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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
March 14, 2006
Date of Report (Date of earliest event reported)
QUAKER FABRIC CORPORATION
(Exact name of registrant as specified in its charter)
Delaware 1 7023 04-1933106
(State of incorporation) (Commission File Number) (I.R.S. Employer
Identification No.)
941 Grinnell Street, Fall River, Massachusetts 02721
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (508) 678-1951
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
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Item 1.01 Entry into a Material Definitive Agreement
On March 14, 2006 Quaker Fabric Corporation of Fall River ("Quaker"), a
wholly-owned subsidiary of Quaker Fabric Corporation (the "Company"), entered
into a purchase and sale agreement with respect to the Company's 53,000 square
foot Plant I manufacturing facility located at 3129 County Street in Somerset,
Massachusetts calling for the sale of this facility to Fred Smith of Cumberland,
Rhode Island (the "Buyer") for $1.75 million (the "P&S").
Selling this facility is consistent with Quaker's overall efforts to reduce
operating expenses by consolidating its Fall River area-based manufacturing
operations into as few plants as possible. The P&S calls for a deposit of
$25,000 and an inspection period that runs through May 1, 2006. During the
inspection period, the Buyer has the right to review title, permitting,
environmental and other due diligence matters related to the property. In the
event the Buyer determines, in his sole discretion and during the inspection
period, that he is dissatisfied with such matters, the Buyer has the right to
terminate the P&S. Closing of this transaction is anticipated no later than July
14, 2006.
The foregoing description of the P&S is qualified in its entirety by reference
to the P&S filed as Exhibit 10.31 to this Form 8-K and incorporated by reference
herein.
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Item 9.01 Financial Statements and Exhibits
(c) Exhibits
10.31 Purchase and Sale Agreement dated March 14, 2006 by and between Quaker
Fabric Corporation of Fall River, as Seller, and Fred Smith of
Cumberland, Rhode Island, as Buyer
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
QUAKER FABRIC CORPORATION
(Registrant)
Date: March 14, 2006 /s/ Paul J. Kelly
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Paul J. Kelly
Vice President - Finance and
Treasurer
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EXHIBIT INDEX
10.31 Purchase and Sale Agreement dated March 14, 2006 by and between Quaker
Fabric Corporation of Fall River, as Seller, and Fred Smith of
Cumberland, Rhode Island, as Buyer
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