Sale Leaseback Financing

WINDSOR
- Eastman Kodak Co. decided to list for sale three of its buildings on
the Windsor campus.

In all, the offering includes 725,000 square
feet in facilities, on the northern end of the property, and 320 acres
of vacant land. The price has not been disclosed.

Kodak is
consolidating its operations into two buildings - known as C-15 and C-29
- totaling 825,000 square feet. The facilities house color photographic
paper and thermal media manufacturing. According to the listing from
broker CB Richard Ellis, Kodak is also offering an opportunity to enter
into a four-year leaseback on the C-15 facility.

“By
consolidating into these two buildings and eliminating the costs
associated with the empty buildings, we will ensure that our Colorado
site remains very cost competitive and supports the long-term success of
the color paper and thermal media operations, which are both important
to Kodak,” said Robert Gray, Windsor site manager, in a press release
announcing the listings.

Kodak has been in flux for years, as the
company shifted its focus from traditional to digital photography. The
company came to Windsor in 1969 and at its peak during the 1980s
employed 3,500. In 2007, the company spun off its health-products
business Carestream Health Inc., with each company employing about 800
in Windsor immediately following the split. Carestream now employs
around 450 locally.

In 2009, Kodak implemented a company-wide
restructuring program that cut at least 300 employees from the site.
Today, the company employs 360 in Windsor.

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