A Canadian company that makes T-shirts, underwear, socks and other clothing plans to spend $20 million to expand a distribution center in Eden, N.C.

But the expansion is contingent on Gildan Activewear receiving economic incentives to help offset the cost, said Genevieve Gosselin, a spokeswoman for the Montreal-based company.

She declined to discuss details of potential incentives, but added: "We're very positive that incentives will be approved."

Charles Winkler, a spokesman with the N.C. Department of Commerce, declined to comment on possible incentives for Gildan.

Gildan's plans call for increasing capacity about 40 percent at the 650,000 square-foot facility in Rockingham County, about 100 miles northwest of Raleigh. The operation distributes T-shirts, polo shirts and other products to wholesale customers, and employs about 280 people.

A rug manufacturer about 100 miles northwest of Raleigh last week notified 141 workers that they will be laid off.

Mohawk Industries, based in Calhoun, Ga., blamed the layoffs at its Karastan Rug Mill and Karastan Sevice Center on "the global economic downturn and a dramatic decrease in sales," according to a layoff notice sent last week to the N.C. Department of Commerce.

The facility in Eden employs 326 people. About 185 will remain after the layoff.

Durham News columnist Elizabeth Shestak writes about the Durham dining scene in her monthly column Morsels. She's got a report on the new restaurant Eden, which opened in the space formerly occupied by Starlu, as well as what's going on next month at the Durham Farmers' Market.