Key takeaways:

• In a report of investigation made public on April 2, 2013, the SEC reported that it has determined not to pursue an enforcement action against either Netflix, Inc. or its CEO, Reed Hastings, for violations of Regulation Fair Disclosure (“Regulation FD”) relating to postings made by Mr. Hastings on his Facebook page that the SEC was investigating for having violated prohibitions on the selective disclosure of material non-public information.
• However, the SEC used the report to provide guidance to issuers regarding how Regulation FD and the SEC’s 2008 Guidance on the Use of Company Websites apply to social media channels such as Facebook and Twitter.