8-K

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of Earliest Event Reported): March 2, 2009

Arbitron Inc.
__________________________________________
(Exact name of registrant as specified in its charter)

Delaware	1-1969	52-0278528
_____________________ (State or other jurisdiction	_____________ (Commission	______________ (I.R.S. Employer
of incorporation)	File Number)	Identification No.)
9705 Patuxent Woods Drive, Columbia, Maryland		21046
_________________________________ (Address of principal executive offices)		___________ (Zip Code)

Registrant’s telephone number, including area code: 410-312-8000

Not Applicable
______________________________________________
Former name or former address, if changed since last report

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

[  ]  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[  ]  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[  ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[  ]  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 7.01 Regulation FD Disclosure.

On March 2, 2009, Arbitron Inc. (the "Company") delivered a letter from Michael P. Skarzynski, the Company's President and Chief Executive Officer, to The Honorable Robert Menendez, United States Senator for the State of New Jersey regarding the Company's Portable People MeterTM market improvement program.

A copy of the letter is attached as Exhibit 99.1 to this Current Report on Form 8-K and incorporated herein by reference.

On March 2, 2009 the Company also issued a press release regarding the foregoing matters. A copy of that press release is attached as Exhibit 99.2 to this Current Report on Form 8-K and incorporated herein by reference.


The information in this Item 7.01 (including Exhibits 99.1 and 99.2) shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the E xchange Act, except as expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

The following exhibit relating to Item 7.01 shall be deemed to be furnished, and not filed:

99.1 Letter from Michael P. Skarzynski to The Honorable Robert Menendez

99.2 Statement of Arbitron Inc. dated March 2, 2009

Forward-Looking Statements

This Current Report on Form 8-K (including Exhibits 99.1 and 99.2) contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The statements regarding Arbitron Inc. and its subsidiaries in this document that are not historical in nature, particularly those that utilize terminology such as “may,” “will,” “should,” “likely,” ”expects,” “anticipates,” “estimates,” “believes,” or “plans,” or comparable terminology, are forward-looking statements based on current expectations about future events, which we have derived from information currently available to us. These forward-looking statements involve known and unknown risks and uncertainties that may cause our results to be materially different from results implied in such forward-looking statem ents. These risks and uncertainties include, in no particular order, whether we will be able to:

• absorb costs related to legal proceedings and governmental entity interactions and avoid related fines, limitations, or conditions on our business activities;
• successfully commercialize our Portable People MeterTM service;
• successfully manage the impact on our business of the current economic downturn generally, and in the advertising market, in particular, including, without limitation, the insolvency of any of our customers or the impact of such downturn on our customers’ ability to fulfill their payment obligations to us;
• successfully maintain and promote industry usage of our services, a critical mass of broadcaster encoding, and the proper understanding of our audience measurement services and methodology in light of governmental regulation, legislation, litigation, activism, or adverse public relations efforts;
• compete with companies th at may have financial, marketing, sales, technical, or other advantages over us;
• successfully design, recruit and maintain PPM panels that appropriately balance research quality, panel size, and operational cost;
• successfully develop, implement, and fund initiatives designed to increase sample sizes;
• complete the Media Rating Council, Inc. (“MRC”) audits of our local market PPM ratings services in a timely manner and successfully obtain and/or maintain MRC accreditation for our audience measurement business;
• renew contracts with key customers;
• successfully execute our business strategies, including entering into potential acquisition, joint-venture or other material third-party agreements;
• effectively manage the impact, if any, of any further ownership shifts in the radio and advertising agency industries;
• effectively respond to rapidly changing technological needs of our customer base, including creating new pr oprietary software systems, such as software systems to support our cell phone-only sampling plans, and new customer services that meet these needs in a timely manner;
• successfully manage the impact on costs of data collection due to lower respondent cooperation in surveys, consumer trends including a trend toward increasing incidence of cell phone-only households, privacy concerns, technology changes, and/or government regulations; and
• successfully develop and implement technology solutions to encode and/or measure new forms of media content and delivery, and advertising in an increasingly competitive environment.

