EASTMAN KODAK

                                  3/29/94

                      Stock    Latest      52 week     YTD Pr    Div  Gross
                      Rating    Price   --- Range ---    Chg     Rate Yield
Eastman Kodak Company   MP      45.00       52-34         1      1.60  3.6

                                 Est.        - Interim EPS -    -EBITDA 94-
          FY/IP       EPS93     EPS94 PE94   --Next- -YrAgo-    per/sh  p/e
EK        12/01       2.56R      2.70 16.7      0.30    0.29      n/a   n/a


Eastman Kodak (EK) $45.00, 1993 $2.56, 1994 $2.70, Market Performer

.      Continue market performer rating.
.      Announces new electronic imaging unit.
.      Analyst meeting likely to be scheduled in late April - early May.
.      First quarter ($0.30 vs. $0.29) to be reported April 26.

Kodak announced it was combining its digital imaging businesses into one
business unit - Digital and Applied Imaging.  The new group includes the
following units Applied Imaging, CD Imaging (Compact Disc), Printer
Products and the Equipment and Software Platform Center.  The primary
purpose of the consolidation is to more fully exploit the potential for
digital imaging.  Previously, the responsibility for developing and
marketing these products was combined with more traditional technologies.
For example, conventional film utilizing the silver halide process and CD
imaging will now be in separate organizations.  While these products are
complementary to each other, the new organizational structure should result
in more affective delivery of Kodak's electronic technology to the
marketplace.  In aggregate, Kodak's digital businesses are unprofitable but
represent the wave of the future in both film and copying.

The company also announced a change in its U.S. and Canadian organizational
structure.  Previously, U.S. and Canadian regional business managers
responsible for marketing all Kodak products in a specific geographic
region reported to Robert Hamilton, General Manager.  This position has
been eliminated  The old reporting structure had a heavy geographical
flavor.  The new reporting structure has a more functional approach.  For
example, the marketing function will now report directly to the worldwide
general manager responsible for that particular product.  In the past, the
worldwide general manager was responsible for a product's profitability but
did not directly control the marketing and selling process.  In short, the
new reporting structure increases accountability which should focus
management more intently on increasing profitability and spurring growth.

Since joining the company in December, Mr. Fisher, Chairman, has not been
in contact with the investment community.  In late April - early May, analysts
believe Kodak is likely to schedule a meeting with investors at which Mr.
Fisher will present an overview of the company.  Analysts do not expect any
dramatic announcements but rather a discussion of the opportunities
(electronic imaging, revitalizing conventional film growth, improving cash
flow, etc.) which he sees for the company.  Given Mr. Fisher's previous
track record at Motorola, analysts believe he will be successful in his
turnaround efforts at Kodak.  The question is how long the turnaround will
take.  Based on the stock's 3.6% yield, improving balance sheet and
substantial earnings power, the shares have limited (perhaps 10%) downside
at current levels.  However, a market performer rating on the shares
remains appropriate until the company's substantial earnings power
($3.50-$4.50 per share) becomes more visible.