BUSINESS PUBLICATIONS

Unanimous Consent—Effective with Dec. 2007 Publisher’s Statements
The ABC board voted to modify Rule D 10.2 Separate Editions to allow business publications to include digital editions in the qualified circulation category on ABC reports as long as the digital edition maintains the same publication name and logotype as the member publication. The digital edition may display a different name provided the logotype is shown in a consistent manner with the member’s basic logotype on all editions and the term “edition” is consistently shown on each product.

The ABC board also created Rule D 10.3 Digital Versions and Digital Editions to formalize ABC’s longstanding digital version and edition guidelines.

CONSUMER MAGAZINES

Final Passage—Effective with Jan. 1, 2008, Issues
The ABC board modified Rule F 8.4 Subscription/Single-Copy Sales in Combination to stipulate that when two consumer magazines are sold in a “forced combination,” such single copies will qualify as paid circulation provided:

• For field audit purposes, ABC is notified in advance of the forced combination sale.
• Maximum of two magazines may be sold in forced combination.
• Issues sold in the forced combination sale are the current issues on sale at the newsstand.
• The magazines included in the forced combination sale have similar editorial content.
• The amount paid by the purchaser for the forced combination sale is a minimum of 100 percent of the basic single-copy price of the highest price magazine plus 25 percent of the basic single-copy price for the other magazine.
• No more than 50 percent of the total newsstand draw of the magazine with the smallest draw may be offered in a forced combination sale.
• The average copies served in the period from a single-copy forced combination are reported in ABC reports, including the titles of the combination magazines, the issues sold, the quantity sold and the price of the combination.

The ABC board plans to review the use and implementation of this rule at its November 2008 meeting.

Unanimous Consent—Effective with Jan. 1, 2008, Issues
The board altered Rule F 7.2 Back Copies and Rule F 15.1 Verified Circulation to stipulate that recipients of verified and public-place sponsored circulation are ineligible to receive back copies. In addition, back copies served to individually addressed sources will not qualify as sponsored or verified circulation if the recipient did not directly request the publication.

The board also modified Rule F 15.1 Verified Circulation to require that all copies served to a public place or individual and claimed as verified circulation must be reported accordingly. As a reminder, the minimum service is two consecutive issues.

Finally, the board voted to modify Rule F 2.1 Sponsored Sales and Rule F 15.1 Verified Circulation to eliminate the qualification of public-place sponsored sales as a paid circulation category and move this circulation to the verified circulation category. All rules of public-place verified circulation will apply to public-place sponsored circulation. ABC reports were also modified to allow publishers the option of noting the amount paid by a sponsor for the public place copies.

For Information—Effective with Dec. 2007 Publisher’s Statements
The board also approved a modification to Paragraph 5 of the Publisher’s Statement, “Trend Analysis.” The modification eliminates the reporting of a rate base to assist in preparing and maintaining information for the Publisher’s Statement.

For Information
The ABC board directed that a task force be established to review industry participation in Rapid Report and discuss future enhancements to the tool.

The board endorsed a hybrid method of accounting for credit cancels to allow the publisher to estimate non-payment credit cancellations based on historical pay-up rates and include that estimate in a released audit. This will only apply to those consumer magazines that are ready to release their audits within seven months of the close of the audit period.

NEWSPAPERS

Final Passage—Effective July 16, 2007
The board modified Rule C 5.1 Premium Defined to exempt subscriber rewards or loyalty programs as a subscription premium. The board also modified the same rule to specify that the following are not premiums: free or discounted access to online content or an electronic edition from the same editorial home as the publication included as part of the subscription to the publication.

Deferred
ABC’s board deferred action on a proposed revision to Rule C 5.13 Subscription Offer Based on Acceptance Unless Declined that would allow a publication to convert or upgrade a subscriber’s frequency of delivery without prior consent from the consumer, as long as the consumer can easily cancel the upgrade and revert back to their original subscription. The board originally granted the proposed modification first passage at its November 2006 meeting.

FOR ALL PUBLICATIONS

Unanimous Consent—Effective July 16, 2007
The board amended Rule B 2.1 Member Obligations to require that all requested data are submitted to ABC within six months of the close of the audit period. Failure to submit the required records will result in a suspension of all report services.

Unanimous Consent—Effective with September 2007 Reporting Period
The board approved a modification to Bylaw 2.14 Publisher’s Statement—Filing and Certification to require that a senior circulation executive and the publisher or other executive management sign Publisher’s Statements.

Unanimous Consent—Effective with Next Reporting Period
The board also modified Rule B 2.8 (d) Variation from Publisher’s Statements to report variances of more than three percent between the auditor’s findings and the filed Publisher’s Statement.

For Information
The board also voted to not to increase ABC’s current audit rates and other fees for the next year.

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