Eastman Kodak Co, which invented the hand-held camera and helped bring the world the first pictures from the moon, has filed for bankruptcy protection, capping a prolonged plunge for one of America’s best-known companies.
The more than 130-year-old photographic film pioneer said it had also obtained a $950 million, 18-month credit facility from Citigroup to keep it going.
The loan and bankruptcy protection from US trade creditors may give Kodak the time it needs to find buyers for some of its 1,100 digital patents and to reshape its business while continuing to pay its 17,000 workers.
“The board of directors and the senior management team believe that this is a necessary step and the right thing to do for the future of Kodak,” chairman and CEO Antonio Perez said on Thursday. “Now we must complete the transformation by addressing our cost structure and effectively monetising non-core intellectual-property assets.”
At September-end, the group had assets of $5.1 billion and liabilities of $6.8 billion. Its market value has sunk to below $150 million from $31 billion 15 years ago.
‘India ops not hit’
Kodak India on Thursday said the bankruptcy filing by its parent in the US will not impact operations here. “We do not expect the business in India to be impacted in any significant way during this process,” Kodak India vice-president, marketing PN Raghuvir said. PTI/new delhi