January 1, 2012

Third Kodak Board Member Steps Down

Another member of the Eastman Kodak board of directors has resigned, a company filing with the Security and Exchange Commission (SEC) on Friday has revealed.

According to Reuters and Associated Press (AP) reports, the latest member of the one-time photography giant's board to step down is Laura D. Tyson, a professor with the University of California, Berkley and a White House advisor. The company did not say why she stepped down.

Tyson, who had joined the Kodak board on 1997, did not reply to Wall Street Journal reporter Dana Mattioli's request for comment. A Kodak spokesman reportedly told Mattioli that the company is looking to reduce the size of their board of directors and will not replace her.

Last week, Herald Chen and Adam Clammer, who had joined the company as directors representing private equity firm Kohlberg Kravis Roberts (KKR), also resigned their posts. The Journal, citing an unidentified source "familiar with the matter" reported that Chen and Clammer "had grown frustrated with Kodak's slow progress in turning around its operations."

"Kodak, which was once synonymous with photography, is looking to sell patents to shore up its shrinking cash position and stay in business after failing to turn an annual profit since 1997," Reuters reported on December 30. "Last month, the Rochester, New York-based company warned that unless it could raise $500 million in new debt or sell some patents in its portfolio, it might not survive 2012."

The AP reports that Kodak is attempting to raise those funds by either borrowing the money, or by selling their "potentially lucrative" digital-imagine patents. The seats vacated last week by Chen and Clammer were gained when KKR invested $300 million in the picture-taking technology trailblazers.

The departures of Chen, Clammer, and Tyson now leave Kodak with 11 board members, including Chief Executive Antonio Perez, the Wall Street Journal reported on Friday.


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