To: Owners, Managers, G.M.’s of all Radio Stations, TV Stations, Theaters, Nightclubs, Hotels, Health Centers, Retail facilities, Skating and Bowling centers, private clubs, and interested parties

Re: SESAC, BMI, ASCAP, RIAA fees

Due to the ever-increasing rates being charged by BMI, ASCAP, and SESAC, and the attitude, intimidation, and threats of these organizations, KTOZ-AM-1060, Springfield, MO. (KTOZAM.com), is spearheading a grass roots campaign to bring these injustices to the notice of the American public.

We agree that composers and publishers should be paid for their work, but that is not occurring, according to the ones that we have had discussions with.

It appears that most of the money does not go to them. It seems as though a very small percentage goes to only certain ones!

As all of you know, we have to pay copyright fees to use copyrighted music. I do not have a problem with this. What I do have a problem with, and it seems a number of other people and businesses do also, is the unlevel playing field, the gouging, and the seemingly greed of these organizations.

How to solve the problem so that it becomes fair and equitable to all?

The only way to do it, considering that these organizations do not desire to act in a fair and business-like manner, is for all of us to band together. If we stand united, we can get fair fees and treatment.

There have been several suggestions on how to handle this.

If you have any ideas, suggestions or comments, please contact:

Radio Music License Committee
444 Madison Ave. 10th Floor
New York, N.Y. 10022
(212) 838-2637
E-mail: Keith@radiomlc.com

KTOZ
610 W. College
Springfield, MO 65806
Phone # (417) 832-1060
E-mail: KTOZAM@pcis.net

The Abyss 214 W. McDaniel
Springfield, MO 65806
Phone: (417) 831-5112
William Thomas

I have been working with Keith Meehan of the RMLC, and he has offered to meet with a group of us in the very near future. Keith will come to Springfield, and other cities with a good turnout.

Several of us feel that the time has come for us to unite and stand up and fight for fairness.

We at KTOZ-AM are willing to spearhead this, no matter what it takes. As some of you know, we are willing to fight for our rights. (See web page: www.ktozam.com ) (DOL investigation)

We would appreciate hearing from you quickly, as some action is needed NOW.

Sincerely,

R. R. Johnson
G. M. ­volunteer

P. S. If you are a talk radio station and would like to do a telephone interview with Keith Meehan (RMLC Executive Director) phone # (212) 838-2637 or R. R. Johnson (KTOZAM volunteer G.M.) phone # (417) 832-1060, give either one a call.

Also, we are getting a lot of positive response from other stations, etc.

12/09/01 More & more responses are coming telling of the escapades of these people. All wanting to be part of this. If you want some reading & information, check out the following:

Bowie & Jensen, LLC

Vandor

MORE TO COME STAY TUNED

12/11/01 The suggestion has been made that a new licensing agency be put together to treat composers, publishers, and USERS fairly, reasonably, and honestly. Any thoughts?

All (100%) of responses have been for this, and getting this matter resolved. There is other information that you should know about, but we hesitate to put it in an e-mail as the information would be to your advantage and not theirs.

We suggest that you contact Keith Meehan at the RMLC and get on board.

12/18/01 As of Friday, 12-14-01, a few of the large radio groups signed an agreement with the RIAA. That means the RIAA wants MONEY from us. How can they do this on behalf of the radio business? They didn’t consult us.

Also: see letters below that were sent to John Ashcroft and Hilary Rosen

The Honorable John Ashcroft, Attorney General

Re: BMI, SESAC, ASCAP, RIAA

Sir:

We know that your time is valuable and busy now. The situation in the United States is important and needs to be taken care of. We applaud your efforts.

But, as President Bush wants the United States to get on with our lives do business, we would like you to know about some business practices of some organizations that need to be investigated, as they are hurting business in the United States thru their greed.

The organizations that we are speaking of are: BMI, SESAC, ASCAP, and the RIAA.

Under the copyright law, they have figured out a way with attorneys to legally steal money from Radio stations and literally every business in the United States in order to fill their pockets.

I will explain:

A. Their interpretation of "a" performance:
A song played on the air by a station; 1 performance
Same song, same time on Internet by same station: 1 performance
Same song, same time in a doctor's office: 1 performance
Same song, same time in 20 Retail stores: 20 performance
Same song, same time in 10 Restaurants: 10 performance
This totals 33, and that is how many performances they consider it. As you can see, this seems to be legalized thievery.

B. Now, to our (KTOZ-AM) own situation with them: We are an all music station, and we have over 150,000 songs in our library. The breakdown % wise relating to each organization is as follows:

Approx. 80% are licensed by ASCAP
Approx. 15% are licensed by BMI
Approx. 5% are licensed by SESAC

Their minimum annual fee for us is:

ASCAP $450.00
BMI $505.00
SECAC $1,020.00
These figures will be different for every station, but the same problem exists.

