<PAGE> 1
================================================================================
- --------------------------------------------------------------------------------
FORM 11-K
----------------------------------
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
REPORT PURSUANT TO SECTION 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
FOR THE PERIOD FROM JANUARY 1, 1997 TO DECEMBER 31, 1997
COMMISSION FILE NUMBER 1-11804
A. Full title of the plan and address of the plan, if different from that of
the issuer named below:
THE GEON RETIREMENT SAVINGS PLAN
B. Name of issuer of the securities held pursuant to the plan and the address
of its principal executive office:
THE GEON COMPANY
ONE GEON CENTER
AVON LAKE, OHIO 44012
REQUIRED INFORMATION
1. Audited financial statements of the plan.
The Report of Independent Auditors; Statement of Net Assets Available for
Benefits as of December 31, 1997; Statement of Changes in Net Assets Available
for Benefits for the period from January 1, 1997 through December 31, 1997; and
Supplemental Schedules are attached hereto.
2. Exhibits
Consent of Independent Auditors
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Geon
Savings Program Administration Committee has duly caused this annual report to
be signed on its behalf by the undersigned hereunto duly authorized.
THE GEON SAVINGS PROGRAM ADMINISTRATION COMMITTEE
June 29, 1998 -----------------------------------------------------------
Robert C. Schumacher
Member of the Geon Savings Program Administration Committee
-----------------------------------------------------------
- --------------------------------------------------------------------------------
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<PAGE> 2
The Geon Retirement Savings Plan
Audited Financial Statements and Supplemental Schedules
December 31, 1997 and 1996
CONTENTS
<TABLE>
<S> <C>
Report of Independent Auditors .................................................................. 1
AUDITED FINANCIAL STATEMENTS
Statements of Net Assets Available for Benefits, with Fund Information .......................... 2
Statement of Changes in Net Assets Available for Benefits, with
Fund Information ............................................................................ 3
Notes to Financial Statements ................................................................... 4
SUPPLEMENTAL SCHEDULES
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes............................ 10
Form 5500, Line 27(b)--Schedule of Loans or Fixed Income Obligations.............................. 27
Form 5500, Line 27(d)--Schedule of Reportable Transactions ....................................... 30
</TABLE>
<PAGE> 3
Report of Independent Auditors
The Geon Company
Savings Program Administration Committee
We have audited the accompanying statements of net assets available for benefits
of The Geon Retirement Savings Plan as of December 31, 1997 and 1996, and the
related statement of changes in net assets available for benefits for the year
ended December 31, 1997. These financial statements are the responsibility of
the Plan's management. Our responsibility is to express an opinion on these
financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the net assets available for benefits of The Geon
Retirement Savings Plan at December 31, 1997 and 1996, and the changes in its
net assets available for benefits for the year ended December 31, 1997, in
conformity with generally accepted accounting principles.
Our audits were performed for the purpose of forming an opinion on the basic
financial statements taken as a whole. The accompanying supplemental schedules
of assets held for investments purposes and loans or fixed income obligations as
of December 31, 1997 and reportable transactions for the year then ended are
presented for purposes of complying with the Department of Labor's Rules and
Regulations for Reporting and Disclosure under the Employee Retirement Income
Security Act of 1974, and are not a required part of the basic financial
statements. These supplemental schedules are the responsibility of the Plan's
management. The fund information in the statement of net assets available for
benefits and the statement of changes in net assets available for benefits is
presented for purposes of additional analysis rather than to present the net
assets available for benefits and changes in net assets available for benefits
of each fund. The supplemental schedules and fund information have been
subjected to the auditing procedures applied in our audits of the basic
financial statements and, in our opinion, are fairly stated in all material
respects in relation to the basic financial statements taken as a whole.
The schedule of assets held for investment purposes that accompanies the Plan's
financial statements does not disclose the historical cost of certain plan
assets held by the Plan trustee. Disclosure of this information is required by
the Department of Labor's Rules and Regulations for reporting and disclosure
under the Employee Retirement Income Security Act of 1974.
/s/ Ernst & Young LLP
June 16, 1998
1
<PAGE> 4
The Geon Retirement Savings Plan
Statements of Net Assets Available for Benefits, with Fund Information
December 31, 1997 and 1996
<TABLE>
<CAPTION>
Total Fixed Income Fund Equity Index Fund
----------------------------- --------------------------------------------------------
1997 1996 1997 1996 1997 1996
---------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Assets
Investments, at fair
value--Notes B and D:
Common stocks $ 74,618,133 $ 60,066,738
Common trust fund 68,066,469 60,109,502 $29,993,569 $33,208,629 $30,196,411 $21,253,227
Shares of registered
investment companies 4,491,308 3,330,763
Other 117,543 87,170
Participants' loans 5,717,572 5,761,728
---------------------------------------------------------------------------------------
Total investments 153,011,025 129,355,901 29,993,569 33,208,629 30,196,411 21,253,227
Receivables:
Dividends and interest 405,585 279,023 154,905 161,598 48,996
Other 1,588 12,075 (19,818)
Interfund 225,480 380,309 68,029 1,000 94,285
---------------------------------------------------------------------------------------
Total receivables 632,653 671,407 222,934 161,598 49,996 74,467
---------------------------------------------------------------------------------------
Total assets 153,643,678 130,027,308 30,216,503 33,370,227 30,246,407 21,327,694
Liabilities
Other payables 114,553 637 3,008 550 48
Interfund payables 225,480 380,309 5,836 162,333 62,835
---------------------------------------------------------------------------------------
Total liabilities 340,033 380,946 8,844 162,883 62,835 48
---------------------------------------------------------------------------------------
Net assets available for
benefits $153,303,645 $129,646,362 $30,207,659 $33,207,344 $30,183,572 $21,327,646
=======================================================================================
</TABLE>
<TABLE>
<CAPTION>
Geon Company
Common Stock Fund BFGoodrich Company
-----------------------------------------------------------
Participant Directed Non-Participant Directed Common Stock Fund
-----------------------------------------------------------------------------------------
1997 1996 1997 1996 1997 1996
-----------------------------------------------------------------------------------------
-----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Assets
Investments, at fair
value--Notes B and D:
Common stocks $32,418,575 $25,023,066 $23,678,853 $15,863,389 $15,356,448 $16,833,663
Common trust fund 954,608 743,839 691,267 475,569 334,741 335,823
Shares of registered
investment companies
Other
Participants' loans
-----------------------------------------------------------------------------------------
Total investments 33,373,183 25,766,905 24,370,120 16,338,958 15,691,189 17,169,486
Receivables:
Dividends and interest 3,703 2,682 101,925 115,126
Other 20,424 13,058 1,588 1,411
Interfund 59,117 112,652 42,809 72,023
-----------------------------------------------------------------------------------------
Total receivables 62,820 133,076 45,491 85,081 103,513 116,537
-----------------------------------------------------------------------------------------
Total assets 33,436,003 25,899,981 24,415,611 16,424,039 15,794,702 17,286,023
Liabilities
Other payables 2,068 24 1,497 15 21,126
Interfund payables 24,650 20,314 17,850 12,987 114,309 115,126
-----------------------------------------------------------------------------------------
Total liabilities 26,718 20,338 19,347 13,002 135,435 115,126
-----------------------------------------------------------------------------------------
Net assets available for
benefits $33,409,285 $25,879,643 $24,396,264 $16,411,037 $15,659,267 $17,170,897
=========================================================================================
</TABLE>
<TABLE>
<CAPTION>
Balanced Fund Brokerage Account Participants' Loan Fund
-------------------------- ------------------------------------------------------
1997 1996 1997 1996 1997 1996
---------------------------------------------------------------------------------
---------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Assets
Investments, at fair
value--Notes B and D:
Common stocks $3,164,257 $2,346,620
Common trust fund $5,895,873 $4,092,415
Shares of registered
investment companies 4,491,308 3,330,763
Other 117,543 87,170
Participants' loans $5,717,572 $5,761,728
---------------------------------------------------------------------------------
Total investments 5,895,873 4,092,415 7,773,108 5,764,553 5,717,572 5,761,728
Receivables:
Dividends and interest 6,729 2,299 86,645
Other (3,000)
Interfund 1,000 4,000 28,525 93,548 25,000 3,801
---------------------------------------------------------------------------------
Total receivables 7,729 3,299 115,170 93,548 25,000 3,801
---------------------------------------------------------------------------------
Total assets 5,903,602 4,095,714 7,888,278 5,858,101 5,742,572 5,765,529
Liabilities
Other payables 82 86,772
Interfund payables 69,549
---------------------------------------------------------------------------------
Total liabilities 82 86,772 69,549
---------------------------------------------------------------------------------
Net assets available for
benefits $5,903,520 $4,095,714 $7,801,506 $5,788,552 $5,742,572 $5,765,529
=================================================================================
</TABLE>
See notes to financial statements.
