Kodak stock jumps 300% on a $765M loan from the US gov to make drugs

Dust off the 5th grade field trip prints... Kodak is back, baby. You might remember Kodak as the company that supplied disposable cameras for your early 2000s "Kodak moments" (don't forget to scroll wheel). Then iPhones took over and Kodak filed for bankruptcy in 2012. Now the 131-year-old former photo leader is back with a flashy headline:

• Kodak is getting a $765M loan from the US government under the Defense Production Act. The DPA lets the US prez force companies to prioritize production of necessary resources in a national emergency.
• But Kodak won't be printing out pics. It'll be cranking out ingredients for medical drugs.
• The goal: Reduce the US' reliance on foreigners for drugs. Kodak stock jumped a whopping 300% on the news.

Definitely frame-able... This is the 1st loan of its kind under the DPA, which was used earlier this year to speed up production of masks and ventilators. The US is heavily reliant on China for pharma drugs, so this domestic loan is a way to protect the supply chain in case something goes South (because, 2020). For Kodak, it's a big business pivot:

• Kodak's factories manufacture chemicals used in photographic film, among other things — now they're ramping up to produce drug ingredients.
• Kodak now says it expects pharma ingredients will make up 30%-40% of its biz in the future (funny, because it didn't say a word about pharma in its last earnings).