increase in current
liabilities, and a decrease to prepaid expenses and deposits as at October 4,
2010. During the second quarter of fiscal 2011, the Company completed the
purchase of the corporate aircraft and immediately sold it to an external,
unrelated party. There was no impact on net earnings in the accounting for the
disposal of the corporate aircraft between Canadian GAAP and IFRS, therefore,
there was no adjustment required at October 2, 2011 for the difference which
existed at October 4, 2010.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap valign="bottom">October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap valign="bottom">October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="12%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">Decrease in prepaid expenses and deposits
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">&nbsp;(491</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">Increase in property, plant and equipment </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">- </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="12%" align=right valign="bottom">16,998 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">Increase in current portion of long-term
      debt </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">- </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right valign="bottom">16,879 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left valign="bottom">Decrease in equity
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right valign="bottom">(372</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left valign="bottom">) </TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.101</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_102></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><B>29. FIRST TIME ADOPTION OF IFRS (continued):</B>
  </TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>2)</B> </TD>
    <TD>
      <P align=justify><B>Corporate aircraft lease
  (continued)</B></P></TD></TR></TABLE>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>The impact of the difference in lease classification was a
decrease in selling, general and administrative expenses (&#147;SG&amp;A&#148;) due to the
reversal of rent expense, partially offset by the depreciation incurred on the
asset that was reclassified as a finance lease. Conversely, financial expenses
increased due to the interest accretion on the debt related to the finance
lease.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left noWrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left noWrap>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in SG&amp;A </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(820</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD align=left>Increase in financial expenses </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>448 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Increase in comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>372 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=justify>During the second quarter of fiscal 2011, the Company entered
into a new lease for a corporate aircraft which was being accounted for as an
operating lease under Canadian GAAP and which is also being accounted for as an
operating lease under IFRS.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>3)</B> </TD>
    <TD>
      <P align=justify><B>Assets held for sale</B></P></TD></TR></TABLE>
<P align=justify>Under Canadian GAAP, assets held for sale were classified as
non-current assets. Under IFRS, assets held for sale are classified as current
assets. </P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>This difference has resulted
in an adjustment of $13.1 million as at October 2, 2011 and $3.2 million as at
October 4, 2010 to reclassify assets held for sale from non-current to current
assets.</P>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>There is no impact on net earnings and comprehensive
income.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>4)</B> </TD>
    <TD>
      <P align=justify><B>Classification of deferred income
  taxes</B></P></TD></TR></TABLE>
<P align=justify>Under Canadian GAAP, deferred income taxes are classified as
current and non-current based on the classification of the underlying assets or
liabilities to which they relate or, if there is no underlying recognized asset
or liability, based on the expected reversal of the temporary difference. Under
IFRS, deferred income taxes are classified as non-current. Also under IFRS
deferred income tax assets and deferred income tax liabilities are offset if the
taxable entity has a legally enforceable right to offset current income tax
liabilities and current income tax assets, and the deferred income tax assets
and liabilities relate to income taxes levied by the same taxation authority on
the same taxable entity. </P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>This difference has resulted
in an adjustment of $11.7 million as at October 2, 2011 and $6.3 million as at
October 4, 2010 to reclassify deferred income tax assets from current to
non-current. The reclassification of deferred income tax assets has been offset
against non-current deferred tax liabilities. </P>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>There is no impact on net earnings and comprehensive income. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.102</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_103></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>5)</B> </TD>
    <TD>
      <P align=justify><B>Decommissioning and site restoration
  costs</B></P></TD></TR></TABLE>
<P align=justify>Under Canadian GAAP, asset retirement obligations, which are
referred to as liabilities for decommissioning and site restoration costs under
IFRS, were not required to be recognized when the timing and/or method of
settlement was conditional on a future event, the entity had several options to
settle the obligation, and the obligation had an indeterminate settlement date.
Under IFRS, when the method and timing of the future settlement of an existing
obligation are uncertain, an entity should determine a range of possible
outcomes and methods of settlement and make an estimate of the future
obligation. Under Canadian GAAP, the Company did not recognize any liability and
corresponding asset for the estimated future costs of decommissioning and site
restoration for certain assets located at its textile and sock facilities since
the criteria for recognition had not been met. However, it was determined that
an obligation exists under IFRS. The Company has elected to use an optional
exemption that allows the use of a simplified approach to calculate the IFRS
adjustment for the depreciated cost of the property, plant and equipment at the
transition date relating to the decommissioning and site restoration liability,
as opposed to recalculating the asset value since its inception date as would
otherwise be required under IFRS. </P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>The estimate of the present
value of future decommissioning and site restoration costs for certain assets at
the Company&#146;s offshore locations resulted in the recognition as at October 4,
2010 of a site restoration liability classified as a non-current liability, an
increase to property, plant and equipment, and a reduction to equity to reflect
the accumulated depreciation for the property, plant and equipment since
inception.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Increase in property, plant and equipment
    </TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;4,528 </TD>
    <TD bgColor=#e6efff width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;4,808 </TD>
    <TD bgColor=#e6efff width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Increase in provisions </TD>
    <TD width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>8,226 </TD>
    <TD width="2%" align=left>&nbsp;</TD>
    <TD width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>7,951 </TD>
    <TD width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Decrease in equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(3,698</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left>) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(3,143</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left>) </TD></TR></TABLE>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>The increase in property, plant and equipment has resulted in
an increase in depreciation expense, which is reported in cost of sales, as well
as an increase in financial expenses to reflect the interest accretion on the
decommissioning and site restoration liability. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%"
  align=left noWrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left noWrap>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Increase in cost of sales </TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;280 </TD>
    <TD bgColor=#e6efff width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Increase in financial expenses </TD>
    <TD width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>275 </TD>
    <TD width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Decrease in comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(555</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left>) </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>6)</B> </TD>
    <TD>
      <P align=justify><B>Components of property, plant and
  equipment</B></P></TD></TR></TABLE>
<P align=justify>Under Canadian GAAP, the cost of an item of property, plant and
