8-K 1 wil338561.txt SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 APRIL 21, 2003 ------------------------------------------------------------ Date of Report (Date of earliest event reported) PRIMARY PDC, INC. -------------------------------------------- (Exact name of registrant as specified in its charter) DELAWARE 1-4085 04-1734655 -------------------------------- ------------------------- --------------- (State or other jurisdiction of (Commission File Number) (I.R.S. Employer incorporation or organization) Identification No.) 1265 MAIN STREET, WALTHAM, MASSACHUSETTS 02451 ------------------------------------------------------------------- (Address of principal executive offices) (Zip Code) 781-386-2000 (Registrant's telephone number, including area code) POLAROID CORPORATION (Former Name or Former Address, if Changed Since Last Report) ITEM 5. OTHER EVENTS As previously reported to the Commission, on October 12, 2001, Polaroid Corporation and its U.S. subsidiaries filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code (the "Code"). The filings were made in the United States Bankruptcy Court for the District of Delaware (the "Court") in Wilmington, Delaware. On April 21, 2003, Primary PDC, Inc., formerly known as Polaroid Corporation (the "Company"), and its U.S. subsidiaries filed a monthly operating report (see Exhibit 99.1 below) for the period from March 3, 2003 through March 30, 2003 with the Court as required by the Code. ITEM 7(C). EXHIBITS Exhibit 99.1 Monthly operating report for the period from March 3, 2003 through March 30, 2003 for the Company and its U.S. subsidiaries. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. PRIMARY PDC, INC. (Registrant) By: \s\ Kevin Pond ------------------------ Kevin Pond President Dated: April 24, 2003 EXHIBIT INDEX Exhibit Number Exhibit 99.1 Monthly operating report for the period from March 3, 2003 through March 30, 2003 for the Company and its U.S. subsidiaries.

Must be completed each month Yes No ---------------------------- --- -- 1. Have any assets been sold or transferred outside the normal course of No business this reporting period? If yes, provide an explanation below. 2. Have any funds been disbursed from any account other than a debtor in No possession account this reporting period? If yes, provide an explanation below. Note: All cash disbursements for the month of December 2002 were made in the Polaroid Corporation (renamed Primary PDC, Inc.) entity. No other cash disbursements were made in December 2002 by the other Debtor companies. 3. Have all postpetition tax returns been timely filed? If no, provide an Yes (A) explanation below. (A) As previously reported in the December 2001 report to the Bankruptcy Court, Primary PDC, Inc. (formerly Polaroid Corporation), with the approval of the Court, sold its large government identification business assets to Digimarc Corporation ("Digimarc"). In three states where the assets that were sold are located, Primary PDC, Inc. could be subject to a sales tax on the net book value of the assets. Digimarc has stated that they have applied to these three states to be a reseller of ID assets to a wholly owned LLC. If so, the three states would issue a resale certificate to Digimarc and they would send a copy of this certificate to Primary PDC, Inc. who would not have to pay a sales tax on the sale. As of the date of this report, Primary PDC, Inc. has not received any resale certificates from Digimarc. However, Digimarc has applied for them. Primary PDC, Inc. has filed the state sales tax returns for the period in question without remitting sales tax to the three states. Primary PDC, Inc. expects that this issue will be resolved shortly. If the states in question deny resale status to Digimarc, Primary PDC, Inc. would owe the three states approximately $600,000 plus interest. Although Primary PDC, Inc. believes such an outcome would be unlikely, Primary PDC, Inc. has sufficient cash to cover any adverse conclusion on this matter. 4. Are workers compensation, general liability and other necessary insurance Yes coverages in effect? If no, provide an explanation below.

POLAROID CORPORATION Exhibit A PROFESSIONAL FEE PAYMENT SUMMARY PROFESSIONAL VENDOR Nov, 2001 Dec, 2001 Jan, 2002 Feb, 2002 Mar, 2002 ------------------- --------- --------- --------- --------- --------- Skadden, Arps, Slate, Meagher & Flom (Illinois) $965,791 Zolfo Cooper, LLC 340,166 225,000 KPMG LLP Bingham Dana LLP Dresdner Kleinwort Wasserstein, Inc. 335,796 Miller, Buckfire, Lewis Donlin, Recano & Company, Inc. 19,500 85,611 25,000 Akin, Gump, Strauss, Hauer & Feld, L..L..P. Young Conaway Stargatt & Taylor LLP Houlihan Lokey Howard & Zukin Financial Advisors, Inc. 351,399 Groom Law Group McShane Greenberg Traurig LLP Buck Consultants Wind Down Associates, LLC --------------------------------------------------------------- TOTAL PROFESSIONAL VENDOR $19,500 $0 $0 $777,176 $1,551,587 --------------------------------------------------------------- --------------------------------------------------------------- TOTAL ORDINARY COURSE PROFESSIONAL