Tag Archives: CRTC

CRTC lays down the law for OWN

OWNThe Canadian version of the Oprah Winfrey Network is not one of the CRTC's favourite things right now.

On Friday, the commission issued what's called a mandatory order — a kind of "do this or else" note that has the backing of the federal court behind it — requiring the channel to abide by the terms of its licence that it has tried its best to work around since its days as CLT.

OWN, formerly VIVA, formerly CLT, was originally licenced as Canadian Learning Television in 1996 as a channel that would "provide formal and informal educational programs on a wide range of topics." (Even then, there were concerns — Commissioner Claude Sylvestre objected because it stepped all over provincial jurisdiction over education.) Its licence has been slightly watered down since then, but it remains at its core a channel focused on education.

Despite this, its programming has been largely of the mainstream entertainment variety. Under CLT, it aired episodes of The West Wing preceded by some comment by professors in a half-hearted attempt to justify the educational value. When it rebranded as VIVA, a network for "boomer women", it just about laughed in the face of its nature of service.

One needs only look at its current list of "accredited" educational programs to see how it's twisted things, showing general interest shows and getting small colleges to have courses where they critique camera angles or other silliness.

A look at its finances shows the move to OWN has been successful. Profit has gone up significantly, and the network now has a profit margin of 40% (that's actually down from almost 50% in 2009), making $10 million a year ($8.5 million after interest and adjustments) for Corus.

Read More »

CRTC says no to Planète Jazz/Radio X licence change

CHOI 91.9

Planète Jazz lives! Well, kinda.

On Thursday morning, the Canadian Radio-television and Telecommunications Commission released a decision denying a request from owner RNC Media to amend the licence of CKLX-FM Montreal (91.9 FM), changing it from a specialty jazz format to a spoken word one.

RNC said in its request that the jazz format did not bring nearly enough revenue, reaching only 18% of projections. So it proposed a spoken word format that, at the time of its application, was on only one other commercial station in French: the very successful CHMP 98.5.

It didn't take a rocket scientist to figure out this would have meant Montreal getting a Radio X station, as RNC owns the brand and its Quebec City station CHOI is very successful.

Sure enough, in August, the station switched formats anyway, launching Radio X Montreal. In order to remain in compliance with its licence, the station kept jazz music during the low-rated evenings, overnights and weekends (except a few hours on weekend afternoons when it airs rock music). The licence says that "a minimum of 70% of the musical programming broadcast to musical selections from content subcategory 34 (Jazz and blues)" — but there's nothing that requires music itself to take up a certain percentage of the broadcast day. So theoretically it would have to air no jazz music at all so long as it aired no other type of music.

The CRTC's decision doesn't really address this issue, and the appearance that the station, while respecting the letter of its licence, doesn't seem to reflect its spirit. In fact, it said: "The Commission analyzed the broadcast levels of CKLX-FM’s spoken word programming and notes that the licensee is in compliance with its obligations in that regard."

Read More »

Bell/Astral Take 2: The Proposal

Bell CEO Georce Cope (right) and regulatory head Mirko Bibic will appear in front of the CRTC again to make another proposal to buy Astral Media

Bell CEO Georce Cope (right) and regulatory head Mirko Bibic will appear in front of the CRTC again to make another proposal to buy Astral Media

In case you have been living under a rock for the past week, the CRTC finally released Bell's revised application to buy Astral Media. If you want to read it all, you can download it in a .zip file here. But beware, it's 73 documents, and many of them are long (the Supplementary Brief, in which Bell makes its case, is 63 pages, plus an eight-page summary plus a two-page table of contents).

So what's different this time around? Well, a lot. As we already knew from the Competition Bureau, Bell will sell some of Astral's TV channels in order to get it down to about 35% of English Canadian TV viewing and about the same amount of revenue from French-language TV as Quebecor.

And as we knew from the point when they announced the revised deal in November, Bell will ask the CRTC for a special exception from its competition rules in order to allow it to continue to own TSN Radio 690 while buying the three English-language Astral stations.

I've compiled, in point form, Bell's revised proposal for this story, which appears in Wednesday's Gazette.

Read More »

Competition Bureau deal with Bell/Astral: No change to plans for TSN 690

The Competition Bureau issued a statement on Monday saying it has come to a deal with Bell over its acquisition of Astral Media. Combined with a statement from Bell, we're learning some details about this deal and how Bell will avoid owning so much stuff it threatens competition in Canadian radio and television.

We'll learn more when the CRTC publishes the application this week.

What we know so far:

Bell has come to an agreement with Corus that will see the latter buy the following assets for $400.6 million:

  • CKQB-FM The Bear 106.9 Ottawa (Astral)
  • CJOT-FM EZ Rock 99.7 Ottawa (Astral)
  • 50% of Teletoon/Teletoon Retro in both French and English (Corus already owns the other half)
  • 50% of Cartoon Network (Canada) (Corus already owns the other half)
  • 50% of Historia
  • 50% of Séries+

A separate deal between Shaw and Corus, which are both owned by the Shaw family, will see Corus own the other half of Historia and Séries+, plus ABC Spark. Shaw will take Corus's 20% stake in Food Network and $95 million in cash. Corus has a press release on the two deals here.

Bell will also sell the following assets at auction:

  • Family (which includes Disney Junior)
  • Disney XD
  • Disney Jr. (French)
  • Musimax
  • MusiquePlus
  • CKCE-FM Kool 101.5 Calgary (Bell)
  • CHBM-FM Boom 97.3 Toronto (Astral)
  • CFXJ-FM Flow 93.5 Toronto (Bell)
  • CKZZ-FM Virgin 95.3 Vancouver (Astral)
  • CHHR-FM Shore 104.3 Vancouver (Astral)
  • CISL AM 650 Vancouver (Astral)
  • CHIQ-FM Fab 94.3 Winnipeg (Bell)
  • CFQX-FM FX 104.1 Winnipeg (Astral)

Corus can't buy any of the eight radio stations listed here because of CRTC ownership limits in those markets (two AM and two FM in each market). Corus doesn't own any stations in the Ottawa market.

The list of radio stations for sale (including the two to Corus) is unchanged from the one Bell presented the CRTC last year. That's interesting because the CRTC didn't particularly appreciate Bell's plan to sell off some Bell stations and some Astral stations in order to keep the best ones (with two exceptions, the ones for sale are the lowest-rated ones in those markets of the combined Bell/Astral holdings).

In its decision in October, the CRTC said:

the decision to include certain Bell Media radio stations in the divestiture plan can be viewed as an attempt by BCE to trade underperforming stations for successful ones, which would not provide a benefit to the Canadian broadcasting system or create the conditions for healthy competition. Selling less profitable stations could reinforce BCE’s position in these markets, make the entrance of new competitors more difficult and reduce the total tangible benefits paid on Astral’s radio stations.

What does this mean for TSN 690?

