Kodak sees losses grow to $366m as reorg, lawsuits continue
updated 11:20 am EDT, Fri April 27, 2012
Kodak still far from profit
Kodak saw mixed performance on Friday as it fought to get back to profitability. Although it now had a cash balance of $1.4 billion, up from $500 million in a pre-bankruptcy fall 2011, its losses widened from $246 million to $366 million. The deeper impact was pinned on restructuring costs as the company hoped to sell off money-losing divisions.
Its revenue dropped 27 percent from a year ago, to $965 million, as it eliminated the camera business that had defined the company for much of its life.
Losses are likely to shrink as the reorganization costs go down. The company's position is still uncertain, as it will have few businesses outside of printers if and when it exits bankruptcy.
Much of Kodak's fate could still ride on lawsuits. A successful exit from bankruptcy would see it face an on-hold Apple lawsuit Kodak has also been suing Apple, Samsung, and HTC in an attempt to restore its financial position through patent disputes. Similar attempts to extract royalties from Apple and RIM failed and might reflect Kodak's legal future.
