Lenders extend wind-down funds to Quaker Fabric
July 24, 2007-- Home Textiles Today,
Fall River, Mass. – Upholstery and jacquard fabric manufacturer Quaker Fabric has obtained an agreement with its lender GB Merchant Partners for an “overadvance” of $2.0 million to be used “solely to fund wind-down expenses” under a budget approved by GB, Bank of America, and RAS Management Advisors, a company retained July 9 to consult on the liquidation of assets.
The funds will be subject to the recently announced default interest surcharge as well as an additional “forbearance and funding fee,” the company said in an SEC filing yesterday.
Quaker confirmed it has a total of $34.2 million of loans outstanding under its 2006 agreements with GB, Bank of America, and related lenders.