[N.B.C trade releases]. (1955)

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TRADE NEWS December 2 , 1955 M. ,** NBC’S "PEP" PLAN IN FIRST FOUR WEEKS PRODUCES UNPRECEDENTED GAIN IN ORDERS FOR STATIONS IN GROUP Advertisers Benefit by Dividends of 50 to 100 $ -X' K Within the first four weeks of its operation, NBC’s Program Extension Plan ("PEP") has produced an unprecedented increase in orders for the stations included in the PEP group, it was announced today by George H. Frey, Vice President in charge of Television Network Sales for the National Broadcasting Company, with 21 different advertisers ordering these stations for 19 different network programs. Under PEP, which became effective Nov. 1, 1955* an initial group of 44 stations affiliated with the NBC television network in smaller markets was made available to network advertisers at substan¬ tial savings in cost, without any reduction in the stations’ rates, or in the stations' compensation from the network. Under the plan, which operates on a "dividend" basis, NBC advertisers using PEP stations whose rates total a designated amount may extend their lineups to include additional PEP stations without charge. The "dividends" are scaled from 50$ to 100$, depending on the number of PEP stations used. The plan was designed to make sponsored network programs available to more stations and more of the national (more) PRESS DEPARTMENT, NATIONAL BROADCASTING COMPANY, 30 ROCKEFELLER PLAZA, NEW YORK 2 0, NEW YORK