AP Sets Increased 2005 Fees

By: (AP) The board of directors of The Associated Press announced a 2.3% general assessment increase Tuesday for newspaper and broadcast members of the news cooperative.

That increases applies to basic and supplemental services of AP's more than 1,500 newspaper and more than 5,000 broadcast members.

The board also approved a separate 4.4% rate increase for certain additional services, including audio, APTN and other video services, the APTV newswire and the ENPS content management system for broadcast newsrooms.

Both increases take effect on Jan. 2, 2005.

The board also appointed Kenneth J. Dale as senior vice president and chief financial officer of the AP. Dale had been acting CFO since June. Before that, he was AP's vice president in the global business department. Prior to joining the AP in 2000, Dale was a vice president in the mergers and acquisitions division of J.P. Morgan & Co.

The general assessment increase of 2.3% compares with 2.9% in 2004 and an average increase of 2.8% since 2000.

"The board believes this increase is as low as possible, consistent with the AP's need to continue to deliver outstanding news and news-related products," said Burl Osborne, chairman of the AP board of directors.

Tom Curley, AP's president and CEO, said his first full year at the helm of the AP had been challenging but gratifying.

"We successfully moved to a great new world headquarters in New York and delivered excellent coverage of the ongoing conflict in Iraq, the Athens Olympics and a hotly contested presidential election," Curley said. "We also more sharply focused our business operations. All that prepares us for continued news and technology innovation in 2005."