Panel quilting machine

A system for quilting fabric materials includes a quilter unit having a reciprocating needle bar with a series of needles spaced therealong and carrying a series of threads for forming quilted patterns in fabric materials passing below the needles. The quilted fabric materials then can be collected on a supply roll or fed to a panel cutter downstream from the quilter unit. The panel cutter can include a panel cutting blade for cutting the quilted material in different panel lengths or sizes, as well as a series of slitting blades that can be moved into engagement with the quilted material for forming strips of the quilted material in desired widths.