ARCHIVED - Broadcasting Decision CRTC 2002-259

Broadcasting Decision CRTC 2002-259

Ottawa, 30 August 2002

Labbe Media Incorporated
Wawa, Ontario

Application 2002-0149-2
Public Hearing in the National Capital Region
12 August 2002

CJWA-FM Wawa - Acquisition of assets

In this decision, the Commission approves an application by Labbe Media Incorporated to acquire the assets of CJWA-FM Wawa and for a broadcasting licence to continue the operation of the station.

The application

1.

The Commission received an application by Labbe Media Incorporated (Labbe Media) for permission to acquire the assets of CJWA-FM Wawa from North Superior Broadcasting Ltd. (North Superior), and for a broadcasting licence to continue the operation of the station.

2.

The vendor, North Superior, currently owns and operates CJWA-FM Wawa and CFNO-FM Marathon. In a related decision also released today, Transfer of control, Decision CRTC 2002-258, 30 August 2002, the Commission has approved an application by H.F. Dougall Company Limited (H.F. Dougall) to acquire the effective control of North Superior through the purchase of all of its issued and outstanding shares. H.F. Dougall had indicated that its application was conditional upon the disposition of the assets of CJWA-FM to Labbe Media.

3.

The purchaser, Labbe Media, is owned and operated by Mrs. Kerry-Lee Labbe and Mr. Rick Labbe and is effectively controlled by Mr. Labbe through a 51% voting interest in the company.

4.

The applicant intends to broadcast 126 hours of station-produced programming in each broadcast week.

5.

Labbe Media stated that the purchase price of the transaction would be $165, 400. The applicant confirmed that, in accordance with the benefits requirements set out in Commercial Radio Policy 1998, Public Notice CRTC 1998-41, 30 April 1998 (the Commercial Radio Policy), it would make direct financial contributions to Canadian talent development of $9, 924 over five years. This represents 6% of the value of the transaction, of which 3% would be allocated to the Canadian Music Marketing and Promotion Fund and 3% to the Foundation to Assist Canadian Talent on Record (FACTOR).

Interventions

6.

The Commission did not receive any intervention in connection with this application.

The Commission's determination

7.

Based on the evidence filed with the application, the Commission has no concern with respect to the availability or the adequacy of the required financing. The Commission considers that the transaction is consistent with the objectives of the Commercial Radio Policy and that approval of the proposal is in the public interest. Accordingly, the Commission approves the application by Labbe Media to acquire the assets of CJWA-FM from North Superior, and for a broadcasting licence to continue the operation of the station.

Issuance of the licence

8.

The Commission will only issue the licence once the vendor has surrendered the current licence to the Commission.

9.

The licence will expire 31 August 2004, the current expiry date. It will be subject to the conditions set out in New licence form for commercial radio stations, Public Notice CRTC 1999-137, 24 August 1999.

Employment equity

10.

In accordance with Implementation of an employment equity policy, Public Notice CRTC 1992-59, 1 September 1992, the Commission encourages the licensee to consider employment equity issues in its hiring practices and in all other aspects of its management of human resources.

Secretary General