Channel Zero buying two E! stations

Canwest Global Communications has begun to shift its struggling E!-branded stations, with specialty and pay broadcaster Channel Zero picking up CHCH in Hamilton and CJNT in Montreal. Channel Zero and Canwest did not specify a selling price as part of their sales agreement.

While not commenting on the conditions of sale, Channel Zero VP and GM Cal Millar did indicate the deal comes with spending obligations, including a pledge to secure local programming and all jobs at the two conventional TV stations.

Channel Zero will also radically reshape programming at both stations, as CHCH goes to an all-news format from dawn until 8 p.m., followed by movies and music videos. And by jettisoning American strip series, the Hamilton station will shed costs and lift its local programming hours from 36.5 hours a week currently to over 100 hours. Millar says the CHCH morning, noon and supper-hour news format will go unchanged, with a question mark over only the 11 p.m. newscast.

In Montreal, Millar said CJNT will stick to its multi-cultural mandate, with an obligation to air 13.5 hours of local ethnic programming per week, but will add more foreign-language movies, music videos and multi-cultural hosts. Unlike CHCH, CJNT does not have a local newsgathering operation in place.

The TV station purchases are conditional on CRTC approval, to which a change of ownership application will shortly be made, and Canwest securing a one-year extension of CHCH’s current collective agreement with the Communications, Energy and Paperworkers Union. Employees at the Hamilton and Montreal stations will also have to agree to unspecified pension and benefits concessions.

Canwest said investment bank RBC Capital Markets will continue to shop the three remaining E! stations – CHCA in Red Deer, CHBC in Kelowna and CHEK in Victoria – as it focuses on its main Global Television network.