Kodak taps outside firm to maximize value of overfunded pension plan

Eastman Kodak

01/03/2024 16:03

March 1 (Reuters) - Eastman Kodak Co  KODK.N  has tapped
investment consulting firm NEPC to maximize the value of its
overfunded pension plan and use any surplus from it to pay down
debt, the company said on Friday.
    The move comes after Kodak reported late last year that the
plan was overfunded by $1.2 billion.
    Kodak, in conjunction with Kodak Retirement Income Plan
Committee, has been exploring how best to preserve and maximize
the value of the over-funding for the benefit of key
stakeholders including current and former employees and
shareholders, it said in a statement.
    NEPC has been serving as an external financial adviser to
KRIPCO since 2004.
    Shares of the company fell 4% in morning trading. Bloomberg
first reported the news on Thursday, which triggered a 53% surge
in the company's shares in the previous session.
    Kodak, whose products once dominated the photography and
film industry, is one of the biggest victims of the digital
revolution. It now focuses on manufacturing advanced materials
and chemicals.

 (Reporting by Pratyush Thakur in Bengaluru; Editing by Vijay
Kishore)
 ((pratyush.thakur@thomsonreuters.com;))