equipment made up of significant separable component parts was allocated to the
component parts only when practicable and when estimates could have been made of
the lives of the separate components. Under IFRS, each part of an item of
property, plant and equipment with a cost that is significant in relation to the
total cost of the item shall be depreciated separately, each with its own useful
life, resulting in depreciation expense which may differ from depreciation
expense under Canadian GAAP.</P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>The impact of the
identification of significant components of certain buildings resulted in a
reduction to property, plant and equipment, primarily due to lower useful lives
assigned to certain components. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.103</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_104></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> F<B>IRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>6)</B> </TD>
    <TD>
      <P align=justify><B>Components of property, plant and equipment
      (continued)</B></P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in property, plant and equipment
    </TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(3,447</TD>
    <TD bgColor=#e6efff width="2%" align=left>) </TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(2,354</TD>
    <TD bgColor=#e6efff width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD align=left>Decrease in deferred income tax liabilities </TD>
    <TD width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>(373</TD>
    <TD width="2%" align=left>) </TD>
    <TD width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>(315</TD>
    <TD width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Decrease in equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(3,074</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left>) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(2,039</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left>) </TD></TR></TABLE>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>The impact of the lower useful lives of the components of
certain buildings resulted in an increase in depreciation expense resulting in
an increase in cost of sales and of SG&amp;A expenses. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%"
  align=left noWrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left noWrap>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%" noWrap>&nbsp; </TD>
    <TD width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Increase in cost of sales </TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;860 </TD>
    <TD bgColor=#e6efff width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Increase in SG&amp;A </TD>
    <TD width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>233 </TD>
    <TD width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Income taxes </TD>
    <TD bgColor=#e6efff width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>(58</TD>
    <TD bgColor=#e6efff width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Decrease in
      comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right>(1,035</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%" align=left>)
  </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left width="5%"><B>7) </B> </TD>
    <TD align=left><B>Income taxes - Deferred income tax assets in a business
    combination recognized subsequent to the</B> <B>measurement
      period</B> </TD></TR></TABLE>
<P align=justify>Under Canadian GAAP, additional deferred income tax assets of
an acquired company that were not initially recognized within the measurement
period, but were recognized subsequent to the measurement period were recognized
first as a reduction of goodwill, then as a reduction of intangible assets
before any adjustment was recognized in net earnings. Under IFRS, additional
deferred tax assets of an acquired company that are recognized after the
measurement period do not result in a reduction of intangible assets, and are
instead recognized in net earnings. Under Canadian GAAP, the Company had
recorded the recognition of a deferred income tax asset subsequent to the
measurement period, in connection with a business combination which occurred
prior to the IFRS transition date, as a reduction of intangible assets.</P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>This difference has resulted
in an increase to intangible assets, to reverse the reduction of intangible
assets described above. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Increase in intangible assets </TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;5,186 </TD>
    <TD bgColor=#e6efff width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;5,490 </TD>
    <TD bgColor=#e6efff width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Increase in deferred income tax liabilities </TD>
    <TD width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>1,868 </TD>
    <TD width="2%" align=left>&nbsp;</TD>
    <TD width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>1,976 </TD>
    <TD width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Increase in equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>3,318 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>3,514 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.104<BR>
</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
</P><!--$$/page=--><A name=page_105></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left width="5%"><B>7) </B> </TD>
    <TD align=left><B>Income taxes - Deferred income tax assets in a business
    combination recognized subsequent to the</B> <B>measurement
      period (continued)</B> </TD></TR></TABLE>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>The increase in intangible assets has resulted in an increase
in amortization expense, which is reported in SG&amp;A. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left noWrap>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left noWrap>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Increase in SG&amp;A </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;304 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Income taxes </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>(108</TD>
    <TD  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Decrease in comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(196</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>) </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>8)</B> </TD>
    <TD vAlign=top> <B>Income taxes - Assets transferred between
      entities within the consolidated group</B></TD></TR></TABLE>
<P align=justify>Under Canadian GAAP, deferred income tax assets and liabilities
were not recognized for temporary differences arising from assets transferred
between entities within the consolidated group, although any income tax
expense/recovery incurred by the selling entity was recorded on the statement of
financial position as a non-tax asset/liability. Under IFRS, the tax
expense/recovery incurred by the selling entity is not deferred, but a deferred
income tax asset/liability is recorded for the temporary difference resulting
from the internal transfer (essentially the change in the tax basis), measured
at the buying entity&#146;s tax rate. </P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>This difference has resulted
in the reversal of a non-tax asset which was included in other assets, and the
recognition of deferred income tax assets, which have been offset against
deferred income tax liabilities. The adjustment to decrease deferred income tax
liabilities reflects the tax effect of temporary differences for certain
inventories which have been transferred between entities within the consolidated
group, using the buying entity&#146;s tax rate.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in other assets </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(1,029</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(1,029</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD align=left>Decrease in deferred income tax liabilities </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>(2,097</TD>
    <TD  width="2%" align=left>) </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>(1,366</TD>
    <TD  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Increase in equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>1,068 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>337 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>This difference has resulted in a decrease in income taxes with
a corresponding increase in net earnings and comprehensive income.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%" noWrap>&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Income taxes </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(731</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Increase in
      comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>731
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.105</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_106></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>9)</B> </TD>
    <TD vAlign=top> <B>Business combinations - Contingent
      consideration</B></TD></TR></TABLE>
<P align=justify>Under Canadian GAAP, contingent consideration was recognized at
the date of acquisition of a business when the amount could have been reasonably
estimated and the outcome was determinable beyond reasonable doubt. Otherwise,
contingent consideration was recognized when resolved as an additional cost of
the purchase (which usually resulted in such costs being added to goodwill).
