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Title: Kodak Warns It May Go Out of Business

Link: https://slashdot.org/story/25/08/13/2322248/k...

After over 130 years in business, Kodak has warned it may not survive. From a
report: The Rochester, New York-based Eastman Kodak Co. offered a bleak
picture of its financials in earnings reports and filings, tracking a second
quarter loss and sending shares tumbling in early trading Tuesday, Aug. 12.
The iconic brand said in Monday, Aug. 11 government filings that there is
"substantial doubt" about the company's ability to continue, as it faces more
than $470 million in debt and slashes its pension plan in an attempt to
remain afloat. "Kodak has debt coming due within twelve months and does not
have committed financing or available liquidity to meet such debt obligations
if they were to become due in accordance with their current terms," the
company said in its filings to the Securities and Exchange Commission. [...]
In its most recent earnings report, Kodak said its consolidated revenues were
$263 million at the end of the quarter on June 30, a decrease of $4 million
since the same period last year. Gross profit decreased 12% compared to last
year's second quarter end, Kodak disclosed, and its cash balance sits at $155
million, marking a loss of just under 23% since the end of December. Jim
Continenza, Kodak's Executive Chairman and CEO, said tariffs have not had a
"material impact" on its businesses, noting the domestic production of many
of its products such as printing plates, film, inkjet presses and inks and
pharmaceutical ingredients. Kodak's chief financial officer David Bullwinkle
said in the company's Aug. 11 statement it plans to focus on its advanced
chemicals and materials sector moving forward, and said the cut to its
retirement program is going toward paying down its debt. He said the company
expects to "have a clear understanding" by Friday, Aug. 15 of how it will
meet its debt obligations. "For the second half of the year, we will continue
to focus on reducing costs today and converting our investments into long-
term growth," Bullwinkle said.

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