But don't forget, the previous shareholders who owned the company were completely wiped out. Management survived. Now we know how they survived.
inb4 executive order to release those funds https://www.reuters.com/article/us-...n-hold-after-recent-allegations-idUSKCN2540XV Eastman Kodak's $765 million U.S. loan agreement on hold after recent allegations Reuters) - Eastman Kodak Co’s $765 million loan agreement with the U.S. government to produce pharmaceutical ingredients has been put on hold due to “recent allegations of wrongdoing,” the U.S. International Development Finance Corp (DFC) said. Earlier this week, senior Democratic lawmakers asked federal regulators to investigate securities transactions made by the company and its executives around the time it learned it could receive the government loan. “Recent allegations of wrongdoing raise serious concerns,” DFC said late on Friday in a tweet. “We will not proceed any further unless these allegations are cleared,” the DFC said. It was referring to a letter of interest it signed on July 28 with Kodak. President Donald Trump on Tuesday said the government would investigate the circumstances surrounding the announcement of the loan, which will help the photographic equipment maker shift into making pharmaceuticals at its U.S. factories. Kodak shares surged more than 1,000% last week after the loan was announced, generating a windfall for executives, some of whom had received options one day earlier. Lawmakers said they had “serious concerns” about the transactions and asked the Securities and Exchange Commission to investigate the circumstances surrounding the matter. They cited growing concerns about insider trading. The company said it had appointed a special committee of independent directors of its board to conduct an internal review. “The internal review will be conducted for the Committee by Akin Gump Strauss Hauer & Feld LLP,” Eastman Kodak said in a statement.
i kicked myself for not listened to you and shorting KODK. But I also pat myself on the back for not shorting TSLA $1000.
Kodak shares drop 40 percent after government deal halted due to probe into 'wrongdoing' "We will not proceed any further unless these allegations are cleared,” the U.S. International Development Finance Corporation said. https://www.nbcnews.com/business/bu...ent-after-government-deal-halted-due-n1236267 Shares of Eastman Kodak plunged more than 40 percent during premarket trading on Monday after a federal agency said it was reviewing a previously announced $765 million loan for the onetime photography pioneer to produce drug ingredients. “Recent allegations of wrongdoing raise serious concerns. We will not proceed any further unless these allegations are cleared,” the U.S. International Development Finance Corporation said in a tweet Friday. The review of funding comes as the Securities and Exchange Commission is reportedly investigating how the company disclosed the deal with the government, according to a report from The Wall Street Journal. The probe is also reportedly expected to review stock options that were granted to executive chairman James Continenza ahead of the announcement. The stock has been on a wild ride since the funding was announced on Tuesday, July 28. But trading activity picked up the day before the official announcement, which raised some eyebrows on the Street. The day before the deal was announced the stock jumped 25 percent, and saw 1,645,719 shares exchange hands, far surpassing the average daily trading volume of 236,479 for the year prior, according to data from FactSet. As news of the deal broke Kodak, which had been trading under $2, skyrocketed. Within two days, the stock was trading at $60, with 284 million shares changing hands. In the span of just 24 hours, more than 100,000 investors added the stock to their account on Robinhood, an app popular with millennial investors, according to data from Robintrack. The stock was so volatile the day after the announcement — at one point it was up more than 600 percent — that it was halted 20 times during the session. But the momentum didn’t hold and on Friday the stock closed at $14.88, or 75 percent below its recent high. However, the current price is still more than 400 percent above where the stock traded ahead of the loan announcement. The loan, which was the first of its kind under the Defense Production Act, was meant to aid the company in its pivot to drug production. With the funding, Kodak said it would expand existing facilities in Rochester, New York and St. Paul, Minnesota under a new Kodak Pharmaceuticals arm, which would produce drugs to treat a wide variety of illnesses. “Our 33rd use of the Defense Production Act will mobilize Kodak to make generic, active pharmaceutical ingredients,” President Donald Trump said when announcing the deal. “We will bring back our jobs and we will make America the world’s premier medical manufacturer and supplier.” The president later walked back his comments, saying he was “not involved” in the loan. Kodak released the news to local reporters in Rochester, New York, where it is headquartered, on July 27 then asked several outlets that had picked up the story to delete it, which they did. According to a Kodak spokesperson, the company’s internal communications team “did not intend for the news to be published.” “We feel very comfortable that we’re going to get to the end game,” James Continenza, Eastman Kodak executive chairman, told CNBC’s “Squawk Box” after the deal was announced. “We signed a letter of interest and we’ve been working on this for a few months. We feel very comfortable,” he added. Filings with the Security and Exchange Commission show that on June 23 Continenza purchased roughly 46,700 additional shares. On the same date, board member Philippe Katz purchased 5,000 shares. Additionally, the day before the deal was announced the company granted Continenza options for 1.75 million shares, just under 29 percent of which vested immediately. White House economic adviser Peter Navarro on Friday praised the DFC for its move, saying he was “very disappointed” over the allegations. Sen. Elizabeth Warren, D-Mass., has called on the SEC to look into the trading that occurred prior to the official announcement. “There were several instances of unusual trading activity prior to the announcement, raising questions about whether one or more individuals may have engaged in insider trading or in the unauthorized disclosure of material, nonpublic information regarding the forthcoming $765 million loan awarded under the Defense Production Act,” Warren wrote in an open letter. The U.S. House Financial Services Committee has also called for an investigation into the company, citing “growing concern regarding insider trading.” Kodak has previously said that it would cooperate with any potential inquiries, and on Friday the company said it was launching an internal investigation.
There were absolutely zero shares to be located anywhere. I couldn't even get a borrow rate. Can you imagine all those folks that went naked on those $15 calls. I think it was like 49,000 contracts that day it hit $8 when that other thread started. You can bet a lot of retail players with decent sized accounts got completely wiped out. Folks that have traded for years with $500K plus accounts. One dumb move.... and you're done. I mean sure an astute trader will put the wing on there... but you know damn well a bunch didn't. Somewhere out there right now are some very very sick traders.
I actually looked at that, I forget which day after the big run, but there was really no money if you needed to cover your ass on the upside.