Hanesbrands Inc.
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
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ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934 |
For the fiscal year ended December 31, 2007
or
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TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from to
Commission file number: 333-137143
Full title of the plan and the address of the plan, if different from that of the issuer named below:
Hanesbrands Inc. Salaried Retirement Savings Plan of Puerto Rico
Name of issuer of the securities held pursuant to the plan and the address of its principal executive office:
Hanesbrands Inc.
1000 East Hanes Mill Road
Winston-Salem, North Carolina 27105
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TABLE OF CONTENTS |
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FINANCIAL STATEMENTS |
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3 |
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4 |
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5 |
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SUPPLEMENTAL SCHEDULE |
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11 |
Exhibit 23.1 |
Note: Other schedules required by Section 2520.103-10 of the Department of Labors Rules and
Regulations For Reporting and Disclosure under the Employee Retirement Income Security Act of 1974
(ERISA) have been omitted because they are not applicable.
REPORT
OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
Hanesbrands Inc. Employee Benefits Administrative Committee
Hanesbrands Inc. Salaried Retirement Savings Plan of Puerto Rico:
We have audited the accompanying statements of net assets available for benefits of Hanesbrands
Inc. Salaried Retirement Savings Plan of Puerto Rico as of December 31, 2007 and 2006, and the
related statements of changes in net assets available for benefits for the years then ended.
These financial statements are the responsibility of Hanesbrands
Inc.s management. Our responsibility is to express an opinion on these financial statements
based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight
Board (United States). Those standards require that we plan and perform the audits to obtain
reasonable assurance about whether the financial statements are free of material misstatement. The
Plan is not required to have, nor were we engaged to perform an audit of its internal control over
financial reporting. Our audits included consideration of internal control over financial
reporting as a basis for designing audit procedures that are appropriate in the circumstances, but
not for the purpose of expressing an opinion on the effectiveness of the Plans internal control
over financial reporting. Accordingly, we express no such opinion. An audit also includes
examining, on a test basis, evidence supporting the amounts and disclosures in the financial
statements, assessing the accounting principles used and significant estimates made by management,
as well as evaluating the overall financial statement presentation. We believe that our audits
provide a reasonable basis for our opinion.
In our report dated July 2, 2007, we expressed an opinion that the 2006 financial statements fairly
presented the Plans net assets available for benefits, and the changes in the Plans net assets
available for benefits as of and for the year ended December 31, 2006 on the modified cash basis of
accounting, which is a comprehensive basis of accounting other than accounting principles generally
accepted in the United States of America. As described in Note B to the financial statements, the
Plan has changed its method of accounting for these items and restated its 2006 financial
statements to conform with accounting principles generally accepted in the United States of
America. Accordingly, our present opinion on the 2006 financial statements, as presented herein, is
different from that expressed in our previous report.
In our opinion, the financial statements referred to above present fairly, in all material
respects, the net assets available for benefits of the Hanesbrands
Inc. Salaried Retirement Savings Plan of Puerto Rico as of December 31, 2007 and 2006, and
the changes in net assets available for benefits for the years then ended, in conformity with
accounting principles generally accepted in the United States of America.
Our audit was conducted for the purpose of forming an opinion on the basic financial
statements taken as a whole. The supplemental schedule of delinquent deposits of participant
contributions for the year ended December 31, 2007 is presented for purposes of additional
analysis and is not a required part of the basic financial statements, but is supplementary
information required by the Department of Labors Rules and Regulations for Reporting and
Disclosure under the Employee Retirement Income Security Act of 1974. This supplemental
schedule has been subjected to the auditing procedures applied in the audit of the basic
financial statements and, in our opinion, is fairly stated in all material respects in
relation to the basic financial statements taken as a whole.
As discussed in Note A, the Plan adopted Financial Accounting Standards Board Staff Position AAG
INV-1 and SOP 94-4-1, Reporting of Fully Benefit-Responsive Investment Contracts Held by Certain
Investment Companies subject to the AICPA Investment Company Guide and Defined Contribution Health
and Welfare and Pension Plans, as of December 31, 2006.
