8-K

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

Date of report: November 22, 2004

THE KUSHNER-LOCKE COMPANY

(Exact name of registrant as specified in its charter)

California	0-17295	95-4079057
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

280 South Beverly Drive, Suite 205, Beverly Hills, California	90212
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: (310) 275-7505

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

TABLE OF CONTENTS

	Item 8.01. Other Events.
	Item 9.01. Financial Statements and Exhibits.
SIGNATURES
EX-99.1
EX-99.2

Item 8.01. Other Events.

     As previously disclosed in its Current Report on Form 8-K filed on November 21, 2001, and the Registrant’s Form 12b-25 filed on January 2, 2002, The Kushner-Locke Company, a California corporation (the “Registrant”), and certain of its wholly-owned subsidiaries (collectively, the “Debtors”), filed on November 21, 2001, voluntary petitions for reorganization under Chapter 11 of the United States Bankruptcy Code. The Debtors’ Chapter 11 cases are currently pending before the United States Bankruptcy Court for the Central District of California, Los Angeles Division (the “Bankruptcy Court”) and are being jointly administered under Case No. LA-01-44828-SB.

     The Registrant’s unaudited monthly operating report and monthly interim statement required by the Bankruptcy Court for September 2004 are provided in this Current Report on Form 8-K. The operating report and interim statement have been duly filed by the Registrant with the Bankruptcy Court.

     THE OPERATING REPORT AND THE INTERIM STATEMENT CONTAIN FINANCIAL STATEMENTS AND OTHER FINANCIAL INFORMATION THAT HAVE NOT BEEN AUDITED OR REVIEWED BY INDEPENDENT ACCOUNTANTS, ARE NOT PRESENTED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES, AND MAY BE SUBJECT TO FUTURE RECONCILIATION OR ADJUSTMENTS. THE OPERATING REPORT AND INTERIM STATEMENT MAY ALSO CONTAIN INFORMATION FOR PERIODS THAT ARE SHORTER OR OTHERWISE DIFFERENT FROM THOSE CONTAINED IN THE REGISTRANT’S REPORTS REQUIRED TO BE MADE PURSUANT TO THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED.

     THE REGISTRANT MAKES NO REPRESENTATIONS OR WARRANTIES WHATSOEVER AS TO ANY OF THE INFORMATION CONTAINED IN THE OPERATING REPORT OR THE INTERIM STATEMENT. FOR THESE REASONS, THE REGISTRANT CAUTIONS READERS NOT TO PLACE UNDUE RELIANCE UPON THE INFORMATION CONTAINED IN THE OPERATING REPORT OR THE INTERIM STATEMENT. THE OPERATING REPORT AND INTERIM STATEMENT ARE BEING PROVIDED SOLELY FOR INFORMATION PURPOSES; THEY WERE NOT PREPARED FOR THE PURPOSE OF PROVIDING THE BASIS FOR AN INVESTMENT DECISION RELATING TO THE SECURITIES OF THE REGISTRANT.

Item 9.01. Financial Statements and Exhibits.

(a)	Financial Statements of Business Acquired.
	Not Applicable.
(b)	Pro Forma Financial Information.
	Not Applicable.
(c)	Exhibits.
	Exhibit 99.1. Monthly Interim Statement of The Kushner-Locke Company (the “Registrant”) for the calendar month from September 1, 2004 to September 30, 2004.
	Exhibit 99.2. Monthly Operating Report of the Registrant for the calendar month from September 1, 2004 to September 30, 2004.

