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What: Shares of buggy whip manufacturer... I mean, photo and printing also-ran Eastman Kodak
So what: Kodak has been getting beaned by Mr. Market day after day as investors have recently become even more concerned that the company doesn't have the cash to keep the engine chugging along. The shares got a brief respite yesterday when an institutional investor called for the company to sell itself, but they plunged under $1 today after reports that the company had hired Jones Day for restructuring advice. For those not up on their stock market euphemisms, "restructuring" is often a nice way of saying "bankruptcy."
Now what: Management is still sticking to its guns and says that the company has "no intention of filing for bankruptcy" and that "there is no change in our strategy to monetize our intellectual property." But can you blame investors for not taking management at its word considering where the company finds itself today? Perhaps an acquirer will ride in on a white horse and save equity investors, but my guess is that the company will have to find a way to muddle its way out if it wants to stay solvent. Anybody interested in the company's patents may be willing to wait to buy them out of bankruptcy proceedings.
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Fool contributor Matt Koppenheffer does not have a financial interest in any of the companies mentioned. You can check out what Matt is keeping an eye on by visiting his CAPS portfolio, or you can follow Matt on Twitter @KoppTheFool or Facebook. The Fool's disclosure policy prefers dividends over a sharp stick in the eye.