Recognition

Every year in June, Maclean’s magazine presents its inaugural list of Canada’s 50 Best Corporate Citizens. Each of the 50 companies featured on this list is either Canadian-listed or a wholly-owned subsidiary of a foreign-listed company with significant operations or brand presence in Canada. In 2009, 2010 and 2011, Gildan was included in the Top 50 list of Socially Responsible Corporations.

The 50 most Socially Responsible Corporations were selected on the basis of their performance across a broad range of environmental, social and governance indicators tracked by Jantzi-Sustainalytics. Most of the companies rank at the top of their respective peer groups in Jantzi’s Canadian Social Investment Database (CSID) or the databases of its global research partners, having demonstrated strong performance in areas such as environmental management, impact on local or First Nations communities, treatment of employees, and their record on human rights issues.

The following Gildan initiatives were highlighted in the 2009, 2010 and 2011 ranking articles:

• Some 8,000 Central Americans were surveyed to identify their most pressing community needs, allowing to better support economic development in the regions where Gildan operates.
• The only Canadian apparel manufacturer accredited by the Fair Labor Association.
• Implementation of a health and safety scorecard and an ergonomics program at our sewing facilities.
• Development of our own biological system, the Biotop^®, to treat wastewater from our manufacturing processes in Honduras and the Dominican Republic.
• Demonstrated leadership in dealing with the El Progreso closure.
• One of the few Canadian apparel companies that publishes a corporate citizenship report.
• Donation of more than half a million dollars through the Gildan Haiti Relief and Reconstruction Fund.
• Implementation of employee policies, including freedom of association, working conditions and elimination of discrimination.
• Introduction of a labour compliance program accredited by the Fair Labor Association.
• Opening of fully equipped medical clinics at our manufacturing facilities in Central America and the Caribbean Basin.
• Creation of biomass steam generation projects at our textile facilities in the Dominican Republic and Honduras.

Jantzi-Sustainalytics’ process includes a thorough examination of company documents, media sources, online databases, government sources and NGO research, as well as direct correspondence with key stakeholders. Jantzi-Sustainalytics’ analysts use a Best-of-Sector^TM methodology to compare companies within a given peer group to industry best practices. Jantzi-Sustainalytics’ research is used by some of the world’s largest institutional and individual investors who consider environmental, social and governance performance, in addition to financial performance, in the management of their investments. For more information on the rating criteria, visit www.sustainalytics.com.

During the Nicaraguan Business Day’s celebrations organized by the Superior Council of Private Business of Nicaragua (COSEP) and its 19 affiliated chambers and associa­tions, business leaders and other companies are recognized for their contribution to business, economic and social development of the country.

Gildan Nicaragua was recognized as Company of the Year in the manufacturing sector by the Nicaraguan Association of the Textile and Ap­parel Industry (ANITEC). Gildan was selected for its social responsibility projects, the increase in investment and the creation of new employment opportunities in Nicaragua.

In 2011, for the fourth consecutive year, the Foundation for Corporate Social Responsibility in Honduras (Fundación Hondureña de Responsabilidad Social Empresarial - FUNDAHRSE) has awarded Gildan with the FUNDAHRSE Seal (Sello FUNDAHRSE). This recognition is given to companies demonstrating high standards and a strong commitment toward Corporate Social Responsibility (CSR).

Gildan was selected out of many companies in Honduras that were pre-screened and invited to apply for the award. In order to earn this recognition, companies had to respond to an extensive questionnaire of over 200 questions related to environmental practices, employee and community relations, governance, marketing, and purchasing practices. Companies which obtained a rating higher than the standard set by FUNDAHRSE were selected as recipients of the award.

From August 1^st to August 7^th, more than 170 countries celebrate the World Breastfeeding Week, which aims to promote breastfeeding and to improve babies’ health around the world. During that week, Gildan was recognized from the Instituto Hondureño de Seguridad Social (IHSS) for our support to breastfeeding within our Villanueva facility. Gildan’s sewing facilities are equipped with a breastfeeding room within our medical clinics. The medical staff also provides employees with a monthly maternity workshop, which objective is to help our pregnant employees to comply with the mandatory conferences requested by the IHSS.

Our employees can attend these in-house training sessions given by our nurses in only one day and without having to pay additional transportation costs to go to the IHSS offices, where the training is usually provided.

During the fourth quarter of 2011, Gildan was recognized by the Listin Diario, a local Dominican Republic newspaper, for its contribution to education during 2011. The Company donated 500 educational packages that highlighted the use of the newspaper for educational purposes. These educational packages were used during trainings called “Reading and Learning with newspapers” for more than 100 teachers of 18 schools, and 500 students from the community of Guerra.

This initiative is part of a national education program and of Gildan’s support to the teachers from Guerra. This program has been implemented in Dominican Republic for many years now and it is oriented to help students obtain a high quality education in a sustainable manner.

Gildan has ranked in the Top 20 in the “Report on Business” section of the Globe and Mail, one of Canada’s leading national newspapers, for five consecutive years, placing first in 2008. Gildan is now among the rare manufacturing companies to have reached this position from among more than 180 publicly-listed companies (excluding income trusts) listed on the TSX/S&P Composite Index, which is dominated mostly by banks, insurers and other companies long recognized for leading governance practices.

The “Report on Business” rates Canada’s corporate governance practices using a rigorous set of criteria designed to go beyond the minimum mandatory rules imposed by Canadian securities regulators and to include evolving best practices. The ranking considers governance practices in four key areas: board composition, compensation, shareholder rights, and disclosure.

Corporate governance is an important factor in Gildan’s overall success and the Company is proud to have been recognized for its accomplishments over the past years.

