Eighty schools that were members of the Iowa High School Press Association responded to a questionnaire about the school newspaper's financial status in light of public school budget cuts. The collected data indicated that nearly half of the respondent schools published newspapers at no cost and in cooperation with a community newspaper. Sixty school papers had subsidies from the school of $500 or less; the majority of these did not accept advertising, and neither subscriptions nor individual sales of newspapers made up the revenues. Responses in other categories indicated that school newspaper personnel were attempting to economize, in that many schools had typesetting equipment and 80% of the schools did their own paste-up and darkroom work. Other responses indicated a healthy physical situation for newspapers in that over half published twice or more per month. A cross-tabulation of the total budget with the printing method showed that as budget size increased, the schools tended to publish independently. As circulation increased to about 1,900 schools tended to accept advertising, but only a fraction of those with a circulation of 2,000 or more accepted advertising. Those with a per issue cost tended to have offset printing and typesetting. Based on this study, the economic stability of school newspapers appears sound. (HTH)