VENDOR $0 $0 $8,400 $0 $0 --------------------------------------------------------------- --------------------------------------------------------------- TOTAL ALL PROFESSIONALS $19,500 $0 $8,400 $777,176 $1,551,587 =============================================================== [Table Continued] PROFESSIONAL VENDOR Apr, 2002 May, 2002 June, 2002 July, 2002 August, 2002 ------------------- --------- --------- ---------- ---------- ------------ Skadden, Arps, Slate, Meagher & Flom (Illinois) $552,209 $1,049,686 Zolfo Cooper, LLC 304,000 286,000 547,000 256,834 263,542 KPMG LLP 320,269 14,953 86,663 Bingham Dana LLP Dresdner Kleinwort Wasserstein, Inc. 711,204 Miller, Buckfire, Lewis Donlin, Recano & Company, Inc. 30,000 55,000 98,000 118,285 Akin, Gump, Strauss, Hauer & Feld, L..L..P. 264,468 324,000 214,532 111,431 Young Conaway Stargatt & Taylor LLP 0 Houlihan Lokey Howard & Zukin Financial Advisors, Inc. 130,000 125,000 130,000 378,601 Groom Law Group 200,000 McShane 9,666 20,479 4,966 Greenberg Traurig LLP Buck Consultants Wind Down Associates, LLC ----------------------------------------------------------------- TOTAL PROFESSIONAL VENDOR $738,134 $806,748 $1,313,953 $2,113,380 $1,634,573 ----------------------------------------------------------------- ----------------------------------------------------------------- TOTAL ORDINARY COURSE PROFESSIONAL VENDOR $0 $12,768 $0 $0 $40,906 ----------------------------------------------------------------- ----------------------------------------------------------------- TOTAL ALL PROFESSIONALS $738,134 $819,516 $1,313,953 $2,113,380 $1,675,479 ================================================================= [Table Continued] PROFESSIONAL VENDOR Sept, 2002 Oct, 2002 Nov, 2002 Dec, 2002 ------------------- ---------- --------- --------- --------- Skadden, Arps, Slate, Meagher & Flom (Illinois) $1,795,123 $357,703 $77,647 Zolfo Cooper, LLC 231,683 502,971 192,769 KPMG LLP 225,536 31,800 Bingham Dana LLP 11,629 Dresdner Kleinwort Wasserstein, Inc. Miller, Buckfire, Lewis 481,767 Donlin, Recano & Company, Inc. 24,558 16,904 44,587 17,398 Akin, Gump, Strauss, Hauer & Feld, L..L..P. 387,916 416,558 140,135 194,866 Young Conaway Stargatt & Taylor LLP 54,253 Houlihan Lokey Howard & Zukin Financial Advisors, Inc. 233,343 509,600 Groom Law Group 27,510 63,644 McShane 2,989 12,296 8,140 Greenberg Traurig LLP Buck Consultants 13,884 41,136 3,312 7,314 Wind Down Associates, LLC 29,096 ------------------------------------------------------- TOTAL PROFESSIONAL VENDOR $688,540 $3,855,160 $738,506 $875,861 ------------------------------------------------------- ------------------------------------------------------- TOTAL ORDINARY COURSE PROFESSIONAL VENDOR $91,785 $81,133 $16,407 $53,888 ------------------------------------------------------- ------------------------------------------------------- TOTAL ALL PROFESSIONALS $780,325 $3,936,293 $754,913 $929,749 =======================================================

Beginning Transfers Ending Book In/ Book Reconciling Bank Account Name Account # Balance Receipts (Out) Disbursements Balance Items Balance ------------ --------- ------- -------- ----- ------------- ------- ----- ------- Bank of New York 6903534891/ $9,071,298.64 76001691637 Cash Receipts: ------------- Account transfer Tax/ escrow refunds $13,225.09 Interest $5,233.09 Other recoveries Cash Disbursements: ------------------ Professional fee payments (See Exhibit A) $929,748.73 Management and transitional services $22,487.27 Other payments made pursuant to an order of the Court All other costs $1,050.00 -------------- ----------- ------- ----------- ------------- ----------- -------------- Account subtotal at 12/31/02 $ 9,071,298.64 $ 18,458.18 $0.00 $953,286.00 $8,136,470.82 $127,034.32 $8,263,505.14 JP Morgan Chase 507-895053 $ 4,026,635.80 Tax Escrow Account Cash Receipts: ------------- Interest $ 2,525.20 Cash Disbursements: ------------------ Account transfer Tax payments -------------- ----------- ------- ----------- ------------- ----------- -------------- Account subtotal at 12/31/02 $ 4,026,635.80 $ 2,525.20 $0.00 $0.00 $ 4,029,161.00 $0.00 $4,029,161.00 -------------- ----------- ------- ----------- ------------- ----------- -------------- Balance at December 31, 2002 $13,097,934.44 $20,983.38 $0.00 $953,286.00 $12,165,631.82 $127,034.32 $12,292,666.14 ============== =========== ======= ============ ============== =========== ==============

