Reporting of Subscriptions Obtained Through Award Points

At the March 2004 meeting, ABC’s board adopted rules to clarify actions taken in July 2003 regarding, Rule F.8 Subscriptions Purchased with Award Points for reporting of subscriptions obtained through the redemption of award points (including frequent flyer miles).

This modification to reporting is effective with the June 30, 2004 Publisher’s Statement filing period.

The new reporting will require a publisher to provide in the Publisher’s Statement the average paid circulation copies served during the publisher’s statement period, which were obtained through the redemption of award points or airline frequent flyer miles.

This reporting will appear in the explanatory paragraph, Paragraph 9 of the ABC report with a cross-reference from Paragraph 1. (See below for reporting example).

In the explanatory, the publisher should report the following data:

1. Average number of copies served in the statement period from airline frequent flyer mile redeemed subscriptions as reflected in Average paid circulation in Paragraph 1.
2. Value of the airline frequent flyer miles redeemed.
3. Term and price of subscriptions served through redemption of the airline frequent flyer miles program.

This reporting modification will replace current requirements to provide disclosure in the ABC report of the number of subscriptions sold during the report period for exchange of airline frequent flyer mile as reported in Paragraph 3 of the Publisher’s Statement.

Updated 5/28/04