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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
May 16, 2007
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 May 16, 2007 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 186,000 square
foot Plant N facility located at 1450 Brayton Avenue in Fall River,
Massachusetts calling for the sale of this facility to M/K Brayton LLC, Inc., a
Massachusetts limited liability company, (the "Buyer") for $4.3 million (the
"P&S").
Selling this facility is consistent with Quaker's overall restructuring plan
which, inter alia, calls for the sale of all Company-owned real property not
needed to support the Company's operations. The P&S calls for a deposit of
$200,000, which was paid upon execution of the P&S, and a ninety day Inspection
Period, which pursuant to the terms of the P&S, will expire on August 15, 2007.
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 it is dissatisfied with such matters, the Buyer has
the right to terminate the P&S prior to the end of the Inspection Period.
Closing of this transaction is anticipated no later than September 5, 2007.
The foregoing description of the P&S is qualified in its entirety by reference
to the P&S filed as Exhibit 10.47 to this Form 8-K and incorporated by reference
herein.
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Item 9.01 Financial Statements and Exhibits
(c) Exhibits
10.47 Purchase and Sale Agreement dated May 16, 2007 by and between Quaker
Fabric Corporation of Fall River, as Seller, and M/K Brayton LLC, Inc., a
Massachusetts limited liability company, 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: May 16, 2007 /s/ Paul J. Kelly
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Paul J. Kelly
Vice President - Finance and Treasurer
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EXHIBIT INDEX
10.47 Purchase and Sale Agreement dated May 16, 2007 by and between Quaker
Fabric Corporation of Fall River, as Seller, and M/K Brayton LLC, Inc., a
Massachusetts limited liability company, as Buyer
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