Under IFRS, contingent consideration is recognized at the date of acquisition at
fair value, generally as a liability, and the impact of changes in the
subsequent re-measurement of contingent consideration is generally recorded in
net earnings. </P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>At October 4, 2010, an
adjustment has been recorded to recognize a liability of $5.8 million at the
transition date with a corresponding decrease to retained earnings, with respect
to contingent consideration which was part of a business combination that
occurred prior to the IFRS transition date and which was recognized under
Canadian GAAP after the transition date. This adjustment has been charged to
retained earnings under IFRS rather than goodwill because IFRS does not permit
transition date adjustments to be made to goodwill in this case. During the
second quarter of fiscal 2011, the contingent consideration was resolved for an
amount of $5.8 million which was recorded as an increase to goodwill under
Canadian GAAP. As a result, no IFRS adjustment was required at October 2, 2011
to recognize a liability for the contingent consideration, however an adjustment
was required to reduce goodwill by $5.8 million since IFRS does not permit
adjustments to goodwill in this case.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in goodwill </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(5,815</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Increase in accounts payable and accrued liabilities </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>- </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>5,815 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Decrease in equity </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(5,815</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(5,815</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>) </TD></TR></TABLE>
<P align=justify>The acquisition of Gold Toe Moretz in fiscal 2011 (see note 5
to the audited annual consolidated financial statements) included a contingent
consideration of approximately $5.3 million. The contingent consideration was
not recognized under Canadian GAAP, but must be recognized under IFRS, resulting
in an adjustment to increase accounts payable and accrued liabilities to
recognize the estimated fair value of the contingent consideration at the date
of acquisition, with a corresponding increase to goodwill of approximately $3.3
million, net of deferred income taxes. The contingent consideration was
subsequently re-measured at October 2, 2011 as described below which resulted in
a decrease of the contingent consideration payable from $5.3 million to $3.9
million.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Increase in goodwill </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;3,345 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Increase in accounts payable and accrued liabilities </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>3,850 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>- </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in deferred income tax liabilities
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>(1,425</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Increase in equity
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>920
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.106</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_107></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>9)</B> </TD>
    <TD vAlign=top><b>Business combinations - Contingent
      consideration (continued)</b></TD></TR></TABLE>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>The re-measurement of the contingent consideration mentioned
above relating to the Gold Toe Moretz acquisition resulted in a credit to net
earnings during the fourth quarter of fiscal 2011, and was included in
restructuring and acquisition-related costs. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in restructuring and
      acquisition-related costs </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(1,460</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD align=left>Income taxes </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>540 </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Increase in comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>920 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>10)</B> </TD>
    <TD vAlign=top> <B>Classification of statutory severance and
      other post-employment benefit obligations</B></TD></TR></TABLE>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>An adjustment has been
recorded to reclassify statutory severance and other post-employment benefit
obligations of $13.8 million as at October 2, 2011 and $12.2 million as at
October 4, 2010 from accounts payable and accrued liabilities to non-current
employee benefit obligations. </P>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>There is no impact on net earnings and comprehensive income. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>11)</B> </TD>
    <TD vAlign=top> <B>Foreign exchange cumulative translation
      differences</B></TD></TR></TABLE>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>The Company has elected to
use an exemption which permits the balance of any cumulative translation
adjustment (&#147;CTA&#148;) to be eliminated by an adjustment to opening retained
earnings at the transition date. As a result, the Company eliminated its CTA
balance of $26.2 million which was included in accumulated other comprehensive
income through an adjustment to retained earnings as at October 2, 2011 and
October 4, 2010.</P>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011: </I></B>There is no impact on net earnings and comprehensive income. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>12)</B> </TD>
    <TD vAlign=top> <B>Business combinations &#150; Restructuring and
      acquisition-related costs</B></TD></TR></TABLE>
<P align=justify>Under IFRS, transaction costs and restructuring costs are
generally charged to earnings as incurred. Under Canadian GAAP, transaction
costs and certain anticipated post-acquisition restructuring and integration
costs incurred in connection with the acquisition of Gold Toe Moretz in fiscal
2011 were included in the cost of the purchase (which resulted in such costs
being added to goodwill, net of income taxes). </P>
<P align=justify><B><I>Impact on consolidated statement of financial position as
at October 4, 2010: </I></B>There is no impact on the consolidated statement of
financial position as at October 4, 2010.</P>
<P align=justify><B><I>Impact on consolidated statement of financial position
as at October 2, 2011 and consolidated statement of earnings and comprehensive
income for the year ended October 2, 2011: </I></B>An adjustment of $7.7 million
was recorded as a charge to restructuring and acquisition-related costs in the
third quarter of fiscal 2011 with a $5.8 million reduction to goodwill and a
decrease in income taxes of $1.8 million, regarding acquisition-related costs
incurred in connection with the acquisition of Gold Toe Moretz in the third
quarter of fiscal 2011. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.107</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_108></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0 src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><B>29. FIRST TIME ADOPTION OF IFRS (continued):</B>
  </TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>12)</B> </TD>
    <TD vAlign=top> <B>Business combinations &#150; Restructuring and
      acquisition-related costs (continued)</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in goodwill </TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(5,839</TD>
    <TD bgColor=#e6efff width="2%" align=left>) </TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;- </TD>
    <TD bgColor=#e6efff width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Decrease in equity
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right>(5,839</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%" align=left>) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="2%"
