Netflix Pledges $100M Stock Repurchase31 Jan, 2008 By: Erik Gruenwedel
Online DVD rental pioneer Netflix Inc. Jan. 31 said its board approved a $100 million repurchase program of common shares through 2008.
The announcement sent shares of the Los Gatos, Calif.-based service up almost 9% to $24.99 in afternoon trading.
Companies often repurchase stock with excess cash on the balance sheet in an effort to signal internal confidence to the market going forward.
Separately, Netflix has partnered with the Independent Film Channel (IFC) to produce a special 50th episode of actor/director Jon Favreau's acclaimed “Dinner for Five” cable series.
The episode, which co-stars Vince Vaughn, revolves around dinner conversation at a Los Angeles restaurant about Vaughn's Feb. 8 theatrical release, Vince Vaughn's Wild West Comedy Show: 30 Days and 30 Nights — Hollywood to the Heartland.
The episode airs Feb. 1 on IFC and streams on Netflix.com beginning Feb. 4.