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Polaroid execs resign
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October 30, 2001: 12:20 p.m. ET
Three top executives step down after photography company files for bankruptcy.
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NEW YORK (CNNmoney) - Three top Polaroid executives resigned earlier this month after the photographic products company filed for voluntary bankruptcy protection to help it emerge from a mountain of debt.
In an internal memo to employees Monday, Polaroid CEO Gary DiCamillo announced the resignations of Paul Lambert, senior vice president and former head of research and development; Thomas Hennigan, vice president and head of information technology; and Samuel Liggero, vice president and head of digital media development.
Liggero, who led development of the company's new digital printing technologies dubbed Opal and Onyx, will stay on as a consultant, DiCamillo said.
"Each of these career-minded employees has served Polaroid with distinction," DiCamillo said in the memo. "I thank each of them for their dedication and many contributions to Polaroid."
The resignations come as Polaroid meets with potential suitors interested in buying all or part of the company in the wake of its Oct. 12 voluntary bankruptcy filing.
Polaroid, which produces the nation's best-selling camera, the I-Zone, has been struggling to pay down nearly $1 billion in debt while at the same time trying to play catch-up with its veteran instant-film business in a world where digital photography is rapidly emerging as a popular alternative.
The company, which agreed to the voluntary bankruptcy filing after meetings with its bondholders, has said outright that it is exploring a sale of all or part of the company.
"At this point, there are a number of potential investors who have expressed interest in purchasing all or parts of the company," DiCamillo said.
DiCamillo also said that at the company's next bankruptcy court hearing Nov. 5 in Wilmington, Del., officials will ask the court to release the remaining $10 million of its $50 million of debtor-in-possession financing, a loan that Polaroid's banks extended as part of the bankruptcy filing agreement.
The judge also is expected to outline procedures for the sale of Polaroid's ID business, which produces driver's licenses and identification cards.
Separately, Polaroid representatives were expected to meet with retirees Tuesday in Wilmington to answer questions about medical and life insurance benefits cut off by the company, the Associated Press reported Tuesday. About 5,000 retirees dependent on medical coverage through Polaroid lost the benefits Oct. 9, the AP reported, citing the Boston Herald. 
-- from staff and wire reports
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