The worst three weeks in the history of photography. One of its symbolic companies, the US Eastman Kodak, known to all as Kodak and that's it, in fact last January 19th filed for Chapter 11. Which in American financial jargon practically means bankruptcy, through a assisted bankruptcy filing according to the provisions of chapter 11 of the bankruptcy law.
Following this Kodak also announced last Thursday that it has started a process of abandonment of the photographic market: goodbye devices and cameras, camcorders, digital frames. Only after-sales service, technical support, printing, accessories and the traditional business of silver film and photographic paper will remain active.
Finally, also the image damage: the Hollywood theater at the Oscars may no longer be called Kodak. In fact, to save money, the film giant terminated the millionaire sponsorship contract by virtue of which its sign appeared on the majestic theater (and on related initiatives and awards) which every year welcomes the award ceremony of the most prestigious cinema award in Hollywood American.
But how did all this come about? Already at the end of September, the group had total assets of $5,1 billion and debts of $6,75 billion. Through the inevitable recourse to the famous Chapter 11, the company is therefore now trying to implement a restructuring, and in the meantime it has obtained a 950-month $18 million credit line from Citigroup to continue operating. During this time it will have to find buyers for its 1.100 digital patents and continue to pay its 17 employees.
The race against time has begun, but one thing is certain: for Kodak this will be the last shot.
Read the press release at Kodak.com