There are a number of additional important factors that could cause actual events or our actual results to differ materially from those indicated by such forward-looking statements, including, without limitation, the risk factors set forth in the caption “ITEM 1A. — RISK FACTORS” in our Annual Report on Form 10-K for the year ended December 31, 2 008, and elsewhere, and any subsequent periodic or current reports filed by us with the Securities and Exchange Commission.
In addition, any forward-looking statements contained in this document represent our estimates only as of the date hereof, and should not be relied upon as representing our estimates as of any subsequent date. While we may elect to update forward-looking statements at some point in the future, we specifically disclaim any obligation to do so, even if our estimates change.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	Arbitron Inc.
March 2, 2009	By:	/s/ Timothy T. Smith
		Name: Timothy T. Smith
		Title: Executive Vice President, Chief Legal Officer, Legal and Business Affairs, and Secretary

Exhibit Index

Exhibit No.	Description
99.1	Letter from Michael P. Skarzynski to The Honorable Robert Menendez
99.2	Statement of Arbitron Inc. dated March 2, 2009

EX-99.1

February 27, 2009

The Honorable Robert Menendez
United States Senate
317 Hart Senate Office Building
Washington, DC 20510-4305

Dear Senator Menendez:

Thank you again for meeting with me at your office on February 12, 2009, to discuss the progress Arbitron has made in our introduction of electronic audience measurement into the major United States radio markets.

I want to reiterate that Arbitron is committed to ensuring that all radio listeners are fully and fairly represented by our radio ratings services, and that we have been focused on that goal every day—for more than 40 years.

In my short time since joining Arbitron on January 12, 2009, as the new Chief Executive Officer, I have been in regular and frequent dialogue with our Portable People Meter™ (PPM™) customers, including members of the National Association of Black Owned Broadcasters and the Spanish Radio Association. I am committed to continue our focus on and to resolve satisfactorily the concerns of all of our PPM market customers in terms of the sample size, sample proportionality and sample quality of our PPM panels. I want to assure you that Arbitron is actively engaged in the continuous improvement of our PPM and Diary market services. Thanks to specific customer input, Arbitron is already making good progress on improvements in many operational areas. As an integral part of the company’s continuous improvement programs, Arbitron is on track to meet or exceed 100 percent of the settlement agreement criteria with the Attorney General of New Jersey and the Attorney General of the State of New York.

Please allow me to summarize the commitments and progress that Arbitron is making in our continuous improvement program for the PPM markets in more detail.

As a first step, Arbitron will provide all PPM markets with the benefit of many of the key methodological enhancements that we have committed to in our agreements with the attorneys general of New Jersey, New York and Maryland. While there will be some variation in metrics and milestones based on particulars of the local market environments, all of our PPM customers would be able to count on receiving enhancements to our PPM methodology in four key areas:

• Cell-phone-only sampling

• Address-based sampling

• In-Tab compliance rates

• Response metrics (Sample Performance Indicator or SPI)

In addition, customers in all PPM markets can expect to see increased transparency for more of the sample metrics of our PPM survey research, including the distribution of our sample by zip code and by cell phone status. We will also continue to share with all customers any current and future findings of the impact of nonresponse on the PPM service.

Arbitron intends to maintain its commitment to Media Rating Council^® (MRC) accreditation in all PPM and Diary markets. Arbitron recognizes that the U.S. Congress inspired the formation of the MRC in order to secure for the media industry and related users audience measurement that is valid, reliable and effective.The Media Rating Council’s accreditation of Arbitron’s PPM radio ratings in Houston-Galveston and Riverside-San Bernardino stands as a testament to Arbitron’s commitment to transparency, accuracy and the delivery of high-quality audience measurement. MRC accreditation reaffirms Arbitron’s dedication to maintaining an industry-wide gold standard for audience measurement.

Beyond the progress that I have just outlined, we are also addressing specific matters of interest to the Spanish Radio Association, including country of origin, which I will review in this letter.

Finally, I would like to review some news highlights from PPM markets across the country. Broadcasters have recently converted two general-market formatted radio stations, one in Los Angeles and one in Dallas, to Spanish-language formats, and the early PPM ratings estimates indicate a promising start for the new Spanish station in Los Angeles.

Let me now address the commitments we are making to all of our customers, starting with the key methodological enhancements that we are extending to all PPM markets.