/s/ Grant
Thornton LLP
Greensboro, North Carolina
June 11, 2008
2
Hanesbrands Inc. Salaried Retirement
Savings Plan of Puerto Rico
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
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December 31, |
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December 31, |
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2007 |
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2006 |
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Assets |
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Investment (Notes B and C) |
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Plan interest in Hanesbrands Inc. Master Investment
Trust for Defined Contribution Plans at fair value |
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$ |
3,993,075 |
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$ |
3,818,039 |
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Receivables |
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Participant contribution receivable |
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16,552 |
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Company-match contribution receivable |
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26,722 |
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87,681 |
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Discretionary Company contribution receivable (Note A) |
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79,762 |
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119,948 |
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106,484 |
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224,181 |
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NET ASSETS AVAILABLE FOR BENEFITS AT FAIR VALUE |
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4,099,559 |
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4,042,220 |
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Adjustment from fair value to contract value for interest in
collective trust relating to fully benefit- responsive
investment contracts (Note A) |
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(22,114 |
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10,763 |
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NET ASSETS AVAILABLE FOR BENEFITS |
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$ |
4,077,445 |
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$ |
4,052,983 |
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The accompanying notes are an integral part of these financial statements.
3
Hanesbrands Inc. Salaried Retirement
Savings Plan of Puerto Rico
STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
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For the Year |
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For the Year |
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Ended |
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Ended |
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December 31, |
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December 31, |
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2007 |
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2006 |
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Additions |
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Contributions |
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Company |
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$ |
180,844 |
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$ |
269,387 |
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Participants |
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154,604 |
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240,732 |
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Plan interest in Hanesbrands
Inc. Master Investment Trust
for Defined Contribution
Plans and Sara Lee
Corporation Master Investment
Trust for Defined Contribution
Plans net investment income
(Note C) |
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191,548 |
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285,327 |
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Total additions |
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526,996 |
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795,446 |
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Deductions |
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Benefits paid to participants |
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502,534 |
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476,725 |
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NET INCREASE |
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24,462 |
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318,721 |
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Net assets available for benefits |
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Beginning of year |
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4,052,983 |
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3,734,262 |
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End of year |
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$ |
4,077,445 |
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$ |
4,052,983 |
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The accompanying notes are an integral part of these financial statements.
4
Hanesbrands Inc. Salaried Retirement
Savings Plan of Puerto Rico
Notes to Financial Statements
December 31, 2007 and 2006
NOTE A DESCRIPTION OF PLAN
The following brief description of the Hanesbrands Inc. Salaried Retirement Savings Plan of Puerto
Rico (the Plan) is provided for general information purposes only. Participants should refer to
the Plan document for a more complete description of the Plans provisions.
Hanesbrands Inc. (Hanesbrands) was spun off from Sara Lee Corporation (Sara Lee) on September
5, 2006. In connection with the spin off, Sara Lee contributed its branded apparel Americas and
Asia business to Hanesbrands and distributed all of the outstanding shares of Hanesbrands common
stock to its stockholders on a pro rata basis. As a result of such distribution, Sara Lee ceased to
own any equity interest in Hanesbrands and Hanesbrands became an independent, separately traded,
publicly held company. Effective as of January 1, 2006, Hanesbrands became the sponsoring employer
of the Plan, and the Plan name was subsequently changed from Sara Lee Corporation Personal Products
Retirement Savings Plan of Puerto Rico to Hanesbrands Inc. Salaried Retirement Savings Plan of
Puerto Rico.
On July 24, 2006, the assets of the Plan were moved from the Sara Lee Corporation Master Investment
Trust for Defined Contribution Plans to the Hanesbrands Inc. Master Investment Trust for Defined
Contribution Plans (the HBI Investment Trust).
During
2006, certain net assets of the Plan were transferred to the Hanesbrands Inc. Hourly Retirement
Savings Plan of Puerto Rico, for the benefit of eligible employees whose employment status changed
such that they were no longer eligible to participate in the Plan. During 2006, the amount
transferred from the Plan was approximately $11,000. There were no such transfers in 2007.