2
<PAGE> 5
The Geon Retirement Savings Plan
Statement of Changes in Net Assets Available for Benefits, with Fund Information
For the Year Ended December 31, 1997
<TABLE>
<CAPTION>
Geon Company
Common Stock Fund
------------------------------
Fixed Income Equity Index Participant Non-Participant
Total Fund Fund Directed Directed
-----------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Additions to net assets attributed to
Investment income:
Net appreciation in fair value of investments $17,658,379 $ 7,220,319 $ 5,190,958 $3,612,650
Interest and other income (expense) 2,656,392 $1,926,094 (2,166) 33,889 23,549
Dividends 1,824,874 675,665 474,224
-----------------------------------------------------------------------------
22,139,645 1,926,094 7,218,153 5,900,512 4,110,423
Contributions:
Participants 5,621,781 464,295 495,825 4,542,907
Employer 5,108,498 5,108,498
-----------------------------------------------------------------------------
10,730,279 464,295 495,825 4,542,907 5,108,498
Other additions 36,565 3,828 19,740 1,870
-----------------------------------------------------------------------------
Total additions 32,906,489 2,394,217 7,733,718 10,445,289 9,218,921
Deductions from assets attributed to
Withdrawals and terminations:
Cash 8,562,499 3,776,348 2,074,818 1,022,958 438,411
Common stock 686,707 311,597 133,541
-----------------------------------------------------------------------------
Total deductions 9,249,206 3,776,348 2,074,818 1,334,555 571,952
-----------------------------------------------------------------------------
Net increase (decrease) prior to interfund 23,657,283 (1,382,131) 5,658,900 9,110,734 8,646,969
transfers
Interfund transfers (net) (1,617,554) 3,197,026 (1,581,092) (661,742)
-----------------------------------------------------------------------------
Net increase (decrease) 23,657,283 (2,999,685) 8,855,926 7,529,642 7,985,227
Net assets available for benefits at beginning 129,646,362 33,207,344 21,327,646 25,879,643 16,411,037
of year
-----------------------------------------------------------------------------
Net assets available for benefits at end of year $153,303,645 $30,207,659 $30,183,572 $ 33,409,285 $24,396,264
=============================================================================
</TABLE>
<TABLE>
<CAPTION>
BFGoodrich
Company Participants'
Common Balanced Brokerage Loan
Stock Fund Fund Account Fund
----------------------------------------------------------
<S> <C> <C> <C> <C>
Additions to net assets attributed to
Investment income:
Net appreciation in fair value of investments $ 455,273 $ 714,007 $ 465,172
Interest and other income (expense) 16,487 24,686 161,058 $ 472,795
Dividends 429,233 245,752
----------------------------------------------------------
900,993 738,693 871,982 472,795
Contributions:
Participants 118,754
Employer
----------------------------------------------------------
118,754
Other additions 11,127
----------------------------------------------------------
Total additions 900,993 868,574 871,982 472,795
Deductions from assets attributed to
Withdrawals and terminations:
Cash 891,046 160,816 198,102
Common stock 241,569
----------------------------------------------------------
Total deductions 1,132,615 160,816 198,102
----------------------------------------------------------
Net increase (decrease) prior to interfund (231,622) 707,758 871,982 274,693
transfers
Interfund transfers (net) (1,280,008) 1,100,048 1,140,972 (297,650)
----------------------------------------------------------
Net increase (decrease) (1,511,630) 1,807,806 2,012,954 (22,957)
Net assets available for benefits at beginning 17,170,897 4,095,714 5,788,552 5,765,529
of year
----------------------------------------------------------
Net assets available for benefits at end of year $15,659,267 $5,903,520 $7,801,506 $5,742,572
==========================================================
</TABLE>
3
See notes to financial statements.
<PAGE> 6
The Geon Retirement Savings Plan
Notes to Financial Statements
December 31, 1997 and 1996
A. DESCRIPTION OF THE PLAN
The Geon Retirement Savings Plan (the "Plan") is a defined contribution plan
covering all domestic salaried and hourly employees excluding employees of
acquired businesses, joint ventures, or newly created businesses of The Geon
Company ("Geon" or the "Company"). The Plan is subject to the provisions of the
Employee Retirement Income Security Act of 1974 ("ERISA").
INVESTMENT OPTIONS
State Street Bank, the Trustee of the Plan, maintains the following six
investment options under the Plan:
* FIXED INCOME FUND--Contributions are invested in the State Street Bank
Selection Fund, which invests in guaranteed investment contracts, issued
by insurance companies, that have a fixed rate of return.
* EQUITY INDEX FUND--Contributions are invested in the State Street Bank
Flagship S&P 500 Index Fund. The objective of this mutual fund is to
approximate the performance of the S&P 500 Index.
* GEON COMPANY COMMON STOCK FUND--Contributions are invested in common stock
of The Geon Company. A small percentage of the Fund is maintained in a
short-term investment vehicle for liquidity.
* BFGOODRICH COMPANY COMMON STOCK FUND--This fund represents the remaining
common stock of the BFGoodrich Company resulting from the transfer of fund
assets from The BFGoodrich Retirement Plus Savings Plan on April 29, 1993
in conjunction with the initial public offering of Geon, formerly a wholly
owned subsidiary of The BFGoodrich Company. This fund is ineligible for
contributions or transfers from other funds. A small percentage of the
Fund is maintained in a short term investment vehicle for liquidity.
* BALANCED FUND--Contributions are invested in a mix of the following State
Street Bank funds: Flagship S&P 500 Index Fund, S&P Midcap Index Fund,
Daily Bond Market Fund and SSB 1 SPIFF.
