Delta Woodside Industries Inc. Financial Information

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- Delta Woodside Industries 

Out of Business

Delta Woodside Industries, Inc. (OTCBB: DLWI), its wholly-owned subsidiary Delta Mills, Inc., and Delta Mills Marketing, Inc., the wholly owned subsidiary of Delta Mills, October 13, 2006 filed voluntary petitions for bankruptcy protection under Chapter 11 of the United States Bankruptcy

The companies intend to proceed immediately after filing the bankruptcy petition with an orderly wind-down of their operations designed to result in liquidation and distribution to creditors.

Delta Woodside Industries was trying to weave its way through the difficult business of textile manufacturing. The company produced woven textile fabrics in its Delta Mills unit, which makes cotton, and wool finished fabrics for use in the production of apparel. Levi Strauss and VF Corporation (owner of brands such as Wrangler and Lee) together accounted for about 10% of the company's sales. Other customers included Liz Claiborne and manufacturers of private-label merchandise for J. C. Penney, Sears, and Wal-Mart. Goods made from its fabrics include Levi's Dockers pants, Haggar's Wrinkle-Free pants, women's apparel, and work uniforms and camouflage fabric for the US military.

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