Netflix Sells $400 Million in Stocks and Bonds

Netflix stock continued to its losing ways after the company announced plans to sell $400 million in stock and bonds. The infusion of cash was seen as a way to pay for licensing deals it has struck with movie studios and TV programmers such as Disney and MGM. Netflix has hit some rough water recently, losing 800,000 customers during the third quarter of this year after increasing its subscription fees and announcing a spin-off of its DVD mailer service (which the company canceled soon after). The company commented on the stock and bond offering, saying that the move would help improve its financial outlook in the long run.

 

For additional coverage, see http://www.fiercecable.com/story/netflix-slide-continues-it-sells-stock-bonds-help-pay-programmers/2011-11-22?utm_medium=nl&utm_source=internal