Gildan Activewear Inc. said that it now expects diluted EPS for the third quarter of the fiscal year ended July 3, 2005, to be at least 10% above its most recent guidance of approximately 50 cents per share. The company also now expects diluted EPS of approximately $1.50 per share for the full 2005 fiscal year, before the special charge recorded in the second quarter for the closure of its Canadian yarn-spinning facilities, up from its prior guidance of $1.40 per share.

The increase in projected EPS in the second half of the fiscal year is due to higher than anticipated selling prices, more favorable product-mix and lower manufacturing costs.