Kodak faces doom following bankuptcy filing
by Steven Mostyn - Jan 19 2012, 10:59
Image: Joost J. Bakker IJmuiden/Flickr
An array of user-friendly cameras and printers, the cheapest replacement ink on the market, and an impressively long history in the imaging sector have seemingly failed to save Eastman Kodak, which has this week filed for Chapter 11 bankruptcy.
Indeed, it would appear 132 years of existence and the invention of the compact camera are ultimately for naught if customers shop elsewhere, rivals offer potentially better products, and share value plummets.
Although teetering on the edge of oblivion, Eastman Kodak has also announced the securing of a $950 million USD credit cushion from Citigroup to help keep it afloat in the short term—possibly as it attempts to sell many of its 1,100 technology patents and restructure accordingly.
“The board of directors and the entire senior management team unanimously believe that this is a necessary step and the right thing to do for the future of Kodak,” outlined company chief executive Antonio Perez in an official statement.
According to Perez, the assistance of Citigroup must be used to help transform Eastman Kodak by addressing cost structure and effectively monetizing its non-core intellectual-property assets.
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