Antonio Perez

ROCHESTER, NY—Eastman Kodak's first quarter loss touched $353 million, with erosion for demand of digital and film-based products exacerbated by the global economic downturn. As a result, the company is suspending its quarterly dividend, reducing salaries of its top-tier executives and requiring U.S. employees to take an unpaid one-week leave.

A fourth-quarter loss of $137 million has prompted Eastman Kodak to announce that between 3,500 and 4,500 jobs will be eliminated, representing between 14 to 18 percent of its total workforce. The company lost 51 cents a share in the fourth quarter, compared to a 75 cent per share profit ($215 million) during the same period the previous year.

ROCHESTER, NY—On the heels of a Wall Street Journal article, later clarified, that claimed it was planning to shed its toner-based Nexpress technology, Eastman Kodak revealed it is going to expand its focus on the digital press offering, perhaps through a partnership, but will not divest it.

Eastman Kodak launched a multi-channel message blitz to get the word out that it is looking to expand its efforts related to electrophotographic printing technology (Nexpress and Digimaster product lines), not divest the operations. The campaign was spurred by a Wall Street Journal article that suggest Kodak was considering selling several of its business, the other being on the consumer side.