History still in the making…
Kodak and the State of New York have reached an agreement to establish a $49 million environmental trust for Eastman Business Park (EBP) (formerly Kodak Park). This trust will be available for remediation of past environmental concerns. This deal also helps stabilize the future of EBP which now has over 35 companies leasing buildings employing over 6,000 employees within the Park.
On Wednesday, Kodak has received approval from the bankruptcy court to sell their personal imaging and document imaging groups to the UK pension plan. This would include things like 35mm film, kiosks used for printing digital images. and document scanners . The UK pension group will get Kodak’s photo paper plant in England and facilities in Windsor, CO. It will lease a substantial part of Eastman Business Park’s massive Building 205. It also gets more than 3,200 employees which is approx. a quarter of Kodak’s current worldwide employees.Through this deal Kodak gets $650 million for those business groups and also gets out of paying a $2.8 billion claim from the pension group.
On Thursday, Kodak announced it secured $895-million from three large banks to pay off creditors. J.P. Morgan Chase, Bank of America Corp. and Barclays will serve as “joint lead arrangers” for loans of as much as $895 million. Those banks will arrange credit fo help Kodak exit from bankruptcy. The deal will still have to be approved.
Next Tuesday, Kodak is scheduled to ask the Bankruptcy Judge to allow creditors to vote on its restructuring plan. It intends to exit bankruptcy by the end of July.