EASTMAN KODAK CO

Previous wording

Forward–looking statements include statements concerning Kodak’s plans, objectives, goals, strategies, future events, future revenue or performance, capital expenditures, liquidity, investments, financing needs and business trends and other information that is not historical information. When used in this document, the words “estimates,” “expects,” “anticipates,” “projects,” “plans,” “intends,” “believes,” “predicts,” “forecasts,” “strategy,” “continues,” “goals,” “targets” or future or conditional verbs, such as “will,” “should,” “could,” or “may,” and similar words and expressions, as well as statements that do not relate strictly to historical or current facts, are intended to identify forward–looking statements. All forward–looking statements, including management’s examination of historical operating trends and data, are based upon Kodak’s current expectations and assumptions. Forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from historical results or those expressed in or implied by such forward-looking statements. Important factors that could cause actual events or results to differ materially from the forward-looking statements include, among others, the risks and uncertainties described in more detail in the Company’s Annual Report on Form 10–K for the year ended December 31, 2023 under the headings “Business,” “Risk Factors,” “Legal Proceedings,” and/or “Management’s Discussion and Analysis of Financial Condition and Results of Operations–Liquidity and Capital Resources,” in the corresponding sections of this report on Form 10-Q and the Company’s quarterly reports on Form 10‐Q for the quarters ended March 31, 2024 and June 30, 2024, and in other filings the Company makes with the SEC from time to time, as well as the following:

Current wording

Forward–looking statements include statements concerning Kodak’s plans, objectives, goals, strategies, future events, future revenue or performance, capital expenditures, liquidity, investments, financing needs and business trends and other information that is not historical information. When used in this document, the words “estimates,” “expects,” “anticipates,” “projects,” “plans,” “intends,” “believes,” “predicts,” “forecasts,” “strategy,” “continues,” “goals,” “targets” or future or conditional verbs, such as “will,” “should,” “could,” or “may,” and similar words and expressions, as well as statements that do not relate strictly to historical or current facts, are intended to identify forward–looking statements. All forward–looking statements, including management’s examination of historical operating trends and data, are based upon Kodak’s current expectations and assumptions. Forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results or outcomes, or timing of actual results or outcomes, to differ materially from historical results or those expressed in or implied by such forward-looking statements. Important factors that could cause actual events, results or outcomes, or their timing, to differ materially from the forward-looking statements include, among others, the risks and uncertainties described in more detail in the Company’s Annual Report on Form 10–K for the year ended December 31, 2024 ("2024 Form 10-K") under the headings “Business,” “Risk Factors,” “Legal Proceedings,” and/or “Management’s Discussion and Analysis of Financial Condition and Results of Operations–Liquidity and Capital Resources,” in the corresponding sections of this report on Form 10-Q and in other filings the Company makes with the SEC from time to time, as well as the following:

Previous wording

Consolidated revenues in the three and nine months ended September 30, 2024 were $261 million and $777 million, respectively, decreases of $ 8 million ( 3%) and $65 million (8%) when compared to the three and nine months ended September 30, 2023. Currency fluctuations had a favorable impact on revenues ($1 million) in the three months ended September 30, 2024 compared to the three months ended September 30, 2023. Currency fluctuations had an unfavorable impact on revenues ($3 million) in the nine months ended September 30, 2024 compared to the nine months ended September 30, 2023.

Current wording

Consolidated revenues in the three months ended March 31, 2025 were $247 million, a decrease of$2 million (1%) when compared to thethree months ended March 31, 2024. Currency fluctuations had an unfavorable impact on revenues ($3 million) in the three months ended March 31, 2025 compared to the three months ended March 31, 2024.

Previous wording

Kodak's products are sold and serviced in numerous countries across the globe with more than half of sales generated outside the U.S. Current global economic conditions remain highly volatile due to the uncertain and unpredictable macroeconomic environment, heightened levels of inflation, the war in Ukraine, the conflicts involving Israel, and other global events which impacted Kodak’s operations. Kodak is experiencing revenue declines and increased manufacturing costs for certain businesses due to lower volumes and increases in labor, material and distribution costs, as well as supply chain disruptions and shortages in materials and labor.

