The CRTC handed almost one million extra dollars to producers in Manitoba and Alberta last month when it approved the sale of Craig Media to CHUM Limited – on the condition that the Toronto media giant put up $21.9 million in funding for independent production, the ‘.9’ of which must be spent in the Prairies.

CHUM had offered a package of $21 million – in keeping, it said, with federal regs that require a benefits package equal to 10% of the Craig purchase price. CHUM bought its former rival for $219 million, but argued on a technicality that Craig’s digital channels – MTV Canada, MTV2 and TV Land, worth $9 million – should not count towards the benefits. Craig also owned four conventional stations.

The feds disagreed and CHUM topped up its offer, earmarking $12.4 million for priority programming, $6.8 million for local shows and $2.6 million for talent development.

In a related ruling, the CRTC also approved the sale of Toronto 1 to TVA and Sun Media. CHUM was required to sell the former Craig station as a condition of the Craig purchase.

‘We are delighted with the commission’s approval of these transactions and our plans and commitments for the Craig stations,’ says CHUM president and CEO Jay Switzer. CHUM Television now runs 12 stations and 21 specialties and reaches 85% of English-speaking Canada.

-www.chumlimited.com