EX-99.1 2 exhibit991.txt EXHIBIT (99.1) Exhibit (99.1) EASTMAN KODAK COMPANY Media Contact: Christopher K. Veronda 585-724-2622 christopher.veronda@kodak.com KODAK TO CEASE SYNTHETIC CHEMICALS OPERATIONS AT KIRKBY Action part of global consolidations and digital transformation KIRKBY, ENGLAND, June 29 - Kodak announced today that the Synthetic Chemicals operation and associated support facilities in Kirkby that produce chemicals used in the manufacture of traditional photographic products would shut down by year-end. About 85 employees will be affected by this action. A facility employing 10 people that produces nitrate, which is also used in the manufacture of photographic products, will remain in operation at the Kirkby site. The announcement has no impact on other Kodak sites in the UK. This is part of Kodak's previously announced plan to complete the restructuring of its traditional photographic business by mid-2007, in line with the digital transformation of the industry. Kodak is taking actions to sharpen competitiveness and ensure that traditional photographic products remain profitable in a shrinking market, while simultaneously accelerating the growth of the digital business. Tony Field, manager of the Kirkby facility said: "Kodak, like every other imaging company, is responding to the realities of the transformation of the global imaging sector. These actions are necessary in light of declines in the traditional photography business. As a result, we must continue to move to competitively position our operations." "This has been a difficult decision to make, and is no reflection on the highly-valued work performed by our employees who have always shown great skill and dedication. Instead, the reality is that demand for our traditional business is declining, as our digital products grow evermore popular. "All employees affected will be treated with respect and those that leave the company will be entitled to severance terms, plus assistance in their career transition." #