Kodak can’t seem to get a break. For quite a while the company has been living more and more on the money that has come in via patents/intellectual property. But, that changed last week when a judge tossed a lawsuit Kodak had against Apple and RIM. It could be that when this is reviewed that a couple of things could play out. The first would be where the judge gets his ruling thrown out and Kodak can collect big time. The second could be that the judge gets upheld and all that money that came to Kodak previously under the same premise such as Sony may get thrown into question. In speculation one has to ask if Kodak would have to give it all back.
Then, there is the 95% drop in Q4 profits. Stock value is way down, too. (Last month Kodak got the top spot for “Worst Stock of 2010” as seen by The Motley Fool. Maybe someone will want to buy the Kodak name now that the price is super low.)
While Kodak is showing some momentum with their printer line, consumer cameras, photo frames, and the like you just have to ask yourself if they make anything that you can’t really get anywhere else. Poor Antonio Perez seems stuck as CEO. He’s definitely overpaid when you consider the bottom line. Yet, seeing Perez replaced and then finding someone who can take the reins and find gold out there is unlikely. The task before him is great and we wouldn’t want to be in his shoes.
With our beloved Kodachrome gone is there a message here? Could this be something foreboding or merely a bump in the road to something else? It’s all food for thought. And, it’s not look appetizing.