CCR Short Takes

Suite Systems wins BDU licence to serve MUDs across CanadaThe CRTC has approved Suite Systems Inc’s application for Class 1 cable licences in 17 communities across the Prairies and Ontario. The Calgary-based rental property owner – a subsidiary of Boardwalk Equities Inc – is the largest apartment owner in Canada. It was approved to offer cable TV services to its tenants in Calgary, Edmonton, Red Deer, Fort McMurray, Grande Prairie, Airdrie, Banff, Regina, Saskatoon, Winnipeg, Windsor, London, Kitchener, Toronto, Hamilton, Kingston and Ottawa. The application was opposed by both the Canadian Association of Broadcasters and the Canadian Cable Television Association. Suite Systems plans to spend $50 million on an overbuild distribution system for IP-based digital cable TV. Its service bundle will also offer Internet and local telephony and will be made available to its own tenants, as well as to multiple unit dwellings it doesn’t own, and then to single family dwellings. Look implements consolidated service infrastructureLook Communications Inc, which is being forced to lay off about 300 employees due to a failure to raise necessary financing, has implemented a multimedia telephony service and consolidated billing system. The system will allow people at call centers to handle customer contacts by phone, email, chat lines and integrated voice response, and customers subscribing to more than one Look service with get consolidated monthly bills. Cable Systems Alliance inks deal with ROBTvThe Canadian Cable Systems Alliance has signed a six-year deal to distribute the specialty channel Report on Business Television (ROBTv) to its 91 member cable companies that connect to 1.3 million customers. CCSA is the third largest purchaser of English-language television programming in Canada. CRTC reviewing cable ownership of premium servicesThe CRTC is reviewing its policy that limits and/or prohibits cable companies from holding equity interests in analog pay and specialty services because of the potential for undue preference – PN 2000-165. The deadline for comments is Jan. 26, 2001. CRTC approves BCE Inc reorganizationThe CRTC approved this month a requested reorganization of BCE Inc properties that sees the corporation transfer its limited partnership interest in the Bell ExpressVu Ltd Partnership to Holdco. Bell ExpressVu will continue as general partner, while Holdco will now operate as limited partner in the Bell ExpressVu Ltd Partnership. No changes were made to the conditions applying to the partnership’s DTH satellite distribution licence, which expires Aug. 31, 2002, or to its DTH pay-per-view licence, which expires Aug. 31, 2005. Cinar reaches agreements with federal, Quebec governmentsCinar Corp has finalized deals with the federal and Quebec tax authorities over allegations it illegally obtained subsidies and tax credits by putting Canadian names on scripts written by Americans. Cinar will be required to pay $5.095 million to the Canada Customs and Revenue Agency to make "full restitution" for amounts improperly claimed, and will relinquish claims to about $6.072 million in film tax credits claimed but not yet received. Two million dollars of the money that must be repaid is due immediately. As well, Cinar will incur a federal tax liability of $3.708 million, plus applicable interest for certain corporate tax matters arising mostly from the early deduction of some expenses. As well, some Cinar productions will become decertified as accredited Canadian shows, which could result in reimbursements to broadcasters who pay a premium rate for such programming. Cinar also owes Quebec taxation authorities about $7.925 million, inclusive of penalties and interest, and will relinquish about $3.595 million in film tax credits claimed but not received. It will assume a provincial tax liability of $1.068 million. Copyright Board raises blank tape levyThe Copyright Board of Canada is increasing the levy paid on blank audio cassettes, CDs and minidiscs on Jan. 1. The levy on audio cassettes will jump by 5.7 cents to 29 cents and on recordable CDs by 15.8 cents to 21 cents. The levy is used to pay performers whose works are copied for private use. The fee, which is charged to manufacturers and importers of blank cassettes and CDs, is often passed on to consumers. Cogeco Cable acquires cable system in QuebecCogeco Cable Inc is buying Decibel Inc’s cable systems serving about 6,600 basic service customers in Nicolet PQ for $11.2 million. Once the transaction is complete, the Nicolet system will be interconnected with Cogeco’s existing systems in the Maurice region of the province. The acquisition will bring the total number of Cogeco subscribers to about 913,000. Salter Street revenues inch up in fiscal 2000Salter Street Films Ltd this month reported revenues of $54 million for the fiscal year ended Oct. 31, 2000, up just slightly from the $49.7 million generated the previous fiscal year. Net income for fiscal 2000 was $4.6 million, compared with $4.2 million the previous fiscal year. Canal Evasion seeks relief from Cancon spendingCanal Evasion Inc wants the CRTC to amend its licence with regard to spending on Canadian programming. Currently, the channel is required to devote at least $4.489 million to Canadian programming in its second year, and for each subsequent year at least 50% of the gross revenue derived from the operation of the service the previous year. The licensee wants the $4.489 million figure dropped in favor of the words to "devote to investment in Canadian programs or their acquisition in its second year of operation." Westman named cable operator of the yearWestman Communications Group was named cable operator of the year by the Canadian Cable Systems Alliance Inc at its 7th annual general meeting this week in Toronto. The Brandon, MB-based company was chosen for the award for providing its customers with state of the art technology and services, and its participation in national communications organizations and initiatives. Westman provides cable television to 35 western Manitoba communities, digital cable, high-speed Internet, computer hardware and software sales and service, and local and wide area data networking services. Among CCSA’s smaller sized cable members, Westman was the first to launch digital cable television and high-speed Internet access.

CCR Short Takes

News | 12/21/2000 5:00 am EST

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