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated: November 22, 2004	THE KUSHNER-LOCKE COMPANY
	By:	/s/ Alice P. Neuhauser Alice P. Neuhauser Responsible Officer

EX-99.1

EXHIBIT 99.1

Office of the United States Trustee

   In re:
   The Kushner-Locke Company
   
   

   Chapter 11

   Case No. LA 01-44828-SB (Administratively Consolidated with
   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)

   DEBTOR IN POSSESSION INTERIM STATEMENT

Page 1 of 3   

Statement Number:	35
For the Period FROM:	9/1/2004
TO:	9/30/2004

CASH ACTIVITY ANALYSIS (Cash Basis Only)	Collateral		Concentration
	Account		Account
Balance before Statement #1		268,333.21		65,956.21
A. Total Receipts per all Prior Interim Statements		5,689,675.92		4,520,666.40
B. Less: Total Disbursements per all Prior Statements		4,752,903.55		4,566,514.12
C. Beginning Balance	$	1,205,105.58	$	20,108.49
D. Receipts during Current Period Description
9/1/2004            Wire Transfer				40,000.00
9/3/2004            Stutman Treister & Glatt ( United Releasing)		299,965.00
9/14/2004          Wire Transfer				48,000.00
9/17/2004          A & E		137.58
9/17/2004          Tanya Miller		220.00
9/24/2004          Wire Transfer				135,000.00
9/30/2004          interest		1,689.86
TOTAL RECEIPTS THIS PERIOD		302,012.44		223,000.00		—		—
E. Balance Available (C plus D)	$	1,507,118.02	$	243,108.49	$	—	$	—

DEBTOR IN POSSESSION INTERIM STATEMENT NO: 35					Page 2 of 3
F. Less: Disbursements during Current Period:
Date	Check No.	Payee/Purpose
9/1/2004		Wire Transfer		40,000.00
9/1/2004	38031	Bonded Services, Inc					6,613.31
9/1/2004	38032	KEREN AMINIA					1,861.00
9/1/2004	38033	Oberstein Kibre Horwitz					95.93
9/3/2004		ADP Fees					157.24
9/10/2004		ADP Fees					97.24
9/14/2004		ADP Taxes					9,858.89
9/14/2004	8118	Payroll					1,019.09
9/14/2004	8119	Payroll					12,745.22
9/14/2004	8120	Payroll					1,351.56
9/14/2004	8121	Payroll					2,385.40
9/14/2004		Wire Transfer		48,000.00
9/14/2004	38034	Federal Express					34.24
9/14/2004	38035	New Wave Entertainment					416.50
9/14/2004	38036	Accurate Express					15.30
9/14/2004	38037	Brandon & Morner-Ritt					7,685.83
9/16/2004	38038	Two Easily Amused					2,000.00
9/17/2004		ADP Fees					30.00
9/17/2004	38039	Recall					804.33
9/17/2004	38040	Blue Shield of California					316.00
9/17/2004	38041	Health Net					2,339.39
9/22/2004	38042	Alice P.Neuhauser					663.27
9/22/2004	38043	Arrowhead					26.36
9/22/2004	38044	DataLOK Partners WLA II					177.31
9/22/2004	38045	United States Trustee					250.00
9/22/2004	38046	United States Trustee					1,250.00
9/22/2004	38047	United States Trustee					250.00
9/22/2004	38048	United States Trustee					250.00
9/22/2004	38049	United States Trustee					250.00
9/22/2004	38050	United States Trustee					250.00
9/22/2004	38051	United States Trustee					250.00
9/22/2004	38052	United States Trustee					250.00
9/22/2004	38053	United States Trustee					250.00
9/23/2004	38054	Accurate Express					42.00
9/24/2004		ADP Fees					97.24
9/24/2004		Wire Transfer		135,000.00
9/27/2004		Morgan Lewis Wire					85,187.72
9/28/2004		ADP Taxes					11,201.13
9/28/2004	8122	Payroll					1,019.09
9/28/2004	8123	Payroll					14,287.96
9/28/2004	8124	Payroll					1,351.58
9/28/2004	8125	Payroll					2,385.39
9/28/2004	38055	Point 360					155.10
9/28/2004	38056	SBC					83.50
9/28/2004	38057	New Beginnings Enterprises					3,802.00
9/28/2004	38058	SBC					361.13
9/29/2004	38059	Visual Impact					7,675.47
9/29/2004	38060	Cash					500.00
TOTAL DISBURSEMENTS THIS PERIOD:				223,000.00			182,092.72		—		—
G. Ending Balance (E less F)			$	1,284,118.02		$	61,015.77	$	—	$	—