Current wording

Kodak's products are sold and serviced in numerous countries across the globe with more than half of sales generated outside the U.S. Current global economic conditions remain highly volatile due to the uncertain and unpredictable macroeconomic environment, heightened levels of inflation, the war in Ukraine, the conflicts involving Israel, changes in trade policies, including tariffs or other trade restrictions or the threat of such actions, and other global events which impacted Kodak’s operations. Kodak is experiencing revenue declines and increased manufacturing costs for certain businesses due to lower volumes and increases in labor, material and distribution costs, as well as supply chain disruptions and shortages in materials and labor.

Previous wording

The Print segment is experiencing a slowdown in customer demand for plates that negatively impacted volume due to current global economic conditions and the impact of pricing actions. In addition to the pricing actions and customer-focused initiatives described above, Kodak has implemented supply chain and workforce optimization, productivity improvements and other cost savings activities. The combined actions have largely mitigated the impact of lower volumes and increased manufacturing costs. However, the potential worsening of economic conditions, continued decreases in volume and increases in manufacturing and other costs without further price increases, productivity improvements or other cost savings measures, could unfavorably impact this segment's operating results.

Current wording

The Print segment is experiencing a slowdown in customer demand for plates that negatively impacted volume due to current global economic conditions and the impact of pricing actions. In addition to the pricing actions and customer initiatives described above, Kodak has implemented supply chain and workforce optimization, productivity improvements and other cost savings activities. The combined actions have largely mitigated the impact of lower volumes and increased manufacturing costs. However, the potential worsening of economic conditions, continued decreases in volume and increases in manufacturing and other costs without further price increases, productivity improvements or other cost saving measures, could unfavorably impact this segment's operating results.

Previous wording

The Advanced Materials and Chemicals segment has also experienced labor shortages in certain manufacturing areas. Increased demand for consumer film products along with manufacturing equipment limitations and labor shortages have contributed to increased backorders. Kodak has increased headcount in this segment to better meet demand, and improved the infrastructure and streamlined processes to increase capacity in the film business, but supply will continue to be constrained by manufacturing equipment limitations without further capital improvements.

Current wording

The Advanced Materials and Chemicals segment has also experienced labor shortages in certain manufacturing areas. Increased demand for consumer film products along with manufacturing equipment limitations and labor shortages have contributed to increased backorders. During 2024, the Advanced Materials and Chemicals segment reduced the amount of backorders compared to levels seen in prior years. This was driven by increased headcount and capital investments in equipment upgrades and new equipment that increased capacity and streamlined processes. Increased demand for film products may continue to place stress on manufacturing equipment and the labor force without further investment or additional hiring in specific areas.

Previous wording

Kodak is monitoring the events surrounding the conflicts involving Israel and the impact on the operations of its Israel subsidiary. A leased warehouse in Israel was destroyed in 2023; however, none of Kodak’s employees were injured. While the potential impact of future developments related to this conflict is difficult to predict at this time, Kodak has been able to adapt its operations to avoid material disruption to its business. The direct operations of Kodak’s Israel subsidiary are less than 1% of total consolidated revenue and assets as of September 30, 2024.

Current wording

Kodak is monitoring the events surrounding the conflicts involving Israel and the impact on the operations of its Israel subsidiary. A leased warehouse in Israel was destroyed in 2023; however, none of Kodak’s employees were injured. While the potential impact of future developments related to this conflict is difficult to predict at this time, Kodak has been able to adapt its operations to avoid material disruption to its business. The direct operations of Kodak’s Israel subsidiary were less than 1% of total consolidated revenue and assets in 2025.

Previous wording

Kodak also continues to monitor the events surrounding the war in Ukraine and the various sanctions imposed in response to the war. Kodak believes it is in compliance with all sanctions. Kodak is experiencing worldwide supply constraints for aluminum and increased energy and transportation costs due in part to the war in Ukraine. The extent to which the war in Ukraine will impact the global economy and Kodak's business and operations remains uncertain.

