ARCHIVED - Broadcasting Procedural Letter addressed to Karen Clout (Shaw Media)

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Ottawa, 3 February 2016

Karen Clout
Manager, Regulatory Affairs
Shaw Media
121 Bloor Street East
Toronto, ON
M4W 3M5

By E-mail:

Re:  In response to your 1 February 2016 request for clarifications

Ms. Clout,

On 28 January 2016, as a part of the review of the policy framework for local and community television programming detailed in Broadcasting Notice of Consultation 2015-421 (the 2015-421 hearing), the Commission placed on the record CRTC Exhibit 3 which constituted a series of undertakings relating to sales guidelines, accounting policies, the allocation of expenditures between various licensed and non-licensed undertakings among other questions.

On 1 February 2016, you sought a series of clarifications with respect to the undertakings in
Exhibit 3.  Your questions and a response to those questions are provided below.

1) Can you confirm we are only considering ad revenues? In the second sentence it refers to revenues (not ad revenues) allocated to unlicensed services.

Yes, this question refers to advertising revenues only.

2) By unlicensed, are you referring to our channels websites and other digital properties such as apps?

The Commission seeks to understand how advertising revenues are allocated across all your licensed and un-licensed media assets, including any service, undertaking, channel, station, platform or other applicable entity, such as mobile applications, to which advertising revenues are allocated.

3) You are asking for the allocation of these expenditures by service – are you only looking for the breakdowns for specialty services? Or are you referring to distribution, conventional, discretionary, and unlicensed as noted earlier in the question?

Please provide the breakdown by service in the case of discretionary services, by station for conventional television, by undertaking for distribution, and by any other appropriate type of entity to which expenses are allocated.

4) Can you please define “online video service”?

These types of services are discussed in paragraphs 35 and 79 of Broadcasting Regulatory Policy 2015-86.  Based on these paragraphs, an online video service is effectively a broadcasting service offering video over the Internet, operating, operatingas an exempt undertaking under the Digital Media Exemption Order (DMEO)(Broadcasting Order 2012-409). This would include but not be limited to any service that repurposes content made for licensed services including the simultaneous streaming of that content or the storage of that content for on-demand streaming or download at a later date.

This letter will be placed on the public record of the 2015-421 hearing. Should you require anything further, please do not hesitate to contact me by e-mail at or by phone at 819-934-1360. Alternatively, you may contact Jean-Pierre Lefebvre by e-mail at jean-pierre.lefebvre@crtc.gc.caor by phone at 819-994-5326.


Original Signed By

Guillaume Castonguay
Hearing Co-Manager

c.c. Eastlink; BCE; Cogeco; Rogers; Québecor; MTS; Telus; Access Communications Co-operative

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