Intimate apparel maker Delta Galil Industries Ltd has reported a four per cent slip in fourth quarter sales to $153.5 million, compared to $159.4m in the same period a year earlier.

The Tel Aviv-based company, which supplies to companies including Hugo Boss and Nike, also posted a five per cent fall in net income to $4.7m for the period, down from $4.9m in fourth quarter 2002.

Sales, however, increased two per cent to $580.1m, up from $567.3m in the previous fourth quarter.

CEO Arnon Tiberg said the acquisition of United States-based Auburn Hosiery Mills Inc during the fourth quarter, as well as a management reshuffle, would see Delta post an increase in sales and profitability for fiscal 2004.

"We expect this acquisition to enhance our sock business by adding well-known brand names, enabling penetration into the US mass market in the sock category, and increasing Delta's marketing capabilities in the United States and Europe," he said.

"Furthermore, this acquisition expands our scope of activities with Wal-Mart, Auburn's principal customer."

Management changes at the firm include the promotion of Delta CFO Aviram Lahav to senior vice-president and CEO of Innerwear USA, the promotion of former Innerwear USA CEO Imad Telhami to senior vice-president of European operations, the promotion of Delta controller and company secretary Yossi Hajaj to CFO, and the promotion of assistant controller Miki Laxer to company controller.