No Montreal radio stations are listed, even though the purchase of three English commercial stations would put Bell over the limit in this city. When the new deal was announced, Bell said it would ask for an exemption allowing it to keep CKGM as an English station. That remains unchanged:

Astral and Bell heard the loud and clear desire of Montréal sports fans to retain TSN Radio 690 as an English-language sports station (Bell had earlier proposed to convert the station to a French-language RDS sports station to meet CRTC rules). Bell has filed a separate application with the CRTC requesting an exception from application of the common ownership policy to allow the continued operation of TSN Radio 690 by Bell Media as an English-language sports station.

This proposal, though it might be favourable to fans of the station, is far from a done deal. Buying CHOM, CJFM (Virgin) and CJAD would mean Bell would own four of the five commercial English-language radio stations in Montreal, or four of six when the Tietolman-Tétrault-Pancholy station at 600 AM launches. Would owning such a large portion of the market be too much for the commission to consider?

Expect opposition from Cogeco, which owns The Beat, the only station that wouldn't be owned by Bell. Their opposition will be somewhat hypocritical, mind you, because Cogeco got its own exemption from the CRTC in 2010 allowing it to keep three French FM stations in Montreal (Rythme FM, CKOI and 98.5).

The fate of TSN 690 will be up to the CRTC. It could accept the exemption or force Bell to sell or shut down one of the four stations to remain under the limit (Bell indicated previously that if it had to sell a station, TSN would be the one to go). Selling the station might be difficult, because Bell would retain rights to Canadiens games, and TSN has previously said the station has never made money doing all-sports.

CRTC approves power increase for CKIN-FM

Current (blue lines) and newly approved (black lines) contours for CKIN-FM

Current (blue lines) and newly approved (black lines) contours for CKIN-FM

Earlier this month, the Canadian Radio-television and Telecommunications Commission approved a request from CKIN-FM, the commercial ethnic station at 106.3 FM, to increase its power, from 300 to 1200 watts.

The station (pronounced "Skin FM"), which is owned by CHCR, the same company that runs Mike FM 105.1 (the two operate from studios in the same building), was approved in 2007 and began broadcasting in 2010. It operates on a format similar to Mike, only its rush hours have French-language programming instead of English.

The application resulted in some very strongly-worded opposition from CKIN's competitors, Radio Humsafar, Radio Shalom and Yves Sauvé of CJVD-FM in Vaudreuil. Some of their beefs go back to the competitive process that saw CKIN's original licence awarded. Sauvé also applied for 106.3 for his Vaudreuil-based station, but the CRTC gave it to CHCR and forced Sauvé to find another one. He picked 100.1, which restricted the station's coverage on the island of Montreal, mainly because there's a community station in LaSalle on the same frequency. He opposed the new application because he had applied for use of the then-vacant frequency of 106.7 FM to give CJVD a better signal, and allowing CKIN to increase its power at 106.3 would have affected the signal on 106.7.

That was all made moot when the CRTC approved a new radio station in Hudson/St-Lazare on 106.7 FM last fall.

The other opposition was mainly about self-serving competitive needs, with station owners crying about how doomed their business model is if they don't get their way. Humsafar, which applied for an AM radio station in that same 2007 hearing and was denied, operates a South Asian service on a subcarrier. It tried to apply again for an AM ethnic station serving the South Asian community in 2011, but was denied. Then it tried to convert the AM station it owns, CJLV 1570 in Laval, to an ethnic station, but that was denied too. The main reason behind these denials was the inability of the Montreal market to sustain another ethnic radio station.

Humsafar opposed the application, arguing that CKIN-FM was already encroaching on its audience after increasing the amount of South Asian programming well beyond what it first proposed. But the CRTC points out in this month's decision that Humsafar, as a subcarrier service, does not provide financial information to the commission that it could use to evaluate the possible impact on its service, and in any case CKIN is not violating its licence obligations by having the amount of South Asian programming that it does.

Radio Shalom opposed for the same reasons as Humsafar and Sauvé, though it's not clear what interest Montreal's Jewish radio station has here.

The commission noted in its decision that other ethnic radio stations didn't oppose the application, and the power increase doesn't have an adverse effect on anyone else on a technical level. While CKIN didn't show a pressing economic need to increase its coverage, the CRTC was satisfied of the technical need to improve reception by listeners who complained about difficulty receiving the station.

As a result, the CRTC has said yes to CKIN increasing its power. The pattern remains the same, pointing mainly to the northwest.

Leeja Murphy, a PR representative for CHCR, says she does not know when the technical changes required to increase the station's power will take place.

Still no special tricks for watching American Super Bowl ads on cable in Montreal

Super Bowl on CTV

It's the one time during the year that people really care. But there's no change from last year. People who want to watch U.S. Super Bowl commercials on cable or satellite TV in Montreal are out of luck once again, because of CRTC rules.

For those unfamiliar, the Canadian Radio-television and Telecommunications Commission forces cable and satellite providers to perform simultaneous substitution — replacing U.S. channels' feeds with Canadian ones when both are running the same programming — in areas served by local television stations. The purpose is to keep advertising dollars for Canadian viewing in Canada, so they can support the Canadian broadcast system. And 364 days a year nobody cares because there isn't much of demand for local ads for businesses in Vermont or ads for DirecTV.

The Super Bowl is different because of all the hype surrounding its incredibly expensive advertising. But that alone doesn't create an exception to the rules. So TV providers will have to do substitution during Sunday's Super Bowl, forcing viewers to watch commercials from CTV instead of the originating American network. And cable and satellite providers will have to continue to calmly explain to irate subscribers that they're only doing what they're required to do by the CRTC, who will in turn have to explain what "simultaneous substitution" is and why it's there.

CTV's CFCF Montreal is carrying the Super Bowl (as is every other CTV station), so simultaneous substitution is mandatory in the area covered by its signal. That includes Greater Montreal, as well as (for Videotron anyway) areas like Lachute, Sorel and Granby.

And even though CTV is promising its own commercial goodies during the Super Bowl show, like announcing who's going to host the Junos, and an "exclusively Canadian" ad from PepsiCo about Lay's potato chips, Canadians from coast to coast will grumble about not having access to those multimillion-dollar ads airing in the U.S.

So how do you get around it? Here's how:

Over the air

The simplest way of getting a U.S. network signal on Super Bowl Sunday is to pick it up over the air with an antenna. The government can stop a lot of things at the border, but the electromagnetic spectrum isn't one of them.

This year, the Super Bowl is being carried on CBS, which is good because WCAX-TV in Burlington has a 443-kilowatt transmitter on top of Mount Mansfield, which reaches into the city if you have a good enough antenna. Because it's a digital signal, your television will need a digital tuner (most HDTVs have this). WCAX is on Channel 22, or virtual channel 3.1.

Videotron (analog and digital)

Videotron has resisted substitution, especially for the Super Bowl, and does so only when absolutely necessary. Still, it is required to substitute both the standard and high-definition feeds in the area covered by CFCF.

