History in the making…
On Monday Kodak made the announcement that they signed a commitment letter to secure $793 million in loans on the condition that the company receive at least $500 million for a patent portfolio they have been trying to sell. The loan is coming from Centerbridge Partners, GSO Capital Partners, UBS Bank and JPMorgan Chase & Co. This plan would make it possible for Kodak to come out of bankruptcy. Rumors prevail that Kodak has an offer from a consortium to buy the patents.
On Wednesday the Bankruptcy Court judge granted Kodak six more weeks to emerge from bankruptcy. Originally Kodak had a year to come up with a plan. Their date to file a plan with the Court now is set for Feb. 28th. The extension was supported by most of Kodak’s creditors.
On Friday Kodak announced that it will extend their relationship with CVS Pharmacy through 2016. CVS has over 15,000 of Kodak’s Picture Kiosks in their stores. As part of the agreement, CVS will be upgrading and expanding their Kodak Adaptive Picture Exchange (APEX) dry lab systems. Those APEX systems provide a more economical way for retailers to produce photo products with expanded offerings. CVS currently uses Kodak systems to the print from Facebook. Updates will allow people to print photos from smartphones or tablets to be picked up at CVS. The Kodak and CVS agreement renewal comes as Kodak is trying to sell their kiosk business.