If you check this box, all new submissions made through your directory "Add Site" form will automatically receive premium status. A listing with premium status will always be placed in the first group of listings (at the top of the page with other premium listings) of the specific category. This feature was added to complement the DMOZ import feature of the Link Management Assistant. If you import several thousand listings from DMOZ into your directory, then you'll probably want to place new submissions above those, giving actual link partners greater incentive to reciprocate your link on their website. That is, they wont be buried on page 10 of their specific category.

In Addition: Checking the "Only if Reciprocated" check box will make all new submissions premium ONLY if they're reciprocating your link on their website. As a result it only applies if you ARE NOT making reciprocal linking a requirement of directory submission / inclusion. This is a nice feature that will allow you to run a normal directory but favour those listings who do reciprocate your link thus increasing your link popularity.