This means all customers in the following areas will see their signals substituted:

  • Montreal and on-island suburbs
  • Laval
  • The north shore
  • The south shore
  • Joliette
  • St. Jérôme
  • Montérégie
  • St. Jean sur Richelieu
  • Vaudreuil-Dorion
  • Lachute
  • Granby
  • Sorel

Quebecers outside of Montreal (as defined above) and the Gatineau region (which is part of the footprint of CJOH Ottawa) will not have their signals substituted and will be able to watch the American ads on CBS channels.

Other cable providers (including Bell Fibe)

Same as Videotron, I'm afraid. They don't have a choice in the matter. Whether they substitute their entire network or only where they have to is up to them.

Bell Satellite TV

Because Bell feeds the same data to all its customers via satellite, it is required (as of 2009) to substitute American feeds with Canadian ones nationwide. So even if you're in an area not covered by a CTV station, you're still going to see the CTV ads.

Shaw Direct

Because Shaw Direct includes technology allowing the provider to control what signals individual clients receive, it can implement simultaneous substitution selectively. The result will be similar to cable: substitution in areas covered by CTV stations, no substitution elsewhere.

American satellite providers (DirecTV, Dish Network)

These are technically illegal in Canada, but many people have found ways to get service north of the border, either by pirating them or using fake U.S. addresses. Since these are American providers, the CRTC doesn't control them.

Online

The only legal way to get the Super Bowl itself online is through CTV.ca (which is streaming NFL playoffs for the first time this year). There will probably be black-market feeds, but their quality probably won't match the HD signal you'll get on cable or over the air.

The ads are another story. YouTube has a special site devoted to Super Bowl ads that you can watch whenever you want, in high definition. They have promised to make the ads available as soon as they air on TV, and some are already there.

Bars

Because most of the loopholes have been closed, there aren't many bars advertising the American version of the game anymore. To provide a high-definition feed in Montreal, they would either have to set up an antenna capable of receiving the American station or subscribe to an American satellite service and hope nobody notices.

At least one bar in Montreal is promising U.S. ads. If you spot others, let me know in the comments.

Other loopholes

There are also methods that have no guarantee of success. You could try watching west-coast feeds. Some cable companies offer Seattle stations as a way to time-shift, and then forget to do substitution for live events like this. But broadcasters have become wise to people using this loophole. Videotron is certainly aware of it and will be substituting this channel.

You could also, I suppose, just go to Vermont or New York for the weekend and watch the Super Bowl there.

Fact-checking the debate over Sun News

Do you believe in fairness? Do you believe in freedom? Do you believe in Canada? Do you believe in puppies?

Both Sun News Network and its (primarily left-wing) opponents are debating the network's application for mandatory carriage on cable and satellite systems, which was published on Monday and will be the subject of a CRTC hearing on April 23. Each has prepared talking points to further their causes for and against. Unfortunately, a lot of them are based on incorrect information or oversimplifications of complex issues.

This is primarily the fault of the CRTC, which has a very complex regulatory system governing television distribution (and in particular specialty channels), one that is constantly changing.

To help clear up some of this, I'll offer some perspective on the claims made so far in this debate so you can form a better opinion (or, more likely, use them against your opponents in your Twitter flame wars).

For the claims from Sun News, I'll primarily refer to tweets from "Canadian TV First", its marketing campaign to support this application.

Read More »

CRTC considering new must-carry applications from Sun News, Vision, ARTV and more

Sun News Network wants to take away your freedom to not pay for Sun News Network.

That's spin, of course, but it happens to be true. Quebecor's freedom-loving, CBC-criticizing network is one of 22 existing and yet-to-be-launched cable channels that are applying to the Canadian Radio-television and Telecommunications Commission asking for it to require all Canadian cable, satellite and IPTV providers to put their channels in their basic packages and require all subscribers to pay for them whether they want them or not.

On Monday, the commission announced a hearing April 23 in Gatineau to consider applications related to mandatory carriage, as well as licence renewals for independent television stations and specialty services.

Different specialty channels have different categories that have different rights and responsibilities. Most new channels are what's called Category B. Channels in those categories come with no requirement for cable or satellite companies to carry them. They have to negotiate carriage with each cable and satellite company, and agree on things like wholesale rates and packaging. Older specialty channels are Category A, which have genre protection, meaning that new channels can't compete directly with them. They also must be made available on all digital cable systems, but can be made discretionary (meaning the subscribers decide whether they want to pay for them). Mainstream news and sports channels are Category C, which are designed to maximize competition and remove genre-related protections.

What's important here is that some channels have more rights than others. But a few channels have the ultimate regulatory gift: an order requiring all television distributors to put the channel in their basic packages and charge for them at a rate set by the commission. These include:

  • CBC News Network ($0.15/month) (French-language markets only)
  • RDI (0.10/month) (English-language markets only)
  • Avis de recherche ($0.06/month) (French-language markets only)
  • The Weather Network/MétéoMédia ($0.23/month)
  • TVA (free)
  • Aboriginal Peoples Television Network ($0.25/month)
  • CPAC ($0.10 $0.11/month)
  • AMI ($0.20/month) (English-language markets only)
  • AMI Audio (audio only) ($0.04/month)
  • Canal M (audio only) ($0.02/month)

Adding these together, it comes to $0.85 per month or $10.20 a year in French markets and $0.78 per month or $9.36 a year in English markets that goes on cable bills for mandatory channels.

The commission doesn't make this status easy to get. There has to be a compelling reason why all Canadians must have access to these services. Existing ones qualify because they provide essential news and information to minority-language communities (CBCNN, RDI and TVA), target underserved, disadvantaged minority communities (APTN, AMI, M), provide essential information on a non-profit basis (Avis de recherche and CPAC) or offer an essential service (The Weather Network/MétéoMédia, which got the status with a promise to become a national emergency broadcaster).

The official criteria for getting this status are more vague:

  • makes an exceptional contribution to Canadian expression and reflects Canadian attitudes, opinions, ideas, values and artistic creativity;
  • contributes, in an exceptional manner, to the overall objectives for the digital basic service and specifically contributes to one or more objectives of the Act, such as Canadian identity and cultural sovereignty; ethno-cultural diversity, including the special place of Aboriginal peoples in Canadian society; service to and the reflection and portrayal of persons with disabilities; or linguistic duality, including improved service to official language minority communities; and
  • makes exceptional commitments to original, first-run Canadian programming in terms of exhibition and expenditures.

The key points here are that it has to be exceptional, and it has to be exceptionally Canadian. It will be up to the CRTC to decide if the new proposed services meet those criteria.

Read More »

New low-power FM station would carry mainly Tamil programming

"...there are for all practical purposes no more FM frequencies available to serve Montréal." — CRTC, July 6, 2007

Five and a half years after the Canadian Radio-television and Telecommunications Commission made that statement in approving two new FM stations in Montreal, there are still people finding holes on the FM band to fill with low-power stations or stations in Montreal's suburbs.

