I work in an industry that does many types of precision coating, some of which require much more precision than photographic film coating. An industry trend that we see, parallels this thinking related by PE. Along with that is the fact that smaller coaters, requiring much less labor and being easier to precisely control, produces a superior product. The old, large coating operations required an amazing amount of pre-running/tuning to get into specification range. This resulted in large amounts of waste. In certain product areas, these marginal products could be used in the re-branded or generic brand use and initial runs for this use became part of many product lines.
Many things that Kodak seems to be doing remind me of similar moves in our industry. A best example is one where we have been able to replace a 200 person crew with 18 (6 per shift) with a narrow coater. It's kept busier and in use, makes a more precise product and for products requiring less precision, can be run at extreme line speeds because of the narrower, easier-to-control web widths. I can't help but imagine that Kodak is functioning in this manner as a logical approach to the film market changes and potentials (but upward and downward).