Eastman Kodak Company, which traces its roots to 1880, today filed for Chapter 11 bankruptcy protection in the United States and indicated that it plans to restructure around digital-capture patents and printing technologies.
Kodak has obtained in debtor-in-possession financing, which amounts to an 18-month credit line from Citigroup to maintain operations through the bankruptcy process. “This is a necessary step and the right thing to do for the future of Kodak,” stated Antonio Perez, Kodak’s Chairman and CEO, who took over leadership of the Rochester-based company in 2003.
An article by the Reuters news agency about the bankruptcy filing points out, that in its Manhattan court papers, Kodak had around US$5.1 billion of assets and US$6.75 billion of liabilities at the end of September. The article also notes that Kodak, while still employing 17,000 people, had 63,900 employees just nine years ago.
“Chapter 11 gives us the best opportunities to maximize the value in two critical parts of our technology portfolio: our digital capture patents… and our breakthrough printing and deposition technologies,” stated Perez.
Kodak expects to complete its U.S.-based restructuring by the end of 2013.