    align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="2%"
  align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Increase in restructuring and
      acquisition-related costs </TD>
    <TD bgColor=#e6efff width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;7,666 </TD>
    <TD bgColor=#e6efff width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Income taxes </TD>
    <TD width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>(1,827</TD>
    <TD width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Decrease in comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(5,839</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="2%"
    align=left>) </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>13)</B> </TD>
    <TD vAlign=top> <B>Business combinations &#150; Employee
    benefits</B></TD></TR></TABLE>
<P align=justify>Under both Canadian GAAP and IFRS, the funded status of a
defined benefit pension plan of an acquired company is fully recognized at the
acquisition date. Under Canadian GAAP, the effects of any planned amendments,
terminations or curtailments are included in the measurement of the funded
status of the plan at the date of acquisition. However under IFRS, the effects
of any planned, but not executed, amendments, terminations, or curtailments to
defined benefit pension plans and other post-employment plans acquired are
excluded from the measurement of the funded status of those plans at the date of
acquisition. Such actions are recognized post business combination as a charge
or credit to earnings, as the actions occur.</P>
<P align=justify><B><I>Impact on consolidated statement of financial position
as at October 4, 2010: </I></B>No impact on the consolidated statement of
financial position as at October 4, 2010.</P>
<P align=justify><B><I>Impact on consolidated statement of financial position as
at October 2, 2011 and consolidated statement of earnings and comprehensive
income for the year ended October 2, 2011: </I></B>As a result of the planned
termination of the Gold Toe Moretz defined benefit pension plan, the initial
measurement of the accrued pension benefit liability at the date of acquisition
was higher under Canadian GAAP resulting in an IFRS adjustment to decrease
accounts payable and accrued liabilities by $4.7 million, and a decrease to
goodwill of $3 million, net of deferred income taxes. The subsequent impact on
net earnings related to differences between Canadian GAAP and IFRS in the
measurement of the accrued benefit liability at October 2, 2011 resulted in an
additional pension expense of $3.5 million under IFRS, which was included in
restructuring and acquisition-related costs, since the charge was due to the
partial settlement of the defined benefit pension plan, bringing the net
adjustment to employee benefit obligations to $1.2 million at October 2,
2011.</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in goodwill </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(2,977</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Decrease in employee benefit obligations </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>(1,220</TD>
    <TD  width="2%" align=left>) </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>- </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Increase in deferred income tax liabilities
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>452 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Decrease in equity
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right>(2,209</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.108</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_109></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>13)</B> </TD>
    <TD vAlign=top> <B>Business combinations &#150; Employee benefits
      (continued)</B></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Increase in restructuring and
      acquisition-related costs </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;3,506 </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Income taxes </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>(1,297</TD>
    <TD  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left>Decrease in comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="12%"
    align=right>(2,209</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left>) </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>14)</B> </TD>
    <TD vAlign=top> <B>Employee benefits &#150; Actuarial gains/losses
      related to defined benefit plans</B></TD></TR></TABLE>
<P align=justify>Under IFRS, companies are permitted an accounting policy choice
of either (i) recognizing the full funded status of defined benefit plans and
recording the entire amount of actuarial gains or losses in earnings
immediately; (ii) recognizing a partial amount of the funded status and
recording the actuarial gains or losses in earnings using the &#147;corridor method&#148;
for the portion of actuarial gains or losses exceeding a certain minimum
threshold; or (iii) recognizing the entire amount of actuarial gains or losses
to other comprehensive income with no systematic periodic amortization to
earnings. The Company&#146;s accounting policy choice under Canadian GAAP for the
Gold Toe Moretz defined benefit plan was to use the &#147;corridor method&#148; and
recognize only the portion of actuarial gains or losses that exceeded a certain
threshold, of which the excess amounted to nil in fiscal 2011. Canadian GAAP
also permitted companies to apply different accounting policy choices when more
than one defined benefit plan existed. Under IFRS, companies must apply the same
accounting policy for all types of defined benefit plans. The Company has
adopted an accounting policy for its defined benefit plans under IFRS to
recognize the entire amount of actuarial gains or losses in other comprehensive
income with no systematic periodic amortization to earnings.</P>
<P align=justify><B><I>Impact on consolidated statement of financial position
as at October 4, 2010: </I></B>There is no impact on the consolidated statement
of financial position as at October 4, 2010.</P>
<P align=justify><B><I>Impact on consolidated statement of financial position as
at October 2, 2011 and consolidated statement of earnings and comprehensive
income for the year ended October 2, 2011: </I></B>An adjustment of $4.0 million
was recorded in order to reclassify the pension liability previously recorded in
accounts payable and accrued liabilities under Canadian GAAP to non-current
employee benefit obligations under IFRS. An adjustment was also recorded to
increase the pension liability by $3.7 million as at October 2, 2011 under IFRS
(resulting in a total increase to employee benefit obligations of $7.6 million),
with a corresponding charge of $2.3 million, net of deferred income taxes, to
other comprehensive income to reflect the funded status of the defined benefit
pension plan. </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="1%" align=left nowrap>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
    width="12%" align=right nowrap>October 4, 2010 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid; BORDER-TOP: #000000 2px solid"
     width="2%" align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in accounts payable and accrued
      liabilities </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(3,973</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left>Increase in employee benefit obligations </TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>7,639 </TD>
    <TD  width="2%" align=left>&nbsp;</TD>
    <TD  width="1%" align=left>&nbsp;</TD>
    <TD width="12%" align=right>- </TD>
    <TD  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in deferred income tax liabilities
    </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>(1,357</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD>
    <TD bgColor=#e6efff  width="1%" align=left>&nbsp;</TD>
    <TD bgColor=#e6efff width="12%" align=right>- </TD>
    <TD bgColor=#e6efff  width="2%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Decrease in equity