Current wording

Kodak also continues to monitor the events surrounding the war in Ukraine and the various sanctions imposed in response to the war. Kodak believes it is in compliance with all sanctions. Kodak has experienced worldwide supply constraints for aluminum and increased energy and transportation costs due in part to the war in Ukraine. The extent to which the war in Ukraine will continue to impact the global economy and Kodak's business and operations remains uncertain.

Previous wording

The war in Ukraine and the international response have disrupted Kodak’s ability to operate its Russian subsidiary in the ordinary course, affecting its ability to pay vendors and employees, receive amounts owed from customers in Russia and deliver product. Kodak is in the process of an orderly winding down of its Russian subsidiary and has ceased its direct Russian operations. The direct operations of Kodak’s Russian subsidiary did not have a material impact on the Company’s financial statements (less than 1% of total consolidated revenues and assets for 2021 - 2023), and there were no material impacts on the consolidated results of operations as of and for the quarter ended September 30, 2024 from the wind-down activities.

Current wording

The war in Ukraine and the international response have disrupted Kodak’s ability to operate its Russian subsidiary in the ordinary course, affecting its ability to pay vendors and employees, receive amounts owed from customers in Russia and deliver product. Kodak is in the process of an orderly winding down of its Russian subsidiary and has ceased its direct Russian operations. The direct operations of Kodak’s Russian subsidiary did not have a material impact on the Company’s financial statements (less than 1% of total consolidated revenues and assets for 2024, 2023 and 2022), and there were no material impacts to the consolidated results of operations for the quarter ended March 31, 2025 from the wind-down activities.

Previous wording

For the three months ended September 30, 2024 revenues declined $8 million compared with the same period in 2023, primarily driven by lower volume in Print ($15 million) partially offset by favorable volume and price and product mix in Advanced Materials and Chemicals ($4 million and $3 million, respectively). See segment discussions for additional details.

Current wording

For the three months ended March 31, 2025 revenues declined$2 million compared with the same period in 2024, primarily driven by lower volume in Print ($17 million) and unfavorable foreign currency fluctuations ($3 million), partially offset by improved price and product mix and higher volume in Advanced Materials and Chemicals ($8 million and $7 million, respectively) and more favorable price and product mix in Print ($3 million). See segment discussions for additional details.

Previous wording

Consolidated selling and general administrative expenses ("SG&A") increased $4 million in the three months ended September 30, 2024 compared to the prior year period primarily due to an increase in selling and administrative costs ($3 million) related to costs associated with certain litigation matters and $1 million of income in the prior year quarter representing insurance reimbursement of legal costs previously paid by the Company associated with investigations and litigation.

Current wording

Consolidated selling and general administrative expenses ("SG&A") was flat in thethree months ended March 31, 2025 compared to the prior year period.

Previous wording

Consolidated research and development ("R&D") expenses in the three and nine months ended September 30, 2024 remained relatively flat.

Current wording

Consolidated research and development ("R&D") expenses in the three months ended March 31, 2025 was flat compared to the prior year period.

Previous wording

Pension income excluding service cost component remained relatively flat in the three and nine months ended September 30, 2024. Refer to Note 12, "Retirement Plans and Other Postretirement Benefits".

Current wording

Pension income excluding service cost component decreased in thethree months ended March 31, 2025 due to lower expected return on assets for the Kodak Retirement Income Plan due to the change in investment strategy in 2024. Refer to Note 13, "Retirement Plans and Other Postretirement Benefits".

Previous wording

For details, refer to Note 9, "Other Operating (Income) Expense, Net".

Current wording

For details, refer to Note 10, "Other Operating Income, Net".

Previous wording

For details, refer to Note 10, "Other (Income) Charges, Net".

Current wording

For details, refer to Note 11, "Other Income, Net".

Previous wording

Print: The Print segment is comprised of five lines of business: the Prepress Solutions business, the PROSPER business, the Software business, the Electrophotographic Printing Solutions business and the VERSAMARK business.

