Kodak files for bankruptcy

2012-01-19 14:42
Washington - Eastman Kodak, the pioneering US company which invented the hand-held camera, has filed for bankruptcy protection before a United States court as it seeks to re-organise its finances, the company said on Thursday.

A statement said the move, which would include the sale of non-essential assets - which could include patents - was intended to bolster liquidity in the US and abroad.

"Kodak has taken this step after preliminary discussions with key constituencies and intends to work toward a consensual re-organisation in the best interests of its stakeholders," said chief executive officer Antonio M Perez in a statement.

"Kodak is taking a significant step towards enabling our enterprise to complete its transformation," said Perez. The firm expected to complete its US-based restructuring during 2013.

Kodak has obtained a fully-committed, $950m credit facility with an 18-month maturity from Citigroup to enhance liquidity and working capital, said the statement.

The credit facility was subject to court approval and other conditions. The company believes that it has sufficient liquidity to continue operating, and to continue the flow of goods and services to its customers in the ordinary course, it added.

Battle lost

Kodak employs around 19 000 workers, compared with 145 000 during the boom period of the 1980s.

The former blue chip company, which was founded in 1892, dominated film sales for much of the 20th century, and played a role in the life of almost every household.

It had been struggling since the late 1990s, when the spread of digital cameras started to decimate its film business.

"Eastman Kodak's long battle to remake itself for the digital age ended in failure [on] Thursday as the company that was instrumental in turning photography into a popular pastime filed for bankruptcy," commented the Financial Times on Thursday.

- SAPA
Read more on:    kodak  |  us
NEXT ON NEWS24X
SHARE:

Read News24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
5 comments
Add your comment
Comment 0 characters remaining

Inside News24

 
/News

Jobs in Cape Town [change area]

Property [change area]

Travel - Look, Book, Go!

Kalahari.com - shop online today

Valentine’s Day gifts – 14 Feb!

Gifts to spoil him and her. While stocks last. Shop now!

Games on Sale!

Save up to 60% on selected games. While stocks last. Shop now!

Up to 30% off All Textbooks

Save up to 30% off an extensive range of prescribed textbooks for all major universities and FET colleges. Shop Now!

Save up to 40% on outdoor accessories!

Tents, sleeping, day packs and more. While stocks last. Shop now!

30% off fragrances

Get 30% off fragrances for him and her. While stocks last. Shop now!

OLX Free Classifieds [change area]

Horoscopes
Aquarius
Aquarius

Love is in the air and it is swirling around you in a romantic mist. This may be an idealistic yearning for that perfect love or...read more

There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.




Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.