SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): October 22, 2003
Eastman Kodak Company
(Exact name of registrant as specified in charter)
New Jersey 1-87 16-0417150
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(State or Other Jurisdiction (Commission (IRS Employer
of Incorporation) File Number) Identification No.)
343 State Street,
Rochester, New York 14650
(Address of Principal Executive Office) (Zip Code)
Registrant's telephone number, including area code (585) 724-4000
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Item 7. Financial Statements and Exhibits
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(c) Exhibits
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Exhibit 99.1 Press release issued October 22, 2003 Furnished with
regarding financial results for third this document
quarter of 2003
Exhibit 99.2 Financial discussion document issued Furnished with
October 22, 2003 regarding financial this document
results for third quarter of 2003
Item 9. Regulation FD Disclosure
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In accordance with Securities and Exchange Commission Release No. 33-8126, the
following information, which is intended to be furnished under Item 12, "Results
of Operations and Financial Condition," is instead being furnished under Item 9,
"Regulation FD Disclosure." This information, including the exhibits attached
hereto, shall not be deemed "filed" for purposes of Section 18 of the Securities
Exchange Act of 1934, as amended (the "Exchange Act"), or incorporated by
reference in any filing under the Securities Act of 1933, as amended, or the
Exchange Act, except as shall be expressly set forth by specific reference in
such a filing.
On October 22, 2003, Eastman Kodak Company issued a press release and a
supplemental financial discussion document describing its financial results for
its third fiscal quarter ended September 30, 2003. Copies of the press release
and financial discussion document are attached as Exhibits 99.1 and 99.2,
respectively, to this report.
Within the Company's third quarter 2003 press release and financial discussion
document, the Company makes reference to certain non-GAAP financial measures
including "Income from continuing operations, excluding non-operational items",
"Operating cash flow", "Operating cash flow before acquisitions" and "Free cash
flow", which have a directly comparable GAAP financial measure, and to certain
calculations that are based on non-GAAP financial measures, including "Days
sales outstanding" and "Days supply in inventory." The Company believes that
these measures represent important internal measures of performance.
Accordingly, where these non-GAAP measures are provided, it is done so that
investors have the same financial data that management uses with the belief that
it will assist the investment community in properly assessing the underlying
performance of the company on a year-over-year and quarter-sequential basis.
Whenever such information is presented, the Company has complied with the
provisions of the rules under Regulation G and Item 12 of Form 8-K. The specific
reasons, in addition to the reasons described above, why the Company's
management believes that the presentation of the non-GAAP financial measures
provides useful information to investors regarding Kodak's financial condition,
results of operations and cash flows are as follows:
Income from continuing operations, excluding non-operational items - The
Company's management believes that presenting income from continuing operations,
excluding non-operational items, is an important additional measure of
performance that can be used for comparing results between reporting periods.
These operating measures represent the principle internal measures of
performance, and form the basis of internal management performance expectations
and incentive compensation.
Operating cash flow / Operating cash flow before acquisitions/ Free cash flow -
The Company believes that the presentation of operating cash flow, operating
cash flow before acquisitions and free cash flow is useful information to
investors as they facilitate the comparison of cash flows between reporting
periods. In addition, management utilizes these measures as tools to assess the
Company's ability to repay debt and repurchase its own common stock, after it
has satisfied its working capital needs, dividends, and funded capital
expenditures, acquisitions and investments. The operating cash flow before
acquisitions measure equals the operating cash flow measure excluding the impact
of acquisitions, while the free cash flow measure equals the operating cash flow
measure excluding the impact of dividend payments. Accordingly, the Company
believes that the presentation of this information is useful to investors as it
provides them with the same data as management uses to facilitate their
assessment of the Company's cash position.
Days sales outstanding (DSO) - The Company believes that the presentation of a
DSO result that includes the impact of reclassifying rebates as an offset to
receivables is useful information to investors, as this calculation is more
reflective of the Company's receivables performance and cash collection efforts
due to the fact that most customers reduce their actual cash payment to the
Company by the amount of rebates owed to them.
Days supply in inventory (DSI) - The Company believes that the presentation of a
DSI result that is based on inventory before the LIFO reserve is useful
information to investors, as this calculation is more reflective of the
Company's actual inventory turns due to the fact that the inventory values in
the calculation are based on current cost.
SIGNATURES
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Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
EASTMAN KODAK COMPANY
By: /s/ Robert P. Rozek
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Name: Robert P. Rozek
Title: Controller
Date: October 22, 2003
EXHIBIT INDEX
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Exhibit No. Description
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99.1 Press release issued October 22, 2003 regarding
financial results for third quarter 2003
99.2 Financial discussion document issued October 22, 2003
regarding financial results for third quarter 2003