Membership Dues

Questions about your dues or to request the Dues & Assessment Form: Gail Kump (212) 255-1041/gkump@publishers.org.

FEES STRUCTURE

Core Dues

Dues to the Association cover the cost of "core" activities and functions that benefit all members. The annual budget and appropriate dues rates are recommended by the Board of Directors of the Association and approved by the membership at each year's Annual Meeting. The member company and all of its divisions and subsidiaries that produce eligible products apply these rates to the total net U.S. sales of eligible products during the previous calendar year.

Divisional Assessments

Divisional assessments cover the budgeted programs of each division. The assessment rates are established by each division's Executive Council and approved by its membership.

The three divisions are School (K-12), Higher Ed and Professional & Scholarly.

Companies with sales in the School, Higher Ed and the Professional & Scholarly areas are automatically enrolled in the divisions in which they report sales. They may elect not to be members of one of those divisions if their sales in that category are less than 10% of their total eligible sales and less than 1% of the Industry sales estimated for that division in the AAP Industry Statistics Report for the dues base year.

Member companies may elect to join a division in which they are not automatically enrolled by paying the minimum membership fee for that division.

COMPUTATION & COLLECTION OF MEMBERSHIP FEES

Reporting Revenues

For the computation of Association dues and divisional assessmentes for any dues year, member companies are asked to complete a Dues & Assessments Questionnaire showing eligible net U.S. sales, by product/market area, for all company divisions and subsidiaries during the previous year. Completed questionnaires are then submitted to AAP's Membership Department, Management Practice Inc., AAP's independent accouting agency,and the President of the AAP, to protect the confidentiality of the data.

Billing Procedures

Based on the data submitted, an invoice for the fiscal year's dues and assessments is issued upon membership acceptance and in June of each year for membership renewals by Management Practice, Inc.

Additional Information

When a member company acquires another member company, or when two member companies merge during an AAP fiscal year, eligibility for a reduced combined dues payment, because of the effect of the declining rates as sales increase for Core Dues, is effective at the beginning of the following fiscal year. (Merger Year Plus One)

The dues and assessments questionnaire submitted for the Merger Year Plus One will include the base year's sales of all units involved in the merger, including the newly acquired company or companies. If the merger had occurred between July 1, 2011 and June 30, 2012, the base year's sales would be calendar year 2010.

When a member company acquires a non-member company, dues and assessment will be increased in the Merger Year to reflect the sales of the acquired company, on a pro rata basis, from the date of acquisition through the end of the AAP fiscal year. In Merger Year Plus One, the dues and assessments payment will be based on the base year's sales of all units involved in the merger, including those of the acquired company before the date of purchase. If the acquisition occurred between July 1, 2011 and June 30, 2012, the base year's sales would be calendar year sales for 2010.

Conversely, when a member company sells a division, subsidiary or other major segment of the business, dues and assessment payments on eligible sales will be reduced in the Divestment Year on a pro rata basis for the balance of the AAP dues year.

INSTRUCTIONS FOR COMPLETING DUES & ASSESSMENT FORM

In completing the Dues and Assessments Questionnaires for Calendar Year 2010, please use the following definitions to determine what items should be included in your company’s sales of eligible products for the purpose of the calculation of your dues and assessments:

Eligible Sales

Include: Net sales by domestic corporations, divisions and subsidiaries

Net sales to foreign subsidiaries and distributors

Net sales of imported products

Net sales of materials developed or produced for distribution by other companies

Shares of sales income from joint ventures

Net income from database services

Exclude: Sales by foreign divisions, subsidiaries and distributors

Royalty and subsidiary rights income

Commissions or fees for services (such as fulfillment) provided for other publishers - with the exception of fees charged to publishers by developers which are to be included

Consigned inventory

Charges for sales tax, transportation, handling and other services

Eligible Products

Net sales of the following items should be included:

• Books and printed materials, regardless of length, content, binding or cover type, (exclude magazines, except student and teacher periodicals, as noted below.)

• Scholarly or professional primary journals. (Defined for dues purposes as a periodical in which research reports appear for the first time. Content is geared to a professional, technical or scholarly audience and is subject to peer review. Magazines such as Time and Business Week are not included in this category.) Include subscription and related revenues but not advertising revenues.

• Standardized tests. (Exclude scoring services.)

• Periodicals and magazines for students and teachers. (Exclude advertising revenues.)

• Maps

• Databases

• Subscription reference books (encyclopedias and yearbooks) sold to consumers, libraries and educational institutions. (Exclude home field sales.)

• Electronic media products -- published and or delivered in any electronic format. Includes all the products noted above that are also published and or delivered in an electronic form.

ASSIGNING SALES TO PRODUCT / MARKET AREAS

Eligible domestic and international revenues should be listed on the questionnaire next to the product/market area that represents the market for which the products originally were created or in which they were predominantly sold (50% or more of total sales). Use the following guidelines.

Products Markets Product/Market Area

Please contact Gail Kump at gkump@publishers.org or (212) 255-1041 for the dues scale and to receive the Dues & Assessments Form.