Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comFirm Insights
Kodak Nears Bankruptcy Exit Following Deal with U.K. Pension Plan
Author: Joel R. Glucksman
Date: May 10, 2013
Key Contacts
Back
Kodak nears bankruptcy exit following formal bankruptcy proceedings to sell its assets to a United Kingdom pension fund.
Under the terms of the agreement, photography pioneer Kodak will sell its document and personal imaging businesses to its British pension fund for $650 million in cash and non-cash assets. The pension fund would also pick up 3,200 full-time Kodak employees, USA Today reports. In return for selling the assets, the pension fund will drop its $2.8 billion claim against Kodak, currently the largest unsecured claim the company faced following its demise.
The agreement, if approved by the U.S. Bankruptcy Court of Manhattan, will pave the way for the company to emerge from bankruptcy proceedings. Lenders required that Kodak sell its document and personal imaging units for a minimum of $600 million before they would agree to extend financing for the company to exit proceedings.
“In one comprehensive transaction, Kodak will realize its previously announced intention to divest its personalized imaging and document imaging businesses and settle its largest legacy liability,” said Antonio Perez, Kodak’s chairman and chief executive, according to the New York Times.
Kodak filed for bankruptcy law protection under Chapter 11 of the Bankruptcy Code in January 2012 as more consumers turned away from roll-up film and toward the digital photography industry. Since that period, the company has been attempting to sell off its assets, and made a deal with a consortium of technology companies to sell 1,100 digital imaging patents for $525 million. However, the amount was much less than expected. Once Kodak officially emerges from proceedings, it plans to focus its attention on its commercial imaging unit, which includes graphic communication, film and specialty chemical products, Reuters reports.
- Practices: Bankruptcy & Creditors' Rights, Corporate Transactions & Business
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Fort Monmouth Redevelopment and the Transformation of Monmouth County Real Estate
The Fort Monmouth redevelopment has entered its execution phase, and it is repositioning the broader Monmouth County real estate market. When Netflix and the Fort Monmouth Economic Revitalization Authority closed on the 292-acre Mega Parcel in December 2025, the transaction did more than hand over a deed. It marked the moment Fort Monmouth stopped being […]
Author: Donald M. Pepe
Local Zoning and Land Use Rules Every New Jersey Rental Property Owner Should Understand
Owning a residential rental property in New Jersey involves more than finding tenants and collecting rent. Property owners must comply with a combination of state laws, municipal ordinances, building and housing codes, and zoning and land use regulations. These requirements can affect everything from the number of dwelling units permitted at a property to whether […]
Author: Donald M. Pepe
Real Estate Litigation Explained: Top 5 Disputes and How to Avoid Them
The five most common real estate disputes are breach of contract claims, landlord-tenant conflicts, zoning and land use disagreements, construction claims, and boundary disputes. Understanding why each arises, and taking preventive steps early, can help property owners, tenants, developers, and investors avoid costly litigation. Key Takeaways: Real estate transactions are complex endeavors involving numerous parties […]
Author: Paul Grossman
When a Child Turns 18: The Gap in Your Family’s Estate Plan
Once a child turns 18, parents lose the automatic legal authority to make medical and financial decisions on their behalf, even if the child still lives at home or remains on the family’s insurance. Three documents close that gap: a durable power of attorney, a health care proxy or directive, and a HIPAA authorization. For […]
Author: George McGowan
Business Mediation: An Overview and Practical Tips
Business mediation is a confidential, voluntary process in which a neutral third party helps companies negotiate a resolution to a commercial dispute without going to trial. Because working with a mediator is very different from litigating in the courtroom, it is important to understand how commercial mediation works, when it makes sense for your dispute, […]
Author: Paul Grossman
Top 5 Causes Leading to Construction Defect Litigation
The five most common causes of construction defect litigation are design defects, substandard materials, workmanship defects, code violations, and subsurface defects. Because these flaws can compromise a building’s integrity, functionality, or safety, they frequently lead to disputes involving multiple parties and high financial stakes. Key takeaways: What is Construction Defect Litigation? Construction litigation is complex, […]
Author: Paul Grossman
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.