Current wording

Print: The Print segment is comprised of four lines of business: the Prepress Solutions business, the PROSPER business, the Software business and the Electrophotographic Printing Solutions business.

Previous wording

As demonstrated in the above table, Operational EBITDA represents consolidated earnings from operations excluding the provision for income taxes; non-service cost components of pension and other postemployment benefits (“OPEB”) income; depreciation and amortization expense; restructuring costs and other; stock-based compensation expense; consulting and other costs; idle costs; interest expense; other operating income, net; loss on extinguishment of debt and other income (charges), net.

Current wording

Kodak’s segment measure of profit and loss is an adjusted earnings before interest, taxes, depreciation and amortization (“Operational EBITDA”). As demonstrated in the table below, Operational EBITDA represents consolidated (loss) earnings from operations excluding the provision for income taxes; non-service cost components of pension and other postemployment benefits (“OPEB”) income; depreciation and amortization expense; restructuring costs and other; stock-based compensation expense; idle costs; interest expense; other operating income, net and other income, net.

Previous wording

Segment Operational EBITDA and Consolidated Earnings from Operations Before Income Taxes

Current wording

Segment Operational EBITDA and Consolidated (Loss) Earnings from Operations Before Income Taxes

Previous wording

Kodak increased employee benefit reserves by approximately $2 million and $1 million in the three and nine months ended September 30, 2024, respectively. The increase in employee benefit reserves in the three months ended September 30, 2024 was primarily due to an increase in workers' compensation reserves driven by changes in discount rates. The increase in reserves in the three and nine months ended September 30, 2024 impacted gross profit and selling, general and administrative expenses (“SG&A”) by approximately $1 million each. The increase in reserves in the nine months ended September 30, 2024 did not have a significant impact on gross profit, R&D or SG&A.

Current wording

Kodak increased employee benefit reserves by approximately $1 million in the three months ended March 31, 2025 due to an increase in workers' compensation reserves driven by changes in discount rates. The increase in reserves in the three months ended March 31, 2025 impacted gross profit by approximately $1 million.

Previous wording

Kodak decreased employee benefit reserves by approximately $3 million in the three and nine months ended September 30, 2023, primarily related to workers’ compensation reserves, driven by changes in discount rates. The change in employee benefit reserves in the three months ended September 30, 2023 impacted gross profit by approximately $2 million and SG&A by approximately $1 million. The decrease in reserves in the nine months ended September 30, 2023 impacted gross profit by approximately $1 million and SG&A expenses by approximately $2 million.

Current wording

Kodak decreased employee benefit reserves by approximately $1 million in the three months ended March 31, 2024 due to a decrease in workers' compensation reserves driven by changes in discount rates. The decrease in reserves in the three months ended March 31, 2024 impacted gross profit by approximately $1 million.

Previous wording

The decrease in Print revenues for the three months ended September 30, 2024 of approximately $14 million reflected lower volumes and less favorable pricing in Prepress consumables ($8 million and $1 million, respectively), lower volumes in Electrophotographic Printing Solutions consumables and service and in Electrophotographic Printing Solutions equipment ($5 million and $1 million, respectively) and lower volumes in PROSPER equipment and VERSAMARK consumables and service (each $2 million). These unfavorable impacts were partially offset by higher volume in PROSPER components and Prepress equipment ($3 million and $1 million, respectively) and more favorable pricing in Electrophotographic Printing Solutions consumables and service ($2 million).

Current wording

The decrease in Print revenues for the three months ended March 31, 2025 of approximately $17 million reflected reduced volumes in Prepress Solutions ($10 million), lower volumes in Electrophotographic Printing Solutions ("EPS") ($4 million), declines in Software volume ($2 million), reduced volumes in Prosper ($1 million) and unfavorable foreign currency fluctuations ($3 million). These unfavorable impacts were partially offset by favorable pricing and product mix in Prosper and Prepress Solutions ($2 million and $1 million, respectively).

