Kodak bows out of consumer printer business
28th Sep 2012 | 19:04
Bankruptcy restructuring forces move
Kodak is pulling out of the sale of consumer inkjet printers, the company announced Friday, despite initial intentions to continue that side of its business.
"[From] 2013 onwards, [Kodak] will focus its Consumer Inkjet business on serving its installed base with the sale of ink and paper," according to Ketchum Pleon, the company's U.K. public relations firm.
"This means that printer sales will wind down in 2013, and more specifically, we will not be launching the latest Hero 2.2 and Hero 4.2 printers as initially planned."
In a release published on its website, Kodak said it anticipates the move will be an effective financial maneuver.
"Kodak expects that this decision will significantly improve cash flow in the U.S. beginning in the first half of 2013," the release stated.
Woes for Kodak
Kodak filled for Chapter 11 bankruptcy in January and announced in February it would cease making digital cameras, pocket video cameras, and digital picture frames, stating at the time that it would focus on "inkjet, online, and retail printing."
Friday's news marks a reversal of that previous strategy and serves a sign Kodak may no longer have much of a presence, if any, in the consumer market.
Reports also surfaced earlier this month that Kodak cut 2,700 jobs worldwide since the start of 2012, and the company announced Friday that 1,200 more job cuts are planned before the end of the year.
Through each step, Kodak announced it would save hundreds of millions of dollars here and there, with the aim of returning to profitability by 2013.
The company said it will continue to support owners of its printers through the sale of ink.