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• <br />MOSS & BARNETT <br />A PROFSWIONAL A6 .IATION <br />Mr. Clyde Gouldman <br />Page 9 <br />September 23, 1994 <br />would prefer to <br />detailed below). <br />"CableValue" <br />customize your channel line-up (as <br />If you now receive Economy Service, and you want to <br />continue to receive the same selection of channels at the <br />same price you do not need to do anything. You will <br />notice a change in the itemization of your monthly bill: <br />from now on you will see one line item for Basic Service <br />and a second for "CableValue" (all channels in the <br />"CableSelect 1" category as listed on the attached chart). <br />"CablePlus" -- Your Best Value <br />If you now receive Standard Service, and you want to <br />continue to receive the same selection of channels at the <br />same price, you do not need to do anything. You will <br />notice a change in the itemization of your monthly bill: <br />from now on you will see one line item for Basic Service, <br />a second for "CableValue" (all channels in the <br />"CableSelect 1" category on the attached chart), and a <br />third for "CablePlus" (all channels in the "CableSelect 2" <br />category). <br />Based on the foregoing, it appears Charlottesville subscribers did not <br />have to make any affirmative election to switch from either Economy Service or <br />Standard Service to the new a la carte packages offered by Adelphia. Rather, <br />these subscribers were automatically switched to the new a la carte packages <br />if they did nothing in response to the customer service information. The high <br />subscriber numbers for these new a la carte packages (CableValue equals 24,117 <br />system wide subscribers and CablePlus equals 17,742 system wide subscribers) <br />suggests that this marketing strategy was successful for Adelphia. Since <br />subscribers were not required to make an affirmative election to select the <br />new a la carte packages, Adelphia utilized a negative option in marketing the <br />new a la carte packages. <br />10. The affected programmers object to the restructuring of their <br />services into "a la carte" packages. <br />We have not contacted any of the programmers whose programming was <br />removed from regulated tiers and placed in an a la carte format. However, <br />since the overwhelming majority of subscribers appear to have chosen to <br />purchase the packages Adelphia created in the a la carte format, programmers <br />likely saw little decrease in the number of subscribers who purchased packages <br />which included their programming. <br />