Monday, Jul. 25, 1932
3C & 50%
For the past three months the New York World-Telegram appeared with the advertising of only three of Manhattan's 15 leading department stores. The other twelve had withdrawn simultaneously be cause the World-Telegram wanted to in crease its rates over what was charged by the defunct Evening World prior to last year's merger of the papers (TIME, May 23). The total increase was to be 6-c- per line, of which 3-c- was made effective when old World contracts expired last May, the other 3-c- to be added in September. Determined that for no reason would they pay more for advertising than they had last year, the twelve stores refused to renew contracts. Rival Manhattan pub lishers, fearing an extension of the rate fight to their own papers, hoped the World-Telegram would defeat the "boy cott."
Last week came what looked like a compromise. The World-Telegram, "in recognition of present business conditions," announced a rate reduction. As applied to the department stores, it meant that no second 3-c- increase would be made in September. As suddenly as they had vanished, back into the paper popped the twelve rebels. In renewing contracts they paid 3-c- more than formerly, but for 50% more circulation than the Evening World's.
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