Rogers Media to Acquire Certain Conventional and Specialty Television Services from CTVglobemedia Inc.
April 09 2007 - 9:03AM
PR Newswire (US)
Assets to be purchased are currently under the control of John D.
McKellar Trustee under Voting Trust Agreement in Respect of CHUM
Limited TORONTO, April 9 /PRNewswire-FirstCall/ -- Rogers Media and
CTVglobemedia Inc. ("CTVgm") today announced an agreement under
which Rogers Broadcasting, a Rogers Media subsidiary, would acquire
certain Canadian conventional and specialty television services
from CTVglobemedia Inc. These assets are currently under the
control of Mr. John D. McKellar, C.M., Q.C., Trustee under a Voting
Trust Agreement in respect of CHUM Limited. CHUM Limited and Mr.
McKellar are also parties to this agreement. This transaction is
subject to Canadian Radio-television and Telecommunications
Commission ("CRTC") and Competition Bureau approval. The agreement
is also subject to CRTC approval of CTVgm's acquisition of CHUM
Limited, which included a commitment to divest these assets. The
all cash transaction is valued at $137.5 million and includes the
following television assets: - The A-Channel station group of six
over-the-air conventional broadcast television stations including
CIVI Victoria, CHWI Windsor, CKNX Wingham, CFPL London, CKVR
Barrie, and CHRO Ottawa; - CKX-Television, an over-the-air
conventional CBC affiliate based in Brandon, Manitoba broadcasting
CBC, local and syndicated programming to Western Manitoba and
Eastern Saskatchewan; - ACCESS Alberta, the designated provincial
educational television broadcaster for Alberta, available
over-the-air and via cable, satellite and telco distributors; - CLT
(Canadian Learning Television), Canada's only national educational
television specialty service designed to inform, enrich and
educate, available via cable, satellite and telco distributors; and
- SexTV: The Channel, an English language digital specialty
service, dedicated to love, romance, marriage, relationships,
sexuality and gender issues, available across Canada via cable,
satellite and telco distributors. "Rogers has built its successful
television business by serving community-focused and niche
audiences," said Rael Merson, President, Rogers Broadcasting. "The
acquisition of these 10 television services will significantly
expand our television operations and solidify our position as an
important participant in the Canadian television industry. This
also complements our strong position in Canadian radio, sports
broadcasting and publishing." "These important stations are run by
very talented people and we are delighted to have been able to find
them a wonderful home at Rogers Broadcasting," said Ivan Fecan,
CTVglobemedia President and Chief Executive Officer and CEO of CTV
Inc. "Rogers is a highly respected Canadian media company. They are
great builders and as such, are an excellent fit as the purchaser
of these assets. I know they will continue to grow the specialty
channels and apply their significant expertise, financial resources
and commitment to conventional tv to ensure the A-Channel local
stations not only survive, but thrive. This acquisition will both
provide for diversity of local voices and give Rogers the scale to
emerge as the fourth national English language over the air player
together with CTV, CanWest and the CBC." About the Companies:
Rogers Media Inc., a division of Rogers Communications Inc., (TSX:
RCI; NYSE: RG) operates Rogers Broadcasting and Rogers Publishing.
Rogers Broadcasting has 51 AM and FM radio stations across Canada.
Television properties include multicultural television broadcaster
Rogers OMNI Television, which is a free over-the-air system
consisting of four regional broadcasters; The Shopping Channel, a
televised and electronic shopping service; Rogers Sportsnet,
Canada's live event and high-definition leader, and the management
of two digital television services. Rogers Publishing produces many
well-known consumer magazines such as Maclean's, Chatelaine, Flare,
L'actualite and Canadian Business, and is the leading publisher of
a number of industry, medical and financial publications. All media
properties are integrated with their own popular web sites. Rogers
Media also owns The Toronto Blue Jays Baseball Club and Rogers
Centre, a year-round sports and entertainment facility. Rogers
Communications Inc. (TSX: RCI; NYSE: RG) is a diversified Canadian
communications and media company engaged in three primary lines of
business. Rogers Wireless is Canada's largest wireless voice and
data communications services provider and the country's only
carrier operating on the world standard GSM technology platform.
Rogers Cable and Telecom is Canada's largest cable television
provider offering cable television, high-speed Internet access,
residential telephony services, and video retailing, while its
Rogers Business Solutions division is a national provider of voice
communications services, data networking, and broadband Internet
connectivity to small, medium and large businesses. Rogers Media is
Canada's premier collection of category leading media assets with
businesses in radio and television broadcasting, televised
shopping, publishing and sports entertainment. For further
information about the Rogers group of companies, please visit
http://www.rogers.com/. CTVglobemedia is one of Canada's premier
multi-media companies with ownership interests in CTV Inc. and The
Globe and Mail. CTV Inc. operates 21 conventional television
stations across Canada and has interests in 15 specialty channels.
Other CTVglobemedia investments include: an interest in Maple Leaf
Sports and Entertainment, which owns the Toronto Maple Leafs,
Toronto Raptors and the Air Canada Centre; and an interest in Dome
Productions, a North American leader in the provision of mobile
high definition production facilities. Caution Regarding
Forward-Looking Statements: This release includes forward-looking
statements and assumptions concerning the future performance of our
business, its operations and its financial performance and
condition. These forward-looking statements include, but are not
limited to, statements with respect to our objectives and
strategies to achieve those objectives, as well as statements with
respect to our beliefs, plans, expectations, anticipations,
estimates or intentions. Statements containing expressions such as
"could", "expect", "may", "anticipate", "assume", "believe",
"intend", "estimate", "plan", "guidance", and similar expressions
generally constitute forward-looking statements. Such
forward-looking statements are based on current expectations and
various factors and assumptions applied which we believe to be
reasonable at the time. We caution that all forward-looking
information is inherently uncertain and that actual results may
differ materially from the assumptions, estimates or expectations
reflected in the forward-looking information. Accordingly, we warn
investors to exercise caution when considering any such
forward-looking information herein and to not place undue reliance
on such statements and assumptions. We are under no obligation (and
we expressly disclaim any such obligation) to update or alter any
forward-looking statements or assumptions whether as a result of
new information, future events or otherwise, except as required by
law. DATASOURCE: Rogers Communications Inc. CONTACT: Rogers Media:
Media - Jan Innes, (416) 935-3525, ; Investors - Bruce M. Mann,
(416) 935-3532, ; For CTVglobemedia: Mary Powers, (416) 332-7135,
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