Kodak is working on a Chapter 11 bankruptcy (three threads merged)

Excuse me, I'm totally ignorant when it comes to chapter eleven filings etc, being EU-based and totally uneconomical myself... :D

What does this mean? Out of business altogether? Going, going, gone? End of film?


More info very welcome, I'm ready to stock up on Tri-X :)
 
Many firms seem to emerge from Chapter 11 in the US. There's no equivalent in the UK; a firm goes into "administration" with a firm of accountants taking control and, if they can't find a buyer, it is generally liquidated. The administrators' fees are often sufficiently high to make the bankruptcy complete.
 
buzzardkid said:
Excuse me, I'm totally ignorant when it comes to chapter eleven filings etc, being EU-based and totally uneconomical myself... :D

What does this mean? Out of business altogether? Going, going, gone? End of film?


More info very welcome, I'm ready to stock up on Tri-X :)
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It's a reorganization. Typically used to keep a business going while creditors end up with the shaft. My last job went down the tubes this way, but the owner was a crook, unlike Kodak.:eek:
 
Whoops.

Guess I'm not going to stock up on Tri-X, which is nearly EUR 80 for 100ft with Macodirect in Berlin.

My other favorite Rollei Retro 400S for 100ft is close to EUR 40 :eek:

Question arises: is Tri-X really twice as good and expensive to produce? Don't answer that, it's apples and oranges compared I guess...

But still. No Tri-X for this puppy.
 
The wikipedia article on Chapter 11 explains it fairly well without being too long to read:
http://en.wikipedia.org/wiki/Chapter_11
At the bottom are some of the largest companies that have filed Chapter 11. If you look over the list, most were very different or completely gone after all was said and done.

Hopefully the film division can be sold or saved, else it's time for me to learn to like Delta 100 as much as I like Tmax 100.
 
With chapter 11 the company is in the intensive care ward in a coma and last rights have likely been given, just in case the treatment/restructuring doesn't work. OTH they have been known to come out of it after a long while comatose. They do continue doing business through the whole thing sorta like sleep walking. Pretty shaky place to be.

Bob
 
dave lackey said:
It's a reorganization. Typically used to keep a business going while creditors end up with the shaft. My last job went down the tubes this way, but the owner was a crook, unlike Kodak.:eek:
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Actually, this is only partly right. It is a reorganization, but it is designed to preserve as much value for creditors as possible. Sometimes that number is $0, but it is more common for a smaller business to exit the process with a chance at being a going concern. It is the shareholders who get the shaft, often having the value of their shares reduced to $0, while the creditors typically negotiate payments that are a percentage of what was originally owed. The idea, from a public policy perspective, is that it is better for everyone to take a haircut financially and wind up with a leaner business that may recover than it is to tank the business and for all who work there to lose their jobs, pensions, etc.

However, the outcomes are very fact-specific and many companies do wind up, like Dave's, ultimately going into liquidation.
 
Often leaking the news that you are preparing for it is designed to give a company leverage with existing creditors as the certainty of a deal that you cut with your borrower is sometimes preferable to having a bankruptcy judge decide who gets paid what.
 
Benjamin Marks said:
Often leaking the news that you are preparing for it is designed to give a company leverage with existing creditors as the certainty of a deal that you cut with your borrower is sometimes preferable to having a bankruptcy judge decide who gets paid what.
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or, maybe in the case, designed to make potential buyers get off their arses...
 
Pickett Wilson said:
After watching Kodak screw up the company in slow motion for 15 years, I'm not sure many folks really care if they survive.
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I believe you'll find lots of people, myself for example, who care about Kodak's survival. Management could jump off a cliff afaic since they totally destroyed a viable company with great product. yymv
 
I will kinda miss Kodak but they already discontinued my favorite films and papers. The only thing left is tri-x and it is/was only a matter of time for it to go.
 
Indeed Fred. Best case scenario would be a white knight comes in and buys the film division and keeps that chugging along as a lean film making machine. But who would have the $ to do this ?
 
Ch 11 can mean many, many things, none of which have to do with Tri-X. :) Sometimes nothing changes except creditors accept payment plans. As usual in photography, it depends. :)
 
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