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<SEC-DOCUMENT>0000078239-07-000037.txt : 20070627
<SEC-HEADER>0000078239-07-000037.hdr.sgml : 20070627
<ACCEPTANCE-DATETIME>20070627160015
ACCESSION NUMBER:		0000078239-07-000037
CONFORMED SUBMISSION TYPE:	11-K
PUBLIC DOCUMENT COUNT:		3
CONFORMED PERIOD OF REPORT:	20061231
FILED AS OF DATE:		20070627
DATE AS OF CHANGE:		20070627

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			PHILLIPS VAN HEUSEN CORP /DE/
		CENTRAL INDEX KEY:			0000078239
		STANDARD INDUSTRIAL CLASSIFICATION:	MEN'S & BOYS' FURNISHINGS, WORK CLOTHING, AND ALLIED GARMENTS [2320]
		IRS NUMBER:				131166910
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0131

	FILING VALUES:
		FORM TYPE:		11-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-07572
		FILM NUMBER:		07943837

	BUSINESS ADDRESS:	
		STREET 1:		200 MADISON AVENUE
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10016
		BUSINESS PHONE:		2123813500

	MAIL ADDRESS:	
		STREET 1:		200 MADISON AVENUE
		CITY:			NEW YORK
		STATE:			NY
		ZIP:			10016
</SEC-HEADER>
<DOCUMENT>
<TYPE>11-K
<SEQUENCE>1
<FILENAME>form11kpvhhourlysalaried2007.htm
<TEXT>
<!doctype html public "-//IETF//DTD HTML//EN">
<HTML>
<HEAD>
<TITLE>Financial Statements</TITLE>
<META NAME="author" CONTENT="William B. Daniel">
<META NAME="date" CONTENT="06/26/2007">
</HEAD>
<BODY style="line-height:12pt; font-family:Times New Roman; font-size:10pt; color:#000000">
<DIV style="width:450pt"><P style="line-height:16pt; margin-top:14pt; margin-bottom:28pt; font-size:14pt" align=center><B>SECURITIES AND EXCHANGE COMMISSION<BR>
WASHINGTON, DC 20549</B></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:24pt; font-size:12pt" align=center><B>_____________</B></P>
<P style="line-height:16pt; margin-top:14pt; margin-bottom:28pt; font-size:14pt" align=center><B>FORM 11-K</B></P>
<P style="line-height:16pt; margin-top:14pt; margin-bottom:98pt; font-size:14pt" align=center><B>ANNUAL REPORT<BR>
PURSUANT TO SECTION 15(d) OF THE<BR>
SECURITIES EXCHANGE ACT OF 1934</B></P>
<P style="margin:0pt"><B>(Mark One):</B></P>
<P style="line-height:14pt; margin-top:12pt; margin-bottom:0pt; padding-right:-18pt; font-family:Wingdings; font-size:12pt"><FONT FACE="Wingdings"><B>&#253;</B></FONT><FONT FACE="Times New Roman"><B> &nbsp;ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.</B></FONT></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:12pt; font-size:12pt"><FONT FACE="Times New Roman"><B>For the fiscal year ended </FONT><U>&nbsp;&nbsp;&nbsp;December 31, 2006 &nbsp;&nbsp;</U></B></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:24pt; font-size:12pt" align=center><B>OR</B></P>
<P style="line-height:14pt; margin-top:12pt; margin-bottom:0pt; font-family:Wingdings; font-size:12pt"><FONT FACE="Wingdings"><B>o</B></FONT><FONT FACE="Times New Roman"><B> &nbsp;TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.</B></FONT></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:12pt; font-size:12pt"><FONT FACE="Times New Roman"><B>For the transition period from __________ to __________</B></FONT></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:12pt; padding-left:72pt; text-indent:36pt; font-size:12pt"><B>Commission file number <U>&nbsp;&nbsp;&nbsp;1-724&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;</U></B></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:12pt; font-family:Times New Roman Bold; font-size:12pt"><FONT FACE="Times New Roman Bold"><B>A. &nbsp;</B></FONT><FONT FACE="Times New Roman"><B>Full title of the plan and the address of the plan, if different from that of the issuer named below: &nbsp;</FONT><U>PVH Associates Investment Plan for Hourly Associates and PVH Associates Investment Plan for Salaried Associates</U></B></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:12pt; font-family:Times New Roman Bold; font-size:12pt"><FONT FACE="Times New Roman Bold"><B>B. &nbsp;</B></FONT><FONT FACE="Times New Roman"><B>Name of issuer of the securities held pursuant to the plan and the address of its principal executive office: </FONT><U>Phillips-Van Heusen Corporation, 200 Madison Avenue, New York, New York 10016</U></B></P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:normal; margin-top:14pt; margin-bottom:21pt; font-size:14pt" align=center><B>&nbsp;SIGNATURES</B></P>
<P style="line-height:14pt; margin-top:12pt; margin-bottom:48pt; text-indent:36pt; font-size:12pt"><I>The Plan.</I> &nbsp;Pursuant to the requirements of the Securities Exchange Act of 1934, the Administrative Committee has duly caused this annual report to be signed on its behalf by the undersigned hereunto duly authorized. </P>
<P style="line-height:14pt; margin:0pt; text-indent:194.4pt; font-size:12pt"><B>PHILLIPS-VAN HEUSEN CORPORATION</B></P>
<P style="line-height:14pt; margin:0pt; text-indent:194.4pt; font-size:12pt"><B>ASSOCIATES INVESTMENT PLANS</B></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:16pt; margin-top:0pt; margin-bottom:-16pt; font-size:12pt">Date: &nbsp;June 27, 2007</P>
<P style="line-height:16pt; margin-top:0pt; margin-bottom:-16pt; text-indent:194.4pt; font-size:12pt">By</P>
<P style="line-height:14pt; margin:0pt; text-indent:216pt; font-size:12pt"><U>&nbsp;&nbsp;&nbsp;/s/ &nbsp;Pamela N. Hootkin</U></P>
<P style="line-height:14pt; margin:0pt; text-indent:216pt; font-size:12pt">Pamela N. Hootkin, Member of</P>
<P style="line-height:14pt; margin:0pt; text-indent:216pt; font-size:12pt">Administrative Committee</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:16pt; margin:0pt; font-size:14pt; page-break-before:always" align=center>Financial Statements</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:14pt" align=center><FONT FACE="Times">Years ended December 31, 2006 and 2005</FONT></P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-size:14pt" align=center><FONT FACE="Times New Roman">Contents</FONT></P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:14pt" align=center><FONT FACE="Times">Phillips-Van Heusen Corporation</FONT></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:14pt" align=center>Associates Investment Plan For Hourly Associates</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:14pt; margin:0pt; padding-left:4.5pt; padding-right:9pt; font-size:12pt" align=right><FONT FACE="Times New Roman"><U>Page</U></FONT></P>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt">Report of Independent Registered Public Accounting Firm</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:415.35pt; font-size:12pt">F-1<BR>
<BR>
Financial Statements<BR>
<BR>
</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:13.5pt; font-family:Times; font-size:12pt"><FONT FACE="Times">Statements of Net Assets Available for Benefits</FONT></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:415.35pt; font-family:Times; font-size:12pt">F-2<BR>
<BR>
</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:13.5pt; font-family:Times; font-size:12pt">Statements of Changes in Net Assets Available for Benefits</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:415.35pt; font-family:Times; font-size:12pt">F-3<BR>
<BR>
</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:13.5pt; font-family:Times; font-size:12pt">Notes to Financial Statements </P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:415.35pt; font-family:Times; font-size:12pt">F-4<BR>
<BR>
Supplemental Schedule<BR>
<BR>
</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:13.5pt; font-size:12pt"><FONT FACE="Times New Roman">Schedule H, Line 4i--Schedule of Investments Held at Year End</FONT></P>
<P style="line-height:14pt; margin:0pt; text-indent:409.35pt; font-size:12pt">F-14</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; padding-right:4.5pt; font-family:Times; font-size:14pt" align=center><FONT FACE="Times">Phillips-Van Heusen Corporation</FONT></P>
<P style="line-height:16pt; margin:0pt; padding-right:4.5pt; font-family:Times; font-size:14pt" align=center>Associates Investment Plan For Salaried Associates</P>
<P style="line-height:16pt; margin:0pt; padding-right:9pt; font-family:Times; font-size:12pt" align=right><U>Page</U></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-family:Times; font-size:12pt">Report of Independent Registered Public Accounting Firm</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:409.35pt; font-family:Times; font-size:12pt">F-15<BR>
<BR>
Financial Statements<BR>
<BR>
</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:13.5pt; font-family:Times; font-size:12pt">Statements of Net Assets Available for Benefits</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:409.35pt; font-family:Times; font-size:12pt">F-16<BR>
<BR>
</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:13.5pt; font-family:Times; font-size:12pt">Statements of Changes in Net Assets Available for Benefits</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:409.35pt; font-family:Times; font-size:12pt">F-17<BR>
<BR>
</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:13.5pt; font-family:Times; font-size:12pt">Notes to Financial Statements </P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:409.35pt; font-family:Times; font-size:12pt">F-18<BR>
<BR>
Supplemental Schedule<BR>
<BR>
</P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:13.5pt; font-size:12pt"><FONT FACE="Times New Roman">Schedule H, Line 4i--Schedule of Investments Held at Year End</FONT></P>
<P style="line-height:14pt; margin:0pt; text-indent:409.35pt; font-size:12pt">F-<FONT FACE="Times">28</FONT></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; padding-right:-36pt; font-size:11pt; page-break-before:always" align=center><I>Report of Independent Registered Public Accounting Firm</I></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; font-size:11pt">Administrative Committee of the Plan</P>
<P style="line-height:13pt; margin:0pt; font-size:11pt">Phillips-Van Heusen Corporation </P>
<P style="line-height:13pt; margin:0pt; font-size:11pt">Associates Investment Plan for Hourly Associates</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin-top:0pt; margin-bottom:-13pt; text-indent:36pt; font-size:11pt">We have audited the accompanying statement of net assets available for benefits of the Phillips-Van Heusen Corporation Associates Investment Plan for Hourly Associates as of December&nbsp;31, 2006 and 2005, and the related statement of changes in net assets available for benefits for the years then ended. These financial statements are the responsibility of the Plan&#146;s management. Our responsibility is to express an opinion on these financial statements based on our audit.<BR>
<BR>
</P>
<P style="line-height:13pt; margin:0pt; text-indent:72pt; font-size:11pt">We conducted our audits in accordance with the auditing standards of the Public Company Accounting Oversights Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Plan&#146;s internal control over financial reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the plan&#146;s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes ex&shy;amining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant e
stimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; text-indent:36pt; font-size:11pt">In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of the Plan as of December 31, 2006 and 2005, and the changes in its net assets available for benefits for the years then ended, in conformity with accounting principles generally accepted in the United States.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; text-indent:36pt; font-size:11pt">Our audit was performed for the purpose of forming an opinion on the financial statements taken as a whole. &nbsp;The accompanying supplemental schedule of investments held at year end as of December&nbsp;31,&nbsp;2006, is presented for purposes of additional analysis and is not a required part of the financial statements but is supplementary information required by the Department of Labor&#146;s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. &nbsp;This supplemental schedule is the responsibility of the Plan&#146;s management. &nbsp;The supplemental schedule has been subjected to the auditing procedures applied in our audit of the financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole.</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt" align=right>/S/ SPIELMAN KOENIGSBERG &amp; PARKER, LLP</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; font-size:11pt">June 22, 2007</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-1</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION<BR>
ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
<BR>
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS<BR>
<BR>
For the Years Ended December 31, 2006 and 2005</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=269.6></TD><TD width=85.5></TD><TD width=90></TD></TR>
<TR><TD valign=top width=359.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; font-size:12pt" align=center><U>2006</U></P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; font-size:12pt" align=center><U>2005</U></P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt" align=justify><BR></P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt" align=justify><BR></P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; font-size:12pt" align=justify><B>Assets</B></P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt" align=justify><BR></P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt" align=justify><BR></P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:8.6pt; font-size:12pt">Investments, at fair value:</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:26.6pt; font-size:12pt">Investment in Phillips-Van Heusen</P>
</TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:44.6pt; font-size:12pt">Corporation Associates Investment </P>
</TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:44.6pt; font-size:12pt">Plans Master Trust</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>$ 9,391,798&nbsp;</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:26.6pt; font-size:12pt">Investments held by Wells Fargo Bank:</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:35.6pt; font-size:12pt">Stable Return Fund</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>$ 1,435,105</P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:35.6pt; font-size:12pt">Mutual Funds</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>5,139,766</P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:35.6pt; font-size:12pt">Investment in Phillips-Van Heusen</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:44.6pt; font-size:12pt">Corporation Associates Investment</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:44.6pt; font-size:12pt">Plans Master Trust</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>2,844,336</P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:8.6pt; font-size:12pt">Adjustment to contract value from fair</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:26.6pt; font-size:12pt">value for interest in common/collective</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:26.6pt; font-size:12pt">trust relating to fully benefit-responsive</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:26.6pt; font-size:12pt">investment contracts</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>21,098&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>19,556</P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:8.6pt; font-size:12pt">Participant loans receivable</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>320,613&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right>511,489</P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:8.6pt; font-size:12pt">Contributions receivable</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21,327</U>&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;43,225</U></P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:44.6pt; font-size:12pt">Total Assets</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;9,754,836</U>&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;9,993,477</U></P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; font-size:12pt" align=justify><B>Liabilities</B></P>
</TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:8.6pt; font-size:12pt">Miscellaneous payables</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;524</U>&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;-&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U></P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; padding-left:44.6pt; font-size:12pt">Total Liabilities</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;524</U>&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;-&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U></P>
</TD></TR>
<TR><TD valign=top width=359.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=359.467><P style="line-height:14pt; margin:0pt; font-size:12pt"><B>Net assets available for benefits </B></P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:9pt; font-size:12pt" align=right><U>$ 9,754,312</U>&nbsp;</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:8.75pt; font-size:12pt" align=right><U>$ 9,993,477</U></P>
</TD></TR>
</TABLE>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:11pt; margin:0pt; font-size:9pt" align=center>The accompanying notes are an integral</P>
<P style="line-height:11pt; margin:0pt; font-size:9pt" align=center>part of these financial statements</P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-2</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION<BR>
ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
<BR>
STATEMENT OF CHANGES IN NET <BR>
ASSETS AVAILABLE FOR BENEFITS<BR>
<BR>
For the Years Ended December 31, 2006 and 2005</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=310.2></TD><TD width=77.3></TD><TD width=76.5></TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=center><U>2006</U></P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=center><U>2005</U></P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; font-size:12pt"><B>Additions</B></P>
</TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">Contributions:</P>
</TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:26.6pt; font-size:12pt">Employer, net of forfeitures</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>$ &nbsp;&nbsp;&nbsp;348,764&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>$ &nbsp;&nbsp;&nbsp;&nbsp;391,674&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:26.6pt; font-size:12pt">Employees</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>788,476&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>840,453&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">Interest and investment income</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>188,052&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>170,023&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">Loan interest</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>29,127&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>22,130&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">Master trust investment income</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>1,422,977&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;-&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">Adjustment to contract value from fair value</P>
</TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:26.6pt; font-size:12pt">for interest in common/collective trust relating</P>
</TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:26.6pt; font-size:12pt">to fully benefit-responsive investment contracts</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>21,098&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>19,556&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; font-size:12pt">Transfer from Phillips-Van Heusen Associates</P>
</TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">Investment Plan for Salaried Associates</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12,183</U>&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;-&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:49.1pt; font-size:12pt">Total additions</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;2,810,677</U>&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;1,443,836</U>&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; font-size:12pt"><B>Deductions</B></P>
</TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">Payments to participants</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>3,344,988&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>685,187&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">Transfer to Phillips-Van Heusen Associates</P>
</TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:26.6pt; font-size:12pt">Investment Plan for Salaried Associates</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;31,259</U>&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;-&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U>&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:49.1pt; font-size:12pt">Total deductions</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>3,376,247&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>685,187&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">Net realized and unrealized appreciation</P>
</TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; text-indent:13.1pt; font-size:12pt">of investments</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;326,405</U>&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;669,955</U>&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; font-size:12pt">Net (decrease) increase in net assets available for benefits</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>(239,165)&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>1,428,604&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; font-size:12pt">Net assets available for benefits at beginning of year</P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;9,993,477</U>&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;8,564,873</U>&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=413.6><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=413.6><P style="line-height:14pt; margin:0pt; font-size:12pt"><B>Net assets available for benefits at end of year</B></P>
</TD><TD valign=top width=103.067><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>$9,754,312</U>&nbsp;&nbsp;</P>
</TD><TD valign=top width=102><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>$9,993,477</U>&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
</TABLE>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:11pt; margin:0pt; padding-left:0.7pt; font-size:9pt" align=center>The accompanying notes are an integral</P>
<P style="line-height:11pt; margin:0pt; padding-left:0.7pt; font-size:9pt" align=center>part of these financial statements</P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-3</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; padding-left:0.7pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION<BR>
ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
<BR>
NOTES TO FINANCIAL STATEMENTS<BR>
<BR>
For the Years Ended December 31, 2006 and 2005</P>
<P style="margin:0pt" align=justify><BR></P>
<P style="margin:0pt" align=justify><BR></P>
<P style="margin:0pt" align=justify><BR></P>
<P style="margin:0pt" align=justify><BR></P>
<P style="margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><B>1.</B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Description of the Plan</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The following description of the Phillips-Van Heusen Corporation (the &#147;Company&#148;) Associates Investment Plan for Hourly Associates (the &#147;Plan&#148;) provides only general information. &nbsp;Participants should refer to the Plan Document for a more complete description of the Plan&#146;s provisions.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Change in Trustee and Recordkeeper</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Effective November 3, 2006, the Plan&#146;s Trustee changed from Wells Fargo Bank (the &#147;Predecessor Trustee&#148;) to Nationwide Trust Company (the &#147;Trustee&#148; or &#147;Successor Trustee&#148;), and the Plan&#146;s &#147;Recordkeeper&#148; changed from Wells Fargo Retirement Plan Solutions to The 401(k) Company.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Master Trust</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The Phillips-Van Heusen Corporation Associates Investment Plans Master Trust (the &#147;Master Trust&#148;) was established for the investment of the Phillips-Van Heusen Stock Fund (the &#147;PVH Stock Fund&#148;). &nbsp;Effective with the change in Recordkeeper and Trustee on November 3, 2006, all of the investments of the Company&#146;s Associates Investment Plan for Hourly Employees and the Associates Investment Plan for Salaried Employees were combined into the new Master Trust held by the Nationwide Trust Company.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>General</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The Plan is a defined contribution plan covering hourly production, warehouse, distribution, leased employees and U.S. retail field employees of the Company, who are at least age 21 or older, have completed at least three consecutive months of service and are regularly scheduled to work at least 20 hours per week. The Plan is subject to the provisions of the Employee Retirement Income Security Act of 1974 (&#147;ERISA&#148;). &nbsp;</P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-4</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION<BR>
ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
<BR>
NOTES TO FINANCIAL STATEMENTS</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Contributions</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Participants may contribute up to 25% of pre-tax annual compensation, limited to $15,000 and $14,000 per annum in 2006 and 2005 respectively. &nbsp;In addition, pursuant to EGTRRA of 2001, all participants who have attained the age of 50 before the close of the plan year are eligible to make &#147;catch-up&#148; contributions up to $5,000 for the plan year ended December 31, 2006. &nbsp;The Company matches 100% of the first 2% of eligible compensation that a participant contributed to the Plan plus 25% of the next 4% of eligible compensation contributed by the participant.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Participant Accounts</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Each participant&#146;s account is credited with the participant&#146;s contributions and allocations of (a)&nbsp;the Company&#146;s contributions and (b)&nbsp;Plan earnings. &nbsp;Forfeited balances of terminated participants&#146; nonvested accounts are used to reduce future Company contributions.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Vesting</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Amounts attributable to employee contributions and the allocated earnings thereon are immediately vested. &nbsp;Participants become 25%, 50%, 75% and 100% vested in Company contributions after two, three, four and five years of service, respectively. &nbsp;Upon death, permanent disability or reaching age 65, participants or their beneficiaries become 100% vested in Company contributions.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Investment Options</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Upon enrollment in the Plan, a participant may direct employee or Company contributions into any one of four pre-mixed asset allocation models or any of 10 individual investment options. &nbsp;A participant may contribute a maximum of 25% of employee contributions into the PVH Stock Fund.</P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-5</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION<BR>
ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
<BR>
NOTES TO FINANCIAL STATEMENTS</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Participant Loans Receivable</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Participants may borrow from the Plan, with certain restrictions, using their vested account balance as collateral. &nbsp;The minimum loan amount is $1,000 and the maximum loan amount is the lesser of (i)&nbsp;$50,000 reduced by the participant&#146;s highest outstanding loan balance during the previous 12&nbsp;months, or (ii)&nbsp;50% of the vested value of the participant&#146;s account. Interest is fixed for the term of the loan at the prime rate plus 1%. &nbsp;Loan repayments are made through payroll deductions which may be specified for a term of 1&nbsp;to 5&nbsp;years or up to 15&nbsp;years for the purchase of a primary residence. &nbsp;</P>
<P style="line-height:14pt; margin:0pt; text-indent:72pt; font-size:12pt"><BR>
At December 31, 2006, total outstanding participant loans outstanding totaled $320,613, with maturity dates through 2012 at interest rates ranging from 5% to 9.25%.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Forfeitures</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Contributions made on behalf of non-vested or partially vested employees who have terminated are retained by the Plan and are used to reduce the Company&#146;s future matching contributions. &nbsp;</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Payment of Benefits</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Participants electing final distributions will receive payment in the form of a lump sum amount equal to the value of their vested account unless the participant notifies the Company of their intent to receive all or a portion of their balance attributable to the PVH Stock Fund paid in the form of shares of the Company&#146;s Common Stock.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Plan Termination</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Although it has not expressed any intent to do so, the Company has the right under the Plan to discontinue its contributions at any time and to terminate the Plan subject to the provisions of ERISA. &nbsp;In the event of Plan termination, participants will become 100% vested in their accounts.</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-6</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION<BR>
ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
<BR>
NOTES TO FINANCIAL STATEMENTS</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><B>2.</B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Significant Accounting Policies</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The accounting records of the Plan are maintained on the accrual basis.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Substantially all administrative expenses are paid by the Company.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">In accordance with the Rules and Regulations of the Department of Labor, investments are included in the accompanying financial statements at market value as determined by quoted market prices or at fair value as determined by the trustee. &nbsp;Purchases and sales of securities are reflected on a trade date basis.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">All assets of the Plan are held by the Trustee in the Master Trust and are segregated from the assets of the Company. &nbsp;The Plan shares in the Master Trust interest and investment income based upon its participants&#146; shares of the Master Trust net assets available for benefits.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:36pt; font-size:12pt">The preparation of the financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. &nbsp;Actual results could differ from those estimates.<BR>
<BR>
</P>
<P style="line-height:14pt; margin:0pt; text-indent:72pt; font-size:12pt">In December 2005, the Financial Accounting Standards Board (FSAB) issued FASB Staff Position AAG INV-1 and SOP 94-4-1, Reporting of Fully Benefit-Responsive Investment Contracts Held by Certain Investment Companies Subject to the AICPA Investment Company Guide and Defined-Contribution Health and Welfare and Pension Plans (FSP). &nbsp;This FSP requires investments in benefit-responsive investment contracts be presented at fair value. &nbsp;However, contract value is the relevant measurement attribute for that portion of the net assets available for benefits of a defined contribution plan attributable to fully benefit-responsive investment contracts because contract value is the amount participants would receive if they were to initiate permitted transactions under the terms of the Plan. &nbsp;The Plan invests in investment contracts though a common/collective trust. &nbsp;As required by the FSP, the Statement of Net Assets Available for
 Benefits presents the fair value of the investments in the common/collective trust as well as the adjustment of the investment in the common/collective trust from fair value to contract value relating to the investment contracts. &nbsp;The Statement of Changes in Net Assets Available for Benefits is prepared on a contact value basis. &nbsp;The result of the implementation of the FSP was an adjustment from fair value to contract value in the amount of $21,098 and $19,556 as of December 31, 2006 and 2005, respectively.</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-7</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION<BR>
ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
<BR>
NOTES TO FINANCIAL STATEMENTS</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><B>3.</B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Transactions with Parties-in-Interest</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">During the years ended December 31, 2006 and 2005, the Master Trust purchased 53,146 and 47,988 shares, respectively, of the Company&#146;s common stock and received $138,106 and $153,906, respectively, from the Company as payment of dividends on its common stock. The AIP Master Trust also sold 152,495 and 160,053 shares of the Company&#146;s common stock<B> </B>during the years ended December 31, 2006 and 2005, respectively.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><B>4.</B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Assets of the Plan</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Investments that represent 5% or more of the fair value of the Plan&#146;s net assets at the end of the plan year are as follows:</P>
<P style="margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=284.4></TD><TD width=90></TD><TD width=86.4></TD></TR>
<TR><TD valign=top width=379.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center><U>2006</U></P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center><U>2005</U></P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Investment in Phillips-Van Heusen</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">Corporation Associates Investment</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">Plans Master Trust</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>$ &nbsp;&nbsp;9,391,798&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>$ &nbsp;2,844,336&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Dodge &amp; Cox Balanced</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>*&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>1,283,331&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Dreyfus Appreciation</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>#&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>1,207,303&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Wells Fargo Stable Return Fund (S)</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>*&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>1,435,105&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Wells Fargo Advantage Small Cap </P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">Value Fund (Z)</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>*&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>600,404&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Wells Fargo Advantage Total Return</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">Bond (Adm)</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>#&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>628,267&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Wells Fargo S&amp;P 500 Index Fund (G)</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>#&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>988,751&nbsp;&nbsp;&nbsp;<B> </B></P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Shares of registered companies representing</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">less than 5%</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>431,710&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=499.2 colspan=2><P style="line-height:14pt; margin:0pt; font-size:12pt">* <B>&nbsp;</B>Investment became part of the Master Trust at the end of the plan year.</P>
</TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; font-size:12pt"># &nbsp;Investment not offered at the end of the plan year. &nbsp;</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0pt" align=center><BR>
<BR>
<BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-8</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION<BR>
ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
<BR>
NOTES TO FINANCIAL STATEMENTS</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">During 2006** and 2005, the Plan&#146;s investments (including investments purchased, sold, as well as held during the year) appreciated in fair value as determined by quoted market prices as follows:</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; padding-right:2.75pt; text-indent:290.75pt; font-size:12pt"><BR>
Net Realized and Unrealized<BR>
</P>
<P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:258.4pt; font-size:12pt"><U>Appreciation in Fair Value of Investments</U></P>
<P style="margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=218.95></TD><TD width=64.55></TD><TD width=58.5></TD><TD width=64.55></TD></TR>
<TR><TD valign=top width=291.933><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=86.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center><U>2006**</U></P>
</TD><TD valign=top width=78><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=86.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center><U>2005</U></P>
</TD></TR>
<TR><TD valign=top width=291.933><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=86.067><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=78><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=86.067><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=291.933><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Common stock&#151;PVH Stock Fund</P>
</TD><TD valign=top width=86.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>$ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=78><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=86.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>$499,455&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=291.933><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Shares of registered investment companies</P>
</TD><TD valign=top width=86.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;326,405</U>&nbsp;&nbsp;</P>
</TD><TD valign=top width=78><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=86.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right><U>&nbsp;&nbsp;170,500</U>&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=291.933><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">&nbsp;</P>
</TD><TD valign=top width=86.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right><U>$326,405</U>&nbsp;&nbsp;</P>
</TD><TD valign=top width=78><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=86.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right><U>$669,955</U>&nbsp;&nbsp;</P>
</TD></TR>
</TABLE>
<P style="margin:0pt" align=justify><BR></P>
<P style="margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">** Represents appreciation for the period January 1, 2006 through November 2, 2006 of investments not in the Master Trust. &nbsp;See below for Master Trust information. &nbsp;</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-9</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION PENSION PLAN</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>NOTES TO FINANCIAL STATEMENTS</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:16pt; margin-top:0pt; margin-bottom:-16pt; font-size:12pt"><B>5.</B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Interest in the Master Trust</B></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Effective November 3, 2006, the plan&#146;s investments, with the exception of participant loans, are held in a Master Trust with the assets of the Associates Plan for Salaried Associates. &nbsp;The assets of the Master Trust are held by Nationwide Trust Company. &nbsp;The plan participates in the Master Trust for the investment of the pooled assets of various funds. &nbsp;Each participating plan has an undivided interest in the Master Trust. &nbsp;Income and assets of the Master Trust are allocated to the Plan based on participant balances.<FONT FACE="Helv"> &nbsp;</FONT>The assets of the Master Trust at December 31, 2006 consist of the following:</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=256.3></TD><TD width=85.45></TD></TR>
