#1Delta Apparel, Inc ESTABLISHED 2003 SALT LIFE * FISH DIVE SURF * Live Salty Fireside Chat with Investors January 2021 DTG 2GO READY#2Forward Looking Statements ■ This presentation contains "Forward Looking" statements which reflect the Company's current expectations regarding future events and which involve risks and uncertainties. Although we believe that our expectations are based on reasonable assumptions, actual results could differ materially from those projected in this presentation. ■ Please refer to the written materials made available to you in connection with this presentation as well as the Company's most recent Form 10-K and other SEC filings for a more detailed discussion of some of the risks facing the Company that could affect the forward looking statements in this presentation. ■ Finally, please note that any "Forward Looking" statements are made only as of the date of this presentation and the Company does not commit to update or revise these statements even if it becomes apparent that any projected results will not be realized. Delta Apparel, Inc. Fireside Chat with Investors - January 2021 2#3Delta Apparel: Key Highlights ■Leader in the on-demand, digital print market, revolutionizing the apparel supply chain to consumers ■ Aspirational lifestyle brand, Salt Life, with accelerating direct-to-consumer business ☐ Unique business model as a vertically-integrated apparel supplier with distribution network to service same-day ship at the piece level ■ Technology-driven, supply chain partner providing customized apparel solutions for brands and retailers ■ Diverse sales channels and broad customer base with minimal exposure to traditional department stores Strong balance sheet with solid liquidity and flexible capital structure Delta Apparel, Inc. Fireside Chat with Investors - January 2021 3#4DTG 2 Go DIGITAL PERFECTION Only vertically-integrated supplier of on demand, digitally printed garments in the world Eliminates non-value-added costs Reduces working capital, as leverages existing inventory Proprietary technology managing order flow, quality control and art management, and optimizing speed to consumers Allows rapid scalability of business Leveraging existing, long-lasting relationships with broad base of customers. Trusted partner for apparel needs Largest network of fulfillment facilities, reaching consumers quickly Reduces freight costs Increases customer satisfaction and loyalty Delta Apparel, Inc. Fireside Chat with Investors - January 2021 4#5Digital Print Market Opportunity 2018 ~15 billion impressions Decorated Impressions * 2023 ~25 billion impressions 1% ~$0.5 billion digital print revenue 3% ~$2.5 billion digital print revenue Digital Screen & Others * Grandview Research projects 11% CAGR in global decorated apparel through 2023 Delta Apparel, Inc. Fireside Chat with Investors - January 2021 DTG 2 Go 2028 ~30 billion impressions 6% ~$6.0 billion digital print revenue 5#6On-Demand Retail Supply Chains Brick and Mortar Challenges On demand economy: Keeping up with the ever-changing consumer expectations DTG 2 Go DTG2Go's Solution: On Demand DC Consumer selection: Limitless selections for consumers, including personalization options; never out of stock Merchandise limitations: Balance between selection and excess inventory; working capital requirements Seamless fulfillment: Integrated "On Demand DC" avoids split shipments, reducing freight costs and improving consumer experience Markdowns and excess inventory: Significant lost margins from liquidating excess inventory Broad supply chain: Access to DTG2Go's network of 9 fulfillment facilities; reduces risk in supply chain Delta Apparel, Inc. Fireside Chat with Investors - January 2021 6#7Focus on Unit Growth * (for illustrative purpose only) DTG 2Go Basic Tee * Fashion Tee * Fleece * Print Service $5.00 Print Service $5.00 Print Service $5.00 Blank Sales $2.00 Blank Sales $3.50 Blank Sales $9.00 Total Revenue $7.00 Total Revenue $8.50 Total Revenue $14.00 Production & Overhead $4.00 Production & Overhead $4.00 Production & Overhead $4.00 Blank Cost $2.00 Blank Cost $3.50 Blank Cost $9.00 EBIT $1.00 EBIT $1.00 EBIT $1.00 EBIT % 14% EBIT % 12% EBIT % 7% Delta Apparel, Inc. Fireside Chat with Investors - January 2021 7#8Focus on Delta Garment Utilization DTG 2 GO * (for illustrative purpose only) DELIA EST. 1903 Non-Delta * Delta * Total Revenue $8.50 Total Revenue $8.00 Production & Overhead $4.00 Production & Overhead $3.90 Blank Cost $3.50 Blank Cost $2.75 EBIT $1.00 EBIT $1.35 EBIT % 12% EBIT % 17% Delta Apparel, Inc. Fireside Chat with Investors - January 2021 8#9Delta Garment Utilization DTG2Go Competitive