Exhibit 99.4
Page 1 of 2
Office of the United States Trustee
In re: | DEBTOR IN POSSESSION OPERATING REPORT | |||||
The Kushner-Locke Company | ||||||
Report Number: | 86 | |||||
Chapter 11 | For the Period FROM: | 12/1/2008 | ||||
Case No. LA 01-44828-SB (Substantively Consolidated with | TO: | 12/31/2008 | ||||
Case Nos. LA 01-44829-SB through LA 01-44831-SB; LA 01- | ||||||
44833-SB through LA 01-44836-SB; and LA 01-44841-SB) |
1 Profit and Loss Statement (Accrual Basis Only) | ||||||||||||
A. Related to Business Operations | ||||||||||||
Gross Sales | $ | — | ||||||||||
Costs Related to Revenues (Film Cost Amortization) | ||||||||||||
Gross Profit | — | |||||||||||
Less: Operating Expenses | ||||||||||||
Officer Compensation | 17,850 | |||||||||||
Salaries and Wages — Other Employees | 11,154 | |||||||||||
Total Salaries and Wages | 29,004 | |||||||||||
Employee Benefits and Pensions | 26 | |||||||||||
Employer Payroll Taxes/Fees | 1,295 | |||||||||||
Other Taxes | 8,800 | |||||||||||
Total Taxes | 10,095 | |||||||||||
Rent and Lease Expense (including parking) | ||||||||||||
Distribution/Delivery Expenses | 28,819 | |||||||||||
Interest Expense | ||||||||||||
Insurance | ||||||||||||
Automobile Expense/Mileage | ||||||||||||
Utilities (incl. Phone, phone equipment, internet) | ||||||||||||
Depreciation and Amortization | ||||||||||||
Business Equipment Leases | ||||||||||||
Business Expense reimbursement | 816 | |||||||||||
Storage Expense | 919 | |||||||||||
Supplies, Office Expenses, Photocopies, etc. | 1,682 | |||||||||||
Bad Debts | ||||||||||||
Miscellaneous Operating Expenses | 195 | |||||||||||
Total Operating Expenses | 71,556 | |||||||||||
Net Gain/Loss from Business Operations | (71,556 | ) | ||||||||||
B. Not related to Business Operations | ||||||||||||
Income | ||||||||||||
Interest Income | ||||||||||||
Other Non-Operating Revenues | — | |||||||||||
Gross Proceeds on Sale of Assets | ||||||||||||
Less: Original Cost of Assets plus expenses of sale | ||||||||||||
Net Gain/Loss on Sale of Assets | — | |||||||||||
Total Non-Operating Income | — | |||||||||||
Expenses Not Related to Business Operations | ||||||||||||
Legal and Professional Service Fees | 10,661 | |||||||||||
Other Non-Operating Expenses (Board/Trustee fees) | ||||||||||||
Total Non-Operating Expenses | 10,661 | |||||||||||
NET INCOME/(LOSS) FOR PERIOD | $ | (82,217 | ) | |||||||||
DEBTOR IN POSSESSION OPERATING REPORT NO: 86 | Page 2 of 2 |
2 Aging of Accounts Payable and Accounts Receivable (exclude prepetition accounts payable):
Accounts | Accounts | |||||||
Payable | Receivable | |||||||
Current Under 30 days | — | |||||||
Overdue 31-60 days | — | — | ||||||
Overdue 61-90 days | — | |||||||
Overdue 91-120 days | — | |||||||
Overdue Over 121 days | — | |||||||
Due in the Future | 1,400 | 794,174 | ||||||
TOTAL | 1,400 | 794,174 |
3 | Statement of Status of Payments to Secured Creditors and Lessors: | |
No payments to Secured Creditors or Lessors were paid or payable during the reporting period. | ||
4 | Tax Liability | |
No tax payments were paid or payable during the reporting period other than payroll taxes shown above. | ||
5 | Insurance Coverage |
Carrier/ | Amount of | Policy | Premium Paid | |||||||||||||
Agent Name | Coverage | Expiration Date | Through Date | |||||||||||||
Worker’s Compensation (RENEWED) | St. Paul | 1,000,000 | 1/14/2009 | 1/14/2009 | ||||||||||||
Commercial Property (RENEWED) | St. Paul | 2,000,000 | 2/14/2009 | 2/14/2009 | ||||||||||||
Errors & Omissions — Library (RENEWED) | St. Paul | 3,000,000 | 3/3/2009 | 3/3/2009 |
6 | Questions: |
A. | Has the Debtor in Possession provided compensation to any officers, directors, shareholders, or other principals without the approval of the Office of the United States Trustee? |
o | Yes Explain: | ||
þ | No |
B. | Has the Debtor in Possession, subsequent to the filing of the petition, made any payments on its prepetition unsecured debt, except as authorized by the Court? |
o | Yes Explain: | ||
þ | No |
7 | Statement on Unpaid Professional Fees (Postpetition Amounts Only) | |
Total unpaid post-petition Professional Fees during the reporting period: $ 80,871.69 | ||
8 | Narrative Report of Significant Events and Events out of the Ordinary Course of Business: | |
None. | ||
9 | Quarterly Fees: | |
Paid |
I, Alice Neuhauser, declare under penalty of perjury that the information contained in the above Debtor in Possession Interim Statement is true and correct to the best of my knowledge.