Large cash balance Competitive positions in certain digital imaging markets Rapid deterioration of its traditional consumer imaging business Potential for a decline in its entertainment imaging businesses Unproven long-term profit potential of its consumer digital imaging businesses Vulnerability to economic cyclicality Significant discretionary cash flow deficits High lease- and pension-adjusted leverage Standard&Poor's Ratings Services' 'B-' rating on Eastman Kodak Co. reflects our concern about the company's long-term earnings and cash flow prospects. We based this concern on: The continued secular volume decline of the traditional photographic products and services business, The unproven long-term profit potential of Kodak's consumer digital imaging businesses, Intermediate-term potential for a decline in its entertainment imaging businesses, Unpredictability of intellectual property earnings, Significant discretionary