General
The Plan is a defined contribution plan covering eligible salaried employees of participating
divisions and subsidiaries of Hanesbrands (the Company), located in Puerto Rico, who have
attained the age of 21 and completed 90 days of credited service, as defined in the Plan document,
and, prior to July 24, 2006, were not eligible to participate in the Sara Lee Corporation 401(k)
Supplemental Savings Plan; bargaining unit employees are covered, however, only if the applicable
collective bargaining agreement provides for their participation in the Plan. The Plan is subject
to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA), as amended.
During 2007, as part of its consolidation and globalization strategy, Hanesbrands closed certain manufacturing facilities and distribution centers, resulting in the termination of employment of certain Plan participants. These terminations caused the
Plan to experience a partial plan termination event. As a result, those affected participants who were not 100% vested in their benefits and whose employment involuntarily terminated during
2007 for reasons other than employee misconduct became entitled to be fully vested in their Company contributions. In addition, these terminations caused those participants who were not 100%
vested in their benefits and whose employment terminated during 2006 as a result of Hanesbrands consolidation and globalization strategy to become entitled to be fully vested in their Company contributions.
Contributions
Eligible employees can contribute between 1% and 10% of their pre-tax compensation, as defined in
the Plan document, subject to certain limitations under the Internal Revenue Code (IRC) and the
Puerto Rico Internal Revenue Code of 1994 (PRIRC). Although employees were previously permitted
to make after-tax contributions, this is no longer permitted and was not permitted during 2007.
The Company will contribute an amount equal to 100% of the portion of a participants pretax
contributions that does not exceed 2% of a participants eligible compensation subject to certain
limitations defined in the Plan document. The Company may also make a discretionary Company
contribution in the amount of 2% of a participants eligible compensation. For the years ended
December 31, 2007 and 2006, the total discretionary Company contribution was $79,762 and $119,948,
respectively.
Participant Accounts
Individual accounts are maintained for each of the Plans participants to reflect Company
contributions, the participants contributions and any rollover contributions, as well as the
participants related share of the Plans income and losses. Allocations of income and losses are
made within each separate investment fund in proportion to each participants investment in those
funds.
5
Hanesbrands Inc. Salaried Retirement
Savings Plan of Puerto Rico
Notes to Financial Statements
December 31, 2007 and 2006 Continued
Vesting
Participants after-tax, pre-tax, Company matching and rollover contribution accounts are 100%
vested at all times. Vesting in the annual discretionary Company contribution accounts is 100%
after completing three years of service (five years of service for employees terminated prior to
January 1, 2007), or in the case of termination due to death, disability or normal retirement
without regard to years of service.
Investment Options
Participants may direct their total account balances among the various investment options currently
available through the Plan in 10% increments. Participants may change their investment elections
quarterly.
Forfeitures
If a participant terminates employment before his or her annual discretionary Company contribution
account is fully vested, the portion of his or her annual discretionary Company contribution
account which is not fully vested is forfeited. Forfeited balances will be used to reduce future
annual discretionary Company contributions to the extent not used to pay administrative expenses of
the Plan. Forfeited balances as of December 31, 2007 and 2006 were $1,029 and $0, respectively.
For the years ended December 31, 2007 and 2006, no forfeitures were used to offset employer
matching contributions or administrative expenses of the Plan.
Benefit Payments
Upon termination of service due to death, disability, retirement or resignation/dismissal,
distribution of the vested balance in the participants accounts will be made to the participant
or, in the case of the participants death, to his or her beneficiary by a lump-sum payment in cash
(or stock, if elected, for amounts invested in the Hanesbrands Inc. Common Stock Fund).
Withdrawals
Participants may withdraw all or a portion of their vested account balances, provided they have
attained age 59-1/2; participants may also withdraw their after-tax accounts at any time.
Participants who have an immediate and substantial financial need may take a hardship withdrawal
from their accounts, subject to certain limitations defined in the Plan document. No more than two
withdrawals of any type may be made in any calendar year.