Previous wording

Print Operational EBITDA for the three months ended September 30, 2024 declined $13 million primarily related to higher costs for aluminum ($5 million), inventory reserve adjustment in Electrophotographic Printing Solutions ($4 million), lower volumes and less favorable pricing for Prepress consumables (each $1 million), higher SG&A ($1 million) and the net change in employee benefit reserves ($3 million) partially offset by favorable pricing in Electrophotographic Printing Solutions consumables and service and higher volumes for PROSPER equipment (each $2 million).

Current wording

Print Operational EBITDA for the three months ended March 31, 2025 declined $9 million primarily related to higher costs for aluminum ($6 million), higher manufacturing costs ($3 million), reduced volumes for Prepress Solutions ($2 million), declines in Software volume ($1 million), reduced volumes in Prosper ($1 million) and net change in employee benefit reserves ($1 million), partially offset by higher margins in EPS ($2 million) and favorable pricing and product mix in Prosper and Prepress Solutions ($2 million and $1 million, respectively).

Previous wording

Advanced Materials and Chemicals revenues for the three months ended September 30, 2024 improved $7 million primarily from volume increases and price and product mix improvements in Industrial Film and Chemicals ($5 million and $3 million, respectively).

Current wording

Advanced Materials and Chemicals revenues for the three months ended March 31, 2025 improved$15 million primarily from price and product mix improvements and volume increases in Industrial Film and Chemicals (each $6 million) along with improvements in price and product mix and volume ($2 million and $1 million, respectively) in Motion Picture.

Previous wording

Advanced Materials and Chemicals Operational EBITDA improved $2 million for the three months ended September 30, 2024 mainly due to lower manufacturing costs ($3 million) and price and product mix improvements in Industrial Film and Chemicals ($2 million) partially offset by changes in employee benefit reserves ($2 million).

Current wording

Advanced Materials and Chemicals Operational EBITDA improved$6 million for the three months ended March 31, 2025 primarily due to price and product mix improvements in Industrial Film and Chemicals and Motion Picture ($6 million and $1 million, respectively) and volume increases in Industrial Film and Chemicals ($2 million), partially offset by higher manufacturing costs ($2 million).

Previous wording

There were no material changes in Brand revenues or Operational EBITDA for the three and nine months ended September 30, 2024 compared to the prior year periods.

Current wording

There were no material changes in Brand revenues or Operational EBITDA for the three months ended March 31, 2025 compared to the prior year period.

Previous wording

Kodak recorded charges of $1 million and $6 million for the three and nine months ended September 30, 2024, respectively, in Restructuring costs and other in the Consolidated Statement of Operations.

Current wording

Kodak recorded charges of $5 million for thethree months ended March 31, 2025 in Restructuring costs and other in the Consolidated Statement of Operations.

Previous wording

Kodak made cash payments related to restructuring of approximately $2 million and $6 million during the three and nine months ended September 30, 2024, respectively.

Current wording

Kodak made cash payments related to restructuring of approximately $2 million during thethree months ended March 31, 2025.

Previous wording

The restructuring actions implemented in the first nine months of 2024 are expected to generate future annual cash savings of approximately $10 million, which are expected to reduce future annual SG&A expenses and Cost of revenues by $5 million each. The majority of the annual savings are expected to be in effect by the end of 2024 as actions are completed.

Current wording

The restructuring actions implemented in the first three months of 2025 are expected to generate future annual cash savings of approximately $8 million, which are expected to reduce future annual SG&A expenses, Cost of revenues and R&D costs by $1 million, $4 million and $3 million, respectively. The majority of the annual savings are expected to be in effect by the end of the second quarter of 2025 as such actions are completed.

Previous wording

Kodak ended the quarter with a cash balance of $214 million, a decrease of $41 million from December 31, 2023.

Current wording

Kodak ended the quarter with a cash balance of $158 million, a decrease of$43 million from December 31, 2024.

Previous wording

The financing transactions entered into during 2023, cash proceeds related to brand licensing arrangements and improvements in cash flow relating to pricing rationalization, cost reductions and operational efficiencies provided additional liquidity to the Company to fund on‐going operations and obligations, invest in growth opportunities in Kodak’s businesses of print and advanced materials and chemicals and for corporate infrastructure investments expected to contribute to improvements in cash flow.

