SPECIAL UPDATE

FEDERAL COURT DECIDES LICENSE FEES TO BE PAID TO ASCAP
BY AOL, REALNETWORKS AND YAHOO!

The United States District Court for the Southern District of New York
today made public a decision in the proceeding to determine reasonable
license fees to be paid to the American Society of Composers, Authors and
Publishers (ASCAP) by AOL (Time Warner Inc.) , RealNetworks Inc., and
Yahoo! Inc. for their online performance of musical works.

The decision covers license fees for periods starting as far back as July
1, 2002, and continuing through December 31, 2009, for the performance of
musical works in the ASCAP repertory by AOL, RealNetworks and Yahoo! Based
on the formula established by the Court, the total payments to be made to
ASCAP and its membership by these three services for that full period
could reach $100 million.

Read the entire story and download the court decision here:

http://www.filmmusicmag.com/?p=1036

Digital Music News indicated that BMI had
already had an agreement with these companies. That seems consistent with
notes we've compared in the past of your having been paid by BMI for plays
on Rhapsody while I've never gotten any payments from ASCAP for my plays
there, when both cases should be 100% surveying to make even small numbers
of plays end up in micropayments.