<TR><TD valign=top width=341.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; font-size:12pt" align=center><U>2006</U></P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; font-size:12pt">Cash</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>$ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;27,724&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; font-size:12pt">Receivable from investments sold</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>86,852&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; font-size:12pt">Payable for investments purchased</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>(86,852)</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; font-size:12pt">Other payable</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>(9,619)</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; font-size:12pt">Investments, at market value:</P>
</TD><TD valign=top width=113.933><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">Common Collective Trust</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>22,338,688&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">Mutual Funds</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>86,595,356&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">Common Stock</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>42,951,591&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">Money Market Funds</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1,195,213</U>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=113.933><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; font-size:12pt">Total Master Trust Investments</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right><U>$ 153,098,953</U>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=113.933><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; font-size:12pt">Plan&#146;s beneficial interest</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right><U>$ &nbsp;&nbsp;&nbsp;&nbsp;9,391,798</U>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=113.933><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=341.733><P style="line-height:14pt; margin:0pt; font-size:12pt">Plan&#146;s percentage interest</P>
</TD><TD valign=top width=113.933><P style="line-height:14pt; margin:0pt; padding-right:0.3pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6%</U>&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=341.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=113.933><P style="font-size:2pt">&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-10</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION PENSION PLAN</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>NOTES TO FINANCIAL STATEMENTS</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Net investment income for the Master Trust through December 31, 2006 is as follows: </P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=270></TD><TD width=73.7></TD></TR>
<TR><TD valign=top width=360><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.267><P style="line-height:13pt; margin:0pt; font-size:12pt" align=center><U>2006</U></P>
</TD></TR>
<TR><TD valign=top width=360><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=360><P style="line-height:13pt; margin:0pt; padding-left:9.55pt; text-indent:-9.55pt; font-size:12pt">Net appreciation (depreciation) in fair value of investments determined by quoted market prices:</P>
</TD><TD valign=top width=98.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=360><P style="line-height:13pt; margin:0pt; padding-left:27.35pt; text-indent:-9.35pt; font-size:12pt">Common Stock</P>
</TD><TD valign=top width=98.267><P style="line-height:13pt; margin:0pt; font-size:12pt" align=right>$ 16,261,622&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=360><P style="line-height:13pt; margin:0pt; padding-left:27.35pt; text-indent:-9.35pt; font-size:12pt">Mutual Funds and Common Collective Trust</P>
</TD><TD valign=top width=98.267><P style="line-height:13pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(883,605</U>)</P>
</TD></TR>
<TR><TD valign=top width=360><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=360><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.267><P style="line-height:13pt; margin:0pt; font-size:12pt" align=right>15,378,017&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=360><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=360><P style="line-height:13pt; margin:0pt; padding-left:9.55pt; text-indent:-9.55pt; font-size:12pt">Interest and dividend income</P>
</TD><TD valign=top width=98.267><P style="line-height:13pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3,941,060</U>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=360><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=360><P style="line-height:13pt; margin:0pt; padding-left:9.55pt; text-indent:-9.55pt; font-size:12pt">Total master trust investment income</P>
</TD><TD valign=top width=98.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>$ 19,319,077</U>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=360><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
</TABLE>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><B>6. </B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Income Tax Status</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The Plan has received a determination letter from the Internal Revenue Service dated September 2, 2003, stating that the Plan is qualified under Section&nbsp;401(a) of the Internal Revenue Code (the &#147;Code&#148;) and, therefore, the related trust is exempt from taxation. &nbsp;Once qualified, the Plan is required to operate in conformity with the Code to maintain its qualification. &nbsp;The plan administrator believes that the Plan is currently designed and being operated in compliance with the applicable requirements of the Code and, therefore, believes that the Plan is qualified and the related trust is tax-exempt.<BR>
</P>
<P style="margin:0pt" align=center><BR>
<BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-11</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:9.2pt; margin:0pt; font-size:7.2pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION PENSION PLAN</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES<BR>
</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>NOTES TO FINANCIAL STATEMENTS</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><BR>
<BR>
<BR>
<B>7. </B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Reconciliation of Financial Statements to Form 5500</B></P>
<P style="margin:0pt"><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt; padding-left:27.35pt; font-size:12pt" align=justify>The following is a reconciliation of net assets available for benefits per the financial statements to the Form 5500 at December 31, 2006:</P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=275></TD><TD width=88.6></TD></TR>
<TR><TD valign=top width=366.667><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=118.133 rowspan=2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=366.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD width=366.667><P style="line-height:14pt; margin:0pt; padding-left:12.95pt; text-indent:-12.95pt; font-size:12pt">Net assets available for benefits per the financial statements</P>
</TD><TD width=118.133><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>$9,754,312</P>
</TD></TR>
<TR><TD width=366.667><P style="line-height:14pt; margin:0pt; padding-left:12.95pt; text-indent:-12.95pt; font-size:12pt">Less adjustment to contract value &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;</P>
</TD><TD valign=top width=118.133><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21,098</U></P>
</TD></TR>
<TR><TD width=366.667><P style="line-height:14pt; margin:0pt; padding-left:12.95pt; text-indent:-12.95pt; font-size:12pt">Net assets available for benefits per the Form 5500</P>
</TD><TD valign=top width=118.133><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><U>$9,733,214</U></P>
</TD></TR>
</TABLE>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-12</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="margin:0pt; page-break-before:always"><BR>
<BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center><BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
<BR>
SUPPLEMENTAL SCHEDULE</P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:16pt; margin:0pt; padding-left:144pt; text-indent:36pt; font-size:12pt; page-break-before:always" align=right>EIN: 13-1166910</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>Plan No: 012</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR HOURLY ASSOCIATES</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-size:12pt" align=center>SCHEDULE H, LINE 4i--SCHEDULE OF INVESTMENTS AT YEAR END</P>
<P style="line-height:14pt; margin:0pt" align=center><BR></P>
<P style="line-height:14pt; margin:0pt; font-family:Times; font-size:12pt" align=center><FONT FACE="Times">For the Year Ended December 31, 2006</FONT></P>
<P style="margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=149.4></TD><TD width=216></TD><TD width=81.9></TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=center><FONT FACE="Times New Roman"><U>Identity of Holder</U></FONT></P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=center><U>Description of Investment</U></P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=center><U>Current Value</U></P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Cash</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>$ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2,727</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Cash Management Trust of </P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">America; 85,424.950 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>85,425</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">SEI Stable Asset Fund; </P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">148,178.610 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>144,377</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">State Street S&amp;P 500 Index:</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">16,378.745 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>617,741</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Wells Fargo Stable Return;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">30,526.472 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>1,203,029</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">American Beacon Large Cap Value</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">33,987.093 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>774,226</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Bond Fund of America</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">49,094.715 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>653,942</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Dodge &amp; Cox Balanced Fund;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">10,468.642 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>911,609</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Growth Fund of America;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">21,783.914 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>711,463</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Hartford HLS Small Cap Growth;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">7,043.303 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>146,078</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Thornburg International Value;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">18,924.301 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>548,994</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Wells Fargo Advantage Small Cap;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">16,778.523 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>522,315</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:12pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Phillip-Van Heusen Corp. Common Stock; </P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">61,189.373 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;3,069,871</U></P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">Total investments held by </P>
</TD><TD valign=top width=288><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt">&nbsp;&nbsp;&nbsp;Nationwide Trust Co., FSB</P>
</TD><TD valign=top width=288><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=109.2><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right><U>$ 9,391,798</U></P>
</TD></TR>
</TABLE>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-14</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; padding-right:-36pt; font-size:11pt; page-break-before:always" align=center><I>Report of Independent Registered Public Accounting Firm</I></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; font-size:11pt">Administrative Committee of the Plan</P>
<P style="line-height:13pt; margin:0pt; font-size:11pt">Phillips-Van Heusen Corporation </P>
<P style="line-height:13pt; margin:0pt; font-size:11pt">Associates Investment Plan for Salaried Associates</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; text-indent:36pt; font-size:11pt">We have audited the accompanying statements of net assets available for benefits of the Phillips-Van Heusen Corporation Associates Investment Plan for Salaried Associates as of December&nbsp;31,&nbsp;2006 and 2005, and the related statements of changes in net assets available for benefits for the years then ended. These financial statements are the responsibility of the Plan&#146;s management. Our responsibility is to express an opinion on these financial statements based on our audit.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; text-indent:36pt; font-size:11pt">We conducted our audits in accordance with the standards of the Public Company Accounting Oversights Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Plan&#146;s internal control over financial reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the plan&#146;s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes ex&shy;amining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates 
