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INFLATION ADJUSTMENT FIGURES FOR CABLE OPERATORS USING FCC FORMS 1210 AND 1240 NOW AVAILABLE

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Released: October 27, 2009

PUBLIC NOTICE

Federal Communications Commission

News Media Information 202 / 418-0500

445 12th St., S.W.

Internet: http://www.fcc.gov

Washington, D.C. 20554

TTY: 1-888-835-5322

DA 09-2152

October 1, 2009

MEDIA BUREAU ACTION


INFLATION ADJUSTMENT FIGURES FOR CABLE OPERATORS

USING FCC FORMS 1210 AND 1240 NOW AVAILABLE

Pursuant to 47 C.F.R. 76.922(d)(2) and 76.922(e)(2) of the Commission's rules, cable operators may
adjust the non-external cost portion of their rates for inflation. Operators filing FCC Form 1210 may
make an annual adjustment based on inflation occurring from June 30 of the previous year to June 30 of
the year in which the inflation adjustment is made. Operators filing FCC Form 1240 may make an
adjustment based on quarterly figures. All adjustments are based on changes in the Gross National
Product Price Index (GNP-PI) as published by the United States Department of Commerce, Bureau of
Economic Analysis (BEA). The Media Bureau obtained the chain-type price indexes from the BEA news
release dated September 30, 2009 (BEA 09-43) at Table 6 (Addenda: Gross National Product).

FCC Form 1210

The inflation factor for the twelve months ended June 30, 2009 is 1.0146. Operators that wish to take
this year's inflation adjustment using FCC Form 1210 should enter the figure "1.0146" on Lines I5 and J5
of the form. This year's inflation adjustment factor is calculated by dividing second quarter 2009 GNP-PI
(109.648) by the second quarter 2008 GNP-PI (108.067). Operators may take this year's inflation
adjustment between October 1, 2009 and August 31, 2010.

FCC Form 1240

The second quarter of 2009 inflation factor for operators using FCC Form 1240 is 1.0000. The inflation
adjustment factor is calculated by dividing the GNP-PI for the second quarter of 2009 (109.648) by the
GNP-PI for the first quarter of 2009 (109.647). The result of this calculation is converted from a
quarterly change measurement factor to an annual change measurement factor by raising it to the fourth
power.
Operators calculating the Inflation Factor for a True-Up Period which includes some portion of the
second quarter of 2009 should enter the inflation factor on the appropriate lines of Worksheet 1 of FCC
Form 1240 as "0.0000". Operators using this factor for calculating the Projected Period Inflation
Segment of FCC Form 1240 should enter this number on Line C3 (January 1996 version), or Line C5
(July 1996 version) as "1.0000".

To date, the Commission has released fifty-six quarterly inflation factors for use with FCC Form 1240. The
following table lists these factors:1

Year Quarter Dates Covered Inflation Factor

2002
First
Jan. 1, 2002 Mar. 31, 2002
1.21%
2002
Second
Apr. 1, 2002 Jun. 30, 2002
1.24%
2002 Third Jul. 1, 2002 Sep. 30, 2002
1.02%
2002
Fourth
Oct. 1, 2002 Dec. 31, 2002
1.78%
2003
First
Jan. 1, 2003 Mar. 31, 2003
2.39%
2003
Second
Apr. 1, 2003 Jun. 30, 2003
1.00%
2003
Third
Jul. 1, 2003 Sep. 30, 2003
1.66%
2003
Fourth
Oct. 1, 2003 Dec. 31, 2003
1.50%
2004
First
Jan. 1, 2004 Mar. 31, 2004
2.84%
2004
Second
Apr. 1, 2004 Jun. 30, 2004
3.23%
2004
Third
Jul. 1, 2004 Sep. 30, 2004
1.43%
2004
Fourth
Oct. 1, 2004 Dec. 31, 2004
2.26%
2005
First
Jan.1, 2005 Mar. 31, 2005
2.89%
2005
Second
Apr. 1, 2005 Jun. 30, 2005
2.57%
2005
Third
Jul. 1, 2005 Sep. 30, 2005
3.31%
2005
Fourth
Oct. 1, 2005 Dec. 31, 2005
3.47%
2006
First
Jan. 1, 2006 Mar. 31, 2006
3.12%
2006
Second
Apr. 1, 2006 Jun. 30, 2006
3.31%
2006 Third July 1, 2006 Sep. 30, 2006 1.89%
2006 Fourth Oct. 1, 2006 Dec. 31, 2006
1.67%
2007 First Jan. 1, 2007 Mar. 31, 2007 4.17%
2007 Second Apr. 1, 2007 Jun. 30, 2007 2.65%
2007
Third
Jul. 1, 2007 Sep.. 30, 2007
1.03%
2007
Fourth
Oct. 1, 2007 Dec. 31, 2007
2.45%
2008 First
Jan. 1, 2008 Mar. 31, 2008
2.68%
2008 Second
Apr. 1, 2008 Jun. 30, 2008
1.11%
2008
Third Jul. 1, 2008 Sep. 30, 2008 3.92%
2008 ________Fourth______________ _Oct. 1, 2008 Dec. 31, 2008________ __0.55%
2009 First
Jan. 1, 2009 Mar. 31, 2009 2.76%
2009 Second Apr. 1, 2009 Jun. 30, 2009 0.00%
The Commission releases a new quarterly inflation factor for operators using FCC Form 1240 four times each
year. The inflation factor for a given quarter is usually released between three and four months after the end
of the quarter, depending on the schedule of the Department of Commerce. The release of a new factor is
posted on the Commission's Internet site at: http://www.fcc.gov/mb/csinflat.html.
Media Contact: Janice Wise at (202) 418-8165
Media Bureau Contact: Jane Frenette at (202) 418-2245
TTY: (202) 418-0432 or 1 (888) 835-5322
- FCC -


1 For pre-2001 inflation figures see DA 06-1987 (rel. October 5, 2006) available at
http://www.fcc.gov/mb/csinflat.html.

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