1: Extending our commitment to cell-phone-only sampling to all PPM markets

Arbitron will increase the sample target for cell-phone-only households in all PPM markets to an average of 15 percent by year-end 2010. In an interim step, the current target of 7.5 percent will be raised to 12.5 percent in PPM markets by year-end 2009. (Monthly milestones within each year will vary by market. Our latest cell phone research is indicating that markets such as Nassau-Suffolk and Middlesex-Somerset-Union have a cell-phone-only penetration that is significantly less than 15 percent.)

Arbitron has recognized from the beginning of the PPM service that coverage of cell-phone-only households is very important. Arbitron has been at the forefront of measuring cell-phone-only persons, including conducting the first survey ever in the United States that called cell phones in 2002. Our commitment to understanding how to measure cell-phone-only persons and households has been cited by leaders in the survey research industry.

This commitment to cell-phone-only sampling is important because Federal statistics show that Hispanics and Blacks are more likely to live in cell-phone-only households.

We believe that increasing the number of cell-phone-only households in our PPM samples will be an important element in our ongoing programs to enhance the participation of 18- to 34-year-olds by race and ethnicity. As the number of households that can be reached only by cell phone continues to grow, Arbitron plans to update its methodologies to better include this important segment of the population.

2: Cell-phone-only sampling plans for Diary markets

Arbitron is also committing to expanding cell-phone-only sampling to 151 Diary markets in Spring 2009 and to all Diary markets in the continental U.S., Alaska and Hawaii by Fall 2009. Arbitron also plans to use an address-based sample frame as the foundation of its cell-phone-only sample in Diary markets, while maintaining the effective random-digit-dial (RDD) sample frame for landline households.

3: Extending our commitment to address-based sampling to all PPM markets

In keeping with our national commitment to increase cell-phone-only sample, Arbitron is committing to the use of address-based sampling technique for at least 10 percent of its sampling efforts by late 2009 and for at least 15 percent of its recruitment efforts by the end of December 2010 in all PPM markets. (Again, monthly milestones within each year will vary by market.)

Because federal law prohibits auto-dialing wireless lines without consent from the called party, Arbitron, as a survey researcher, cannot efficiently use a random-digit-dial sample frame to expand cell-phone-only sampling in our PPM markets. That is why, effective with the March 2009 survey period, random-digit-dial, telephone-based sampling will be replaced with address-based sampling for cell-phone-only households.

This new method is more efficient than the manual dialing procedures we had been using and should allow us to substantially increase the number of cell-phone-only persons included in our panels.

We are also retaining the random-digit-dialing sampling method for landline homes because that approach enables telephone contact with a higher percentage of landline homes not listed in telephone directories. These unlisted landline households, which are more likely than listed ones to contain Hispanics, Blacks and young adults, are still best reached through a random-digit-dial frame. Their inclusion in the random-digit-dial frame, along with the additional recruitment contacts that a telephone-based method makes possible, can improve the overall representation of these groups in our PPM samples.

4: Extending our agreement for compliance metrics to all PPM markets

In our agreements with New Jersey, New York and Maryland, we committed to take all reasonable measures to achieve average In-Tab rates of at least 75 percent for all Persons aged 6 and older by specific dates and to work to minimize differential compliance (with differing metrics across local markets) for demographic subcategories comprising 10 percent or more of the population in a PPM market.

Arbitron is applying the agreed-upon 75 percent metric to all PPM markets. In addition, we are also implementing in all PPM markets many of the techniques and methods that we are using to minimize differential compliance rates in order to fulfill the terms of the New Jersey, New York and Maryland agreements. (Specific programs and techniques are being applied based on an individual market’s in-tab performance.)

5: Our commitment to enhancing Sample Performance Indicator (SPI)

In our agreements with New Jersey, New York and Maryland, Arbitron committed to set a target of 20 percent for the Sample Performance Indicator (SPI) by 2010. While we have set a target of 20 percent, we also agreed to take all reasonable measures to achieve certain interim minimums, such as 15 percent SPI level in mid-2009, 16 percent SPI in late 2009 and 17 percent SPI in 2010. (The precise milestones vary by market.)

