Good day, and thank you for standing by. Welcome to the Eastman Kodak Q2 2025 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Anthony Redding, Chief Compliance Officer.

Thank you, and good afternoon, everyone. I am Anthony Redding, Eastman Kodak Company's Chief Compliance Officer. Welcome to Kodak's Second Quarter 2025 Earnings Call. At 4:15 p.m. this afternoon, Kodak filed its Form 10-Q and issued its release on financial results for the second quarter and first half of 2025. 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. We intend for these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All forward-looking statements are based upon Kodak's expectations and various assumptions. Future events or results may differ from those anticipated or those 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 only apply as of the date of this 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 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 within 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 Chief Executive Officer; and David Bullwinkle, Kodak's Chief Financial Officer and Senior Vice President. We will not be holding a formal Q&A during today's call. As always, the Investor Relations team is available for follow-up. I will now turn the call over to Jim. Thank you, and good afternoon.

Welcome, everyone, and thank you for joining the second quarter 2025 investor call. As we remind everyone, we continue to execute on our long-term plan despite all the uncertainty happening in the business environment around the world from tariffs to logistics, to wars. Delevering the business and strengthening our balance sheet has been a key initiative from day 1. We continue to do that and see improvements. Investing in growth businesses, and you'll see many of them come to fruition. We invested heavy back in [ film ], paying off; EV batteries or battery substrate coating and in our medical group that we just recently launched and more to come as we go through the presentation. One of the key items in delevering and investing in business growth is by increasing our operational efficiencies. We continue to do that through technology and automation and standardized practices throughout the business. Our core business continued to perform as expected. Highlights from the second quarter include revenue of $263 million compared with $267 million for second quarter 2024, roughly flat year-over-year. I'm proud to say we continue to see revenue growth in our Advanced Materials and Chemicals business, known as AMC. Those investments are paying off, and we're excited with the progress we've made. Gross profit percentage of 19% compared with 22% for the second quarter 2024 is in line with our expectations with all the changes happening quickly in the business environment. I think it's important for me to remind our investors and our customers, our commitment to U.S. manufacturing. And I'll discuss the impact of the tariffs. But to be clear, several years ago, we brought back our heritage as a U.S. manufacturer from our manufacturing facilities up in Rochester, all motion picture film made in the U.S., [ most still…

Thanks, Jim, and good afternoon. Today, the company filed its Form 10-Q for the quarter ending June 30, 2025, with the SEC. As I always do, I recommend you read this filing in its entirety. Before I get into the details for the second quarter and first half of 2025, I would like to provide a brief status update on the termination and settlement process for the U.S. Kodak Retirement Income Plan or KRIP on the status of our Series C preferred stock and on the disclosure we made in our Form 10-Q filing. First and foremost, the KRIP termination and settlement process is proceeding as planned. By the close of the participant settlement election period, which ends on August 15, 2025, we expect to have a clear understanding of how we will satisfy our obligations to all planned participants. This window allows certain participants to elect whether their benefit will be settled via an annuity or a variety of lump sum options. Once that process is complete, the company intends to finalize the purchase of an annuity contract in October 2025 for participants who elect to receive regular annuity payments and payouts are expected to be distributed in November 2025 to those who choose to receive lump sums. We expect KRIP to distribute excess assets to the company and the Kodak cash balance replacement plan in December of 2025. At this time, our best estimate of pension assets that will revert to the company from the settlement of KRIP is approximately $500 million with approximately $300 million of this in cash and the remaining amount in illiquid assets, primarily hedge funds, which are in the process of redemption. A large portion of the reverted cash will be used to reduce term debt as required by the company's credit agreements.…

Thank you, Dave. In summary, some key messages to walk away from this call is we continue to fix our balance sheet by delevering the business and investing in growth areas. As an American manufacturer for over 100 years, we remain committed to manufacturing in the U.S. and expect U.S. tariffs to protect U.S. businesses like ours. Our cGMP pharmaceutical manufacturing facility is now registered with the FDA and certified to manufacture and sell regulated pharmaceutical products, starting with PBS, again, phosphate buffered saline. Again, just as a reminder, our U.S. pension plan termination and reversion process is right on track with expectations. And we plan to use excess assets to pay down debt and reduce our interest costs, allowing Kodak to continue to invest in profitable growth businesses. I want to make sure I thank all of our employees around the world for all their hard work and all of our customers around the world for their loyalty. I'd like to thank our shareholders for continuing to believe in us and invest in us. We are committed to working through the uncertain business environment and executing our long-term plan and delivering shareholder value for all of our investors. Thank you, and have a good day.

And this concludes today's conference call. Thank you for participating. You may now disconnect. Have a good day.