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Eastman Kodak Co. announced yesterday that it will eliminate close to 25 percent of its workforce, or between 12,000 and 15,000 jobs, as it transitions from the film business to the digital photography business.

"We've got good momentum, particularly in our digital portfolio," which turned a profit for the first time in 2003, CEO Dan Carp said yesterday. "We can see now into the future and have scoped out a three-year plan to ensure we stay ahead. We believe 2003 marks the bottom, and we'll build on our performance going forward.

Kodak's digital businesses generated 30, percent of the company's $13.3 billion in 2003 sales, though it expects that it will account of almost two-thirds of its business by 2006.

The layoffs will take place over the next three years.
KC's View:
Okay, maybe "eviscerates" is a little strong. Especially since analysts and the stock market seem to think this is a necessary move…even though Kodak's ability to be to the digital category what it has been to the film business is dubious at best, if only because there is so much competition.

But 15,000 jobs!