4
<PAGE> 7
The Geon Retirement Savings Plan
Notes to Financial Statements - Continued
A. DESCRIPTION OF THE PLAN--CONTINUED
* BROKERAGE ACCOUNT--This fund is an option enabling participants to design
their own investment portfolio. The account is ineligible for
contributions and can only be funded by transfers from a participant's
other investment funds.
The Participants' Loan Fund represents the cumulative outstanding loans to Plan
participants. Participants may borrow on employee contributions and related
earnings only. Participants cannot have more than three loans outstanding at one
time. The minimum amount that can be borrowed is $1,000 and the maximum amount
is the lesser of one half of the total vested account balance or $50,000 reduced
by the greater of (i) the highest outstanding loan balance in the last 12
months, or (ii) the outstanding balance of loans from the Plan on the date such
loan is made. The participant's balance in the brokerage fund is taken into
consideration in determining the maximum loan amount available, but may not be
borrowed. The interest rate on each loan is a fixed rate based on the trustee's
prime rate. Payments on loans are made through payroll deductions and must be
repaid within 5 years (personal loans) or 5-15 years (primary residence loans).
The Plan offers participants the choice of two savings options: a regular (after
tax) savings option and a tax-deferred savings option. Participants can elect to
participate in either or both of the savings options.
Each employee who elects to become a participant in the Plan authorizes a
monthly payroll deduction from one to fourteen percent of eligible earnings. The
Savings Program Administration Committee has the authority at its discretion to
reduce the employees' monthly contribution percentage in order to maintain the
qualified tax status of the plan.
Under both savings options, the participant may direct that contributions be
invested in any or all of the four eligible funds. Participants can contribute
to each of the eligible four funds under both savings options.
The Plan provides that for each plan year the employer will contribute a
percentage of the participants' contributions up to six percent of the
participants' monthly eligible earnings.
The employer contribution rate is 100% of participants' eligible contributions
to the Geon Common Stock Fund and 50% of participants' eligible contributions to
the Fixed Income, Equity Index, or Balanced funds. Employer contributions are
invested only in the Geon Common Stock Fund.
5
<PAGE> 8
The Geon Retirement Savings Plan
Notes to Financial Statements - Continued
A. DESCRIPTION OF THE PLAN--CONTINUED
The Plan provides for the acceptance of rollover contributions from other plans
qualified under the Internal Revenue Code (the "Code"). Rollover contributions
can be made only in cash to the Plan's tax-deferred savings option.
Except for the Loan Fund and the BFGoodrich Company Common Stock Fund,
dividends, interest, and proceeds from sale of investments in each Fund are
reinvested in the respective Fund. Dividend income from the BFGoodrich Company
Common Stock Fund is reinvested in the Geon Company Common Stock Fund. Repayment
of principal and interest on participant loans is reinvested to the various
funds, excluding The BFGoodrich Company Common Stock Fund, based upon the
participant's investment mix.
CONTRIBUTION AND WITHDRAWALS
Participant contributions are fully vested immediately and Company contributions
vest upon completion of three years of service by the participant (or upon
death, long-term disability, or Company initiated workforce reductions). Company
contributions may not be withdrawn until the participant reaches age 55 and is
vested. Forfeitures are applied to reduce employer contributions.
A participant who elects to withdraw from the Plan will receive distributions
from the Fixed Income Fund, the Equity Index Fund, and the Balanced Fund in
cash. Distributions from The Geon Company Common Stock Fund or the BFGoodrich
Company Common Stock Fund may be made in cash or common stock of the respective
fund. Distributions or withdrawals cannot be made directly from the Brokerage
Account. Amounts in the Brokerage Account must first be transferred into another
fund, excluding the BFGoodrich Common Stock Fund, before a withdrawal
distribution can be made.
PLAN TERMINATION
Although it has not expressed any intent to do so, the Company has the right
under the Plan to discontinue its contributions at any time and terminate the
Plan subject to the provisions of ERISA. In the event of termination of the
Plan, the net assets of the Plan will be distributed to the participants based
on the respective value of their accounts. Since this is an individual account
plan, the Pension Benefit Guaranty Corporation does not guarantee any benefits.
6
<PAGE> 9
The Geon Retirement Savings Plan
Notes to Financial Statements - Continued
A. DESCRIPTION OF THE PLAN--CONTINUED
The foregoing description of the Plan provides only general information.
Participants should refer to the Pathways Retirement Savings Plan Brochure for a
more complete description of the Plan's provisions. Copies of the brochure are
available from the Human Resources Department of the Company.
ADMINISTRATIVE FEES
All significant administrative fees are paid by The Geon Company, the Plan
sponsor.
B. SIGNIFICANT ACCOUNTING POLICIES
The Plan's financial statements are reported on the accrual basis.
Investments are stated at fair value. Investments in common stock are valued at
the last reported sales price of the common stock on the last business day of
the plan year. The investment in the State Street Bank Selection Fund represents
the Plan's proportionate share of the net assets of the fund. The assets of the
State Street Bank Selection Fund, primarily deposits under insurance contracts,
are valued at contract value, plus income received thereon, less distributions
and administrative expense payments, which approximates fair value. The
investment in the State Street Bank common trust funds are valued at the
redemption price of units owned by the plan, which is based on the current
market value of the underlying assets of the fund. The shares of registered
investment companies are valued at quoted market prices which represent the net
asset value of shares held by the Plan at year-end. The Short-Term Investment
Fund consists of short-term fixed income obligations which have a market value
approximating cost. The participant notes receivable are valued at their
outstanding balances which approximate fair value.
The preparation of the financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the amounts reported in the financial statements and
accompanying notes. Actual results could differ from those estimates.
7
<PAGE> 10
The Geon Retirement Savings Plan
Notes to Financial Statements - Continued
C. INCOME TAX STATUS
On May 29, 1996, the Internal Revenue Service issued a favorable determination
letter indicating the Plan qualifies under Section 401(a) of the Internal
Revenue Code (the "Code") and therefore, the related trust is not subject to tax
under present income tax laws. Once qualified, the Plan is required to operate
in conformity with the Code to maintain its qualification. The Plan
Administrator is not aware of any course of action or series of events that
might adversely affect the Plan's qualified status.
D. INVESTMENTS
The Plan's investments are held by a bank-administered trust fund. Net realized
and unrealized appreciation (depreciation) in the aggregate fair value of plan
investments for the year ended December 31, 1997 is as follows:
<TABLE>
<CAPTION>
<S> <C>
Common Stock:
The Geon Company Common Stock $ 8,803,608
The BFGoodrich Company Common
Stock 455,273
Other 189,361
Common Trust Funds:
Balanced Fund 714,007
Equity Index Fund 7,220,319
Shares of registered investment companies 268,777
Other 7,034
---------------------
$ 17,658,379
=====================
</TABLE>
8
<PAGE> 11
The Geon Retirement Savings Plan
Notes to Financial Statements - Continued
D. INVESTMENTS--CONTINUED
The fair value of individual investments that represent 5% or more of the Plan's
net assets available for plan benefits are as follows:
<TABLE>
<CAPTION>
December 31
1997 1996
----------------------------------------
<S> <C> <C>
The Geon Company Common Stock,
2,399,890 and 2,083,387 shares, respectively $ 56,097,428 $ 40,886,455
The BFGoodrich Company Common Stock, 370,593 and 415,646
shares, respectively 15,356,448 16,833,663
State Street Bank Selection Fund,
29,993,569 and 33,208,629 units, respectively 29,993,569 33,208,629
State Street Bank Flagship S&P 500 Index Fund, 202,747 and
177,994 units, respectively 32,288,796 21,253,227
</TABLE>
E. TRANSACTIONS WITH PARTIES-IN-INTEREST
All legal, accounting and administrative expenses are paid by the Company. Other
than as described above or pursuant to the trust agreement, the Plan has had no
agreements or transactions with any parties-in-interest.
