NetFlix.com Secures $30 Million InvestmentFrom Group ArnaultWorldís First And Largest Online DVD Rental Store To Capitalize On Funds By Bolstering Storeís E-Commerce Growth And Brand Awareness

NetFlix.com, the worldís first and largest online DVD rental store, has secured $30 million from the internationally renowned luxury products group, Group Arnault, it was announced yesterday by NetFlix.com CEO Reed Hastings. As a holding group for some of the most prestigious brands and products around the world, Group Arnaultís interest in NetFlix.com is attributed to the storeís leadership in online DVD transactions, a category, which has become a burgeoning market on the Internet. The new round of financing represents the largest investment in the company to date. NetFlix.com will capitalize on the investment to fund its aggressive marketing and branding initiatives designed to emerge as the primary destination site consumers turn to when shopping for DVD movies and digital entertainment. ""The open DVD marketplace is stronger than ever as evidenced by the widespread consumer adoption, as well as the recent discontinuation of the Divx format,"" said Hastings. ""Recognizing the market potential in addition to our aggressive business plan and vision, Group Arnault has dedicated a significant investment which will allow us to become one of the best known sites on the web and elevate NetFlix.com to the next phase of our future growth.""Spanning the Internet, consumer electronics and retail categories, NetFlix.comís distribution and promotional relationships include, amongst others, Sony (NYSE: SNE), Toshiba, RCA/Thomson Consumer Electronics, Pioneer (NYSE: PIO), Panasonic and Amazon.com (NASDAQ: AMZN). Since the storeís launch in 1997, NetFlix.com has emerged as the leading online rental provider of DVD - the fastest-growing consumer electronics category in history.About NetFlix.comNetFlix.com is the world's first and largest online DVD rental store. The NetFlix.com store, located at www.netflix.com, carries virtually every DVD movie - currently numbering more than 3,600 titles - and rents them to owners of DVD players. In addition to offering its customers the world's largest selection of DVD movies, NetFlix.com provides seven-day rentals, same-day-shipping to anywhere in the U.S., easy-to-use search features, a DVD Test Drive program (a preview before buying program), advance movie reservations and multi-rental discounts. By focusing on online rentals, NetFlix.com is pioneering a new online retail model and e-commerce category. NetFlix.com currently has promotional relationships with major consumer electronics brands Sony (NYSE: SNE), Toshiba, RCA/Thomson Electronics, Pioneer (NYSE: PIO) and others. Founded in 1997, NetFlix.com is headquartered in Los Gatos, located in the heart of Silicon Valley, California.About Group ArnaultGroup Arnault has emerged as one of the most active Internet and e-commerce investors in the United States and Europe. Its investments include portfolio participations in public companies such as @home, cisco, e-bay, as well as strategic stakes in more than 20 start-ups and fast growing companies. In addition, Group Arnault controls LVMH MoÎt Hennessy Louis Vuitton, the luxury goods group. LVMHís brands include Dom Perignon, Moet & Chandon, Veuve Clicquot, Krug and Pommery champagnes; Hennessy and Hine cognacs; Louis Vuitton, Loewe, and Celine luggage, leather goods and accessories; Christian Dior, Givenchy, Kenzo, and Guerlain perfumes and cosmetics; Sephora, Marie-Jeanne Godard, and Le Bon Marche in selective retailing; Fred in jewelry; and Givenchy, Christian Lacroix, and Kenzo in couture and fashion.