Kodak Seeking to Sell its Patent Portfolio
Kodak’s “viability on a go-forward basis may be not only challenged but hard to defend,” Keith Wirtz
, Cincinnati-based chief investment officer at Fifth Third Asset Management, which oversees $16.7 billion, said in a telephone interview. “They do have values embedded in patents and other technologies. Someone is going to buy the company and tear it apart.”
Eastman Kodak Co. has kicked off its patent sale, as the beleaguered imaging company seeks to ride the bull market for patents and capitalize on its intellectual property in the booming market for tablet computers.
Investment bank Lazard Ltd. began marketing the portfolio this week, reaching out to companies that might be interested, said a person familiar with the matter.
Original links from Gizmodo: http://gizmodo.com/5832041/kodak-emb...tent-portfolio
Saddled with poor earnings, pensions, a struggling digital imaging business, and consumer printing business, Kodak seems to be driving it self to destruction by dismantling its patent portfolio piecemeal. I am actually very disappointed in its management's decision to do this. Seeing that they are still in litigation and awaiting the decision of the US International Trade Commission on infringement of their patents by Apple and RIM, their current decision to sell off now, may indicate that their patents may not hold up. This doesnt sound like it will end well at all. The end is near. =[
"Someone is going to buy the company and tear it apart."
Already been reading this stuff, but didn't want to say anything.
This is so sad it hurts...
"They are the proof that something was there and no longer is. Like a stain. And the stillness of them is boggling. You can turn away but when you come back they’ll still be there looking at you."
— Diane Arbus, March 15, 1971, in response to a request for a brief statement about photographs
And I was just starting to like Portra 400.
Dammit Kodak don't you screw this up.
5x7 Eastman-Kodak kit, under the knife for a bit
4x5 Graphic View / Schneider 180 / Ektar 127
RB67 Pro S / 50 4.5 / 90 3.8 / 180 4.5 / WLF / prism finder / polaback
Random 35mm stuff
There's still Fuji I suppose
Yes Fuji is still there. For how long ? I'm afraid C-41 end is not that far.
Originally Posted by tomalophicon
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Darn I hope not!
Originally Posted by faustotesta
I read somewhere that Kodak's film business brings in about $2bn revenue per year, including the movie stocks. Even today, that's a big business, and perhaps freed of the past legacies, someone can turn this into a successful business again. Not that long ago, Apple was struggling to meet the next month's payroll (really), but now they are around the most valuable company in the world. Kodak can't do that, but turnarounds happen, and sometimes they happen in a big way.
Even if the worst happens, and Kodak is liquidated, no liquidator will see a large revenue stream and just close it down.
Looking back I see Kodak was thinking of selling its film business in 2007. Now I sort of wish they had, probably would have made a lot more sense to sell it back then! I think it will be a tougher sell today. I hope it happens so we can continue to get their products but I am not holding my breath. Just when I got into doing my own C-41 and RA-4 too... rats!
Before we go all "Chicken Little" over this, let's for a change take the time to read around and see what's on the table rather than vapor endlessly about the unknown.
Originally Posted by Newt_on_Swings
I've read around and see this a great news for film, considering the alternative. Kodak management is working hard not to be bought out and have its parts sold off. By selling patents off they seem to be buying time until that can finish a restructuring and bring it back to profitability.
I see selling the patents rather than selling the company as the better deal for film and film users.
The 3 billion dollar number seems a bit high for the patents. Big players have already stocked up their patent arsenal. They will go at a much lower price to a patent troll company or similar outfit.
P.S: The pension shortfall appears to be much higher than is reported by the company. This will scare away some buyers of the firm.