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Eastman Kodak Co. (KODK)

  • Mar. 19, 2014, 4:50 PM
    • In its first earnings report since emerging from Chap. 11, Kodak (KODK) reports Q4 revenue of $607M (-18% Y/Y) and a net loss of $63M (improved from a year-ago loss of $402M).
    • Sales for Kodak's Graphics, Entertainment, & Commercial Films unit fell 12% to $396M; gross margin dropped 2380 bps to 9.6%. Kodak blames the drop lower graphics and motion picture film demand, and unfavorable graphics pricing/mix.
    • The Digital Printing & Enterprise unit saw its sales drop 22% to $210M; gross margin fell 220 bps to 13.8%. The discontinuing of printer sales, along with weaker sales of related ink, pressured results.
    • Some bright spots: 1) Kodak's digital printing ops saw volume growth thanks to "a larger number of placements of commercial inkjet components." 2) Entertainment & Commercial Films is seeing favorable pricing. 3) 450 graphics customers have adopted Kodak's Sonora process-free printing plates.
    • The company predicts growth within its "strategic technology businesses" will offset declines in mature businesses in 2014. Kodak ended 2013 with $844M in cash and $678M in debt.
    • 2014 guidance: Revenue of $2.1B-$2.3B, and earnings from continuing ops of -$40M to breakeven.
  • Mar. 12, 2014, 9:18 AM
    • Jeffrey Clarke, the chairman of travel site Orbitz (OWW) and once an exec at CA and H-P, has been named Kodak's (KODK) new CEO. (PR)
    • Kodak emerged from Chap. 11 last September, after selling $406M in equity to creditors and unloading its personalized document/imaging ops. The company will focus on commercial printing/imaging and touch sensor products going forward.
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  • Dec. 16, 2013, 5:42 PM
  • Sep. 16, 2013, 11:58 AM
    • It sounds like a "best of breed" call with analyst Michael Carrier saying Blackstone (BX +2.8%) deserves a buy rating thanks to rising distributions and asset growth at a time "when some in the sector  are likely to begin facing some cyclicality."
    • Carrier bumps his 2014 distributable earnings estimate by 10% and the price target to $28 from $25. The ramp in distributions over the next 18 months will first be driven by real estate, then "potentially" by private equity."
    • More Blackstone: As emerged-from-bankrputcy Eastman Kodak (EKDKQ.PK) prepares to come public again, it reveals its equity owners. Topping the list is Blackstone's GSO Capital Partners with a 22.6% stake.
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  • Sep. 3, 2013, 2:51 PM
    • Two weeks after a bankruptcy judge signed off on Eastman Kodak's (EKDKQ.PK -45.6%) restructuring plan, the company has officially emerged from Chap. 11. (PR) (8-K)
    • The emergence follows the sale of Kodak's personalized/document imaging ops to its pension plan, the completion of a rights offering, and the sale of $406M in new equity to unsecured creditors, among other moves.
    • All previously issued and outstanding Kodak shares have been cancelled, along with all other prior equity interests. Initial distributions related to "general unsecured claims" are due by the end of September.
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  • Aug. 20, 2013, 5:53 PM
    • Bankruptcy judge Allan Gropper has signed off on a restructuring that will allow Eastman Kodak (EKDKQ.PK -27.8%) to emerge from Chap. 11 as a smaller company focused on commercial printing/imaging and touch sensor solutions.
    • Creditors with secured claims will be paid in full, while those with unsecured claims will only receive 4-5 cents on the dollar. Shareholders will receive nothing.
    • Thus, the ruling (widely expected) led Kodak to dive to $0.056 on the pink sheets just before the close.
    • Kodak, which has shed  47K employees since '03, will emerge from Chap. 11 with just 8.5K. Going into Chap. 11, and prior to major asset sales, headcount was 17K.
    • Last week, Gropper rejected a bid by shareholders to have a committee representing their interests set up for them.
    • Going forward, Kodak plans to sell $406M in stock (85% equity stake)  through a rights offering backstopped by creditors.
  • Aug. 15, 2013, 6:42 PM
    • U.S. bankruptcy judge Allan Gropper has rejected a bid by Eastman Kodak (EKDKQ.PK -15.9%) shareholders to have an official committee created to represent their interests.
    • The ruling clears the way for creditors to obtain court approval next Tuesday for Kodak's reorganization plan, which will result in equity seeing their shares cancelled. All classes of eligible Kodak creditors have voted in favor of the plan.
