[Federal Register Volume 73, Number 235 (Friday, December 5, 2008)]
[Notices]
[Pages 74172-74175]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-28848]


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FEDERAL TRADE COMMISSION


Agency Information Collection Activities; Submission for OMB 
Review; Comment Request

AGENCY: Federal Trade Commission (``FTC'' or ``Commission'').

ACTION: Notice.

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SUMMARY: The information collection requirements described below will 
be submitted to the Office of Management and Budget (``OMB'') for 
review, as required by the Paperwork Reduction Act (``PRA''). The 
Commission is seeking public comments on its proposal to conduct 
consumer research on parental use of the Motion Picture Association of 
America (``MPAA'') movie rating information as it appears on DVD 
packaging for home video releases of rated motion pictures. The 
Commission is also seeking comment on a related proposal to conduct 
consumer research on parental attitudes toward the marketing of unrated 
DVD versions of rated motion pictures. To examine both issues, the 
Commission intends to conduct surveys of parents who have one or more 
children ages 7 to 16, and who have bought or rented a movie on DVD 
within the past year.

DATES: Comments must be filed by January 5, 2009.

ADDRESSES: Interested parties are invited to submit written comments.

[[Page 74173]]

Comments should refer to ``DVD Rating Symbol Study: FTC Matter No. 
P994511,'' to facilitate the organization of comments. Please note that 
comments will be placed on the public record of this proceeding--
including on the publicly accessible FTC website, at (http://www.ftc.gov/os/publiccomments.shtm)--and therefore should not include 
any sensitive or confidential information. In particular, comments 
should not include any sensitive personal information, such as an 
individual's Social Security Number; date of birth; driver's license 
number or other state identification number, or foreign country 
equivalent; passport number; financial account number; or credit or 
debit card number. Comments also should not include any sensitive 
health information, such as medical records or other individually 
identifiable health information. In addition, comments should not 
include any ``[t]rade secrets and commercial or financial information 
obtained from a person and privileged or confidential. . . .,'' as 
provided in Section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 
4.10(a)(2), 16 CFR 4.10(a)(2). Comments containing material for which 
confidential treatment is requested must be filed in paper form, must 
be clearly labeled ``Confidential,'' and must comply with FTC Rule 
4.9(c).\1\
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    \1\ FTC Rule 4.2(d), 16 CFR 4.2(d). The comment must be 
accompanied by an explicit request for confidential treatment, 
including the factual and legal basis for the request, and must 
identify the specific portions of the comment to be withheld from 
the public record. The request will be granted or denied by the 
Commission's General Counsel, consistent with applicable law and the 
public interest. See FTC Rule 4.9(c), 16 CFR 4.9(c).
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    Because paper mail addressed to the FTC is subject to delay due to 
heightened security screening, please consider submitting your comments 
in electronic form. Comments filed in electronic form should be 
submitted by using the following weblink: (https://secure.commentworks.com/ftc-DVDRatingStudy) (and following the 
instructions on the web-based form). To ensure that the Commission 
considers an electronic comment, you must file it on the web-based form 
at the weblink : (https://secure.commentworks.com/ftc-DVDRatingStudy). 
If this Notice appears at (http://www.regulations.gov/search/index.jsp), you may also file an electronic comment through that 
website. The Commission will consider all comments that regulations.gov 
forwards to it. You may also visit the FTC website at http://www.ftc.gov to read the Notice and the news release describing it.
    A comment filed in paper form should include the reference ``DVD 
Rating Symbol Study: FTC Matter No. P994511'' both in the text and on 
the envelope, and should be mailed or delivered to the following 
address: Federal Trade Commission, Office of the Secretary, Room H-135 
(Annex J), 600 Pennsylvania Avenue, NW, Washington, DC 20580. The FTC 
is requesting that any comment filed in paper form be sent by courier 
or overnight service, if possible, because U.S. postal mail in the 
Washington area and at the Commission is subject to delay due to 
heightened security precautions.
    All comments should additionally be submitted to: Office of 
Information and Regulatory Affairs of OMB, Attention: Desk Officer for 
the Federal Trade Commission. Comments should be submitted via 
facsimile to (202) 395-6974 because U.S. Postal Mail is subject to 
lengthy delays due to heightened security precautions.
    The FTC Act and other laws the Commission administers permit the 
collection of public comments to consider and use in this proceeding as 
appropriate. All timely and responsive public comments will be 
considered by the Commission and will be available to the public on the 
FTC website, to the extent practicable, at www.ftc.gov. As a matter of 
discretion, the FTC makes every effort to remove home contact 
information for individuals from the public comments it receives before 
placing those comments on the FTC website. More information, including 
routine uses permitted by the Privacy Act, may be found in the FTC's 
privacy policy at (http://www.ftc.gov/ftc/privacy.shtm).