F. YEAR 2000 ISSUE (UNAUDITED)
The Plan Sponsor has nearly completed the conversion of its primary commercial
and financial information systems to an enterprise system which is Year 2000
compliant. The Plan Sponsor is continuing to evaluate other systems and
processes, which includes determining whether third party service providers have
reasonable plans in place to become Year 2000 compliant. The Plan Sponsor does
not expect this project to have a significant effect on the plan's operations.
9
<PAGE> 12
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes
December 31, 1997
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- ---------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS
The Geon Company* 2,399,890 shares $ 58,480,307 $ 56,097,428
The BFGoodrich Company 370,593 shares 8,039,026 15,356,448
AT&T Corp. 2,016 shares A 123,607
ATC Group Services Inc. 425 shares A 4,941
Acclaim, Entmt. Inc. Com. 2,220 shares A 7,975
Agrium Inc. 500 shares A 6,094
Airtran Hldgs Inc. 1,200 shares A 4,800
Airtouch Communications 100 shares A 4,156
Alliance Semiconductor Cor. 100 shares A 456
Allied Signal Inc. 89 shares A 3,454
American Drug Co. 125 shares A 10
American Express Co. 30 shares A 2,678
American Mobile Satellite 565 shares A 3,955
American Res. Of Del. Inc. 518 shares A 1,198
Amgen Inc. 150 shares A 8,119
Analog Devices Inc. 165 shares A 4,569
Anheuser Busch Cos. 300 shares A 13,200
Apple Computer Inc. 600 shares A 7,875
Applebees Intl. Inc. 100 shares A 1,806
Apria Healthcare Group Inc. 100 shares A 1,344
Ashton Tech. Group Inc. 1,000 shares A 1,750
Asia Tigers Fd. Inc. 300 shares A 2,250
Atlantic Energy Inc. 100 shares A 2,119
Aviron 200 shares A 5,425
Bally Total Fitness Holdings 25 shares A 547
Banco DE Santander 95 shares A 3,093
Banyan Systems Inc. 500 shares A 1,469
Barnes and Noble Inc. 200 shares A 6,675
Bay Networks Inc. 300 shares A 7,688
</TABLE>
10
<PAGE> 13
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- --------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS--CONTINUED
Bell Atlantic Corp. 15 shares A 1,365
Berkshire Hathaway Inc. 5 shares A 7,695
Bethlehem Steel Corp. 150 shares A 1,303
Biomet Inc. 200 shares A 5,125
Boeing Co. 110 shares A 5,383
Borders Group Inc. 100 shares A 3,131
Boston Chicken Inc. 800 shares A 5,150
Boston Scientific 1,500 shares A 68,813
Brooktrout Tech. Inc. 1,500 shares A 17,345
Brush Creek Mng. & Dev.
Co. Inc. 25,000 shares A 24,225
Burlington Res. Inc. 100 shares A 4,481
CBS Corp. 150 shares A 4,416
CML Group Inc. 100 shares A 331
Caledonia Mining 2,000 shares A 562
Calgon Carbon Corp. 200 shares A 2,150
Callaway Golf Co. 400 shares A 11,425
Cambridge Neuroscience 200 shares A 394
Canadian National Ry. Co. 100 shares A 4,725
Cascade Nat. Gas Corp. 100 shares A 1,875
Caterpillar Inc. 400 shares A 19,400
Centocor Inc. 100 shares A 3,325
Central Maine Power 300 shares A 4,575
Central VT Pub. Svc. Corp. 100 shares A 1,525
Chesapeake Energy Corp. 500 shares A 3,782
Chevron Corp. 330 shares A 25,410
Chiron Corp. 600 shares A 10,200
Chrysler Corp. 424 shares A 14,920
Cineplex Odeon Corp. 2,000 shares A 2,500
Cirrus Logic Inc. 800 shares A 8,500
</TABLE>
11
<PAGE> 14
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- ------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS--CONTINUED
Circus Circus Enterprises 300 shares A 6,150
Coca Cola Co. 1,617 shares A 107,835
Coca Cola Enterprises Inc. 389 shares A 13,834
Columbia Gas Systems Inc. 185 shares A 14,534
Comcast Corp. 100 shares A 3,188
Compaq Computer Co. 150 shares A 8,475
Compuserve Corp. 100 shares A 1,213
Comshare Inc. 219 shares A 1,355
Countrywide Credit Ind. Inc. 100 shares A 4,288
Cymer Inc. 100 shares A 1,500
DSC Communications Corp. 300 shares A 7,200
Deere & Company 60 shares A 3,495
Dell Computer Corp. 100 shares A 8,400
Delta Pete Corp. 250 shares A 453
Dial Corp. 200 shares A 4,163
Diametrics Med. Inc. 1,000 shares A 5,563
Disney Walt Co. 200 shares A 19,800
Diversinet Corp. 300 shares A 188
Dominion Res. Inc. 100 shares A 4,256
Du Pont E I De Nemours & Co. 170 shares A 10,211
Echo Bay Mines Ltd. 4,500 shares A 10,971
Electronic Data Sys. Corp. 200 shares A 8,788
Emerald Financial Corp. 100 shares A 2,213
Energy Group 50 shares A 2,229
Ericsson L M Tel Co. 363 shares A 13,545
Espirito Santo Finl Hldgs 500 shares A 10,157
Exxon Corp. 574 shares A 35,122
Flagstar Cos. Inc. 1,000 shares A 0
Fleming Companies Inc. 400 shares A 5,375
Fletcher Challenge Ltd. 1,000 shares A 8,375
</TABLE>
12
<PAGE> 15
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- ------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS--CONTINUED
Fletcher Challenge Paper 110 shares A 1,382
Flowers Inds. Inc. 131 shares A 2,694
Fluor Corp. 100 shares A 3,738
Fonar Corp. 500 shares A 1,438
Ford Mtr. Co. 650 shares A 31,566
Foreland Corp. 275 shares A 1,066
Frontier Corp. 300 shares A 7,200
GTE Corp. 66 shares A 3,449
Galoob Toys Inc. 800 shares A 8,150
Gap Inc. 600 shares A 21,263
Gateway 2000 Inc. 1,974 shares A 64,649
Genelabs Techs Inc. 300 shares A 844
General Electric Co. 635 shares A 46,593
General Motors Corp. 1,706 shares A 103,640
Genesee Corp. 100 shares A 4,050
Gensia Sicor Inc. 1,800 shares A 10,463
Gerber Scientific Inc. 100 shares A 1,988
Gillette Co. 1,000 shares A 100,438
Glaxo Wellcome Plc 72 shares A 3,447
Global Marine Inc. 500 shares A 12,282
Golden Triangle Industries 400 shares A 4,800
Goodrich B F Co. 503 shares A 20,843
Grossmans Inc. 8,000 shares A 128
Hanson Plc 50 shares A 1,150
Harrah's Entertainment Inc. 1,700 shares A 32,088