In November 2010, Gildan joined Levi Strauss and Co., Wal-Mart Stores, Inc., Gap Inc., and Nordstrom with the highest scores on a unique survey of global supply chain compliance programs of U.S. apparel brands and retailers released by the corporate responsibility group, As You Sow. The survey, "Towards a Safe, Just Workplace: Apparel Supply Chain Compliance Programs", features a scorecard and report that provides, for the first time, publicly available comparable baseline data for the evaluation of compliance programs of top apparel companies doing business in the U.S. The project provides information on the substance and scope of programs developed to improve factory working conditions and ranks the resources allocated and initiatives that companies are employing on key compliance actions such as factory auditing, remediation, continuous improvement, collaboration, company management accountability, and transparency.

On December 10^th 2010, Gildan was one of only four companies, and the only manufacturer, to receive the “Building a Better World” Award, which recognizes organizations promoting policies, initiatives and information campaigns about HIV / AIDS as part of their corporate citizenship platform. The Award is given by the Honduran National Business Council (COHEP) and CHF International, a non-profit organization aiming to be a catalyst for long-lasting positive change in low and moderate income communities, helping them improve their social, economic and environmental conditions.

In 2010 and in 2011, our Honduran facilities participated in an HIV / AIDS awareness and prevention campaign to mark the World AIDS Day, held on December 1^st . During this campaign, which lasted from November 15^th to December 15^th, the Samaritan’s Purse, an international organization providing spiritual and physical aid to hurting people around the world, was invited to speak about HIV / AIDS prevention and offer on-site HIV tests for employees at all of our facilities. The distinctive HIV/AIDS Red Ribbon Lapel Pins were also distributed.

More than 9,000 employees participated in the campaign.

In 2009 and 2010, Gildan was recognized for complying with the environmental guidelines of the National Business Support Network for Protecting the Environment (RENAEPA). RENAEPA recognized Gildan for complying with its guidelines, including compliance with the country’s environmental laws, implementation of clean energy programs and development of training programs promoting environmental preservation at Gildan’s textile facility located in the community of Guerra, in the Dominican Republic. RENAEPA’S primary mission is to promote preservation of the Dominican Republic’s natural resources and environment, via integration of the business sector. More than 85 local and international companies are members of RENAEPA, including multinational companies such as Gildan.

On May 30^th, 2009, Les Affaires business newspaper published its top 20 most responsible companies ranking out of the 120 largest public corporations that have their head office based in the province of Quebec. Gildan made the top five rankings in the following four categories out of a total of six:

• 1^st in Human Rights
• 2^nd in Labour Relations
• 2^nd in Governance
• 3^rd in Ethics and Responsibility

 The practices of the 120 companies were evaluated by Groupe Investissement Responsable, a consulting firm specialized in environmental, social and governance issues.

The “Prix québécois de l’entreprise citoyenne” recognizes the efforts of companies headquartered in the province of Quebec, Canada, that help establish and promote innovative practices in business ethics and sustainable development. The practices of 120 companies were evaluated based on the originality of their actions, any practical and measurable impact they had, and the alignment of these actions with the company’s values, mission and general practices. Gildan was one of three finalists in the Social Responsibility Grand Prize category.

In 2009, Gildan was nominated for the Aurum Award, an annual award granted by the Universidad Tecnologica Centroamericana (Unitec) of Honduras, to ten companies operating in Tegucigalpa and San Pedro Sula. The Aurum Award is granted based on an image-ranking study, where consumers identify companies they admire most. The survey measures product quality, customer service, work environment, and corporate social responsibility policies and programs encompassing environmental and community issues. Unitec’s goal is to motivate local businesses to continue strengthening their CSR policies, on matters such as sound employment practices, environmental and community programs, as well as contributions to the development and growth of Honduras.

In January 2007, Gildan's Board of Directors was awarded with the "Lighthouse" prize for best corporate governance among mid-sized businesses in Quebec, Canada. The Korn/Ferry International prize has been awarded for the past five years to companies that have demonstrated both exceptional financial performance and high corporate governance standards and have distinguished themselves in the areas of ethics, social responsibility and transparency in communications.

Gildan was honoured with a Mercuriade prize in the Social Responsibility and Sustainable Development category at the 26^th Mercuriades held on April 19, 2007 at Montréal's Palais des congrès. The winning companies in nine different categories were revealed at a gala soirée attended by Québec’s Premier as well as 1,000 members of Québec's business community.

The Social Responsibility and Sustainable Development category aims to honour the work of a Québec company that stands out due to its implementation of policies that are in keeping with strong ethics and sound governance. The company must also show that it implements responsible environmental, community and social strategies, and must engage in transparent communications.

The Mercuriades competition is organized by the Fédération des chambres de commerce du Québec (FCCQ) to celebrate Québec business by honouring the successes and achievements of many Québec companies that stand out for their talent, vision and savoir faire.

In 2006, Gildan received the CAFTA Regional Development Award, which honours companies in Honduras which have contributed to the development of the textile industry in Central America. Gildan was the only company in the Honduran textile sector chosen to receive this award, which is also an acknowledgement of Gildan’s innovative spirit and vertical integration of its Honduran-based business. Gildan contributes to the economic development in this country by offering jobs and opportunities to thousands of Hondurans.

Gildan's commitment toward corporate citizenship was recognized in 2003 when Gildan won one of the Canadian Awards for International Cooperation, the Award for Excellence in Corporate Social and Ethical Responsibility, which is sponsored by Nexen Incorporated and given to companies that have directly helped developing countries or countries in transition to progress socially and economically. Recipients for the 11th Canadian Awards for International Cooperation were selected by a eight-member committee representing the Canadian Manufacturers and Exporters, the private sector, the institutional sector, the non-governmental organizations' community and two representatives from the Canadian International Development Agency.