sblitz Posted April 30, 2013 Author Share #21 Posted April 30, 2013 Advertisement (gone after registration) yes but given the limited life of the pension, is the fund willing to invest capital to keep this business ongoing? based on reports in today's paper it appears all the pension fund really has is the marketing with the manufacture still done by kodak. so the fund makes more if it raises prices to a limited audience with inelastic demand (look how much we pay for 50+ year old cameras) or invests in marketing to broaden usage (the brownie/instamatic crowd isn't giving up cell phone photography to go back to film). is there any incentive here for kodak to create new films? nope. my guess is a stable stable of film choices and higher prices. imho. Link to post Share on other sites More sharing options...
Advertisement Posted April 30, 2013 Posted April 30, 2013 Hi sblitz, Take a look here Bankrupt Kodak to give film arm to UK pensioners. I'm sure you'll find what you were looking for!
AlanG Posted May 1, 2013 Share #22 Posted May 1, 2013 Pension fund managers hardly ever take an active role in the management of the businesses they own or hold stakes in. And I think they'd be mad to do so. Can't say what others do but I doubt if they simply will sell whatever film Kodak decides to make in the future. Here is a quote from the NY Times. "In the coming months, the U.K. retirees, about 15,000 total, plan to establish a governance structure and hire executives to try to generate cash flows that satisfy pension obligations, among other objectives, said Steven Ross, chairman of the U.K. Kodak Pension Plan. Down the road, KPP could sell the businesses, he added, but it would be at least 10 years off." So I am assuming they went into this with a plan to actively grow the business somehow. Link to post Share on other sites More sharing options...
pico Posted May 1, 2013 Share #23 Posted May 1, 2013 Pension trust funds have a specific value in time. The recipients of the greatest amounts die first, the rest follow in proportion. Death is guaranteed. What a deal! . Link to post Share on other sites More sharing options...
sblitz Posted May 1, 2013 Author Share #24 Posted May 1, 2013 pico -- my point exactly, better said. Link to post Share on other sites More sharing options...
semi-ambivalent Posted May 2, 2013 Share #25 Posted May 2, 2013 Pension trust funds have a specific value in time.The recipients of the greatest amounts die first, the rest follow in proportion. Death is guaranteed. What a deal! . Not so quick there . Lots of people are finding out that they're living longer than they had planned to, and are running out of pension/savings/401k money before they shuffle off that mortal coil. 15,000 pensioners? I'd bet the money runs out before the pensioners do. An escape valve might be that the pensioners now own the engine, not the evil capitalists, so if need be they can go to themselves and force a reduction in benefits for themselves. If they have the votes. Trade cash for time. It depends on revenue and the generosity of the pension plan. I'm ignorant about either. But yeah, the actuaries know Mr. Bones plays into the equation; counting on him actually. s-a Link to post Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.