The latest is an application published on Wednesday for a low-power FM station carrying mainly Tamil programming.

The station, at 102.9 MHz, would essentially be a migration of an existing service that operates on a subcarrier of CISM-FM. Before that it was on a subcarrier of CKUT-FM. Subcarriers are great because they can piggyback on existing stations, but they require special receivers to listen to.

And that's the problem that AGNI Communications Inc., owned by Phillip Koneswaran and Jenoshan Balasingam, is trying to overcome. According to the brief they submitted with their application, a younger demographic is more mobile, and the special receivers aren't built into car radios. To them, getting on FM, even at only 50 watts, is a better way to reach their audience.

Programming

For those familiar with the existing service, it will stay mainly the same. The proposal is that more than half of the programming (before 10am and after 5pm weekdays; before 10am and after 8pm weekends) will be in the Tamil language. The rest of the schedule will be filled with programming for the Sri Lankan, Indian, Malaysian, Ethiopian, Maldavian, Malaysian, Somali, Nepalese and Singaporean communities.

If that seems like an obscure mix, it is. The main selling point is that these communities and languages are not served by any other radio station in Montreal.

In 2011, the CRTC denied applications for three new ethnic radio stations in Montreal, mainly because they would compete with existing ethnic stations in markets that can't handle that kind of competition. By limiting its programming to those communities not served by any existing stations, this service can argue that it's not competing with them and there would be room for more.

According to the application, the radio station would be 100% ethnic programming, with no programming in either French or English. Its programming would be mainly local, and it proposes a minimum of 60% local programming being imposed as a condition of licence, increasing to 70% in the third year.

Broadcast contours and interference zones for proposed new FM station (click for larger)

Broadcast contours and interference zones for proposed new FM station (click for larger)

Transmitter

The low-power station would operate as a 50W transmitter on top of a building on Chabanel St. next to Highway 15. The signal covers Saint-Laurent, Ahuntsic, Mount Royal, Park Extension and parts of western Villeray before it starts hitting interference from other, much more powerful stations (the shaded areas above).

The technical brief goes through each of the stations that could cause interference problems:

On the same frequency:

  • CHOC-FM-2 St-Jacques-le-Mineur (34km away): This retransmitter of the French community station southeast of Montreal would not receive any interference in its current pattern, but at its theoretical maximum it might get some interference in a sliver around Candiac and La Prairie, most of which it would see interference from anyway from another station on the same frequency.
  • CFOI-FM-1 Saint-Jérôme (42km away): This retransmitter of a Quebec City-based Christian station would not receive any interference in its primary pattern, which covers a radius of about 20km. In fact, you wouldn't have to get far from the Montreal station before you start hearing this one instead.

On the first-adjacent frequency (103.1 or 102.7):

  • CITE-FM-1 Sherbrooke (102.7) (113km away): This 100kW Rouge FM station has a huge pattern that reaches into the Montreal area, and will be the primary cause of interference for this new proposed station. Only a tiny sliver of the station's coverage area of more than 30,000 square kilometres could be affected by interference from the new station, and the technical brief says the protection for stations of that class is limited to a radius of 86km, where there would be no interference. And it's kind of a moot point practically because people in that area (roughly downtown Montreal) would be listening to Montreal's Rouge FM station anyway.
  • CKOD-FM Valleyfield (103.1) (45km away): Though closer together, this station and the proposed one would not interfere with each other to any great extent.

On the second-adjacent frequency (103.3 or 102.5):

  • CHAA-FM Longueuil (103.3) (9km away): This Longueuil community station, whose transmitter is actually on the island of Montreal, is far in frequency from the new proposed station, but is physically very close. The technical brief nevertheless shows no interference between the two stations.

The analysis also includes stations even further away in frequency, CKRK-FM at 103.7 and CINQ-FM at 102.3. The first won't cause any issues because of its distance, and the station has promised to resolve any interference issues affecting the second.

Budget

The financial projections for the station are modest: $120,000 a year in revenue, increasing steadily to $300,000 by the seventh year. The first-year projection is perfectly reasonable, since it made that amount in 2011. Whether they can double that in five years is another story.

Operating expenses would be even more modest, going from $76,200 in the first year to just over $100,000 in the seventh. This means the station would be making a profit already in its first year.

The cost of actually setting up the transmitter is only $20,000.

Procedure

The CRTC has called a hearing for March 20 to consider this application (the same hearing at which it will consider an application for a French sports-talk station at 850AM). Unless significant objections are raised, a presentation by the applicant will not be required at the hearing, which will take place in Gatineau.

People wanting to comment on the application, or express support or opposition, have until Feb. 15 to do so (this includes other broadcasters who might oppose the station for technical or programming reasons). They can do so by clicking here, choosing Option 1 and then 2012-0821-5: AGNI Communication Inc.

 

After the hearing, it's up to the commission to decide when to come to a decision and what that decision will be.

CRTC proceeds with TTP application for French sports talk at 850AM

Proposed propagation pattern of station at 850AM

Proposed propagation pattern of station at 850AM: day (black lines) and night (blue lines)

An application I told you about in September, for an all-sports radio station at 850AM, was published on Wednesday by the CRTC and will be considered at a hearing in March.

The proposed station would be the third AM talk station in Montreal owned by TTP Media (officially 7954689 Canada Inc.), a company formed by partners Paul Tietolman, Nicolas Tétrault and Rajiv Pancholy. The trio's other two stations, already approved by the CRTC but yet to launch, are for a French-language news-talk station at 940AM and an English-language news-talk station at 600AM. They are expected to go on the air simultaneously some time this year.

Here's what the application tells us about this new 850AM station:

Programming

"Utilizing sports professionals and experienced broadcasters, AM850 will offer a locally produced, innovative brand of sports talk unlike anything heard previously in Canada. Francophone sports fans will finally have a 24 hour a day source of information covering the topics about which they are most passionate. Opinion, insight and debate sprinkled with listener interaction and lifestyle commentary will be offered up in a cutting edge fashion." — Supplemental Brief in application to CRTC

As was the case for its previous applications, TTP likes to talk big about how it's going to revolutionize radio with ideas no one else has tried before. This station is no different.

For one thing, there won't be a focus on live broadcasts of sporting events. Unlike TSN Radio in English, which has things like European soccer and NFL football games broadcast live, the TTP station plans to have zero syndicated live sports programming. Instead, it will be locally-produced sports talk, 24 hours a day, seven days a week (they're even willing to accept a condition of licence to this effect). Pancholy told me there might be some live local sports coverage, but the focus will be on discussion (which one would imagine would be mainly Canadiens-related) outside of games.

This is interesting, to say the least. Team 990 went a decade without rights to Canadiens games before it finally got them from CJAD in the hope that that would bring them back into the black (it didn't, but the station hopes that the move to 690AM will push it over the break-even mark).

