Naturally Advanced Technologies Inc. (NAT) has spun hemp yarn and knitted fabric on conventional cotton equipment with no modifications at North Carolina State University using CRAILAR(R) Organic Fibers technology. The trials were sponsored by Hanesbrands Inc.

Tim Pleasants, Spun Yarn Lab Manager, NC State University, said, "We successfully carded and spun a blended CRAILAR yarn on our cotton ring spinning system. The resulting 20/1 Ne* ring spun yarn was knitted into a 5-ounces per square yard jersey fabric. This is the first time in my 23-year yarn spinning career that I have seen hemp processed on conventional cotton spinning equipment."

*Ne (English cotton yarn number) = Number of 840-yard strands per 1 English pound of mass.

"CRAILAR's success on the cotton system elevates hemp fibre from a niche market to the mainstream cotton market through the traditional supply chain, which enables mass production," stated Ken Barker, CEO of NAT. "CRAILAR employs a simple, efficient 100% organic, enzyme bath and scales easily to leverage the global industrial hemp industry. In addition, CRAILAR Organic Fiber will be cost-comparable to organic cotton. Therefore, CRAILAR enables the transformation of hemp into a better sustainable alternative to organic cotton."

About North Carolina State University College of Textiles

The College of Textiles (COT) at North Carolina State University is housed in a new 45 million dollar, 300,000 square foot research and teaching facility on the 1,000 acre Centennial Campus. The building contains a state-of-the-art Model Manufacturing Facility (MMF), consisting of individual laboratories that are capable of all manufacturing operations from spinning fibres to producing the end product.

The MMF is the heart of the Applied Research Program for the College of Textiles as well as being an integral part of the education and basic research programs. The Applied Research Program bridges the gap between the traditional education, research and extension activities of the university and the Fiber-Textile-Apparel industrial complex.

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 fibres. 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 is also a provider of sustainable, environmentally friendly fibers and fabrics through its apparel division HTnaturals. Founded in 1998 in response to the growing demand for environmentally friendly, socially responsible clothing, the Company 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 www.naturallyadvanced.com

Source: Naturally Advanced Technologies Inc.