[logo] JPMorganChase November 30, 2002-December 31, 2002 Page 1 of 1 507 000 T5 POLAROID-DEP IMAGING CORPORATION PRIMARY PDC, INC. BUSINESS STATEMENT C/O POLAROID C0RP/ATTN: CEO Customer Service 784 MEMORIAL DRIVE If there are any questions CAMBRIDGE MA 02139 regarding your account, please call your Relationship Manager. Primary Account Number 507-895053 Number of Checks Enclosed: 0 Money Market Account 507-895053 POLAROID - OEP IMAGING CORPORATION ======================================================================================================= Summary Number Amount Opening Balance $4,026,635.80 ..................................................................................................... Deposits and Credits 1 $2,525.20 ..................................................................................................... Withdrawals and Debits $0.00 ..................................................................................................... Checks Paid $0.00 ..................................................................................................... Ending Balance $4,029,161.00 ..................................................................................................... Average Balance $4,026,635.87 ..................................................................................................... Interest Paid for 31 Day(s) $2,525.20 Interest Credited Year to Date $30,270.33 Interest Rate(s): 12/23 to 12/23 at 0.78% 12/24 to 12/25 at 0.65% 12/26 to 12/26 at 0.78% 12/27 to 12/29 at 0.70% 12/30 to 12/30 at 0.73% 12/31 to 12/31 at 0.66% ======================================================================================================= Deposits and Date Description Amount Credits ..................................................................................... 12/31 Interest Paid $2,525.20 ..................................................................................... Total $2,525.20 ======================================================================================================= Daily Balance Date Balance Date Balance Date Balance .............................. ................. ....................... 12/31 $4,029,161.00

ASSETS ------ TOTAL CASH 12,165,632 NET RECEIVABLES - THIRD PARTY 285,000 NET RECEIVABLES - INTERCOMPANY - NET INVENTORIES - TOTAL PREPAID EXPENSES - -------------------- TOTAL CURRENT ASSETS 12,450,632 -------------------- NET FIXED ASSETS - INVESTMENT IN DEBTOR SUBSIDIARY COMPANI - OTHER NONCURRENT ASSETS 462,226 TOTAL NON-CURRENT ASSETS 462,226 -------------------- TOTAL ASSETS 12,912,858 ==================== LIABILITIES ----------- POST-PETITION NOTES - POST-PETITION PAYABLES - THIRD PARTY 960,129 POST-PETITION PAYABLES - INTERCOMPANY - TOTAL POST-PETITION ACCRUALS 795,478 -------------------- TOTAL POST-PETITION CURRENT LIABILITIES 1,755,607 TOTAL POST-PETITION NON-CURRENT LIABILITI - TOTAL PREPETITION LIABILITIES 860,978,847 -------------------- TOTAL LIABILITIES 862,734,454 TOTAL SHAREHOLDER'S EQUITY / (DEFICIT) (849,821,596) -------------------- TOTAL LIABILITIES & EQUITY / (DEFICIT) 12,912,858 ====================

Polaroid Polaroid Inner Polaroid Digital Polaroid Polaroid Latin Asia City, Eyewear, Solutions, Corporation America Corp. Pacific Ltd. Inc. Inc. Inc. ----------- ------------- ------------ ------- --------- ---------- ASSETS ------ TOTAL CASH 12,165,632 - - - - - NET RECEIVABLES - THIRD PARTY 285,000 - - - - - NET RECEIVABLES - INTERCOMPANY - - - - - - NET INVENTORIES - - - - - - TOTAL PREPAID EXPENSES - - - - - - ------------------------------------------------------------------------------------ TOTAL CURRENT ASSETS 12,450,632 - - - - - ------------------------------------------------------------------------------------ NET FIXED ASSETS - - - - - - INVESTMENT IN DEBTOR 78,611,939 - - - - - SUBSIDIARY COMPANI OTHER NONCURRENT ASSETS 462,226 - - - - - TOTAL NON-CURRENT ASSETS 79,074,165 - - - - - ------------------------------------------------------------------------------------ TOTAL ASSETS 91,524,797 - - - - - ==================================================================================== LIABILITIES ----------- POST-PETITION NOTES - - - - - - POST-PETITION PAYABLES - THIRD PARTY 960,129 - - - - - POST-PETITION PAYABLES - INTERCOMPANY - - - - - - TOTAL POST-PETITION ACCRUALS 795,478 - - - - - ------------------------------------------------------------------------------------ TOTAL POST-PETITION CURRENT LIABILITIES 1,755,607 - - - - - TOTAL POST-PETITION - - - - - - NON-CURRENT LIABILITI TOTAL PREPETITION LIABILITIES 859,600,046 202,165 64,705 77,106 - - ------------------------------------------------------------------------------------ TOTAL LIABILITIES 861,355,653 202,165 64,705 77,106 - - TOTAL SHAREHOLDER'S EQUITY / (DEFICIT) (769,830,856) (202,165) (64,705) (77,106) - - ------------------------------------------------------------------------------------ TOTAL LIABILITIES & EQUITY / (DEFICIT) 91,524,797 0 - - - - ==================================================================================== [TABLE CONTINUED] Polaroid Polaroid Sub Debt PRD PRD Polaroid ID Malaysia, Partners Investment, Capital, Memorial Systems, Inc. Ltd. Corp. Inc. Inc. Drive LLC ------------- --------- -------- ---------- --------- --------- ASSETS ------ TOTAL CASH - - - - - - NET RECEIVABLES - THIRD PARTY - - - - - - NET RECEIVABLES - INTERCOMPANY - - - - - - NET INVENTORIES - - - - - - TOTAL PREPAID EXPENSES - - - - - - ------------------------------------------------------------------------------------- TOTAL CURRENT ASSETS - - - - - - ------------------------------------------------------------------------------------- NET FIXED ASSETS - - - - - - INVESTMENT