Fearing and Figuring Flo & Eddie

BIA/Kelsey analysis aims to define prospective results from performance royalties on pre-1972 music
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The New York State Broadcasters Association has commissioned Mark Fratrik, well-known analyst with market research firm BIA/Kelsey, to examine the possible ramifications of royalties on pre-1972 music played by stations in New York state, should such royalties be required.

The report, “How Will the Radio Industry Be Affected by Pre-1972 Music Performance Fees,” is available, free of charge. Though it focuses on New York state broadcasters, much of it is applicable to broadcasters across the U.S.

In the study, Fratrik looks over the possible effects of “Flo & Eddie” lawsuits or regulations that would saddle radio stations with performance fees or damages for airing pre-1972 material. He notes that these encumbrances would affect mostly oldies stations and a few other stations that might play occasional older tunes such as Big Band material. He indicates that, however, these costs are not fully knowable at the current time, especially if they result from lawsuits and jury verdicts.

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