Eastman Kodak Co. (fka EKDKQ)

[linie]

Kodak U.S. operations still long way from profitability
Edges slowly toward break-even
9:40 PM, Aug 29, 2012 | Comments


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Written by
Matthew Daneman
Staff writer

FILED UNDER
Business
Kodak
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Eastman Kodak Co.’s bankrupt U.S. operations continue to edge closer to the break-even point, but there still remains a lot of red ink to bridge to get there.

The printing and imaging company on Wednesday filed its latest monthly operating report, required as part of its reorganization under Chapter 11 of the bankruptcy code.

For July, Kodak’s domestic operations had sales of $162.5 million and a net loss of $78.7 million. On the upside, it was the smallest loss since the company began filing the monthly updates. On the downside, the results showed a return to gross losses — June had been the first month with a gross profit.

Gross profits and losses don’t count such business expenses as taxes, research and development, and selling and administrative costs.

For July, Kodak had a gross loss of $3.2 million, compared with a gross profit of $19.2 million in June.

The monthly reports give a partial view of how Kodak is doing because they include only the U.S. operations and not its international businesses, though the expenses include some company-wide costs. Kodak’s international operations are not part of the bankruptcy.

The reports show a company slowly slogging toward the black. Kodak’s U.S. operations had a $100.3 million net loss in January, $97.3 million in February, $128.7 million in March, $91.3 million in April, $88.3 million in May and $160 million in June.

According to the monthly reports, U.S. revenues have swung widely: $143.9 million in January, $168.1 million in February, $108.6 million in March, $156 million in April, $173.6 million in May and $180.2 million in June.

The company continues to burn through roughly $70 million a month in cash, with the U.S. operations ending July with $438.2 million in cash on hand, compared with $510.2 million at the end of June.

http://www.democratandchronicle.com/article/20120829/BUSINESS/308290048/Kodak-loses-78-million-dollars?odyssey=nav%7Chead