Netflix borrowing $2B more as content costs rise
It wasn't going to be long before the amazon, netflix and the big production houses fight for dominance was going to pay the price. How long can things keep going before the competition reaches a point where no amount of money is going to achieve the desired goals...
SAN FRANCISCO - Netflix plans to borrow another $2 billion to help pay for the exclusive series and movies that its management credits for helping its video streaming service reel in millions of new subscribers during the past five years.
The additional debt load announced Monday isn't a surprise. Netflix needs more cash because it has been spending more money than its business generates since it expanded into original programming with the 2013 release of "House of Cards."
Netflix expects to burn through $3 billion this year. The $2 billion that Netflix plans to raise in a bond offering will be added onto its existing debt of $11.8 billion, which includes another $1.9 billion debt offering that Netflix completed earlier this year.
More from the article (source and credit)
https://www.cbsnews.com/news/netflix-borrowing-2b-more-as-content-costs-rise/
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