Kodak secures US$375m in new finance

Kodak CEO Jim Continenza has told investors that the company was going to “grow our way” out of Covid-19 and “not cut our way out of it", as the company secured an additional US$375m in funding.

Continenza was speaking at an investor call for the company’s Q4 and year end results. He said, ““We have materially fixed our balance sheet and financial foundation. Let’s find our path.”

The company has just secured an extra US$375m in funding, which it says removes any lingering question marks over its position, and US$210m of which will allow it to invest in new opportunities.

For 2020, sales dropped by 20 per cent or US$213m to US$1.02bn. Its EBITDA was US$1m in the red, falling from a positive US$13m in 2019.

Traditional Printing was hardest hit in 2020 with sales down by US$135m to $592m. Digital Printing sales fell by US$52m to US$241m, while Advanced Materials & Chemicals sales were down by US$28m to US$172m.

Sales of Kodak Sonora process-free plates were down by six per cent for the year, while annuities for the installed base of Kodak Prosper high-speed inkjet devices fell by 7 per cent.

As Covid peaked Sonora plate volumes plummeted by a third, with Prosper revenues off by a quarter, however, the second half of the year did see recovery.

Kodak Sonora process-free plates were down by six per cent overall for the year, while recurring revenues for the Kodak Prosper fell by seven per cent.