Kodak's losses are staggering. 400 million dollars and increasing. Sales are also down 24%. Really, how can this dinosaur keep on wheezing along? I guess I'll believe it when I see it, that they exit bankruptcy.
The stock is so cheap we should come together and buy a controlling interest in the company.
Bachelor of Fine Arts and Bachelor of Arts: Journalism - University of Arkansas 2014
Canon A-1, Canon AE-1, Canon Canonet GIII 17, Argus 21, Rolleicord Va, Mamiya RB67, Voigtländer Bessa
Don't you know? That is the re-organization plan. Print and sell more stock...Oooops, sorry...that was Bernanke.
Why did they invent the digital camera and not market it ? Everyone else did.
If you add all the liabilities, they should give us money just to buy it
Originally Posted by Darkroom317
This is what corporate arrogance looks like. It happened to Polaroid it (almost) happened to Apple, it happened to Silicon Graphics and it will happen to IBM and HP quite soon, I'm afraid.
Others will be more dedicated to the customer and grow, starting the cycle all over again.
I think it started with the useless film formats pushed onto the customers to sell more crappy cameras (just look up a list... 620 anyone?) culminating with the APS fiasco and the delay in marketing digital. Too many mistakes to survive. The fact that they were huge delayed the end, but the vision in Kodak is just a ECN product line.
Sorry for the rant, but I see design-by-commitee and marketing-by-commitee everyday. No one takes charge and imposes a vision, and when they do it's usually crap like expensive inkjet with cheap ink and nobody dares to contradict them.
Support the ones who care about us (Ilford, ADOX, maybe even Maco and Fuji) and let the dead rest already.
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Businessweek: Kodak loss up 80 pct in 2012 as sales fall 20 pct, "The Rochester, N.Y., company said it lost $1.38 billion in 2012, 80 percent more than the loss of $764 million the year before."
Money, meet furnace.
"The Rochester, N.Y., company said it lost $1.38 billion in 2012, 80 percent more than the loss of $764 million the year before. Excluding reorganization costs, the latest loss would have been $308 million, Kodak said."
So their reorganization costs were in excess of $1.07 billion.
“Photography is a complex and fluid medium, and its many factors are not applied in simple sequence. Rather, the process may be likened to the art of the juggler in keeping many balls in the air at one time!”
Ansel Adams, from the introduction to The Negative - The New Ansel Adams Photography Series / Book 2
And their loss excluding those costs was less than half the loss of 2011.
Still they are bleeding heavily if not quite gushing as badly as in 2011.
Kodak had been forerunner with types as 126, S-8 which really cranked up the markets worlwide.
Originally Posted by iulian
APS had been a well designed system that had been outrun by digital technololgies just as the whole industry.
Buying stock in Kodak prior to their emerging from bankruptcy is absolutely, without a doubt, the worst thing one could possibly contemplate. To begin with, even purchasing 100% of the shares will not give you control. The company is in bankruptcy, and control is now formally in the hands of the court and effectively in the hands of the creditors. Shareholders are powerless in this situation.
Originally Posted by Darkroom317
Furthermore, the chance that shareholders will retain any value when the company emerges from bankruptcy is zero. For example, suppose you were to invest, let us say, $10,000,000 in kodak shares today and hold them until the company emerges from bankruptcy. When the company emerges from bankruptcy your shares will have a value of $0.00, that's zero, as in absolute zero, as in not worth even one penny.
This is not a good investment strategy.
It all comes down to how things work in a bankruptcy. Without going into much detail, in a bankruptcy there is a sort of prioritization that takes place for claims on company resources. Shareholders are last in line. This means that every class ahead of the shareholders must be made whole before the shareholders get anything. Since the company owes more money than the value of its assets, the current shareholders will be left out in the cold. If there is to be an operating company at the end of all this it will not be owned by the current shareholders.
The typical scenario is for the old shares to be cancelled, and new shares are to be issued to the current bond holders. Thus, the current shareholders get nothing, and the company will end up being owned by the current bond holders.