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2) | CONCEPT OF "NET REALISATION RATE" - NRR: |
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2.1 |
NET REALISATION RATE (NRR):
Net Realisation Rate (NRR) is the term used for value of newspaper in waste
computed on the basis of waste rate per kg. as fixed by the Council from time to
time .
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2.2 |
QUALIFYING SALES:
Circulation figure which meets the following criteria is treated as “qualifying sales”
and certified under ‘Part A’ of the ABC certificate of circulation.
“For each issue of a particular print run on a daily basis the net sale price to the
dealer (first point of sale) at any trade margin is higher than the net realisation rate
(NRR) with a provision to remove “excess circulation” of non compliant issue of a
particular print run where **net sale price to the dealer at any trade margin
offered is lower than the net realisation rate (NRR)” subject to such non compliant
issue of a particular print run being compliant on a weekly average basis.
There should atleast be one week in an audit period when all issues on each day
of the week are compliant with the qualifying criteria.
(**Net sale price to the dealer is the net price at which a newspaper is sold to the dealer
calculated at cover price of the publication less applicable trade commission, delivery
charges or by whatever name called).
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2.3 |
NORMAL CIRCULATION:
Normal circulation is the average circulation of a particular print run of any week
during an audit period when all relevant issues of the week are compliant with the
qualifying principle and accordingly the corresponding circulation of the print run
during the week qualifies for certification.
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2.4 |
EXCESS CIRCULATION:
“Excess circulation” is the incremental circulation of any non compliant issue
(provided it is compliant on a weekly average basis) as compared with the
circulation of the same print run of a compliant immediate previous same day of
the week, provided that the particular immediate previous week was compliant on
a weekly average basis as per the prescribed NRR audit guidelines.
However, if the same print run of same day of immediate previous week was a non
compliant issue under the NRR guidelines or the immediate previous week was a
non compliant week on a weekly average basis, then the circulation may be
compared with the immediate previous (first available) compliant same print run,
same day of the first available previous week, provided that particular week was
compliant on a weekly average basis with the NRR guidelines during the
immediate previous six months.
If no compliant issue of same day, same print run is available in the immediate
previous six months then the benefit of reducing “excess circulation” of non
compliant issue will be denied and the entire circulation of non compliant issue(s)
would not be recognized as qualifying sales [Part A].
There should atleast be one week in an audit period when all issues on each day
of the week are compliant with the qualifying criteria.
If any particular week is non compliant on a weekly average basis then removing
of excess circulation for the non compliant issue / print run in that particular week
will be denied and the entire circulation of non compliant issue(s) would not be
considered for certification as qualifying sales [Part A].
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2.5 |
TREATMENT OF NON COMPLIANT WEEK:
If any particular week is non compliant on a weekly average basis then removing
of excess circulation for the non compliant issue / print run in that particular week
will be denied and the entire circulation of non compliant issue(s) / print run would
not be considered for certification as qualifying sales [Part A].
If no compliant issue of same day, same print run is available in the immediate
previous six months then the benefit of reducing “excess circulation” of non
compliant issue will be denied and the entire circulation of non compliant issue(s)
would NOT be recognized as qualifying sales [Part A].
This will however be shown under `Part B’ as “non-qualifying sales”. (All publishing
day(s) during an audit period will however be reckoned for average calculations of qualifying and non
qualifying sales.)
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2.6 |
EXEMPTION FOR SUBSCRIPTION COPIES FROM THE CONCEPT OF NRR:
All copies supplied to the reader which are through subscription offers are
exempted from the purview of the concept of NRR since full details of a subscriber
is available with the publisher which can be verified through the process of audit.
Subscription amount is also collected by the publisher in advance thus providing a
complete audit trail.
A publisher can offer discount / gift to the subscriber together with delivery charges
to the distribution trade upto 90% of the cover price of a publication.
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2.7 |
WEEKLY NEWSPAPERS:
Qualifying criteria for certification will also apply to all weekly newspapers.
In respect of a weekly newspaper, every individual print run will be required to
be compliant with the qualifying criteria. Should a particular print run be
non-compliant on any publishing day, the “excess circulation” will be removed with
reference to the same print run of first available previous week during the
immediate previous six months [subject to provisions of excess circulation as
applicable for daily newspapers]
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2.8 |
FACETS OF CERTIFICATION CRITERIA:
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Q(i) | How “excess circulation” for non compliant issue of the week will be
determined? |
A(i) |
“Excess circulation” is the incremental circulation for any non complaint
print run (provided it is compliant on a weekly average basis) as compared
to the average circulation of the same print run of a compliant immediate
previous same day of the week provided that particular immediate previous
week was compliant on a weekly average basis as per the prescribed NRR
audit guidelines.
There should atleast be one week in an audit period when all issues on
each day of the week are compliant with the qualifying criteria.
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Q(ii) |
What treatment will be given if there is no such week where all issues
of the week are independently compliant with the qualifying criteria?
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A(ii) |
Under such circumstances, the benefit of reducing only the excess
circulation will not be available. The entire circulation of all non compliant
issues will not be shown as `Qualifying Sales’ in ‘Part A’ of the Certificate.
However, such copies will be shown in ‘Part B’ as `Non – Qualifying Sales’.
(All publishing day(s) during an audit period will however be reckoned for
average calculations of qualifying and non qualifying sales.)
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Q(iii) |
If for a given week, the qualifying principle is not complied with on a
weekly average basis, what treatment will be given to non compliant
issues during such a week?
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A(iii) |
If any particular week is non compliant on a weekly average basis then
removing of excess circulation for the non compliant issue in that
particular week will be denied and the entire circulation of non compliant
issue(s) would not be considered for certification as qualifying sales [Part
A].
This will however be shown under `Part B’ as “non-qualifying sales”. (All
publishing day(s) during an audit period will however be reckoned for
average calculations of qualifying and non qualifying sales.) |
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