Nasty Rumor? "Kodak Sells Photochemical Operations" ?

[kb244]

Seen a link for it on another photography related message board, but when I try to see the thread, the site conviently is down at the moment ( and its a site I visit regularly ), but the thread title said "Kodak Sells Photochemical Operations".

I'm trying to figure out the story behind it, I know on the 20th Kodak stopped developing some synthetic chemicals used in the operation of "products" (they don't tell you specifically which product it affects).

So was the title just grossly exagerated? I know some people say one thing, and its usually not it, such as saying fuji stopped making neopan across 100, when it was just stoping the distribution of it's bulk roll in asia, not discontinueing it totally.

[reellis67]

I read it. Apparently Kodak has sold their chemical production facility in Rochester to another chemical company and that company will continue to produce the Kodak products. It did not say whether they would be doing the selling themselves or whether they would be making the products *for* Kodak. They did not state anything about discontinuing products, just to head off the inevitable.

- Randy

[jgjbowen]

Nothing on the Wall Street Journal site about Kodak since 9/20.

[copake_ham]

Didn't see anything here: http://www.kodak.com/eknec/PageQueri..._requestid=297

[kb244]

Didn't see anything here: http://www.kodak.com/eknec/PageQueri..._requestid=297

They are usually slow about putting 'damaging' or 'unpopular' news on their own sites.

[reellis67]

Here it is

http://www.popphoto.com/photonews/30...acquire-kodak-

and I was wrong, it does state that they will be making the chemicals *for* Kodak - in the title. I didn't have the link and couldn't remember for certain.

- Randy

[kb244]

Here it is

http://www.popphoto.com/photonews/30...acquire-kodak-

and I was wrong, it does state that they will be making the chemicals *for* Kodak - in the title. I didn't have the link and couldn't remember for certain.

- Randy

Oh.. so no big deal then, Kodak likely just wanting to stop all effort on their part in terms of producing film and such and concentrate on digital, which would make sense to have other companies pick up the rest. I was just kinda worried it was gona be something stupid that would lead to a quick deminishing on the chemistry.

[reellis67]

I was curious too, although I don't use much in the way of Kodak chemicals, I would still hate to see them drop out. It's a cost cutting measure I would imagine - at least in theory.

- Randy

[copake_ham]

I was curious too, although I don't use much in the way of Kodak chemicals, I would still hate to see them drop out. It's a cost cutting measure I would imagine - at least in theory.

- Randy

More likely a cash generating measure. Selling off profitable operations, particularly those engaged in what are no longer considered part of the firm's "core business" such as this, is a necessary part of their restructuring strategy.

[kb244]

More likely a cash generating measure. Selling off profitable operations, particularly those engaged in what are no longer considered part of the firm's "core business" such as this, is a necessary part of their restructuring strategy.

I'd imagine it would also make their stock look better if they dont have any portion of their business reducing in sales and such, since its outsourced.