Presenting Eastman Kodak's Main 'Value Investors'

Tyler Durden's picture

As EK is halted on news that it is considering patent sales and potential bankruptcy (very much in line with the expectations CDS markets have had for a while), we present the professional falling-knife-catchers (sorry value investors) who owned the most at the end of Q2. Has anyone heard from Bill Miller today? Largest holder was LMM LLC (yes that Legg Mason). Or is Bill Miller preparing for a speech at some Value Investing Shindig?

With the short-dated bullet bond trading $44 - down 50% on the week - it seems the events have caught a lot of people by surprise...though CDS cracked on Monday and has shifted from 35/36% upfront to 64/65% upfront now - seems like equity-holders clung to 'hope' just a little too long.

Chart: Bloomberg

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Dumpster Fire's picture

Dog food line is going to get crowded.

monopoly's picture

Just make sure you leave some for my 2, 85 pound puppies. :)

cynicalskeptic's picture

Raising your own meat huh?


sabra1's picture

with the right spices, you can make roadkill taste like chicken!

Pool Shark's picture



"Value Investing"?

Didn't we used to refer to that as "Dumpster Diving"?


oh_bama's picture


covert's picture

kodak will have a tough time for a long time.


Vergeltung's picture

Vanguard holds the number two spot? Ugh......and they recently ADDED exposure to EK?


double Ugh. :(


narapoiddyslexia's picture

Goldman Sachs appears to have tripled its exposure recently.

ghostfaceinvestah's picture

And look at the exposure of Bill Gate's money - not only was the foundation in it, but his personal investment too (Cascade)

sabra1's picture

to bad buffet wasn't a major shareholder! his camera still uses glass plates!

SheepDog-One's picture


reader2010's picture

Blame it on digital photography.

Shash's picture

Gates Foundation ?! 

monopoly's picture

u guys notice, that is spite of all this crap today, miners are hanging tough. Maybe trying to carve out a bottom. 0

Vergeltung's picture

if they go under, that's really bad for the city of Rochester, and upper NY State in general.

rtalcott's picture

EK...really arrogant for rochester...well...more time for the folks to enjoy that beautiful 4 season climate....very early 80's...Sony was showing off their digital camera prototype....EK's reaction...THAT will NEVER replace film!  It was never a question of IF (digital AND EK BK) but when...yes...lots of little people lose but the management at the top will do OK...

Grifter's picture

And this on the heels of Paetec/Windstream Midtown Plaza debacle.  (Am a Roch resident.)

rtalcott's picture

Yes...Paetec!  I had some bean counter tell me...we are becoming Telecom Alley...of course originally it was Flour City...eventually Optics...I had the misfortune to live there...

At least U of R is doing very well....same for RIT...

Dirt Rat's picture

The Eastman School of Music still rocks. I was there in the early 80s, a high school student away from home and Mommy and Daddy for the first time. The New York drinking age was still 18 and they didn't seem to card much. I had a very good time in Rochester ;-)

rtalcott's picture

Agree....Eastman...the music school and the Eastman museum...

Blano's picture

Yeah, couldn't have happened to a nicer place.  /sarc

I had some unpleasant experiences there with a female, so I'm a little biased.

Cman5000's picture

Blame it on digital photography NOT they didn't keep up with the game. I think they might be done permanently ..

fyrebird's picture


And they were at $30/sh as recently as 2007?!?

Man, what a train wreck. If anyone wanted to see what is happening to the US industrial base on the side, just look at EK.

mayhem_korner's picture



I think it's more that the geniuses in the tower didn't see the digital age and the end of film coming. 

DCFusor's picture

They messed up well before.  Fuji killed them on both price and quality in film long before this.  Their patents on ->Digital<- are worth way more than the company, estimated about 3 bill.  So they saw it coming, alright.  They just lost the ability to execute long before.

Dirt Rat's picture

And I would have to point to the geniuses at the Big Three Dinosaurs who paid no attention to when the comet hit back in the early 70s with the oil embargo. They're still lumbering towards extinction.

Quantum Nucleonics's picture

Somewhat surprising, well maybe not, that they couldn't see the digital age coming.  They had some excellent digital imaging products in the early 90's - mostly for scientific and defense applications.  I used one of their chips to build an imaging camera for astrophysics applications in the early 90's.   They didn't have the people and foresight to translate those products to consumer products.  I would think they have some very valuable patents in the digital imaging area.

youngman's picture

They went under ten years ago...more or less...some interesting names on that list....Vanguard has to buy...its a market thing for them....if there is value at $4..then there must be value at 50 cents....its all a patent lawsuit now...

buzzsaw99's picture

Insiders did well, so don't worry about them.

faustian bargain's picture

Too bad EK doesn't make toilets.

karzai_luver's picture

Owebama with the bailout in 3 ...........2............1


Of course they can bid on assistant printer job for Bernake.

think of the purty currency they could make.



Freddie's picture

...or diapers for old people like Buffett

Sadly Kodak did not get into solar. 

Tsar Pointless's picture

Mama, don't take my Kodachrome away!

Freddie's picture

I wish someone would push Paul Simon into a wood chipper.

Mercury's picture

EK has been in a death spiral pretty much since digital photography day one.  I'm surprised it's taken this long.

But Jesus, hasn't Bill Miller learned not to ride these bombs down to zero by now?

lizzy36's picture

Apparently not. Dude doesn't understand Buy and Hold died around the turn of the millenium

ghostfaceinvestah's picture

It isn't just an issue of buy and hold, that guy is the personification of the term "Value Trap".  Some of the stuff he was pimping the past couple year - geesh, you would think he would have learned his lesson.

Michelle's picture

The assumption here is that these shareholders aren't hedged. I'll bet not.

Dr. Engali's picture

Good Lord. How can all of these "smart people" not see this coming? EK has been behind the curve for years. I have a friend who was an engineer in EK back when they meant something. He would tell stories about how hard it was to push a new concept through the beuraucracy there. Once they got rid of their dividend that was the sell signal.

Schmuck Raker's picture

Artis. Is that Latin for timing?

junkyardjack's picture

John Paulson breathes a sigh of relief, missed that one

mayhem_korner's picture

They still holding patents on 110 speed film?  That'd draw top dollar at auction...

Freddie's picture

I think that 126 film is a growth industry.  This is so sad. I wish Buffet was in his bath close by. I would throw him  hair dryer and toaster.

Erin_Burnett_footfetish_society_of_TrentonNJ's picture

Even if you buy today net cash is > stock outstanding, so you'll get a nice cash payout.

Of course company could survive and you'll will be sitting on a nice buddle.