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Consolidated Statements Of Cash Flows (USD $)
In Thousands
3 Months Ended 6 Months Ended
Jun. 30, 2011
Jun. 30, 2010
Jun. 30, 2011
Jun. 30, 2010
Cash flows from operating activities:        
Net income $ 68,214 $ 43,519 $ 128,447 $ 75,791
Adjustments to reconcile net income to net cash provided by operating activities:        
Additions to streaming content library (612,595) (66,157) (804,902) (116,632)
Change in streaming content liabilities 419,832 18,308 501,900 29,559
Amortization of streaming content library 144,466 29,844 230,403 48,523
Amortization of DVD content library 24,000 35,299 50,990 78,912
Depreciation and amortization of property, equipment and intangibles 10,182 9,309 20,008 20,168
Stock-based compensation expense 15,536 6,928 27,800 12,430
Excess tax benefits from stock-based compensation (17,868) (11,182) (33,522) (18,606)
Other non-cash items (802) (2,900) (1,727) (6,060)
Deferred taxes (3,927) (3,394) (8,909) (6,155)
Changes in operating assets and liabilities:        
Prepaid content 14,787 (2,133) 2,407 (7,096)
Other current assets 4,660 (9,211) 13,744 (8,663)
Other accounts payable (4,465) 1,472 10,370 12,160
Accrued expenses 17,941 7,917 40,611 21,663
Deferred revenue 3,892 1,310 19,754 1,322
Other non-current assets and liabilities 2,539 1,323 5,341 141
Net cash provided by operating activities 86,392 60,252 202,715 137,457
Cash flows from investing activities:        
Acquisition of DVD content library (19,065) (24,191) (41,184) (61,093)
Purchases of short-term investments (40,597) (21,795) (92,863) (57,790)
Proceeds from sale of short-term investments 16,510 32,055 31,471 62,825
Proceeds from maturities of short-term investments 15,985 4,310 16,635 8,323
Purchases of property and equipment (8,626) (5,671) (24,946) (12,064)
Other assets 844 3,825 2,263 7,507
Net cash used in investing activities (34,949) (11,467) (108,624) (52,292)
Cash flows from financing activities:        
Principal payments of lease financing obligations (520) (465) (1,021) (826)
Proceeds from issuance of common stock 7,418 13,109 14,180 23,027
Excess tax benefits from stock-based compensation 17,868 11,182 33,522 18,606
Repurchases of common stock (51,421) (45,145) (160,064) (152,869)
Net cash used in financing activities (26,655) (21,319) (113,383) (112,062)
Net increase (decrease) in cash and cash equivalents 24,788 27,466 (19,292) (26,897)
Cash and cash equivalents, beginning of period 150,419 79,861 194,499 134,224
Cash and cash equivalents, end of period $ 175,207 $ 107,327 $ 175,207 $ 107,327