Schedule 13D
Cusip No. 731745105

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                  SCHEDULE 13D
                                 (Rule 13d-101)

                    Under the Securities Exchange Act of 1934
                               (Amendment No. 7)*

                               Polymer Group, Inc.
--------------------------------------------------------------------------------
                                (Name of Issuer)

                     Common Stock, par value $0.01 per share
                     ---------------------------------------
                         (Title of Class of Securities)

                                    731745105
                                 --------------
                                 (CUSIP Number)

               MatlinPatterson Global Opportunities Partners L.P.
          MatlinPatterson Global Opportunities Partners (Bermuda) L.P.
              MatlinPatterson Global Opportunities Partners B, L.P.
                       MatlinPatterson Global Advisers LLC
                       MatlinPatterson Global Partners LLC
                      MatlinPatterson Asset Management LLC
                               MatlinPatterson LLC
                                Mark R. Patterson
                                 David J. Matlin
                            (Name of Persons Filing)

                                  Robert Weiss
                       MatlinPatterson Global Advisers LLC
                               520 Madison Avenue
                            New York, New York 10022
                            Telephone: (212) 651-9525

            (Name, Address and Telephone Number of Person Authorized
                     to Receive Notices and Communications)

                                August 15, 2005
                             -----------------------
             (Date of Event which Requires Filing of this Statement)

     If the filing person has previously filed a statement on Schedule 13G to
report the acquisition that is the subject of this Schedule 13D, and is filing
this schedule because of Rule 13d-l(e), 13d-l(f) or 13d-l(g), check the
following box |_|

     Note: Schedules filed in paper format shall include a signed original and
five copies of the schedule, including all exhibits. See Rule 13d-7 for other
parties to whom copies are to be sent. The remainder of this cover page shall be
filled out for a reporting person's initial filing on this form with respect to
the subject class of securities, and for any subsequent amendment containing
information which would alter disclosures provided in a prior cover page. The
information required on this cover page shall not be deemed to be "filed" for
the purpose of Section 18 of the Securities Exchange Act of 1934 ("Exchange
Act") or otherwise subject to the liabilities of that section of the Exchange
Act but shall be subject to all other provisions of the Exchange Act (however,
see the Notes)

                                  Page 1 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105

--------------------------------------------------------------------------------
1    NAMES OF REPORTING PERSONS

     I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
          MatlinPatterson Global Opportunities Partners L.P.

--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) |_|
                                                                         (b) |_|

--------------------------------------------------------------------------------
3    SEC USE ONLY

--------------------------------------------------------------------------------
4    SOURCE OF FUNDS
          AF, WC

--------------------------------------------------------------------------------
5    CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
     PURSUANT TO ITEMS 2(d) or 2(e)                                          |_|

--------------------------------------------------------------------------------
6    CITIZENSHIP OR PLACE OF ORGANIZATION
          Delaware

--------------------------------------------------------------------------------
  SHARES BENEFICIALLY OWNED         7    SOLE VOTING POWER
   BY EACH REPORTING PERSON                   0
           WITH

--------------------------------------------------------------------------------
                                    8    SHARED VOTING POWER
                                              9,968,675

--------------------------------------------------------------------------------
                                    9    SOLE DISPOSITIVE POWER
                                              0

--------------------------------------------------------------------------------
                                    10   SHARED DISPOSITIVE POWER
                                              9,968,675

--------------------------------------------------------------------------------
11   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
          9,968,675

--------------------------------------------------------------------------------
12   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
     CERTAIN SHARES                                                          |_|

--------------------------------------------------------------------------------
13   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
          64.7%

--------------------------------------------------------------------------------
14   TYPE OF REPORTING PERSON
          PN

--------------------------------------------------------------------------------

                                  Page 2 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105

--------------------------------------------------------------------------------
1    NAMES OF REPORTING PERSONS

     I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
          MatlinPatterson Global Opportunities Partners (Bermuda) L.P.

