saw this linked on a cycling team's site (Smartwool is a sponsor)
http://www.savethesheep.com/f-smartwool.asp

SmartWool Offers to Pay New Zealand Farmers Millions of Dollars to End Lamb Mutilations This Year

SmartWool Corporation, the single largest branded purchaser of New Zealand merino wool, has recently announced a new sourcing partnership with The New Zealand Merino Company that guarantees a premium of $30 million over seven years for farmers who end the cruel mulesing practice this year. PETA, which first contacted SmartWool about this issue last December, commends SmartWool for its revolutionary decision to help put an end to this cruel practice—well ahead of the industry-proposed deadline of 2010.

Contrary to the Australian wool industry’s claims, mulesing—a gruesome procedure in which farmers use gardening shears to carve skin and flesh from lambs’ upturned, trussed backsides, without using painkillers—is not the most effective way to reduce flystrike. Several humane alternatives currently exist, including breeding for bare-breech sheep who are less susceptible to flystrike.

Join the growing number of compassionate consumers in boycotting cruelty to animals by refusing to buy garments made from Australian merino wool. Order a free “Shopping Guide to Compassionate Clothing” to learn how you can help animals when you shop for clothing.