Tuesday, February 21, 2012

Kodak Plans To Stop Production Of Digital Cameras And Digital Photo Frame

Kodak has filed for bankruptcy protection, in order to cut costs, plans to stop production of digital cameras, compact cameras and digital photo frames in the first half of this year.

Last month, Kodak filed for bankruptcy protection, marking the end of an era in Kodak, the company's bankruptcy is also considered one of the digital age together corporate bankruptcy. Kodak said that the termination of these businesses, companies need to pay about $ 30 million, but this annual savings of operating costs is expected to more than 100 million U.S. dollars.

Kodak said that to stop the production of digital cameras, pocket-sized camcorders and digital photo frame decision is a logical extension of the recently developed strategy. By cutting the product portfolio to reduce the business area and number of stores, the strategy will enhance the profit margins of the camera business. Kodak three-quarters of the revenue from the digital business, the company is turning to concern looking for franchisees to expand its brand licensing program.

Kodak stressed that the company will continue to provide online and retail photo printing and desktop printers. Kodak's current business is divided into the consumer business and commercial business, commercial business, including corporate services, graphics, entertainment and commercial film sector, retained the consumer business unit will include photo-processing machines and computer printing system in the retail stores.

Kodak said that the company has launched talks with retail partners to find ways to ensure an orderly transition of the camera business. Kodak's commitment, the company will be responsible for all related products, service, technical and service support for digital cameras, compact cameras and digital photo frame.

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