FOR FURTHER INFORMATION CONTACT: Requests for additional information 
should be addressed to Michelle K. Rusk (202) 326-3148, or Keith R. 
Fentonmiller (202) 326-2775, Attorneys, Division of Advertising 
Practices, Bureau of Consumer Protection, Federal Trade Commission, 600 
Pennsylvania Avenue, N.W., Washington, DC 20580.

SUPPLEMENTARY INFORMATION: On June 5, 2008, the Commission sought 
comment on the information collection requirements associated with the 
instant study.\2\ No comments were received. Pursuant to the OMB 
regulations, 5 CFR Part 1320, that implement the PRA, 44 U.S.C. 3501-
3521, the Commission is providing this second opportunity for public 
comment. All comments should be filed as prescribed in the ADDRESSES 
section above, and must be received on or before January 5, 2009.
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    \2\ 73 FR 32026.
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    In September 2000, the Commission issued a report requested by the 
President and the Congress entitled, ``Marketing Violent Entertainment 
to Children: A Review of Self-Regulation and Industry Practices in the 
Motion Picture, Music Recording & Electronic Game Industries'' 
(hereafter ``2000 Report'').\3\ That report found that the 
entertainment industry had engaged in widespread marketing of violent 
movies, video games, and music to children in a manner that was 
inconsistent with the industry's own rating systems and that undermined 
parents' attempts to make informed decisions about their children's 
exposure to violent content. Beginning with its 2000 Report, the 
Commission has made a series of specific recommendations to the 
industry regarding the disclosure of rating information, placement of 
advertising in media popular with children, and other aspects of 
marketing violent entertainment to children. The Commission has now 
issued five follow-up reports on the industry's progress toward 
implementing those recommendations.\4\
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    \3\ Available at (http://www.ftc.gov/bcp/conline/edcams/ratings/reports.htm).
    \4\ The follow-up reports were issued in April 2001, December 
2001, June 2002, July 2004, and April 2007. They are available at 
(http://www.ftc.gov/bcp/conline/edcams/ratings/reports.htm).
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    As one aspect of its ongoing monitoring, the Commission has 
examined the disclosure of MPAA ratings and rating reasons on DVD 
packaging for home video releases of MPAA-rated motion pictures. The 
MPAA Advertising Handbook requires that ``all packaging of rated home 
video releases must carry the rating of the motion picture and the 
rating reasons,'' and that ``the rating symbol and specific rating 
reasons must be clearly and legibly displayed.''\5\ The MPAA 
Advertising Handbook does not specify the location, size, or other 
aspects of how the rating information must be displayed. To assess 
compliance with MPAA requirements, the Commission looked at a sample of 
packaging for 12 movies on DVD as part of its June 2002 Report. The 
Commission found that all of the DVDs displayed the ratings and rating 
reasons, but that the small size, inconsistent positioning on the back 
of the package, and poor contrast made the

[[Page 74174]]

