...character transfers will be required for all existing characters. Players must select a new post-merge World for their characters, and will be reassigned automatically should they not do so by the established deadline. We urge you all to review the World Merge Summary and the Notes Regarding the World Merge.
To select a destination, an existing playable character must be associated with a player’s service account. As long as a player has at least one usable character, a destination World may be chosen for all characters in the service account, including characters that have not yet been paid for.
The Bold parts say to me that only Current Subscribers will be part of the transfers. If you are Currently Subscribed but do not choose a New World by the deadline, one will be assigned at random (your own fault).

I do not think they will be transferring any inactive accounts.

If I am wrong, please clarify Reps...in fact clarify this even if I am right. ;>P