Kodak closes manufacturing plant and processing lab

The increasing popularity of digital photography has forced Kodak to close its manufacturing plant and wholesale processing lab in Coburg, Victoria, resulting in the redundancy of 600 staff.

The plant would cease operating on 26 November and most impacted employees would leave the company on 2 December. The processing lab would close on 22 October.

In a statement issued today Kodak chairman and MD John Allen, said these closures, "have been caused by the fundamental change in consumer behaviour driven by the increasing popularity of digital photography in Australia and worldwide."

The manufacturing plant made traditional film and film cameras, a company spokesperson confirmed.

"The decision was in no way influenced by the performance of our operations, or Australian economic, industrial or political factors -- Kodak values the strong support it has received from its employees, governments and the local community.

"Kodak remains committed to the Australian market and will continue to offer a full range of traditional and digital photographic services and products to our consumer and commercial customers," he said in a statement.