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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2021
OR

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from                  to                 
Commission File Number: 001-35727
Netflix, Inc.
(Exact name of Registrant as specified in its charter)
Delaware77-0467272
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer
Identification Number)
100 Winchester Circle,Los Gatos,California95032
(Address of principal executive offices)(Zip Code)
(408) 540-3700
(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common stock, par value $0.001 per shareNFLXNASDAQ Global Select Market
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days.    Yes      No  
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes      No     
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large Accelerated FilerAccelerated filer
Non-accelerated filer
Smaller reporting company
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Indicate by check mark whether the registrant is a shell company (as defined by Rule 12b-2 of the Exchange Act).    Yes      No  
As of September 30, 2021, there were 442,952,194 shares of the registrant’s common stock, par value $0.001, outstanding.



Table of Contents
 

2


NETFLIX, INC.
Consolidated Statements of Operations
(unaudited)
(in thousands, except per share data)

Three Months EndedNine Months Ended
September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
Revenues
$7,483,467 $6,435,637 $21,988,526 $18,351,614 
Cost of revenues
4,206,589 3,867,751 12,093,108 11,111,159 
Marketing
635,948 527,597 1,752,433 1,465,797 
Technology and development
563,887 453,802 1,626,415 1,342,664 
General and administrative
321,790 271,624 953,831 800,947 
Operating income
1,755,253 1,314,863 5,562,739 3,631,047 
Other income (expense):
Interest expense
(190,429)(197,079)(576,191)(570,313)
Interest and other income (expense)
96,135 (256,324)302,702 (367,802)
Income before income taxes
1,660,959 861,460 5,289,250 2,692,932 
Provision for income taxes(211,888)(71,484)(780,451)(473,693)
Net income
$1,449,071 $789,976 $4,508,799 $2,219,239 
Earnings per share:
Basic
$3.27 $1.79 $10.18 $5.04 
Diluted
$3.19 $1.74 $9.90 $4.89 
Weighted-average shares of common stock outstanding:
Basic
442,778 441,526 443,052 440,486 
Diluted
454,925 455,088 455,230 453,846 










See accompanying notes to the consolidated financial statements.
3

NETFLIX, INC.
Consolidated Statements of Comprehensive Income
(unaudited)
(in thousands)
Three Months EndedNine Months Ended
September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
Net income$1,449,071 $789,976 $4,508,799 $2,219,239 
Other comprehensive income (loss):
Foreign currency translation adjustments
(29,610)32,925 (64,233)22,374 
Comprehensive income$1,419,461 $822,901 $4,444,566 $2,241,613 
























See accompanying notes to the consolidated financial statements.
4

NETFLIX, INC.

Consolidated Statements of Cash Flows
(unaudited)
(in thousands)
   
Three Months EndedNine Months Ended
   
September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
Cash flows from operating activities:
Net income$1,449,071 $789,976 $4,508,799 $2,219,239 
Adjustments to reconcile net income to net cash provided by operating activities:
Additions to content assets(4,666,237)(2,653,886)(12,047,563)(8,458,943)
Change in content liabilities(29,246)(379,458)(607,494)(228,945)
Amortization of content assets2,963,051 2,733,743 8,489,050 7,824,287 
Depreciation and amortization of property, equipment and intangibles70,253 28,589 144,428 83,767 
Stock-based compensation expense95,078 106,357 303,891 307,586 
Foreign currency remeasurement loss (gain) on debt(136,488)249,194 (326,744)275,295 
Other non-cash items102,211 83,851 282,971 219,600 
Deferred income taxes50,967 (40,277)261,827 229,650 
Changes in operating assets and liabilities:
Other current assets(95,145)(22,974)(369,073)(147,261)
Accounts payable24,836 111,677 (40,164)(149,503)
Accrued expenses and other liabilities269,774 266,027 276,241 374,768 
Deferred revenue(4,732)10,941 64,640 115,457 
Other non-current assets and liabilities(11,014)(19,999)(144,925)(100,248)
Net cash provided by operating activities82,379 1,263,761 795,884 2,564,749 
Cash flows from investing activities:
Purchases of property and equipment(167,327)(109,811)(358,606)(349,567)
Change in other assets(21,304)(8,840)(26,919)(9,388)
Net cash used in investing activities(188,631)(118,651)(385,525)(358,955)
Cash flows from financing activities:
Proceeds from issuance of debt   1,009,464 
Debt issuance costs   (7,559)
Repayments of debt  (500,000) 
Proceeds from issuance of common stock18,445 68,665 86,265 201,419 
Repurchases of common stock(100,000) (600,022) 
Net cash provided by (used in) financing activities(81,555)68,665 (1,013,757)1,203,324 
Effect of exchange rate changes on cash, cash equivalents and restricted cash (63,843)28,459 (82,504)(30,624)
Net increase (decrease) in cash, cash equivalents and restricted cash(251,650)1,242,234 (685,902)3,378,494 
Cash, cash equivalents and restricted cash at beginning of period 7,804,618 7,180,046 8,238,870 5,043,786 
Cash, cash equivalents and restricted cash at end of period $7,552,968 $8,422,280 $7,552,968 $8,422,280 
See accompanying notes to the consolidated financial statements.
5

