Good day, ladies and gentlemen, and welcome to the Eastman Kodak Q2 2019 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session and instructions will follow at that time. [Operator Instructions] As a reminder, this conference is being recorded. I would now like to introduce your host for today's conference, Mr. Bill Love. You may begin.

Thank you, and good afternoon, everyone. I am Bill Love, Eastman Kodak Company's Treasurer and Director of Investor Relations. Welcome to Kodak's second quarter 2019 earnings call. At 4:15 PM this afternoon, Kodak filed its quarterly report on Form 10-Q and issued its release on financial results for the second quarter of 2019. You may access the presentation and webcast for today's call on our Investor Center at investor.kodak.com. During today's call, we will be making certain forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. All forward-looking statements are based upon Kodak's expectations and various assumptions. Future events or results may differ from those anticipated or expressed in the forward-looking statements. Important factors that could cause actual events or results to differ materially from these forward-looking statements include, among others the risks, uncertainties and other factors described in more detail in Kodak's filings with the U.S. Securities and Exchange Commission from time-to-time. There may be other factors that may cause Kodak's actual results to differ materially from the forward-looking statements. All forward-looking statements attributable to Kodak or persons acting on its behalf apply only as of the date of the presentation and are expressly qualified in their entirety by the cautionary statements included or referenced in this presentation. Kodak undertakes no obligation to update or revise forward-looking statements or to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events. In addition, the release just issued and the presentation provided contains certain measures that are deemed non-GAAP measures. Reconciliations to the most directly comparable GAAP measures have been provided with the release and with the presentation on our website, in our Investor Center at investor.kodak.com. Speakers on today's call are Jim Continenza, Kodak's Executive Chairman and David Bullwinkle, Chief Financial Officer of Kodak. I will now turn the call over to Jim.

Thank you, Bill. Welcome, everyone. Thank you for joining the second quarter investor call for Kodak. Turning to slide 4, I would like to start by discussing the progress we have made on several significant initiatives to strengthen the company. As mentioned on our last call, the company completed the sale of Flexographic Packaging Division in the second quarter to use the proceeds to repay a significant portion of the term loan outstanding under the company's senior secured credit agreement. Additionally, outstanding loan under the company's senior secured First Lien Term Credit Agreement. Additionally, the company calls on the issuance and sale of its secured convertible notes due 2021 allowing the company to repay in full the remaining term loan under the senior secured first learn term credit agreement. The result of completing these transactions is delevering of our company by approximately $300 million and will be further reduced by $100 million if the company notes convert to equity. This significantly reduces the interest expense and will defer interest payments on debt and strengthen our financial position. Also on August 3, 2019 the company announced reaching an agreement with Lucky HuaGuang Graphics Ltd to establish a strategic relationship in the People’s Republic of China. The transaction includes the sale of Kodak’s offset printing plates facility in Xiamen, China. A supply agreement to help Kodak to sell its existing customers demand and IP agreement under which Kodak license this technology to HuaGuang to expand the market in China. The deal will leverage the combined strength of HuaGuang’s market leadership, Kodak's world class technology, which together are expected to accelerate the conversion to KODAK SONORA Process-Free Plates in China, Hong Kong, Taiwan and Macao. We expect to close this deal in the third quarter 2019. In the last five months, we have completed transactions with significantly improved financial health of the company. We also have been moving forward and continue to concentrate on the print business, the film business, Advanced Materials. This will shape the structure of the management team and provide better alignment with our customers needs. We are in the process of revisiting a reporting structure and we'll be announcing changes within the second half of 2019. As we continue to reduce cost and focus on the business, we have reduced the size of our board also to reflect the reduction of the size of our business and gain better efficiencies. We continue to work on plans to generate cash in 2020. With that said, I'm going to turn this over to Dave now to discuss the 2019 second quarter and first half financial results.

