Netflix Ends Warner Bros. Deal, Receives $2.8 Billion Termination Fee
Netflix's merger agreement with Warner Bros. Discovery was terminated on February 27, 2026, after WBD determined that a proposal from Paramount Skydance was a superior proposal. Paramount Skydance, on behalf of WBD, paid Netflix a $2.8 billion termination fee, and Netflix's related bridge and credit commitments were automatically terminated.
Key points
- WBD terminated the merger agreement on February 27, 2026, to enter a deal with Paramount Skydance Corporation.
- Paramount Skydance, on behalf of WBD, paid Netflix a $2.8 billion termination fee.
- Netflix's debt commitment letter, bridge facility incremental commitments, $2025 revolving credit agreement and delayed draw term loan credit agreement terminated automatically.
The filing
Written by AI (Anthropic Claude, claude-haiku-5-5) on Nov 8, 2026, 2:16 AM ET, from the text of the filing and its press-release exhibits only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on February 27, 2026.
Briefs are written by AI from the filing text (each brief's own page names the model) and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the model's reading of the filing for shareholders, not a price forecast. Not investment advice.