MEDIA MARKET DATA - World Association of Newspapers

status warned that they might destroy the industry's retail price maintenance scheme. Theresolution says that ending the protection would disrupt newspaper distribution through pricecompetition that could destroy the nationwide home delivery system. Newsletter for Directorsof WAN Member Associations - N ° 36, April 24, 2006Korea, Republic ofThe Ministry of Culture will go ahead with a plan to establish 50 newspaper distributioncenters in the Seoul area and five other major cities with a budget of W10 billion (US$10million). According to plans announced on February 13, a total budget of W75 billion isearmarked for newspaper-related projects under widely condemned new press laws. Thatincludes W25 billion for a Newspaper Development Fund and W40 billion in a RegionalNewspaper Development Fund. Critics say both will be used to reward loyalty to thegovernment. The office that runs the operation plans to set up 45 of the centers in the capitaland one each in the five other major cities, despite the fact that there is little interest. “Fornow, no newspaper firms are formally taking part in the service. Six media companiesincluding the Seoul and Hankyoreh Shinmun are expected to take part in future,” a ministryofficial said. The centers are ostensibly designed to provide better access to a variety ofnewspapers in less developed areas, but incongruously they are all in Seoul and other citiesthat already have a well-developed distribution infrastructure. Vice Culture Minister YoonJin-ryong admitted there was “some sense” in the criticism, but he said this was only the firstphase, and the program “will be implemented with prudent review in the course of carrying itout.” Altogether the Information Ministry plans to set up 700 such centers by 2010 for a heftyW100 billion. There is also controversy over letting the taxpayer foot the bill of distributingprivately owned newspapers. Culture Minister Chung Dong-chea said last year newspapercompanies should share the cost, but that plan evaporated “because all the media companieswe contacted were reluctant to participate in a matching fund,” according to an official.http://english.chosun.com/w21data/html/news/200602/200602130027.htmlUnited Arab EmiratesPublishers in the Middle East and North Africa who are interested in increasing their mediaoutlet’s distribution can turn to a new marketing company owned by the Arab Media Group(AMG). AMG launched Tawseel, the new media distribution division, on May 31. Tawseelplans to offer marketing assistance, consultation services, distribution strategies and logisticalsupport to news media organizations. AMG is a private media company based in the UnitedArab Emirates. http://www.ameinfo.com/87604.html; June 8, 2006Postal Issues / TariffsAustriaPostal rates for newspapers in Austria have risen more than 300 percent in the last five years,and the Austrian Newspaper Association is demanding a reduction. The impact onnewspapers has been serious: subscriptions delivered by post have fallen from 20 percent oftotal subscriptions to just 13 percent. Contact: Walter Schaffelhofer, gs@voez.at; Newsletterfor Directors of WAN Member Associations - N ° 34 ; February 2, 2006United States of AmericaPostal rates could rise nearly 25% for in-county newspapers in May 2007 if the United StatesPostal Service has its way, and further annual increases are in store, the National NewspaperAssociation (NNA) revealed. USPS announced this morning that it intends a larger rate hike51