CRTC to consider Corus licence changes after call for urgency

The Commission says the unique circumstances of Corus' financial situation has merited "immediate consideration" of its proposed amendments.

The Canadian Radio-television and Telecommunications Commission (CRTC) says it will give “immediate consideration” to Corus Entertainment’s application to amend its broadcast licence.

On Thursday (Oct. 19), the Commission published a letter from the broadcaster requesting urgent amendments to the conditions of service for its English-language television channels and discretionary services.

The proposed changes include restoring its programs of national interest (PNI) expenditure requirements to the 5% mark set in the CRTC’s initial 2017 licence renewal decision, and to extend its PNI expenditure repayment deadline to beyond the end of its licence term.

Corus’ current PNI expenditure requirement is set at 8.5%, following a government order for the CRTC to reconsider its 2017 decision after a number of industry groups called for an appeal.

The amendment requests are part of an initial Part 1 application filing from Corus, which was sent to the CRTC in November 2022.

In the letter, Corus argued that “meaningful changes” within its operating environment have occurred since that application was filed, citing the WGA and SAG-AFTRA strikes’ impact on its premium content deliveries, as well as inflation, which has affected operating costs and advertising revenue. Corus also said its debt ratio has increased “to unacceptable levels” due to lower profitability and a 61% year-over-year decrease in free cash flow.

The broadcaster has made a number of cuts to its workforce over the last year, most recently consolidating its executive leadership team by eliminating Colin Bohm’s role, and expanding Troy Reeb’s remit to oversee broadcast networks and content.

In its response, also published Thursday, the CRTC said it is “of the preliminary view” that amending the conditions of service for Corus’ English-language channels would be “in the best interest of the Canadian broadcasting system as a whole.” The Commission said the consideration is based on the “unique circumstances” of the situation, and Corus’ “stated commitment to continue contributing to the policy objectives of the Broadcasting Act” through investing in journalism and the Canadian creative sector.

The Commission has set Nov. 3 as the deadline for interventions, with Nov. 8 as the deadline for replies to the CRTC and intervening parties.

Earlier this week, Bell Media made public that it has filed to the Federal Court of Appeal over the CRTC’s decision to issue administrative renewals for hundreds of channels until Aug. 31, 2026, arguing that the Commission was in breach of the Broadcasting Act by not giving notice or holding public consultations. At the time the decision was issued, the CRTC said the renewals were to give it more time to modernize its regulatory framework, following the passage of Bill C-11.

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