Heartstream Inc. 400 shares A 4,275
Headway Corporate Resource 2,000 shares A 8,500
Helmerich & Payne 300 shares A 20,363
Hershey Foods Corp. 500 shares A 30,969
Hewlett-Packard Co. 238 shares A 14,845
</TABLE>
13
<PAGE> 16
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- -------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS--CONTINUED
Hilton Hotels Corp. 600 shares A 17,850
Holly Holdings Inc. 17 shares A 0
Homestake Mng. Co. 100 shares A 888
Houston Inds. Inc. 100 shares A 2,675
INMC Mortgage Holdings Inc. 628 shares A 14,719
I-Link Inc. 1,500 shares A 7,500
Imation Corp. 32 shares A 512
Imatron Inc. 100 shares A 231
Imperial Tobacco Group Plc 100 shares A 1,264
Industrial Holdings Inc. 390 shares A 4,826
Informix Corp. 200 shares A 950
Information Mgmt. Tech 870 shares A 544
Inland Stl. Inds. Inc. 300 shares A 5,138
Integrated Silicon Solution Inc. 200 shares A 1,525
Intel Corp. 1,370 shares A 96,243
Intl. Business Machine 370 shares A 38,711
Intl. Paper Co. 695 shares A 29,972
Intuit Inc. 200 shares A 8,250
Invacare Corp. 2,965 shares A 64,489
Iomega Corp. 2,912 shares A 36,219
Isolyser Inc. 546 shares A 1,280
Invax Corp. 500 shares A 3,375
Jan Bell Marketing 2,000 shares A 5,000
Johnson & Johnson 79 shares A 5,204
Jones Med. Inds. Inc. 200 shares A 7,650
Keithley Instruments Inc. 1,035 shares A 8,992
Kellye Oil & Gas Crp 13,000 shares A 28,444
Lasmo Plc 600 shares A 7,613
LSI Logic Corp. 1,400 shares A 27,475
Lady Luck Gaming Corp. 200 shares A 200
</TABLE>
14
<PAGE> 17
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- ------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS--CONTINUED
Lafarge Corp. 300 shares A 8,868
Logans Roadhouse Inc. 300 shares A 4,650
Long Island Ltg. Co. 50 shares A 1,506
Louisiana Pacific 300 shares A 5,700
Lowes Companies 100 shares A 4,769
Lucent Tech. Inc. 32 shares A 2,556
McDonalds Corp. 30 shares A 1,433
McKesson Corp. 100 shares A 10,838
Medusa Corp. 100 shares A 4,181
Merck & Co. Inc. 350 shares A 37,100
Mercury Fin. Co. 5,145 shares A 2,897
Meridian Gold Inc. 300 shares A 881
Meritor Automotive Inc. 45 shares A 948
Microsoft Corp. 447 shares A 57,775
Microchip Tech. Inc. 417 shares A 12,510
Micron Technology 300 shares A 7,781
Midisoft Corp. 100 shares A 47
Millennium Chemicals Inc. 528 shares A 12,408
Millenia Inc. 1,200 shares A 3,526
Minnesota Mng. & Mfg 496 shares A 40,703
Money Store Inc. 300 shares A 6,300
Monsanto Company 400 shares A 16,800
Montana Power Co. 200 shares A 6,350
Morgan J.P. & Co. Inc. 88 shares A 9,933
Morrison Knudsen Comb. Ser 20 shares A 0
Morrison Knudsen Crp 264 shares A 2,574
Motivepower Inds. Inc. 122 shares A 2,837
Motorola Inc. 1,550 shares A 88,641
Mylan Labs Inc. 500 shares A 10,469
Mylex Corp. 400 shares A 3,600
</TABLE>
15
<PAGE> 18
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rte of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- ------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS--CONTINUED
NCR Corp. 6 shares A 167
NL Inds. Inc. 200 shares A 2,725
NTN Communications Inc. 445 shares A 445
National Patent Dev. Corp. 500 shares A 6,938
Natl. Visions Assoc 840 shares A 4,988
Netscape Commnctn. Corp. 300 shares A 7,313
Noble Drilling Corp. 200 shares A 6,125
Northwestern Steel & Wire Co. 200 shares A 525
Novell Inc. 300 shares A 2,250
Nucor Corp. 100 shares A 4,831
Ods Networks Inc. 400 shares A 2,575
Object Design Inc. 1,100 shares A 9,213
Olsten Corp. 200 shares A 3,000
Oracle Corporation 3,310 shares A 73,856
Orbital Engine Ltd. 3,000 shares A 10,314
Oxford Health Plans Inc. 534 shares A 8,311
Pairgain Tech Inc. 100 shares A 1,938
Pepsico Inc. 2,120 shares A 76,850
Perkin-Elmer Corp. 160 shares A 11,370
Pharmacia & Upjohn Inc. 200 shares A 7,325
Pharmaceutical Mrktg. Svcs 1,209 shares A 12,392
Phelps Dodge Corp. 300 shares A 18,675
Philip Morris Cos 156 shares A 7,059
Placer Dome Inc. 1,000 shares A 12,688
Planet Hollywood Intl. Inc. 500 shares A 6,625
Players Intl. Inc. 2,000 shares A 6,376
President Casinos Inc. 500 shares A 1,782
Procter & Gamble Co. 125 shares A 9,977
Proxim Inc. 1,000 shares A 11,313
Proxymed Inc. 1,000 shares A 7,063
</TABLE>
16
<PAGE> 19
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- -----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS--CONTINUED
Quaker Oats Co. 100 shares A 5,275
Q Med Inc. 94 shares A 564
RJR Nabisco Hldgs. Corp. 450 shares A 16,875
RMI Titanium Co. 200 shares A 4,025
RPM Inc. 942 shares A 14,366
Radius Inc. 500 shares A 157
Rainforest Cafe Inc. 400 shares A 13,200
Rambus Inc. 117 shares A 5,353
Raytheon Co. 105 shares A 5,184
Readers Digest Assn. Inc. 300 shares A 7,088
Rhone Poulenc 813 shares A 35,925
Rockwell Intl. Corp. 135 shares A 7,054
Rogue Wave Software 150 shares A 1,659
Rottlund Inc. 600 shares A 1,950
Royal Group Tech. Ltd. 1,435 shares A 33,275
Rubbermaid Inc. 200 shares A 5,000
SEI Investment Co. 500 shares A 21,000
SAF-T-Lok Inc. 1,250 shares A 1,993
Schlumberger Limited 100 shares A 8,050
Scientific Atlanta 140 shares A 2,345
Seagate Technology 200 shares A 3,850
Sears Roebuck & Co. 100 shares A 4,525
Service Merchandise Inc. 2,800 shares A 5,950
Shaw Industries Inc. 222 shares A 2,581
Silicon Graphics Inc. 400 shares A 4,925
Singer Co. 319 shares A 2,732
Solutia Inc. 95 shares A 2,535
Sonat Inc. 100 shares A 4,575
Spyglass Inc. 1,300 shares A 6,419
Steel Technologies Inc. 1,400 shares A 16,450
</TABLE>
17
<PAGE> 20
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- ------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS--CONTINUED
STERIS Corp. 451 shares A 21,761
Stolt Nielsen 150 shares A 3,281