rating information less noticeable.\6\ The Commission recommended that 
the industry improve the disclosure of rating information to ensure 
that it was effectively and clearly communicated on product 
packaging.\7\ Subsequently, in its July 2004 Report, the Commission 
again noted that the movie industry typically places the movie's rating 
and rating reasons on the back of the DVD packaging and recommended 
that all of the rating information be placed prominently on the front 
of the packaging to make it more visible for parents and children and 
to assist retail store clerks in enforcing policies against selling R-
rated DVDs to children.\8\ The Commission renewed this recommendation 
in its April 2007 Report.\9\
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    \5\ 2006 MPAA Advertising Handbook at 38 (on file with Federal 
Trade Commission staff).
    \6\ June 2002 Report at 10-11, available at (http://www.ftc.gov/bcp/conline/edcams/ratings/reports.htm).
    \7\ Id.
    \8\ July 2004 Report at 29, available at (http://www.ftc.gov/bcp/conline/edcams/ratings/reports.htm).
    \9\ April 2007 Report at 32, available at (http://www.ftc.gov/bcp/conline/edcams/ratings/reports.htm).
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    In the April 2007 Report, the Commission also reviewed, for the 
first time, the movie industry's practice of releasing unrated DVD 
versions of movies that were rated R when they were first released in 
theaters.\10\ The Commission expressed concern that these unrated, or 
so-called ``Director's Cut,'' home video releases sometimes contain 
additional footage that would result in a more restrictive rating if 
resubmitted for review by the MPAA. The agency cited examples of DVD 
movie packaging where studios exploited the lack of an MPAA rating to 
promote the movie. The Commission questioned whether the marketing of 
these unrated DVDs undermines the self-regulatory system. The agency 
suggested that the MPAA and DVD retailers establish policies on the 
advertising and sale of these DVDs to children.\11\
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    \10\ Id. at 8-11.
    \11\ Id. at 33.
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    The Commission is again seeking public comments on its proposal to 
examine, through consumer research, two issues relating to MPAA ratings 
and DVD home video releases: (1) how the placement and size of MPAA 
rating information on DVD packaging for rated movies affects parental 
use of the rating; and (2) parental awareness and attitudes about the 
marketing of unrated DVDs. The Commission will seek OMB clearance under 
the PRA before engaging in the proposed consumer research.\12\ All 
comments should be filed as prescribed in the ADDRESSES section above, 
and must be received on or before January 5, 2009.
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    \12\ Under the PRA, federal agencies must obtain approval from 
OMB for each collection of information they conduct or sponsor. 
``Collection of information'' means agency requests or requirements 
that members of the public submit reports, keep records, or provide 
information to a third party. 44 U.S.C. 3502(3); 5 CFR 1320.3(c).
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1. Description of the Collection of Information and Proposed Use

    The FTC proposes to conduct a mall intercept survey, using an 
experimental design with two treatment conditions, to assess how the 
placement and size of MPAA rating information on DVD packaging affects 
parental use of the rating. The FTC proposes to conduct a telephone 
survey to assess parental awareness and attitudes about the marketing 
of unrated DVDs. The methodologies for both consumer research proposals 
are detailed below. Subject to OMB approval for the collection of 
information, the Commission plans to contract with a consumer research 
firm that will identify respondents, conduct a pretest, refine the 
questionnaire, and conduct the surveys.

a. The Mall Intercept Survey on DVD Rating Prominence

    A mall intercept survey is the most appropriate methodology for 
assessing differences in the effect of placement and size of the MPAA 
rating because it allows respondents to physically examine samples of 
DVD packaging. The survey will have an experimental design with 
respondents randomly assigned to one of two treatment conditions. The 
study will analyze differences in response between the two groups.
    The FTC proposes to conduct the survey in multiple locations across 
the country using a random sample of 400 adult respondents who are 
parents of one or more children ages 7 to 16, and who have bought or 
rented a DVD movie for their children within the past year. The survey 
will be divided into two groups of 200. Each group will be given the 
opportunity to examine a DVD package for a movie that has been rated 
either PG-13 or R due in part to violent content.\13\ One group will be 
exposed to DVD packaging that displays the rating information as it 
actually appears on the back cover. The other group will be exposed to 
the same DVD packaging, with the exception that the rating information 
will be graphically altered to appear on the front panel and in a 
larger size. After exposure to the package, respondents will be asked a 
series of questions related to what respondents noticed about the 
package, whether they noticed the rating information, and whether or 
not they would allow their child to watch the movie.
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    \13\ Parents of children ages 7 to 11 will be shown DVD 
packaging for a PG-13-rated movie and parents of children ages 12 to 
16 will be shown packaging for an R-rated movie. Parents with 
children in both age groups will be randomly assigned to either the 
PG-13 or R group.
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    The information from the questionnaires will be collected on a 
voluntary basis, and the identities of the respondents will remain 
confidential. The results will assist the Commission in determining how 
easy or difficult it is for parents to find and use MPAA rating 
information on DVD packaging and whether changes in presentation of the 
rating information will significantly improve the ease of use.