--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) |_|
                                                                         (b) |_|

--------------------------------------------------------------------------------
3    SEC USE ONLY

--------------------------------------------------------------------------------
4    SOURCE OF FUNDS
          AF, WC

--------------------------------------------------------------------------------
5    CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
     PURSUANT TO ITEMS 2(d) or 2(e)                                          |_|

--------------------------------------------------------------------------------
6    CITIZENSHIP OR PLACE OF ORGANIZATION
          Bermuda

--------------------------------------------------------------------------------
  SHARES BENEFICIALLY OWNED         7    SOLE VOTING POWER
   BY EACH REPORTING PERSON                   0
           WITH

--------------------------------------------------------------------------------
                                    8    SHARED VOTING POWER
                                              3,473,704

--------------------------------------------------------------------------------
                                    9    SOLE DISPOSITIVE POWER
                                              0

--------------------------------------------------------------------------------
                                    10   SHARED DISPOSITIVE POWER
                                              3,473,704

--------------------------------------------------------------------------------
11   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
          3,473,704

--------------------------------------------------------------------------------
12   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
     CERTAIN SHARES                                                          |_|

--------------------------------------------------------------------------------
13   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
          28.9%

--------------------------------------------------------------------------------
14   TYPE OF REPORTING PERSON
          PN

--------------------------------------------------------------------------------

                                  Page 3 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105

--------------------------------------------------------------------------------
1    NAMES OF REPORTING PERSONS

     I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
          MatlinPatterson Global Opportunities Partners B, L.P.

--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) |_|
                                                                         (b) |_|

--------------------------------------------------------------------------------
3    SEC USE ONLY

--------------------------------------------------------------------------------
4    SOURCE OF FUNDS
          AF, WC

--------------------------------------------------------------------------------
5    CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
     PURSUANT TO ITEMS 2(d) or 2(e)                                          |_|

--------------------------------------------------------------------------------
6    CITIZENSHIP OR PLACE OF ORGANIZATION
          Delaware

--------------------------------------------------------------------------------
  SHARES BENEFICIALLY OWNED         7    SOLE VOTING POWER
   BY EACH REPORTING PERSON                   0
           WITH

--------------------------------------------------------------------------------
                                    8    SHARED VOTING POWER
                                              154,407

--------------------------------------------------------------------------------
                                    9    SOLE DISPOSITIVE POWER
                                              0

--------------------------------------------------------------------------------
                                    10   SHARED DISPOSITIVE POWER
                                              154,407

--------------------------------------------------------------------------------
11   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
          154,407

--------------------------------------------------------------------------------
12   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
     CERTAIN SHARES                                                          |_|

--------------------------------------------------------------------------------
13   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
          1.5%

--------------------------------------------------------------------------------
14   TYPE OF REPORTING PERSON
          PN

--------------------------------------------------------------------------------

                                  Page 4 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105

--------------------------------------------------------------------------------
1    NAMES OF REPORTING PERSONS

     I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
          MatlinPatterson Global Advisers LLC

--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) |_|
                                                                         (b) |_|

--------------------------------------------------------------------------------
3    SEC USE ONLY

--------------------------------------------------------------------------------
4    SOURCE OF FUNDS
          AF, WC

--------------------------------------------------------------------------------
5    CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
     PURSUANT TO ITEMS 2(d) or 2(e)                                          |_|

--------------------------------------------------------------------------------
6    CITIZENSHIP OR PLACE OF ORGANIZATION
          Delaware

--------------------------------------------------------------------------------
  SHARES BENEFICIALLY OWNED         7    SOLE VOTING POWER
   BY EACH REPORTING PERSON                   0
           WITH

--------------------------------------------------------------------------------
                                    8    SHARED VOTING POWER
                                              13,596,786

--------------------------------------------------------------------------------
                                    9    SOLE DISPOSITIVE POWER
                                              0

--------------------------------------------------------------------------------
                                    10   SHARED DISPOSITIVE POWER
                                              13,596,786

--------------------------------------------------------------------------------
11   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
          13,596,786

--------------------------------------------------------------------------------
12   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
     CERTAIN SHARES                                                          |_|

--------------------------------------------------------------------------------
13   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
          78.9%

--------------------------------------------------------------------------------
14   TYPE OF REPORTING PERSON
          IA

--------------------------------------------------------------------------------

                                  Page 5 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105

--------------------------------------------------------------------------------
1    NAMES OF REPORTING PERSONS

     I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
          David J. Matlin

--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) |_|
                                                                         (b) |_|

