Eastman Kodak Co. has announced a definitive agreement to sell its Flexographic Packaging Division to Montagu Private Equity LLP for approximately $390 million (including potential earnout payments). Kodak plans to use the net proceeds from the transaction to reduce its outstanding term debt. We are placing our 'CCC' issuer credit rating and all issue-level ratings on Kodak on CreditWatch with positive implications. We expect to resolve the CreditWatch when the transaction closes, which we expect to occur in the first half of 2019. On Nov. 13, 2018, S&P Global Ratings placed its ratings on Rochester, N.Y.-based Eastman Kodak Co., including the 'CCC' issuer credit rating, on CreditWatch with positive implications. The CreditWatch placement follows Kodak's announcement that it plans to