C. As you can see, things are out of proportion. If we are to pay our fair share and pay for what we use or receive, as is the way business is transacted in the United States, we should be paying:

ASCAP $450.00 annually
BMI $84.45 annually
SESAC $28.15 annually

D. Their method of operations is one of intimidation, threats, extortionist-like means, lawsuits, etc.

E. There seems to be, from our inquiries and investigation of a number of composers that have never received a cent from these organizations. The money seems to go for glitzy brochures, parties, banquets, high salaries, expensive office space, and attorneys. Very little goes to composers, no matter what they state. Then it only goes to a select few. I personally know of several composers that we play their music all the time, and they have not received any compensation.

F. If you request a catalog of their songs, they do not have one. They want you to go to the Internet to their site and look them up. Their sites are not easily used. ?? If we were to look up every song on their sites, it would take 1 person full time 2 1/2 - 3 years to accomplish. SESAC will send you a catalog with Publishers and Composers, but does not list by song title.

The problem with this is that 80-90% of record or C.D. labels do not list composers or publishers. So, it seems that they want to make it hard for us, so that we will just give up and PAY what they demand.

We are asking for an investigation into these organizations and their method of doing business (threats, intimidation, lawsuits, etc.), as they are legally (by their interpretation), conning everyone.

As I have stated before, we believe the composers and publishers should be paid. All we, and every business in the U.S. that listens to music, want is a level playing field and fair rates and treatment.

As has been suggested before, these organizations should be broken-up (re: Microsoft), and one organization overseeing, collecting, and paying copyright fees. None of the people associated directly or indirectly with any of these organizations should be allowed to have any part of a fair, clean, and honest licensing authority.

I await an answer from you and this matter being investigated after the first of the year.

Sincerely,

R.R. Johnson
Volunteer G. M.

Cc: President G. W. Bush
Rep. Roy Blunt
Senator Kit Bond
Senator Jean Carnahan
All major news networks
Local news (printed and electronic)
All radio stations

Hilary Rosen
RIAA
1330 Connecticut Avenue N.W., Suite 300
Washington, D.C. 20036

Ms. Rosen:

This letter is to voice an opinion concerning your licensing royalties toward radio stations who stream their audio on the web.

I think that you have shot yourself and your members in the foot. Most radio stations will PULL their streams from the web. What have you gained?

DON'T YOU REALIZE THAT RADIO STATIONS PLAY YOUR MEMBERS MUSIC, WHICH IN TURN THE PUBLIC BUYS, WHICH IN TURN PROVIDES A PROFIT FOR YOUR MEMBERS, WHICH IN TURN THEY THEN PAY YOU, WHICH IN TURN PROVIDES YOU WITH AN INCOME, WHICH PROVIDES YOU WITH SHELTER, FOOD, COMFORT, ENJOYMENT, ENTERTAINMENT, AND POWER?

I feel that you are going to see and feel an uprising and a lot of heat from radio stations, the NAB, and the general public.

This appears as nothing more than additional greed on the part of RIAA. This smacks of reverse payola. Remember the payola scandal? Maybe it's time for another uproar over payola.

Now, lets get real, rational, and sane. You want paid royalties for recording company artists. FINE!! Turn about is fair play. Radio stations play, promote artists and labels, so not lets start paying us for each and every song, artist, and label that is played or used each and every time. How does that sound? FAIR.

Good!! Please find invoice enclosed for 1996, 1997, 1998, 1999, 2000, 2001, and the upcoming 2002.

Just remember who plays your members' music and pays fees to ASCAP, BMI, and SESAC. We promote a tremendous amount of new recordings from all labels, and our listeners want to know here they may purchase these. We give them all the information.

Radio station personnel that I know agree that you have crossed the line.

When someone or something crosses the line, it is time to correct this injustice. (See www.ktozam.com), (click on DOL investigation)

The entire country was upset with this injustice, and I am sure that they will be with this one by you, as soon as they are made aware of it. We are proud to be part of informing the entire United States of this matter.

I have phoned you several times, but you do not accept these calls, or I am transferred to someone else, or you are not available. The person(s) who answer the phones are also very rude.

I would appreciate an answer and phone call from you, but that is something I do not expect, considering the past history of your office and organization since March 13, 2001.

Stay tuned to radio for the next episode concerning this on-going injustice and saga of greed.

Sincerely,

R.R. Johnson
Volunteer G.M. and CEO
T.E.N. USA, Inc.

Cc: President G. W. Bush
Attorney General John Ashcroft
Rep. Roy Blunt
Senator Kit Bond
Senator Jean Carnahan
All major news networks
Local news (printed and electronic)
All radio stations