    • In defending the ruling, Gropper says there's no evidence creditors were "hiding value," and notes unsecured creditors may still only get 4-5 cents on the dollar.
    • Kodak shares fell to $0.101 on the pink sheets today.
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  • Jun. 19, 2013, 6:44 AM
    Kodak (EKDKQ.PK) seeks a court order to approve a $406M rights offering which the company intends to use to fund distributions. A number of creditors have agreed to backstop the rights offering of 34M shares for $11.94 a share.
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  • May 1, 2013, 3:42 PM
    Eastman Kodak (EKDKQ.PK -72.9%) has plummeted to a mere $0.10 on the pink sheets after announcing a post-bankruptcy reorganization plan in which existing equity holders will see their shares cancelled. Second-lien noteholders will own 85% of the company, and unsecured creditors and retirees 15%. Kodak, which projects a $441M post-bankruptcy valuation, expects to exit Chapter 11 in Q3. (PR) (yesterday)
  • Apr. 30, 2013, 11:28 AM
    Eastman Kodak (EKDKQ.PK +17.4%) is now up 55% over the last 2 days on the pink sheets after announcing the sale of its personalized and document imaging units, and providing a Q1 business update. Excluding its $535M patent sale and a $77M goodwill charge, Kodak had a Q1 loss of $175M. Sales from continuing ops fell 9% Y/Y to $849M, and the bankrupt company's cash balance rose by $30M Q/Q to $1.17B. The Digital Printing & Enterprise unit had a segment loss of $8M in Q1, and the Graphics, Entertainment, & Commercial Films unit a profit of $38M.
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  • Apr. 29, 2013, 9:35 AM
    Eastman Kodak (EKDKQ.PK) is selling its personalized imaging (camera film, paper, photo kiosks) and document imaging (scanners/related software) units to its U.K. pension fund for $650M. The deal settles $2.8B in claims against Kodak from the bankrupt company's largest creditor. Kodak asserts the deal gives it "the remaining liquidity we require to emerge from Chapter 11," and says it plans to "file a draft Chapter 11 plan with the [U.S.] Bankruptcy Court on April 30." Kodak recently sold some document imaging assets to Brother for $210M. (PR) (previous)
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  • Apr. 16, 2013, 10:18 AM
    UniPixel (UNXL +8.7%) makes new 52-week highs after announcing Eastman Kodak (EKDKQ.PK) will make touch sensors leveraging UniPixel's UniBoss film. The companies have begun to build a manufacturing/testing facility with 100K square feet of manufacturing space, and plan to spend $24M this year to improve/equip it. Kodak declares the partnership a part of its efforts to expand into functional printing. Last week, UniPixel announced a partnership with an unnamed "touchscreen ecosystem partner."
  • Apr. 15, 2013, 8:51 AM
    Eastman Kodak (EKDKQ.PK) is selling "certain assets of its Document Imaging business" to Brother for $210M. Brother will also assume deferred service revenue liability of $67M. All subject to court approval. (PR)
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  • Mar. 25, 2013, 11:07 AM
    Needham initiates Shutterfly (SFLY +0.9%) at Buy with a $52 price target. The company, which is in the process of suing Eastman Kodak (EKDKQ.PK -3%) for violation of a non-compete agreement, was reiterated at Buy at Cantor Fitzgerald on March 11 with a price target of $48. 
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  • Mar. 22, 2013, 3:55 PM
    Shutterfly (SFLY +0.1%) is suing bankrupt Eastman Kodak (EKDKQ.PK -3.3%) to get it to shut down its My Kodak Moments Facebook app, arguing it violates a non-compete agreement that was part of last year's $23.8M deal to purchase Kodak Gallery. Separately, Kodak announces it has closed its $848M financing deal with creditors. The company says it's on track to file a reorganization plan by April 30.
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  • Jan. 23, 2013, 1:53 PM
    Two weeks after signing off on Eastman Kodak's (EKDKQ.PK) patent sale, a bankruptcy judge has approved $830M in financing that was contingent on the deal. The approval takes Kodak a step closer to coming out of Chap. 11, though the company still has to consummate a reorganization plan by Sep. 30, resolve its U.K. pension obligations, and sell all or part of its Document Imaging (scanners) and Personalized Imaging (photo kiosks, film, and paper) businesses.
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Company Description
Eastman Kodak Co is a technology company providing imaging for business. It provides commercial products and services in technologies including materials science; digital imaging science and software; and deposition processes.