made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; text-indent:36pt; font-size:11pt">In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of the Plan as of December 31, 2006 and 2005 and the changes in its net assets available for benefits for the years then ended, in conformity with accounting principles generally accepted in the United States.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; text-indent:36pt; font-size:11pt">Our audit was performed for the purpose of forming an opinion on the financial statements taken as a whole. &nbsp;The accompanying supplemental schedule of investments held at year end as of December&nbsp;31,&nbsp;2006 is presented for purposes of additional analysis and is not a required part of the financial statements but is supplementary information required by the Department of Labor&#146;s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. &nbsp;This supplemental schedule is the responsibility of the Plan&#146;s management. The supplemental schedule has been subjected to the auditing procedures applied in our audit of the financial statements and, in our opinion is fairly stated in all material respects in relation to the financial statements taken as a whole.</P>
<P style="line-height:13pt; margin:0pt" align=justify><BR></P>
<P style="line-height:13pt; margin:0pt" align=justify><BR></P>
<P style="line-height:13pt; margin:0pt" align=justify><BR></P>
<P style="margin:0pt" align=right>/S/ SPIELMAN KOENIGSBERG &amp; PARKER, LLP</P>
<P style="line-height:13pt; margin:0pt" align=justify><BR></P>
<P style="line-height:13pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:11pt" align=justify>June 22, 2007</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:14pt; margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-15</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center><FONT FACE="Times">STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS</FONT></P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center>December 31, 2006 and 2005</P>
<P style="line-height:14pt; margin:0pt" align=center><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=247.1></TD><TD width=77.8></TD><TD width=18></TD><TD width=79.7></TD></TR>
<TR><TD valign=top width=329.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=center><FONT FACE="Times New Roman"><U>2006</U></FONT></P>
</TD><TD valign=top width=24><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=center><U>2005</U></P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><B>&nbsp;</B></P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt" align=justify><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt" align=justify><B>Assets</B></P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt" align=justify><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt">&nbsp;&nbsp;&nbsp;Investments, at fair value:</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Investment in Phillips-Van Heusen</P>
</TD><TD valign=top width=103.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=24><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=106.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Corporation Associates Investment Plans</P>
</TD><TD valign=top width=103.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=24><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=106.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Master Trust</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; padding-right:5.8pt; font-size:12pt" align=right>$ 143,707,155</P>
</TD><TD valign=top width=24><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; padding-right:18pt; font-size:12pt" align=right>$ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- </P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">&nbsp;&nbsp;&nbsp;Investments held by Wells Fargo Bank:</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; padding-left:27pt; text-indent:-9pt; font-size:12pt">&nbsp;&nbsp;&nbsp;Stable Return Fund</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>11,890,792</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; padding-left:27pt; text-indent:-9pt; font-size:12pt">&nbsp;&nbsp;&nbsp;Mutual Funds</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>73,542,816</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; padding-left:27pt; text-indent:-9pt; font-size:12pt">Investment in Phillips-Van Heusen </P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; padding-left:27pt; text-indent:-9pt; font-size:12pt">&nbsp;&nbsp;&nbsp;Corporation Associates Investment </P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; padding-left:27pt; text-indent:-9pt; font-size:12pt">&nbsp;&nbsp;&nbsp;&nbsp;Plans Master Trust</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>29,777,423</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Adjustment to contract value from fair </P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;value for interest in common/collective </P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;trust relating to fully benefit-responsive</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;investment contracts &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; padding-right:5.8pt; font-size:12pt" align=right>220,145</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>162,034</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt">&nbsp;&nbsp;&nbsp;Participant loans receivable</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; padding-right:5.8pt; font-size:12pt" align=right>1,773,210</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>1,789,881</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt">&nbsp;&nbsp;&nbsp;Contributions receivable</P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=103.733><P style="line-height:14pt; margin:0pt; padding-right:5.8pt; font-size:12pt" align=right>443,086</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=106.267><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>379,825</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt"><B>&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;</B>Total Assets</P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; padding-right:5.8pt; font-size:12pt" align=right>146,143,596</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>117,542,771</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="font-size:2pt">&nbsp;</P></TD><TD style="border-top:0.5pt solid #000000" valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><B>&nbsp;</B></P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-top:0.5pt solid #000000" valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt"><B>&nbsp;&nbsp;Liabilities</B></P>
</TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><B>&nbsp;</B></P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt"><B>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</B>Miscellaneous payables</P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;9,277</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;-</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt"><B>&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;</B>Total liabilities</P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;9,277</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;-</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=103.733><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><B>&nbsp;</B></P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=106.267><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=329.467><P style="line-height:14pt; margin:0pt; font-size:12pt"><B>Net assets available for benefits </B></P>
</TD><TD style="border-bottom:3pt double #000000" valign=top width=103.733><P style="line-height:14pt; margin:0pt; padding-right:5.8pt; font-size:12pt" align=right>$ 146,134,319</P>
</TD><TD valign=top width=24><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-bottom:3pt double #000000" valign=top width=106.267><P style="line-height:14pt; margin:0pt; padding-right:4.5pt; font-size:12pt" align=right>$ 117,542,771</P>
</TD></TR>
</TABLE>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:11pt; margin:0pt; font-size:9pt" align=center>The accompanying notes are an integral</P>
<P style="line-height:11pt; margin:0pt; font-size:9pt" align=center>part of these financial statements</P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-16</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:13pt; margin:0pt; font-size:11pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:13pt; margin:0pt; font-size:11pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:13pt; margin:0pt; font-family:Times; font-size:11pt" align=center><FONT FACE="Times">STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS</FONT></P>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:13pt; margin:0pt; font-family:Times; font-size:11pt" align=center>For the Years Ended December 31, 2006 and 2005</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=265.1></TD><TD width=81></TD><TD width=13.5></TD><TD width=81></TD></TR>
<TR><TD valign=top width=353.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt" align=center><FONT FACE="Times New Roman"><U>2006</U></FONT></P>
</TD><TD valign=top width=18><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt" align=center><U>2005</U></P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt" align=justify><B>Additions</B></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt" align=justify><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt" align=justify><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt" align=justify><BR></P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;Contributions:</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:18pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;Employer, net of forfeitures</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>$ &nbsp;&nbsp;&nbsp;&nbsp;3,288,623</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>$ &nbsp;&nbsp;&nbsp;3,035,467 </P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:18pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;Employees</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>8,723,948</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>7,837,210</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:18pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;Rollovers</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>273,473</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>397,583</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;Interest and investment income</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>2,130,908</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>3,004,984</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt">&nbsp;&nbsp;&nbsp;Transfer from Phillips-Van Heusen Associates </P>
</TD><TD valign=top width=108><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Investment Plan for Hourly Associates</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>31,259 </P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt">&nbsp;&nbsp;&nbsp;Loan interest</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>129,242</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>98,438</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt">&nbsp;&nbsp;&nbsp;Master trust investment income</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>17,896,100</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;&nbsp;Adjustment to contract value from fair value</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;for interest in common/collective trust relating</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;to fully benefit-responsive investment contracts</P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>220,145</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>162,034</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:16pt; margin-top:0pt; margin-bottom:-16pt; padding-left:9pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P>
<P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:27pt">Total additions</P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>32,693,698</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>14,535,716</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt"><B>Deductions</B></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;Payments to participants</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>10,377,037</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>6,846,759</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;Transfer to Phillips-Van Heusen Associates</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Investment Plan for Hourly Associates</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>12,183</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>-</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="font-size:2pt">&nbsp;</P></TD><TD style="border-top:0.75pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-top:0.75pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:27pt">Total deductions</P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>10,389,220</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>6,846,759</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">Net realized and unrealized appreciation of investments</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>6,287,070</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>7,537,324</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="font-size:2pt">&nbsp;</P></TD><TD style="border-top:0.75pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-top:0.75pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">Net increase in net assets available for benefits</P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>28,591,548</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>15,226,281</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt">Net assets available for benefits at beginning of year</P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>117,542,771</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>102,316,490</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=353.467><P style="line-height:14pt; margin:0pt; padding-left:9pt; text-indent:-9pt"><B>Net assets available for benefits at end of year</B></P>
