The sexual harassment scandal surrounding Kevin Spacey just cost Netflix nearly $40m.
The streaming service said in its fourth-quarter earnings report on Monday that it took a $39m non-cash charge for “unreleased content we’ve decided not to move forward with”.
The figure provides a hint of how much the wave of scandals that followed allegations of sexual harassment against top producer Harvey Weinstein last year might cost Hollywood. Mr Spacey has denied many of the allegations.
According to a person familiar with the matter, Netflix’s entire $39m write-off was related to productions that had been shot but not aired starring Mr Spacey, who was first accused in October of making unwanted advances and inappropriate conduct towards several people over many years.
The cancelled projects were two episodes of House of Cards, the long-running political drama in which Mr Spacey starred as anti-hero Frank Underwood, and a biopic movie, Gore, in which he played the titular writer Gore Vidal. The movie, which was based on the 2015 Vidal biography Empire of Self and was in post-production when Netflix pulled the plug, had been slated for release this year.
In November, Netflix said it would cut ties with Mr Spacey and end House of Cards after the forthcoming sixth season, after suspending production after members of the show’s crew accused the actor of inappropriate touching.
House of Cards was among the first of Netflix’s original series to debut and helped cement its reputation as a new creative force in Hollywood. Netflix said on Monday it will spend up to $8bn on original content this year.
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