On one hand, people love to rant about their Canadiens. On the other hand, they're more likely to do that on a station that carries the Canadiens broadcasts. Or at least that's the conventional wisdom.

Programming details will have to wait until the station is approved, but the application said they expect a total of four hours a week of hard news, and 126 hours (i.e. every minute of the week) of local programming.

The application also makes reference to "an online strategy.":

Online is the perfect place to offer up stats plus extended commentary and analysis. Using social media is an ideal way to further engage listeners in debate and discussion. A strategic use of cutting edge technology will insure that AM850 remains contemporary, immediate and relevant.

History

The application comes in the wake of the decision from owner Cogeco to replace CKAC Sports with Radio Circulation in September 2011. That move, which came after it became clear there was resistance to a move to reactivate 690 and 940 for government-subsidized all-traffic stations in English and French, left Canada's largest French-language market without a full-time sports talk station.

Instead, Cogeco's news-talk station CHMP 98.5FM has adopted a hybrid format, with news and information during the day and sports talk during the evenings, including live broadcasts of Canadiens and Alouettes games. (Montreal Impact games are not broadcast on radio in French in Montreal).

Though that decision has been criticized, and CKAC's market share is only a tenth of what it was as a sports station, CHMP's ratings have soared, and it's now the top-rated station in Montreal.

TTP's application focuses on the void left by CKAC and the need for sports talk during the day.

The transmitter

The proposed frequency, 850AM, was previously used by Montreal's CKVL (a station founded by Tietolman's father, Jack Tietolman). That station changed frequency and was transformed into Info 690 in 1999, and 850 has been vacant here ever since.

But rather than bring the station back using its previous parameters, TTP has suggested a new setup with an improved signal. The transmitter would be located in a wooded area off Don Quichote Blvd. in Notre-Dame-de-l'Ile Perrot. There's no transmitter site there, or towers, or anything. But it's an ideal location for the coverage pattern they want to create.

Because it's not a clear-channel station, it has to adjust its pattern to protect distant stations at night on the same frequency. The trickiest one is WEEI 850, a 50,000W station in Boston. This limits the proposed station's pattern to the southeast. There's also WKGE in Johnstown, Pa. (10kW), CJBC in Toronto (Première Chaîne at 860 kHz), WAXB in Ridgefield, Conn. (500W), as well as clear-channel stations in Denver and Alaska that are too far to be a real concern.

The station must also protect potential stations, patterns that are allocated but where no station is currently transmitting. (For the most part, these are patterns that used to be used by AM stations that no longer exist or that have changed frequency.) These include allocations in Timmins, Ont., Spaniard's Bay, N.L., and Enola, Pa., on 850, plus adjacent-channel allocations in Drummondville (820), Brockville, Ont., (830), Rivière-du-Loup (840) and Quebec City (870).

The proposed station was originally going to be 50kW day and night, but that had to change after the Federal Communications Commission in the United States noticed that the station would interfere with WEEI. The technical application had been based on incorrect data, and the new data showed an unacceptable interference. TTP responded with the simplest solution, which is to reduce its nighttime power to 22kW, but it says it may try another solution if it comes up with something better later on.

The proposed signal also encroaches on the allocated pattern for the Spaniard's Bay station. The community, just west of St. John's, was served by AM station CHVO on 850 until 1990, but the allocation remains active. TTP proposed reducing the Spaniard's Bay allocation's contours slightly, arguing it would be better for the broadcasting system as a whole, and the advantages to the Montreal station (which would, you know, actually exist) would far outweigh the disadvantages to an AM allocation that might never be revived.

Taking all these protections into account, TTP decided the best move was to point the signal toward to the northeast (around 35 degrees). Putting the towers on Île Perrot maximizes the population inside the coverage area for a signal pointed in that direction.

The proposed transmitter setup is four towers 88.2 metres high spaced 98 metres apart, in a line pointing toward Montreal. The signal would be very directional, with the 0.5mV/m contours reaching almost to Quebec City 250km away but barely grazing towns like Hawkesbury, Cornwall and Hemingford which are only about 50km away. The signal would be excellent in the lower West Island (somewhat ironic since it's a French station) but would cover Montreal and both shores pretty well.

Building a new transmitter site won't be cheap. The application lists $1.5 million for transmitter setup costs, plus $63,000 in annual rent. The project could also be the subject of hearings if residents nearby object. Pancholy didn't want to discuss details of potential hearings, but said that things were moving along well in terms of getting approvals necessary for the transmitter site.

TTP's other two stations will use a transmission site in Kahnawake owned by Cogeco on rented land. This site was deemed inadequate technically for the 850 station.

Budget

The financing for the proposed station would, like with the others, be through a combination of personal financing from the partners and a bank loan. The application lists $5 million in total financing, which breaks down as $1 million from the owners and $4 million in debt from James Edward Capital.

But the station's optimistic budget shows a quick profit turnaround. With $3.5 million in annual revenue, increasing to about $5 million by the end of the first seven-year licence term, the station expects to be making money by the fourth year of operation. Expenses would start at $3.6 million a year and rise to $4 million a year by Year 7.

Though TTP would argue its projections are conservative, its competitors would say they're unrealistic.

Station revenues would come mostly through local advertising, since TTP doesn't have any stations outside of Montreal (yet). It expects to come out of the gate with a respectable market share for an all-sports station:

"We conservatively project that by the end of the first year of operations AM will secure a 3.4% share of hours tuned for All Persons 12+ and a 6.0% share of hours tuned for males 25-54."

Nevertheless, it expects its impact on other stations "will be negligible. The approximate 2-4 % average yearly increase of revenue coming into the market should largely offset the financial impact of minimally decreased share for these stations."

TTP breaks down its ad revenue like this:

  1. 20% of our revenue will be derived from advertisers which do not currently advertise on existing radio services.
  2. 20% of our revenue would result from increased spending from advertisers which currently advertise on existing radio services (given this unique targeted opportunity).
  3. 15% of our revenue will come from our online/web site offerings.
  4. The remaining 45% of our projected revenues will come from existing radio services.

The application doesn't list the number of jobs the station would create, and Pancholy didn't want to come out with a number. Many administrative jobs would be shared among the stations.

The application makes reference to "a special intern program", which suggests that unpaid interns might be a big part of the plan here. (Cheap and free labour is certainly a large part of the tight-budgeted TSN Radio).

Process

The CRTC has called a hearing in Gatineau on March 20 to consider this application and others. Unless there are significant objections, the commission plans for these to be non-appearing items, meaning that the applicants won't have to appear at the hearing and there will be no actual discussions.

The public is invited to file comments with the commission on this application until Feb. 15. They can do so here (choose Option 1 and then 7954689 Canada Inc.)

After the hearing, the commission will take a few weeks (or a few months, it's really up to them) to make a decision. Once the station is approved, it will have two years to launch, though Pancholy said they would expect it to be up within a year of a positive decision.

What do you think? Does this business plan sound plausible? Are people more interested in talking about sports than listening to live matches? Can you have a sports talk radio station without any live sports? Leave your comments below.