NETFLIX, INC.
Consolidated Balance Sheets
(in thousands, except share and par value data)

As of
   
September 30,
2021
December 31,
2020
(unaudited)
Assets
Current assets:
Cash and cash equivalents
$7,526,681 $8,205,550 
Other current assets
1,889,106 1,556,030 
Total current assets
9,415,787 9,761,580 
Content assets, net
28,974,045 25,383,950 
Property and equipment, net
1,220,114 960,183 
Other non-current assets
3,129,911 3,174,646 
Total assets
$42,739,857 $39,280,359 
Liabilities and Stockholders’ Equity
Current liabilities:
Current content liabilities
$4,110,962 $4,429,536 
Accounts payable
643,059 656,183 
Accrued expenses and other liabilities
1,413,120 1,102,196 
Deferred revenue
1,182,632 1,117,992 
Short-term debt
699,473 499,878 
Total current liabilities
8,049,246 7,805,785 
Non-current content liabilities
2,301,026 2,618,084 
Long-term debt
14,793,691 15,809,095 
Other non-current liabilities
2,281,277 1,982,155 
Total liabilities
27,425,240 28,215,119 
Commitments and contingencies (Note 7)
Stockholders’ equity:
Common stock, $0.001 par value; 4,990,000,000 shares authorized at September 30, 2021 and December 31, 2020; 442,952,194 and 442,895,261 issued and outstanding at September 30, 2021 and December 31, 2020, respectively
3,852,531 3,447,698 
Treasury stock at cost (1,182,410 shares at September 30, 2021)
(600,022) 
Accumulated other comprehensive income (loss)(19,835)44,398 
Retained earnings
12,081,943 7,573,144 
Total stockholders’ equity
15,314,617 11,065,240 
Total liabilities and stockholders’ equity
$42,739,857 $39,280,359 




See accompanying notes to the consolidated financial statements.
6

NETFLIX, INC.
Consolidated Statements of Stockholders’ Equity
(unaudited)
(in thousands)
Three Months EndedNine Months Ended
 September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
Total stockholders' equity, beginning balances$13,863,871 $9,334,753 $11,065,240 $7,582,157 
Common stock and additional paid-in capital:
Beginning balances
$3,721,246 $3,127,813 $3,447,698 $2,793,929 
Issuance of common stock upon exercise of options
36,207 69,312 100,942 201,967 
Stock-based compensation expense95,078 106,357 303,891 307,586 
Ending balances$3,852,531 $3,303,482 $3,852,531 $3,303,482 
Treasury stock:
Beginning balances
$(500,022)$ $ $ 
Repurchases of common stock to be held as treasury stock(100,000) (600,022) 
Ending balances$(600,022)$ $(600,022)$ 
Accumulated other comprehensive loss:
Beginning balances
$9,775 $(34,072)$44,398 $(23,521)
Other comprehensive income (loss)(29,610)32,925 (64,233)22,374 
Ending balances$(19,835)$(1,147)$(19,835)$(1,147)
Retained earnings:
Beginning balances$10,632,872 $6,241,012 $7,573,144 $4,811,749 
Net income
1,449,071 789,976 4,508,799 2,219,239 
Ending balances$12,081,943 $7,030,988 $12,081,943 $7,030,988 
Total stockholders' equity, ending balances
$15,314,617 $10,333,323 $15,314,617 $10,333,323 





















