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US: AP suspends rate hike

US: AP suspends rate hike

The Associated Press announced plans to suspend its rate hike and review pricing. The move comes after members have expressed their opposition to the new rate structure. Newspapers have recently been announcing plans to terminate contracts with the AP. The most recent announcement came from the Tribune Company.

According to a statement released by the AP, the board of directors has approved a "moratorium" on the rate hike Thursday, October 23. The AP also plans to complete a review of its pricing and governance structure by the middle of 2009 and carry out a review of membership structure.

Until further decisions are made, the AP will "provide all member newspapers complete access to all AP text content, at no extra cost."

According to AP president and chief executive Tom Curley, "Because of the downturn in the global economy, we are at a point where we must now examine more than just what content costs, but also how AP deals with all of its members and customers."

Source: AFP



Lauren Drablier


2008-10-24 09:09

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