CVS will keep more than 15,000 of Eastman Kodak Co.'s photo kiosks in the U.S. after a bankruptcy judge signed off on the deal late last week, MarketWatch reported.
Under the agreement, Kodak's photo kiosks will remain in CVS stores through 2016 — a move that retains the kiosks' biggest customer and stabilizes the product for a potential buyer.
The deal also resolves competing claims between the two companies. Kodak agreed to reduce its $10.87 million claim by $4.5 million and will get $6.37 million from CVS. CVS will also get an $18.35 million unsecured claim against Kodak, payable under Kodak's reorganization plan, the article reported.
"At this juncture, as the debtors are seeking to market their personalized imaging business, which includes the [kiosk] operations, for sale, maintaining a customer relationship with CVS is essential to maximizing value of the business," Kodak said in court papers.
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