See accompanying notes to the consolidated financial statements.
7

NETFLIX, INC.
Notes to Consolidated Financial Statements
(unaudited)

1. Basis of Presentation and Summary of Significant Accounting Policies
The accompanying interim consolidated financial statements of Netflix, Inc. and its wholly owned subsidiaries (the “Company”) have been prepared in conformity with accounting principles generally accepted in the United States (“U.S.”) and are consistent in all material respects with those applied in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020 filed with the Securities and Exchange Commission (the “SEC”) on January 28, 2021. The preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and judgments that affect the amounts reported in the consolidated financial statements and accompanying notes. Significant items subject to such estimates and assumptions include the content asset amortization policy and the recognition and measurement of income tax assets and liabilities. The Company bases its estimates on historical experience and on various other assumptions that the Company believes to be reasonable under the circumstances. On a regular basis, the Company evaluates the assumptions, judgments and estimates. Actual results may differ from these estimates.
The interim financial information is unaudited, but reflects all normal recurring adjustments that are, in the opinion of management, necessary to fairly present the information set forth herein. The interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. Interim results are not necessarily indicative of the results for a full year.
There have been no material changes in the Company’s significant accounting policies as compared to the significant accounting policies described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020.

Recently adopted accounting pronouncements
In December 2019, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2019-12, Simplifying the Accounting for Income Taxes (Topic 740). ASU 2019-12 removes certain exceptions for performing intraperiod tax allocations, recognizing deferred taxes for investments, and calculating income taxes in interim periods. The guidance also simplifies the accounting for franchise taxes, transactions that result in a step-up in the tax basis of goodwill, and the effect of enacted changes in tax laws or rates in interim periods. The Company adopted ASU 2019-12 in the first quarter of 2021 and the adoption had no material impact to the Company’s consolidated financial statements.


2. Revenue Recognition
The Company's primary source of revenues is from monthly membership fees. Members are billed in advance of the start of their monthly membership and revenues are recognized ratably over each monthly membership period. Revenues are presented net of the taxes that are collected from members and remitted to governmental authorities. The Company is the principal in all its relationships where partners, including consumer electronics (“CE”) manufacturers, multichannel video programming distributors (“MVPDs”), mobile operators and internet service providers (“ISPs”), provide access to the service as the Company retains control over service delivery to its members. Typically, payments made to the partners, such as for marketing, are expensed. However, if there is no distinct service provided in exchange for the payments made to the partners or if the price that the member pays is established by the partners and there is no standalone price for the Netflix service (for instance, in a bundle), these payments are recognized as a reduction of revenues.
The following tables summarize streaming revenue, paid net membership additions, and paid memberships at end of period by region for the three and nine months ended September 30, 2021 and September 30, 2020, respectively:

United States and Canada (UCAN)
As of/ Three Months EndedAs of/ Nine Months Ended
 September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
 (in thousands)
Revenues$3,257,697 $2,933,445 $9,663,312 $8,475,891 
Paid net membership additions73 177 88 5,419 
Paid memberships at end of period (1)74,024 73,081 74,024 73,081 


8

Europe, Middle East, and Africa (EMEA)
As of/ Three Months EndedAs of/ Nine Months Ended
 September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
 (in thousands)
Revenues$2,432,239 $2,019,083 $7,176,393 $5,635,094 
Paid net membership additions1,804 759 3,802 10,464 
Paid memberships at end of period (1)70,500 62,242 70,500 62,242 

Latin America (LATAM)
As of/ Three Months EndedAs of/ Nine Months Ended
 September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
 (in thousands)
Revenues$915,297 $789,384 $2,612,826 $2,368,205 
Paid net membership additions330 256 1,451 4,907 
Paid memberships at end of period (1)38,988 36,324 38,988 36,324 

