In a statement, Eastman Kodak Co stated, it expects sales volume to jump back to normal levels once the COVID-19 pandemic eases; it also sees an improvement in its working capital after the intensity of the Wuhan coronavirus fades.
The company has reported a 31% decline in quarterly revenues for the current quarter due to the COVID-19 pandemic. However, the positivity surrounding its potential sales sent its shares up by 7%.
On Monday, the U.S. government had blocked a $765 million loan to the photographic equipment maker due to “alleged wrongdoing” by executives.
Investigations by the U.S. Congress and the SEC have commenced and the outcome will have a bearing on the requested loan amount from the U.S. International Development Finance Corp.
Senior Democratic lawmakers had asked federal regulators to investigate securities made by the company and its executives around the time it learned it could receive the government loan.