Latest news with #DavidBullwinkle
3 days ago
- Business
145-year-old film company Kodak pushes back on reports it may shut down
The Eastman Kodak Company, the iconic printing and imaging company founded in 1880, is pushing back on reports that it may not be in business for that much longer. In its second quarter financial report, released Monday and picked up by several media outlets, Kodak said there was "substantial doubt about the Company's ability to continue as a going concern" after 145 years. Kodak said in the report that its gross profit fell about 12%, or $7 million, declining from $58 million in the second quarter of 2024 to $51 million in the second quarter of 2025, and that it had upcoming debt obligations that need to be fulfilled within the next year. However, in a statement to ABC News Wednesday, Kodak said it "is confident it will be able to pay off a significant portion of its term loan well before it becomes due, and amend, extend or refinance our remaining debt and/or preferred stock obligations." As the Wall Street Journal reported in November 2024, Kodak is ending its retirement income or pension plan for former U.S. employees to help reduce its debt. After pensioners are paid out what they are owed, the remaining funds would be directed toward existing debt obligations. In a statement included in Monday's second quarter financial report, Kodak CFO David Bullwinkle noted that the company expects to know by Friday, Aug. 15, "how we will satisfy our obligations to all [pension] plan participants, and we anticipate completing the reversion by December of 2025." "For the second half of the year, we will continue to focus on reducing costs today and converting our investments into long-term growth," he added. Kodak reaffirmed the move in its statement to ABC News on Wednesday. "To fund the repayment, we plan to draw on the approximately $300 million in cash we expect to receive from the reversion and settlement of our U.S. pension fund (the Kodak Retirement Income Plan, or 'KRIP') in December," the company said, adding that "once the KRIP reversion is completed Kodak will be virtually net debt free and will have a stronger balance sheet than we have had in years." Kodak first flagged the going concern notice in a Securities and Exchange Commission filing in June. The term "going concern" simply means that a business is expected to be able to fulfill all its financial obligations and continue operating as usual for the foreseeable future, or at least the next 12 months. "As of the date of issuance of these financial statements, 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 stated in the June 30 filing. "These conditions raise substantial doubt about Kodak's ability to continue as a going concern." For years, Kodak had enjoyed a storied history and was credited with various groundbreaking milestones, including the invention of the world's first digital camera in 1975, and for holding 79,000 worldwide patents. In recent decades, the company has struggled to adapt to the shift from film to digital photography, filing for bankruptcy in 2012.
Economic Times
4 days ago
- Business
- Economic Times
First the Japanese, then digital and now debt: The 130-year-old Kodak, which survived one bankruptcy, may have just 12 months to survive
Synopsis Eastman Kodak, the 130-year-old photography giant, is facing financial uncertainty, raising concerns about its ability to continue operations due to upcoming debt obligations. The company's shares plummeted after it revealed a lack of sufficient financing to cover its debts. Despite efforts to restructure and focus on commercial printing and pharmaceutical manufacturing, Kodak is still grappling with financial challenges. AP Founded by George Eastman in 1880, Kodak revolutionized photography in the early 20th century with products like the Brownie and Instamatic cameras and its signature yellow-and-red film boxes. The 130-year-old Eastman Kodak Co. has warned there is 'substantial doubt' about its ability to continue operating, citing potential difficulties in meeting upcoming debt obligations. Shares of the iconic photography company tumbled more than 13% in early trading on Tuesday after Kodak disclosed in a regulatory filing that it has debt maturing within the next 12 months but lacks committed financing or sufficient liquidity to cover it under current terms. As of June 30, Kodak reported $155 million in cash and cash equivalents, with $70 million held in the U.S. Last year, the company announced plans to terminate its retirement income plan to reduce debt. Chief Financial Officer David Bullwinkle said Monday that Kodak expects to determine by Friday how it will fulfill obligations to all pension plan participants, with the reversion process targeted for completion by December. Founded by George Eastman in 1880, Kodak revolutionized photography in the early 20th century with products like the Brownie and Instamatic cameras and its signature yellow-and-red film boxes. However, it was eventually undone by fierce Japanese competition and its failure to adapt quickly to the digital era. Kodak filed for bankruptcy protection in 2012, burdened by mounting debt and the rise of digital photography. The company shed many businesses and patents, shuttered its camera manufacturing operations, and reemerged a year later as a smaller firm focused on commercial and packaging printing. Today, Kodak is nearing completion of a new manufacturing plant for regulated pharmaceutical products, expanding on its existing production of unregulated key starting materials. Operations at the upgraded facility are slated to begin later this year.