IN DEBTOR - - - - - - SUBSIDIARY COMPANIES OTHER NONCURRENT ASSETS - - - - - - TOTAL NON-CURRENT ASSETS - - - - - - ------------------------------------------------------------------------------------- TOTAL ASSETS - - - - - - ===================================================================================== LIABILITIES ----------- POST-PETITION NOTES - - - - - - POST-PETITION PAYABLES - THIRD PARTY - - - - - - POST-PETITION PAYABLES - INTERCOMPANY - - - - - - TOTAL POST-PETITION ACCRUALS - - - - - - ------------------------------------------------------------------------------------- TOTAL POST-PETITION CURRENT LIABILITIES - - - - - - TOTAL POST-PETITION NON-CURRENT LIABILITIES - - - - - - TOTAL PREPETITION LIABILITIES 828,812 199,078 673 - - - ------------------------------------------------------------------------------------- TOTAL LIABILITIES 828,812 199,078 673 - - - TOTAL SHAREHOLDER'S EQUITY / (DEFICIT) (828,812) (199,078) (673) - - - ------------------------------------------------------------------------------------- TOTAL LIABILITIES & EQUITY / (DEFICIT) - - - - - - ===================================================================================== [TABLE CONTINUED] Polaroid Asia Pacific International Mag Polaroid Polint, International, PMC Polaroid Media, Partners, Inc. Inc. Inc. Inc. Corp. Limited -------------- -------- -------------- ------- ------------- -------- ASSETS ------ TOTAL CASH - - - - - - NET RECEIVABLES - THIRD PARTY - - - - - - NET RECEIVABLES - INTERCOMPANY - - - - - - NET INVENTORIES - - - - - - TOTAL PREPAID EXPENSES - - - - - - ------------------------------------------------------------------------------- TOTAL CURRENT ASSETS - - - - - - ------------------------------------------------------------------------------- NET FIXED ASSETS - - - - - - INVESTMENT IN DEBTOR - - - - - - SUBSIDIARY COMPANI OTHER NONCURRENT ASSETS - - - - - - TOTAL NON-CURRENT ASSETS - - - - - - ------------------------------------------------------------------------------- TOTAL ASSETS - - - - - - =============================================================================== LIABILITIES ----------- POST-PETITION NOTES - - - - - - POST-PETITION PAYABLES - THIRD PARTY - - - - - - POST-PETITION PAYABLES - INTERCOMPANY - - - - - - TOTAL POST-PETITION ACCRUALS - - - - - - ------------------------------------------------------------------------------- TOTAL POST-PETITION - - - - - - CURRENT LIABILITI TOTAL POST-PETITION - - - - - - NON-CURRENT LIABILITIES TOTAL PREPETITION LIABILITIES - - 6,034 228 - - ------------------------------------------------------------------------------- TOTAL LIABILITIES - - 6,034 228 - - TOTAL SHAREHOLDER'S - - (6,034) (228) - - EQUITY / (DEFICIT) ------------------------------------------------------------------------------- TOTAL LIABILITIES & - - - - - - EQUITY / (DEFICIT) =============================================================================== [TABLE CONTINUED] Polaroid Polaroid Polaroid Dry Online Eyewear Imaging Services, US Far East Inc. LLC Inc. Subtotal Adjustments Eliminations Total ------------- --------- --------- -------- ----------- ------------ --------- ASSETS ------ TOTAL CASH - - - 12,165,632 - - 12,165,632 NET RECEIVABLES - THIRD PARTY - - - 285,000 - - 285,000 NET RECEIVABLES - INTERCOMPANY - - - - - - - NET INVENTORIES - - - - - - - TOTAL PREPAID EXPENSES - - - - - - - -------------------------------------------------------------------------------------------- TOTAL CURRENT ASSETS - - - 12,450,632 - - 12,450,632 -------------------------------------------------------------------------------------------- NET FIXED ASSETS - - - - - - - INVESTMENT IN DEBTOR - - - 78,611,939 (78,461,939) (150,000) (0) SUBSIDIARY COMPANI OTHER NONCURRENT ASSETS - - - 462,226 - - 462,226 TOTAL NON-CURRENT ASSETS - - - 79,074,165 (78,461,939) (150,000) 462,226 -------------------------------------------------------------------------------------------- TOTAL ASSETS - - - 91,524,797 (78,461,939) (150,000) 12,912,858 ============================================================================================ LIABILITIES POST-PETITION NOTES - - - - - - - POST-PETITION PAYABLES - THIRD PARTY - - - 960,129 - - 960,129 POST-PETITION PAYABLES - INTERCOMPANY - - - - - - - TOTAL POST-PETITION ACCRUALS - - - 795,478 - - 795,478 -------------------------------------------------------------------------------------------- TOTAL POST-PETITION - - - 1,755,607 - - 1,755,607 CURRENT LIABILITIES TOTAL POST-PETITION - - - - - - - NON-CURRENT LIABILITIES TOTAL PREPETITION LIABILITIES - - - 860,978,847 - - 860,978,847 -------------------------------------------------------------------------------------------- TOTAL LIABILITIES - - - 862,734,454 - - 862,734,454 TOTAL SHAREHOLDER'S EQUITY / (DEFICIT) - - - (771,209,657) (78,461,939) (150,000) (849,821,596) -------------------------------------------------------------------------------------------- TOTAL LIABILITIES & EQUITY / (DEFICIT) - - - 91,524,797 (78,461,939) (150,000) 12,912,858 ============================================================================================

