Kodak to launch new pharmaceuticals business using $765 million federal loan

WASHINGTON -- Erstwhile photo giant Eastman Kodak will launch a new business manufacturing pharmaceuticals amid the coronavirus pandemic, using a $765 million government loan, the company announced Tuesday.

The loan from the US International Development Finance Corporation (DFC) will fund the creation of Kodak Pharmaceuticals, which "will produce critical pharmaceutical components that have been identified as essential but have lapsed into chronic national shortage," the agency said in a statement.

The firm, which signed a "letter of interest" with the DFC on Tuesday, will produce "up to 25 percent of active pharmaceutical ingredients used in non-biologic, non-antibacterial, generic pharmaceuticals." 

Kodak, once a giant in the world of photography whose business has struggled in recent years as cell phones have replaced cameras and film, will expand its existing facilities in Rochester, New York and St. Paul, Minnesota.

The company said the new pharmaceutical business will support 360 direct jobs and 1,200 indirectly. 

"By leveraging our vast infrastructure, deep expertise in chemicals manufacturing and heritage of innovation and quality, Kodak will play a critical role in the return of a reliable American pharmaceutical supply chain," the company's Executive Chairman Jim Continenza said in the statement.

The DFC loan is the first to be made after President Donald Trump in May signed an executive order aimed at encouraging domestic production of materials needed to fight COVID-19.

While Americans consume about 40 percent of the components used to make generic pharmaceuticals worldwide, only about 10 percent of those are made in the country's borders, the DFC said.

"We are pleased to support Kodak in this bold new venture," DFC Chief Executive Adam Boehler said. "Our collaboration with this iconic American company will promote health and safety at home and around the world."

Agence France-Presse

Oscars no longer 'live from the Kodak Theater'

LOS ANGELES -- Bankrupt Eastman Kodak Co is having its named yanked from Sunday's telecast of the Oscars, the president of the group that gives out the awards said on Wednesday.

"It will be live from the Hollywood and Highland Center in Hollywood, California. That's what the landlord has asked us to do and we're going to do it," said Tom Sherak, president of the Academy of Motion Pictures Arts and Sciences, in an interview with a Los Angeles television station.

The announcement comes after much speculation as to whether the once-dominant film manufacturing and photography company would keep its name on the Oscar theater after filing for Chapter 11 bankruptcy reorganization earlier this year.

Kodak signed a $74 million deal in 2000 for naming rights the 3,400-seat theater in Hollywood that is home to the Academy Awards and also houses a production of Cirque du Soleil.

The Oscar deal was an enormous marketing opportunity for Kodak's brand because the Academy Awards annually is the second most-watched event on TV behind football's Super Bowl. Last year's telecast was viewed by 37.6 million people.

But under bankruptcy law, the company was able to reject the remainder of its 20-year commitment, and sought to have its name removed from the theater immediately.

The building's owner, CIM Group, objected initially saying it was unfair for Kodak to remove its sign before the Oscars.

The CIM Group declined to comment Wednesday on the Academy's decision to not include the Kodak name in this year's awards.

source: interaksyon.com

Apple seeks court permission to sue Kodak

NEW YORK — Apple Inc has asked a bankruptcy court for permission to sue Eastman Kodak, accusing it of infringing its patents.

In a court filing on Tuesday in New York federal bankruptcy court, Apple said it wanted to file a complaint against Kodak at the International Trade Commission.

Apple said the suit would seek to bar Kodak from importing various products, such as printers and digital cameras, that it believes infringes its patents.

Apple said it also wants to file a corresponding lawsuit in the Manhattan federal court, which would seek damages it has suffered since the iconic photography company filed for bankruptcy last month.

The litigation would not be the first legal battle between the two companies. In January, Kodak sued Apple for allegedly infringing its patents related to digital cameras.

The once-dominant photography company filed for bankruptcy protection last month.

source: interaksyon.com