Thanks, Jim, and good afternoon. Today the company filed its Form 10-Q for the quarter ended June 30, 2019 with the Securities and Exchange Commission. As always, I recommend you read this filing in its entirety. As Jim mentioned, the company completed the sale of its Flexographic Packaging Division in the second quarter. The net Proceeds from the transaction were use to repay $312 million of our outstanding first lien term debt. Additionally, the company closed on the issuance and sale of $100 million area principal amount of its secured convertible notes due in November of 2021 to funds managed by Southeastern Asset Management. Concurrent with the closing of the convertible notes issuance, the company repaid in full the approximately $83 million of remaining first lean term debt. On July 12th 2019, the company filed a preliminary information statement in connection with the issuance and sale of the convertible notes, adoption of a new protective amendment to restrict certain transfers of common stock in order to preserve the tax benefits of the company's U.S. net operating losses and foreign tax credits and adoption of a tax asset protection plan to deter certain transfers of the common stock in order to preserve the tax benefit of the company's U.S. net operating losses and foreign tax credits. In addition, as Jim mentioned earlier this week, we signed an agreement with Lucky Huaguang Graphics Company Limited to form a strategic relationship in the People's Republic of China. This transaction is designed to accelerate the growth of Kodak and our process free place in China. Kodak will maintain its current go to market structure in China with the expectation that SONORA volumes will continue to ramp alongside growing sales of the full portfolio of Kodak solutions. We expect to close on this deal in…

Thanks, Dave. I don’t have anything else, are there other questions. We might turnover to the questions Dave.

So, operator could you please remind people of the instructions to ask questions.

[Operator Instructions] Our first question is from Jeremy Chang, Investor. Your line is now open.

Hi. So I just got a quick question. Even with a key product lines achieving strong year-over-year growth the newly issued $100 million worth of secured convertible notes, interest payments, lease and purchase obligations and preferred dividends coming due between now and 2021 worries me about strengthening the balance sheet. Really just means taking on heavier amounts of debt and mainly deferring debt obligations. How do you plan on generating enough cash to fund these continued net operating losses. And do you think that Kodak will face liquidity issues before them?

So we continue to cut costs. We've been doing and continue to consolidate and stay focused, right. We're going to continue to try to sell our products, launch new products get more focused around our customers and some more efficient that's one. Two, cut cost in our business by redundancies that we have. And also, as we get closer as you start generating cash, we'll go to the market when necessary and if needed, right, to seek another form of capital and change our debt structure, but we have to generate cash and continue to generate cash, and that's step one. It's all about making money.

Okay. Thank you for your response.

Thank you. At this time I'm showing no further questions. I would like to turn the call back over to Jim Continenza for closing remarks.

I want to thank the person for that question because that is the absolute right question and the question that we focus on every single day since I've been here day one; delever, strengthen the balance sheet, get healthy, and operate your way out of the business. Because you can get there by just selling assets and burning money, so we will continue to take expense out of the business and become lean and profitable and continue with celebrate our profits and generate free cash flow. So, you'll be seeing more and more of this and we see at an accelerated path. That was a great question and it's exactly what we focus on every day. And we have the same conversations over and over. So, that was a great question. And that's our focus and we have a lot of other things that were going on the business that really we shouldn't be doing. We can't afford to fund. When you're not making money, you can't be funding things that don't make money. And we need to stop those activities and focus on the things that make money. And that means you're a smaller profitable business and you are a smaller profitable business and that's what we're going to become. Just want to be very clear. So, thanks everyone for dialing. I appreciate the question and we have a lot of work ahead of us still. We've done is fixing of the balance sheet and some of the customer focused pieces. As you have seen though and we've got a lot of feedback from our customer, we've gotten very close to them in the last five months. They appreciate the direction we're going and we continue to focus on them and meeting their needs. So, you'll be seeing more and more of that and you'll be seeing our revenues increasing because we are definitely getting aligned with our customers. So, thanks everyone.

Ladies and gentlemen, thank you for your participation in today's conference. This concludes the program. You may now disconnect.