Current wording

The financing transactions entered into during 2023, cash proceeds related to brand licensing arrangements in 2024 and 2023 and savings relating to rationalization, cost reductions and operational efficiencies provided additional liquidity to the Company to fund on‐going operations and to invest in growth opportunities in Kodak’s businesses of print and advanced materials and chemicals and for corporate infrastructure investments expected to contribute to improvements in cash flow.

Previous wording

Available liquidity includes existing cash balances. The amount of available liquidity is subject to fluctuations and includes cash balances held by various entities worldwide. At September 30, 2024 and December 31, 2023 approximately $116 million and $167 million, respectively, of cash and cash equivalents were held within the U.S. and approximately $98 million and $88 million, respectively, of cash and cash equivalents were held outside the U.S. Cash balances held outside the U.S. are generally required to support local country operations and may have high tax costs or other limitations that delay the ability to repatriate, and therefore may not be readily available for transfer to other jurisdictions. Kodak utilizes cash balances outside the U.S. to fund needs in the U.S. through the use of inter-company loans.

Current wording

Available liquidity includes existing cash balances. The amount of available liquidity is subject to fluctuations and includes cash balances held by various entities worldwide. At March 31, 2025 and December 31, 2024 approximately $65 million and $118 million, respectively, of cash and cash equivalents were held within the U.S. and approximately $93 million and $83 million, respectively, of cash and cash equivalents were held outside the U.S. Cash balances held outside the U.S. are generally required to support local country operations and may have high tax costs or other limitations that delay the ability to repatriate, and therefore may not be readily available for transfer to other jurisdictions. Kodak utilizes cash balances outside the U.S. to fund needs in the U.S. through the use of inter-company loans.

Previous wording

As of September 30, 2024 and December 31, 2023, outstanding inter-company loans to the U.S. were $463 million and $460 million, respectively, which include short-term inter-company loans from Kodak’s international finance center of $188 million and $173 million, respectively**.**In China, where approximately $36 million and $29 million of cash and cash equivalents was held as of September 30, 2024 and December 31, 2023, respectively, there are limitations related to net asset balances that may impact the ability to make cash available to other jurisdictions in the world. Under the terms of the Amended and Restated Term Loan Credit Agreement, the Company is permitted to invest up to $60 million (or $75 million after the Deleveraging Milestone Date) in Restricted Subsidiaries that are not Loan Parties and in joint ventures or Unrestricted Subsidiaries that are not party to the Amended and Restated Term Loan Credit Agreement.

Current wording

As of March 31, 2025 and December 31, 2024, outstanding intercompany loans to the U.S. were $471 million and $483 million, respectively, which included short-term intercompany loans from Kodak’s international finance center of $198 million and $208 million, respectively. In China, where approximately $39 million and $29 million of cash and cash equivalents was held as of March 31, 2025 and December 31, 2024, respectively, there are limitations related to net asset balances that may impact the ability to make cash available to other jurisdictions in the world. Under the terms of the Amended and Restated Term Loan Credit Agreement, the Company is permitted to invest up to $60 million (or $75 million after the Deleveraging Milestone Date) in Restricted Subsidiaries that are not Loan Parties and in joint ventures or Unrestricted Subsidiaries that are not party to the Amended and Restated Term Loan Credit Agreement.

