GLOBE ADDS NEWSPRINT SURCHARGE TO ADS
By Adnews Staff
The Globe and Mail will be asking advertisers to pay a surcharge tied to newsprint prices as of Sept. 15. Newsprint prices for The Globe have risen 98.3% from a year ago, an annual cost increase of $15.5 million. The surcharge will be 29 cents net per line for regional editions, and 42 cents for the national edition. This works out to an increase of 2.5% to 5.5% depending on the particulars of each ad. The Globe will remove the surcharge when newsprint prices return to December, 1994 levels or when the Eastern U.S. price for newsprint goes back to $550(US) a tonne. The current price is $685, and will go to at least $740 next month. The surcharge was determined by estimating the increased cost of newsprint used by advertisers, which is about 40% of the newspaper.