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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
June 11, 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 June 11, 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 193,000 square
foot Plant J facility located at 81 Ferry Street in Fall River, Massachusetts
calling for the sale of this facility to Nordic Properties, Inc., a
Massachusetts corporation ("Nordic") and Whelan Associates, LLC, a Massachusetts
limited liability company ("Whelan," and together with Nordic, the "Buyer") for
$3.3 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
$150,000, which was paid upon execution of the P&S. A second deposit of $150,000
is payable at the end of the Inspection Period which, pursuant to the terms of
the P&S, will expire on August 3, 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. September 5, 2007 is the agreed-upon Closing Date for this
transaction.
The foregoing description of the P&S is qualified in its entirety by reference
to the P&S filed as Exhibit 10.48 to this Form 8-K and incorporated by reference
herein.
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Item 9.01 Financial Statements and Exhibits
(c) Exhibits
10.48 Purchase and Sale Agreement dated June 4, 2007 by and between Quaker
Fabric Corporation of Fall River ("Quaker"), Nordic Properties, Inc., a
Massachusetts corporation ("Nordic"), and Whelan Associates, LLC, a
Massachusetts limited liability company ("Whelan"), with Nordic and
Whelan, as Buyer, and Quaker, as Seller
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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: June 11, 2007 /s/ Paul J. Kelly
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Paul J. Kelly
Vice President - Finance and Treasurer
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EXHIBIT INDEX
10.48 Purchase and Sale Agreement dated June 4, 2007 by and between Quaker
Fabric Corporation of Fall River ("Quaker"), Nordic Properties, Inc., a
Massachusetts corporation ("Nordic"), and Whelan Associates, LLC, a
Massachusetts limited liability company ("Whelan"), with Nordic and
Whelan, as Buyer, and Quaker, as Seller
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