    </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right>(2,309</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%" align=right>- </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in other comprehensive income </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(2,309</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Decrease in
      comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right>(2,309</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>) </TD></TR></TABLE>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.109</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_110></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29.</B> <B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>15)</B> </TD>
    <TD vAlign=top> <B>Employee Benefits &#150; Statutory severance
      liability</B></TD></TR></TABLE>
<P align=justify>The Company maintains a liability for statutory severance and
pre-notice benefit obligations for active employees located in the Caribbean
Basin and Central America which is payable to the employees in a lump sum
payment upon termination of employment. The liability meets the definition of a
defined benefit plan under both Canadian GAAP and IFRS. As described in note 14)
above, under Canadian GAAP, companies were permitted to apply different
accounting policy choices when more than one defined benefit plan existed. As
such, the Company&#146;s accounting policy under Canadian GAAP for the statutory
severance liability was to recognize the entire amount of actuarial gains or
losses in earnings which amounted to an actuarial loss of approximately $1.6
million based on an actuarial valuation that was performed in the fourth quarter
of fiscal 2011. As mentioned in note 14) above, the Company has adopted an
accounting policy for its defined benefit plans under IFRS to recognize the
entire amount of actuarial gains or losses to other comprehensive income with no
systematic periodic amortization to earnings. As such, a reclassification
adjustment was required in the fourth quarter of fiscal 2011 resulting in a
decrease to cost of sales and a decrease to other comprehensive income of $1.6
million. </P>
<P align=justify><B><I>Impact on consolidated statements of financial position
as at October 2, 2011 and October 4, 2010: </I></B>There is no impact on the
consolidated statements of financial position as at October 2, 2011 and October
4, 2010.</P>
<P align=justify><B><I>Impact on consolidated statement of earnings and
comprehensive income for the year ended October 2, 2011:</I></B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="12%" noWrap
      align=right>Twelve months ended </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="12%" noWrap
      align=right>October 2, 2011 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left>&nbsp;</TD></TR>
  <TR>
    <TD>&nbsp; </TD>
    <TD  width="1%">&nbsp;</TD>
    <TD width="12%">&nbsp; </TD>
    <TD  width="2%">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left>Decrease in cost of sales </TD>
    <TD bgColor=#e6efff  width="1%" align=left>$</TD>
    <TD bgColor=#e6efff width="12%" align=right>&nbsp;(1,643</TD>
    <TD bgColor=#e6efff  width="2%" align=left>) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" align=left>Decrease in other
      comprehensive income </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="1%"
    align=left>&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" width="12%"
    align=right>(1,643</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid"  width="2%"
    align=left>) </TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>16)</B> </TD>
    <TD>
      <P align=justify><B>Statement of cash flows</B></P></TD></TR></TABLE>
<P align=justify>The transition from Canadian GAAP to IFRS has not had a
significant impact on the consolidated statement of cash flows for the fiscal
year ended October 2, 2011, except for the following:</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD style="BORDER-TOP: #000000 2px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%"
      align=right nowrap valign="bottom"><B>Canadian</B> </TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=left nowrap valign="bottom">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-TOP: #000000 2px solid" width="10%" align=left nowrap valign="bottom">&nbsp;
</TD>
    <TD style="BORDER-TOP: #000000 2px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom"><B>GAAP</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom"><B>Adjustments</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left nowrap valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right nowrap valign="bottom"><B>IFRS</B> </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR>
    <TD valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">&nbsp; </TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD>
    <TD  width="1%" valign="bottom">&nbsp;</TD>
    <TD width="10%" valign="bottom">&nbsp; </TD>
    <TD  width="2%" valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows from operating activities </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;181,550 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;(17,911</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">$</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">&nbsp;163,639 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows from financing activities </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">172,832 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">(17,233</TD>
    <TD  width="2%" align=left valign="bottom">) </TD>
    <TD  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD width="10%" align=right valign="bottom">155,599 </TD>
    <TD  width="2%" align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash flows used in investing activities </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">(523,937</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">35,966 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">(487,971</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Effect of exchange
      rate changes on cash and cash equivalents denominated in foreign
      currencies </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
align=right valign="bottom">(85</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%" align=right valign="bottom">- </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
align=right valign="bottom">(85</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD bgColor=#e6efff align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Net decrease in cash and cash equivalents
      during the period </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">(169,640</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">822 </TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff  width="1%" align=left valign="bottom">&nbsp;</TD>
    <TD bgColor=#e6efff width="10%" align=right valign="bottom">(168,818</TD>
    <TD bgColor=#e6efff  width="2%" align=left valign="bottom">) </TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 1px solid" align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash and cash
      equivalents, beginning of period </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">258,442 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
    align=right valign="bottom">(7,599</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="1%"
    align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="10%"
      align=right valign="bottom">250,843 </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid"  width="2%"
    align=left valign="bottom">&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
      align=left valign="bottom">
    <p style="text-indent: -15pt; margin-left: 15pt">Cash and cash equivalents, end of period </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;88,802 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;(6,777</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">) </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="1%" align=left valign="bottom">$</TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff width="10%"
    align=right valign="bottom">&nbsp;82,025 </TD>
    <TD style="BORDER-BOTTOM: #000000 2px solid" bgColor=#e6efff
