Document:

DELTA WOODSIDE INDUSTRIES, INC. & DELTA MILLS, INC.
                    AMENDMENT OF CERTAIN RIGHTS AND BENEFITS
               RELATING TO STOCK OPTIONS AND DEFERRED COMPENSATION

     This Amendment of Certain Rights and Benefits Relating to Stock Options and
Deferred  Compensation  (this "Agreement") is entered into as of the ____ day of
June,  2000 by and between Delta Woodside Industries, Inc. ("DWI"), Delta Mills,
Inc.  ("Delta  Mills")  and  the  undersigned  individual  ("Participant").

WHEREAS,  the  Participant  currently  holds  options  (the  "Stock Options") to
purchase  the  common  stock  of  DWI  and/or  is entitled to accrued but unpaid
benefits  under  the  Delta  Woodside  Group  Deferred Compensation Plan for Key
Managers  (the  "Deferred  Compensation");

WHEREAS,  DWI  proposes  to  consummate  a  corporate  reorganization  (the
"Reorganization")  whereby  DWI  will  distribute to its shareholders all of the
stock  of  Delta  Apparel, Inc. ("Delta Apparel") and Duck Head Apparel Company,
Inc.  ("Duck  Head");

WHEREAS,  to  facilitate  the Reorganization, DWI and Delta Mills desire to have
the  Participant  agree  to  certain  modifications  of the terms and conditions
governing  the  Stock  Options  and  the  Deferred  Compensation;

WHEREAS Participant hereby agrees to such modifications in return for new rights
with  respect  to  the  Stock  Options  and  Deferred  Compensation to which the
Participant  was  not  previously  entitled;

NOW THEREFORE, in consideration of the mutual covenants and representations made
herein,  the  parties  agree  as  follows:

A.  AMENDMENT  OF  STOCK  OPTIONS.
    ------------------------------

1.  VESTING  AND  EXERCISE. Any and all of the Stock Options that were not fully
vested and exercisable immediately prior to the date of this Agreement are fully
vested  and  exercisable  as  of  the  date  of  this  Agreement.

2.  NO  ADJUSTMENT  FOR REORGANIZATION; LOSS OF ABILITY TO RECEIVE DELTA APPAREL
AND DUCK HEAD STOCK. Notwithstanding any stock option grant letter or agreement,
the terms of the Delta Woodside Industries, Inc. Stock Option Plan, or the terms
of  any other agreement or understanding, no adjustment shall be made on account
of  the  Reorganization  to the stock and other property that the Participant is
entitled  to  receive  upon  the  exercise  of a Stock Option. Therefore, if the
Participant  exercises a Stock Option after the record date of  the distribution
                                      -----
by  DWI  to  its  shareholders  of the stock of Delta Apparel and Duck Head (the
"Record  Date"),  the  Participant will not be entitled to receive any shares of
the  common stock of Delta Apparel or Duck Head and shall be entitled to receive
only the same number of shares of common stock of DWI that the Participant would
have  received  if  the  Participant had exercised the Stock Option prior to the
Reorganization.
     Assuming consummation of the Reorganization, if the Participant exercises a
Stock Option on or prior to the Record Date, the Participant will be entitled to
receive  a  distribution  of  Delta Apparel common stock, Duck Head common stock
and/or cash for fractional shares with respect to the shares of DWI common stock
acquired  pursuant  to such exercise on the same terms and conditions applicable
to  all  other  persons  holding  DWI  common  stock  on  the  Record  Date.

<PAGE>
3.  OTHER TERMS REMAIN IN EFFECT. Except to the extent expressly amended by this
Agreement,  the  Stock  Options  shall  remain  subject  to all of the terms and
conditions  applicable  to  them  immediately  prior  to  the  execution of this
Agreement.

B. AMENDMENT OF TERMS APPLICABLE TO DEFERRED COMPENSATION BENEFITS ACCRUED PRIOR
   -----------------------------------------------------------------------------
TO REORGANIZATION
-----------------

1.  ADDITIONAL  TRIGGER EVENT. For purposes of the Delta Woodside Group Deferred
Compensation  Plan  for  Key Managers (the "Plan"), the following described date
shall  constitute  a  Trigger Event under the Plan with respect to Participant's
benefits  accrued under the Plan prior to the effective date (and not the record
date)  of  the  distribution  by  DWI  to its shareholders of the stock of Delta
Apparel  and  Duck  Head  (the  "Reorganization  Date"):

     The last day of a fiscal quarter of Delta Mills if on such date, and on the
last  day  of each of the three immediately preceding fiscal quarters, Available
Cash  is  and  was, as the case may be, less than 150% of the Aggregate Deferred
Compensation  Liability.