New Accounting Pronouncements
As of December 31, 2006, the Plan adopted Financial Accounting Standards Board (FASB) Staff
Position AAG INV-1 and Statement of Position No. 94-4-1, Reporting of Fully Benefit-Responsive
Investment Contracts Held by Certain Investment Companies Subject to the AICPA Investment Company
Guide and Defined-Contribution Health and Welfare and Pension Plans (the FSP). The FSP requires
that the Statements of Net Assets Available for Benefits present the fair value of the Plans
investments as well as the adjustment from fair value to contract value for the fully
benefit-responsive investment contracts. The Statements of Changes in Net Assets Available for
Benefits are prepared on a contract value basis for the fully benefit-responsive investment
contracts.
In September 2006, the FASB issued Statement on Financial Accounting Standards No. 157 (SFAS
157), Fair Value Measurements. SFAS 157 establishes a single authoritative definition of fair
value, sets out a framework for measuring fair value and requires additional disclosures about fair
value measurement. SFAS 157 is effective for financial statements issued for fiscal years beginning
after November 15, 2007. The Company is currently evaluating the impact, if any, SFAS 157 will have
on the Plans financial statements.
NOTE B SUMMARY OF ACCOUNTING POLICIES
Basis of Accounting
The Company elected to change the Plans method of accounting to the accrual basis in accordance
with U.S. generally accepted accounting principles, whereas in all prior years the modified cash
basis was used. The new method of accounting was elected because the prior method, which is a
comprehensive basis of accounting allowable under ERISA, is a basis of accounting other than U.S.
generally accepted accounting principles. The comparative Statement of Net Assets Available for
Benefits as of December 31, 2006 and the comparative Statement of Changes in Net Assets Available
for Benefits for the year ended December 31, 2006 have been adjusted to apply the new method
retroactively. In the Statement of Net Assets Available for Benefits as of December 31, 2006,
total
6
Hanesbrands Inc. Salaried Retirement
Savings Plan of Puerto Rico
Notes to Financial Statements
December 31, 2007 and 2006 Continued
receivables (including participant and Company receivables), and total net assets available for
benefits increased by $224,181 due to the change in accounting principle. In the Statement of
Changes in Net Assets Available for Benefits for the year ended December 31, 2006, total additions
(including participant and Company contributions) increased by $172,181 due to the change in
accounting principle.
Use of Estimates
The preparation of financial statements requires the Plans management to make estimates and
assumptions that affect the reported amounts of assets and liabilities, and changes therein, and
disclosure of contingent assets and liabilities. Actual results could differ from these estimates.
Valuation of Investments
The Plans sole investment is an interest in the HBI Investment Trust. The Plans interest in the
HBI Investment Trust is based on the Plans relative aggregate contributions, benefit payments and
other relevant factors.
The HBI Investment Trusts investments consist of investments in registered investment companies,
corporate common stocks, participant loans, common/collective trusts and investment contracts. Investments in
registered investment companies and corporate common stocks are valued using quoted market prices.
Participant loans are valued at their outstanding balances, which
approximate fair value. Common/collective trusts are valued at fair value of participant units owned by the HBI Investment
Trust based on quoted redemption values. Investment contracts are valued at contract value, as they
are fully benefit-responsive. Contract value represents the principal balance of the underlying
investment contracts, plus accrued interest at the stated contract rates, less withdrawals and
administrative charges by the insurance companies. There are no material reserves against contract
value for credit risk of the contract issuers or otherwise. Under the terms of the contracts, the
crediting interest rates are fixed rates negotiated by the Company with the insurance companies.
The average crediting interest rate of the investment contracts as of December 31, 2007 and 2006
was approximately 5.02% and 5.21%, respectively. The average yield for the investment contracts for
the years ended December 31, 2007 and 2006 was approximately 5.35% and 5.13%, respectively.
Purchases and sales of securities in the HBI Investment Trust are recorded on a trade-date basis.
Interest is recorded in the period earned. Dividends are recorded on the ex-dividend date.
