New York Times – Kodak CEO’s Fortune Swells $79 Million as Stocks Rally on U.S. Government Loan
July 30, 2020
by Jessica DiNapoli
Eastman Kodak Co CEO Jim Continenza added $79 million to his net worth on Wednesday when his options in the imaging company turned from worthless to lucrative thanks to a U.S. government loan for a pharmaceutical ingredients supply deal that super-charged the value of his shares.
Kodak’s stock increased 1,167% in value in two days, after the administration of President Donald Trump agreed to provide a $765 million loan for the company to produce pharmaceutical ingredients to help fight the coronavirus pandemic. Trump announced the deal at a news conference on Tuesday evening.
Continenza’s stock options, granted to him when he became Kodak’s CEO and executive chairman in 2019, had no value on Monday, but were worth $59 million on Wednesday following the rally in the stock, according to an analysis by compensation consultant Farient Advisors. Continenza also owned 650,000 Kodak shares as of June 23, which went up in value on the news by $20 million.