    width="2%" align=left valign="bottom">&nbsp;</TD></TR></TABLE>
<P align=justify>The decrease in cash flows from operating activities for the
year ended October 2, 2011 from Canadian GAAP to IFRS of $17.9 million is due
primarily to: (i) the impact of the decrease in net earnings resulting from the
expensing of acquisition-related costs incurred in connection with the
acquisition of Gold Toe Moretz of $7.7 million as described in note 12) to the
reconciliations from Canadian GAAP to IFRS; (ii) the impact of the decrease in
accounts payable and accrued liabilities as a result of the contingent
consideration of $5.8 million which was recorded at the transition date under
IFRS in connection with a business combination which occurred prior to the
transition date and was paid during fiscal 2011 as described in note 9) to the
reconciliations from Canadian GAAP to IFRS; and (iii) the impact of the change
of accounting for the Company&#146;s investment in CanAm as described in note 1) to
the reconciliations from Canadian GAAP to IFRS which resulted in a decrease in
cash flows from operating activities of $4.0 million. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.110</P>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_111></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left nowrap>&nbsp;<IMG border=0
      src="exhibit99-1x2x1.jpg" width="125" height="43"></TD>
    <TD width="50%" align=right nowrap>NOTES TO CONSOLIDATED FINANCIAL
  STATEMENTS</TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top><B>29. </B><B>FIRST TIME ADOPTION OF IFRS
    (continued):</B></TD></TR></TABLE>
<P align=justify><B>NOTES TO RECONCILIATIONS FROM CANADIAN GAAP TO IFRS
(continued):</B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%"><B>16)</B> </TD>
    <TD vAlign=top> <B>Statement of cash flows
  (continued)</B></TD></TR></TABLE>
<P align=justify>The decrease in cash flows from financing activities for the
year ended October 2, 2011 from Canadian GAAP to IFRS of $17.2 million is
primarily due to the impact of the repayment of the finance lease obligation in
the amount of $17.0 million as a result of the disposal of the corporate
aircraft which was reclassified as a finance lease under IFRS as described in
note 2) to the reconciliations from Canadian GAAP to IFRS.</P>
<P align=justify>The decrease in cash flows used in investing activities for the
year ended October 2, 2011 from Canadian GAAP to IFRS of $36 million is
primarily due to: (i) the impact of the reclassification of the corporate
aircraft lease as a finance lease in which the repayment of the finance lease
obligation of $17 million described above, was previously offset against the
proceeds of disposal in investing activities; (ii) the impact of the
acquisition-related costs incurred in connection with the acquisition of Gold
Toe Moretz in the amount of $7.7 million described above which was previously
included as a cash outflow in investing activities under Canadian GAAP; (iii)
the impact of the contingent consideration of $5.8 million described above which
was settled in fiscal 2011 and was not considered as part of investing
activities under IFRS; and (iv) the impact of the change of accounting for the
Company&#146;s investment in CanAm from Canadian GAAP to IFRS which resulted in an
increase in cash flows from investing activities of $4.8 million. </P>
<P align=right>GILDAN 2012 REPORT TO SHAREHOLDERS P.111</P>
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<DOCUMENT>
<TYPE>EX-99.3
<SEQUENCE>4
<FILENAME>exhibit99-3.htm
<DESCRIPTION>EXHIBIT 99.3
<TEXT>
<HTML>
<HEAD>
   <TITLE>Gildan Activewear Inc.: Exhibit 99.3 - Filed by newsfilecorp.com</TITLE>

</HEAD>

<BODY style="font-size:10pt;">

<HR noshade align="center" width=100% size=3 color="black">
<!--$$/page=-->
<p align="right"><b><A name=page_1></A>&nbsp;Exhibit 99.3<BR>
</b></p>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  rowSpan=6 align=left>
    <IMG border=0
      src="exhibit99-3x1x1.jpg" width="120" height="64"></TD>
    <TD width="33%" align=left><B>KPMG LLP</B> </TD>
    <TD width="33%" align=left>Telephone (514) 840-2100 </TD></TR>
  <TR vAlign=top>
    <TD width="33%" align=left><B>Chartered professional accountants</B> </TD>
    <TD width="33%" align=left>Fax (514) 840-2187 </TD></TR>
  <TR vAlign=top>
    <TD width="33%" align=left>600 de Maisonneuve Blvd. West </TD>
    <TD width="33%" align=left>Internet www.kpmg.ca </TD></TR>
  <TR vAlign=top>
    <TD width="33%" align=left>Suite 1500 </TD>
    <TD width="33%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="33%" align=left>Tour KPMG </TD>
    <TD width="33%" align=left>&nbsp;</TD></TR>
  <TR vAlign=top>
    <TD width="33%" align=left>Montr&#233;al, Qu&#233;bec H3A 0A3 </TD>
    <TD width="33%" align=left>&nbsp;</TD></TR></TABLE>
<P align=center><B>Consent of Independent Registered Public Accounting
Firm</B></P>
<P align=justify>The Board of Directors <BR>Gildan Activewear Inc.</P>
<P align=justify>We consent to the inclusion in this annual report on Form 40-F
of:</P>
<UL style="TEXT-ALIGN: justify">
  <LI>
  <P style="margin-bottom: 12">our Independent Auditors&#146; Report of Independent Registered Public
  Accounting Firm dated November 28, 2012 on the consolidated statement of
  financial position as at September 30, 2012, October 2, 2011 and October 4,
  2010, the consolidated statements of earnings and comprehensive income,
  changes in equity and cash flows for the years ended September 30, 2012 and
  October 2, 2011, and notes, comprising a summary of significant accounting
  policies and other explanatory information; </P>
  <LI>
  <P style="margin-bottom: 12">our Report of Independent Registered Public Accounting Firm dated November
  28, 2012 on the Company&#146;s internal control over financial reporting as at
  September 30, 2012; </P></LI></UL>
<P align=justify>each of which is contained in this annual report on Form 40-F
of Gildan Activewear Inc. for the fiscal year ended September 30, 2012.</P>
<IMG
border=0 src="exhibit99-3x1x2.jpg" width="190" height="68"> <BR>
<P align=justify>December 5, 2012 <BR>Montr&#233;al, Canada</P>
<P align=justify>&nbsp;</P>
<P align=justify>&nbsp;</P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD align=left><font size="1">*CPA auditor, CA, public accountancy permit No. A120841
    </font>
  </TD></TR>
  <TR>
    <TD><font size="1">&nbsp; </font> </TD></TR>
  <TR>
    <TD><font size="1">&nbsp; </font> </TD></TR>
  <TR vAlign=top>
    <TD align=left><font size="1">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp;KPMG LLP is a Canadian limited liability partnership and a member
      firm of the KPMG </font> </TD></TR>
  <TR vAlign=top>
    <TD align=left><font size="1">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp;network of independent member firms affiliated with KPMG
      International Cooperative </font> </TD></TR>
  <TR vAlign=top>
    <TD align=left><font size="1">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp;(&#147;KPMG International&#148;), a Swiss entity. </font> </TD></TR>
  <TR vAlign=top>
    <TD align=left><font size="1">&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;
      &nbsp;KPMG Canada provides services to KPMG LLP. </font> </TD></TR></TABLE><BR>
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<DOCUMENT>
<TYPE>EX-99.4
<SEQUENCE>5
<FILENAME>exhibit99-4.htm
<DESCRIPTION>EXHIBIT 99.4
<TEXT>
<HTML>
<HEAD>
   <TITLE>Gildan Activewear Inc.: Exhibit 99.4 - Filed by newsfilecorp.com</TITLE>

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<BODY style="font-size:10pt;">

<HR noshade align="center" width=100% size=3 color="black">
<A name=page_1></A>
<P align=right><B>EXHIBIT 99.4 </B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=bottom>
    <TD align=center><B>CERTIFICATION</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>REQUIRED BY RULE 13a-14(a)</B> </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>OR RULE 15d-14(a)</B> </TD></TR></TABLE>
<P align=justify>I, Glenn J. Chamandy, certify that: </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">1. </TD>
    <TD>
      <P align=justify>I have reviewed this annual report on Form 40-F of Gildan
      Activewear Inc.;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%">2. </TD>
