Martinsville-Henry County Economic Development Corporation

Gildan praised at ceremony

Dec 12, 2007
By DEBBIE HALL - Bulletin Staff Writer. Officials say Gildan Activewear is Martinsville and Henry County’s newest success story.

The company met its $7 million capital investment within 16 months of starting operations in Henry County and plans to exceed its projected 175 employees in three years. So far, it has 140 full-time employees and 100 temporary workers.

On Tuesday, Gildan and area officials cut a ribbon to “inaugurate” the company’s local operation, a distribution center that opened on Joseph Martin Highway in September 2006.

Mark Heath, president and chief executive officer of the Martinsville-Henry County Economic Development Corp., said the Martinsville-Henry County Chamber of Commerce recognized Gildan with the Keystone Award in May for creating the most jobs in the previous calendar year.

Gildan also was Martinsville and Henry County’s largest economic development announcement in 2006, Heath said.

“Since then, the company has been working so hard that all of the players never could find the time to have a shindig to celebrate,” said H.G. Vaughn, chairman of the Henry County Board of Supervisors.

Gildan is the leading supplier of activewear for the wholesale imprinted sportswear market in the United States and Canada, and it is a leading supplier in Europe, according to a company release.

In 2006, Gildan’s sales in the United States were $650 million, “nearly triple U.S. sales eight years ago,” Vaughn said.

When the company made its first public stock offering in 1998, Vaughn said, the shares traded for $1.75 each. On Friday, the stock approached $38 per share.

“I would take that kind of growth any day,” Vaughn said.

Because of similar work-related philosophies, Gildan and the Martinsville-Henry County area “are a perfect fit,” he said. “Work hard, work smart, and good things will happen. ... Gildan has followed this template to great success.”

Martinsville Mayor Kimble Reynolds said Tuesday’s event “serves as proof that a strong international company with a desire to grow and succeed can accomplish that mission right here in this community.”

The company also serves as a shining example of “promises made and promises kept,” he said.

In August 2006, Gildan announced it would consolidate its distribution centers in Danville and Mount Airy, N.C., in the 377,000-square-foot distribution center in the Rich Acres area.

“This new, state-of-the-art distribution center is playing a key role in Gildan’s entry and growth in the retail market as the company’s retail product line composed of socks, underwear and activewear is going through this facility before hitting retailers’ shelves,” said Paul Parker, vice president of distribution.

The company mainly distributed hosiery during its first 16 months of operation in Henry County, but it also sells large quantities of T-shirts, sport shirts and fleece as undecorated “blanks” that are decorated by screen printers with designs and logos, according to the company’s release.

“We look forward to continuing to ramp-up our distribution capacity and continue to enhance the service we provide our retail customers,” Parker said.

Gildan also plans to distribute other products from the local facility, according to Dave Haley, facilities manager.

Haley said Gildan will use the retail relationships it made over the past 16 months here to expand distribution to include fleece, polo shirts and other products.

“We’re not done yet,” Haley said, and the company expects to exceed its projected 27 million dozen units distributed within the next year.

Haley credited the company’s local success to its 140 full-time employees and said Gildan is “very, very thrilled” with the quality of the labor force.

The company also employs about 100 temporary workers, and in the next three years, it plans to meet or exceed its announced 175 employees.

Gildan also is a good corporate citizen, Reynolds said.

Haley said the company has raised more than $24,000 for the local United Way campaign, including more than $10,000 donated by employees, a matching $10,000 from Gildan and a $3,500 contribution from Debbie’s Staffing, a temporary agency used by the company.

Gildan employees also participated in the Toys for Tots campaign and adopted children to help during Christmas, Haley said.