I love craft magazines and keep them for a while and then have a giant cleanout - I'm in the throes of doing it at the moment.
I have donated stacks to a friend who works at a school and the kids love them. I know they do cut them up for different things, but I don't want them anymore so they can do what they like.
I have also donated heaps to my local Ronald McDonald House to put in their craft room - even the older ones are most appreciated. They let the families take them home if they wish.