</TD><TD style="border-bottom:2pt double #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:9pt" align=right>$ 146,134,319</P>
</TD><TD valign=top width=18><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD style="border-bottom:2pt double #000000" valign=top width=108><P style="line-height:14pt; margin:0pt; padding-right:5.8pt" align=right>$ 117,542,771</P>
</TD></TR>
</TABLE>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:11pt; margin:0pt; font-size:9pt" align=center>The accompanying notes are an integral</P>
<P style="line-height:11pt; margin:0pt; font-size:9pt" align=center>part of these financial statements</P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-17</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center><FONT FACE="Times">NOTES TO FINANCIAL STATEMENTS</FONT></P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center>For the Years Ended December 31, 2006 and 2005</P>
<P style="line-height:16pt; margin:0pt"><BR></P>
<P style="line-height:16pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><FONT FACE="Times New Roman"><B>1.</B></FONT></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Description of the Plan</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The following description of the Phillips-Van Heusen Corporation (the &#147;Company&#148;) Associates Investment Plan for Salaried Associates (the &#147;Plan&#148;) provides only general information. Participants should refer to the Plan Document for a more complete description of the Plan&#146;s provisions.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Change in Trustee and Recordkeeper</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Effective November 3, 2006, the Plan&#146;s Trustee changed from Wells Fargo Bank (the &#147;Predecessor Trustee&#148;) to Nationwide Trust Company (the &#147;Trustee&#148; or &#147;Successor Trustee&#148;), and the Plan&#146;s &#147;Recordkeeper&#148; changed from Wells Fargo Retirement Plan Solutions to The 401(k) Company.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Master Trust</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The Phillips-Van Heusen Corporation Associates Investment Plans Master Trust (the &#147;Master Trust&#148;) was established for the investment of the Phillips-Van Heusen Stock Fund (the &#147;PVH Stock Fund&#148;). &nbsp;Effective with the change in Recordkeeper and Trustee on November 3, 2006, all of the investments of the Company&#146;s Associates Investment Plan for Hourly Employees and the Associates Investment Plan for Salaried Employees were combined into the new Master Trust held by the Nationwide Trust Company.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>General</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The Plan is a defined contribution plan covering salaried or clerical employees of the Company who are at least age 21 or older, have completed at least three consecutive months of service and are regularly scheduled to work at least 20 hours per week. &nbsp;The Plan is subject to the provisions of the Employee Retirement Income Security Act of 1974 (&#147;ERISA&#148;). &nbsp;</P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-18</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center><FONT FACE="Times">NOTES TO FINANCIAL STATEMENTS</FONT></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><FONT FACE="Times New Roman"><B>Contributions</B></FONT></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Participants may contribute up to 25% of pre-tax annual compensation, limited to $15,000 and $14,000 per annum in 2006 and 2005, respectively. &nbsp;In addition, pursuant to EGTRRA of 2001, all participants who have attained the age of 50 before the close of the plan year are eligible to make &#147;catch-up&#148; contributions up to $5,000 for the plan year ended December&nbsp;31, 2006. &nbsp;The Company matches 100% of the first 2% of eligible compensation that a participant contributed to the Plan plus 25% of the next 4% of eligible compensation contributed by the participant. &nbsp;</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Participant Accounts</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Each participant&#146;s account is credited with the participant&#146;s contributions and allocations of (a) the Company&#146;s contributions and (b) Plan earnings. &nbsp;Forfeited balances of terminated participants&#146; nonvested accounts are used to reduce future Company contributions.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Vesting</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Amounts attributed to employee contributions and the allocated earnings thereon are immediately vested. &nbsp;Participants become 25%, 50%, 75% and 100% vested in Company contributions and the allocated earnings thereon after two, three, four and five years of service, respectively. &nbsp;Upon death, permanent disability, or reaching age 65, participants or their beneficiaries become 100% vested in Company contributions.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Investment Options</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Upon enrollment in the Plan, a participant may direct employee or Company contributions into any one of four pre-mixed asset allocation models or any of 10 individual investment options . &nbsp;A participant may contribute a maximum of 25% of employee contributions into the PVH Stock Fund. </P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-19</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt; page-break-before:always" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center><FONT FACE="Times">NOTES TO FINANCIAL STATEMENTS</FONT></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><FONT FACE="Times New Roman"><B>Participant Loans Receivable</B></FONT></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:36pt; font-size:12pt">Participants may borrow from the Plan, with certain restrictions, using their vested account balance as collateral. The minimum loan amount is $1,000 and the maximum loan amount is the lesser of (i) $50,000 reduced by the participant&#146;s highest outstanding loan balance during the previous 12 months, or (ii) 50% of the vested value of the participant&#146;s account. Interest is fixed for the term of the loan at the prime rate plus 1%. Loan repayments are made through payroll deductions, which may be specified for a term of 1 to 5 years or up to 15 years for the purchase of a primary residence.<BR>
<BR>
</P>
<P style="line-height:14pt; margin:0pt; text-indent:72pt; font-size:12pt">At December 31, 2006, participant loans outstanding totaled $1,773,210, with maturity dates through 2021 at interest rates ranging from 5% to 10.5%.</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Forfeitures</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Contributions made on behalf of non-vested or partially vested employees who have terminated are retained by the Plan and are used to reduce the Company&#146;s future matching contributions. &nbsp;</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Payment of Benefits</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Participants electing final distributions will receive payment in the form of a lump sum amount equal to the value of their vested account unless the participant notifies the Company of their intent to receive all or a portion of their balance attributable to the PVH Stock Fund paid in the form of shares of the Company&#146;s Common Stock.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Plan Termination</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Although it has not expressed any intent to do so, the Company has the right under the Plan to discontinue its contributions at any time and to terminate the Plan subject to the provisions of ERISA. In the event of Plan termination, participants will become 100% vested in their accounts.</P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-20</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>NOTES TO FINANCIAL STATEMENTS</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><B>2. </B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Significant Accounting Policies</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The accounting records of the Plan are maintained on the accrual basis.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Substantially all administrative expenses are paid by the Company. &nbsp;</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">In accordance with the Rules and Regulations of the Department of Labor, investments are included in the accompanying financial statements at market value as determined by quoted market price or at fair value as determined by the trustee. Purchase and sales of securities are reflected on a trade date basis. </P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">All assets of the Plan are held by the Trustee and are segregated from the assets of the Company. &nbsp;The Master Trust holds the investments in The PVH Stock Fund. &nbsp;The Plan shares in the Master Trust interest and investment income based upon its participants&#146; shares of the Master Trust net assets available for benefits.</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; text-indent:36pt; font-size:12pt">The preparation of the financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.<BR>
<BR>
</P>
<P style="line-height:14pt; margin:0pt; text-indent:72pt; font-size:12pt">In December 2005, the Financial Accounting Standards Board (FSAB) issued FASB Staff Position AAG INV-1 and SOP 94-4-1, Reporting of Fully Benefit-Responsive Investment Contracts Held by Certain Investment Companies Subject to the AICPA Investment Company Guide and Defined-Contribution Health and Welfare and Pension Plans (FSP). &nbsp;This FSP requires investments in benefit-responsive investment contracts be presented at fair value. &nbsp;However, contract value is the relevant measurement attribute for that portion of the net assets available for benefits of a defined contribution plan attributable to fully benefit-responsive investment contracts because contract value is the amount participants would receive if they were to initiate permitted transactions under the terms of the Plan. &nbsp;The Plan invests in investment contracts though a common/collective trust. &nbsp;As required by the FSP, the Statement of Net Assets Available for
 Benefits presents the fair value of the investments in the common/collective trust as well as the adjustment of the investment in the common/collective trust from fair value to contract value relating to the investment contracts. &nbsp;The Statement of Changes in Net Assets Available for Benefits is prepared on a contact value basis. &nbsp;The result of the implementation of the FSP was an adjustment from fair value to contract value in the amount of $220,145 and $162,034 as of December 31, 2006 and 2005, respectively.</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-21</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center><FONT FACE="Times">NOTES TO FINANCIAL STATEMENTS</FONT></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><FONT FACE="Times New Roman"><B>3. </B></FONT></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Transactions with Parties-in-Interest</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">During the years ended December 31, 2006 and 2005, the Master Trust purchased 53,146 and 47,988 shares, respectively, of the Company&#146;s common stock and received $138,106 and $153,906, respectively, from the Company as payment of dividends on its common stock. The AIP Master Trust also sold 152,495 and 160,053 shares of the Company&#146;s common stock<B> </B>during the years ended December 31, 2006 and 2005, respectively. </P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><B>4 </B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Assets of the Plan</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Investments that represent 5% or more of the fair value of the Plan&#146;s net assets at the end of the plan year are as follows:</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=284.4></TD><TD width=90></TD><TD width=86.4></TD></TR>
<TR><TD valign=top width=379.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center><U>2006</U></P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center><U>2005</U></P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Investment in Phillips-Van Heusen</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">Corporation Associates Investment</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">Plans Master Trust</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>143,707,155&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>$29,777,423&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Dodge &amp; Cox Balanced</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>*&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>18,753,093&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Dreyfus Appreciation</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>#&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>16,995,799&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Oakmark International</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>#&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>7,723,406&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Wells Fargo Stable Return Fund (S)</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>*&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>11,890,792&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Wells Fargo Advantage Small Cap </P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">Value Fund (Z)</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>*&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>12,188,812&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Wells Fargo Advantage Total Return</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">Bond (Adm)</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>#&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>5,900,260&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Wells Fargo S&amp;P 500 Index Fund (G)</P>