Previous wording

The Company’s Hong Kong subsidiary has an inter-company loan from one of the Company’s Chinese subsidiaries with a maturity date of November 16, 2024, the proceeds of which were in turn loaned to the Company. The inter-company loan terms provide for it to be repaid over two years in four equal $20 million installments, the first of which was due by November 16, 2023 with the remaining installments due in 2024. The Company paid $2 million in the first quarter of 2024 and $10 million in the second quarter of 2024 towards the first $20 million installment. The outstanding amount of the intercompany loan as of September 30, 2024 was $68 million. The Company is evaluating alternatives for the remaining installments which would allow Kodak and its subsidiaries to perform their obligations to each other while minimizing the impact on U.S. liquidity taking into account requirements imposed by Chinese regulators. Any amounts repaid to the Chinese subsidiary may not be able to be loaned, repatriated or otherwise moved back to the U.S., in which case the Company’s U.S. liquidity would be reduced. If the inter-company loan is not extended, refinanced or amended and the Hong Kong subsidiary does not pay any of the individual installments by the end of the 30-day grace period following notice by the Chinese subsidiary after a failure to pay on the due date of such installment, the Hong Kong subsidiary would default on the inter-company loan. The Chinese subsidiary has not issued notice to the Hong Kong subsidiary based on the failure to make any installment payment that has come due.

Current wording

The Company’s Hong Kong subsidiary has an intercompany loan from one of the Company’s Chinese subsidiaries with a maturity date of November 16, 2026, the proceeds of which were in turn loaned to the Company. The terms of the intercompany loan require the Company to make efforts to repay the outstanding loan balance prior to maturity. The outstanding amount of the intercompany loan as of March 31, 2025 was $68 million. The Company is evaluating repayment alternatives for the current loan agreement which would allow Kodak and its subsidiaries to perform their obligations to each other while minimizing the impact on U.S. liquidity taking into account requirements imposed by Chinese regulators. Any amounts repaid to the Chinese subsidiary may not be able to be loaned, repatriated or otherwise moved back to the U.S., in which case the Company’s U.S. liquidity would be reduced.

Previous wording

Stock maturity date is not extended and the shares remain outstanding, then the maturity date of the Term Loans under the Amended and Restated Term Loan Credit Agreement will be accelerated from August 15, 2028 to February 25, 2026. In addition, the maturity date of the Amended and Restated Letter of Credit Facility Agreement would be accelerated to 90 days prior to this date.

Current wording

On February 26, 2025, the Company entered into the First Amendment to the Amended and Restated Term Loan Credit Agreement (the “February 2025 Term Loan Credit Agreement Amendment”) and an amendment to the Amended and Restated L/C Facility Agreement (the “2025 L/C Facility Agreement Amendment”) to modify the maturity date under each agreement. To the extent the Series B or Series C Preferred Stock maturity date is not extended, and the shares remain outstanding, then the maturity date of the Term Loans will be accelerated from August 15, 2028 to May 22, 2026. In addition, the maturity date under the 2025 Amended and Restated L/C Facility Agreement would be accelerated to May 12, 2026.

Previous wording

Kodak's plans to return to sustainable positive cash flow include generating profitable revenues through pricing actions and customer-focused initiatives, implementing effective working capital utilization, reducing operating expenses, continuing to simplify the organizational structure, investing in information technology systems to drive operational efficiencies, generating cash from selling and leasing underutilized assets or through new licensing opportunities and implementing ways to reduce cash collateral needs.

Current wording

Kodak's plans to return to sustainable positive cash flow include generating profitable revenues through continued pricing actions and customer-focused initiatives, implementing effective working capital utilization, reducing operating expenses, continuing to simplify the organizational structure, investing in IT systems to drive operational efficiencies, effectively managing world-wide cash through intercompany loans, distributions or other mechanisms, generating cash from selling and leasing underutilized assets or through new licensing opportunities and implementing ways to reduce cash collateral needs. In addition, proceeds received from the settlement of the KRIP, after required debt prepayments, as further discussed below, would be available for use for strategic growth or general corporate purposes.

Previous wording

Kodak's cash flows continue to be negatively impacted by higher manufacturing costs due to volume declines and increased labor, material and distribution costs, supply chain disruptions and shortages in materials and labor. The impacts from price increases, continued cost reduction actions and supply chain-related cost improvements continue to positively impact Kodak’s operations. The economic uncertainties surrounding the current inflationary environment and other global events represent additional elements of complexity in Kodak’s plans to return to sustainable positive cash flow. The Company cannot predict the duration and scope of such events, including the war in Ukraine and the conflicts involving Israel, and other factors such as the ability to continue to secure raw materials and components, the impact of rising costs of labor, commodity and distribution costs, the ability to maintain current pricing levels or how quickly and to what extent normal economic and operating conditions can resume.