POLAROID CORPORATION AND DEBTOR SUBSIDIARY COMPANIES Schedule of Pre-petition Liabilities As of December 31, 2002 (in U.S. $'s) Polaroid Polaroid Polaroid Latin Asia Inner Polaroid Digital Polaroid America Pacific City, Eyewear, Solutions, Corporation Corp. Ltd. Inc. Inc. Inc. -------------------------------------------------------------------------------------- CURRENT LIABILITIES ------------------- Pre-Petition Notes: Bank Notes 17,858,030 - - - - - Non-Interest Overdrafts - - - - - - Current Long-Term Debt 573,900,990 - - - - - ------------------------------------------------------------------------------------- PRE-PETITION NOTES 591,759,019 - - - - - Pre-Petition Payables Trade Accounts Payable 58,663,695 162,520 - 77,106 - - Interco Payables-US to Foreign - - - - - - Interco Payables-Foreign to US - - - - - - Interco Payables-Domestic Subs - - - - - - Interco Payables-Foreign Subs - - - - - - ------------------------------------------------------------------------------------- TOTAL PRE-PETITION PAYABLES 58,663,695 162,520 - 77,106 - - Pre-Petition Accruals: Reserve Restructuring 11,452,323 - - - - - Accrued Payroll & Related Expenses 8,692,842 - 64,705 - - - Accrued Tax & Gov't Accounts - - - - - - Accrued Income Taxes (17,456) - - - - - Deferred Income Tax - Current - - - - - - Accrued Warranty - - - - - - Other Accrued Liabilities 48,992,819 31,007 - - - - Post-Retirement Medical - - - - - - Post-Employment Benefits - - - - - - Other Accrued Taxes 11,984,603 - - - - - ------------------------------------------------------------------------------------- TOTAL PRE-PETITION ACCRUALS 81,105,132 31,007 64,705 - - - ------------------------------------------------------------------------------------- TOTAL PRE-PETITION 731,527,846 193,527 64,705 77,106 - - CURRENT LIABILITIES ------------------------------------------------------------------------------------- NON-CURRENT LIABILITIES ----------------------- Pre-Petition Non-Current Liabilities: Post-Retirement Medical - - - - - - Post-Employment Benefits 31,510,165 - - - - - Long-Term Debt - - - - - - Deferred Taxes 1,891,782 8,639 - - - - Other 94,670,253 - - - - - ------------------------------------------------------------------------------------- TOTAL PRE-PETITION NON-CURRENT LIABILITIES 128,072,199 8,639 - - - - ------------------------------------------------------------------------------------- TOTAL PRE-PETITION LIABILITIES 859,600,046 202,165 64,705 77,106 - - ===================================================================================== [TABLE CONTINUED] Polaroid ID Polaroid Sub Debt PRD Polaroid Systems, Malaysia, Partners, Investment, PRD Memorial Inc. Ltd. Corp. Inc. Capital, Inc. Drive LLC ---------------------------------------------------------------------------------- CURRENT LIABILITIES ------------------- Pre-Petition Notes: Bank Notes - - - - - - Non-Interest Overdrafts - - - - - - Current Long-Term Debt - - - - - - ---------------------------------------------------------------------------------- PRE-PETITION NOTES - - - - - - Pre-Petition Payables Trade Accounts Payable 614,635 - - - - - Interco Payables-US to Foreign - - - - - - Interco Payables-Foreign to US - - - - - - Interco Payables-Domestic Subs - - - - - - Interco Payables-Foreign Subs - - - - - - ---------------------------------------------------------------------------------- TOTAL PRE-PETITION PAYABLES 614,635 - - - - - Pre-Petition Accruals: Reserve Restructuring - - - - - - Accrued Payroll & Related Expenses - - - - - - Accrued Tax & Gov't Accounts - - - - - - Accrued Income Taxes 214,177 199,078 - - - - Deferred Income Tax - Current - - - - - - Accrued Warranty - - - - - - Other Accrued Liabilities - - 673 - - - Post-Retirement Medical - - - - - - Post-Employment Benefits - - - - - - Other Accrued Taxes - - - - - - ---------------------------------------------------------------------------------- TOTAL PRE-PETITION ACCRUALS 214,177 199,078 673 - - - ---------------------------------------------------------------------------------- TOTAL PRE-PETITION 828,812 199,078 673 - - - CURRENT LIABILITIES ---------------------------------------------------------------------------------- NON-CURRENT LIABILITIES ----------------------- Pre-Petition Non-Current Liabilities: Post-Retirement Medical - - - - - - Post-Employment Benefits - - - - - - Long-Term Debt - - - - - - Deferred Taxes - - - - - - Other - - - - - - -------------------------------------------------------------------------------- TOTAL PRE-PETITION - - - - - - NON-CURRENT LIABILITIES -------------------------------------------------------------------------------- TOTAL PRE-PETITION 828,812 199,078 673 - - - LIABILITIES ================================================================================ [TABLE CONTYINUED] Polaroid Asia Polaroid Pacific olaroid Mag Partners, Polint, International, Cor Media, Inc. Inc. Inc. PMC, Inc. International Limited ---------------------------------------------------------------------------- CURRENT LIABILITIES ------------------- Pre-Petition Notes: Bank