Stone Container Corp. 100 shares A 1,088
Strategic Solution Group 275 shares A 206
Sugen Inc. 148 shares A 1,943
Sun Microsystems Inc. 400 shares A 15,950
Sun Television & Appliances
Inc. 9,500 shares A 19,000
Sunbeam Corporation 185 shares A 7,816
Sybase Inc. 300 shares A 3,994
TCF Financial Corp. 310 shares A 10,521
TCI Satellite Entmt. Inc. 35 shares A 241
Talbots Inc. 100 shares A 1,813
Tel Save Hldgs. Inc. 300 shares A 5,963
Tele-communications Inc. 350 shares A 9,778
Telefonica De Peru S.A 700 shares A 16,319
Telefonos De Mexico 100 shares A 5,606
Tellabs Inc. 100 shares A 5,288
Templeton Russian Fund Inc. 220 shares A 8,635
Tesoro Petroleum 500 shares A 7,750
Texaco Inc. 370 shares A 20,119
360 Communication Co. 100 shares A 2,019
Titan Corp. 400 shares A 2,500
Topps Inc. 100 shares A 222
Town & Country Corp. 12,000 shares A 0
Toys R Us Hldg. Co. 100 shares A 3,144
Tricon Global Restaurants Inc. 212 shares A 6,161
USX Marathon Group 1,000 shares A 33,750
U S Wireless Corp. 6,800 shares A 16,150
Union Carbide Corp. 134 shares A 5,754
</TABLE>
18
<PAGE> 21
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- -------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON STOCKS--CONTINUED
Union Planters Corp. 250 shares A 16,969
Unisys Corp. 774 shares A 10,739
United Amern. Healthcare Co. 125 shares A 274
Utah Med. Products Inc. 3,600 shares A 24,527
Utilicorp United Inc. 158 shares A 6,132
Valence Technology Inc. 1,200 shares A 6,076
Vencor Inc. 200 shares A 4,888
Venture Stores Inc. 7,000 shares A 6,125
Viad Corp. 200 shares A 3,863
Wabash National Corp. 200 shares A 5,688
Wackenhut Correction Corp. 300 shares A 8,063
Wal Mart Stores Inc. 200 shares A 7,888
Walgreen Company 792 shares A 24,849
Webb Del Corp. 200 shares A 5,200
Western Digital Corp. 450 shares A 7,200
Williams Ctls. Inc. 750 shares A 1,875
Winstar Communications Inc. 200 shares A 4,988
Zeigler Coal Holdings 400 shares A 6,525
Zomax Optical Media Inc. 700 shares A 6,475
Taro Pharmaceuticals Inds 1,190 shares A 6,471
----------
74,618,133
COMMON TRUST FUNDS
State Street Bank* Selection Fund--29,993,569
units 29,993,569 29,993,569
State Street Bank* Flagship S&P 500 Index Fund
202,747 units 20,493,685 32,288,796
State Street Bank* Short-Term Investment Fund
2,442,955 units 2,442,955 2,442,955
</TABLE>
19
<PAGE> 22
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- ----------------------------------------------------------------------------------------
<S> <C> <C> <C>
COMMON TRUST FUNDS--
CONTINUED
State Street Bank* S&P Midcap Index Fund 190,537 241,767
State Street Bank Daily Bond Market Fund 1,792,299 1,962,561
State Street Bank SSB 1 SPIFF 1,123,877 1,136,821
-----------------------
56,036,922 68,066,469
SHARES OF REGISTERED
INVESTMENT COMPANIES
Fidelity US Bond Index 1,747 shares A 18,848
Fidelity Capital & Income 6 shares A 62
Fidelity Stock Selector 765 shares A 20,758
Fidelity Asset Manager 2,153 shares A 39,501
Fidelity Asset Manager Growth 969 shares A 17,907
Fidelity ContraFund 1,059 shares A 49,381
Fidelity Real Estate Investment 1,895 shares A 38,751
Fidelity Equity Income II 4,789 shares A 129,341
Fidelity Retirement Growth 812 shares A 13,683
Spartan High Income 4,755 shares A 61,960
Fidelity Magellan 1,664 shares A 158,504
Fidelity Grwoth Company 1,545 shares A 66,925
Fidelity Puritan 10,979 shares A 212,778
Fidelity Low Priced Stock 1,072 shares A 26,931
Fidelity Growth & Income 2,502 shares A 95,336
Fidelity Blue Chip Growth 1,142 shares A 45,065
Fidelity Dividend Growth 1,755 shares A 40,850
Select Regional Banks 1,309 shares A 53,748
Select Medical Delivery 466 shares A 12,137
Select Energy Service 753 shares A 22,917
</TABLE>
20
<PAGE> 23
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
SHARES OF REGISTERED INVESTMENT
COMPANIES--
CONTINUED
Select Food & Agriculture 513 shares A 24,542
Select Brokerage & Investment 519 shares A 19,147
Select Electronics 5,772 shares A 177,822
Fidelity Export & Multinational 3,097 shares A 52,712
Fidelity Value 1,702 shares A 92,000
Aim Aggressive Growth 25 shares A 1,136
White Oak Grwoth Stock 331 shares A 9,671
Aim Value Class B 1,627 shares A 51,888
Aim Balanced Class B 109 shares A 2,811
Aim Global Aggress. Growth 311 shares A 5,295
Alliance Growth Class B 1,089 shares A 38,081
Amer Century Benham Target 205 shares A 6,329
American Century Value 918 shares A 6,378
American Century Benham
Growth 168 shares A 1,797
American Century 20th Cent 617 shares A 14,824
American Century 20th Cent 1,294 shares A 16,074
American Century 20th Cent 906 shares A 7,419
Babson Value Income 174 shares A 7,969
Baron Asset 1,269 shares A 61,536
Berger Growth & Inc. Retail 195 shares A 2,621
Berger Small Co. Growth Retail 785 shares A 3,478
Berger One Hundred Retail 1,144 shares A 15,391
Brandywine 881 shares A 27,220
Bull & Bear Gold 1,765 shares A 7,340
Cohen & Steers Realty Share 128 shares A 6,438
Dreyfus High Yield Securities 345 shares A 5,012
Evergreen Foundation Class 289 shares A 5,569
</TABLE>
21
<PAGE> 24
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- -------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
SHARES OF REGISTERED INVESTMENT
COMPANIES--
CONTINUED
Fidelity Advisor Growth Opp 750 shares A 31,839
Founders Frontier 567 shares A 15,865
Founders Special 3,022 shares A 23,326
Founders Worldwide Growth 519 shares A 10,946
Fremont US Micro Capital 727 shares A 14,737
GT Global America Growth 1,929 shares A 39,169
GT Global Emerging Markets 142 shares A 1,696
GT Global Strategic Income 252 shares A 3,053