Asia-Pacific (APAC)
As of/ Three Months EndedAs of/ Nine Months Ended
 September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
 (in thousands)
Revenues$834,002 $634,891 $2,395,896 $1,687,691 
Paid net membership additions2,176 1,012 4,559 7,271 
Paid memberships at end of period (1)30,051 23,504 30,051 23,504 
(1) A paid membership (also referred to as a paid subscription) is defined as a membership that has the right to receive Netflix service following sign-up and a method of payment being provided, and that is not part of a free trial or certain other promotions that may be offered by the Company to new or rejoining members. A membership is canceled and ceases to be reflected in the above metrics as of the effective cancellation date. Voluntary cancellations generally become effective at the end of the prepaid membership period. Involuntary cancellations, as a result of a failed method of payment, become effective immediately. Memberships are assigned to territories based on the geographic location used at time of sign-up as determined by the Company’s internal systems, which utilize industry standard geo-location technology.
Total U.S. revenues, inclusive of DVD revenues not reported in the tables above, were $3.0 billion and $9.0 billion, respectively, for the three and nine months ended September 30, 2021, and $2.8 billion and $8.0 billion, respectively, for the three and nine months ended September 30, 2020. DVD revenues were $44 million and $140 million, respectively, for the three and nine months ended September 30, 2021 and $59 million and $185 million, respectively, for the three and nine months ended September 30, 2020.
Deferred revenue consists of membership fees billed that have not been recognized, as well as gift cards and other prepaid memberships that have not been fully redeemed. As of September 30, 2021, total deferred revenue was $1,183 million, the vast majority of which was related to membership fees billed that are expected to be recognized as revenue within the next month. The remaining deferred revenue balance, which is related to gift cards and other prepaid memberships, will be recognized as revenue over the period of service after redemption, which is expected to occur over the next 12 months. The $65 million increase in deferred revenue as compared to the balance of $1,118 million for the year ended December 31, 2020 is a result of the increase in membership fees billed due to increased members and average monthly revenue per paying member.

9


3. Earnings Per Share

Basic earnings per share is computed using the weighted-average number of outstanding shares of common stock during the period. Diluted earnings per share is computed using the weighted-average number of outstanding shares of common stock and, when dilutive, potential outstanding shares of common stock during the period. Potential shares of common stock consist of incremental shares issuable upon the assumed exercise of stock options. The computation of earnings per share is as follows:
Three Months EndedNine Months Ended
September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
(in thousands, except per share data)
Basic earnings per share:
Net income
$1,449,071 $789,976 $4,508,799 $2,219,239 
Shares used in computation:
Weighted-average shares of common stock outstanding442,778 441,526 443,052 440,486 
Basic earnings per share$3.27 $1.79 $10.18 $5.04 
Diluted earnings per share:
Net income
$1,449,071 $789,976 $4,508,799 $2,219,239 
Shares used in computation:
Weighted-average shares of common stock outstanding442,778 441,526 443,052 440,486 
Employee stock options12,147 13,562 12,178 13,360 
Weighted-average number of shares
454,925 455,088 455,230 453,846 
Diluted earnings per share$3.19 $1.74 $9.90 $4.89 

Employee stock options with exercise prices greater than the average market price of the common stock were excluded from the diluted calculation as their inclusion would have been anti-dilutive. The following table summarizes the potential shares of common stock excluded from the diluted calculation:
Three Months EndedNine Months Ended
September 30,
2021
September 30,
2020
September 30,
2021
September 30,
2020
(in thousands)
Employee stock options279 124 441 560 
10

4. Cash, Cash Equivalents and Restricted Cash

The following tables summarize the Company's cash, cash equivalents, and restricted cash as of September 30, 2021 and December 31, 2020:

 As of September 30, 2021
 Cash and cash equivalentsOther Current AssetsNon-current AssetsTotal
 (in thousands)
Cash$4,837,580 $1,980 $24,161 $4,863,721 
Level 1 securities:
Money market funds2,388,562  146 2,388,708 
Level 2 securities:
Foreign Time Deposits300,539   300,539 
$7,526,681 $1,980 $24,307 $7,552,968 

