Lacking patent buyer, Kodak files for Chapter 11
ROCHESTER, N.Y. – Photography icon Eastman Kodak has filed for Chapter 11 bankruptcy protection, as it seeks to boost its cash position and stay in business.
The move comes as the ailing company has failed to find a buyer for its trove of 1,100 digital imaging patents.
Kodak said in November that it could run out of cash in a year if it didn’t sell the patents, for which it hoped to fetch billions.
Eastman Kodak Co. said early Thursday that it has secured $950 million in financing from Citigroup Inc. and expects to be able to operate its business during bankruptcy reorganization and pay employees.
The Rochester, N.Y.-based company was pummeled by foreign competition and then severely shaken by the digital revolution. It has invested huge sums in new lines of inkjet printers.