Kodak Owes Hollywood Studios Big Money in Bankruptcy
Kodak's slogan is, "You press the button, we'll do the rest." That will be happening in a bankruptcy court now.
When Eastman Kodak filed for Chapter 11 bankruptcy last week, it revealed that it owes Hollywood studios quite a bit of money. At least $51 million, as revealed in bankruptcy documents filed in the Southern District of New York. The company also owes pension funds, banks, electronics manufacturers, and others, but Hollywood claims a fair share, too.
The major studios say they are owed money based on tax credits that Kodak is supposed to pass on to the film companies that buy its products. The studios will be represented in bankruptcy court when it comes time to discuss the interests of unsecured creditors. Sony Pictures, the studio owed the most money, was appointed last Wednesday to a committee of leading creditors as the 131-year-old Kodak continues to operate its business and hopes to emerge from bankruptcy next year.
Because a picture is worth a million words, here's a snapshot of what Hollywood studios hope to collect: