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for immediate release

CAB Response to CRTC Decision

Ottawa, October 30, 2008 - The CRTC issued a major decision outlining the new television regulatory frameworks for specialty and pay services, broadcast distributors and conventional broadcasters.

“Today’s CRTC decision ensures that consumers will continue to have access to a rich diversity of Canadian pay and specialty services,” said Glenn O’Farrell, President and CEO. “However, the decision fails to recognize the severe structural problems affecting Canadian over-the-air (OTA) broadcasters.”

At the outset of this CRTC proceeding, the Commission indicated it was considering broad deregulation of pay and specialty services. Today’s decision introduces lighter regulation but retains strong measures that will continue to support the robust Canadian programming services consumers have come to enjoy. Moreover, the new framework will continue to enable the development of strong Canadian services, while maintaining broad access to foreign services.

However, for OTA broadcasters, while the CRTC introduced much-needed measures to address the unintended negative economic impact of its distant signal policy, the decision is fundamentally deficient in its effort to recalibrate the system for the ailing OTA sector.

The Commission recognized that parts of the OTA policy are flawed. It has proposed measures regarding distant signals that will give OTA broadcasters control over the distribution of their signals in distant markets. The new distant signal policy calls for market-based negotiations that will allow broadcasters to recover the “full value” of their signals and the programming rights they have acquired.

Regrettably, the measures announced today only remedy the distant signals policy, but completely miss the mark on the dire circumstances facing private OTA broadcasters, which the CRTC refers to as the ‘cornerstone of the system’.

The CAB will review this very detailed decision and will respond to the CRTC’s request for the establishment of a local programming improvement fund intended to support the creation of additional local content.

The Canadian Association of Broadcasters is the national voice of Canada’s private broadcasters, representing the vast majority of Canadian programming services, including private radio and television stations, networks, specialty, pay and pay-per-view services. The goal of the CAB is to represent and advance the interests of Canada’s private broadcasters in the social, cultural and economic fabric of the country.

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For more information, please contact:

Susan Tolusso
Director, Communications
(613) 233-4035 ext. 331
(stolusso@cab-acr.ca)

 
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