Current wording

The economic uncertainties surrounding the current inflationary environment and other global events represent additional elements of complexity in Kodak’s plans to return to sustainable positive cash flow. The Company cannot predict the duration and scope of such events, including the impact of rising costs of labor, commodity and distribution costs and increased product costs from tariffs, the war in Ukraine and the conflicts involving Israel, and other factors such as the ability to continue to secure raw materials and components, the ability to increase prices to offset rising product costs or how quickly and to what extent normal economic and operating conditions can resume.

Previous wording

Kodak believes its liquidity position is adequate to fund its operating and investing needs and to provide the flexibility to respond as necessary to ordinary changes in the business and economic environment. Kodak’s ability to adequately fund its long‐term liquidity, debt servicing and capital requirements will be dependent on generating positive cash flows from operations, managing world‐wide cash through intercompany loans, distributions or other mechanisms, and the ability to convert, redeem or extend the existing Series B and Series C Preferred Stock past their current maturities of May 26, 2026. To the extent the Series B or Series C Preferred

Current wording

Kodak believes its liquidity position is adequate to fund its operating and investing needs within the next twelve months from the date of this filing.

Previous wording

Approximately $27 million and $31 million of letters of credit were issued under the Amended and Restated L/C Facility Agreement as of September 30, 2024 and December 31, 2023, respectively. The letters of credit under the Amended and Restated L/C Facility Agreement are collateralized by cash collateral (the “L/C Cash Collateral”). The L/C Cash Collateral was $29 million and $32 million at September 30, 2024, and December 31, 2023, respectively, which was classified as Restricted Cash.

Current wording

Approximately $24 million and $27 million of letters of credit were issued under the Amended and Restated L/C Facility Agreement as of March 31, 2025 and December 31, 2024, respectively. The letters of credit under the Amended and Restated L/C Facility Agreement are collateralized by cash collateral (the “L/C Cash Collateral”). The L/C Cash Collateral was $25 million and $29 million at March 31, 2025, and December 31, 2024, respectively, which was classified as Restricted Cash.

Previous wording

Net cash from operating activities declined $32 million for the nine months ended September 30, 2024 as compared with the corresponding period in 2023 reflecting a decline in proceeds from insurance reimbursements ($17 million) and a refund from a governmental authority ($9 million), both received in the prior year period, a decrease in liabilities excluding borrowings and trade payables and increased investment in inventory partially offset by a decrease in trade receivables primarily due to $40 million of cash proceeds related to brand licensing received in the first quarter of 2024.

Current wording

Net cash from operating activities declined $55 million for the three months ended March 31, 2025 as compared with the corresponding period in 2024 primarily due to an increase in trade receivables of $61 million primarily driven by $40 million of cash proceeds related to brand licensing received in the first quarter of 2024, partially offset by a decrease in miscellaneous receivables ($5 million).

Previous wording

Net cash used in investing activities for the nine months ended September 30, 2024 increased $7 million compared to the corresponding period in 2023 due to an increase in additions to properties ($24 million) partially offset by proceeds from the sale of assets ($17 million).

Current wording

Net cash used in investing activities for the three months ended March 31, 2025 increased $14 million compared to the corresponding period in 2024 due to a decrease in proceeds received related to the sale of assets of $12 million and an increase in capital expenditures of $2 million.

Previous wording

Net cash used in financing activities for the nine months ended September 30, 2024 increased $108 million compared to the corresponding period in 2023 driven by the net proceeds of $90 million received in the third quarter of 2023 from the July 21, 2023 financing transactions and the $17 million Amended and Restated Term Loan prepayment in the three months ending March 31, 2024.

Current wording

Net cash used in financing activities for the three months ended March 31, 2025 decreased $16 million compared to the corresponding period in 2024 primarily driven by the $17 million Amended and Restated Term Loan prepayment in the prior year period.