In general, the investments provided by the Plan are exposed to various risks, such as interest
rate, credit and overall market volatility risks. Due to the level of risk associated with certain
investments, it is reasonably possible that changes in the values of investments will occur in the
near term and that such changes could materially affect the amounts reported in the statements of
net assets available for benefits and participants individual account balances.
Administrative Expenses
As permitted by the Plan, all administrative expenses for the years ended December 31, 2007 and
2006 were paid by the Company.
NOTE C PLAN INTEREST IN HBI INVESTMENT TRUST
The Plans investments are in the HBI Investment Trust, which was established for the investment of
assets of the Plan and two other defined contribution plans sponsored by the Company (the
Participating Plans). The interest of each Participating Plan in the HBI Investment Trust is
based on each Participating Plans participants account balances within each investment fund. The
assets of the HBI Investment Trust are held by The Northern Trust Company.
At December 31, 2007 and 2006, the Plans interest in the net assets of the HBI Investment Trust
was approximately 0.70% and 0.76%, respectively. Investment income relating to the HBI Investment
Trust is allocated to the individual plans based on the balances invested by each plan. All
administrative expenses of the Plan for the years ended December 31, 2007 and 2006 were paid by the
Company and were not included in the expenses of the HBI Investment Trust for such periods. As a
result, none of the administrative expenses of the HBI Investment Trust for such periods were allocated
to the Plan.
The Plans interest in the net assets of the HBI Investment Trust is included in the accompanying
Statements of Net Assets Available for Benefits.
7
Hanesbrands Inc. Salaried Retirement
Savings Plan of Puerto Rico
Notes to Financial Statements
December 31, 2007 and 2006 Continued
A summary of the net assets of the HBI Investment Trust as of December 31, 2007 and 2006 is as
follows:
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2007 |
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2006 |
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Investments, at fair value |
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Corporate stocks common |
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$ |
22,742,730 |
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$ |
31,136,725 |
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Investment in common/collective trusts |
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2,580,912 |
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2,101,600 |
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Investment in registered investment companies |
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327,147,627 |
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272,356,469 |
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Participant loans |
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12,376,301 |
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11,303,364 |
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Investment contracts |
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203,994,813 |
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195,079,652 |
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Total investments |
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568,842,383 |
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511,977,810 |
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Receivables |
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13,590,561 |
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21,439,037 |
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Liabilities |
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(196,636 |
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(999,270 |
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Net assets of HBI Investment Trust at fair value |
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582,236,308 |
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532,417,577 |
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Adjustment from fair value to contract value for
interest in collective trust relating to fully
benefit-responsive investment contracts |
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(1,736,018 |
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1,537,565 |
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Net assets of HBI Investment Trust |
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$ |
580,500,290 |
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$ |
533,955,142 |
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For the year ended December 31, 2007 and for the period from July 24, 2006 to December 31, 2006,
net investment income was allocated to all three of the Participating Plans from the HBI Investment
Trust. For the period from January 1, 2006 through July 23, 2006, net investment income was
allocated to two Participating Plans, including the Plan, from the Sara Lee Corporation Master
Investment Trust for Defined Contribution Plans. The aggregate net investment income allocated to
the Participating Plans from the HBI Investment Trust for the year ended December 31, 2007 and from
the HBI Investment Trust and the Sara Lee Corporation Master Investment Trust for Defined
Contribution Plans for the year ended December 31, 2006 is as follows:
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2007 |
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2006 |
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Interest and dividend income |
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$ |
4,737,985 |
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$ |
5,142,490 |
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Net appreciation in fair value of investments |
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Corporate stocks common |
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2,304,458 |
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7,491,208 |
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Investment in common/collective trusts |
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10,316,702 |
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4,228,645 |
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Investment in registered investment companies |
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10,739,593 |
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28,426,184 |
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Net investment income |
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$ |
28,098,738 |
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$ |
45,288,527 |
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At December 31, 2007 and 2006, the HBI Investment Trust held 837,053 shares and 772,091 shares,
respectively, of Hanesbrands common stock. These shares had a fair value of $22,742,730 and
$18,236,790 as of December 31, 2007 and 2006, respectively.
