ARCHIVED - Decision CRTC 2000-464

Men TV - a new specialty channel

On 24 November 2000, the Commission made a decision to issue a licence for a new national English-language Category 1 specialty television service to be called "Men TV." The Commission noted at that time that reasons, terms and conditions of the new licence would follow at a later date.

Men TV will be a magazine-style television service that will supply informative and entertaining solutions to Canadian men's lifestyle questions. As noted in Public Notice 2000-171 issued today, Men TV and 20 other new digital specialty services will be made available to subscribers by all distributors who offer programming to the public using digital technology and by some cable operators who serve smaller markets using analog technology. The licence, when issued, will expire 31 August 2007.

Men TV will bring added diversity to the Canadian broadcasting system by offering programming on a variety of subjects, entirely from the perspective of Canadian men. The focused nature of the programming is not currently duplicated on any existing Canadian service. In Public Notice 2000-171, the Commission discusses the general criteria for the approval of this and other applications for new specialty services.

The licensee of the new service will be Men TV Inc. The voting interest in Men TV Inc. will be held by Groupe TVA inc. (51%) and Global Television Network Inc. (49%).

Terms and conditions of licence common to all of the new Category 1 specialty services are set out in an appendix to Public Notice 2000-171. Conditions specific to this application can be found in the appendix to this decision.

Programming

Nature of service

Contributions to diversity

Men TV will contribute to the growing diversity in the Canadian broadcasting system by providing television programming dedicated to the leisure and lifestyle pursuits of men. While a variety of programming related to food, health, fitness, books and music appears on some existing channels, it is largely targeted to a female audience, and not concentrated as it will be on Men TV. Men TV will offer information and analysis related to its core themes as they concern Canada and other countries from a Canadian point of view.

Canadian content

The licensee made a commitment to broadcast a minimum of 50% Canadian content from 6 a.m. to midnight, and from 6 p.m. until midnight, throughout the licence term. A condition of licence to this effect is set out in the appendix to this decision.

Following discussions at the hearing, the licensee further committed to broadcast a minimum of 156 hours of original Canadian programming in each year of the licence term.

Canadian programming expenditures

Beginning in the year following the first year of operation, the licensee will expend a yearly minimum of 39% of its gross advertising, infomercial and subscription revenues on Canadian programming for broadcast on Men TV. The licensee estimates that, in accordance with this formula, it will spend almost $27 million over the licence term, to acquire or produce Canadian programs. A formula for the calculation of the amounts required is set out in a condition of licence, found in the appendix to this decision.

Independent production

As set out in Public Notice 2000-171, all Category 1 services will be subject to a standard condition of licence related to the use of independent production.

Interactivity

Men TV will be accompanied on the Internet by a website dedicated to providing additional information and analysis related to themes explored on the television service. The website will help Men TV to form relationships with its audience and to experiment with new programming. According to the applicant, males between the ages of 25 and 44 are the single largest demographic group on line, and make up almost half of all online shoppers in the U.S. Since the primary audience for Men TV will be males aged 25-49, the licensee is confident that the Men TV website "will become a virtual men's club, where men can discover and discuss new trends and realities in today's world".

Ownership and synergies

Voting interest in Men TV Inc. (the licensee company of Men TV) will be split between Global Television Network Inc. (Global) (49%) and Groupe TVA inc. (TVA) (51%). TVA will manage all matters pertaining to broadcasting, technical services, sales, accounting, financial services and relations with distributors.

The shareholders in Men TV are leaders in their respective fields, bringing a wealth of operating experience and economies of scale for the new service. Global has expertise in drama production and has extensive production facilities and resources. It also owns and operates the successful specialty service PrimeTV. TVA is an integrated communications company with operations in television broadcasting, production, the Internet, publishing and other sectors. It is the largest private sector broadcaster of French-language entertainment, news and public affairs programming in Canada. It also owns and operates a network of ten television stations in Quebec, and LCN, an all-news specialty service.

Filing requirements

This authority will only be effective and the Commission will only issue the licence when the applicant has clearly demonstrated that it is a "qualified corporation" as defined in the Direction to the CRTC (Ineligibility of non-Canadians) and is eligible to hold a licence. Consequently, the applicant is required to file all relative incorporation documents (certificate and articles, by-laws, etc.), copies of the programming supply agreement; unanimous Shareholders' Agreement, management agreement or any other pertinent agreement, for review and approval by the Commission.

Other matters

Rate

As part of its application, the licensee proposed a monthly wholesale rate of $0.55 per subscriber, throughout the licence term.

Service to the hearing-impaired

For the convenience of audience members with hearing impairments, the licensee will install a TTY (teletypewriter), and has made a commitment to ensure that a minimum of 50% of all programming in the first three years of operation will be captioned. That minimum will increase by 10% in each subsequent year, and in the seventh year of the licence term, at least 90% of all programming on Men TV will be captioned. The Commission notes these commitments, and expects the licensee to fulfil them.

Service to the visually-impaired

With respect to the provision of descriptive video service (DVS) for visually-impaired persons, the licensee stated that it has no plans for the implementation of DVS during the first term of licence. Nevertheless, the Commission requires Men TV to be technically equipped to deliver described video programming. In addition, the Commission encourages the licensee to provide audio description of visual information wherever possible, and to provide described video programming as outlined in Public Notice 2000-171.

Employment equity

The Commission notes that this licensee will be subject to the Employment Equity Act that came into effect on 24 October 1996 and therefore will file reports concerning employment equity with Human Resources Development Canada.

Conclusion

Men TV will provide a unique brand of programming directed to a primarily male audience. The Commission is satisfied that Men TV will be a popular service, as evidenced by the increasing availability of men's lifestyle magazines, and will encourage the rollout of digital, by being appealing to a group that will include many of the first consumers to adopt digital television reception.

Secretary General

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

Appendix to Decision CRTC 2000-464

The licence for the national English-language programming undertaking (specialty television service) known as Men TV will be subject to the following conditions, as well as those set out both in Public Notice CRTC 2000-171, and in the licence to be issued.

Nature of service

2. The programming must be drawn exclusively from the following categories, as set out in Schedule I to the Specialty Services Regulations, 1990:

Analysis and interpretation

Specials, mini-series, made-for-TV films

Long-form documentary

Variety

Reporting and actualities

Game shows

Informal education/recreation and leisure

General entertainment and human interest

Ongoing comedy series (sitcoms)

• No more than 10% of all programming broadcast during each broadcast week shall be drawn from category 7.

Exhibition of Canadian programs

Expenditures on Canadian programs

Definition

The term "broadcast day" shall have the same meaning as that set out in the Television Broadcasting Regulations, 1987.