Kodak's (NYSE:EK) Profits Plunge as it Transitions to Digital Imaging

Kodak's (NYSE:EK) share price is getting crushed today after the company reported profits plummeted by 95 percent in the fourth quarter, to $22 million.

Weak profits were primarily the results of loss in licensing royalties over last year, and also from lower camera revenue.

Last year in the same quarter Kodak generated $443 million or $1.40 a share, and this year the $22 million amounted to 8 cents a share.

The difference was the loss of $421 million in licensing and royalty revenue from the same quarter last year.

Almost every unit or segment of Kodak dropped in the quarter, with the exception of the inkjet printer division.

Kodak has placed its future in the hands of the inkjet unit, which serves the consumer and business markets.

In 2011 Kodak expects to generate profits for the first time from the unit for the year.

Kodak has trimmed costs heavily while they work through the transition period, which also includes expected profits from its commercial digital printers in 2012.

Kodak was trading at $3.81, down $0.71, or 15.71 percent, as of 11:46 AM EST.