The Advertiser
4 days ago
- Business
- The Advertiser
Kodak says it is confident it can meet debt obligations
The more than 130-year-old Eastman Kodak Co has expressed caution about its business operations but says it is confident it will be able to work out upcoming debt obligations. "Kodak has debt coming due within 12 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 wrote in a regulatory filing. The Rochester, New York-based company said that it had $US155 million ($A239 million) of cash and cash equivalents as of June 30, with $US70 million held within the US. Kodak said in a statement on Tuesday that the going concern language in its regulatory filing is essentially a required disclosure because its debt comes due within 12 months of the filing. "Kodak is confident it will be able to pay off a significant portion of its term loan well before it becomes due, and amend, extend or refinance our remaining debt and/or preferred stock obligations," the company said. Last year Kodak said that it would end its retirement income plan in order to pay down debt, according to The Wall Street Journal. Kodak Chief Financial Officer David Bullwinkle said in a statement on Monday that the company expects to know by Friday how it will satisfy its obligations to pay all pension plan participants and foresees completing the reversion by December. Founded by George Eastman in 1880, Eastman Kodak Co is credited with popularising photography at the start of the 20th century and was known all over the world for its Brownie and Instamatic cameras and its yellow-and-red film boxes. It was first brought down by Japanese competition and then an inability to keep pace with the shift from film to digital technology. Kodak filed for bankruptcy protection in 2012 after struggling with increasing competition, continuing growth in digital photography and growing debt. The company wound up selling off many of its businesses and patents while shutting down the camera manufacturing unit that first made it famous. It received approval for its plan to emerge from court oversight a year later. At the time, Kodak was looking to recreate itself as a new, much smaller company focused on commercial and packaging printing. Kodak is now nearing completion on a manufacturing plant to create regulated pharmaceutical products. The company already makes unregulated key starting materials for pharmaceuticals. Production at the retrofitted facility is expected to start later this year. Shares slid more than 20 per cent in midday trading. The more than 130-year-old Eastman Kodak Co has expressed caution about its business operations but says it is confident it will be able to work out upcoming debt obligations. "Kodak has debt coming due within 12 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 wrote in a regulatory filing. The Rochester, New York-based company said that it had $US155 million ($A239 million) of cash and cash equivalents as of June 30, with $US70 million held within the US. Kodak said in a statement on Tuesday that the going concern language in its regulatory filing is essentially a required disclosure because its debt comes due within 12 months of the filing. "Kodak is confident it will be able to pay off a significant portion of its term loan well before it becomes due, and amend, extend or refinance our remaining debt and/or preferred stock obligations," the company said. Last year Kodak said that it would end its retirement income plan in order to pay down debt, according to The Wall Street Journal. Kodak Chief Financial Officer David Bullwinkle said in a statement on Monday that the company expects to know by Friday how it will satisfy its obligations to pay all pension plan participants and foresees completing the reversion by December. Founded by George Eastman in 1880, Eastman Kodak Co is credited with popularising photography at the start of the 20th century and was known all over the world for its Brownie and Instamatic cameras and its yellow-and-red film boxes. It was first brought down by Japanese competition and then an inability to keep pace with the shift from film to digital technology. Kodak filed for bankruptcy protection in 2012 after struggling with increasing competition, continuing growth in digital photography and growing debt. The company wound up selling off many of its businesses and patents while shutting down the camera manufacturing unit that first made it famous. It received approval for its plan to emerge from court oversight a year later. At the time, Kodak was looking to recreate itself as a new, much smaller company focused on commercial and packaging printing. Kodak is now nearing completion on a manufacturing plant to create regulated pharmaceutical products. The company already makes unregulated key starting materials for pharmaceuticals. Production at the retrofitted facility is expected to start later this year. Shares slid more than 20 per cent in midday trading. The more than 130-year-old Eastman Kodak Co has expressed caution about its business operations but says it is confident it will be able to work out upcoming debt obligations. "Kodak has debt coming due within 12 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 wrote in a regulatory filing. The Rochester, New York-based company said that it had $US155 million ($A239 million) of cash and cash equivalents as of June 30, with $US70 million held within the US. Kodak said in a statement on Tuesday that the going concern language in its regulatory filing is essentially a required disclosure because its debt comes due within 12 months of the filing. "Kodak is confident it will be able to pay off a significant portion of its term loan well before it becomes due, and amend, extend or refinance our remaining debt and/or preferred stock obligations," the company said. Last year Kodak said that it would end its retirement income plan in order to pay down debt, according to The Wall Street Journal. Kodak Chief Financial Officer David Bullwinkle said in a statement on Monday that the company expects to know by Friday how it will satisfy its obligations to pay all pension plan participants and foresees completing the reversion by December. Founded by George Eastman in 1880, Eastman Kodak Co is credited with popularising photography at the start of the 20th century and was known all over the world for its Brownie and Instamatic cameras and its yellow-and-red film boxes. It was first brought down by Japanese competition and then an inability to keep pace with the shift from film to digital technology. Kodak filed for bankruptcy protection in 2012 after struggling with increasing competition, continuing growth in digital photography and growing debt. The company wound up selling off many