I never smell any odors on any fabrics or battings.

i always wash and dry all finished quilts, no matter what.

I'd go to the Warm Company's website and leave a note, they have fantastic customer service. I use their poly batting by the roll and I had a roll a couple years ago that had odd thin spots every few feet around the edges. I sent a note and they made it right and then some, they sent me a huge box of batting to make up for the loss and gave me some craft and twin sizes of new battings coming out too. They also had me sent several pictures and sent a prepaid envelope so I could send some of the damaged batting for them to examine. I've gone thru several rolls of their batting and never had it smell, I would definitely let them know about the issue.

I also use Warm and Natural a lot and have never noticed an oder. I haven't purchased any recently (have a pretty large stach) so maybe it is something new that they are doing to it. I agree with Austinite and would definitely let them know of the problem.

I believe it is the drying that causes most of the shrinkage. If you haven't sandwiched it yet, you might try just soaking in the tub and air drying the batting by itself. (for someone who doesn't want the crinkly look, but still wants to wash the quilt before gifting, I have seen it suggested to wash (gently) the batting by itself and dry in the dryer for a little while. I would be very gentle doing it this way, but some folks do it successfully. That way the batting will be preshrunk when you use it, and the quilt will shrink less when all put together and laundered.

Also, I have found that if you iron the quilt after laundering, it helps it get back that crisp new look. Not completely, but maybe enough for your preferences.