Notes - - - - - - Non-Interest Overdrafts - - - - - - Current Long-Term Debt - - - - - - ---------------------------------------------------------------------------- PRE-PETITION NOTES - - - - - - Pre-Petition Payables Trade Accounts Payable - - - - - - Interco Payables-US to Foreign - - - - - - Interco Payables-Foreign to US - - - - - - Interco Payables-Domestic Subs - - - - - - Interco Payables-Foreign Subs - - - - - - ---------------------------------------------------------------------------- TOTAL PRE-PETITION PAYABLES - - - - - - Pre-Petition Accruals: Reserve Restructuring - - - - - - Accrued Payroll & Related Expenses - - 6,034 - - - Accrued Tax & Gov't Accounts - - - - - - Accrued Income Taxes - - - 228 - - Deferred Income Tax - Current - - - - - - Accrued Warranty - - - - - - Other Accrued Liabilities - - - - - - Post-Retirement Medical - - - - - - Post-Employment Benefits - - - - - - Other Accrued Taxes - - - - - - ---------------------------------------------------------------------------- TOTAL PRE-PETITION ACCRUALS - - 6,034 228 - - ---------------------------------------------------------------------------- TOTAL PRE-PETITION - - 6,034 228 - - CURRENT LIABILITIES ---------------------------------------------------------------------------- NON-CURRENT LIABILITIES ----------------------- Pre-Petition Non-Current Liabilities: Post-Retirement Medical - - - - - - Post-Employment Benefits - - - - - - Long-Term Debt - - - - - - Deferred Taxes - - - - - - Other - - - - - - ---------------------------------------------------------------------------- TOTAL PRE-PETITION - - - - - - NON-CURRENT LIABILITIES ---------------------------------------------------------------------------- TOTAL PRE-PETITION - - 6,034 228 - - LIABILITIES ============================================================================ [TABLE CONTYINUED] Polaroid Polaroid Polaroid Eyewear Dry Online Far East Imaging Services, US Inc. LLC Inc. Subtotal Adjustments Eliminations Total ----------------------------------------------------------------------- -------------- CURRENT LIABILITIES ------------------- Pre-Petition Notes: Bank Notes - - - 17,858,030 - - 17,858,030 Non-Interest Overdrafts - - - - - - - Current Long-Term Debt - - - 573,900,990 - - 573,900,990 ----------------------------------------------------------------------- --------------- PRE-PETITION NOTES - - - 591,759,019 - - 591,759,019 Pre-Petition Payables Trade Accounts Payable - - - 59,517,956 - - 59,517,956 Interco Payables-US to Foreign - - - - - - - Interco Payables-Foreign to US - - - - - - - Interco Payables-Domestic Subs - - - - - - - Interco Payables-Foreign Subs - - - - - - - --------------------------------------------------------------------------------------- TOTAL PRE-PETITION PAYABLES - - - 59,517,956 - - 59,517,956 Pre-Petition Accruals: Reserve Restructuring - - - 11,452,323 - - 11,452,323 Accrued Payroll & Related Expenses - - - 8,763,581 - - 8,763,581 Accrued Tax & Gov't Accounts - - - - - - - Accrued Income Taxes - - - 396,027 - - 396,027 Deferred Income Tax - Current - - - - - - - Accrued Warranty - - - - - - - Other Accrued Liabilities - - - 49,024,499 - - 49,024,499 Post-Retirement Medical - - - - - - - Post-Employment Benefits - - - - - - - Other Accrued Taxes - - - 11,984,603 - - 11,984,603 --------------------------------------------------------------------------------------- TOTAL PRE-PETITION ACCRUALS - - - 81,621,033 - - 81,621,033 --------------------------------------------------------------------------------------- TOTAL PRE-PETITION - - - 732,898,009 - - 732,898,009 CURRENT LIABILITIES --------------------------------------------------------------------------------------- NON-CURRENT LIABILITIES ----------------------- Pre-Petition Non-Current Liabilities: Post-Retirement Medical - - - - - - - Post-Employment Benefits - - - 31,510,165 - - 31,510,165 Long-Term Debt - - - - - - - Deferred Taxes - - - 1,900,421 - - 1,900,421 Other - - - 94,670,253 - - 94,670,253 --------------------------------------------------------------------------------------- TOTAL PRE-PETITION - - - 128,080,838 - - 128,080,838 NON-CURRENT LIABILITIES --------------------------------------------------------------------------------------- TOTAL PRE-PETITION - - - 860,978,847 - - 860,978,847 LIABILITIES =======================================================================================