 As of December 31, 2020
 Cash and cash equivalentsOther Current AssetsNon-current AssetsTotal
 (in thousands)
Cash$3,331,860 $1,783 $31,284 $3,364,927 
Level 1 securities:
Money market funds4,573,690  253 4,573,943 
Level 2 securities:
Foreign Time Deposits300,000   300,000 
$8,205,550 $1,783 $31,537 $8,238,870 
Other current assets include restricted cash for deposits related to self insurance. Non-current assets include restricted cash related to letter of credit agreements. The fair value of cash equivalents included in the Level 2 category is based on observable inputs, such as quoted prices for similar assets at the measurement date; quoted prices in markets that are not active; or other inputs that are observable, either directly or indirectly.
See Note 6 Debt to the consolidated financial statements for further information regarding the fair value of the Company’s senior notes.
There were no material gross realized gains or losses in the three and nine months ended September 30, 2021 and 2020, respectively.

11


5. Balance Sheet Components

Content Assets, Net
Content assets consisted of the following:
As of
September 30,
2021
December 31,
2020
(in thousands)
Licensed content, net
$13,111,028 $13,747,607 
Produced content, net
Released, less amortization
6,093,870 5,809,681 
In production
8,842,122 4,827,455 
In development and pre-production
927,025 999,207 
15,863,017 11,636,343 

Content assets, net
$28,974,045 $25,383,950 

As of September 30, 2021, approximately $5,799 million, $3,092 million, and $1,879 million of the $13,111 million unamortized cost of the licensed content is expected to be amortized in each of the next three years.  As of September 30, 2021, approximately $2,393 million, $1,728 million, and $1,023 million of the $6,094 million unamortized cost of the produced content that has been released is expected to be amortized in each of the next three years.
As of September 30, 2021, the amount of accrued participations and residuals was not material.
The following tables represent the amortization of content assets:
Three Months Ended
 September 30,
2021
September 30,
2020
(in thousands)
Licensed content$1,965,514 $1,885,259 
Produced content997,537 848,484 
Total$2,963,051 $2,733,743 

Nine Months Ended
 September 30,
2021
September 30,
2020
(in thousands)
Licensed content$5,679,398 $5,628,499 
Produced content2,809,652 2,195,788 
Total$8,489,050 $7,824,287 

12


Property and Equipment, Net
Property and equipment and accumulated depreciation consisted of the following:
As of
September 30,
2021
December 31,
2020
Estimated Useful Lives
(in thousands)
Land
$57,386 $50,700 
Buildings
48,060 42,717 30 years
Leasehold improvements
808,312 524,537 Over life of lease
Furniture and fixtures
136,076 110,185 
3 years
Information technology
356,953 283,014 3 years
Corporate aircraft
110,785 110,629 8 years
Machinery and equipment
33,546 34,633 
3-5 years
Capital work-in-progress
262,367 298,558 
Property and equipment, gross
1,813,485 1,454,973 
Less: Accumulated depreciation
(593,371)(494,790)
Property and equipment, net
$1,220,114 $960,183 


Leases
The Company has entered into operating leases primarily for real estate. Operating leases are included in "Other non-current assets" on the Company's Consolidated Balance Sheets, and represent the Company’s right to use the underlying asset for the lease term. The Company’s obligations to make lease payments are included in "Accrued expenses and other liabilities" and "Other non-current liabilities" on the Company's Consolidated Balance Sheets. The Company has entered into various short-term operating leases, primarily for marketing billboards, with an initial term of twelve months or less. These leases are not recorded on the Company's Consolidated Balance Sheets. All operating lease expense is recognized on a straight-line basis over the lease term. Because the rate implicit in each lease is not readily determinable, the Company uses its incremental borrowing rate to determine the present value of the lease payments.
Information related to the Company's operating right-of-use assets and related operating lease liabilities were as follows:
Three Months Ended
September 30,
2021
September 30,
2020
(in thousands)
Cash paid for operating lease liabilities$89,916 $70,917 
Right-of-use assets obtained in exchange for new operating lease obligations252,377 175,901 
Nine Months Ended
September 30,
2021
September 30,
2020
(in thousands)
Cash paid for operating lease liabilities$251,827 $187,880 
Right-of-use assets obtained in exchange for new operating lease obligations485,173 592,331 
As of
September 30,
2021
December 31,
2020
(in thousands)
Operating lease right-of-use assets, net$2,249,458 $2,037,726 
Current operating lease liabilities291,128 256,222 
Non-current operating lease liabilities2,222,316 1,945,631 
Total operating lease liabilities$2,513,444 $2,201,853 
13


