Quebecor Media Inc.

Quebecor Media Inc.

July 12, 2010 13:17 ET

Quebecor Media Believes That the CRTC Must Reject the Applications by CTV Limited in Order to Obtain Regulatory Relief for the "A" Stations and for the CTV Network or Apply...

...The Requested Conditions to All Canadian Conventional Television Stations

MONTREAL, QUEBEC--(Marketwire - July 12, 2010) - Quebecor Media Inc. believes that the CRTC must reject the applications by CTV Limited in order to obtain regulatory relief for the "A" stations and for the CTV Network or apply the requested conditions to all Canadian conventional television stations.

Specifically, CTV has asked, among other things, that the Commission eliminate all exhibition requirements relating to priority programming including the condition requiring that 75% of this priority programming must be produced by independent producers, reduce overall Canadian content exhibition requirements to 55% of the broadcast year and suspend the current requirement that 50% of required hours of described video be original broadcasts. Moreover, CTV has also applied to reduce overall Canadian content exhibition requirements for all its local stations part of the CTV Network.

CTV was fully aware of the implications of its actions when the company acquired the "A" stations in 2007 as part of the CHUM Limited purchase, depriving therefore other parties interested in operating these stations in accordance with the regulations and their current conditions of license and thereby preventing Canadians from having access to a broader diversity of voices.

If the CRTC has the intention to grant CTV the requested regulatory flexibility, the other Canadian conventional television stations should also be able to obtain similar conditions, since, as CTV stated in its application, the fee for value regime for over-the-air television stations will not come into force before many years, if indeed such a regime is put into place.

Even if the Broadcasting Act stipulates that English and French language broadcasting operate under different conditions and may have different requirements and that the Regulatory Policy should be readily adaptable to the different characteristics of English and French language broadcasting, it's obvious that when it comes to the protection of the Canadian Content, which represents the primary objective of the Broadcasting Policy for Canada, the Commission, in its wisdom, should not discriminate between English and French language broadcasting.

As a reminder, TVA must broadcast 60% of Canadian content per year and eight (8) hours of priority programming per week, of which 75% must be produced by independent producers.

Therefore, based on the most elementary notion of fairness, Quebecor Media states that the CRTC must reject CTV's application or apply the requested conditions to all Canadian conventional television stations.

Quebecor Media Inc. is a subsidiary of Quebecor Inc. (TSX: QBR.A, QBR.B), a communications company with operations in North America, Europe and Asia. Quebecor Media owns operating companies in numerous media-related businesses: Videotron Ltd., an integrated communications company engaged in cable television, interactive multimedia development, Internet access services, cable telephony and wireless telephone service; Sun Media Corporation, the largest publisher of newspapers in Canada;, operator of a network of English and French language Internet properties in Canada; Quebecor Media Network, provider of flyer printing and distribution services; TVA Group Inc., operator of the largest French language over the air television network in Québec, a number of specialty channels, and the English language over the air station Sun TV; Nurun Inc., a major interactive technologies and communications agency with offices in Canada, the United States, Europe and Asia; magazine publisher TVA Publishing Inc.; book publishers and distributors Sogides Group Inc. and CEC Publishing Inc.; Archambault Group Inc. and TVA Films, companies engaged in the production, distribution and retailing of cultural products; Le SuperClub Vidéotron ltée, a DVD and console game rental and retail chain; and Quebecor MediaPages, publisher of print and online directories.

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