KODAK & OFFICE DEPOT FALL FROM S&P 500 STOCK INDEX

[Anonymous]

http://www.rbj.net/article.asp?aID=185981

KODAK & OFFICE DEPOT FALL FROM S&P 500 STOCK INDEX

Kodak to fall from S&P 500
Eastman
Kodak Co. ends its 53-year run on the benchmark Standard & Poor’s
500-stock index next week.Kodak was an original S&P 500 constituent
on March 4, 1957.Standard & Poor’s Financial Services LLC announced
on Thursday that Kodak’s departure would come after the close of trading
next Friday. The move comes more than six years after Kodak fell from
the Dow Jones Industrial Average.The New York Times Co. and Office Depot
also are being knocked from the index. The three firms will swap spots
with S&P MidCap 400 members F5 Networks Inc., Netflix Inc. and
Newfield Exploration Co.

The index includes 500 leading companies in leading industries of the U.S. economy.
The
transfers will make each index more representative of its market
capitalization range, Standard & Poor’s said. Netflix, F5 Networks
and Newfield all have market caps above $7 billion, while the firms
going to the S&P MidCap 400—Kodak, the New York Times and Office
Depot all have market caps of $1 billion to$3.5 billion.Kodak after its
double-digit stock price jump on Thursday has a market cap of some $1.4
billion. Its stock was trading midday at $5.22, down nearly 2 percent.

Kodak ended its 72-year-run on the Dow Jones Industrial Average on April 8, 2004.
“Kodak
is in the midst of a historic transformation–the scope of which few
companies have ever undertaken,” said Kodak spokesman David Lanzillo.
“The S&P shift is merely the mathematical consequence of a change in
market capitalization.“Of course, this does not change the fact that we
are a financially solid company, and it also in no way changes our
strategy or the fact that we are making significant progress in creating
a sustainable, profitable digital business.”

http://www.rbj.net/article.asp?aID=185981

http://www.miamiherald.com/2010/12/14/1972083/office-depot-drops-from-sp-index.html

Office Depot drops from S&P index
Following
a couple years of struggles, office supplies retailer Office Depot
Inc.has been demoted to the minor leagues.The Boca Raton-based retailer
last week was removed from Standard & Poor’s index of publicly
traded companies, along with Eastman Kodak Co. and The New York Times
Co.The three companies are instead now part of the S&P Midcap 400
index for mid-sized stocks, while Netflix Inc., F5 Networks Inc.and
Newfield Exploration Co. are now getting their shots at the big time.

The
move, while a blow to Office Depot’s pride, comes as little surprise,
analysts say.“The investment community knows this company hasn’t been
cutting it and has been falling out of favor,” said Morningstar analyst
Joscelyn MacKay, who covers Office Depot.Entrants to the index have to
have a market cap of $3.5 billion and be based in the United States, a
spokesman for Standard & Poor’s said. Office Depot currently has a
market cap of about $1.32 billion.

http://www.miamiherald.com/2010/12/14/1972083/office-depot-drops-from-sp-index.html

[Author]

January 10, 2011 at 8:23 AM