October 11, 2011
Collins Ink has terminated its contract to supply ink for the OEM.
Collins Ink Corporation has terminated its contract to supply ink for Kodak’s Versamark inkjet printers in the latest blow to the struggling OEM.
The ink company sites Kodak’s “financial situation” for cancelling the contract, which has been in place for the last 10 years.
Versamark owners will now be able to purchase ink for all models of the printer directly from Collins Ink, and the Ohio-based company states that it will also be providing the inks at a lower price than when they were sold through Kodak.
The loss of its supplier –and ink profits – for the Versamark range is sure to be a setback to the OEM’s efforts to stabilize its business. Kodak continues to release new printers in the high-volume range, having released several new mono and colour machines last month.
The company has been struggling to realign its business as a printer manufacturer and away from the camera industry that made it a household name in photography. Earlier this year it announced plans to sell billions of dollars worth of its digital-imaging patents to create new funds.
Kodak’s shares took a wobble recently when it was leaked that the company had fired Jones Day, a law firm specialising in bankruptcy protection. However, The Sacramento Bee notes that its shares took a solid rebound after the company took efforts to reassure investors.
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