 John Fairfax Holdings Limited ACN 008 663 161 |
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FAIRFAX'S PROPOSED CONTRACT SYSTEM FOR NEWSAGENTS - EXPLANATORY LETTER TO AGENTS Dear Newsagent, As you are aware, on 18 November last year the Australian Competition Tribunal delivered a decision which required changes to the present newsagency system. In order to comply with the Tribunal’s decision Fairfax has developed a new framework for the distribution of Fairfax publications. Attached is an outline of Fairfax’s proposed contract system. This outline has been presented to the ANF annual conference and we believe it is important for every newsagent to have access to the same information. Our aim is to develop contracts based on the best elements of the current authorised system while making appropriate amendments to comply with last year’s tribunal decision. We believe we have developed, with much help from the industry, a system which acknowledges we need you to grow your business so we can grow ours. This is a responsive and constructive proposal that is meant to advance our mutual interests. It incorporates all existing operators, existing territories, a reasonable and commercial contract term, and a moratorium on changes to commissions to newsagents followed by a performance-based system based around existing commissions. Good operators who improve volumes may have the opportunity to earn more than they do today. We need an industry-generated system which is simple to understand, introduce and administer rather than a system imposed by legislation. The constitutionality of any legislation is likely to be challenged by some parties and be tied up in unproductive litigation for years. This course would be in no-one’s interest. We are briefing boards of newsagents’ associations and holding meetings to explain our plan. We expect to forward you further details including commissions shortly. We have set up an internet site which will include updated information and answers to frequently asked questions. It’s at www.fairfax.com.au and click on corporate announcements.[You are there now] We are interested in your feedback via email to newsagentderegulation@mail.fairfax.com.au or via typed faxes to (03) 9601 2071 or (02) 9282 3520. Please include your name, shop address and contact details. We believe our proposal gives certainty while also offering greater opportunity to newsagents who may wish to grow and/or specialise. We commend the proposal to you. Robert Whitehead |
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Fairfax > Corporate Affairs & Media Releases > Announcements > PROPOSED CONTRACT SYSTEM FOR NEWSAGENTS-EXPLANATORY LETTER
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