</TD><TD valign=top width=120><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>#&nbsp;&nbsp;</P>
</TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>8,624,725&nbsp;&nbsp;&nbsp;<B> </B></P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Shares of registered companies representing</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; text-indent:13.5pt; font-size:12pt">less than 5%</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>3,356,721&nbsp;&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=379.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=499.2 colspan=2><P style="line-height:14pt; margin:0pt; font-size:12pt">* <B>&nbsp;</B>Investment became part of the Master Trust at the end of the plan year.</P>
</TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=379.2><P style="line-height:14pt; margin:0pt; font-size:12pt"># &nbsp;Investment not offered at the end of the plan year. &nbsp;</P>
</TD><TD valign=top width=120><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=115.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-22</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-size:12pt" align=center>NOTES TO FINANCIAL STATEMENTS</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">During 2006 and 2005, the Plan&#146;s investments (including investments purchased, sold, as well as held during the year) appreciated in fair value as determined by quoted market prices as follows:</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=202.5></TD><TD width=86.05></TD><TD width=57.3></TD><TD width=73.55></TD></TR>
<TR><TD valign=top width=270><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=289.2 colspan=3><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center>Net Realized and Unrealized</P>
</TD></TR>
<TR><TD valign=top width=270><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=289.2 colspan=3><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center><U>Appreciation in Fair Value of Investments</U></P>
</TD></TR>
<TR><TD valign=top width=270><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114.733><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center><U>2006**</U></P>
</TD><TD valign=top width=76.4><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=center><U>2005</U></P>
</TD></TR>
<TR><TD valign=top width=270><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=76.4><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.067><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=270><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Common stock&#151;PVH Stock Fund</P>
</TD><TD valign=top width=114.733><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right>$ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- &nbsp;&nbsp;&nbsp;</P>
</TD><TD valign=top width=76.4><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">$5,293,289&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=270><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">Shares of registered investment</P>
</TD><TD valign=top width=114.733><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=76.4><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.067><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=270><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">&nbsp;&nbsp;companies</P>
</TD><TD valign=top width=114.733><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right><U>&nbsp;6,287,070</U>&nbsp;&nbsp;</P>
</TD><TD valign=top width=76.4><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right><U>2,244,035</U>&nbsp;&nbsp;</P>
</TD></TR>
<TR><TD valign=top width=270><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt">&nbsp;</P>
</TD><TD valign=top width=114.733><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right><U>$6,287,070&nbsp;&nbsp;</U></P>
</TD><TD valign=top width=76.4><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=98.067><P style="line-height:14pt; margin:0pt; padding-right:2.75pt; font-size:12pt" align=right><U>$7,537,324&nbsp;&nbsp;</U></P>
</TD></TR>
</TABLE>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">** Appreciation for the period January 1, 2006 through November 2, 2006 of investments not in the Master Trust. &nbsp;See below for Master Trust information. &nbsp;</P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-23</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center><FONT FACE="Times">NOTES TO FINANCIAL STATEMENTS</FONT></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="line-height:16pt; margin-top:0pt; margin-bottom:-16pt; font-size:12pt"><FONT FACE="Times New Roman"><B>5.</B></FONT></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Interest in the Master Trust</B></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">Effective November 3, 2006, the plan&#146;s investments, with the exception of participant loans, are held in a Master Trust with the assets of the Associates Plan for Hourly Associates. &nbsp;The assets of the Master Trust are held by Nationwide Trust Company. &nbsp;The plan participates in the Master Trust for the investment of the pooled assets of various funds. &nbsp;Each participating plan has an undivided interest in the Master Trust. &nbsp;Income and assets of the Master Trust are allocated to the Plan based on participant balances.<FONT FACE="Helv"> &nbsp;</FONT>The assets of the Master Trust at December 31, 2006 consist of the following:</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=252></TD><TD width=85.5></TD><TD width=89.75></TD></TR>
<TR><TD valign=top width=336><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=233.667 colspan=2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=336><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; font-size:12pt" align=center><U>2006</U></P>
</TD><TD valign=top width=119.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=336><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt"><BR></P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; font-size:12pt">Cash</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>$ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;27,724</P>
</TD><TD valign=top width=119.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; font-size:12pt">Receivable from investments sold</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>86,852</P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; font-size:12pt">Payable for investments purchased</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>(86,852)</P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; font-size:12pt">Other Payable</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>(9,619)</P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; font-size:12pt">Investments, at market value:</P>
</TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">Common Collective Trust</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>22,338,688</P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">Mutual Funds</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>86,595,356</P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">Common Stock</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right>42,951,591</P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; padding-left:9pt; font-size:12pt">Money Market Funds</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1,195,213</U></P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; font-size:12pt">Total Master Trust Investments</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right><U>$ &nbsp;153,098,953</U></P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; font-size:12pt">Plan&#146;s beneficial interest</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right><U>$ &nbsp;143,707,155</U></P>
</TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=119.667><P style="line-height:14pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=336><P style="line-height:14pt; margin:0pt; font-size:12pt">Plan&#146;s percentage interest</P>
</TD><TD valign=top width=114><P style="line-height:14pt; margin:0pt; padding-right:4.8pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;94%</U></P>
</TD><TD valign=top width=119.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=336><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=114><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=119.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-24</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center><FONT FACE="Times">NOTES TO FINANCIAL STATEMENTS</FONT></P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><FONT FACE="Times New Roman">Net investment income for the Master Trust through December 31, 2006 is as follows: </FONT></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=256.5></TD><TD width=81></TD><TD width=107.45></TD></TR>
<TR><TD valign=top width=342><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:13pt; margin:0pt; font-size:12pt" align=center><U>2006</U></P>
</TD><TD valign=top width=143.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=342><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=143.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=342><P style="line-height:13pt; margin:0pt; padding-left:9.55pt; text-indent:-9.55pt; font-size:12pt">Net appreciation (depreciation) in fair value of </P>
</TD><TD valign=top width=108><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=143.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=342><P style="line-height:13pt; margin:0pt; font-size:12pt">&nbsp;&nbsp;&nbsp;investments determined by quoted market prices:</P>
</TD><TD valign=top width=108><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=143.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=342><P style="line-height:13pt; margin:0pt; padding-left:27.35pt; text-indent:-9.35pt; font-size:12pt">Common Stock</P>
</TD><TD valign=top width=108><P style="line-height:13pt; margin:0pt; padding-right:4.6pt; font-size:12pt" align=right>$ &nbsp;&nbsp;&nbsp;16,261,622</P>
</TD><TD valign=top width=143.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=342><P style="line-height:13pt; margin:0pt; padding-left:27.35pt; text-indent:-9.35pt; font-size:12pt">Mutual Funds and Common Collective Trust</P>
</TD><TD valign=top width=108><P style="line-height:13pt; margin:0pt; padding-right:4.6pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(883,605</U>)</P>
</TD><TD valign=top width=143.267><P style="line-height:13pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=342><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:13pt; margin:0pt"><BR></P>
</TD><TD valign=top width=143.267><P style="line-height:13pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=342><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:13pt; margin:0pt; padding-right:4.6pt; font-size:12pt" align=right>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15,378,017</P>
</TD><TD valign=top width=143.267><P style="line-height:13pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=342><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:13pt; margin:0pt"><BR></P>
</TD><TD valign=top width=143.267><P style="line-height:13pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=342><P style="line-height:13pt; margin:0pt; padding-left:9.55pt; text-indent:-9.55pt; font-size:12pt">Interest and dividend income</P>
</TD><TD valign=top width=108><P style="line-height:13pt; margin:0pt; padding-right:4.6pt; font-size:12pt" align=right><U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3,941,060 &nbsp;&nbsp;&nbsp;&nbsp;</U></P>
</TD><TD valign=top width=143.267><P style="line-height:13pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=342><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="line-height:13pt; margin:0pt"><BR></P>
</TD><TD valign=top width=143.267><P style="line-height:13pt; margin:0pt"><BR></P>
</TD></TR>
<TR><TD valign=top width=342><P style="line-height:13pt; margin:0pt; padding-left:9.55pt; text-indent:-9.55pt; font-size:12pt">Total master trust investment income</P>
</TD><TD valign=top width=108><P style="line-height:13pt; margin:0pt; padding-right:4.6pt; font-size:12pt" align=right><U>$ &nbsp;&nbsp;&nbsp;19,319,077 &nbsp;&nbsp;&nbsp;&nbsp;</U></P>
</TD><TD valign=top width=143.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=342><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=143.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=342><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=108><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=143.267><P style="font-size:2pt">&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><B>6. </B></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Income Tax Status</B></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt">The Plan has received a determination letter from the Internal Revenue Service dated September&nbsp;2, 2003, stating that the Plan is qualified under Section 401(a) of the Internal Revenue Code (the &#147;Code&#148;) and, therefore, the related trust is exempt from taxation. &nbsp;Once qualified, the Plan is required to operate in conformity with the Code to maintain its qualification. &nbsp;The plan administrator believes that the Plan is currently designed and being operated in compliance with the applicable requirements of the Code and, therefore, believes that the Plan is qualified and the related trust is tax-exempt.</P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-25</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="line-height:16pt; margin:0pt" align=center><BR></P>
