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DA 99640 ă  {yx+ dddhy  bDx(#G\  P6G;P#News media information 202/4180500 FaxOnDemand 202/4182830 Internet: http://www.fcc.gov ftp.fcc.gov  V#2#Xj\  P6G;|XP#  R 2#XP PT6Q dXP#3&Y# &I PT6QA&P#3 F CABLE SERVICES BUREAU ACTION ă`q(# April 1, 1999 ă  R 2 pFOURTH QUARTER 1998 INFLATION ADJUSTMENT FIGURE FOR CABLE OPERATORS USING FCC FORM 1240 NOW AVAILABLE  R2   bAs described in the instructions for FCC Form 1240, cable operators may adjust the non xXexternal cost portion of their rates for inflation based on quarterly figures released by the  xCommission. The Fourth Quarter 1998 Inflation Factor for operators using FCC Form 1240 is  R&20.78%.   lThe adjustment factor of 0.78% is a measure of the annualized change in prices occurring  xover the period from October 1, 1998 to December 31, 1998. The factor is based on the changes  xvin the quarterly Gross National Product Price Index (GNPPI) published by the Bureau of  xfEconomic Analysis (BEA) of the United States Department of Commerce. The indexes used  R2 xwere the Gross National Product: Chaintype price indexes for the third quarter 1998 and the  xtfourth quarter 1998. These indexes were obtained from Table 5 of the BEA news release dated March 31, 1999 (BEA 9908).   XThe inflation adjustment factor is calculated by taking the GNPPI from the fourth quarter  x`of 1998 (113.01) and dividing by the GNPPI for the third quarter of 1998 (112.79). The result  xLof 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  x8portion of the fourth quarter of 1998 should enter the inflation factor on the appropriate lines of  x>Worksheet 1 of FCC Form 1240 as "0.0078." Operators using this factor for calculating the  x 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 "1.0078." Z$,,,#e@d;[!e,L9=\Q+ '#: p+ ho  xTo date, the Commission has released fourteen quarterly inflation factors for use with FCC Form 1240. The following table lists these factors:  R2 Year ` ` Quarter hhhDates Covered ppXInflation Factor  R21995` ` Third ,hhhJul. 1, 1995 Sep. 30, 1995  2.22%  Rv21995` ` Fourth ,` hhhOct. 1, 1995 Dec. 31, 1995  2.22%(#  R_2 1996` ` First ,hhhJan. 1, 1996 Mar. 31, 1996  2.39%  RH21996` ` Second hhhApr. 1, 1996 Jun. 30, 1996  2.22%  R121996` ` Third ,hhhJul. 1, 1996 Sep. 30, 1996  2.21%  R 21996` ` Fourth ,hhhOct. 1, 1996 Dec. 31, 1996  1.83%(#  R 21997` ` First ,hhhJan. 1, 1997 Mar. 31, 1997  2.70%(#  R 21997` ` SecondhhhApr. 1, 1997 Jun. 30, 1997  1.77%  R 21997` ` Third ,hhhJul. 1, 1997 Sep. 30, 1997  1.43%(#  R 21997` ` Fourth ,hhhOct. 1, 1997 Dec. 31, 1997p  1.43%(#   R 21998` ` First ,hhhJan. 1, 1998 Mar. 31, 1998  1.14%(#  R21998` ` SecondhhhApr. 1, 1998 Jun. 30, 1998  0.82%  Ry21998` ` Third ,hhhJul. 1, 1998 Sep. 30, 1998  1.00%(#  Rb21998` ` Fourth ,hhhOct. 1, 1998 Dec. 31, 1998p  0.78%(#   xThe Commission releases a new quarterly inflation factor for operators using FCC Form 1240  xfour times each year. The inflation factor for a given quarter is usually released between three  x and four months after the end of the quarter, depending on the schedule of the Department of  xCommerce. 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  R 2FCC# &a\  P6G;*K&P#у #&a\  P6G;*K&P#