Hanesbrands' shares suffered their worst daily drop in almost a decade following a disappointing earnings report and news that the company isn't renewing its contract to sell an exclusive line of Champion activewear to Target.

Hanesbrands fell as much as 19.5 percent in intraday trading Wednesday, its worst drop since it fell 23.9 percent on Dec. 11, 2008 in the middle of the financial crisis. Target was trading down 2.5 percent in the afternoon.

The North Carolina company said it's not renewing a contract with Target to sell its line of C9 by Champion activewear when it expires at the end of January, 2020. Hanesbrands generated around $380 million in sales from its C9 line, and doesn't expect the contract change to affect its Champion projection sales of $2 billion by 2022, the company said in releasing its second-quarter earnings report Wednesday.

"Champion has significant momentum in all geographies globally, and we will continue to focus on growth across our Champion portfolio through expanded geographic penetration, product lines and distribution channels, including online and retail," Hanesbrands Chief Executive Gerald Evans said in a statement Wednesday.

Hanesbrands second-quarter earnings were mixed — missing on analysts' earnings expectations, but beating revenue estimates.

The company said net income slid 17.6 percent to $162.1 million, or 45 cents per share, from $196.7 million, or 53 cents a share during the same quarter last year. Analysts were expecting Hanesbrands to earn 46 cents a share. It generated $1.72 billion in revenue versus $1.71 billion forecast by analysts polled by Thomson Reuters.

Target spokeswoman Jessica Carlson said the company plans to roll out "a new portfolio of performance brands soon."

"Over the last year alone, we've introduced more than a dozen new brands – spanning multiple categories," she said. "Looking ahead, our guests can continue to count on Target when shopping for activewear and sporting goods."