Information identified as archived on the Web is for reference, research or recordkeeping purposes. Archived Decisions, Notices and Orders (DNOs) remain in effect except to the extent they are amended or reversed by the Commission, a court, or the government. The text of archived information has not been altered or updated after the date of archiving. Changes to DNOs are published as “dashes” to the original DNO number. Web pages that are archived on the Web are not subject to the Government of Canada Web Standards. As per the Communications Policy of the Government of Canada, you can request alternate formats by contacting us.
Decision CRTC 2001-765
Ottawa, 17 December 2001
Mr. Ken Stein
Dear Mr. Stein:
The Commission has completed its examination of the above-noted application from Shaw Communications Inc. (Shaw), on behalf of a subsidiary 616554 B.C. Ltd. (616554 B.C.), seeking authority to acquire the effective control of Corus VC Ltd. (Corus VC), licensee of a terrestrial and a direct-to-home (DTH) PPV service.
The proposed transaction consists of transferring all of the issued and outstanding shares of Corus VC, currently held by Corus Entertainment Inc., to 616554 B.C.
The Commission notes Shaw's commitment to contribute $3.5 million in tangible benefits, which represent 10%of the purchase price ($35 million), to be implemented over a 5-year period. The $3.5 million will be provided
to build a high-definition (HD) encoding facility, and to subsidize the cost of converting existing content to HD format. The proposed initiative is to help overcome economic and technical obstacles to the supply of high-definition content available in the Canadian broadcasting system.
The Commission considers such benefits as being part of the normal course of business and, consequently, finds them unacceptable.
The Commission approves the proposed change of control conditional on Shaw filing, within 30 days of this letter decision, tangible benefits initiatives for review and approval by the Commission.
Our records will only be modified to reflect the attached ownership structure once the above condition has been fully satisfied. All letters of approval issued by the Commission are made available for public examination at the Commission's central office. The Commission also requires you to append this letter to all your PPV licences.
Corus VC Ltd.
616554 B.C. Ltd.
Date Modified: 2001-12-17