Other coverage

The Journal de Montréal/Agence QMI has a story on this. Its headline says there will be a decision this summer, but no source is provided for that statement, and I doubt the commission has confided that detail to the reporter. It's a good guess, but it's a guess. The decision could be done by the end of April, or they might still be waiting for one in October. It's really up to the commission.

2013 will be a big year for local radio and TV

I wouldn't dare say that the crisis affecting news media is behind us, but there are a lot of reasons to be optimistic about local media — particularly on the broadcasting side — going into 2013. The coming year will see at least four new radio stations and one additional television station, which will mean more jobs for technicians, editors, advertising salespeople, marketers, broadcasters and even some journalists. And existing media will see some big changes too that will improve the local landscape.

In August, I did a piece for The Gazette going over upcoming changes station by station. Here's mainly an updated guide to those changes we expect to see this year:

AM radio

The biggest changes will happen on the AM dial, thanks to the Tietolman-Tétrault-Pancholy group which plans to launch news-talk stations in English and French. There's also another additional station, and perhaps a third by TTP Media. It won't bring things back to what they were in the 70s, but a lot of those frequencies that once had big-name radio stations and have been silent the past few years will be brought back to life:

600: TTP's English station will occupy the old CFCF/CIQC frequency, silent since 1999. The station was approved in November by the CRTC. The group wants it to have live programming 24/7, including a journalistic team that puts CJAD's to shame. That will mean hiring a lot of people.

690 (CKGM): TSN Radio was saved as an English station when the CRTC said no to the Bell/Astral deal, but they're going to try again, this time asking for an exemption to allow them to keep CKGM along with the three Astral stations. While a popular idea among the station's fans, it might not work with regulators who would face giving four of the five English-language commercial stations in Montreal to one company. The one thing that might help get this through is the new TTP station at 600 bumping the total number from five to six. But will that be enough to justify an already dominant radio group (CJAD/CHOM/CJFM) getting even bigger? In the more immediate future, an early afternoon host has to be found (or announced) for Randy Tieman's old slot.

730 (CKAC): The government-subsidized all-traffic station still does poorly in the ratings, though it doesn't have to worry about that too much because of the $1.5-million-a-year paycheque it gets just for existing. There's a new government that would love to save as much money as it can, but the deal with Cogeco only comes up for renewal in 2014.

800 (CJAD): No big plans are in the works for Montreal's News-Talk Leader that I know of. But it might have to change whether it wants to or not. If TTP makes good enough offers to lure away talent from CJAD, the latter might have to reshuffle its schedule.

850: The CRTC has confirmed that there's an application for the use of this frequency, but it hasn't been published yet. We do know it's from the Tietolman-Tétrault-Pancholy group and that it's for a French-language sports talk station. They've seen an opportunity now that there's no longer an all-sports radio station in French. But with 98.5FM carrying Canadiens and Alouettes broadcast rights, and devoting their evenings to sports talk, will there be enough of a gap for TTP to capitalize? If the application is published soon, it could be approved by this fall.

940: TTP's French-language station goes here, on the clear channel that was once home to CBC Radio and 940 News. The station was approved in the fall of 2011, which gives them until this November to launch or request an extension from the CRTC. No launch date has been set, but the plan is to launch both simultaneously some time in the spring. And just as 600 could steal talent from CJAD and elsewhere, we could see 940 taking away people from stations like 98.5 or even Radio X.

990: The former CKGM/Team/TSN 990 frequency was vacated on Dec. 1 and is ready for Radio Fierté, a French-language music and talk station run by Dufferin Communications. They have until November to launch or request an extension.

1410 (CJWI): Still waiting for the Haitian radio station (CPAM Radio Union) to switch to this frequency from 1610.

1570 (CJLV): The Laval-based commercial station, which had threatened to shut down if the CRTC didn't convert it into an ethnic station, had its bluff called when the CRTC ruled that the Montreal market couldn't take another ethnic station. Its plan B seems to be a partnership with Internet radio station CNV (which you'll see sometimes if you go to Complexe Desjardins) which sees the latter's programming on the former's signal.

FM radio

The FM dial in Montreal is full. That's really the only thing preventing someone from launching another radio station to compete with Virgin, The Beat and CHOM. Still, there's room for at least one addition in an adjacent market.

89.9 (CKKI-FM): Kahnawake Keeps It Country has hired a new morning man: local radio critic Sheldon Harvey. The small station with a low-power transmitter in its backyard isn't even the most popular station in Kahnawake. Can the former pirate station get enough revenue to cover its modest expenses and keep it on the air?

91.3 (CIRA-FM): The religious station has received CRTC approval to launch a subchannel which will carry programming by La Fiesta Latina. The subcarrier signal requires a special receiver to decode.

91.9 (CKLX-FM): Months after relaunching as Radio X Montreal, the former Planète Jazz is still awaiting a CRTC decision on whether it can abandon its status as a specialty jazz music station and be relicensed as a general commercial station. The application for this was first published almost a full year ago, and officially heard at the Sept. 10 hearing in Montreal. Under its current licence, CKLX-FM is required to devote 70% of its musical selections to the jazz/blues format. This doesn't technically interfere with them being a talk station during the day, since there isn't much music during talk shows. But it does go against the Radio X model of rock music on weekends. So until its licence changes, CKLX airs jazz/blues music evenings, overnight, on weekend mornings and weekend evenings.

92.5 (CKBE-FM): The Beat has some schedule shuffling to do. Ken Connors has essentially replaced the fired Murray Sherriffs as the morning news man, and Pete Marier has been doing weekend mornings in his absence, but on the website Connors is still listed as the weekend morning man. Will Bad Pete get a permanent gig here? On the regulatory front, the station is awaiting a decision on a request to boost its power from 44 kW to 100 kW. That request hit a bit of a snag because Dufferin Communications has applied for an FM station on that frequency in Clarence-Rockland, Ontario, just east of Ottawa. The CRTC is treating the applications as competing, even though The Beat said it would accept interference caused by the overlapping coverage areas. The hearing was in November, and a decision hasn't been published yet.

93.5 (CBM-FM): CBC Radio Two is waiting on the CRTC to decide whether, as part of the CBC's larger licence renewals, it will be allowed to carry commercial advertising. The request received fierce opposition from commercial competitors who believe the CBC will use its government financing to create an unfair commercial advantage for itself, as well as from CBC listeners who believe this will cause the network to make more decisions based on ratings and advertising than on the quality of programming.

95.9 (CJFM-FM): Will Montreal's top-rated music station face a stronger competitor in The Beat in 2013? Will its schedule undergo more changes as what seems like a revolving door of talent keeps spinning? Will listeners tire of Ryan Seacrest and demand more local talent during peak hours? We'll see. Otherwise, there aren't any big changes I know about in the works at Virgin.