POLAROID CORPORATION Exhibit A PROFESSIONAL FEE PAYMENT SUMMARY PROFESSIONAL VENDOR Nov, 2001 Dec, 2001 Jan, 2002 Feb, 2002 Mar, 2002 Skadden, Arps, Slate, Meagher & Flom (Illinois) $965,791 Zolfo Cooper, LLC $340,166 $225,000 KPMG LLP Bingham Dana LLP -------------------------------------------------------- Dresdner Kleinwort Wasserstein, Inc. $335,796 Miller, Buckfire, Lewis -------------------------------------------------------- Donlin, Recano & Company, Inc. $19,500 $85,611 $25,000 Akin, Gump, Strauss, Hauer & Feld, L..L..P. Young Conaway Stargatt & Taylor LLP Houlihan Lokey Howard & Zukin Financial Advisors, Inc. $351,399 Groom Law Group McShane Greenberg Traurig LLP Buck Consultants Wind Down Associates, LLC ---------------------------------------------------------------------- TOTAL $19,500 $0 $0 $777,176 $1,551,587 ---------------------------------------------------------------------- ORDINARY COURSE PROFESSIONAL VENDOR Arthur Andersen LLP $8,400 Foley Hoag & Eliot Horal & Chvosta Law Offices Merrill Communication Pro-Legal Services Goodwin Procter Ikon Office Solutions Kekst & Company Inc JP Morgan Kilkpatrick & Lockhart LLP David Feldman & Associates Davies Polk & Wardwell Thommessen Krefting Greve LLP Duplicating USC, Inc. Hewitt Associates LLC Coffman, De Fries & Northern American Stock Transfer & Trust FTI Consultants Baker Botts, LLP Reimer & Braunstein, LLP Morrison & Forester, LLP Baker & McKenzie ---------------------------------------------------------------------- TOTAL $0 $0 $8,400 $0 $0 ---------------------------------------------------------------------- ---------------------------------------------------------------------- TOTAL ALL PROFESSIONALS $19,500 $0 $8,400 $777,176 $1,551,587 ====================================================================== [Table Continued] PROFESSIONAL VENDOR Apr, 2002 May, 2002 June, 2002 July, 2002 August, 2002 Skadden, Arps, Slate, Meagher & Flom (Illinois) $552,209 $1,049,686 Zolfo Cooper, LLC $304,000 $286,000 547,000 $256,834 $263,542 KPMG LLP $320,269 14,953 $86,663 Bingham Dana LLP -------------------------------------------------------- Dresdner Kleinwort Wasserstein, Inc. $711,204 Miller, Buckfire, Lewis -------------------------------------------------------- Donlin, Recano & Company, Inc. $30,000 $55,000 98,000 $118,285 Akin, Gump, Strauss, Hauer & Feld, L..L..P. $264,468 324,000 $214,532 $111,431 Young Conaway Stargatt & Taylor LLP $0 Houlihan Lokey Howard & Zukin Financial Advisors, Inc. $130,000 $125,000 130,000 $378,601 Groom Law Group 200,000 McShane $9,666 $20,479 $4,966 Greenberg Traurig LLP Buck Consultants Wind Down Associates, LLC ----------------------------------------------------------------------- TOTAL $738,134 $806,748 $1,313,953 $2,113,380 $1,634,573 ----------------------------------------------------------------------- ORDINARY COURSE PROFESSIONAL VENDOR Arthur Andersen LLP $12,768 Foley Hoag & Eliot 440 Horal & Chvosta Law Offices 2125 Merrill Communication 11567 Pro-Legal Services 1625 Goodwin Procter 9722 Ikon Office Solutions 15427 Kekst & Company Inc JP Morgan Kilkpatrick & Lockhart LLP David Feldman & Associates Davies Polk & Wardwell Thommessen Krefting Greve LLP Duplicating USC, Inc. Hewitt Associates LLC Coffman, De Fries & Northern American Stock Transfer & Trust FTI Consultants Baker Botts, LLP Reimer & Braunstein, LLP Morrison & Forester, LLP Baker & McKenzie ----------------------------------------------------------------------- TOTAL $0 $12,768 $0 $0 $40,906 ----------------------------------------------------------------------- ----------------------------------------------------------------------- TOTAL ALL PROFESSIONALS $738,134 $819,516 $1,313,953 $2,113,380 $1,675,479 ======================================================================= [Table Continued] PROFESSIONAL VENDOR Sept, 2002 Oct, 2002 Nov, 2002 Dec, 2002 Skadden, Arps, Slate, Meagher & Flom (Illinois) $1,795,123 $ 357,703 77647 Zolfo Cooper, LLC 231683 $502,971 $ 192,769 KPMG LLP $225,536 31800 Bingham Dana LLP $11,629 -------------------------------------------------------- Dresdner Kleinwort Wasserstein, Inc. Miller, Buckfire, Lewis $481,767 -------------------------------------------------------- Donlin, Recano & Company, Inc. 24558 $16,904 $ 44,587 17398 Akin, Gump, Strauss, Hauer & Feld, L..L..P. 387916 $416,558 $ 140,135 194866 Young Conaway Stargatt & Taylor LLP $54,253 Houlihan Lokey Howard & Zukin Financial Advisors, Inc. $233,343 509600 Groom Law Group 27510 $63,644 McShane 2989 $12,296 8140 Greenberg Traurig LLP Buck Consultants 13884 41136 $ 3,312 7314 Wind Down Associates, LLC 29096 ------------------------------------------------------------ TOTAL $688,540 $3,855,160 $738,506 875861 ------------------------------------------------------------ ORDINARY COURSE PROFESSIONAL VENDOR Arthur Andersen LLP Foley Hoag & Eliot Horal & Chvosta Law Offices 0 Merrill Communication 1795 Pro-Legal Services Goodwin Procter 5705 606 Ikon Office Solutions Kekst & Company Inc 13683 JP Morgan 0 1825 Kilkpatrick & Lockhart LLP 10263 46672 $ 16,407 7712 David Feldman & Associates 15550 Davies Polk & Wardwell 43336 13258 Thommessen Krefting Greve LLP 2221 Duplicating USC, Inc. 6732 Hewitt Associates LLC 0 7213 2094 Coffman, De Fries & Northern 0 3290 American Stock Transfer & Trust 0 3200 6400 FTI Consultants 14390 Baker Botts, LLP 119 Reimer & Braunstein, LLP 3064 Morrison & Forester, LLP 17012 Baker & McKenzie 666 ------------------------------------------------------------ TOTAL $91,785 $81,133 $16,407 53888 ------------------------------------------------------------ ------------------------------------------------------------ TOTAL ALL PROFESSIONALS $780,325 $3,936,293 $754,913 $929,749 ============================================================

