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Innerwear marketer acquires sewing plant in Thailand

Oct '06
Hanesbrands Inc announced that it has entered into a definitive agreement to buy a sewing plant in Chonburi, Thailand.

The Chonburi sewing operation, which now operates as part of Goldindo International (Thailand) Co Ltd, would be Hanesbrands first Asian sewing production facility that is owned by the company. The 93,000-square-foot facility, located 50 miles southeast of Bangkok, has approximately 1,600 employees. It will assemble bras under various company brands, including Hanes, Playtex and Bali, that are sold primarily in the U.S. market.

Terms of the plant purchase will not be made public. Goldindo is a contract supplier to Hanesbrands, and Goldindo's Chonburi plant currently makes bras for Hanesbrands. The purchase is expected to close before the end of November.

“Adding company-owned sewing capability in Asia is a key component of our ongoing efforts to create a low-cost global supply chain,” said Hanesbrands Chief Executive Officer Richard A. Noll.

“We have made significant progress in our multi-year supply chain initiative by driving cost-reduction and flexibility improvements in the Western Hemisphere. We also are moving quickly to develop a greater presence for our supply chain in Asia.”

Hanesbrands sources raw materials and finished products in the emerging Asian market through its sourcing operations based in Hong Kong and with offices in China, India, Indonesia, Thailand and Turkey. Hanesbrands sells apparel products in China, Hong Kong, India, Japan, Korea and the Philippines.

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