96.9 (CKOI-FM): CKOI faces an identity crisis. Its ratings are pretty bad, and the regional network of stations with its brand has been switched to talk, with the exception of the Quebec City station that Cogeco doesn't own anymore. Cogeco already has a talk station in Montreal with 98.5, so what to do with the low-rated flagship station of a network that no longer exists? Its owners can comfort themselves with the news that it still ranks highly among younger audiences (18-34), but you have to wonder if the station will last the year the way it is without some big shakeup.

97.7 (CHOM-FM): As Montreal's rock station marks one year since the return of Terry DiMonte (see Bill Brownstein's story in The Gazette), the schedule is pretty stable: DiMonte and Heather Backman in the mornings, TooTall during the day, Bilal Butt in afternoon drive and Jason Rockman in evenings, with Sharon Hyland, Rob Kemp and Randy Renaud on weekends and Brandon Craddock and Ronny Mack splitting the overnights. Its ratings are decent, and it owns the male demographic (not hard since the other music stations are both targetting women).

100.7 (CBFX-FM): Like Radio Two, Espace musique is seeking permission to carry advertising.

103.7 (CKRK-FM): Kahnawake's K103 is trying to keep going without the attention that Ted Bird brought. It has a new program director in Al Gravelle, and a new morning guy in Zack Rath to join veterans Paul Graif and Java Jacobs. Will the station find an answer to its main existential question — is it a Kahnawake community station, or a wide-audience commercial station?

105.1 (CKDG-FM): Ethnic station Mike FM quietly lost afternoon guy Patrick Charles, leaving Tasso Patsikakis to carry the show solo. Is he bringing in the kind of ratings (and advertising) needed to make the relationship work for both parties? If not, there's a limited amount of time to make it work. Earlug ads in The Gazette are nice, but if Mike FM is going to be a general-interest radio station during the morning and afternoon drive hours, it needs some serious efforts in promotion.

106.7: Dufferin Communications, the same company behind Radio Fierté, has received CRTC approval for its radio station on this frequency in Hudson/St. Lazare. The station, which will almost certainly carry Dufferin's Jewel branding, will air mainly easy-listening music but also carry local news and information, which will be a boon to the local community. Here's a CTV Montreal report on the planned station. Its launch could be as early as spring but expect it to be closer to fall.

Television

Local television in Montreal is going to see its biggest changes since 1997. The number of stations will increase by one, from 9 to 10, but the changes are more significant than that:

CBMT (CBC) has taken some significant steps to improve local programming, even in the wake of cuts to the CBC's budget. The evening newscast expanded to an hour and a half, a late-night 10-minute newscast was added and then expanded to 30 minutes, and weekend newscasts added so the station has news seven days a week. This could improve even further depending on how the CBC's licence renewal goes. The CBC has proposed that its local stations have seven or 14 hours a week of local programming, depending on the size of the market (Montreal's English market would be considered large). Currently, CBMT has a bit under 11 hours a week of local news, so this would mean an expansion of some sort. The CBC also said that one of those 14 hours could be non-news programming. This could mean the return of cookie-cutter local lifestyle shows like Living or something else. But anything is better than nothing.

CFCF (CTV) is finally making the move toward high-definition newscasts, and a finish line is in sight in the spring or early summer for the 4:3 programming to be replaced by beautiful 16:9 HD. Its newscast also finally has a permanent replacement for Kai Nagata in Quebec City. Former Gazette reporter Max Harrold started there in November and is already working on his TV reporting skills filing reports in Montreal. He should be in Quebec City by the time the National Assembly resumes its work in February.

CKMI (Global) is launching a two-hour weekday morning show, long promised as part of Shaw's purchase of Canwest in 2010. It's supposed to be some time in the spring, but an exact date isn't set yet. There's also been no announcement of a host, though there have been hires on the technical side. The show will be Montreal's first local morning show since This Morning Live was cancelled in 2008. That was five years ago, but could we see some of its personalities returning? Richard Dagenais still works there.

CJNT (Metro 14/City) is changing owners, from Channel Zero to Rogers, within the month. Starting in February, its ethnic programming will be stripped (at least from primetime) and replaced with the entire Citytv lineup, including some new original Canadian shows. By September, it will launch a three-hour local morning show, competing with Global, and a weekly half-hour local sports show, the first since SportsNight 360 was taken off CFCF to make room for expanded weekend newscasts. The move will mean 20-30 new jobs, mainly technical ones. Rogers has made clear that it plans to hire locally for its on-air jobs.

ICI is the new kid on the block, taking up the ethnic programming from CJNT. The independent station, with some generous support from both Rogers and Channel Zero, will need to install a new transmitter and setup a complete television station essentially from scratch, but hope to be on the air by late spring or early summer. With more than a dozen independent producers already signed on and many more reportedly waiting to join, the project for an ethnic station financed by its own producers starts with a lot of good will.

I'm sure I've missed a bunch of stuff, that's being worked on in secret, or that's being done at a station too small to have a PR person keep me abreast. (If you know of stuff, let me know.) But even with just this, we can be confident that there's a lot happening in this city in 2013. And I'll try to document as much of it as I can.

Happy new year.

CRTC skeptical about CJNT, ICI applications

As with all ownership transactions it is the responsibility of the seller or its representative to prove that a transaction is in the public interest. The Commission has been abundantly clear about this recently. This means that the burden of proof lies with Rogers and Channel Zero. This is not simply a matter of promising to invest a certain amount of money in the Canadian broadcasting system, many other factors must also be taken into consideration, including the impact on the Montreal market and the Commission's various policies.

This was the statement at the beginning of last month's hearing by Jean-Pierre Blais, the chair of the Canadian Radio-television and Telecommunications Commission. Combined with the grilling that the commission gave to the three parties involved in two applications related to the purchase of CJNT by Rogers, it's clear that the commission's hard line about acquisitions wasn't just a one-off for Bell's sake.

Read More »

Bell/Astral Take 2 would give it near-monopoly on Montreal English radio

It's official: Bell is trying again. The company announced Monday morning that it has reached a new agreement to acquire Astral Media, and will submit a revised proposal to the Canadian Radio-television and Telecommunications Commission, one that will address the commission's concerns about Bell becoming too big.

Details of the bid won't be known until the CRTC publishes the application, which could take months, but it's expected Bell will sell off some English-language television assets to stay under the CRTC's ownership cap, and Bell says it will improve its tangible benefits package (with at least 85% of it going to on-screen initiatives).

CKGM will stay English

One detail we do know concerns CKGM. Bell says it will ask the CRTC for an exemption to the common ownership rules to allow it to keep TSN Radio 690 as an English station. From their FAQ:

We heard sports fans in Montréal loud and clear. Their passion for sports talk radio is unparalleled. Loyal and devoted, they responded in droves in an effort to preserve CKGM (TSN Radio 690) as an English-language sports radio station. As a result, as part of our new application, we are filing a request for an exception to the CRTC’s Radio Common Ownership Policy to keep TSN Radio 690 as an English-language sports radio station. As a result of tremendous listener response, we think it’s a discussion worth having. We believe an exception to the Policy is reasonable, consistent with previous regulatory practice, and the only way to preserve CKGM as an English sports talk station. Montréal sports radio fans deserve it.

