Digital Camera News
Kodak Closes Two European Film Operation Plants
June 30, 2006 – Eastman Kodak Co. announced yesterday the closing of two operational plants in Europe, according to Reuters. Kodak will also shut down film packaging operations in Chalon-sur-Saone, France and photo chemical production in Kirkby, England, totaling $94 million in reconstruction charges. "These actions are necessary in light of declines in the traditional photography business," said Kirkby manager Tony Field to the Rochester Business Journal. "The reality is that demand for our traditional business is declining, as our digital products grow evermore popular," says Field according to the Rochester Business Journal.
Announced in 2004, Kodak’s reconstruction and consolidation plan will reduce excess manufacturing costs and cut film product operations, according to the Rochester Business Journal.
Kodak will incur charges of approximately $57 million for the shutdown of the Chalon-sur-Saone plant and $37 million for the Kirkby plant. Over 300 Chalon jobs and 85 Kirkby jobs will be terminated, according to Reuters.
Kodak’s reconstruction plan will continue until mid-2007, says the Rochester Business Journal.
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