Sad to hear, hopefully it doesn't take you guys too long to re-tool your model towards a non-auto renewing IAP for X months game time model, similarly to what Order & Chaos has successfully been using. Theirs isn't auto-renewing due to Apple's rules either, the game keeps track of your game time though on the login screen and notifies you when it's about to expire allowing you to extend it via further IAP (essentially a timed consumable costing 0.99, 2.99, 5.99 depending on how many months 1, 3, 6). You're locked out of logging into the game servers without an active subscription IAP.

They also offered 3 months free with the purchase of the game itself, similarly to what PC MMOs are doing with the "first 30 days free".