    <TD>
      <P align=justify>Based on my knowledge, this report does not contain any
      untrue statement of a material fact or omit to state a material fact
      necessary to make the statements made, in light of the circumstances under
      which such statements were made, not misleading with respect to the period
      covered by this report;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%">3. </TD>
    <TD>
      <P align=justify>Based on my knowledge, the financial statements, and
      other financial information included in this report, fairly present in all
      material respects the financial condition, results of operations and cash
      flows of the issuer as of, and for, the periods presented in this
      report;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%">4. </TD>
    <TD>
      <P align=justify>The issuer&#146;s other certifying officer and I are
      responsible for establishing and maintaining disclosure controls and
      procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and
      internal control over financial reporting (as defined in Exchange Act
      Rules 13(a) &#150; 15(f) and 15(d) &#150; 15(f)) for the issuer and
  have:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(a) </TD>
    <TD>
      <P align=justify>Designed such disclosure controls and procedures, or
      caused such disclosure controls and procedures to be designed under our
      supervision, to ensure that material information relating to the issuer,
      including its consolidated subsidiaries, is made known to us by others
      within those entities, particularly during the period in which this report
      is being prepared;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD vAlign=top width="5%">(b) </TD>
    <TD>
      <P align=justify>Designed such internal control over financial reporting,
      or caused such internal control over financial reporting to be designed
      under our supervision, to provide reasonable assurance regarding the
      reliability of financial reporting and the preparation of financial
      statements for external purposes in accordance with generally accepted
      accounting principles;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD vAlign=top width="5%">(c) </TD>
    <TD>
      <P align=justify>Evaluated the effectiveness of the issuer&#146;s disclosure
      controls and procedures and presented in this report our conclusions about
      the effectiveness of the disclosure controls and procedures, as of the end
      of the period covered by this report based on such evaluation;
  and</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD vAlign=top width="5%">(d) </TD>
    <TD>
      <P align=justify>Disclosed in this report any change in the issuer&#146;s
      internal control over financial reporting that occurred during the period
      covered by the annual report that has materially affected, or is
      reasonably likely to materially affect, the issuer&#146;s internal control over
      financial reporting; and</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">5. </TD>
    <TD colSpan=2>
      <P align=justify>The issuer&#146;s other certifying officer and I have
      disclosed, based on our most recent evaluation of internal control over
      financial reporting, to the issuer&#146;s auditors and the audit committee of
      the issuer&#146;s board of directors (or persons performing the equivalent
      functions):</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">(a) </TD>
    <TD>
      <P align=justify>All significant deficiencies and material weaknesses in
      the design or operation of internal control over financial reporting which
      are reasonably likely to adversely affect the issuer&#146;s ability to record,
      process, summarize and report financial information; and</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">(b) </TD>
    <TD>
      <P align=justify>Any fraud, whether or not material, that involves
      management or other employees who have a significant role in the issuer&#146;s
      internal control over financial reporting.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD align=left>Date: December 7, 2012 </TD>
    <TD width="5%" align=left></TD>
    <TD width="45%" align=left>&nbsp; </TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD>&nbsp; </TD>
    <TD width="5%">&nbsp; </TD>
    <TD width="45%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="50%" colSpan=2
    align=left>/s/ <I>Glenn J. Chamandy</I> </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>&nbsp; </TD>
    <TD width="5%" align=left>Name: </TD>
    <TD width="45%" align=left>Glenn J. Chamandy </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left>&nbsp; </TD>
    <TD width="5%" align=left>Title: </TD>
    <TD width="45%" align=left>President and Chief Executive Officer
  </TD></TR></TABLE><BR>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_16></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=bottom>
    <TD align=center><B>CERTIFICATION</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>REQUIRED BY RULE 13a-14(a)</B> </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>OR RULE 15d-14(a)</B> </TD></TR></TABLE>
<P align=justify>I, Laurence G. Sellyn, certify that: </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">1. </TD>
    <TD>
      <P align=justify>I have reviewed this annual report on Form 40-F of Gildan
      Activewear Inc.;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%">2. </TD>
    <TD>
      <P align=justify>Based on my knowledge, this report does not contain any
      untrue statement of a material fact or omit to state a material fact
      necessary to make the statements made, in light of the circumstances under
      which such statements were made, not misleading with respect to the period
      covered by this report;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%">3. </TD>
    <TD>
      <P align=justify>Based on my knowledge, the financial statements, and
      other financial information included in this report, fairly present in all
      material respects the financial condition, results of operations and cash
      flows of the issuer as of, and for, the periods presented in this
      report;</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%">4. </TD>
    <TD>
      <P align=justify>The issuer&#146;s other certifying officer and I are
      responsible for establishing and maintaining disclosure controls and
      procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and
      internal control over financial reporting (as defined in Exchange Act
      Rules 13(a) &#150; 15(f) and 15(d) &#150; 15(f)) for the issuer and
  have:</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD width="5%"  >&nbsp;</TD>
    <TD vAlign=top width="5%">(a) </TD>
    <TD>
      <P align=justify>Designed such disclosure controls and procedures, or
      caused such disclosure controls and procedures to be designed under our
      supervision, to ensure that material information relating to the issuer,
      including its consolidated subsidiaries, is made known to us by others
      within those entities, particularly during the period in which this report
      is being prepared;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(b) </TD>
    <TD>
      <P align=justify>Designed such internal control over financial reporting,
      or caused such internal control over financial reporting to be designed
      under our supervision, to provide reasonable assurance regarding the
      reliability of financial reporting and the preparation of financial
      statements for external purposes in accordance with generally accepted
      accounting principles;</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(c) </TD>
    <TD>
      <P align=justify>Evaluated the effectiveness of the issuer&#146;s disclosure
      controls and procedures and presented in this report our conclusions about
      the effectiveness of the disclosure controls and procedures, as of the end
      of the period covered by this report based on such evaluation;