of its businesses and patents while shutting down the camera manufacturing unit that first made it famous. It received approval for its plan to emerge from court oversight a year later. At the time, Kodak was looking to recreate itself as a new, much smaller company focused on commercial and packaging printing. Kodak is now nearing completion on a manufacturing plant to create regulated pharmaceutical products. The company already makes unregulated key starting materials for pharmaceuticals. Production at the retrofitted facility is expected to start later this year. Shares slid more than 20 per cent in midday trading. The more than 130-year-old Eastman Kodak Co has expressed caution about its business operations but says it is confident it will be able to work out upcoming debt obligations. "Kodak has debt coming due within 12 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 wrote in a regulatory filing. The Rochester, New York-based company said that it had $US155 million ($A239 million) of cash and cash equivalents as of June 30, with $US70 million held within the US. Kodak said in a statement on Tuesday that the going concern language in its regulatory filing is essentially a required disclosure because its debt comes due within 12 months of the filing. "Kodak is confident it will be able to pay off a significant portion of its term loan well before it becomes due, and amend, extend or refinance our remaining debt and/or preferred stock obligations," the company said. Last year Kodak said that it would end its retirement income plan in order to pay down debt, according to The Wall Street Journal. Kodak Chief Financial Officer David Bullwinkle said in a statement on Monday that the company expects to know by Friday how it will satisfy its obligations to pay all pension plan participants and foresees completing the reversion by December. Founded by George Eastman in 1880, Eastman Kodak Co is credited with popularising photography at the start of the 20th century and was known all over the world for its Brownie and Instamatic cameras and its yellow-and-red film boxes. It was first brought down by Japanese competition and then an inability to keep pace with the shift from film to digital technology. Kodak filed for bankruptcy protection in 2012 after struggling with increasing competition, continuing growth in digital photography and growing debt. The company wound up selling off many of its businesses and patents while shutting down the camera manufacturing unit that first made it famous. It received approval for its plan to emerge from court oversight a year later. At the time, Kodak was looking to recreate itself as a new, much smaller company focused on commercial and packaging printing. Kodak is now nearing completion on a manufacturing plant to create regulated pharmaceutical products. The company already makes unregulated key starting materials for pharmaceuticals. Production at the retrofitted facility is expected to start later this year. Shares slid more than 20 per cent in midday trading.
Boston Globe
4 days ago
- Business
- Boston Globe
Kodak cautions on business operations but remains confident it can meet debt obligations
Kodak said in a statement on Tuesday that the going concern language in its regulatory filing is essentially a required disclosure because its debt comes due within 12 months of the filing. Advertisement 'Kodak is confident it will be able to pay off a significant portion of its term loan well before it becomes due, and amend, extend or refinance our remaining debt and/or preferred stock obligations,' the company said. Get Starting Point A guide through the most important stories of the morning, delivered Monday through Friday. Enter Email Sign Up Last year Kodak said that it would end its retirement income plan in order to pay down debt, according to The Wall Street Journal. Kodak Chief Financial Officer David Bullwinkle said in a statement on Monday that the company expects to know by Friday how it will satisfy its obligations to pay all pension plan participants and foresees completing the reversion by December. Founded by George Eastman in 1880, Eastman Kodak Co. is credited with popularizing photography at the start of the 20th century and was known all over the world for its Brownie and Instamatic cameras and its yellow-and-red film boxes. It was first brought down by Japanese competition and then an inability to keep pace with the shift from film to digital technology. Advertisement Kodak filed for bankruptcy protection in 2012 after struggling with increasing competition, continuing growth in digital photography and growing debt. The company wound up selling off many of its businesses and patents, while shutting down the camera manufacturing unit that first made it famous. It received approval for its plan to emerge from court oversight a year later. At the time, Kodak was looking to recreate itself as a new, much smaller company focused on commercial and packaging printing. Kodak is now nearing completion on a manufacturing plant to create regulated pharmaceutical products. The company already makes unregulated key starting materials for pharmaceuticals. Production at the retrofitted facility is expected to start later this year. Shares slid more than 25 percent in midday trading.
USA Today
4 days ago
- Business
- USA Today
Iconic US film company Kodak warns it may go out of business
The American company credited with revolutionizing amateur photography is warning it could go out of business after more than 130 years. 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. Kodak became one of the most iconic American companies in the late 19th century with the introducton of the Kodak #1 camera in 1888, credited with making photography accessible to the everyday person. Though it rose to prominence for its film photography products, it struggled to adapt to the changing industry as digital imaging took over, with the company filing for bankruptcy in 2012. In recent years, it has pursued specialty chemicals and pharmaceuticals. This camera revolutionized photography: Whatever happened to the Kodak Instamatic? Tariffs had no 'material impact' 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. What's next for Kodak? 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. The company was founded by George Eastman in 1889 and renamed a few years later to the Eastman Kodak Company. Eastman's Kodak Brownie camera introduced in 1900 made photography accessible to everyday Americans, later introducing color versions in the 1920s and 1930s, and offering the world's first digital camera in 1975. Kathryn Palmer is a national trending news reporter for USA TODAY. You can reach her at kapalmer@ and on X @KathrynPlmr.
