Naturally Advanced Technologies and Hanesbrands Inc. Enter Multiphase Joint Development Agreement for Organic-Fiber Commercialization

       -  Jointly developing a processing facility to produce organic
                     apparel-grade fiber in first phase  -
    -  To determine commercialization and marketing plan in second phase  -
    -  Management schedules conference call on Tuesday, August 11, 2009  -

    PORTLAND, OR, Aug. 4 /CNW/ - Naturally Advanced Technologies Inc. (NAT,
OTCBB: NADVF, TSXV: NAT) has entered into a multiphase joint development
agreement with Hanesbrands Inc. (NYSE:   HBI), that will allow Crailar(R)
Organic Fibers technology to be processed for use in commercial apparel knit
products made by Hanesbrands.
    NAT, using technology developed with and licensed from The National
Research Council of Canada (NRC), and Hanesbrands, a leading producer and
marketer of innerwear, outerwear and hosiery apparel, will retrofit existing
dying equipment at a Hanesbrands facility to develop a commercially viable use
of the 100 percent organic fiber.
    "We are eagerly working with NAT to incorporate Crailar Organic Fibers
into our production process," stated Michael Faircloth, Hanesbrands' vice
president of global supply chain support. "Our interest in developing
Crailar's potential for applications in the knit apparel market grew out of
the impressive performance-enhancement characteristics it demonstrates, as
well as the economic and environmental benefits it offers."
    "The agreement with Hanesbrands is a significant step in our plan to
commercialize Crailar Organic Fibers, a technology that employs a 100 percent
organic process that uses hemp as its feedstock," stated Ken Barker, CEO of
NAT. "As previously announced, Crailar Organic Fibers were successfully spun
on existing cotton systems at North Carolina State University in tests that
were sponsored by Hanesbrands. These tests demonstrated the evolution of hemp
fiber from a niche market alternative to a mainstream solution. Now
Hanesbrands is taking action to develop an in-house facility in North Carolina
for processing Crailar Organic Fiber. We are very excited to continue working
with Hanesbrands in this next phase of our partnership, which will include
technology development, marketing initiatives and commercialization planning."

    Phase One: Development
    -  Jointly develop a processing facility to produce organic apparel-grade
       fiber for use in commercial apparel products.
    -  Establish the Technology Development Plan that will specify

    Phase Two: Commercialization
    -  Develop coordinated marketing plan for Crailar.
    -  Determine and execute an integrated commercialization plan that
       maximizes the supply chain.

    The JDA was effective as of June 22nd, 2009 and carries a 30-day
cancellation clause by either party.

    Conference Call

    Management will host a live conference call and interactive webcast
presentation providing a company update on recent corporate developments on
Tuesday, August 11, 2009 at 10:00 a.m. Pacific Time. Ken Barker, chief
executive officer, will deliver a slide presentation followed by an
interactive question and answer session. Event details follow:

    -  To view the slide presentation and participate via the web, you may
       pre-register via the following link:

    -  To participate via telephone, please dial 866-454-4209, or
       913-312-9305 for international callers and mention password
       No. 9484209. We recommend dialing in at least 5-10 minutes before the
       presentation start time.

    -  If you are unable to participate during the live webcast and call, it
       will be available for replay for 90 days at The telephone replay
       will be available until midnight Eastern Time, August 13, 2009 by
       dialing 888-203-1112, or 719-457-0820 for international callers, and
       entering password No. 9484209.

    About Hanesbrands Inc.

    Hanesbrands Inc. is a leading marketer of innerwear, outerwear and
hosiery apparel under strong consumer brands, including Hanes, Champion,
Playtex, Bali, Just My Size, barely there and Wonderbra. The company designs,
manufactures, sources and sells T-shirts, bras, panties, men's underwear,
children's underwear, socks, hosiery, casualwear and activewear. Hanesbrands
has approximately 45,000 employees in more than 25 countries. More information
may be found on the company's Web site at

    About Naturally Advanced Technologies, Inc.

    Naturally Advanced Technologies Inc. is committed to unlocking the
potential of renewable and environmentally sustainable biomass resources from
hemp and other bast fibers. The company, through its wholly owned subsidiary,
Crailar Fiber Technologies Inc., is developing proprietary technologies for
production of bast fibers, cellulose pulp, and their resulting by-products, in
collaboration with Canada's National Research Council and the Alberta Research
Council. Crailar(R) technology offers cost-effective and environmentally
sustainable processing and production of natural, bast fibers such as hemp and
flax, resulting in increased performance characteristics for use in textile,
industrial, energy, medical and composite material applications. The company
was founded in 1998 as a provider of environmentally friendly, socially
responsible clothing and adheres to a "triple bottom line" philosophy,
respecting the human rights of employees, the environmental impact of the
company's operations and fiscal responsibility to its shareholders. See

    Neither the TSX Venture Exchange nor any regulatory authority accepts
    responsibility for the adequacy or accuracy of this news release.

    Forward Looking Statement Disclaimer

    This news release includes certain statements that may be deemed
"forward-looking statements". All statements in this news release, other than
statements of historical facts, are forward-looking statements.
Forward-looking statements or information are subject to a variety of risks
and uncertainties which could cause actual events or results to differ from
those reflected in the forward-looking statements or information and
including, without limitation, risks and uncertainties relating to: any market
interruptions that may delay the trading of the Company's shares,
technological and operational challenges, needs for additional capital,
changes in consumer preferences, market acceptance and technological changes,
dependence on manufacturing and material supplies providers, international
operations, competition, regulatory restrictions and the loss of key
employees. In addition, the Company's business and operations are subject to
the risks set forth in the Company's most recent Form 10-KSB, Form 10-QSB and
other SEC filings which are available through EDGAR at These are
among the primary risks we foresee at the present time. The Company assumes no
obligation to update the forward-looking statements.

For further information:

For further information: Investor Contact: Kirsten Chapman, Cathy
Mattison, Lippert/Heilshorn & Associates, (415) 433-3777,; Media Contacts: Naturally Advanced Technologies,
Adam Handelsman, Lippert/Heilshorn & Associates, (212) 838-3777,; Hanesbrands Inc., Matt Hall, Vice President, External
Communications, (336) 519-3386,

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