Kodak 2011 Annual Report Download - page 7

Digital Capture and Devices : Digital Capture and Devices includes digital still and pocket video cameras, digital picture frames, accessories, and
branded licensed products. These products are sold directly to retailers or distributors, and are also available to customers through the Internet at the
KODAK Store ( www.kodak.com ) and other online providers. Digital Capture and Devices also includes licensing activities related to the Company’s
intellectual property in digital imaging products. As announced on February 9, 2012, the Company plans to phase out its dedicated capture devices
business, including digital cameras, pocket video cameras, and digital picture frames in the first half of 2012.
Net sales of Digital Capture and Devices accounted for 15%, 28%, and 23% of total consolidated revenue for the years ended December 31, 2011, 2010,
and 2009, respectively.
Net revenues from licensing and royalties within
Digital Capture and Devices in the CDG segment accounted for 1%, 12%, and 6% of total consolidated
revenue for the years ended December 31, 2011, 2010, and 2009, respectively.
Retail Systems Solutions : Retail Systems Solutions’ product and service offerings to retailers include kiosks and consumables, Adaptive Picture
Exchange (“APEX”) drylab systems and consumables, and after sale service and support. Consumers can create a wide variety of photo gifts including
photo books, personal greeting cards, prints, posters, and collages. Kodak has the largest installed base of retail photo kiosks in the world.
Consumer Inkjet Systems : Consumer Inkjet Systems encompasses Kodak All-in-One desktop inkjet printers, ink cartridges, and media. These
products are sold directly to retailers or distributors, and are also available to customers through the Internet at the KODAK Store ( www.kodak.com )
and other online providers. Consumer Inkjet Systems is one of Kodak’s four digital growth initiative businesses, and in 2011, printer unit shipments
grew 35% year-on-year.
Consumer Imaging Services : Kodak Gallery is a leading online merchandise and photo sharing service. The www.kodakgallery.com website
provides consumers with a secure and easy way to view, store and share their images with friends and family, and to receive Kodak prints and other
creative products from their pictures, such as photo books, frames, calendars, and other personalized merchandise.
Kodak also distributes KODAK EasyShare desktop software at no charge to consumers, which provides easy organization and editing tools, and unifies
the experience between digital cameras, printers, and the KodakGallery services.
Marketing and Competition : CDG faces competition from consumer electronics and printer companies, and other online service companies in the
markets in which it competes, generally competing on price, features, and technological advances.
The key elements of CDG’s marketing strategy emphasize ease of use, quality, total cost of ownership value proposition, and the complete solution
offered by Kodak products and services. This is communicated through a combination of in-store presentation, an aggressive social media strategy,
online marketing, advertising, customer relationship marketing and public relations. The Company's advertising programs actively promote the
segment’s products and services in its various markets, and its principal trademarks, trade dress, and corporate symbol are widely used and
recognized. Kodak is frequently noted by trade and business publications as one of the most recognized and respected brands in the world.
GRAPHIC COMMUNICATIONS GROUP (“GCG”) SEGMENT
GCG is committed to helping its customers grow their businesses by offering innovative, powerful solutions that enhance production efficiency, open
new revenue opportunities, and improve return on marketing investment. To this end, the Company has developed a wide-ranging portfolio of digital
products - workflow, equipment, media, and services - that combine to create a value-added complete solution to customers. GCG’s strategy is to
transform large graphics markets with revolutionary technologies and customized services that grow our customers’ businesses and Kodak’s business
with them.
Prepress Solutions: Prepress Solutions is comprised of digital and traditional consumables, including plates, chemistry, and media, prepress output
device equipment and related services, and proofing solutions. Prepress solutions also includes flexographic packaging solutions, which is one of
Kodak’s four digital growth initiative businesses.
Innovative products within Prepress Solutions include high productivity TRILLIAN SP plates and FLEXCEL NX packaging systems.
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