On Aug. 2, 2006, Standard&Poor's Ratings Services placed its ratings on Eastman Kodak Co. (B+/Watch Neg/--) on CreditWatch with negative implications because of currently weak profitability and a concern that slower-than-anticipated revenue growth in the company's emerging digital business will not offset the rapid decline in its traditional business. The Rochester, N.Y.-based imaging company had $3.5 billion in debt as of June 30, 2006. Revenues declined 9% in the three months ended June 30, 2006, and operating income, before restructuring and other costs, fell to only $2 million from $116 million in the same period last year, partially as a result of accelerated depreciation. Kodak has announced that it anticipates digital revenue growth for full-year 2006 slowing to
