The way I read 2(c)(iii), it means that so long as I have the organisers' permission, I don't legally have to comply with the 500' rule. It doesn't seem to matter whether it is a 'display' or not in legal terms.
Ah, I see where you're coming from. The way I read it (Art 70 now, together with Rule 5) there are three possibilities:
1) It's a flying display consisting entirely of military aircraft or at an MoD aerodrome, in which case
no display auth is required and the 500 ft rule does
not apply.
2) It's a flying display that doesn't fall under 1 above, in which case a display auth
is required and the 500 ft rule does
not apply.
3) It's
not a flying display, in which case
no display auth is required and the 500 ft rule
does apply.
You fall under 3.