Washington Post 2004 Annual Report Download - page 30

demographic groups. Domestically, Newsweek ranks second in circulation among the three leading weekly news
magazines ( Newsweek, Time and U.S. News & World Report ). For each of the last five years, Newsweek 's average
weekly domestic circulation rate base has been 3,100,000 copies and its percentage of the total weekly domestic
circulation rate base of the three leading weekly news magazines has been 34.0%.
Newsweek is sold on newsstands and through subscription mail order sales derived from a number of sources, principally
direct mail promotion. The basic one-year subscription price is $41.08. Most subscriptions are sold at a discount from the
basic price. In May 2001 Newsweek 's newsstand cover price was increased from $3.50 to $3.95 per copy.
Newsweek 's published advertising rates are based on its average weekly circulation rate base and are competitive with
those of the other weekly news magazines. As is common in the magazine industry, advertising typically is sold at varying
discounts from Newsweek 's published rates. Effective with the January 12, 2004 issue, Newsweek 's published national
advertising rates for all categories of such advertising were increased by an average of approximately 4.5%. Beginning
with the issue dated January 10, 2005, such rates were increased again, in this case by 5.0%.
Internationally, Newsweek is published in a Europe, Middle East and Africa edition; an Asia edition covering Japan, Korea
and south Asia; and a Latin American edition; all of which are in the English language. Editorial copy solely of domestic
interest is eliminated in the international editions and is replaced by other international, business or national coverage
primarily of interest abroad. Newsweek estimates that the combined average weekly paid circulation for these English-
language international editions of Newsweek in 2004 was approximately 575,000 copies.
Since 1984 a section of Newsweek articles has been included in The Bulletin, an Australian weekly news magazine which
also circulates in New Zealand. A Japanese-language edition of Newsweek, Newsweek Nihon Ban, has been published
in Tokyo since 1986 pursuant to an arrangement with a Japanese publishing company which translates editorial copy, sells
advertising in Japan and prints and distributes the edition. Newsweek Hankuk Pan, a Korean-language edition of
Newsweek, began publication in 1991 pursuant to a similar arrangement with a Korean publishing company. Newsweek
en Espa ¿nol,
a Spanish-language edition of Newsweek which has been distributed in Latin America since 1996, is currently
being published under an agreement with a Mexico-based company which translates editorial copy, prints and distributes
the edition and jointly sells advertising with Newsweek. Newsweek Bil Logha Al-Arabia, an Arabic-language edition of
Newsweek, began publication in 2000 under a similar arrangement with a Kuwaiti publishing company. Pursuant to
agreements with local subsidiaries of a German publishing company, Newsweek Polska, a Polish-language newsweekly,
began publication in 2001, and Russky Newsweek, a Russian-language newsweekly, began publication in June 2004. In
addition to containing selected stories translated from Newsweek 's various U.S. and foreign editions, each of these
magazines includes editorial content created by a staff of local reporters and editors. Under an agreement with a Hong
Kong-based publisher, Newsweek Select, a Chinese-language magazine based primarily on selected content translated
from Newsweek 's U.S. and international editions, began distribution in Hong Kong during 2003 and expanded its
distribution into mainland China during 2004. Newsweek estimates that the combined average weekly paid circulation of
The Bulletin insertions and the various foreign-language international editions of Newsweek was approximately 700,000
copies in 2004.
The online version of Newsweek, which includes stories from Newsweek 's print edition as well as other material, has been
a co-branded feature on the MSNBC.com website since 2000. This feature is being produced by Wash-
ingtonpost.Newsweek Interactive Company, another subsidiary of the Company.
Arthur Frommer's Budget Travel magazine, another Newsweek publication, was published ten times during 2004 and had
an average paid circulation of more than 500,000 copies. Budget Travel is headquartered in New York City and has its
own editorial staff.
During recent years Congress has considered a range of proposals intended to restrict the marketing of tobacco products.
The Company cannot now predict what actions may eventually be taken to limit or restrict tobacco advertising. However,
such advertising accounts for less than 1% of Newsweek's operating revenues and negligible revenues at The Washington
Post
and the Company's other publications. Moreover, federal law has prohibited the carrying of advertisements for
cigarettes and smokeless tobacco by commercial radio and television stations for many years. Thus the Company believes
that any restrictions on tobacco advertising that may eventually be put into effect would not have a material adverse effect
on Newsweek or on any of the Company's other business operations.
PostNewsweek Tech Media
This division of Post-Newsweek Media, Inc. publishes controlled-circulation trade periodicals and produces trade shows
and conferences for the government information technology industry.
14 THE WASHINGTON POST COMPANY