Guinness Flight China & Hong 312 shares A 4,024
John Hancock Special Equity 297 shares A 7,705
Harbor Capital Appreciation 252 shares A 7,420
Oakmark Fund 370 shares A 14,945
Oakmark Small Cap 153 shares A 2,973
Oakmark Select 2,594 shares A 45,445
Heartland Group US Govern 2,471 shares A 24,342
Hotchkis & Wiley International 374 shares A 8,472
Invesco Internat'l European 578 shares A 8,560
Janus Fund 4,143 shares A 103,152
Janus Inv't Growth & Income 643 shares A 14,891
Janus Inv't Worldwide 4,891 shares A 184,792
Janus Inv't Twenty 164 shares A 5,089
Janus Special Situations 2,145 shares A 29,887
Janus Olympus 136 shares A 2,396
Janus High Yield Bond 449 shares A 5,115
Janus Enterprise 124 shares A 3,780
Janus Inv't Overseas 1,795 shares A 31,208
Janus Inv't Mercury 358 shares A 5,912
Kaufmann Fund 13,942 shares A 88,808
</TABLE>
22
<PAGE> 25
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- -------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
SHARES OF REGISTERED INVESTMENT
COMPANIES--
CONTINUED
Longleaf Partners 1,677 shares A 43,564
Longleaf Realty 4,750 shares A 82,421
Loomis Sayles Bond 3,283 shares A 42,119
Montgomery Emerging Market 506 shares A 6,549
Montgomery Growth 400 shares A 8,758
Mutual Series Beacon Class 3,893 shares A 54,974
Neuberger & Berman Genesis 55 shares A 1,223
Neuberger & Berman Guardia 1,542 shares A 26,676
Neuberger & Berman Focus 396 shares A 8,082
Oppenheimer Main St Inc. &
Growth 273 shares A 9,050
PBHG Growth 930 shares A 23,615
PBHG Emerging Growth 541 shares A 12,630
Putnam Global Growth 1,368 shares A 13,622
Putnam Growth & Income II 902 shares A 12,268
Putnam OTC & Emerging Gro 184 shares A 2,968
Putnam New Opportunities 202 shares A 9,490
Robertson Stephens Value 582 shares A 13,480
Robertson Stephens Global 346 shares A 4,038
T Rowe Price Equity Income 2,677 shares A 69,782
T Rowe Price Growth & Income 732 shares A 19,295
T Rowe Price Mid Cap Growth 115 shares A 3,287
T Rowe Price New Horizons 361 shares A 8,412
T Rowe Price European Stock 909 shares A 17,589
T Rowe Price Science &
Technology 388 shares A 10,574
Rydex Nova Fund 3,144 shares A 78,371
Rydex URSA Fund 13,809 shares A 76,502
</TABLE>
23
<PAGE> 26
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- --------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
SHARES OF REGISTERED INVESTMENT
COMPANIES--CONTINUED
SSGA Emerging Markets 538 shares A 5,217
SSGA S&P 500 Index 262 shares A 5,142
Safeco Growth 196 shares A 4,400
Seligman Communictns. & Info 2,653 shares A 61,676
Seligman Henderson Global 664 shares A 5,924
SSGA Money Market 660,677 shares A 660,677
Skyline Special Equities II 561 shares A 7,151
Sogen Int'l Income 681 shares A 17,321
Sound Shore Fd. Inc. 998 shares A 28,521
Spectra Fund Inc. 1,645 shares A 28,190
Stein Roe Investment Trust 744 shares A 16,573
Stein Roe Investment Trust C 167 shares A 4,988
Stein Roe Investment Trust S 63 shares A 1,853
Strong Income High Yield Bonds 1,332 shares A 15,773
Strong Growth 1,353 shares A 24,775
Strong Equity Income Small 258 shares A 2,952
Strong American Utilities 84 shares A 1,242
Strong Schafer Value 56 shares A 3,547
Strong Gov't Securities Income 2,207 shares A 23,727
Strong Discovery Income 681 shares A 11,573
Strong Opportunity Income 189 shares A 7,085
Templeton Developing Market 765 shares A 9,902
Templeton World Fund CL I 163 shares A 2,741
Templeton Foreign 1,566 shares A 15,579
Templeton Growth Class I 1,965 shares A 38,131
Tweedy Browne Global Value 1,103 shares A 18,084
Van Wagoner Income Micro-C 930 shares A 9,293
</TABLE>
24
<PAGE> 27
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- -----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Van Wagoner Income Emerging 200 shares A 2,030
SHARES OF REGISTERED
INVESTMENT COMPANIES--
CONTINUED
Van Wagoner Income Post Ve. 1,695 shares A 14,880
Vanguard Specialized Health 170 shares A 12,204
Vanguard US Growth Portfolio 164 shares A 4,721
Vanguard Growth & Income 699 shares A 18,312
Vanguard/Wellington Income 2,076 shares A 61,137
Vanguard/Primecap 1,911 shares A 75,610
Vanguard Select Value Fund 287 shares A 3,523
Vanguard/Windsor II Portfolio 1,133 shares A 32,440
Vanguard Index Trust S&P 500 77 shares A 6,958
Warburg Pincus Fixed Income 176 shares A 1,812
Warburg Pincus Emerging
Growth 17 shares A 636
Warburg Pincus International 445 shares A 7,566
Warburg Pincus Growth & In 658 shares A 10,843
Warburg Pincus Balanced 694 shares A 9,094
Yacktman Fund 195 shares A 2,736
---------
4,491,308
</TABLE>
25
<PAGE> 28
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(a)--Schedule of Assets Held for Investment Purposes--
Continued
<TABLE>
<CAPTION>
Description of Investment
Including Maturity Date,
Identity of Issue, Borrower, Rate of Interest, Par or Historical Market
Lessor or Similar Party Maturity Value Cost Value
- -------------------------------------------------------------------------------------------
<S> <C> <C> <C>
OTHER
Preferred Stock:
Freeport-McMoran Copper 240 shares A 5,760
Warrants:
American Drug Co. 125 shares A 2
Morrison Knudsen Crp 217 shares A 624
Real Estate:
Capstead Mtg. Corp. 1,000 units A 19,938
Childrobics Inc. 100 units A 0
Crescent Real Estate Equities 300 units A 11,813
First Tr. Spl. Sits. Tr. 5,051 units A 56,218
Plum Creek Timber Co. 500 units A 15,125
Transcontinental Realty Inv. 500 units A 8,063
------------
117,543
Participant Loans 8.0%-8.75% 5,717,572
------------
Total assets held for investment
purposes $153,011,025
============
</TABLE>
* Indicates party-in-interest to the Plan.
(A) This information is not available.
