Kodak Continues To Struggle
Posted on 10/3/2011 by Jim Pickerell | Printable Version |
Eastman Kodak’s stock lost more than half its value in volatile trading on Friday amid fears that it is headed for bankruptcy. The company has lost nearly $1.8 billion since 2007 and is set to borrow another $160 million from its $400 million line of credit.
Investors were also spooked because the company announced that it was hiring several advisors to help management turn around the Rochester, N.Y. company. One of those advisors is the Jones Day law firm which specializes in advice on bankruptcies and other restructuring alternatives.
Shares closed on Friday at $0.78 per share. At one point they reached a new low of $0.54. In early trading on Monday the shares were back up to $1.46, but they were at $3.12 a month ago. Shares were above $28 in October 2007 and have been steadily declining since. The once dominant player in the photography business has struggled mightily in the last two decades to find a way to successfully transition from film base photography into digital and is still searching.
Copyright © 2011 Jim Pickerell
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