Photographic equipment firm exits film business as demand falters

By Zhang Ye Source:Global Times Published: 2012-9-6 0:00:04

Lucky Film Co, a photographic film maker in North China's Hebei Province, announced Wednesday that it has stopped production of color films due to the competition from digital photography.

This decision came amid falling demand for color films due to the popularity of digital photography, contributing little to the company's revenues, Lucky Film said in an announcement posted on the Shanghai Stock Exchange.

Lucky Film has closed the film operation and is focusing on new products like digital color photo paper and FPE solar back film which is used for protecting solar panels, Zhu Haihe, a spokesperson of China Lucky Film Corp, the parent of Lucky Film Co, told the Global Times Wednesday.

"In fact, Lucky began to adjust its business structure very early. The closure of its film operation signals the completion of the restructuring," Lü Moudu, a consultant with Adfaith Management Consulting, told the Global Times Wednesday.

After its parent became a subsidiary of State-owned China Aerospace Science and Technology Corp in September 2011, Lucky Film Co began to invest large amounts of money on enlarging the production of FPE solar back films, reported on April 18.

Lucky Film Co is not the first film producer to close its color film business.

The bankrupt photographic equipment maker Eastman Kodak Co also announced to sell its film operation worldwide on August 23.

Film photography was doomed to disappear with the advent of digital cameras, and films are now used only by photography fans, Lü said. 

"It is a sad but unavoidable trend to end production of color films and even black and white films as we have entered into a digital era," a Shanghai film enthusiast surnamed Chen told the Global Times Wednesday.

"However, films will not totally disappear from sight immediately. They will still be available in the market but at higher prices, and will be used by a small number of people," said Chen.


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