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AOL Revises Subscription Method

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Times Staff and Wire Reports

America Online Inc. said it will move customers to a new flat-rate pricing plan unless they choose otherwise through a pop-up menu on their computer screens. The online service this week reached an agreement with California and 18 other states that lets customers choose between its new $19.95-a-month plan that went into effect Sunday and its other hourly fees. AOL had been criticized for failing to adequately disclose its new pricing structure. Under the agreement, customers will get a pop-up notice on their computers telling them about the $19.95 pricing. If they want other pricing plans, they can choose them from a menu. Dulles, Va.-based AOL shares lost $1.125 to close at $38.875.

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