Kodak to focus on printing after bankruptcy
January 8, 2012
Kodak Co. carries through with a Chapter 11 bankruptcy filing in the
as media reports suggest, it could mark the end of a rich, 131-year
the king of all-things related to photos and cameras, according to a
report, Rafferty Capital Markets Analyst Mark Kaufman says the company
will completely exit the consumer photo and camera business.
about it. It’s not making money now,” Kaufman, told MarketWatch.com.
the plan would be for Kodak (NYSE:EK) to sell off all of its photo
unload an extremely profitable chunk of its massive patent library and
almost exclusively on digital printing as a business-to-business
“It’s not a
consumer business, its business-to-business. That’s what you’re going
Kaufman said in the report.
be good news for the Dayton operations, where Kodak has 570 employees
facility that makes inkjet printers, which are reportedly competing
well in the
marketplace against such rivals as Hewlett-Packard Co
. and Canon. With the company already
having discussed plans for possible growth in Dayton through state and
incentives, an emphasis on the printing side of the business would make
plans more likely to happen. That could lead to more jobs in Dayton and
stronger business for Kodak going forward.
indicates that any bankruptcy filing would give the company some time
its business, selling off unprofitable units and valuable patents, and
itself to emerge as a much smaller, yet profitable company. It also
could get a
boost from any settlement payoff over its patent infringement lawsuit
Apple Inc. and
Research in Motion Ltd.
in the suit involves technology for previewing digital images on
(NASDAQ:AAPL) iPhones and RIM’s (NASDAQ:RIMM) BlackBerrys. There was a
decision last year that failed to resolve the claims. A favorable
Kodak could have been worth as much as $1 billion, the company said at
reports of how Kodak would look after emerging from bankruptcy are
company may very well boost its operations in Dayton. In fact, the
already has expressed interest in growing locally.
September, the state of Ohio approved a tax credit package worth $2.9
over 10 years to entice Kodak to expand in the Dayton region. In
city of Kettering recently committed a $435,000 grant to the company.
officials said if the company decides to expand in Kettering, it would
at least $7.5 million in new manufacturing machinery as well as
development equipment to help position the Kettering facility for
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