Netflix to borrow another $2B to pay its programming bills

SAN FRANCISCO (AP) — 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 its expansion 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 lopped onto it existing debt of $11.8 billion.

The borrowing binge appears to be paying off. Netflix has gained 93 million subscribers since September 2013, including 7 million in the past quarter.

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