SPI is a longitudinal measure that is used as a proxy for response metrics in electronic media panels for radio and television. No metric is more variable by local market than SPI; smaller markets tend to have higher SPI metrics than larger ones. The newest PPM markets, which were first recruited in 2008, have also received the benefit of our response rate and compliance programs starting with the very first recruitment contact. In these markets, SPI metrics are already above our commitments to New Jersey, New York and Maryland.

Based on the progress we are seeing in our response rate programs, we have informed the MRC that we hope to achieve a 21 percent SPI average across all PPM markets by the end of 2010.

Arbitron commitments to greater transparency

Our commitments to New Jersey, New York and Maryland do not stop with sampling, recruitment and compliance improvements. They include greater transparency in terms of information regarding PPM sample composition and other metrics of PPM services. We intend to provide additional information in all PPM markets that many of our clients have indicated they would find useful and that would help clients understand the strengths and limitations of PPM samples.

6: Understanding sample distribution by zip code reports

Going beyond the New Jersey, New York and Maryland agreements, we will provide in all PPM markets installation and in-tabulation data by individual zip code, along with market population data for Blacks, Hispanics and others (non-Black or non-Hispanic) for each individual zip code. We have also released a new and enhanced Web application, PD Advantage™ Web, which allows a station access to unweighted audience information for zip codes where 20 percent or more of the panelists report exposure to the station (subject to appropriate minimums over time).

7: Understanding how our sample is distributed by cell-phone-only status

Since cell-phone-only sampling is of vital interest to our customers, Arbitron will continue its practice of publishing the percentages of installed and In-Tab cell-phone-only sample in the front of all monthly Arbitron electronic PPM market reports.

8: Understanding the potential for nonresponse bias

While Arbitron has committed to complete a nonresponse bias study in the New York market by July 15, 2009, we intend for all PPM markets to benefit from the findings of that study. Arbitron has already conducted nonresponse studies in Houston-Galveston and Philadelphia, and has shared the results of the Philadelphia study at a research industry conference. In the case of the New York study, should the findings indicate any measurable statistical bias, Arbitron will inform all of our clients of the identified sources of that statistical bias in our PPM methodology and will take reasonable measures to address those sources.

9: Our ongoing commitment to MRC accreditation

Another important ongoing commitment is to obtain and maintain accreditation by the MRC in all of our PPM and Diary markets. While there are milestones in our agreements with New Jersey, New York and Maryland, that commitment to MRC accreditation extends to all PPM and Diary markets.

In my first month with the company, I have devoted a substantial amount of time in meetings with the MRC executive staff and Arbitron’s customers who serve on the MRC Radio Committee, as well as in internal company meetings related to MRC accreditation activities.

One positive outcome of our continued commitment is the January 2009 decision by the MRC to accredit the Arbitron PPM radio quarter-hour ratings data in Riverside-San Bernardino, California. Riverside-San Bernardino is a heavily Hispanic market, with Hispanics accounting for 46.7 percent of the population and Spanish-dominant Hispanics accounting for 21.5 percent of the market.

The accreditation in Riverside-San Bernardino demonstrates that our ‘Radio First’ methodology, which uses a telephone-based sampling and recruitment methodology that includes both landline and cell-phone-only households, can deliver audience estimates that can be accredited by the MRC. We are using the ‘Radio-First’ sampling methodology in PPM markets outside of Houston-Galveston.

Our goal now is to demonstrate that the sample quality initiatives we have committed to for all of our PPM markets will have a continuing positive impact, just as they have had in Riverside-San Bernardino.

Beyond the progress to date that I have just outlined, we are also addressing additional matters of importance to the Spanish Radio Association, including country of origin.

10: Country of origin

The option to see the current composition of the Hispanic sample by country of origin has been a topic of discussion with Hispanic broadcasters. We have already conducted zip code analyses by density of country of origin population in New York City specifically to address this concern. The long-term objective is to have this information available on an ongoing basis to provide a degree of assurance that the country of origin representation is reasonable and reflective of the proper mix of Hispanics in a given market.

We have worked in a collaborative effort with the leading researchers of the Spanish Radio Association to define a multistep process to achieve this goal.