Other Current Assets
Other current assets consisted of the following:
As of
September 30,
2021
December 31,
2020
(in thousands)
Trade receivables
$782,350 $610,819 
Prepaid expenses
305,091 203,042 
Other
801,665 742,169 
Total other current assets
$1,889,106 $1,556,030 


6. Debt
As of September 30, 2021, the Company had aggregate outstanding notes of $15,493 million, net of $96 million of issuance costs, with varying maturities (the "Notes"). Of the outstanding balance, $699 million, net of issuance costs, is classified as short-term debt on the Consolidated Balance Sheets. As of December 31, 2020, the Company had aggregate outstanding notes of $16,309 million, net of $107 million of issuance costs. Each of the Notes were issued at par and are senior unsecured obligations of the Company. Interest is payable semi-annually at fixed rates. A portion of the outstanding Notes is denominated in foreign currency (comprised of €5,170 million) and is remeasured into U.S. dollars at each balance sheet date (with remeasurement gain totaling $136 million and $327 million, respectively, for the three and nine months ended September 30, 2021).
The following table provides a summary of the Company's outstanding debt and the fair values based on quoted market prices in less active markets as of September 30, 2021 and December 31, 2020:
Principal Amount at ParLevel 2 Fair Value as of
September 30,
2021
December 31,
2020
Issuance DateMaturitySeptember 30,
2021
December 31,
2020
(in millions)(in millions)
5.375% Senior Notes
$ $500 February 2013February 2021$ $502 
5.500% Senior Notes
700 700 February 2015February 2022712 735 
5.750% Senior Notes
400 400 February 2014March 2024442 449 
5.875% Senior Notes
800 800 February 2015February 2025913 921 
3.000% Senior Notes (1)
545 574 April 2020June 2025592 616 
3.625% Senior Notes
500 500 April 2020June 2025532 535 
4.375% Senior Notes
1,000 1,000 October 2016November 20261,119 1,110 
3.625% Senior Notes (1)
1,506 1,588 May 2017May 20271,742 1,776 
4.875% Senior Notes
1,600 1,600 October 2017April 20281,844 1,807 
5.875% Senior Notes
1,900 1,900 April 2018November 20282,330 2,280 
4.625% Senior Notes (1)
1,274 1,344 October 2018May 20291,600 1,630 
6.375% Senior Notes
800 800 October 2018May 20291,013 995 
3.875% Senior Notes (1)
1,390 1,466 April 2019November 20291,683 1,700 
5.375% Senior Notes
900 900 April 2019November 20291,092 1,061 
3.625% Senior Notes (1)
1,274 1,344 October 2019June 20301,529 1,533 
4.875% Senior Notes
1,000 1,000 October 2019June 20301,179 1,155 
$15,589 $16,416 $18,322 $18,805 
(1) The following Senior Notes have a principal amount denominated in euro: 3.000% Senior Notes for €470 million, 3.625% Senior Notes for €1,300 million, 4.625% Senior Notes for €1,100 million, 3.875% Senior Notes for €1,200 million, and 3.625% Senior Notes for €1,100 million.
In February 2021, the Company repaid upon maturity the $500 million aggregate principal amount of its 5.375% Senior Notes due February 2021.
The expected timing of principal and interest payments for the Company’s outstanding Notes are as follows:
14

As of 
September 30,
2021
December 31,
2020
(in thousands)
Less than one year
$1,431,621 $1,264,020 
Due after one year and through three years
1,787,577 2,136,997 
Due after three years and through five years
3,108,329 3,614,906 
Due after five years
14,208,207 14,841,164 
Total debt obligations
$20,535,734 $21,857,087 

