Kodak
Kodak has retouched its image from a leading maker of photographic film to a provider of imaging technology products and services to the photographic and graphic communications markets. The company has restructured itself to focus less on sales of film and more on sales of digital cameras and imaging systems for consumers and professionals. Kodak's shift to become a digital technology business included purging some 30,000 employees. The firm also has long-term plans to sell ink jet printers and flat-panel displays.
| Income Statement |
Dec 07 |
Dec 06 |
Dec 05 |
| Revenue |
10,301.0 |
13,274.0 |
14,268.0 |
| Total Net Income |
676.0 |
(601.0) |
(1,362.0) |
With Kodak's growth and shift to newer, more popular and profitable technologies has come an ebb and flow in its operations.
Competitors
FUJIFILM Holdings
History:
Kodak spun off Eastman Chemical in 1994. Sales in 1996 included its money-losing copier sales and services business.
Kodak wrote off nearly $1.5 billion in 1997, mostly because of costs related to the layoffs.
Kodak acquired the medical imaging business of Imation in 1998, but it also unloaded more of its noncore operations, including its 450-store Fox Photo chain.
In 2003: July, the company announced it would cut as many as 6,000 jobs worldwide. This came after reducing as many as 2,200 jobs in the US and Western Europe earlier in the year and cutting as many as 7,000 jobs worldwide in 2002.
In February 2005 Kodak changed the name of its Health Imaging Group to Health Group to reflect its increasing focus on health care information technology, with the development of digital equipment and technology systems, such as Kodak Carestream Solutions. A couple years later, Kodak sold its Health Group to Onex Corporation.
Paper market shrinks:
In mid-2005 Kodak said that it would phase out production of black-and-white photographic paper, manufactured at one of its plants in Brazil, by the end of the year.
The company attributed its exit from the business to a move from chemical-based photography to digital imaging and a 25% decline in demand for black-and-white paper annually.
Developed vs. Emerging Market strategy (2007)
In the US, Europe:
Kodak slashed its stock dividend by 70%, too, to fund its effort to become the leader in digital technology. The company set aside $3 billion for acquiring and investing in the technologies. During this time frame the firm doesn't plan to ship reloadable cameras using 35 mm film in the US, Canada, and Western Europe.
In Emerging Markets:
However, it is investing in traditional film technology in emerging markets. For example, it purchased a 20% stake in China's leading filmmaker, Lucky Film Co. Also, the company is rolling out new designs for reloadable film cameras in China, India, Eastern Europe, and Latin America.
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