Court confirms Kodak reorganization plan

Kodak filed for bankruptcy protection in January 2012.

The plan describes the company’s strategy to emerge from Chapter 11 restructuring as a technology leader serving commercial imaging markets.

The plan also reflects the company’s effective utilization of the Chapter 11 process to achieve its key reorganization objectives, including successfully reducing legacy costs, liabilities and infrastructure, exiting or spinning off businesses and assets that were no longer core to its future, and focusing on the company’s most profitable business lines.

The company is expected to finalize the remaining aspects of its reorganization and emerge from Chapter 11 on September 3. Kodak’s plan of reorganization will become effective upon emergence.

In a statement, the US Bankruptcy Court said: ‘It will be enormously valuable for the company to get out of Chapter 11, and begin to regain its position in the pantheon of American business.’

Antonio Perez, Kodak's chairman and chief executive officer, whose departure was recently detailed, said: ‘Today, the court confirmed Kodak’s plan of reorganization. This critically important milestone marks the final step in the court process.

‘Next, we move on to emergence as a technology leader serving large and growing commercial imaging markets – such as commercial printing, packaging, functional printing and professional services – with a leaner structure and a stronger balance sheet. There are additional transactional steps ahead as we complete our Chapter 11 restructuring, but with the court’s decision today, our emergence is now imminent.’