Delta Galil Industries Ltd (Nasdaq: DELT), the global provider of private label intimate apparel, men's underwear, socks, baby wear and leisurewear, today announced that Scheisser Lifestyle GmbH, the licensor of Hugo Boss Bodywear worldwide, will be expanding its men's underwear line into the US market, using Delta Galil as a key supplier. Hugo Boss Bodywear products will be marketed in the US in 2001.

Dov Lautman, Delta's chairman, commented today: "The expansion of production to the US market will undoubtedly increase revenues for both Hugo Boss Bodywear products and Delta Galil. Delta Galil is the key manufacturer of Scheisser Lifestyle for Hugo Boss Bodywear products in the rest of the world and this is a grand opportunity to increase sales of men's underwear in the US"

Delta Galil is already a leading supplier of men's underwear for DKNY, Gap, Banana Republic, Structure, Polo/Ralph Lauren and Abercrombie and Fitch and provides ladies' intimates and other categories to leading US brands and retailers such as Victoria's Secret, DKNY, Donna Karan, JC Penny, Gap, and Banana Republic. In addition, Delta supplies its products to UK icon, Marks & Spencer, French market leader Carrefour, the Netherlands' Hema. Among the company's other major designer clients are Calvin Klein and Nike.

"Our status as key supplier for Hugo Boss Bodywear and other men's underwear labels reinforces the high level of innovation, quality and service we offer to our customers," added Mr Lautman. "We continue to grow both in category and depth with new and existing customers."

Delta Galil is a leading global manufacturer of boutique-quality apparel for the mass market sold under brands such as Ralph Lauren, Donna Karan, Calvin Klein, Hugo Boss and Nike and sold worldwide through leading retailers including Marks & Spencer, Victoria's Secret, GAP, Banana Republic, and others. Recognized for product innovation and development, Delta is committed to growth through higher margin products, expanding market share and operational efficiencies. For more information, please visit Delta's website at

(This press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are based on the current expectations of the management of DELTA Galil Industries Ltd.. (the Company) only, and are subject to a number of risk factors and uncertainties, including but not limited to changes in technology and market requirements, decline in demand for the company's products, inability to timely develop and introduce new technologies, products and applications, loss of market share, pressure on pricing resulting from competition, inability to maintain certain marketing and distribution arrangements, which could cause the actual results or performance of the company to differ materially from those described therein. For a more detailed description of the risk factors and uncertainties affecting the company, refer to the Company's reports filed from time to time with the Securities and Exchange Commission.)