--------------------------------------------------------------------------------
3    SEC USE ONLY

--------------------------------------------------------------------------------
4    SOURCE OF FUNDS
          AF, WC

--------------------------------------------------------------------------------
5    CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
     PURSUANT TO ITEMS 2(d) or 2(e)                                          |_|

--------------------------------------------------------------------------------
6    CITIZENSHIP OR PLACE OF ORGANIZATION
          United States

--------------------------------------------------------------------------------
  SHARES BENEFICIALLY OWNED         7    SOLE VOTING POWER
   BY EACH REPORTING PERSON                   0
           WITH

--------------------------------------------------------------------------------
                                    8    SHARED VOTING POWER
                                              13,596,786

--------------------------------------------------------------------------------
                                    9    SOLE DISPOSITIVE POWER
                                              0

--------------------------------------------------------------------------------
                                    10   SHARED DISPOSITIVE POWER
                                              13,596,786

--------------------------------------------------------------------------------
11   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
          13,596,786

--------------------------------------------------------------------------------
12   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
     CERTAIN SHARES                                                          |_|

--------------------------------------------------------------------------------
13   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
          78.9%

--------------------------------------------------------------------------------
14   TYPE OF REPORTING PERSON
          IN

--------------------------------------------------------------------------------

                                  Page 6 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105

--------------------------------------------------------------------------------
1    NAMES OF REPORTING PERSONS

     I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
          Mark P. Patterson

--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) |_|
                                                                         (b) |_|

--------------------------------------------------------------------------------
3    SEC USE ONLY

--------------------------------------------------------------------------------
4    SOURCE OF FUNDS
          AF, WC

--------------------------------------------------------------------------------
5    CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
     PURSUANT TO ITEMS 2(d) or 2(e)                                          |_|

--------------------------------------------------------------------------------
6    CITIZENSHIP OR PLACE OF ORGANIZATION
          United States

--------------------------------------------------------------------------------
  SHARES BENEFICIALLY OWNED         7    SOLE VOTING POWER
   BY EACH REPORTING PERSON                   0
           WITH

--------------------------------------------------------------------------------
                                    8    SHARED VOTING POWER
                                              13,596,786

--------------------------------------------------------------------------------
                                    9    SOLE DISPOSITIVE POWER
                                              0

--------------------------------------------------------------------------------
                                    10   SHARED DISPOSITIVE POWER
                                              13,596,786

--------------------------------------------------------------------------------
11   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
          13,596,786

--------------------------------------------------------------------------------
12   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
     CERTAIN SHARES                                                          |_|

--------------------------------------------------------------------------------
13   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
          78.9%

--------------------------------------------------------------------------------
14   TYPE OF REPORTING PERSON
          IN

--------------------------------------------------------------------------------

                                  Page 7 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105

--------------------------------------------------------------------------------
1    NAMES OF REPORTING PERSONS

     I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
          MatlinPatterson Global Partners LLC

--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) |_|
                                                                         (b) |_|

--------------------------------------------------------------------------------
3    SEC USE ONLY

--------------------------------------------------------------------------------
4    SOURCE OF FUNDS
          AF, WC

--------------------------------------------------------------------------------
5    CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
     PURSUANT TO ITEMS 2(d) or 2(e)                                          |_|

--------------------------------------------------------------------------------
6    CITIZENSHIP OR PLACE OF ORGANIZATION
          Delaware

--------------------------------------------------------------------------------
  SHARES BENEFICIALLY OWNED         7    SOLE VOTING POWER
   BY EACH REPORTING PERSON                   0
           WITH

--------------------------------------------------------------------------------
                                    8    SHARED VOTING POWER
                                              13,596,786

--------------------------------------------------------------------------------
                                    9    SOLE DISPOSITIVE POWER
                                              0

--------------------------------------------------------------------------------
                                    10   SHARED DISPOSITIVE POWER
                                              13,596,786

--------------------------------------------------------------------------------
11   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
          13,596,786

--------------------------------------------------------------------------------
12   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
     CERTAIN SHARES                                                          |_|

--------------------------------------------------------------------------------
13   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
          78.9%

--------------------------------------------------------------------------------
14   TYPE OF REPORTING PERSON
          HC

