Questions being raised after Kodak's stock has a big moment

[Omaha Steve]

Source: AP

By MICHAEL LIEDTKE

Eastman Kodak’s potentially lucrative deal to help the U.S. government make more generic drugs domestically is threatening to turn into a regulatory headache for the fallen photography giant.

Kodak’s depressed stock price surged last week before the company announced its plans to work with the President Donald Trump’s administration in exchange for a $765 million loan. That prompted Sen. Elizabeth Warren to send a Monday letter asking the Securities and Exchange Commission to investigate whether insider trading laws have been broken.

The SEC is now in the early stages of a probe, according to a report published Tuesday by The Wall Street Journal. The newspaper cited unidentified people familiar with the matter.

The SEC declined to comment on the report.



FILE - This Jan. 25, 2011 file photo shows a Kodak slide projector in Philadelphia. Photography company Eastman Kodak is set to receive a $765 million government loan to create a new division that will help make ingredients for use in generic drugs. Kodak Pharmaceuticals will make critical pharmaceutical ingredients that have been identified as essential but have lapsed into chronic national shortage, as defined by the Food and Drug Administration. (AP Photo/Matt Rourke, File)


Read more: https://apnews.com/4c756a762c52ec5e39844147632f0314

[Backseat Driver]

1. Sic 'em, Elizabeth!

[Trenzalore]

2. This smells so bad

We have 100s of Pharma companies. Why are we creating a new one instead of incentivizing existing ones to do this.

[dhill926]

3. so...Kodak is going to be making drugs....

yeah, that's not weird at all....

[RicROC]

4. Eastman Chemicals/ Pharmaceuticals

Living in Rochester NY, I am very happy to hear that Kodak will be returning to one of their corporate strengths. Seems to me that there was a division named Eastman Pharmaceuticals, which was sold off many years ago. That's one of the legacies of Eastman Kodak, they sell off their profit makers.

However, it does smell that the CEO may have made a fortune within the span of a few days with his alleged insider trading.

Voters who say that our government should be run like a business should take note. This is how business is done- not to ethically run a company to provide a quality product to consumers and to provide a living to those who produce those products, but rather to enrich those at the top.