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ARCHIVED -  Decision CRTC 94-909

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Decision

Ottawa, 13 December 1994
Decision CRTC 94-909
1019415 Ontario Inc.
Welland, Ontario - 930557400

Acquisition of assets

Following a Public Hearing in the National Capital Region beginning on 27 September 1993, the Commission approves the application for authority to acquire the assets of the radio programming undertaking CHOW Welland from Wellport Broadcasting Limited, and for a broadcasting licence to continue the operation of this undertaking.
Upon surrender of the current licence, the Commission will issue a licence to 1019415 Ontario Inc., expiring 31 August 1996, the current expiry date. The licence will be subject to the same conditions as those in effect under the current licence, as well as to any other condition specified in this decision and in the licence to be issued.
The purchase price relating to this transaction is $550,000. Based on the evidence filed with the application, the Commission has no concerns with respect to the availability or the adequacy of the required financing.
Because the Commission does not solicit competing applications for authority to transfer effective control of broadcasting undertakings, the onus is on the applicant to demonstrate to the Commission that the application filed is the best possible proposal under the circumstances, taking into account the Commission's general concerns with respect to transactions of this nature. As a first test, the applicant must demonstrate that the proposed transfer will yield significant and unequivocal benefits to the community served by the broadcasting undertaking and to the Canadian broadcasting system as a whole, and that it is in the public interest.
The Commission notes that, although the applicant did not propose any tangible benefits, CHOW has been unprofitable over the three years preceding the filing of this application. Accordingly, the Commission is satisfied that the application meets the criteria set out in Public Notice CRTC 1993-68 entitled "Application of the Benefits Test at the Time of Transfers of Ownership or Control of Broadcasting Undertakings". The Commission considers that the maintenance of CHOW as a viable, local radio service to Welland is an important benefit associated with this transaction. Accordingly, the Commission is of the view that approval of the application is in the public interest.
It is a condition of licence that the applicant adhere to the guidelines on gender portrayal set out in the Canadian Association of Broadcasters' (CAB) "Sex-Role Portrayal Code for Television and Radio Programming", as amended from time to time and approved by the Commission.
It is also a condition of licence that the applicant adhere to the provisions of the CAB's "Broadcast Code for Advertising to Children", as amended from time to time and approved by the Commission.
In Public Notice CRTC 1992-59, the Commission announced implementation of its employment equity policy. It advised licensees that, at the time of licence renewal or upon considering applications for authority to transfer ownership or control, it would review with applicants their practices and plans to ensure equitable employment. In keeping with the Commission's policy, it encourages the applicant to consider employment equity issues in its hiring practices and in all other aspects of its management of human resources.
Allan J. Darling
Secretary General