At December 31, 2007 and 2006, the HBI Investment Trust held 0 shares and 757,483 shares,
respectively, of Sara Lee Corporation common stock. These shares had a fair value of $12,899,936 as
of December 31, 2006.
NOTE D PLAN TERMINATION
Although it has not expressed any intent to do so, the Company has the right under the Plan to
discontinue its contributions at any time and to terminate the Plan subject to the provisions of
ERISA. In the event of Plan termination, participants will become fully vested in their accounts.
As described in Note A, a partial plan termination occurred during 2007, as a result of
which certain participants became entitled to be 100% vested in their accounts.
8
Hanesbrands Inc. Salaried Retirement
Savings Plan of Puerto Rico
Notes to Financial Statements
December 31, 2007 and 2006 Continued
NOTE E TAX STATUS
By letter dated September 10, 2003, the Internal Revenue Service (IRS) last determined that the
Plan, which was formerly known as the Sara Lee Corporation Personal Products Retirement Savings
Plan of Puerto Rico, as amended, and trust met the qualification requirements set forth in Sections
401(a) and 501(a) of the IRC. The Company has requested a new
determination letter from the IRS. A response has not been received, although the Plan administrator believes that the Plan has been
operated in compliance with the IRC. As discussed in Note G, Plan management identified certain
non-exempt transactions during 2007 and 2006 and has taken steps to correct these transactions.
Plan management believes that these transactions will not have an effect on the Plans tax status.
NOTE F PARTY-IN-INTEREST TRANSACTIONS
Certain assets of the HBI Investment Trust were invested in investments managed by The Northern
Trust Company (the Trustee of the Plan); therefore, these transactions qualify as
party-in-interest transactions. Fees paid by the plan during 2007 and 2006 for legal, accounting,
and other professional services rendered by parties in interest were based on customary and
reasonable rates for such services. Approximately 3.9% of the HBI Investment Trusts assets as of December 31,
2007 were invested in Hanesbrands common stock, and an aggregate of approximately 5.8% of the
HBI Investment Trusts assets as of December 31, 2006 were invested in Hanesbrands common stock and Sara Lee
Corporation common stock, in each case through participant-directed account balances.
NOTE G NON-EXEMPT TRANSACTIONS
Certain 2007 and 2006 participant contributions were temporarily held by the Company and not
deposited to participant accounts maintained by the Trustee within the timeframe mandated by
Department of Labor regulations. At December 31, 2007 and 2006, there was $4,773 and $14,169,
respectively, of receivables related to these contributions. Prior to June 2008, the Company
contributed all late contributions to the Plan and reimbursed the Plan for interest on the funds
borrowed.
NOTE H RECONCILIATION OF FINANCIAL STATEMENTS TO FORM 5500
The following is a reconciliation of net assets available for benefits per the financial statements
at December 31, 2007 and 2006 to the Form 5500:
|
|
|
|
|
|
|
|
|
|
|
2007 |
|
|
2006 |
|
Net assets available for benefits per the financial statements |
|
$ |
4,077,445 |
|
|
$ |
4,052,983 |
|
Adjustment from contract value to fair value for fully
benefit-responsive investment contracts |
|
|
22,114 |
|
|
|
(10,763 |
) |
Retroactive application of accrual accounting |
|
|
|
|
|
|
(224,181 |
) |
Amounts allocated to withdrawing participants |
|
|
(648,118 |
) |
|
|
(151,732 |
) |
|
|
|
|
|
|
|
Net assets available for benefits per the Form 5500 |
|
$ |
3,451,441 |
|
|
$ |
3,666,307 |
|
|
|
|
|
|
|
|
9
Hanesbrands Inc. Salaried Retirement
Savings Plan of Puerto Rico
Notes to Financial Statements
December 31, 2007 and 2006 Continued
