Quote Originally Posted by mikeb_z5
From the Kodak press release:

Digital & Film Imaging segment sales totaled $2.151 billion, down 12%. Earnings from operations for the segment were $193 million on a GAAP and an operational basis, compared with $229 million a year ago. Highlights for the quarter included a 63% increase in sales of KODAK EASYSHARE Printer Docks and related media for home printing; a 25% increase in consumer digital capture sales, which includes KODAK EASYSHARE cameras; and a 24% increase in the sales of KODAK Picture Maker kiosks and related media, plus continued strong sales of motion-picture origination and print film.

So what is it? poor film sales or continued strong sales?
Mike: The "strong sales" refer to motion picture film... both original and final print. It is the consumer and commercial STILL film sales that were down.

I agree with Bob Fowler that if EK bows out of professional anaglog products, they are hurting themselves. How will they maintain branding? If they think the consumer digital market can make it without flagship professional presence, they are deluding themselves. They are out of the professional DSLR market, having already waved the white flag there. Their only professional products in still photography will be as an OEM of sensors and related equipment. That's not an insignificant market, but there are fierce competitors around, and Kodak has proven in the past that they can seriously underestimate the competition ... just look at how they let Fuji eat their lunch. I switched to Ilford products in the mid-70s because Kodak had the arrogance to tell me that Polycontrast Rapid was just as good as fiber, and better than anyone else's products. Or that their reversal print process was better than Cibachrome.

I'm afraid Kodak is banking on two things: the consumer digital market (with its low margins and constant need for product churn) and the medical and other non-photography imaging market. They may be somewhat successful in the latter. But they divested themselves of the remote sensing divsion (to ITT) recently. That's the group that was developing the next Hubbel. I would think there might be some value in spinoffs from that R&D that could be sort of profitable. But I guess that wasn't important.

Except for continued manufacturing of Kodachrome, I'm sort of bitter right now. And the increased layoffs will hit hard here , in Rochester.

Earl