Kodak shares soar after ITC revives patent claims against Apple, RIM
Should full trade commission rule in its favor, Kodak could collect $1 billion in royalties
Shares of Eastman Kodak (NYSE: EK) soared nearly 25 percent in after-hours trading Friday in the wake of a favorable decision by the U.S. Trade Commission regarding the camera company's patent complaint against Apple and Research in Motion.
The U.S. ITC late Friday afternoon said it will review Kodak's claim that Apple's iPhone and RIM's BlackBerry violate its patent for technology regarding digital image previews. A judge in January had ruled that the smartphone makers were not in violation of the patent.
A final decision is expected on May 23. While the ITC has the authority to block the importation of products deemed in violation of U.S. patents, a final ruling in favor of Kodak more likely will result in Apple and RIM paying royalties to Kodak that Chairman and CEO Antonio Perez said could be worth up to $1 billion.
Kodak shares reached as high as 4.24 after hours, a gain of 24.7 percent over Friday's regular-session closing price of 3.40.
Shares of RIM (NASDAQ: RIMM), which plummeted 7.20, or 11.2 percent, to 56.89 in Friday trading following a disappointing quarterly outlook delivered Thursday, was up less than 1 percent to 56.92 after hours.
Apple shares (NASDAQ: AAPL), meanwhile, dipped 1.1 percent after hours to 347.71 from Friday's closing price of 351.54 before climbing back to 352.16. Apple had gained 6.57, or 1.9 percent, during Friday's regular trading session.
Through Friday's trading, Kodak shares were down 43 percent from last Dec. 20, when the stock hit 5.95.
Chris Nerney writes about the business side of technology market strategies and trends, legal issues, leadership changes, mergers, venture capital, IPOs and technology stocks. Follow him on Twitter @ChrisNerney.