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Sara Lee Acquires National Textiles, DFK Trading Corp

Sara Lee Branded Apparel, Winston-Salem, N.C., has acquired National Textiles LLC, a Winston-Salem-based vertically integrated yarn and textiles manufacturer; and DFK Trading Corp. Ltd., a sourcing company based in Hong Kong. The acquisitions are part of Sara Lee's strategy to establish a global supply chain.

National Textiles manufactures open-end and ring-spun cotton and blended yarns, as well as finished tubular knit fabrics. The company employs approximately 2,900 people at facilities located in Georgia, Tennessee and Virginia, in addition to North Carolina. Operating as DFK International Ltd., a wholly owned subsidiary of Sara Lee Branded Apparel, DFK will source raw materials in Asia.

Sara Lee Branded Apparel is in the process of separating from Chicago-based Sara Lee Corp. The spin-off is expected to be completed by September 2006.

October 2005