The company said last month that it couldn't forecast earnings beyond this quarter because film sales were dropping faster than expected. Today's forecast left some analysts skeptical of whether Kodak's digital plan will increase profit. Growth projections depend on a significant rebound next year, he said. Carp pledged that Kodak will continue to make investments, including acquisitions, in digital products and services. Carp wasn't more specific on how much Kodak will spend.
Most companies define free cash flow as money left over after paying expenses.
The company bought online photography company Ofoto Inc earlier this week for an undisclosed price to help online customers store, exchange and print digital images. Kodak is discontinuing Kodachrome 25 color reversal, a high-resolution film used by professional photographers for projection slides, and Kodak Royal Gold 1000 color negative film this year. The products will be available through the end of 2001. The company also said it was firing as many as 3,500 workers to reduce expenses when it announced the drop in earnings and sales. This story has been viewed 83 times.