<P style="line-height:16pt; margin:0pt; font-family:Times; font-size:12pt" align=center><FONT FACE="Times">NOTES TO FINANCIAL STATEMENTS</FONT></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin-top:0pt; margin-bottom:-14pt; font-size:12pt"><BR>
<BR>
<FONT FACE="Times New Roman"><B>7.</B></FONT></P>
<P style="line-height:14pt; margin:0pt; text-indent:36pt; font-size:12pt"><B>Reconciliation of Financial Statements to Form 5500<BR>
<BR>
</B>The following is a reconciliation of net assets available for benefits per the financial statements to the Form 5500 at December 31, 2006:</P>
<P style="margin:0pt"><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=275></TD><TD width=16.5></TD><TD width=77></TD><TD width=11></TD></TR>
<TR><TD valign=top width=366.667><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=22><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=102.667 rowspan=2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=14.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=366.667><P style="line-height:14pt; margin:0pt; padding-left:12.95pt; text-indent:-12.95pt; font-size:12pt">Net assets available for benefits per the financial</P>
</TD><TD valign=top width=22><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=14.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD width=366.667><P style="line-height:14pt; margin:0pt; padding-left:12.95pt; text-indent:-12.95pt; font-size:12pt">&nbsp;&nbsp;&nbsp;statements</P>
</TD><TD width=22><P style="line-height:14pt; margin:0pt; padding-left:12.95pt; text-indent:-12.95pt; font-size:12pt" align=center>$</P>
</TD><TD width=102.667><P style="line-height:14pt; margin:0pt; text-indent:1.9pt; font-size:12pt">146,134,319</P>
</TD><TD width=14.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD width=366.667><P style="line-height:14pt; margin:0pt; padding-left:12.95pt; text-indent:-12.95pt; font-size:12pt">Less adjustment to contract value &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P>
</TD><TD width=22><P style="font-size:2pt">&nbsp;</P></TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=102.667><P style="line-height:14pt; margin:0pt; text-indent:22.9pt; font-size:12pt">220,145</P>
</TD><TD width=14.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD width=366.667><P style="line-height:14pt; margin:0pt; padding-left:12.95pt; text-indent:-12.95pt; font-size:12pt">Net assets available for benefits per the Form 5500</P>
</TD><TD width=22><P style="line-height:14pt; margin:0pt; padding-left:12.95pt; text-indent:-12.95pt; font-size:12pt" align=center>$</P>
</TD><TD style="border-bottom:2pt double #000000" valign=top width=102.667><P style="line-height:14pt; margin:0pt; text-indent:1.9pt; font-size:12pt">145,914,174</P>
</TD><TD width=14.667><P style="font-size:2pt">&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0pt"><BR>
<BR></P>
<P style="margin:0pt" align=center><BR></P>
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<P style="margin:0pt" align=center><BR></P>
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<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-26</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
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<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
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<P style="margin:0pt" align=center><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt" align=center>SUPPLEMENTAL SCHEDULE</P>
<P style="margin:0pt" align=center><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:16pt; margin:0pt; padding-left:144pt; text-indent:36pt" align=right>EIN: 13-1166910</P>
<P style="line-height:14pt; margin:0pt" align=right>Plan No: 007</P>
<P style="margin:0pt" align=center>PHILLIPS-VAN HEUSEN CORPORATION</P>
<P style="margin:0pt" align=center>ASSOCIATES INVESTMENT PLAN FOR SALARIED ASSOCIATES</P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center>SCHEDULE H, LINE 4i--SCHEDULE OF INVESTMENTS HELD AT YEAR END</P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center>For the Year Ended December 31, 2006</P>
<P style="line-height:14pt; margin:0pt" align=justify><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=149.4></TD><TD width=216></TD><TD width=81.9></TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=center><U>Identity of Holder</U></P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=center><U>Description of Investment</U></P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=center><U>Current Value</U></P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Cash</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>$ &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;24,997</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Federated Capital Reserves</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">3.770 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>4</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Cash Management Trust of America</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">1,109,784.090 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>1,109,784</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">SEI Stable Asset Fund; </P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">1,546,011.800 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>1,506,365</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">State Street S&amp;P 500 Index:</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">167,394.624 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>6,313,456</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Wells Fargo Stable Return;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">318,546.585 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>12,553,720</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">American Beacon Large Cap Value;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">709,773.633 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>16,168,643</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Bond Fund of America;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">758,368.144 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>10,101,464</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Dodge &amp; Cox Balanced Fund;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">165,650.583 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>14,424,853</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Growth Fund of America;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">417,983.897 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>13,651,354</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Hartford HLS Small Cap Growth;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">118,493.468 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>2,457,554</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Lazard Funds Emerging Markets;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">0.056 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>1</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Phoenix Real Estate Securities;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">0.030 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>1</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Thornburg International Value;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">526,450.657 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>15,272,333</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Wells Fargo Advantage Small Cap;</P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">329,281.243 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>10,250,525</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:14pt; margin:0pt; font-size:9.5pt">Nationwide Trust Company</P>
</TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Phillip-Van Heusen Corp. Common Stock; </P>
</TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">794,931.627 shares</P>
</TD><TD valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>39,881,720</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=288><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Due to broker</P>
</TD><TD style="border-bottom:0.5pt solid #000000" valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>(9,619)</P>
</TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">Total investments held by </P>
</TD><TD valign=top width=288><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=109.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=199.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt">&nbsp;&nbsp;Nationwide Trust Co., FSB</P>
</TD><TD valign=top width=288><P style="font-size:2pt">&nbsp;</P></TD><TD style="border-bottom:2pt double #000000" valign=top width=109.2><P style="line-height:11.5pt; margin:0pt; padding-right:4.5pt; font-size:9.5pt" align=right>$ 143,707,155</P>
</TD></TR>
</TABLE>
<P style="margin:0pt"><BR>
<BR></P>
<P style="line-height:14pt; margin:0pt" align=center>F-28</P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; page-break-before:always"><BR></P>
<P style="line-height:14pt; margin:0pt"><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<P style="line-height:14pt; margin:0pt; padding-right:-18pt; font-size:12pt" align=center>EXHIBIT INDEX</P>
<P style="margin:0pt" align=center><BR></P>
<P style="margin:0pt" align=center><BR></P>
<TABLE style="font-size:10pt" cellspacing=0><TR><TD width=95.4></TD><TD width=365.4></TD></TR>
<TR><TD valign=top width=127.2><P style="line-height:14pt; margin:0pt; padding-right:-18pt; font-size:12pt" align=center><U>Exhibit No</U>.</P>
</TD><TD valign=top width=487.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=127.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=487.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=127.2><P style="line-height:14pt; margin:0pt; padding-right:-18pt; font-size:12pt" align=center>23.1</P>
</TD><TD valign=top width=487.2><P style="line-height:14pt; margin:0pt; padding-right:-18pt; font-size:12pt">Consent of Independent Auditors (Associates Investment Plan for Hourly Associates)</P>
</TD></TR>
<TR><TD valign=top width=127.2><P style="font-size:2pt">&nbsp;</P></TD><TD valign=top width=487.2><P style="font-size:2pt">&nbsp;</P></TD></TR>
<TR><TD valign=top width=127.2><P style="line-height:14pt; margin:0pt; padding-right:-18pt; font-size:12pt" align=center>23.2</P>
</TD><TD valign=top width=487.2><P style="line-height:14pt; margin:0pt; padding-right:-18pt; font-size:12pt">Consent of Independent Auditors (Associates Investment Plan for Salaried Associates)</P>
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<TYPE>EX-23.1
<SEQUENCE>2
<FILENAME>elevenkexhibit231.htm
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<TITLE>Consent of Independent Registered Public Accounting Firm</TITLE>
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<DIV style="width:432pt"><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><B><U>EXHIBIT 23.1</U></B></P>
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<P style="line-height:14pt; margin:0pt; font-size:12pt">Consent of Independent Registered Public Accounting Firm</P>
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<P style="line-height:14pt; margin:0pt; font-size:12pt">We consent to the incorporation by reference in the Registration Statement (Form S-8 No. 333-14392) pertaining to the Phillips-Van Heusen Corporation Associates Investment Plan for Hourly Associates of our report dated June 22, 2007, with respect to the financial statements of the Phillips-Van Heusen Corporation Associates Investment Plan for Hourly Associates included in this Annual Report (Form 11-K) for the year ended December 31, 2006.</P>
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<P style="line-height:14pt; margin:0pt; font-size:12pt">/S/ SPIELMAN KOENIGSBERG &amp; PARKER, LLP</P>
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<P style="line-height:14pt; margin:0pt; font-size:12pt">June 25, 2007</P>
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<DOCUMENT>
<TYPE>EX-23.2
<SEQUENCE>3
<FILENAME>elevenkexhibit232.htm
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<!doctype html public "-//IETF//DTD HTML//EN">
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<HEAD>
<TITLE>Consent of Independent Registered Public Accounting Firm</TITLE>
<META NAME="author" CONTENT="pvh">
<META NAME="date" CONTENT="06/26/2007">
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<DIV style="width:432pt"><P style="line-height:14pt; margin:0pt; font-size:12pt" align=right><B><U>EXHIBIT 23.2</U></B></P>
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<P style="line-height:14pt; margin:0pt; font-size:12pt">Consent of Independent Registered Public Accounting Firm</P>
<P style="margin:0pt"><BR></P>
<P style="line-height:14pt; margin:0pt; font-size:12pt">We consent to the incorporation by reference in the Registration Statement (Form S-8 No. 333-14392) pertaining to the Phillips-Van Heusen Corporation Associates Investment Plan for Salaried Associates of our report dated June 22, 2007, with respect to the financial statements of the Phillips-Van Heusen Corporation Associates Investment Plan for Salaried Associates included in this Annual Report (Form 11-K) for the year ended December 31, 2006.</P>
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<P style="line-height:14pt; margin:0pt; font-size:12pt">/S/ SPIELMAN KOENIGSBERG &amp; PARKER, LLP</P>
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<P style="line-height:14pt; margin:0pt; font-size:12pt">June 25, 2007</P>
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