Netflix to Handle Walmarts DVD Rentals

By Ian Bell May 19, 2005

“Thursday’s David-defeats-Goliath announcement boosted Netflix’s shares, which gained 63 cents, or 4.1 percent, to close at $16.13 on the Nasdaq Stock Market. The shares shed 13 cents in after-hourstrading, but soared as high as $19.27 earlier in the day.

Wal-Mart is offering its existing online DVD rental customers the chance to continue their subscriptions with Los Gatos-based Netflix at their current price for the next year. Those who don’t sign up with Netflix by June 17 will lose their service. Wal-Mart plans to continue promoting the Netflix service on its Web site.

In return, Netflix will urge its 3 million subscribers to buy DVDs from Walmart.com.”

Read more at Yahoo! News

Source: Associated Press

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