In search of national program rights, Alberta hearings beginning in July, and the ’96/97 season launch two weeks away, this year’s l.a. screenings are more than just an exercise in gold chains and crantinis for WIC Western International Communications.

Several plays are in progress in l.a., where the party ends May 31. As of June 1, wic will not only have to pick from the u.s. programming cache but also decide whether or not to accept a one-year program supply deal in the offing from CanWest Global.

More important, it will be clear by the end of the weekend whether the quest for national rights, which wic is pursuing in l.a. with buying partners ctv and Baton Broadcasting, is driving up the price of first-run u.s. primetime product for what are essentially the only two buyers for the Canadian market, CanWest and the ctv/ Baton/wic consortium.

CanWest has 99% of its schedule nailed down and is shopping only to ‘top up’ its inventory, says Doug Hoover, national vp, programming and production for CanWest.

‘So as far as I’m concerned, the prices are no higher for us than they would have been if the three of them didn’t have this arrangement. However, their prices might be going up, because once the sellers realize they need a lot of programs, they’ll be holding their feet to the fire.’

While ctv, Baton and wic bought together last season, wic is prepared to make a greater investment this time out. At Playback press time, three days before the buying frenzy begins, it was too soon to tell what that means to the bottom line. The group has about 75% of their respective primetimes filled and is looking for ‘at least’ two to three hours of programming. But the rights and distribution environment unfolding in Canada is such that national distribution is a necessity and the consortium is prepared to do what’s necessary to be in the game, says Roy Gardner, vp programming for bctv, ctv’s Vancouver affiliate.

‘There’s no question we have to be involved in some kind of national rights arena and we’re going to be spending more because we have to buy that way. No one wants to spend more money than they have to, but if we have to spend more in some cases to get the kind of success we need in certain markets, then we will.’

According to Gardner, the co-buying arrangement, a brow-wrinkling process that changes shape for virtually every program package the three contemplate sharing, is a means of meeting the challenge to the system presented by the sleek CanWest distribution machine. ‘They have more buying clout than ctv because they buy programming for their whole schedule. This setup lets us level the playing field.’

Greater volume

It doesn’t necessarily follow that the stronger buying unit or the sink-or-swim need to hold national rights will drive up the already astronomical price of u.s. primetime for the Canadian contingent, Gardner adds. First, there’s a greater volume of programming available than ever before, and second, there’s a ceiling on what a broadcaster can pay in this market and still expect to maintain the profit margin.

But even in the short term, its a win-win for the u.s. studios. Wally Kirk, executive vp and gm of itv, says price points are pending, but even if the margins are predictable the suppliers will likely see CanWest and ctv/Baton/wic buying more product. ‘There may be more overbuying than normal, given the uncertainty of the distribution situation.’

That uncertainty has several legs, not the least of which revolves around the lawsuit in play filed against CanWest by wic in January claiming breach of a long-term program supply agreement.

At this point, the suit is moving like mud, in process for four months and not yet having reached the discovery stage. In the meantime, CanWest has offered wic a one-time package of 12-14 hours of primetime product for distribution by wic’s Alberta affiliates, including itv, cict and cisa, for the ’96/97 season.

Likely take the deal

Given CanWest’s stranglehold on the top 10, sources say wic will likely take the deal, which includes, like last season’s package, Seinfeld, Friends, Frasier, The X-Files, NYPD Blue, Traders, Outer Limits and the Nancy Drew/Hardy Boys series. The package price is reportedly on par with last year, but the politics of a temporary but symbiotic relationship is making the process more difficult.

CanWest’s application for an Alberta licence comes to hearing July 15. Although Craig Broadcast Systems is CanWest’s only competition of note, wic is expected to rail against the application in the intervention process.

How the lawsuit will play out in tandem with a yea or nay for a licence is the stuff of profits, but if the lawsuit finds in favor of the plaintiff and CanWest gets the go-ahead, an interesting situation will be created, says Kirk. ‘If we had their programming under contract, they’d have to have some other programming in place for that market.’

Should that be the case, there’s apparently much to choose from in this season’s mix with the May screenings. Still yet to see product from 20th Century Fox, mca, Disney and Warner Bros., Gardner says he’s already seen a higher quality show in the new crop than last year. ‘I think you’ll see some break-out hits this year. There’s some edgy stuff and extremely well-produced programs moving through.’

On a final note, Hoover adds that with cbc out of the u.s. primetime business, the situation could have advantages for both CanWest and ctv consortium Canadian players.

‘It certainly helps our position with the studios because there’s only two buyers in Canada now. If you were selling the product, you’d want to make sure you were on friendly terms with both. If you offend one customer then they would only have one customer to sell to and I don’t think that’s a position they want to be in.’