A tepid resurgence has left many companies with crippling debt. The business report states that the photographic pioneer Eastman Kodak is facing financial difficulties. According to the report published this week in the Wall Street Journal, the company has planned to file for bankruptcy this month or perhaps in early February. Now, the company is trying desperately to sell its massive collection of digital-imaging patents, but that may not take place. Kodak already said if sale plans fail through, the firm is preparing a chapter 11 bankruptcy, which would prevent it from creditors while it recovers its business.
While the enterprise would recover and continue to operate normally by clearing its bills, it would turn to a court-supervised auction of around 1,100 patents in order to raise capital. The publication noted the 131-year-old-company has refocused its endeavor on commercial Ink Cartridges printing in the recent years, but a market share of 2.5 %, according to IDC figures, suggest it is on trouble to enter a sector dominated by names such as HP.
Last week, Kodak faced a serious setback. It was warned it could be removed from the New York Stock Exchange list in six months after its share price fall poorly to $1 (64p) for 30 consecutive days. The company shares had once been catapulted from $20 in the late 1970s to around $90 in the mid 1990s. With such a high and steady dividend yield, Kodak was known as an assured purchase. But now, the end is in the vicinity for a great legendary American company. The company’s stock dropped to a low of forty-seven cents per share this past Wednesday.