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S'WASHINGTON, D.C. 20554`~(#c DA 991272 ă  y yx) dddhy  aE#G\  P6G;ɐP#News media information 202/4180500 FaxOnDemand 202/4182830 Internet: http://www.fcc.gov ftp.fcc.gov  X!4#Xj\  P6G;XP#  X 4  #&J\  P6Qw&P##XP\  P6QXP#CABLE SERVICES BUREAU ACTION ă`:(#F June 29, 1999 ă  X ' FIRST QUARTER 1999 INFLATION ADJUSTMENT FIGURE vFOR CABLE OPERATORS USING FCC FORM 1240 NOW AVAILABLE  X4  "[As described in the instructions for FCC Form 1240, cable operators may adjust the non xNexternal cost portion of their rates for inflation based on quarterly figures released by the  xRCommission. The First Quarter 1999 Inflation Factor for operators using FCC Form 1240 is 1.60%.  "The adjustment factor of 1.60% is a measure of the annualized change in prices occurring  xVover the period from January 1, 1999 to March 31, 1999. The factor is based on the changes in  xthe quarterly Gross National Product Price Index (GNPPI) published by the Bureau of Economic  xAnalysis (BEA) of the United States Department of Commerce. The indexes used were the  xGross National Product: Chaintype price indexes for the fourth quarter 1998 and the first quarter  x1999. These indexes were obtained from Table 5 of the BEA news release dated June 25, 1999 (BEA 9919).  "The inflation adjustment factor is calculated by taking the GNPPI from the first quarter  xof 1999 (113.46) and dividing by the GNPPI for the fourth quarter of 1998 (113.01). The result  xof 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 TrueUp Period which includes some  xyportion of the first quarter of 1999 should enter the inflation factor on the appropriate lines of  xEWorksheet 1 of FCC Form 1240 as "0.0160." Operators using this factor for calculating the  x8Projected Period Inflation Segment of FCC Form 1240 should enter this number on Line C3 (January, 1996 version), or Line C5 (July, 1996 version), as "1.0160." X$,,,"e@d;[!W1,Lque Olv (W1) (Itali) '#8 C) h(Bold)CG Times (W1  xTo date, the Commission has released fifteen quarterly inflation factors for use with FCC Form 1240. The following table lists these factors:  S' Year ` ` Quarter hhCDates Covered ppInflation Factor  S8'1995` ` Third hhCJul. 1, 1995 Sep. 30, 1995  *2.22%  S'1995` ` Fourth ` Oct. 1, 1995 Dec. 31, 1995pp2.22%(#  S' 1996` ` First hhCJan. 1, 1996 Mar. 31, 19962.39%  S'1996` ` Second hhCApr. 1, 1996 Jun. 30, 19962.22%  S'1996` ` Third hhCJul. 1, 1996 Sep. 30, 1996  *2.21%  Sp'1996` ` Fourth Oct. 1, 1996 Dec. 31, 1996pp1.83%(#  SH '1997` ` First hhCJan. 1, 1997 Mar. 31, 19972.70%(#  S '1997` ` SecondhhCApr. 1, 1997 Jun. 30, 19971.77%  S '1997` ` Third hhCJul. 1, 1997 Sep. 30, 1997h  *1.43%(#   S '1997` ` Fourth Oct. 1, 1997 Dec. 31, 1997pp1.43%(#p  S '1998` ` First hhCJan. 1, 1998 Mar. 31, 19981.14%(#  S '1998` ` SecondhhCApr. 1, 1998 Jun. 30, 19980.82%  SX'1998` ` Third hhCJul. 1, 1998 Sep. 30, 1998h  *1.00%(#   S0'1998` ` Fourth Oct. 1, 1998 Dec. 31, 1998pp0.78%(#p  S'1999` ` First hhCJan. 1, 1999 Mar. 31, 19991.60%(#  x*The Commission releases a new quarterly inflation factor for operators using FCC Form 1240 four times  xxeach year. The inflation factor for a given quarter is usually released between three and four months after  x^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/Bureaus/Cable/WWW/csb.html. Media Contact: Morgan Broman at (202) 4182358 Cable Services Bureau Contact: Patrick Boateng at (202) 4182370 TTY: (202) 4187172  S'qFCC#&a\  P6G;w&P#у  S'#&a\  P6G;w&P#