(13WHAM)Rochester, N.Y. - Kodak's new plan to emerge from bankruptcy will make current Kodak stock worthless.
In court documents filed Tuesday night, the company said its current shares will be cancelled. Kodak expects to issue new stock to its second-lien note holders.
The proposed plan calls for Kodak to emerge from bankruptcy as soon as July as a commercial imaging business."The filing of the Plan of Reorganization and Disclosure Statement represents a major milestone in our reorganization: this initiates our emergence process," said Antonio M. Perez, Kodak's Chairman and Chief Executive Officer. "We now have a clear path forward for Kodak, and we are positioning the company for a profitable and sustainable future. "This process is clear evidence of the outstanding dedication and innovative spirit of the people of Kodak in serving customers worldwide and in supporting the company's transformation to a commercially-based business. Through the actions we have taken, Kodak has successfully fulfilled the four primary objectives for its Chapter 11 filing - bolstering liquidity, monetizing non-strategic intellectual property, fairly resolving legacy liabilities, and focusing on our most valuable business lines."
Â@The company did not say how much it expects to pay its unsecured creditors, who are owed as much as $2.2 billion