26
<PAGE> 29
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(b)--Schedule of Loans or Fixed Income Obligations
<TABLE>
<CAPTION>
Amount Received
Original During 1997 Unpaid
Amount ---------------------- Balance at
Identity & Address of Obligor of Loan Principal Interest Year End
- ---------------------------------------------------- ---------------------- ------------
<S> <C> <C> <C> <C>
J. Daly $ 5,050 $ 865 $ 282 $ 3,854
13,500 889 428 12,611
25,000 816 403 24,184
T. Buckner 3,000 228 22 1,564
G. Waarsch 30,000 0 0 2,169
L. Webb 5,100 720 68 1,412
4,000 433 119 2,231
C. Singleton, Beneficiary 20,000 1,990 736 17,686
of J. Singleton
D. Ernst 9,900 652 314 9,248
</TABLE>
<TABLE>
<CAPTION>
Loan Details Amount Overdue
-------------------------------------------------- -----------------------
Date of Maturity Interest
Identity & Address of Obligor Issuance Date Rate Collateral Principal Interest
- ------------------------------------------------------------------------------------------- -----------------------
<S> <C> <C> <C> <C> <C> <C>
J. Daly 8/30/96 9/4/00 8.50% Account Balance $ 3,854 $ 505
5/8/97 3/4/92 8.50% Account Balance 12,611 2,539
7/24/97 5/13/92 8.50% Account Balance 24,184 5,092
T. Buckner 2/21/96 2/23/98 6.50% Account Balance 1,564 70
G. Waarsch 3/1/92 3/28/97 6.50% Account Balance 2,169 24
L. Webb 7/15/94 7/13/98 7.00% Account Balance 1,412 52
2/16/95 12/13/99 9.00% Account Balance 2,231 266
C. Singleton, Beneficiary 11/21/96 11/27/00 8.50% Account Balance 17,686 2,758
of J. Singleton
D. Ernst 4/9/97 2/4/02 8.50% Account Balance 9,248 1,852
</TABLE>
27
<PAGE> 30
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(b)--Schedule of Loans or Fixed Income Obligations--
Continued
<TABLE>
<CAPTION>
Amount Received
Original During 1997 Unpaid
Amount ---------------------- Balance at
Identity & Address of Obligor of Loan Principal Interest Year End
- ---------------------------------------------------- ---------------------- ------------
<S> <C> <C> <C> <C>
C. Roberson 5,875 632 235 5,195
D. Morgan 25,000 837 63 6,304
D. Pierce 1,594 309 147 3,265
R. Lee 46,200 195 192 38,251
3,000 49 6 1,353
J. Matos 5,000 286 11 633
2,500 182 12 722
1,200 218 20 875
J. Sirfanni 6,000 157 19 2,658
J. Bohl 11,000 0 0 5,142
1,000 0 0 604
3,500 0 0 2,140
</TABLE>
<TABLE>
<CAPTION>
Loan Details Amount Overdue
-------------------------------------------------- -----------------------
Date of Maturity Interest
Identity & Address of Obligor Issuance Date Rate Collateral Principal Interest
- ------------------------------------------------------------------------------------------- -----------------------
<S> <C> <C> <C> <C> <C> <C>
C. Roberson 12/9/96 12/11/00 8.50% Account Balance 5,195 810
D. Morgan 3/1/93 3/27/98 6.00% Account Balance 6,304 220
D. Pierce 2/18/97 12/10/01 8.50% Account Balance 3,265 643
R. Lee 7/1/92 7/6/07 6.50% Account Balance 38,251 14,571
? 1/25/99 6.00% Account Balance 1,353 84
J. Matos 10/1/92 4/25/97 6.00% Account Balance 633 10
5/31/94 9/22/97 6.50% Account Balance 722 22
11/13/96 2/9/98 8.50% Account Balance 875 45
J. Sirfanni 4/21/95 4/20/98 9.00% Account Balance 2,658 155
J. Bohl 3/24/94 1/11/99 6.00% Account Balance 5,142 333
11/1/94 8/23/99 7.50% Account Balance 604 54
11/18/94 9/6/99 7.50% Account Balance 2,140 230
</TABLE>
28
<PAGE> 31
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Line 27(b)--Schedule of Loans or Fixed Income Obligations--
Continued
<TABLE>
<CAPTION>
Amount Received
Original During 1997 Unpaid
Amount ---------------------- Balance at
Identity & Address of Obligor of Loan Principal Interest Year End
- ---------------------------------------------------- ---------------------- ------------
<S> <C> <C> <C> <C>
M. Little 5,000 0 0 4,285
6,000 0 0 4,615
C. Braunacker 2,500 204 68 1,665
J. O'Sullivan 3,500 548 67 1,320
12,900 1,425 350 7,639
L. Herrman 4,000 270 26 1,070
8,500 627 210 5,713
7,500 0 0 7,500
B. Norris 2,300 138 24 1,118
3,200 266 42 1,584
J. Gibertini 25,000 729 258 18,141
2,000 73 19 1,332
</TABLE>
<TABLE>
<CAPTION>
Loan Details Amount Overdue
-------------------------------------------------- -----------------------
Date of Maturity Interest
Identity & Address of Obligor Issuance Date Rate Collateral Principal Interest
- ------------------------------------------------------------------------------------------- -----------------------
<S> <C> <C> <C> <C> <C> <C>
M. Little 12/1/93 6/6/08 6.00% Account Balance 4,285 1,651
9/5/95 6/26/00 9.00% Account Balance 4,815 773
C. Braunacker 7/19/95 5/15/00 9.00% Account Balance 1,665 234
J. O'Sullivan 6/22/95 6/29/98 9.00% Account Balance 1,320 65
8/23/95 8/23/99 9.00% Account Balance 7,639 782
L. Herrman 6/1/93 7/3/98 6.00% Account Balance 1,070 37
7/28/95 5/15/00 9.00% Account Balance 5,713 815
5/8/97 3/4/02 8.50% Account Balance 7,500 1,649
B. Norris 10/10/94 4/5/99 7.50% Account Balance 1,118 88
8/23/95 8/24/98 9.00% Account Balance 1,584 103
J. Gibertini 6/14/95 5/29/00 9.00% Account Balance 18,141 2,631
8/15/95 8/23/99 9.00% Account Balance 1,332 158
</TABLE>
Participants with loans in default are terminated participants and it is not
expected that any amount will be collected.
29
<PAGE> 32
The Geon Retirement Savings Plan
EIN 34-1730488 Plan 001
Form 5500, Item 27(d)--Schedule of Reportable Transactions
For the Year Ended December 31, 1997
<TABLE>
<CAPTION>
Current Value
of Assets on
Purchase Selling Cost of Transaction Net Gain
Description of Assets Price Price Assets Date (Loss)
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Category (iii)--Series of transaction in excess of 5% of plan assets
State Street Bank $ 7,382,879 $ 7,382,879 $ 7,382,879
Selection Fund* $ 10,597,950 10,597,950 10,597,950 $ 0
The Geon Company 27,997,465 27,997,465 27,997,465
Common Stock* 21,252,119 20,878,261 21,252,119 373,858
State Street Bank 4,070,783 4,070,783 4,070,783
Flagship S&P 500 Index Fund*
3,840,118 3,626,736 3,840,118 213,382
</TABLE>
* Indicates party-in-interest to the Plan.
There were no category (i), (ii) or (iv) reportable transactions during 1997.
30
<PAGE> 1
EXHIBIT 1
CONSENT OF INDEPENDENT AUDITORS
We consent to the incorporation by reference in the Registration Statement (Form
S-8 No. 33-65520) pertaining to The Geon Retirement Savings Plan, in the
Registration Statement (Form S-8 No. 33-65518) pertaining to The Geon Wage
Employees' Retirement Savings Plan, and in the Registration Statement (Form S-8
No. 33-92398) pertaining to The Geon Retirement Savings Plan, of our report
dated June 16, 1998, with respect to the financial statements and schedules of
The Geon Retirement Savings Plan included in this Annual Report (Form 11-K) for
the year ended December 31, 1997.
/s/ Ernst & Young LLP
Cleveland, Ohio
June 26, 1998
