Copyright law get both vague and subtle. The PG loophole, that they have been exploiting boils down to the pre-76 copyright law, which 1. requires renewal to maintain copyright (for pre-1964 works) on or about 28 years after publication and 2. (and here's where it gets subtle) that the renewed or re-copyrighted work is the same content. For example, An author wrote a novella of 100 pages in a magazine. The magazine does not renew the copyright. The author expands the work to 160 pages for a paperback and copyright the 160 page version, but does not renew the copyright on the old 100 page version. Voila, the 100 page version fell into PD due to non-renewal, while the 160 page version stays under copyright. This was plugged by the 1976 copyright revision (which took effect in 1978) which grants all work, after 1964, automatic renewal (and endless extensions).
However if the work was not modified, just republished then the copyright is consistent for both (or many publications).
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