ARCHIVED -  Decision CRTC 99-446

Decision

Ottawa, 23 September 1999

Decision CRTC 99-446

Shaw Communications Inc., on behalf of Fundy Cable Ltd./Ltée

see the Appendix to this decision - 199907325Dartmouth and surrounding areas; Digby and surrounding areas; Sandy Cove/Mink Cove, Little River/Tiddville/East Ferry; Tiverton; Freeport; Westport; Kentville/New Minas; Mount Uniacke/Lakelands; and Bedford/Sackville, Nova Scotia and Sussex/Sussex Corner and surrounding areas, New Brunswick - 199906781 - 199906799 - 199906848 - 199906807 - 199907169

Applications processed by
Public Notice CRTC 1999-127
dated 5 August 1999

Acquisitions of effective control - Approved

1.  The Commission approves the application by Shaw Communications Inc. (Shaw), on behalf of Fundy Cable Ltd./Ltée (Fundy Cable) for authority to acquire effective control of Fundy Cable. Shaw will acquire all the issued and outstanding shares of Fundy Communications Inc., Fundy Cable's parent corporation.

2.  The purchase price related to this transaction is $460 million subject to adjustments at closing.

3.  The Commission approves the applications by Shaw Cablesystems Ltd. (Shaw Cablesystems), on behalf of Access Communications Incorporated (Access) for authority to acquire effective control of Access and its subsidiary, Kings Cable Limited.

4.  The Commission also approves the application by Shaw Cablesystems, on behalf of Access, to acquire 45% voting equity in Halifax Cablevision Limited.

5.  Further, the Commission approves the application by Shaw Cablesystems, on behalf of Access Cable Television Bedford/Sackville Limited (ACTBS) for authority to acquire effective control of ACTBS.

6.  The purchase price related to these transactions is $167 million subject to adjustments at closing.

7.  Based on the evidence filed with the applications, the Commission has no concerns with respect to the availability or the adequacy of the required financing.

8.  Shaw, the parent corporation of Shaw Cablesystems, is the second largest cable operator in Canada. As result of the approval of these applications, Shaw will significantly increase its presence in New Brunswick and Nova Scotia. It will serve more than 74% of New Brunswick's basic cable subscribers and more than 53% of Nova Scotia's basic cable subscribers.

9.  The Commission is persuaded that approval of these applications is in the public interest and consistent with the objectives of the Canadian broadcasting policy set out in section 3 of the Broadcasting Act.

Interventions

10.  The Commission received five interventions in support of these applications and four interventions which expressed conditional support. Among the latter, the Commission notes the interventions by AOL Canada Inc. and NBTel Inc. requesting that approval of these transactions be conditional upon Shaw providing third party access to higher speed services before offering its own Internet service.

11.  In Telecom Decision CRTC 99-11 dated 14 September 1999, the Commission directed cable carriers to provide their high speed retail Internet services to ISPs for resale as a proxy for access to cable carriers' underlying facilities. The Commission also found that cable companies have not failed to comply with previous Commission decisions on this issue, including Telecom Decision 98-9 entitled Regulation under the Telecommunications Act of Certain Telecommunications Services Offered by Broadcast Carriers

12.  The Commission has considered the other concerns raised by NBTel Inc. in its intervention and is satisfied with Shaw's response.

13.  The Commission acknowledges the concerns expressed in the opposing intervention filed by Western Telecom Construction Ltd. and is satisfied with Shaw's response.

This decision is to be appended to each licence. It is available in alternative format upon request, and may also be viewed at the following Internet site:
http://www.crtc.gc.ca

Secretary General

Appendix to Decision CRTC 99-446 / Annexe de la décision CRTC 99-446

Allardville; Alma; Back Bay; Baie Ste-Anne; Barnesville; Bathurst; Baxters Corner; Bayfield; Beaver Brook Station; Big Cove; Blackville; Blue Mountain Settlement; Boiestown; Bouctouche; Browns Flat; Burtts Corner; Campbellton; Canterbury; Cap Lumière; Caraquet; Caron Brook; Centre Acadie; Centre Napan; Centreville; Chatham/Newcastle (Miramichi); Chipman; Clair; Dalhousie; Davis Mill; Doaktown; Durham Bridge; Edmundston; Elgin; Florenceville; Fredericton; Gagetown; Grand Falls (Grand-Sault); Grand Manan; Hartland; Harvey; Hatfield Point; Havelock; Highway/Route 505 to Ste-Anne-De-Kent; Holtville; Hopewell Cape; Hybernia Heights; Jacquet River; Juniper; Keatings Corner; Kedgwick; Kingsley; Kouchibouguac; Lac Baker; Lakeville; Leonardville; Lepreau; Lower Turtle Creek; Ludford Subdivision; Ludlow; Mcadam; Meductic; Middlesex; Millville; Minto; Miscou Centre; Moncton; Morrisdale; Musquash; Nackawic; Nassonworth; Noonan; Notre-Dame-de-Lourdes; Patterson/Hoyt; Pennfield; Perth Andover; Petitcodiac; Plaster Rock; Pointe Sapin; Richibucto; Richibucto Village; River Glade; Riverside-Albert; Rogersville; St-André-de-Shédiac; St. Andrews; St. Antoine; St. George; St-Ignace; St-Joseph-de-Madawaska; St. Margarets; St. Martins; St. Paul/Val Richard; St. Stephen; Ste-Anne-de-Kent; Ste-Marie-de-Kent; Saint John; Salmon Beach; Shediac; Shippegan; Stuart Town; Taymouth; Temperance Vale; Tracadie; Tracy/Fredericton Junction; Upper Gagetown; Welsford; Welshpool; White Rapids; Williamsburg; Willow Grove; Wilson's Beach; and/et Woodstock, New Brunswick/(Nouveau-Brunswick) and/et Carleton, Quebec (Québec)