Arbitron has conducted a test of three markets selected by the Spanish Radio Association (Houston-Galveston, Los Angeles and New York) to determine if asking the country of origin question during one of our regular status calls to PPM households would have an adverse impact on the PPM sample. Early results from the test are indicating that we will be able to collect and track country of origin without affecting the quality of the sample.

While full test results are pending, we don’t anticipate any significant roadblock to the implementation of country of origin in PPM markets with a significant Hispanic population.

News From PPM markets

At the same time that we are making improvements based on the input of our customers, our radio clients are also learning how to take advantage of the new PPM measurement system. We have seen changes in the ratings of many stations as programmers have made adjustments in the presentation of their programming. We have seen Urban radio come back in Houston-Galveston to consistently take the top spot. We have seen Spanish-language radio rise to number one in Dallas, which was not the case in the Diary service.

During the week of February 16, 2009, CBS Radio in Dallas replaced Rhythmic Adult Contemporary “Movin” KMVK-FM with a Spanish-language Hot Adult Contemporary format. Dallas now has a dozen PPM-rated Spanish-language radio stations, serving a market that is 15.7 percent Spanish dominant.

In Los Angeles in mid-January 2009, Entravision (to great public outcry) dropped the Anglo-focused Alternative format on KDLD-FM and switched the station to Mexican Regional. In a matter of a few weeks, ratings for “El Gato 103.1” increased by as much as three times.

On January 16, 2009, the radio trade publication Radio and Records published an article written by Latin editor Jackie Madrigal reviewing the steps that Spanish-language broadcasters are taking to get ready for the introduction of electronic measurement in future PPM markets.

Bobby Ramos, program director for Sun City Latin rhythm station KVIB-FM in Phoenix, is quoted: “You can actually see what drives a listener, whether it’s a song, DJ chatter or a commercial...learning how to use this system will begin to answer key questions, like what to do and what not to do and the rest is left to good, passionate programming.”

George Mier, program director for CBS Radio’s Spanish Tropical WYUU-FM in Tampa noted: “From a programming point of view, it [PPM] is a far more accurate reading than the Diary.”

On February 27, 2009, a Chicago Sun-Times article noted that “Another big winner since the advent of the portable people meter is WOJO-FM (105.1), the Hispanic station that jumped from fourth place in the last book to No. 2 in the January report among 25-to-54-year-olds. The station’s huge success underscores the importance of the city’s Hispanics—and their love for radio formatted to appeal to them. And never count out the urban adult contemporary format in Chicago, where it is obviously a draw...”

We believe these experiences and our commitment to continuous improvement point to the progress being made with PPM nationally.

I am very pleased to provide this progress report to you, and I wish to reiterate my commitment to addressing specific priorities of our customers regarding sample size, proportionality and related quality metrics. I welcome the opportunity to work with you and your staff, and look forward to keeping you fully apprised of our progress.

Sincerely,

Michael Skarzynski
President and Chief Executive Officer
Arbitron Inc.

FOR IMMEDIATE RELEASE

Arbitron confirms continuous improvement commitments in all PPM markets

NEW YORK; March 2, 2009 – Arbitron Inc. (NYSE: ARB) confirmed today that it has been extending to all PPM markets a number of the key methodological enhancements that the company committed to in its agreements with the Attorneys General of New Jersey, New York and Maryland.

While there is variation in metrics and milestones based on particulars of the local market environments, all of Arbitron PPM customers are in the process of receiving enhancements to the PPM methodology in four key areas:

• Cell-phone-only sampling

• Address-based sampling

• In-Tab compliance rates

• Response metrics (Sample Performance Indicator or SPI)

In addition, customers in all PPM markets will be seeing an increase in transparency for more of the sample metrics of in the Arbitron PPM survey research, including the distribution of sample by zip code and by cell phone status. Arbitron will also continue to share with all customers any current and future findings of the impact of nonresponse on the PPM service.