     "Available  Cash"  means  Delta  Mills'  cash, cash equivalents and readily
marketable  securities  plus  any funds available to Delta Mills pursuant to any
and  all  existing  credit  facilities, less accrued interest (not including any
amounts  that  represent  Interest Equivalent (as defined in the Plan) under the
Plan).

     "Aggregate  Deferred  Compensation Liability" means the sum of the Lump Sum
Deferral  Account  (as defined in the Plan) and Installment Deferral Account (as
defined  in  the  Plan)  balances  for  all  Plan  participants,  as adjusted in
accordance with Article III of the Plan as of the Adjustment Date (as defined in
the Plan) occurring on, or the last Adjustment Date occurring prior to, the date
of  the  Trigger  Event.

2.  ONE-TIME  CASH  OUT  ELECTION.  Notwithstanding  the  terms  of  the  Plan,
Participant  may  elect to receive a lump sum payment of all or a portion of the
Participant's  vested  benefits  under the Plan accrued as of the Reorganization
Date; provided that (i) such election must be made in writing on a form provided
by  the  Plan  administrative  committee  and  (ii)  such  election form must be
submitted  to  the  administrative  committee  no later than June 12, 2000. Such
lump-sum payment shall be made to the Participant as soon as reasonably feasible
after  the  Reorganization  Date.

3.  ELECTION  TO  CHANGE  PAYMENT METHOD. Notwithstanding the terms of the Plan,
Participant  may  elect  to  change  his  or her method-of-payment election with
respect to all or a portion of the Participant's benefits accrued under the Plan
prior  to  the  Reorganization  Date  and the methods of payment among which the
Participant  may  choose  shall  include  the  lump sum, installment payment and
level-payment  installment  payment  options as described in the Plan as amended
and  restated  effective  on or about the Reorganization Date. I have reviewed a
copy  of the Plan, as amended and restated. Such election must also be made on a
form  provided  by the Plan administrative committee and submitted no later than
June  12,  2000.

4.  RELEASE  OF  OTHER  DWI  COMPANIES  FROM LIABILITY FOR DEFERRED COMPENSATION
BENEFITS.  Participant  releases  any and all natural persons and legal entities
other than DWI and Delta Mills from any and all obligations and liabilities that
currently  exist  or may arise in connection with Participant's benefits accrued
prior  to  the  Reorganization  Date  under the Plan (whether under its terms as
currently  amended or as amended from time to time at any time prior to the date
of  this  Agreement).  DWI and Delta Mills agree to assume all such liabilities.
Participant  understands  that  this release relieves all other DWI subsidiaries
(other  than  Delta Mills) of their current joint and several obligations to pay
all  or  a  portion  of  the  Participant's  benefits  accrued  under  the Plan.

<PAGE>
5.  OTHER  TERMS  REMAIN  IN  EFFECT.  Except  as  such terms and conditions are
expressly  amended  by  this Agreement, Participant's benefits accrued under the
Plan  shall remain subject to all of the terms and conditions applicable to such
benefits  immediately  prior  to  the  execution  of  this  Agreement.

C.  OTHER  TERMS.
    -------------

1.  THIRD-PARTY BENEFICIARIES. The parties to this Agreement specifically intend
for  any  and  all  beneficiaries of the release set forth in Section B.4. to be
third-party  beneficiaries  of  this Agreement, entitled to enforce the terms of
this  Agreement  against  any  party  signing  the  Agreement.

2.  REVIEW  OF  INFORMATION  REGARDING  THE  REORGANIZATION  AND  ITS  EFFECTS.
Participant  acknowledges that (i) Participant has had the opportunity to review
recent  financial  statements  of Delta Woodside Industries, Inc. reflecting the
effects  of  the  spin-off of Delta Apparel, Inc. and Duck Head Apparel Company,
Inc. and (ii) Participant has had the opportunity to ask the management of Delta
Woodside  Industries,  Inc.  and its subsidiaries for any additional information
that Participant desired in order to make a fully informed decision with respect
to  signing  this  Agreement,  exercising  Stock  Options and making the various
elections  permitted  by  this  Agreement with respect to Participant's benefits
under  the  Plan.

