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Update: Kodak has released a statement addressing “Misleading Media Reports.”
The recent news regarding Kodak’s financial report, which resulted in a 25% drop in their stock price, has alarmed not only investors but also others reliant on their products. Below is Kodak's complete response (also available on kodak.com/en/company/blog-…):
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Statement Addressing Misleading Media Reports
August 13, 2025
Reports in the media suggesting that Kodak is shutting down, going bankrupt, or ceasing operations are incorrect and stem from a fundamental misunderstanding of a recent technical disclosure made to the SEC in our second quarter earnings report. These articles lack important context and we wish to clarify the situation.
Key points to understand are:
Kodak has no intention of ceasing operations, going out of business, or filing for bankruptcy protection.
In fact, Kodak is confident in its ability to repay, extend, or refinance its debt and preferred stock by their due date.
Upon completion of the planned transactions, anticipated for early next year, Kodak will have a stronger balance sheet than it has had for years, resulting in being nearly net debt free.
The “going concern disclosure” is a technical requirement in accounting standards.
We remain committed to fulfilling our obligations to all pension fund participants.
Pension Fund Transaction
Kodak has been preparing for the termination of the pension plan for some time and expects to secure approximately $500 million in assets—after fulfilling our obligations to all participants—in December 2025 when the transaction concludes. Around $300 million of these funds are projected to be in cash, with about $200 million expected as investment assets that will be converted into cash.
Kodak’s Debt Position
To provide some context, Kodak currently holds $477 million in term debt and $100 million in outstanding preferred stock. Our loan agreements mandate the use of the expected $300 million cash from December to repay term debt. Following that, Kodak will address the remaining $177 million of term debt and $100 million of preferred stock.
Kodak’s Ongoing Operations
In addition to our efforts to reduce debt and interest payments, we believe our business remains stable and self-sustaining. In Q2 2025, we utilized only $3 million in cash, predominantly for growth initiatives, marking a substantial improvement from Q1, and we do not intend to rely on funds from the pension transaction to sustain our operations.
In summary, Kodak is confident in its strategy to fulfill all obligations and remains positive about its future.
For further details, please refer to Kodak’s Form 10-Q submitted to the SEC on August 11, 2025, which includes cautionary language regarding forward-looking statements incorporated by reference here.
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#editorial🔥
The company’s stock fell by 25% today following their report, which disclosed a half-billion-dollar debt that is due within a year with no clear repayment strategy, in addition to declines in profits and increased expenses. #editorial.