“I am committed to continue our focus on the concerns of our PPM market customers in terms of the sample size, sample proportionality and sample quality of our PPM panels. I want to assure the industry that Arbitron is actively engaged in the continuous improvement of our PPM and Diary market services. Thanks to specific customer input, Arbitron is already making good progress on improvements in many operational areas,” said Michael Skarzynski, President and Chief Executive Office, Arbitron Inc. “As an integral part of the company’s continuous improvement programs, Arbitron is on track to meet or exceed 100 percent of the settlement agreement criteria with the Attorneys General of New York, New Jersey and Maryland.”

Cell-phone-only sampling in all PPM markets

Arbitron will increase the sample target for cell-phone-only households in all PPM markets to an average of 15 percent by year-end 2010. In an interim step, the current target of 7.5 percent will be raised to 12.5 percent in PPM markets by year-end 2009. (Monthly milestones within each year will vary by market.)

Address-based sampling in all PPM markets
In keeping with the commitment to increase cell-phone-only sample in all markets, Arbitron is committing to the use of address-based sampling technique for at least 10 percent of its sampling efforts by late 2009 and for at least 15 percent of its recruitment efforts by the end of December 2010 in all PPM markets. (Monthly milestones within each year will vary by market.)

Arbitron has already begun using addressed-based sampling for cell-phone-only households in PPM markets. The initial returns from the first round of address-based sampling are indicating that markets such as Nassau-Suffolk and Middlesex-Somerset-Union have a cell-phone-only penetration that is significantly less than 15 percent.

Daily In-Tab Compliance efforts in all PPM markets
Arbitron is applying its average-daily in-tab benchmark of 75 percent of installed sample to all PPM markets. Arbitron is currently implementing in all PPM markets many of the techniques and methods that Arbitron is using to minimize differential compliance rates in order to fulfill the terms of the New Jersey, New York and Maryland agreements. (Specific programs and techniques are being applied based on an individual market’s in-tab performance.)

Response metric efforts in all PPM markets
The PPM markets that were first recruited in 2008 have received the benefit of the latest response rate and compliance programs starting with the very first recruitment contact. In these markets, SPI metrics are already above the commitments to New Jersey, New York and Maryland.

Arbitron will continue its focus on improving the Sample Performance Indicator in all PPM markets. Based on the progress to date in the company’s response rate programs, Arbitron has informed the MRC that it hopes to achieve a 21 percent SPI average across all PPM markets by the end of 2010.

Arbitron commitments to greater transparency

The company’s commitments to New Jersey, New York and Maryland include greater transparency in terms of information regarding PPM sample composition and other metrics of PPM services. Arbitron intends to provide this additional information in all PPM markets that many of its clients have indicated they would find useful and would help their understanding the strengths and limitations of PPM samples.

Sample distribution by zip code

Arbitron is providing in all PPM markets installation and in-tabulation data by individual zip code, along with market population data for Blacks, Hispanics and others (non-Black or non-Hispanic) for each individual zip code.

Sample composition by cell-phone-only status

Arbitron will continue its practice of publishing the percentages of installed and In-Tab cell-phone-only sample in the front of all monthly Arbitron electronic PPM market reports.

PPM response studies

The company intends for all PPM markets to benefit from the findings of a nonresponse bias study that it will conduct in the New York market by July 15, 2009. Should the findings indicate any measurable statistical bias, Arbitron will inform all clients of the identified sources of that statistical bias in the PPM methodology and will take reasonable measures to address those sources.

Additional initiatives in the continuous improvement programs
The option to see the current composition of the Hispanic sample by country of origin has been a topic of discussion with Hispanic broadcasters.

Arbitron has conducted a test of three markets selected by the Spanish Radio Association (Houston-Galveston, Los Angeles and New York) to determine if asking the country of origin question during one of the regular status calls to PPM households would have an adverse impact on the PPM sample. Early results from the test are indicating that Arbitron would be able to collect and track country of origin without affecting the quality of the sample.

The decision about moving forward with country-of-origin tracking is pending a full analysis of the test.

About the Portable People Meter
The Arbitron Portable People Meter^TM system uses a passive audience measurement device – about the size of a small cell phone – to track consumer exposure to media and entertainment, including broadcast, cable and satellite television; terrestrial, satellite and online radio as well as cinema advertising and many types of place-based electronic media. Carried throughout the day by randomly selected survey participants, the PPM^TM device can track when and where they watch television, listen to radio as well as how they interact with other forms of media and entertainment.