--------------------------------------------------------------------------------

                                  Page 8 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105

--------------------------------------------------------------------------------
1    NAMES OF REPORTING PERSONS

     I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
          MatlinPatterson Asset Management LLC

--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) |_|
                                                                         (b) |_|

--------------------------------------------------------------------------------
3    SEC USE ONLY

--------------------------------------------------------------------------------
4    SOURCE OF FUNDS
          AF, WC

--------------------------------------------------------------------------------
5    CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
     PURSUANT TO ITEMS 2(d) or 2(e)                                          |_|

--------------------------------------------------------------------------------
6    CITIZENSHIP OR PLACE OF ORGANIZATION
          Delaware

--------------------------------------------------------------------------------
  SHARES BENEFICIALLY OWNED         7    SOLE VOTING POWER
   BY EACH REPORTING PERSON                   0
           WITH

--------------------------------------------------------------------------------
                                    8    SHARED VOTING POWER
                                              13,596,786

--------------------------------------------------------------------------------
                                    9    SOLE DISPOSITIVE POWER
                                              0

--------------------------------------------------------------------------------
                                    10   SHARED DISPOSITIVE POWER
                                              13,596,786

--------------------------------------------------------------------------------
11   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
          13,596,786

--------------------------------------------------------------------------------
12   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
     CERTAIN SHARES                                                          |_|

--------------------------------------------------------------------------------
13   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
          78.9%

--------------------------------------------------------------------------------
14   TYPE OF REPORTING PERSON
          HC

--------------------------------------------------------------------------------

                                  Page 9 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105

--------------------------------------------------------------------------------
1    NAMES OF REPORTING PERSONS

     I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
          MatlinPatterson LLC

--------------------------------------------------------------------------------
2    CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
                                                                         (a) |_|
                                                                         (b) |_|

--------------------------------------------------------------------------------
3    SEC USE ONLY

--------------------------------------------------------------------------------
4    SOURCE OF FUNDS
          AF, WC

--------------------------------------------------------------------------------
5    CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
     PURSUANT TO ITEMS 2(d) or 2(e)                                          |_|

--------------------------------------------------------------------------------
6    CITIZENSHIP OR PLACE OF ORGANIZATION
          Delaware

--------------------------------------------------------------------------------
  SHARES BENEFICIALLY OWNED         7    SOLE VOTING POWER
   BY EACH REPORTING PERSON                   0
           WITH

--------------------------------------------------------------------------------
                                    8    SHARED VOTING POWER
                                              13,596,786

--------------------------------------------------------------------------------
                                    9    SOLE DISPOSITIVE POWER
                                              0

--------------------------------------------------------------------------------
                                    10   SHARED DISPOSITIVE POWER
                                              13,596,786

--------------------------------------------------------------------------------
11   AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
          13,596,786

--------------------------------------------------------------------------------
12   CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
     CERTAIN SHARES                                                          |_|

--------------------------------------------------------------------------------
13   PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
          78.9%

--------------------------------------------------------------------------------
14   TYPE OF REPORTING PERSON
          HC

--------------------------------------------------------------------------------

                                 Page 10 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105


Introduction.
-------------

     This Schedule Amendment No. 7 amends and supplements the Schedule 13D
Statement filed on March 17, 2003 (the "Initial Statement") as amended and
supplemented by Amendment No. 1 to Schedule 13D, filed on April 14, 2003
("Schedule Amendment No. l"), as amended and supplemented by Amendment No. 2 to
Schedule 13D, filed on June 5, 2003 ("Schedule Amendment No. 2"), as amended and
supplemented by Amendment No. 3 to Schedule 13D, filed on April 29, 2004
("Schedule Amendment No. 3"), as amended and supplemented by Amendment No. 4 to
Schedule 13D, filed on May 19, 2004 ("Schedule Amendment No. 4"), as amended and
supplemented by Amendment No. 5 to Schedule 13D, filed on November 16, 2004
("Schedule Amendment No. 5"), as amended and supplemented by Amendment No. 6 to
Schedule 13D, filed on January 21, 2005 ("Schedule Amendment No. 6"). The
Initial Statement, Schedule Amendment No. 1, Schedule Amendment No. 2, Schedule
Amendment No. 3, Schedule Amendment No. 4, Schedule Amendment No. 5, Schedule
Amendment No. 6 and this Schedule Amendment No. 7 are collectively referred to
herein as the "Statement".

