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 AH&MA Finalizes Master Agreement with ASCAP

Washington, May 30, 2000 -  After nearly two years of intensive negotiations, the American Hotel & Motel Association (AH&MA) has approved a new industry license with the American Society of Composers, Authors, and Publishers (ASCAP). For the first time, the license establishes ASCAP's rate coincident with the Consumer Price Index (CPI), provides a discount to AH&MA members, and clearly carves out grand rights, which cover dramatic - music productions.

With the ASCAP fee increases limited to the CPI before the AH&MA member discount, the license will eliminate the industry's uncertainty about those fees. The presumption is that the contract will continue indefinitely at the CPI, thus avoiding the periodic process of negotiation and the ensuing industry turmoil.

The negotiations were conducted by AH&MA's Music Copyright Committee, chaired by Douglas Verner, senior vice president/general counsel, Sunburst Hospitality. "The negotiations were extensive, and the license is a breakthrough," said Verner. "The result is, I believe, that the industry secured not only the best deal possible under the circumstances, but the best deal achievable under any circumstances."

AH&MA President/CEO Bill Fisher, who was actively involved in moving the negotiations to conclusion, added "AH&MA is proud of this effort and of the resulting agreement. We're happy that we were able to work closely with the casino hotels to obtain the grand rights exclusion, a particularly important point for that segment. And we're especially pleased that for the first time the license recognizes the value of AH&MA membership by including a discount for AH&MA Federation members."

The license will be mailed to industry members immediately. Although each hotel may decide for itself whether or not to accept the master license, AH&MA encourages the industry to do so.

AH&MA, founded in 1910, is a federation of state lodging associations throughout the United States, with some 11,000 property members worldwide, representing more than 1.4 million rooms. AH&MA provides operations, technical, educational, marketing, and communications services plus governmental affairs representation to the lodging industry.

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Contact:
American Hotel & Motel Association
1201 New York Avenue, NW
Washington DC 20005
Kathryn Potter [email protected]
Tia T. Gordon [email protected]
http://www.ahma.com

 
Also See: BMI Now Offering Fee Structure Based on the Actual Use of Music / Feb 1999 

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