Kodak to keep inkjet business, 400 jobs in Kettering
Division’s turnaround convinced company.
Eastman Kodak is retaining its Prosper inkjet business, which means the business unit and its 400 jobs will remain in Kettering, the company said Friday. “There are no plans to move
the business from Kettering,” a spokesman for the Rochester, N.Y.-based company said.
The company said the unit performed well enough in 2016 to justify keeping it.
“This is a pragmatic decision given the improvements in the business and the offers received,” Jeff Clarke, Kodak chief executive, said in a statement. “Pros- per performed well in 2016 with a 40 percent increase in annuity sales for the full year.”
Kodak said Friday that Randy Vandagriff — whom the company said has played an key role in the development of “Ultrastream,” its latest inkjet technology, and Kodak’s digital print business — will become president of the Enterprise Inkjet Systems division effective in May.
In an interview with this news outlet, Vandagriff said that about a
year ago Kodak had received unsolicited bids for the Prosper business, and the company’s board put the unit on the market to explore other offers.
But as the year unfolded, the business enjoyed a good year and solid growth.
“The business became more valuable, I would say,” Vandagriff said.
Kodak Chief Financial Officer David Bullwinkle said in the company’s announcement that there had been “strong interest” in the ink- jet business, but added: “The range of consideration did not reflect the value of the business today.”
Also, Kodak leaders saw that the interest in the com
pany’s Ultrastream technol- ogy was very high, he said.
Prosper is built on stream printing technology, which is the Kettering site’s specialty, Vandagriff said. Ultrastream is the next-genera
tion extension of that tech- nology, he said.
Kodak is going to market it differently, searching for orig- inal equipment manufacturing partners to incorporate Ultrastream into their own processes and equipment.
“We see this business growing and continuing to grow,” Vandagriff said of Ultrastream.
There were no overtures or incentive offers from the state of Ohio or the city of Kettering to help the com-
pany make this decision, Vandagriff said.
Kodak’s CEO said the com- pany expects its Enterprise Inkjet Systems division to be profitable this year.
About 400 people work at Kodak’s office and labs at the Miami Valley Research Park, and a major part of its business there has been the Prosper inkjet program. The site is Kodak’s largest operation outside of its headquar- ters in Rochester.
Gregg Gorsuch, develop- ment director for the city of Kettering, said Kodak did a “nice job” of keeping city administration apprised during the sale process. The company had told city officials that the Prosper inkjet business was doing well.
“Kodak has been a great corporate citizen for us for many years, and it looks like that will continue,” he said.
A “town hall” meeting with Kettering employees was planned for Friday, Vandagriff said.