3.  NO  REPRESENTATIONS  REGARDING TAX CONSEQUENCES. Neither DWI nor Delta Mills
nor  Delta  Apparel  nor  Duck Head nor any other subsidiary or affiliate of DWI
make  any  representation  as  to the tax consequences to the Participant of any
decision the Participant may make regarding the exercise of any Stock Options or
making  any  of  the  elections  permitted  by  this  Agreement  with respect to
Participant's  benefits  under  the Plan. The Participant understands that he or
she  should  consult  with  the  Participant's  personal  tax  advisor  if  the
Participant  wishes  to  receive any assurances regarding such tax consequences.

4.  ENTIRE  AGREEMENT; AMENDMENT. This Agreement is the entire agreement between
the  parties with respect to the subject matter addressed herein, and supersedes
any  prior or contemporaneous oral or written agreements or understandings. This
Agreement  may  not  be amended except by written amendment duly executed by the
party  against  whom  such  amendment  is  to  be  enforced.

5.  GOVERNING LAW. This Agreement shall be governed by the law of South Carolina
without  regard  to  the  application  of  the  principles of conflicts of laws.

Executed  as  of  the  date  first  above  written.

 DELTA  WOODSIDE  INDUSTRIES,  INC.               DELTA  MILLS,  INC.

By:__________________________________        By:_______________________________
Name:________________________________        Name:_____________________________
Title:_______________________________        Title:____________________________

PARTICIPANT

__________________________________
By:_______________________________

<PAGE>
                                    EXHIBIT A
                       DEFERRED COMPENSATION ELECTION FORM

     This  form  may  be  used  by Participant to make those elections regarding
deferred compensation benefits permitted under Sections B.2 and B.3 of the Delta
Woodside  Industries,  Inc.  & Delta Mills, Inc. Amendment of Certain Rights and
Benefits  Relating to Stock Options and Deferred Compensation (the "Amendment").

Participant's  Name:_____________________         Date:__________________

1. CASH OUT ELECTION. Mark one option. Fill in any required information. If this
form  is returned without any selection being marked, Participant will be deemed
to  have  elected  not  to receive any portion of Participant's accrued deferred
compensation  benefits under the Delta Woodside Group Deferred Compensation Plan
for  Key  Managers  (the  "Plan")

     a. _____ I elect to receive $______________ of my vested benefits under the
Plan.  [Fill  in  the  desired  dollar  amount.  If the amount specified exceeds
Participant's  total vested benefits, Participant will be deemed to have elected
to  receive  the  entire  amount  of  Participant's  vested  benefits.]
     b.  _____  I  elect to receive _______________% of my vested benefits under
the  Plan.  [Fill  in  the  desired  percentage.]
     c.  _____  I  do  not  wish  to  receive  any  of  my  vested  benefits.

2.  ELECTION  TO  CHANGE  PAYMENT  METHOD. Mark one option. Fill in any required
information.  If  this  form  is  returned  without  any selection being marked,
Participant  will  be  deemed  to have elected not to change the form of payment
with  respect  to  any  of  Participant's  benefits.

     a. _____ I elect to change the form(s) in which my benefits will ultimately
be  payable  to  me  in  the  event  that I receive a distribution on account of
retirement,  disability or death. [Fill in percentage of benefits to be paid out
in  each  form  of  payment.]

          (i)   _____% lump sum payment as described in Section 5.1(a)(i) of the
amended  and  restated  Plan.
          (ii)  _____%  installment  payments  as  described  in  Section
5.1(a)(ii)(A)  of  the  amended  and  restated  Plan.
          (iii)  _____%  level-payment  installment  payments  as  described  in
Section  5.1(a)(ii)(B)  of  the  amended  and  restated  Plan.

     b.  _____  I  do  not  wish  to  change  the form(s) of payment that I have
previously  selected.

<PAGE>DIRECTORS  AND  EXECUTIVE  OFFICERS
                         -----------------------------------
                             WHO  SIGNED  EXHIBIT  10.7
------------------------------------------------------------

William  F.  Garrett
William  H.  Hardman,  Jr.
Donald  C.  Walker
Jane  H.  Greer

<PAGE>

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}]]