Focusing on Kodak

December 09, 2011   Jan Alexander

The company’s fate is in the hands of investors, who are at odds about its future.

  Illustration by Joe McLaren
Another iconic American brand is in trouble — and it’s looking to hedge funds for aid. Eastman Kodak Co., best known for the little rolls of film that captured life’s moments in the predigital age, has not turned an annual profit since 2007 and is telling investors it needs

$500 million to survive beyond 2012. Like General Motors’ finance arm and Chrysler Corp. before it, Kodak is courting hedge funds as a source of rescue capital, talking with Centerbridge Partners, Cerberus Capital Management, Highbridge Capital Management and Silver Point Capital about a possible cash injection.

Any distressed debt fund that rides into Kodak’s Rochester, New York, headquarters, however, is going to find resistance from at least five hedge funds and other investors that have already plowed money into the struggling enterprise. The trouble for Kodak is that existing investors are deeply divided on how...


Subscribers have unlimited access to all online content inc rankings. Start your subscription today - click on the button below.

Subscribe now

Free trial

Taking a free trial will give you access to online content one week (excludes research & rankings). Start your trial today.

Free Trial

Bank of America/Merrill Lynch provides the innovative research and market insights that will help you succeed, including commentary on the key themes for the year ahead as well as trends driving growth in important industries and sectors. You will gain access to global research and the other information you need to make informed investment decisions.

Click here for more details.

Latest Poll

Do activist hedge fund investors ultimately add value to the companies they target?

 - 58%
 - 42%

View previous results