It is old, and with technological advances, things have become more fine tuned with colleges now hiring companies that focus on the analysis of applicants. But I think that the basic philosophy so clearly outlined remains.
In the last several years, as college costs have risen, merit awards are on the rise at a lot of the smaller Private schools.
I had worked many many years ago at a school that similarly coded all accepted students, and financial aid was distributed accordingly. Though admissions was need blind, gapping the aid packages was done in a systematic way.