ANDAC The American Newspaper Digital Access Corporation

1. ANDACThe American Newspaper Digital Access Corporation

2. What is ANDAC? • The American Newspaper Digital Access Corporation (ANDAC) is a for-profit company controlled by the newspaper industry

3. Why was ANDAC formed? • Newspapers are being assaulted on multiple fronts Web content is being stolen and resold Public notice advertising is at risk Ad services are spending too much member money on tear sheeting

4. Why was ANDAC formed? • Publishers from three Midwestern states asked their associations for help • Task Force formed to explore options • Business plan created to address challenges and opportunities created by the Internet • Incorporation complete

5. ANDAC’s Vision • ANDAC’s vision is to help newspapers control their destiny going forward in the digital world • It plans to do this by leveraging the power of working together for a common goal and staying accountable to the newspapers that own the company

6. How will ANDAC work? • ANDAC will not compete directly with existing vendors, but will offer vendors the opportunity to partner with ANDAC • Win-win-win scenario created for newspapers, associations and vendors

7. Who are ANDAC’s customers? • Newspapers • Press Associations • General Public

8. Newspapers • Newspapers subscribe for low fee • Services should make or save more than the subscription fee • Publishers choose from a service menu • Content protection and/or resale • Electronic archiving • Electronic tearsheeting

9. Newspapers • Why is content protection needed? • Founders amazed at extent of theft • Need a solution to protect unauthorized reuse of content or to provide for payment to newspaper for authorized reuse

10. Newspapers • ANDAC provides a new archiving option • Many archivers now resell content • ANDAC will only resell content if newspaper agrees and receives payment • Unlike other archivers, ANDAC prices set by its newspaper owners

11. Newspapers • Tearsheeting service also provided • Electronic • Time and money saver

12. Newspapers • Services sold ala carte to subscribers • All will receive ANDAC Digital Journal • All will have members only website access

13. Press Associations • State press association boards face two common challenges • How to help member newspapers cope with new challenges from the Internet and turn them into opportunities • How to finance such efforts on limited budgets

14. Press Associations • State press associations lack the individual resources to adequately address these challenges • ANDAC provides a way for state press associations to pool their resources to create solutions for their member newspapers

15. Press Associations • Public notice advertising is threatened everywhere • Cities, schools, counties and states pushing government websites rather than print • One proven tool to help: A public notice website that contains 100% of all public notices within days of publication • This adds value to printed notices

16. Press Associations • Many states now have public notice websites • Most rely on member newspapers to voluntarily upload notices • This leads to uneven and incomplete content on the website • Some newspapers unable to do uploading

17. Press Associations • Public notice websites without 100% of all notices can do more harm than good • If any legislator cannot find his area’s notices in a timely fashion, the association’s website credibility is damaged

18. Press Associations • ANDAC provides a 100% solution • 100% of all notices in state posted within days of print publication • No uploading required from any member newspaper at any time

19. Press Associations • A handful of state press associations now protect their member newspapers with 100% solution public notice websites • But it is very expensive • These press associations will save money with the ANDAC solution • Other associations will be able to afford 100% solution because of ANDAC’s price

20. Press Associations • Ad service tearsheeting costs too high • Payment to member papers too slow • ANDAC’s tearsheeting service will streamline this labor-intensive process • Ad services can bill advertisers sooner • Ad services can pay member newspapers sooner

21. Press Associations • Electronic tearsheeting will save $$$ • Savings can be used to reinvest in the advertising sales effort • More/better sales staff • Promotion • Research • Travel

22. Press Associations • What’s the cost to press associations? • Press associations can choose from ANDAC’s service menu • Public notice website • Electronic tearsheeting • Helping member newspapers resell content (with a royalty paid to the association and newspaper)

23. Press Associations • What’s the cost to press associations? • RFP’s to vendors will determine the cost of each service • Cost will be same or less than current market prices with better product quality

24. Press Associations • How does ANDAC provide all these superior services at lower cost? • That’s where state press associations come in!

25. Press Associations • Most press associations now require newspaper members to mail multiple copies of each issue to the association. They are used for… • Advertising tearsheeting • Scanning public notices to state’s website • Reselling content by clipping bureau with payment back to press association and individual newspapers

26. Press Associations • To participate in ANDAC, state press associations will provide digital copies of each member’s paper. These copies will be used the same way as the printed copies received now. • Tearsheeting • Public notice website • Resale of content with payment to press associations and newspapers

27. Press Associations • Digital files will greatly reduce costs • Scanning labor • Handling • Mailing

28. Press Associations • Digital files will greatly increase efficiencies • This will result in quicker delivery of a superior service at a lower cost

29. Press Associations • Submitting digital rather than printed copies to state associations has already begun in several states • Since publishers own and control state associations they can be sure their content will be used only for its contractually intended purposes

30. General Public • Publishers who choose to do so can make additional money allowing ANDAC to sell content for them • Revenue split to newspaper, state press association and vendor

31. ANDAC Timeline • A business plan has been approved • An organizational board has been named • A President has been hired • Articles of Incorporation have been filed • RFP’s have been sent to vendors • Operational before end of 2010

32. ANDAC Ownership • ANDAC is a for-profit company controlled by its owner/customers: • Newspapers • Newspaper associations

33. ANDAC Ownership • Stock is now for sale to any newspaper, or newspaper association • $1 per share • Contact President and CEO Bob Kasabian for details

34. ANDAC Vision • ANDAC’s vision is to help newspapers control their destiny going forward in the digital world • We plan to do this by leveraging the power of working together for a common goal and staying accountable to the newspapers that own the company

35. ANDAC It’s time we unite to do something to control our future. Come join us!