Each of the Notes are repayable in whole or in part upon the occurrence of a change of control, at the option of the holders, at a purchase price in cash equal to 101% of the principal plus accrued interest. The Company may redeem the Notes prior to maturity in whole or in part at an amount equal to the principal amount thereof plus accrued and unpaid interest and an applicable premium. The Notes include, among other terms and conditions, limitations on the Company's ability to create, incur or allow certain liens; enter into sale and lease-back transactions; create, assume, incur or guarantee additional indebtedness of certain of the Company's subsidiaries; and consolidate or merge with, or convey, transfer or lease all or substantially all of the Company's and its subsidiaries assets, to another person. As of September 30, 2021 and December 31, 2020, the Company was in compliance with all related covenants.
Revolving Credit Facility
On June 17, 2021, the Company amended its unsecured revolving credit facility ("Revolving Credit Agreement") to, among other things, extend the maturity date from March 29, 2024 to June 17, 2026 and to increase the size of the facility from $750 million to $1 billion. Revolving loans may be borrowed, repaid and reborrowed until June 17, 2026, at which time all amounts borrowed must be repaid. The Company may use the proceeds of future borrowings under the Revolving Credit Agreement for working capital and general corporate purposes. As of September 30, 2021, no amounts have been borrowed under the Revolving Credit Agreement.
The borrowings under the Revolving Credit Agreement bear interest, at the Company’s option, of either (i) a floating rate equal to a base rate (the “Alternate Base Rate”) or (ii) a rate equal to an adjusted London interbank offered rate (the “Adjusted LIBO Rate”), plus a margin of 0.75%. The Alternate Base Rate is defined as the greatest of (A) the rate of interest published by the Wall Street Journal, from time to time, as the prime rate, (B) the federal funds rate, plus 0.500% and (C) the Adjusted LIBO Rate for a one-month interest period, plus 1.00%. The Adjusted LIBO Rate is defined as the London interbank offered rate for deposits in U.S. dollars, for the relevant interest period, adjusted for statutory reserve requirements, but in no event shall the Adjusted LIBO Rate be less than 0.00% per annum. Regulatory authorities that oversee financial markets have announced that after the end of 2021, they would no longer compel banks currently reporting information used to set the Adjusted LIBO Rate to continue to make rate submissions, and that publication of the Adjusted LIBO Rate based upon U.S. Dollars is expected to cease on June 30, 2023. The Revolving Credit Agreement contains customary provisions for the replacement of the Adjusted LIBO Rate with an alternate benchmark rate, including a rate based on the secured overnight financing rate published by the Federal Reserve Bank of New York, as the Adjusted LIBO Rate is phased out in the lending market. The Company does not anticipate that the replacement of the Adjusted LIBO Rate with such alternative benchmark rate, as provided in the Revolving Credit Agreement, will materially impact its liquidity or financial position.
The Company is also obligated to pay a commitment fee on the undrawn amounts of the Revolving Credit Agreement at an annual rate of 0.10%. The Revolving Credit Agreement requires the Company to comply with certain covenants, including covenants that limit or restrict the ability of the Company’s subsidiaries to incur debt and limit or restrict the ability of the Company and its subsidiaries to grant liens and enter into sale and leaseback transactions; and, in the case of the Company or a guarantor, merge, consolidate, liquidate, dissolve or sell, transfer, lease or otherwise dispose of all or substantially all of the assets of the Company and its subsidiaries, taken as a whole. As of September 30, 2021 and December 31, 2020, the Company was in compliance with all related covenants.


7. Commitments and Contingencies

Content
As of September 30, 2021, the Company had $22.5 billion of obligations comprised of $4.1 billion included in "Current content liabilities" and $2.3 billion of "Non-current content liabilities" on the Consolidated Balance Sheets and $16.1 billion of obligations that are not reflected on the Consolidated Balance Sheets as they did not yet meet the criteria for asset recognition.
As of December 31, 2020, the Company had $19.2 billion of obligations comprised of $4.4 billion included in "Current content liabilities" and $2.6 billion of "Non-current content liabilities" on the Consolidated Balance Sheets and $12.2 billion of obligations that are not reflected on the Consolidated Balance Sheets as they did not yet meet the criteria for asset recognition.
The expected timing of payments for these content obligations is as follows:
15

As of 
September 30,
2021
December 31,
2020
(in thousands)
Less than one year
$10,017,405 $8,980,868 
Due after one year and through three years
8,991,781 7,819,563&