  and</P></TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD vAlign=top width="5%">(d) </TD>
    <TD>
      <P align=justify>Disclosed in this report any change in the issuer&#146;s
      internal control over financial reporting that occurred during the period
      covered by the annual report that has materially affected, or is
      reasonably likely to materially affect, the issuer&#146;s internal control over
      financial reporting; and</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">5. </TD>
    <TD colSpan=2>
      <P align=justify>The issuer&#146;s other certifying officer and I have
      disclosed, based on our most recent evaluation of internal control over
      financial reporting, to the issuer&#146;s auditors and the audit committee of
      the issuer&#146;s board of directors (or persons performing the equivalent
      functions):</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">(a) </TD>
    <TD>
      <P align=justify>All significant deficiencies and material weaknesses in
      the design or operation of internal control over financial reporting which
      are reasonably likely to adversely affect the issuer&#146;s ability to record,
      process, summarize and report financial information; and</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD width="5%"></TD>
    <TD vAlign=top width="5%">(b) </TD>
    <TD>
      <P align=justify>Any fraud, whether or not material, that involves
      management or other employees who have a significant role in the issuer&#146;s
      internal control over financial reporting.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD width="5%"  >&nbsp;</TD>
    <TD align=left >Date: December 7, 2012 </TD>
    <TD width="5%" align=left ></TD>
    <TD width="45%" align=left>&nbsp; </TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD >&nbsp; </TD>
    <TD width="5%" >&nbsp; </TD>
    <TD width="45%">&nbsp; </TD></TR>
  <TR>
    <TD width="5%" >&nbsp;</TD>
    <TD >&nbsp; </TD>
    <TD width="5%" >&nbsp; </TD>
    <TD width="45%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp; </TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="50%" colSpan=2
    align=left>/s/ <I>Laurence G. Sellyn</I> </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp; </TD>
    <TD width="5%" align=left >Name: </TD>
    <TD width="45%" align=left>Laurence G. Sellyn </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp; </TD>
    <TD width="5%" align=left >Title: </TD>
    <TD width="45%" align=left>Executive Vice-President, Chief Financial and
    </TD></TR>
  <TR vAlign=top>
    <TD width="5%" >&nbsp;</TD>
    <TD align=left >&nbsp; </TD>
    <TD width="5%" align=left >&nbsp; </TD>
    <TD width="45%" align=left>Administrative Officer </TD></TR></TABLE><BR>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>


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</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.5
<SEQUENCE>6
<FILENAME>exhibit99-5.htm
<DESCRIPTION>EXHIBIT 99.5
<TEXT>
<HTML>
<HEAD>
   <TITLE>Gildan Activewear Inc.: Exhibit 99.5 - Filed by newsfilecorp.com</TITLE>

</HEAD>

<BODY style="font-size:10pt;">

<HR noshade align="center" width=100% size=3 color="black">
<A name=page_1></A>
<!--$$/page=-->
<P align=right><B>EXHIBIT 99.5 </B></P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=bottom>
    <TD align=center><B>CERTIFICATION</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>REQUIRED BY RULE 13a-14(b) OR RULE 15d-14(b) AND</B>
    </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>SECTION 1350 OF CHAPTER 63 OF TITLE 18</B> </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>OF THE UNITED STATES CODE</B> </TD></TR></TABLE>
<P align=justify>Gildan Activewear Inc. (the &#147;Corporation&#148;) is filing its annual
report on Form 40-F for the fiscal year ended September 30, 2012 (the &#147;Report&#148;)
with the United States Securities and Exchange Commission. </P>
<P align=justify>I, Glenn J. Chamandy, President and Chief Executive Officer of
the Corporation, certify, pursuant to 18 U.S.C. section 1350, as enacted
pursuant to section 906 of the Sarbanes-Oxley Act of 2002, that, to the best of
my knowledge: </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">1. </TD>
    <TD>
      <P align=justify>The Report fully complies with the requirements of
      Section 13(a) or 15(d) of the U.S. Securities Exchange Act of 1934;
    and</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%">2. </TD>
    <TD>
      <P align=justify>The information contained in the Report fairly presents,
      in all material respects, the financial condition and results of
      operations of the Corporation.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left >&nbsp;Dated: December 7, 2012
    </TD>
    <TD width="5%" align=left ></TD>
    <TD width="43%" align=left>&nbsp; </TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="5%" >&nbsp; </TD>
    <TD width="43%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="48%" colSpan=2
    align=left>/s/ <I>Glenn J. Chamandy</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="5%" align=left >Name: </TD>
    <TD width="43%" align=left>Glenn J. Chamandy </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="5%" align=left >Title: </TD>
    <TD width="43%" align=left>President and Chief Executive Officer
  </TD></TR></TABLE><BR>
<HR style="PAGE-BREAK-AFTER: always" align=center color=black SIZE=5
width="100%" noShade>
<!--$$/page=--><A name=page_18></A><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=bottom>
    <TD align=center><B>CERTIFICATION</B> </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>REQUIRED BY RULE 13a-14(b) OR RULE 15d-14(b) AND</B>
    </TD></TR>
  <TR vAlign=top>
    <TD align=center><B>SECTION 1350 OF CHAPTER 63 OF TITLE 18</B> </TD></TR>
  <TR vAlign=bottom>
    <TD align=center><B>OF THE UNITED STATES CODE</B> </TD></TR></TABLE>
<P align=justify>Gildan Activewear Inc. (the &#147;Corporation&#148;) is filing its annual
report on Form 40-F for the fiscal year ended September 30, 2012 (the &#147;Report&#148;)
with the United States Securities and Exchange Commission. </P>
<P align=justify>I, Laurence G. Sellyn, Executive Vice-President, Chief
Financial and Administrative Officer of the Corporation, certify, pursuant to 18
U.S.C. section 1350, as enacted pursuant to section 906 of the Sarbanes-Oxley
Act of 2002, that, to the best of my knowledge: </P>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%" BCLLIST>

  <TR>
    <TD vAlign=top width="5%">1. </TD>
    <TD>
      <P align=justify>The Report fully complies with the requirements of
      Section 13(a) or 15(d) of the U.S. Securities Exchange Act of 1934;
    and</P></TD></TR>
  <TR>
    <TD width="5%">&nbsp;</TD>
    <TD>&nbsp;</TD></TR>
  <TR>
    <TD vAlign=top width="5%">2. </TD>
    <TD>
      <P align=justify>The information contained in the Report fairly presents,
      in all material respects, the financial condition and results of
      operations of the Corporation.</P></TD></TR></TABLE><BR>
<TABLE
style="BORDER-COLOR: black; BORDER-COLLAPSE: collapse; FONT-SIZE: 10pt; "
border=0 cellSpacing=0 cellPadding=0 width="100%">

  <TR vAlign=top>
    <TD  align=left >&nbsp;Dated: December 7, 2012
    </TD>
    <TD width="5%" align=left ></TD>
    <TD width="43%" align=left>&nbsp; </TD></TR>
  <TR>
    <TD  >&nbsp;</TD>
    <TD width="5%" >&nbsp; </TD>
    <TD width="43%">&nbsp; </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD style="BORDER-BOTTOM: #000000 1px solid" width="48%" colSpan=2
    align=left>/s/ <I>Laurence G. Sellyn</I> </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="5%" align=left >Name: </TD>
    <TD width="43%" align=left>Laurence G. Sellyn </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="5%" align=left >Title: </TD>
    <TD width="43%" align=left>Executive Vice-President, Chief Financial and
    </TD></TR>
  <TR vAlign=top>
    <TD  align=left >&nbsp;</TD>
    <TD width="5%" align=left >&nbsp; </TD>
    <TD width="43%" align=left>Administrative Officer </TD></TR></TABLE><BR>
<HR align=center color=black SIZE=5 width="100%" noShade>

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end
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
