Quaker Wins Copyright Suit

September 4, 2002

Fall River, Mass. (USA) Quaker Fabric Corporation reported today that the copyright infringement actions it had filed against several U.S. fabric distributors earlier this year had all been successfully resolved.

"Ours is a fashion business," said Quaker president and CEO Larry Liebenow. "We have a huge investment in the one-of-a-kind copyrighted fabric designs that make up our product line. They give us – and our customers – a competitive advantage. And we are determined to protect our intellectual property rights – in the courts and, with help from the U.S. Customs Service, on the piers – until our message is clearly heard.

''We are not about to let anyone misappropriate our rightful return on the investment we have made in the development of our products – regardless of where they fall in the distribution chain and regardless of where they are sourcing the infringing product they're selling.''

Quaker Fabric Corporation is a leading manufacturer of woven upholstery fabrics for furniture markets in the United States and abroad, and the largest producer of Jacquard upholstery fabric in the world. For the year ended December 29, 2001, Quaker reported net sales of $331.1 million, net income of $9.5 million, and diluted and basic earnings per share of $0.58 and $0.61, respectively.


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