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Kodak Spins Off Personal Imaging Business

“In one comprehensive transaction, Kodak will realize its previously announced intention to divest its Personalized Imaging and Document Imaging businesses and settle its largest legacy liability,” said Antonio M. Perez, Kodak Chairman and Chief Executive Officer. “The KPP transaction moves us past several key hurdles in our reorganization, resolving all potential claims worldwide, assuring continued operations outside of the United States, placing our Personalized Imaging and Document Imaging businesses with a new owner that recognizes their value and is focused on their growth and success, and providing the remaining liquidity we require to emerge from Chapter 11. We are very pleased with the transaction, the value it creates for our stakeholders, and the dedication and creativity of KPP that made it possible to achieve this extraordinary result.”  

The company has also posted its financial result for the first quarter of 2013: a profit of $283 million. This number is compared to a $366 million loss in the same quarter last year. This positive result is mainly due to the sale of its digital imaging patent portfolio worth $535 million. 

The company’s Commercial Imaging segments saw improvement, reporting a loss of $8 million compared to a loss of $89 million a year prior. The company’s overall sales, however, fell nine percent compared to the same quarter in 2012, totalling $849 million compared to $928 million.

 

“These results demonstrate that we are on track with our strategy to focus on Commercial Imaging, and that we are making operational improvements as Kodak takes the right steps to emerge as a profitable and sustainable company,” said Perez. “We have the right strategy and the right technology and products to extend our leadership in the industry.”