b. The Telephone Survey

    To assess parental awareness and attitudes about the marketing of 
unrated DVDs, the FTC plans to conduct a national telephone survey of 
1,000 adult respondents who are parents of one or more children ages 7 
to 16, and who have bought or rented a DVD movie for their children 
within the past year. This approach will allow the agency to have a 
sufficiently large and representative sample of the population to 
accurately assess parents' awareness and attitudes. Respondents will be 
asked a combination of open-ended and closed-ended questions. The 
questions will measure the level of parents' awareness of the marketing 
of unrated DVDs and assess whether parents understand that unrated DVD 
movies may contain content that could result in a more restrictive 
rating than the rating assigned to the theater version of the same 
movie. Additional questions will be designed to assess parents' 
attitudes about the marketing of unrated DVDs, including how the 
absence of a rating affects their decision whether to allow their 
children to watch the movie. As with the mall intercept survey, the 
information from the telephone survey questionnaires will be collected 
on a voluntary basis, and the identities of the respondents will remain 
confidential.
    The results of the telephone survey will assist the Commission in 
assessing how the marketing of unrated DVDs impacts parents' decisions 
about what movies they will allow their children to watch. It will also 
help the Commission in forming recommendations about retail policies 
for the sale of unrated DVDs directly to children.

[[Page 74175]]

2. Estimated Hours Burden

    For the mall intercept survey and related pretest, the FTC's 
contractor will screen respondents to identify parents with children 
ages 7 to 16 who have bought or rented a DVD movie for their child 
within the past year. Allowing for non-response, FTC staff estimates 
that the screening questions will be asked of approximately 2,000 
respondents in order to obtain a large enough sample for the survey and 
the pretest. The FTC staff estimates that screening will require no 
more than two minutes per person for a maximum hour burden of 67 hours 
(2,000 respondents x 2 minutes for each).
    The FTC intends to pretest the questionnaire on up to15 parents to 
ensure that all questions are easily understood, and expects that the 
pretest will require no more than 10 minutes per person. The hours 
burden imposed by the pretest will be approximately 2.5 hours (15 
respondents x 10 minutes for each).
    The FTC staff additionally estimates that the survey of 400 
respondents also will require no more than 10 minutes per person or, 
cumulatively, approximately 67 hours (400 respondents x 10 minutes for 
each).
    Thus, the estimated total hours burden attributable to the mall 
intercept survey is approximately 136 hours (67 + 2.5 + 67).
    For the telephone survey and a pretest of the survey, the FTC's 
contractor will apply the same screening threshold, identifying 
respondents who are parents with children ages 7 to 16 who have bought 
or rented a DVD movie for their child within the past year. Allowing 
for non-response, the FTC staff estimates that the screening questions 
will be asked of approximately 9,000 respondents in order to obtain a 
large enough sample for the survey and the pretest. The FTC staff 
estimates that screening will require no more than one minute per 
person for a maximum hour burden of 150 hours (9,000 respondents x 1 
minute for each).
    The FTC intends to pretest the questionnaire on up to 15 parents to 
ensure that all questions are easily understood. The FTC expects that 
the pretest will require no more than 5 minutes per person. The hours 
burden imposed by the pretest will be approximately 1.3 hours (15 
respondents x 5 minutes for each).
    The FTC staff estimates that the survey of 1,000 respondents also 
will require no more than 5 minutes per person or 83.3 hours (1,000 
respondents x 5 minutes for each).
    Thus, the estimated total hours burden attributable to the 
telephone survey research is approximately 235 hours (150 + 1.3 + 
83.3).
    The combined total hours burden attributable to both research 
projects is 371 hours (235 + 136).

3. Estimated Cost Burden

    The cost per respondent should be negligible. Participation is 
voluntary and will not require any labor expenditures by respondents 
nor capital, start-up, operation, maintenance, or other similar costs.

William Blumenthal,
General Counsel.
[FR Doc. E8-28848 Filed 12-4-08; 8:45 am]
BILLING CODE 6750-01-S