Quaker Fabric Corp Watch

from 8-K 8 pages Guaranty, Dated as of May 18, 2005, by Quaker Textile Corporation, a Massachusetts Corporation (“Quaker Textile”), Quaker Fabric Mexico, S.A. De C.V. (“Quaker Mexico”), a Mexican Corporation, and Quaker Fabric Corporation, a Delaware Corporation (The “Parent”, and Together With Quaker Textile and Quaker Mexico, the “Guarantors”), in Favor of Bank of America, N.A., as Administrative Agent (Hereinafter, the “Administrative Agent”) for Itself and the Other Lending Institutions (Hereinafter, Collectively the “Lenders”) Which Are or May Become Parties to a Revolving Credit and Term Loan Agreement of Even Date Herewith (The “Credit Agreement”), Among Quaker Fabric Corporation of Fall River (The “Company”), the Parent, the Lenders, the Administrative Agent, Bank of America, N.A., as Issuing Bank, and Fleet National Bank, as Cash Management Bank. Whereas, the Company and the Guarantors Are Members of a Group of Related Corporations, the Success of Any One of Which Is Dependent in Part on the Success of the Other Members of Such Group; Whereas, Each Guarantor Expects to Receive Substantial Direct and Indirect Benefits From the Extensions of Credit to the Company by the Lenders Pursuant to the Credit Agreement (Which Benefits Are Hereby Acknowledged);

from 8-K 124 pages Revolving Credit and Term Loan Agreement Dated as of May 18, 2005 Among Quaker Fabric Corporation of Fall River as Borrower, Bank of America, N.A., and the Other Lending Institutions Listed on Schedule 1 Hereto, Bank of America, N.A. as Administrative Agent and Issuing Bank, Fleet National Bank as Cash Management Bank, With Banc of America Securities LLC as Sole Lead Arranger and Book Manager

from 10-K405 ~50 pages Second Amended and Restated Credit Agreement