     Capitalized terms used and not defined in this Schedule Amendment No. 7
shall have the meanings set forth in the Statement.

     The Initial Statement was filed on behalf of (i) MatlinPatterson Global
Opportunities Partners L.P., a limited partnership organized under the laws of
Delaware ("Matlin Partners (Delaware)"), MatlinPatterson Global Opportunities
Partners B, L.P., a limited partnership organized under the laws of Delaware
(the "Opt-Out Fund"), and MatlinPatterson Global Opportunities Partners
(Bermuda) L.P., a limited partnership organized under the laws of Bermuda
("Matlin Partners (Bermuda)"; collectively with the Opt-Out Fund and Matlin
Partners Delaware, "Matlin Partners"), (ii) MatlinPatterson Global Advisers LLC
("Matlin Advisers"), a limited liability company organized under the laws of
Delaware, by virtue of their investment authority over securities held by Matlin
Partners, (iii) MatlinPatterson Global Partners LLC ("Matlin Global Partners"),
a limited liability company organized under the laws of Delaware, as general
partner of Matlin Partners, (iv) MatlinPatterson Asset Management LLC ("Matlin
Asset Management"), a limited liability company organized under the laws of
Delaware, as the holder of all of the membership interests in Matlin Global
Partners and Matlin Advisers, (v) MatlinPatterson LLC ("MatlinPatterson"), a
limited liability company organized under the laws of Delaware, as the holder of
all of the membership interests in Matlin Asset Management, (vi) and Mark
Patterson and David Matlin each, as a holder of 50% of the membership interests
in MatlinPatterson (Matlin Partners (Delaware), Matlin Partners (Bermuda), the
Opt-Out Fund, Matlin Advisers, Matlin Global Partners, Matlin Asset Management,
MatlinPatterson, Mark Patterson and David Matlin, collectively, the "Reporting
Persons" and each a "Reporting Person"), for the purpose of disclosing the
beneficial ownership of the Reporting Persons in Polymer Group, Inc. (the
"Issuer") pursuant to the Debtor's Joint Second Amended and Modified Plan of
Reorganization (the "Plan"), approved on January 16, 2003 by the United States
Bankruptcy Court for the District of South Carolina (Case No. 02-5773(w)).

     Schedule Amendment No. 1 was filed for the purpose of disclosing the
execution of a letter agreement on April 11, 2003 (the "Letter Agreement")
between the Issuer and Matlin Partners (Delaware).

                                 Page 11 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105


     Schedule Amendment No. 2 was filed for the purpose of disclosing (1) the
execution of Amendment No. 1 (the "Note Amendment"), dated as of May 30, 2003,
among the Issuer, each of the entities identified under the caption "Guarantors"
on the signature pages thereto and Matlin Partners (Delaware) amending the
Senior Subordinated Note Purchase Agreement dated as of March 5, 2003 and the
Senior Subordinated Note and (2) the amendment of the Convertible Notes pursuant
to the Supplemental Indenture (the "Supplemental Indenture") dated as of May 30,
2003 among the Issuer, the subsidiary guarantors named therein and Wilmington
Trust Company, as trustee.

     Schedule Amendment No. 3 was filed on behalf of the Reporting Persons for
the purpose of (1) amending certain information that has changed since the
filing of Amendment No. 2, (2) disclosing the consummation on April 27, 2004 of
the transactions contemplated by the Exchange Agreement, a copy of which is
attached hereto as Exhibit 14 (the "Exchange Agreement") by and among the
Issuer, Matlin Partners (Delaware) and Matlin Partners (Bermuda), relating to
the refinancing of the Issuer (the "Notes Exchange") and (3) disclosing the
filing of the Certificate of Designations to the Amended and Restated Articles
of Incorporation of the Issuer, a copy of which is attached hereto as Exhibit 15
(the "Certificate of Designations") filed on April 27, 2004 with the Secretary
of State of the State of Delaware.

