Arbitron Settles Ratings Suit

Arbitron Inc. will pay $260,000 and overhaul its new electronic radio-ratings system in New York to resolve allegations the system undercounted minority listeners, New York Attorney General Andrew Cuomo said. He said the agreement will resolve a suit his office filed against the New York media and marketing company over its Portable People Meter system, or PPM, in state court in October. Cuomo had claimed the rating system doesn't adequately measure minority listeners and might reduce ad revenue drastically at minority radio stations. As part of the deal, Arbitron will increase its recruitment of individuals who only use cellphones and ensure that a higher proportion of panelists across racial demographics successfully operate the PPM system. The company also will contribute $100,000 to the National Association of Black Owned Broadcasters and the Spanish Radio Association to support minority radio and fund an ad campaign of at least $25,000 to promote minority radio.