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Kodak Plunges as Government Loan on Hold Pending Probes

Photographer: Mike Bradley/Bloomberg
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Eastman Kodak Co. shares plunged Monday after a federal agency announced it was suspending a $765 million loan to help the former film company produce Covid-19 drugs, pending the outcome of investigations into potential wrongdoing.

The International Development Finance Corporation said in a tweet Friday night that “recent allegations of wrongdoing raise serious concerns. We will not proceed any further unless these allegations are cleared.” Congress and the U.S. Securities and Exchange Commission are investigating the deal, and Kodak’s board said Friday it’s also opening a review of the loan disclosure.