     Schedule Amendment No. 4 was filed on behalf of the Reporting Persons for
the purpose of (1) disclosing additional amounts distributed to the Reporting
Persons pursuant to the Plan that were initially held back as previously
disclosed in Item I Subsection I.C. as filed in the Initial Statement and (2) a
reallocation of securities of the Issuer held by the Reporting Persons.

     Schedule Amendment No. 5 was filed on behalf of the Reporting Persons for
the purpose of disclosing shares of Class A Common Stock of the Issuer purchased
by the Reporting Persons in open market transactions.

     Schedule Amendment No. 6 was filed on behalf of the Reporting Persons for
the purpose of disclosing amounts distributed to the Reporting Persons as
pay-in-kind dividends on the shares of Preferred Stock currently held by the
Reporting Persons.

     This Schedule Amendment No. 7 is filed on behalf of the Reporting Persons
for the purpose of (1) clarifying the equity allocations among Matlin Partners
and (2) disclosing amounts distributed to the Reporting Persons as pay-in-kind
dividends on the shares of Preferred Stock currently held by the Reporting
Persons.

Item 3.  Source and Amount of Funds or Other Consideration
         -------------------------------------------------

     Item 3 of the Initial Statement is hereby amended and supplemented by
adding the following to the end of said Item 3 as follows:

     The Reporting Persons acquired 3,789 shares of Preferred Stock (the "PIK
Shares") as pay-in-kind dividends on the shares of Preferred Stock currently
held by the Reporting Persons.

Item 5.  Interest in Securities of the Issuer
         ------------------------------------

                                 Page 12 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105


Item 5 of the Initial Statement is hereby amended and restated as follows:

     (a) (i) As of the date hereof, (A) Matlin Partners (Delaware), is a direct
beneficial owner of 9,968,675 shares of Class A Common Stock consisting of
4,767,257 shares of Class A Common Stock and 37,927 shares of Preferred Stock,
which are immediately convertible into 5,201,418 shares of Class A Common Stock
and (B) MatlinPatterson, Matlin Asset Management, Matlin Advisers, Matlin Global
Partners, Mark R. Patterson and David J. Matlin are each an indirect beneficial
owner of 9,968,675 shares of Class A Common Stock consisting of 4,767,257 shares
of common stock and 37,927 shares of Preferred Stock, which are immediately
convertible into 5,201,418 shares of Class A Common Stock. The 9,968,675 shares
of Class A Common Stock represent beneficial ownership of approximately 64.7% of
the Issuer's issued and outstanding shares of Class A Common Stock (assuming
conversion of the Preferred Stock beneficially owned by Matlin Partners
(Delaware)).

     (b) (i) As of the date hereof, (A) Matlin Partners (Bermuda), is a direct
beneficial owner of 3,473,704 shares of Class A Common Stock consisting of
1,661,223 shares of Class A Common stock and 13,216 shares of Preferred Stock,
which are immediately convertible into 1,812,481 shares of Class A Common Stock
and (B) MatlinPatterson, Matlin Asset Management, Matlin Advisers, Matlin Global
Partners, Mark R. Patterson and David J. Matlin are each an indirect beneficial
owner of 3,473,704 shares of Class A Common Stock consisting of 1,661,223 shares
of common stock and 13,216 shares of Preferred Stock, which are immediately
convertible into 1,812,481 shares of Class A Common Stock. The 3,473,704 shares
of Class A Common Stock represent beneficial ownership of approximately 28.9% of
the Issuer's issued and outstanding shares of Class A Common Stock (assuming
conversion of the Preferred Stock beneficially owned by Matlin Partners
(Bermuda)).

     (c) (i) As of the date hereof, (A) the Opt-Out Fund, is a direct beneficial
owner of 154,407 shares of Class A Common Stock consisting solely of 154,407
shares of Class A Common Stock and (B) MatlinPatterson, Matlin Asset Management,
Matlin Advisers, Matlin Global Partners, Mark R. Patterson and David J. Matlin
are each an indirect beneficial owner of 154,407 shares of Class A Common Stock.
The 154,407 shares of Class A Common Stock represent beneficial ownership of
approximately 1.5% of the Issuer's issued and outstanding shares of Class A
Common Stock.