The PPM detects inaudible codes embedded in the audio portion of media and entertainment content delivered by broadcasters, content providers and distributors. At the end of the day, the meter is placed in a docking station that extracts the codes and sends them to a central computer. The PPM is equipped with a motion sensor, a patented quality control feature unique to the system, which allows Arbitron to confirm the compliance of the PPM survey participants every day.

PPM ratings are based on audience estimates and represent the opinion of Arbitron. PPM ratings, like all audience estimates however derived, should not be relied on for precise accuracy or precise representativeness of a demographic or radio market.

About Arbitron

Arbitron Inc. (NYSE: ARB) is a media and marketing research firm serving the media – radio, television, cable, online radio and out-of-home – as well as advertisers and advertising agencies in the United States. Arbitron’s core businesses are measuring network and local market radio audiences across the United States; surveying the retail, media and product patterns of local market consumers; and providing application software used for analyzing media audience and marketing information data. The company has developed the Portable People Meter, a new technology for media and marketing research.

Arbitron’s marketing and business units are supported by a world-renowned research and technology organization located in Columbia, Maryland.

###

Portable People Meter^TM and PPM^TM are marks of Arbitron Inc.

Arbitron Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The statements regarding Arbitron Inc. and its subsidiaries in this document that are not historical in nature, particularly those that utilize terminology such as “may,” “will,” “should,” “likely,” ”expects,” “anticipates,” “estimates,” “believes,” or “plans,” or comparable terminology, are forward-looking statements based on current expectations about future events, which we have derived from information currently available to us. These forward-looking statements involve known and unknown risks and uncertainties that may cause our results to be materially different from results implied in such forward-looking statements. These risks and uncertainties include, in no particular order, whether we will be able to:

• absorb costs related to legal proceedings and governmental entity interactions and avoid related fines, limitations, or conditions on our business activities;

• successfully commercialize our Portable People MeterTM service;

• successfully manage the impact on our business of the current economic downturn generally, and in the advertising market, in particular, including, without limitation, the insolvency of any of our customers or the impact of such downturn on our customers’ ability to fulfill their payment obligations to us;

• successfully maintain and promote industry usage of our services, a critical mass of broadcaster encoding, and the proper understanding of our audience measurement services and methodology in light of governmental regulation, legislation, litigation, activism, or adverse public relations efforts;

• compete with companies that may have financial, marketing, sales, technical, or other advantages over us;

• successfully design, recruit and maintain PPM panels that appropriately balance research quality, panel size, and operational cost;

• successfully develop, implement, and fund initiatives designed to increase sample sizes;

• complete the Media Rating Council, Inc. (“MRC”) audits of our local market PPM ratings services in a timely manner and successfully obtain and/or maintain MRC accreditation for our audience measurement business;

• renew contracts with key customers;

• successfully execute our business strategies, including entering into potential acquisition, joint-venture or other material third-party agreements;

• effectively manage the impact, if any, of any further ownership shifts in the radio and advertising agency industries;

• effectively respond to rapidly changing technological needs of our customer base, including creating new proprietary software systems, such as software systems to support our cell phone-only sampling plans, and new customer services that meet these needs in a timely manner;

• successfully manage the impact on costs of data collection due to lower respondent cooperation in surveys, consumer trends including a trend toward increasing incidence of cell phone-only households, privacy concerns, technology changes, and/or government regulations; and

• successfully develop and implement technology solutions to encode and/or measure new forms of media content and delivery, and advertising in an increasingly competitive environment.

There are a number of additional important factors that could cause actual events or our actual results to differ materially from those indicated by such forward-looking statements, including, without limitation, the risk factors set forth in the caption “ITEM 1A. — RISK FACTORS” in our Annual Report on Form 10-K for the year ended December 31, 2008, and elsewhere, and any subsequent periodic or current reports filed by us with the Securities and Exchange Commission.

In addition, any forward-looking statements contained in this document represent our estimates only as of the date hereof, and should not be relied upon as representing our estimates as of any subsequent date. While we may elect to update forward-looking statements at some point in the future, we specifically disclaim any obligation to do so, even if our estimates change.