Advantage: Only vertically-integrated digital print supplier in the world, creating seamless supply chain Benefits: ■ Eliminates non-value-added costs ■ Reduces price to our customers 12% 12% % Delta Garments 21% 20% DTG 2 Go 31% 30% 28% 44% 39% ■ Creates a more efficient operation ■ Lowers working capital needs in business FY19 Q1 FY19 Q2 FY19 Q3 FY19 Q4 FY20 Q1 FY20 Q2 FY20 Q3 FY20 Q4 Delta Apparel, Inc. Fireside Chat with Investors - January 2021 60% FY21 Q1 Target 6#10DTG2Go Growth Opportunity Partnership with retailers to bring digital print to market Continued growth in non-holiday business through diversified sales channels Expansion of footprint internationally $15m 9m Delta Apparel, Inc. Fireside Chat with Investors - January 2021 $10m Current DTG 2 Go 30m $56m $38m $27m 15m $18m Near Term Units EBIT EBITDA Target 10#11Silt life. SALT LIFE EST 03 LIVE SALTY#12You Tube f @realsaltlife 55k Tweets 72k Followers @realsaltlife 101k Subscribers 34,925,952 Views @livethesaltlife. 1.2m Page Likes 6,605 Posts Instagram @realsaltlife 307k Followers 7,021 Posts Vitamin Wife seate 0:27/16:08 SHILL PHOTO CREDIT TYLER PEEDIN Favery TUMMERLINS arvar Construction SALT LIFE CIRCA 2003#13Connecting Directly with Consumers % of Sales by Channel Past Sutlife Current Target Retail eCommerce Wholesale Delta Apparel, Inc. Fireside Chat with Investors - January 2021 13#14Direct-to-Consumer Profitability Expansion Siltlife % of Sales by Channel Expectations of Operating Profit eCommerce 20% -22% Retail 10% - 12% Wholesale 8% -10% Past Current Target ~9.5% Operating Profit Delta Apparel, Inc. Fireside Chat with Investors - January 2021 Retail ~10.5% Operating Profit eCommerce Wholesale ~13.5% Operating Profit 14#15Salt Life Growth Opportunity Siltlife ☐ Focus on consumer engagement through digital and social interactions Expansion of Salt Life branded retail in key destination locations; approximately 3 to 4 each year Strategic placements of Salt Life at retail $50m Delta Apparel, Inc. Fireside Chat with Investors - January 2021 $7m $6m $75m $17m $10m Near Term Target Sales EBIT EBITDA 15#16A Activewear: Delta Apparel's Core Base DELTA EST. 1903 an original Penguin Munsingwear SOFFE 15 OUTDOOR CAP. A Delta Apparel Platinum Callaway ✔ BURNSIDE ® Liberty Вадо DRI DUCK DELTA EST. 1903 Only vertically-integrated distributor of activewear apparel and accessories ■ Broad product portfolio ■ Strategic supply chain partner to brands and direct-to-retail ■ Flexible manufacturing platform, both offshore and onshore 20-year history ~5% CAGR sales 10%+ EBITDA margin Delta Apparel, Inc. Fireside Chat with Investors - January 2021 16#17Activewear: Strong Recovery 103% of PY February 80% of PY March Delta Apparel, Inc. Fireside Chat with Investors - January 2021 FY20 Sales as % of FY19 20% of PY 60% of PY 80% of PY DELTA SOFFE EST. 1903 102% of PY April May June Sept QTR (Q4) 17#18Activewear: Strong Recovery Lower finished goods inventory: Down $27 million September 2020 vs September 2019 Average finished goods inventory turns: 2x Quarterly hurdle to growth: $17 million Delta Apparel, Inc. Fireside Chat with Investors - January 2021 102% of PY DELTA SOFFE EST. 1903 75% of PY ~100% of PY FY20 Sept Q4 FY21 Dec Q1 Actual Risk to Sales FY21 Dec Q1 Actual 18#19Activewear Growth Opportunities DELTA EST. 1903 SOFFE New direct-to-retail and eRetailer programs Gross margin expansion through product diversification Expansion of manufacturing platform to record outputs and new product capabilities Soffe brand re-launch with full integration within Activewear eRetailers ~ 20-30% 2 Soffe Brand 25-40% ~ Sourced Brands ~ ~ 20-30% Fashion Basics ~ 15-30% Direct-to-Retail Full Package ~20-25% Core Basics and Direct-to-Brands 10-20% Delta Apparel, Inc. Fireside Chat with Investors - January 2021 Gross Margins 19#20Delta Apparel, Inc. FY20 Sales $381 million 8-10% CAGR Near Term Opportunity $500 million EBITDA $28 million DTG2Go EBITDA % 7% 22-24% Salt Life 14-16% Activewear 10-12% $56 million 11% Net Debt $122 million Free Cash Flow $10-15M $100 million * FY20 results, adjusted for $25M of pre-tax expenses associated with the impacts from the COVID-19 pandemic and primarily related to the curtailment of manufacturing operations ($12M), incremental costs to right size production to new forecasted demand ($3M), increased accounts receivable and inventory reserves related to the heightened risks in the market as the U.S. continued its recovery ($7M), and other expenses ($3M). Delta Apparel, Inc. Fireside Chat with Investors - January 2021 20#21Delta Apparel, Inc ESTABLISHED 2003 Thank You SALT LIFE * FISH DIVE SURF * Live Salty DTG 2GO READY