An apparatus for forming flanged quilted panels from an infed web of quilted material (18) has a panel cutter (14) which receives the web of quilted material (18) and severs it into discrete quilted panels (16). A flanger (34) integrated with the panel cutter (14) has a table (40) which supports individual panels in a fixed position while a trimming and sewing head (60) is moved around the perimeter of the panel to trim the panel to a desired size and to stitch a flange near the trimmed edge. Because the panel is trimmed prior to stitching, precise alignment of the panel on the table is not required. The flanger (34) may further include a cutting head (72) which is movable relative to the table (40) and enables the flanger (34) to cut very thick quilted material without the need for precise holding and guiding of the material.