Kodak to cut another 10,000 jobs|
(Wednesday, July 20, 2005 - 10:50 EDT)
A news article published on the website of the Rochester Democrat and Chronicle newspaper today states that Eastman Kodak Co. will continue to cut jobs over the next two years as it completes its transition to a business model centered on digital imaging.
According to the article, the company is now predicting a further 10,000 job cuts by mid-2007, on top of the 12,000 to 15,000 job cuts already planned by the middle of 2006. This would see the company laying off some 22,500 to 25,000 employees. Most of the new cuts are expected to come from the company's manufacturing operations, with some 7,000 jobs to cease as Kodak reduces its worldwide manufacturing facilities - worth $2.9 billion in 2004 - to a total value of $1 billion by 2007.
Kodak posted a second quarter loss of 51¢ per share in the second quarter of this year, despite growth of 43% in digital product / service revenues. Digital camera sales at Kodak rose 24% in the same period, while EasyShare printer dock and related media saw an impressive growth of 63%.