US: Hanesbrands' Haitian production resuming
Production at Hanesbrands' Haitian contract sewing operations have begun again, following the earthquake that devastated the country on 12 January. The company said the earthquake would not affect its full year targets.
Hanesbrands has also set up a staging operation in the Dominican Republic that is supplying food, water and basic necessities for its Haitian contract workers.
It said that it has donated US$2.2m worth of underwear to be widely distributed to those in need in the country by humanitarian aid agency CARE and Fashion Delivers Charitable Foundation.
Hanesbrands has three primary T-shirt sewing operations in Haiti, and all three have at least partial production back under way.
The company said all of its facilities have been inspected by engineers and have been cleared for resumed production and safe occupancy.
Production at one of the plants located near the Dominican Republic was not affected by the earthquake.
All employees are expected to be back to work by the first week of February.
"With the resumption of production in Haiti, the addition of new contract suppliers, and added production at company-owned plants, Hanesbrands expects full pre-earthquake T-shirt production levels as soon as mid-February," the company said in a statement.
"The production suspension should not have a material impact on sales of the company's underwear T-shirts or casualwear T-shirts sold to the wholesale screen-print industry."
Haiti, Hanesbrands said, accounts for a small percentage of its overall production, and the sewing disruption will not affect the company's goal of increasing sales by 5% in 2010 as a result of retail shelf-space and distribution gains.
"We are very thankful that our major contract partners have the wherewithal to resume production, providing critical jobs for employees who are seeking to recover from the aftermath of the earthquake," said Gerald Evans, Hanesbrands president, international business and global supply chain.
Of the company's three sewing contractors, one of the operations sews underwear T-shirts for retail customers, one produces outerwear T-shirts for the wholesale screen-print imagewear industry, and the third produces both underwear and outerwear T-shirts.
The company also has a fourth T-shirt sewing contractor, located near Port-au-Prince, that produces a small quantity of outerwear T-shirts. It is expected to resume initial production on Monday.
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