THE BANK OF BUSINESS BANKING STATEMENT NEW YORK Period: 11/30/02 to 12/31/02 Page: 1of 3 Enclosures: 24 5487 - -9 - - K PRIMARY PDC, INC 1265 MAIN ST WALTHAM, MA 02451-1743 ------------------------------------------------------------------------------------------------------- Summary of Accounts Account Type Account No. Assets Loans Credit Available Checking Account 690-3534891 155,000.00 Mutual Fund 76001691637 8,108,505.14 ..................................................................................... TOTAL 8,263,505.14 .00 .00 ------------------------------------------------------------------------------------------------------- Mutual Fund Information MUTUAL FUNDS o are NOT Insured by the FDIC o are NOT deposits or other obligations of The Bank of New York and are NOT guaranteed by The Bank of New York; and o are subject to investment risks, including possible loss of principal amount Invested. ------------------------------------------------------------------------------------------------------- Check Activity Account No. 690-3534891 Invest Date Description Debits Credits Balance ............................................................................................... 11/30 OPENING BALANCE 155,000.00 ----------------------------------------------------------------------------------------------- 12/02 2 CHECKS 73,536.19- 81,463.81 12/02 CHECKINVEST TRANSFER 73,536.19 155,000.00 12/03 1 CHECK 4,066.60- 150.933.40 12/03 CHECKINVEST TRANSFER 4,066.60 155,000.00 12/05 B/O:POLAROID CORP 8,116.00 163,116.00 2002120501858NPN 12/05 CHECKINVEST TRANSFER 8,116.00- 155,000.00 12/06 2 CHECKS 125,582.73- 29,417.27 12/06 CHECKINVEST TRANSFER 125,582.73 155,000.00 12/09 2 CHECKS 97,224.59- 57,775.41 12/09 CHECKINVEST TRANSFER 97,224.59 155,000.00 12/10 1 CHECK 509,600.09- 354,600.09- 12/10 CHECKINVEST TRANSFER 509,600.09 155,000.00 12/11 4 CHECKS 51,428.20- 103,571.80 12/11 CHECKINVEST TRANSFER 51,428.20 155,000.00 12/12 2 CHECKS 9,114.80- 145,885.20 12/12 CHECKINVEST TRANSFER 9,114.80 155,000.00 12/16 1 CHECK 9,727.14- 145,272.86 12/16 CHECKINVEST TRANSFER 9,727.14 155,000.00 12/18 B/O:POLAROID CORP 5,109.09 160,109.09 2002121801643NPN THE BANK OF BUSINESS BANKING STATEMENT NEW YORK Period: 11/30/02 to 12/31/02 Page: 2 of 3 5488 - -9 - - K ---------------------------------------------------------------------------------------------------------- Check Activity Account No. 690-3534891 Invest Continued Date Description Debits Credits Balance ------------------------------------------------------------------------------------------------- 12/18 2 CHECKS 16,484.00- 143,625.09 12/18 CHECKINVEST TRANSFER 11,374.91 155,000.00 12/24 3 CHECKS 113,508.35- 41,491.65 12/24 CHECKINVEST TRANSFER 113,508.35 155,000.00 12/26 3 CHECKS 12,451.13- 142,548.87 12/26 CHECKINVEST TRANSFER 12,451.13 155,000.00 12/30 1 CHECK 7,712.00- 147,288.00 12/30 CHECKINVEST TRANSFER 7,712.00 155,000.00 TOTAL 1,038,551.82- 1,038,551.82 ------------------------------------------------------------------------------------------------------------ 12/31 CLOSING BALANCE 155,000.00 ------------------------------------------------------------------------------------------------------------ Summary of Checks Check Date Amount Check Date Amount 1141 12/06 3,312.00 1161 12/11 1,870.00 1144* 12/02 1,750.00 1164* 12/12 975.00 1145 12/02 71,786.19 1165 12/16 9,727.14 1149* 12/06 122,270.73 1166 12/26 666.00 1150 12/03 4,066.60 1167 12/18 14,390.00 1153* 12/09 97,106.09 1168 12/18 2,094.00 1154 12/09 118.50 1170* 12/24 15,141.81 1155 12/11 17,397.62 1171 12/24 97,760.62 1156 12/11 29,096.03 1174* 12/24 605.92 1158* 12/10 509,600.09 1175 12/30 7,712.00 1159 12/12 8,139.80 1176 12/26 715.00 1160 12/11 3,064.55 1177 12/26 11,070.13 * Indicates skip in check number order. ---------------------------------------------------------------------------------------------------------------- Important Information Please examine and reconcile this statement promptly. Notice: See reverse side and any inserts for important information. THE BANK OF BUSINESS BANKING STATEMENT NEW YORK Period: 11/30/02 to 12/31/02 Page: 3 of 3 5489 - -9 - - K ---------------------------------------------------------------------------------------------------------- Check Summary Account No. 690-353489 Invest Date Description Debits Credits Balance Summary for Fund Account - 76001691637 BNY Hamilton Money Fund Classic Shares ------------------------------------------------------------------------------------------------- 12/31 TOTAL TRANSFERS TO FUND 8,116.00 12/31 TOTAL TRANSFERS FROM FUND 1,025,326.73 12/31 DIVIDEND THIS PERIOD 5,233.09 12/31 CLOSING FUND BALANCE 8,108.505.14 12/31 MONTHLY ACTIVITY COUNT 24 12/31 ALLOWABLE ACTIVITY COUNT 3,000 12/31 MONTHLY AVERAGE BALANCE 155,000.00 12/31 MONTHLY TARGET BALANCE 155,000.00 CheckInvest Reconciliation - Plan 3 Level 15 12/31 CLOSING CHECKING BALANCE 155,000.00 12/31 ADJUSTMENTS FOR PENDING FUND TRANSFERS .00 12/31 CLOSING FUND BALANCE 8,108,505.14 12/31 TOTAL CLOSING CHECKINVEST BALANCE 8,263,505.14 1

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