The following is a reconciliation of Company contributions according to the financial statements
for the year ended December 31, 2007 to the Form 5500:
|
|
|
|
|
Company contributions per the financial statements |
|
$ |
180,844 |
|
Company-match contribution receivable at December 31, 2006 |
|
|
87,681 |
|
Discretionary Company contribution receivable at December 31, 2006 |
|
|
119,948 |
|
|
|
|
|
Company contributions per the Form 5500 |
|
$ |
388,473 |
|
|
|
|
|
The following is a reconciliation of participant contributions according to the financial
statements for the year ended December 31, 2007 to the Form 5500:
|
|
|
|
|
Participant contributions per the financial statements |
|
$ |
154,604 |
|
Participant contribution receivable at December 31, 2006 |
|
|
16,552 |
|
|
|
|
|
Participant contributions per the Form 5500 |
|
$ |
171,156 |
|
|
|
|
|
The following is a reconciliation of investment income according to the financial statements for
the year ended December 31, 2007 to the Form 5500:
|
|
|
|
|
Investment income per the financial statements |
|
$ |
191,548 |
|
Adjustment from contract value to fair value for fully benefit-responsive investment contracts |
|
|
32,877 |
|
|
|
|
|
Investment income per the Form 5500 |
|
$ |
224,425 |
|
|
|
|
|
The following is a reconciliation of benefits paid to participants according to the financial
statements for the year ended December 31, 2007 to the Form 5500:
|
|
|
|
|
Benefits paid per the financial statements |
|
$ |
502,534 |
|
Amounts allocated to withdrawing participants at |
|
|
|
|
December 31, 2007 |
|
|
648,118 |
|
December 31, 2006 |
|
|
(151,732 |
) |
|
|
|
|
Benefits paid per the Form 5500 |
|
$ |
998,920 |
|
|
|
|
|
Amounts allocated to withdrawing participants are recorded on the Form 5500 for benefit claims that
have been processed and approved for payment prior to December 31, but not yet paid as of that
date.
NOTE I SUBSEQUENT EVENT
Subsequent to December 31, 2007, the Hanesbrands Inc. Retirement Savings Plan, one of the
Participating Plans, withdrew its entire investment in the HBI Investment Trust and established a
new trust. Following this withdrawal, the Plan and the other Participating Plan continued as
participating plans in the HBI Investment Trust.
10
Hanesbrands Inc. Salaried Retirement
Savings Plan of Puerto Rico
SCHEDULE H, LINE 4a DELINQUENT DEPOSITS OF PARTICIPANT CONTRIBUTIONS
For the year ended December 31, 2007
Name of plan sponsor: Hanesbrands Inc.
Employer identification number: 20-3552316
Three-digit plan number: 004
|
|
|
|
|
Participant contributions of the current Plan year not deposited into the Plan within the time period
described in 29CFR 2510.3-102 |
|
$ |
21,949 |
(1) |
Amount fully corrected under the DOLs Voluntary Fiduciary Correction Program (VFC Program) and PTE
2002-51 |
|
|
|
|
Delinquent deposits of current Plan year participant contributions constituting prohibited transactions |
|
|
25,379 |
(1) |
Delinquent deposits of prior year participant contributions not fully corrected |
|
|
|
|
|
|
|
|
Total delinquent deposits of participant contributions constituting prohibited transactions |
|
$ |
25,379 |
|
|
|
|
|
|
|
|
(1) |
|
This amount has been fully corrected outside the VFC program. |
11
SIGNATURES
The Plan. Pursuant to the requirements of the Securities Exchange Act of 1934, the trustees
(or other persons who administer the employee benefit plan) have duly caused this annual report to
be signed on its behalf by the undersigned hereunto duly authorized.
|
|
|
|
|
Date: June 23, 2008 |
HANESBRANDS INC. SALARIED RETIREMENT
SAVINGS PLAN OF PUERTO RICO
|
|
|
By: |
/s/
Dale W. Boyles |
|
|
|
Dale W. Boyles |
|
|
|
Authorized Member of the Hanesbrands Inc.
Employee Benefits Administrative Committee |
|
INDEX TO EXHIBITS
|
|
|
Exhibit
Number
|
|
Description |
23.1
|
|
Consent of Grant Thornton LLP |