According to Channel 13 rochester ny, a major player in the photography business might not be going the way of the dinosaurs completely. Rochester Channel 13 News has begun reporting about the funding that Eastman Kodak will receive as it emerges from bankruptcy protection. The company shell may live on, but the business it was known for has all but disappeared.
The former Fortune 100 business is set to receive loans and credit for up to 695 million dollars. Channel 13 Rochester news has been following the story as they essentially disintegrated into bankruptcy in 2012. While a judge will have to weigh in on the terms, Kodak should have the funding in place to repay loans, finance the exit from bankruptcy, finance working capital and receive cash.
So how does a monster cash cow get into such dire financial circumstances? Back in 1976, Kodak owned the film market with a 90 percent market share, but by the 1990s their sales were slipping. Digital photography was cutting into film sales and profits, even though Kodak invented some of the core technology. Their last profit came in 2007. Once phone cameras became mainstream, there was even less market for the typical consumer digital camera.
But, still hoping that it might be the saving grace, Kodak moved to focus on digital cameras and the corporate digital imaging market. That proved to be just as limiting as film. In 2012, Rochester NY channel 13 news began reporting that Kodak was getting out of digital cameras, pocket video cameras and digital frames. That same year they announced plans to sell their photographic film business. Had the film division sale been successful, it would essentially erase all resemblance to the original company.
For a company once known for its Kodak moments, the failure to adjust to technology and consumer trends has seen it go down to a mere shadow. At their peak, worldwide employees were well above 100,000. Today that number is well south of 20,000. Only time will tell what kind of snapshot the company leaves behind.