   DEBTOR IN POSSESSION INTERIM STATEMENT NO: 35 Page 3 of 3         

H.	(1) Collateral Account:    a) Depository Name and Location:       Chase Bank 1 Chase Manhattan Plaza, New York, NY 10081    b) Account Number:                                    323221556
(2)	Concentration Account:    a) Depository Name and Location:       Comerica Bank 10900 Wilshire Blvd, Los Angeles, CA 90024    b) Account Number:                                    1891935460
I:	Other monies on hand:

The Kushner Locke Company PWI account	1891215236	$	731.10
Bank of Scotland — Pinocchio	3516309		851,139.52	Pound Sterling	Time Deposit
Bank of Scotland — Basil	3516317		209,501.69	Pound Sterling	Time Deposit (KL' s interest is 50%)
Allied Pinocchio	10747301		382.86	Pound Sterling
Edge Entertainment	1891152710	$	172.89
European Films LTD	1890563818	$	7,051.58
I: Other monies on hand (continued):
Additionally, the Company maintains a minimal amount of Petty Cash (less than $500).
Joint Venture Accounts:
BLT Venture	178-71491-7	$	16,890.04
BLT Venture	16-524173-1101	$	565.18
KL MDP Sensation	60-066-930	$	17,719.61
KL\7 Venture	1890-69-6360	$	11,922.88
Denial Venture	1890-69-6501	$	42,408.90
Cracker LLC	1891-04-1665	$	732.79
Swing	323-518095	$	6,957.50

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.

/s/ Alice P. Neuhauser
Debtor in Possession

EX-99.2

EXHIBIT 99.2

Office of the United States Trustee

   In re:
   The Kushner-Locke Company
   
   

   Chapter 11

   Case No. LA 01-44828-SB (Administratively Consolidated with
   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)

   DEBTOR IN POSSESSION OPERATING REPORT

Page 1 of 2   

Report Number:	35
For the Period FROM:	9/1/2004
TO:	9/30/2004

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	44,281
Salaries and Wages — Other Employees	11,781
Total Salaries and Wages			56,062
Employee Benefits and Pensions			2,655
Employer Payroll Taxes/Fees	1,925
Other Taxes
Total Taxes			1,925
Rent and Lease Expense (including parking)	3,802
Distribution/Delivery Expenses	10,612
Interest Expense
Insurance
Automobile Expense/Mileage
Utilities (incl. Phone, phone equipment, internet)	445
Depreciation and Amortization
Business Equipment Leases
Business Expense reimbursement	2,524
Storage Expense	7,418
Supplies, Office Expenses, Photocopies, etc.	526
Bad Debts
Miscellaneous Operating Expenses
Total Operating Expenses			85,969
Net Gain/Loss from Business Operations					(85,969	)
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			92,874
Other Non-Operating Expenses (Board/Trustee fees)			3,250
Total Non-Operating Expenses					96,124
NET INCOME/(LOSS) FOR PERIOD				$	(182,093	)

   DEBTOR IN POSSESSION OPERATING REPORT NO: 35 Page 2 of 2         

2 Aging of Accounts Payable and Accounts Receivable (exclude prepetition accounts payable):

	Accounts Payable	Accounts 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	—		1,600,459
TOTAL	—		1,600,459

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/Agent Name	Amount of Coverage	Policy Expiration Date	Premium Paid Through Date
Worker’s Compensation (RENEWED) Commercial Property (RENEWED) Errors & Omissions — Library (RENEWED)	St. Paul St. Paul St. Paul	1,000,000 2,000,000 3,000,000	1/14/2005 2/14/2005 3/3/2005	1/14/2005 2/14/2005 3/3/2005

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:
	x 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:
	x No
7	Statement on Unpaid Professional Fees (Postpetition Amounts Only)
	Total unpaid post-petition Professional Fees during the reporting period:             $172,364.86
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.

/s/ Alice P. Neuhauser
Debtor in Possession