ABC clears WSJ Europe over circulation agreement

The Audit Bureau of Circulation has found "no clear evidence" that copies of the Wall Street Journal Europe did not comply with its reporting rules, after the title faced accusations over a circulation arrangement.

In October the WSJ announced that Andrew Langhoff, publisher of the European edition, had resigned after an internal investigation was said to have found that an agreement between the circulation department and the company Executive Learning Partnership had prompted two articles in its special reports section.

However following this announcement the WSJ Europe was accused by the Guardian of also having boosted its circulation figures by effectively buying copies itself, an allegation denied by Dow Jones.

As reported by the Wall Street Journal itself at the time, the publisher came under "scrutiny" over the "alleged deal ... in which the paper sold bulk copies to a consulting firm and simultaneously directed money to the firm for separate services".

But Dow Jones insisted that the agreement with ELP was "legitimate and appropriate" and certified by the Audit Bureau of Circulation. In a statement to the Guardian it added that ELP "was paid for legitimate services rendered".

With concerns raised, ABC launched a review to look at whether the price paid for copies involved in the contract, and reported as Multiple Copy Subscription Sales, met the minimum of one cent (Euro), as required under its reporting standards for international publications.

Today ABC said its review of the arrangements found "no clear evidence that these copies should be regarded as not compliant" with its rules, although it stated that "the payment arrangements underlying this contract were complex and at times circuitous".

The circulation body has also announced a review of its reporting standards for related arrangements "to ensure they fully reflect industry requirements and provide the requisite clarity for all concerned".

In a statement, WSJ said it is "pleased" with ABC's findings.

"The Wall Street Journal Europe has been transparent throughout. The agreement with ELP was shared with the ABC UK at the time, and the relevant copies were previously validated.

"We have already acknowledged publicly that while the copies were properly counted under ABC rules, the program itself was unnecessarily complex and not one we will replicate in the future.

"We appreciate the ABC UK putting aside the misleading and sensationalistic press coverage from some media outlets and conducting a thorough and dispassionate review."

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