NEW YORK (Standard&Poor's) Jan. 23, 2007--Standard&Poor's Ratings Services said today that its rating and outlook on VF Corp. (A-/Stable/A-2) are not affected by the company's recent announcement. VF Corp. plans to sell its intimate apparel business (which accounted for $800 million, or 12% of sales and 6% operating income) to Fruit of the Loom Inc., a division of Berkshire Hathaway Inc. (AAA/Stable/A-1+), for $350 million cash. Proceeds will be used for share repurchases. Standard&Poor's considers this strategic move as a positive rating factor, since the intimate apparel business has historically been lower margined and has been declining over the past several years. Nevertheless, we expect that VF Corp. will continue to be acquisitive, and
