                               EASTMAN KODAK

                                  2/01/94

                      Stock     Price      52 week     YTD Pr    Div  Gross
                      Rating     1/31   --- Range ---    Chg     Rate Yield
Eastman Kodak Company   MP      44.13       52-34        -1      2.00  4.5

                                            ----Interim----    1994E  pr/94
          FY/IP       EPS93     EPS94 PE94  --Next- -YrAgo-   EBITDA EBITDA
EK        12/04Q      2.56      2.70E 16.3    0.60E   0.54      n/a    n/a


Kodak's 1993 earnings of $2.56 per share versus $2.44 in 1992 were
essentially in line with analysts' estimates. However, fourth quarter
aftertax earnings benefited from a lower than expected tax rate due to a
higher proportion of earnings being derived from lower tax rates in
overseas jurisdictions. Kodak has indicated that a search for a chief
financial officer was a top priority of Mr. George Fisher, chairman,
president, and CEO, and that Mr. Fisher would meet with the investment
community at some point in the second quarter. Management reiterated that
the cost savings plans initiated in 1993 have been successful.  More
specifically, the $400 million cost reduction program announced by Mr.
Thomas, group vice president in charge of Imaging, in early 1993 has been
implemented.  Of this total $200 million was realized last year with the
balance to occur this year.  Given the success of these programs, it is
even more puzzling why management has such modest (up 5%-7%) expectations
for 1994 earnings. Perhaps the message is that a significant proportion of
these savings will have to be surrendered to the marketplace in terms of
price concessions on film.

With regard to film, it appears Kodak's market share at the end of 1993 was
flat compared with 1992.  In 1993's first quarter and third quarters, Kodak
lost share but ended the year on a strong note.  The more aggressive film
pricing strategy announced last week by the company is designed to regain
Kodak's market share momentum.

