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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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MIC-Info: RSA-MD5,RSA,
 EhWK+sGwVChN6oYXbpXpbGsAqMJXC4KPfLEJ9DjeUEnz0jSRk9+5e9PkiOOGLEA6
 HX/4lQwy6O4IzFmRX32rwA==

<SEC-DOCUMENT>0001179110-07-010149.txt : 20070515
<SEC-HEADER>0001179110-07-010149.hdr.sgml : 20070515
<ACCEPTANCE-DATETIME>20070515183100
ACCESSION NUMBER:		0001179110-07-010149
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20070511
FILED AS OF DATE:		20070515
DATE AS OF CHANGE:		20070515

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			CARTERS INC
		CENTRAL INDEX KEY:			0001060822
		STANDARD INDUSTRIAL CLASSIFICATION:	APPAREL & OTHER FINISHED PRODS OF FABRICS & SIMILAR MATERIAL [2300]
		IRS NUMBER:				133912933
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	BUSINESS ADDRESS:	
		STREET 1:		THE PROSCENIUM
		STREET 2:		1170 PEACHTREE STREET NE SUITE 900
		CITY:			ATLANTA
		STATE:			GA
		ZIP:			30309
		BUSINESS PHONE:		(404) 745-2700

	MAIL ADDRESS:	
		STREET 1:		THE PROSCENIUM
		STREET 2:		1170 PEACHTREE STREET NE SUITE 900
		CITY:			ATLANTA
		STATE:			GA
		ZIP:			30309

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	CARTER HOLDINGS INC
		DATE OF NAME CHANGE:	19980430

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			WELCH JOHN R
		CENTRAL INDEX KEY:			0001267761

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-31829
		FILM NUMBER:		07855407

	BUSINESS ADDRESS:	
		STREET 1:		32 QUASON LANE
		CITY:			HARWICHPORT
		STATE:			MA
		ZIP:			02110
		BUSINESS PHONE:		5084323898
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>edgar.xml
<DESCRIPTION>FORM 4 -
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0202</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2007-05-11</periodOfReport>

    <notSubjectToSection16>0</notSubjectToSection16>

    <issuer>
        <issuerCik>0001060822</issuerCik>
        <issuerName>CARTERS INC</issuerName>
        <issuerTradingSymbol>CRI</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001267761</rptOwnerCik>
            <rptOwnerName>WELCH JOHN R</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>32 QUASON LANE</rptOwnerStreet1>
            <rptOwnerStreet2></rptOwnerStreet2>
            <rptOwnerCity>HARWICHPORT</rptOwnerCity>
            <rptOwnerState>MA</rptOwnerState>
            <rptOwnerZipCode>02110</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>1</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
            <officerTitle></officerTitle>
            <otherText></otherText>
        </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeTable>
        <nonDerivativeTransaction>
            <securityTitle>
                <value>Common Stock</value>
            </securityTitle>
            <transactionDate>
                <value>2007-05-11</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>A</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>3570</value>
                </transactionShares>
                <transactionPricePerShare>
                    <value>0</value>
                    <footnoteId id="F1"/>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>29296</value>
                    <footnoteId id="F2"/>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>D</value>
                </directOrIndirectOwnership>
            </ownershipNature>
        </nonDerivativeTransaction>
    </nonDerivativeTable>

    <derivativeTable></derivativeTable>

    <footnotes>
        <footnote id="F1">These shares were granted pursuant to the Issuer's Amended and Restated 2003 Equity Incentive Plan as part of Mr. Welch's annual compensation as a Director of the Issuer.</footnote>
        <footnote id="F2">The amount of securities beneficially owned following the transaction reported in this Form 4 reflects a two-for-one stock split effected on June 6, 2006.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>/s/ John R. Welch</signatureName>
        <signatureDate>2007-05-15</signatureDate>
    </ownerSignature>
</ownershipDocument>
</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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