          (ii) Matlin Global Partners serves as General Partner of Matlin
Partners. By reason of such relationships, Matlin Global Partners may be deemed
to beneficially own share the shares owned by Matlin Partners.

          (iii) Matlin Advisers serves as investment advisor to Matlin Partners.
By reason of such relationships, Matlin Advisers may be deemed to beneficially
own the shares owned by Matlin Partners.

          (iv) Matlin Asset Management is the holder of all of the membership
interests in Matlin Global Partners and Matlin Advisers. By reason of such
relationships, Matlin Asset Management may be deemed to beneficially own the
shares owned by Matlin Partners.

                                 Page 13 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105


          (v) MatlinPatterson is the holder of all of the membership interests
in Matlin Asset Management. By reason of such relationship, MatlinPatterson may
be deemed to beneficially own the shares owned by Matlin Partners.

          (vi) Mark R. Patterson and David J. Matlin are the holders of all of
the membership interests in MatlinPatterson. By reason of such relationships,
each of Mark Patterson and David Matlin may be deemed to share voting and
dispositive power over the shares owned by Matlin Partners.

     (d) To the best knowledge of MatlinPatterson, Matlin Asset Management,
Matlin Advisers and Matlin Global Partners with respect to the directors and
executive officers named in this Statement, none of the persons (i) beneficially
owns any shares of Class A Common Stock (other than in his or her capacity as a
controlling member, executive officer or director of such corporation or limited
liability company) or (ii) has the right to acquire any Class A Common Stock
owned by other parties.

          The filing of this Statement shall not be construed as an admission by
any of the Reporting Persons that it is, for purposes of Section 13(d) of the
Exchange Act, the beneficial owner of shares of Class A Common Stock owned by
other parties.

                                 Page 14 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105


                                    SIGNATURE

          After reasonable inquiry and to the best of our knowledge and belief,
we certify that the information set forth in this Statement is true, complete
and correct.

Dated: August 16, 2005

                                  MATLINPATTERSON LLC

                                  By:   /s/ MARK R. PATTERSON
                                        ----------------------------------------
                                        Name:  Mark R. Patterson
                                        Title: Member

                                  MATLINPATTERSON ASSET MANAGEMENT LLC

                                  By:   /s/ MARK R. PATTERSON
                                        ----------------------------------------
                                        Name:  Mark R. Patterson
                                        Title: Chairman

                                  MATLINPATTERSON GLOBAL ADVISERS LLC

                                  By:   /s/ MARK R. PATTERSON
                                        ----------------------------------------
                                        Name:  Mark R. Patterson
                                        Title: Chairman

                                  MATLINPATTERSON GLOBAL PARTNERS LLC

                                  By:   /s/ MARK R. PATTERSON
                                        ----------------------------------------
                                        Name:  Mark R. Patterson
                                        Title: Director

                                  MATLINPATTERSON GLOBAL OPPORTUNITIES
                                  PARTNERS L.P.

                                  By:  MatlinPatterson Global Partners LLC

                                  By:   /s/ MARK R. PATTERSON
                                        ----------------------------------------
                                        Name:  Mark R. Patterson
                                        Title: Director

                                  MATLINPATTERSON GLOBAL OPPORTUNITIES
                                  PARTNERS (BERMUDA) L.P.

                                  By:  MatlinPatterson Global Partners LLC

                                  By:   /s/ MARK R. PATTERSON
                                        ----------------------------------------
                                        Name:  Mark R. Patterson
                                        Title: Director

                                 Page 15 of 16
<PAGE>

Schedule 13D
Cusip No. 731745105


                                  MATLINPATTERSON GLOBAL OPPORTUNITIES
                                  PARTNERS B, L.P.

                                  By:  MatlinPatterson Global Partners LLC

                                  By:   /s/ MARK R. PATTERSON
                                        ----------------------------------------
                                        Name:  Mark R. Patterson
                                        Title: Director

                                  DAVID J. MATLIN

                                  By:   /s/ DAVID J. MATLIN
                                        ----------------------------------------
                                        Name: David J. Matlin


                                  MARK R. PATTERSON

                                  By:   /s/ MARK R. PATTERSON
                                        ----------------------------------------
                                        Name: Mark R. Patterson


                                  Page 16 of 16
