Eastman Kodak Co. said it has restructured its business operation, dropping to two segments from in order to increase productivity, reduce costs and accelerate its transformation into a profitable digital company that will create value for its stakeholders.
The reorganization, which took effect Jan. 1, split the Rochester-based manufacturer into a Commercial Segment and the Consumer Segment, which operate under a newly created Chief Operating Office. The company said that the new office will be led by Philip Faraci and by Laura Quatela, who was recently named tov work alognside Faraci as president and chief operating officer of Kodak.
Faraciwill focus on the commercial unit as well as Kodak's sales and regional operations. Quatela will oversee the consumer unit plus certain corporate functions. Both individuals will report to Antonio Perez, chairman and CEO.
"As we complete Kodak's transformation to a digital company, our future markets will be very different from our past, and we need to organize ourselves in keeping with that evolution," Perez said in a statement. "This new structure simplifies the organization, focuses it more precisely on our consumer and commercial customers, and puts the right people in place to capitalize fully on the tremendous technological capabilities of Kodak."
The new segments will replace the current Graphic Communications Group (GCG), which provides digital printing equipment, consumables and software to the publishing and commercial printing industries; the Consumer Digital Imaging Group (CDG), which helps consumers capture and print images; and the Film, Photofinishing and Entertainment Group (FPEG), which represents the company's traditional film and photographic paper products.
Kodak is looking sell a large share of its patents in order to boost revenues.
The financially troubled company (NYSE: EK) was the subject of bankruptcy speculation last week as its stock has plummeted below $1 per share. Tuesday's announcement did help shares recover to 64 cents in afternoon trading, up from Monday's close of 40 cents.