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Andrew HeiskellAndrew Heiskell
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Session:         Page of 824

Post, as the more tried and true magazine. Apparently, that didn't work too well because--then the circulation was upped 6 million in the following two years, and subscription prices--

Heiskell:

No, not 6 million.

Q:

To 6 million? From 5.2 to 6--in the next six years?

Heiskell:

Doesn't sound right to me.

Q:

Okay. The subscription rates were raised slightly, newsstand price was raised 5 cents above the Post to 20 cents to strengthen the financial position of the company. Now, because of the resistance, I guess, to those increases, the CPM increases, rate increases, in 1949, because of resistance to that there was a decrease in ad rates of 3% but by 1950 another increase, effective in 1951, of 4% was announced. Does any of that--?

Heiskell:

Yes, we were crazy.

Q:

Talk to me about all these things.

Heiskell:

It's really very simple. We had to increase our cost per thousand essentially because of inflation. Price levels genuinely had gone up a lot. We were in a competitive situation with the Post, because the Post was the accepted medium for advertisers and I guess they didn't go up as much as we did. That drop of 3%, or whatever it





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