An exemption from the policy is certainly what many listeners were calling for after Bell decided to blame the CRTC for its decision to request TSN be turned into RDS Radio. But it would also mean four of the five English-language commercial radio stations in Montreal (or four of the six if you include the soon-to-be-launched TTP Media station at 600AM) would be owned by the same company.

Normally, CRTC rules state that one company can own no more than two AM and two FM stations in a single market (English and French Montreal are considered separate markets), and that in markets with fewer than eight commercial radio stations, one company can own no more than three.

The combined Bell-Astral would have a 61% total market share and a 79% commercial market share in English Montreal.

It's odd to hear Bell say on one hand that it understands the CRTC's concerns about concentration of ownership on a national scale and then argue it needs to own more radio stations in Montreal than the policy would normally allow. (Of course, it's just as odd for Cogeco to cry about Astral's market power in radio when it got a similar exemption allowing it to own three French-language commercial FM radio stations in Montreal. In that case, it was so it could hold on to CHMP 98.5FM as the flagship station of a Quebec-wide radio news network.)

Since there's no application to change CKGM's licence, they can't turn around and make it French if the CRTC decides not to allow Bell to own four stations. Instead, it or one of the other former Astral stations would likely be sold to bring Bell under the ownership cap. And since CKGM has the poorest ratings, it would likely be the one to go.

So while RDS Radio isn't an imminent threat, CKGM and its staff aren't out of the woods yet.

Say No To Bell vs. Canadians Deserve More

If there's one thing Bell has learned most from its previous attempt, it's that it needs a better PR campaign to convince Canadians to be on its side. So it launched CanadiansDeserveMore.ca along with a corresponding Twitter account. Expect to be bombarded by ads from Bell touting the awesomeness of this deal, particularly on television and radio stations owned by Bell Media and Astral. And, if Quebecor and others aren't convinced this new deal addresses all of their concerns (I'm guessing it won't), expect a similar ad campaign from Say No To Bell on channels owned by Quebecor and Cogeco, and possibly Rogers and others as well.

 

The public will have a chance to comment on the application when it's published by the commission.

CRTC approves TTP Media’s English news-talk station at 600AM

Nicolas Tétrault, Rajiv Pancholy and Paul Tietolman now have licences for two AM radio stations in Montreal.

The Canadian Radio-television and Telecommunications Commission on Friday approved an application by 7954689 Canada Inc., better known as Tietolman-Tétrault-Pancholy Media, to create an English-language talk radio station at 600AM.

The station, which would have 100% local programming under a news-talk format, would be the first direct competitor to market leader CJAD since 940 News, which changed formats in 2008 and eventually shut down in 2010. (The commission notes that CKGM, which is all-sports under the TSN Radio 690 brand, and CBME-FM, which has CBC Radio One programming, are not direct competitors because the first has a different format and the second is non-commercial.)

Approval was expected, because in its decision last year rejecting the application, the commission made clear that it was doing so only because it did not have an available frequency to give to the group. It invited TTP to re-apply for another frequency, and said it would reconsider the application. TTP did that, stepping down from an earlier bluff that it needed clear channels for both stations or wouldn't proceed with either.

The new application received little opposition, only one comment that the market could not handle a competitor to CJAD (see below). The commission dismissed the comment, which came with no evidence to back it up, noting that CJAD itself did not oppose the application.

The new station will operate as a sister station to one the commission approved last year for a French news-talk station at 940AM. That station has until November 2013 to launch unless it gets an extension. Paul Tietolman tells me he expects both stations to launch in the spring at around the same time.

It was also revealed recently that the group has applied for a French-language sports-talk radio station for 850AM, the former frequency for CKVL, a station owned by Tietolman's father. That application has not yet been published by the CRTC.

You can read my Gazette story on the decision here.

Read More »

CRTC approves Hudson/St. Lazare radio station

Coverage area of proposed FM station in Hudson/St. Lazare provided by Dufferin Communications

The Montreal area is getting another radio station. On Friday, the Canadian Radio-television and Telecommunications Commission approved an application from Dufferin Communications Inc. for an English-language radio station in Hudson/St. Lazare.

The station would be a local one, with 500 watts of effective power, operating on 106.7 MHz and playing easy-listening music, similar to that of its other stations that are part of the Jewel network. (Dufferin says the station's branding hasn't been decided yet, but "Jewel" is an option.) The application called for 110 hours a week of local programming, including four hours and 22 minutes a week of "pure news", of which half would be local to the area.

I summarize the decision in this story for The Gazette's new Off Island section, which targets this community.

This will certainly mean jobs for journalists and radio workers in the region. Dufferin vice-president Carmela Laurignano tells me they plan to hire 15-20 people in total to work at the station. The proposed station's financial projections show revenue gradually growing from $480,000 the first year to $1 million in the seventh year of its license. Expenses would start at $700,000 (including a $90,000 startup cost) and reach $850,000 in the seventh year.

About 95% of its advertising revenue is expected to be local, with 20-30,000 minutes sold a year at an average rate of between $22 and $34 a minute.  Under these projections, the station would start making money in Year 4 and pay for itself in the seventh year.

The application was not without opposition:

  • Cogeco objected that there wasn't an open call for applications for what can be considered Montreal's last available FM frequency. (The frequency was used by Aboriginal Voices Radio until it shut down here, then on an unlicensed basis by Kahnawake Keeps It Country until it got a formal licence for 89.9FM.)
  • Groupe CHCR, which owns ethnic stations CKDG-FM and CKIN-FM in Montreal, objected that the station would negatively affect its station and others
  • CJVD-FM, which is a French-language commercial station in Vaudreuil, objected that the region could not accomodate two local stations that would have to compete with the larger stations in Montreal.
  • Groupe Radio Enfant told the CRTC it planned its own application for a station at 106.7 (the group had a temporary permit to operate a transmitter on that frequency in late 2009). The CRTC says it has received no such application.

In the end, the CRTC dismissed the objections. The commission found that the station's pattern would not significantly compete with large Montreal radio stations because the signal does not reach far into Montreal. It did not compete with CJVD-FM because they're in different languages, and most importantly 106.7 FM is not a viable frequency to use in Montreal itself because it is too close to CHCR's CKIN-FM 106.3 and would cause too much interference. (Though CHCR itself applied to move CKDG-FM to that frequency from 105.1, thinking it would get a better signal. It later withdrew that application.)

Dufferin Communications is also the company behind Radio Fierté, a French-language music and talk station aimed at Montreal's LGBT community that got CRTC approval to broadcast at 990 AM after CKGM vacates that frequency. Laurignano said they expect to get moving on that station in the new year.

Though Radio Fierté has already been approved, the Hudson/St. Lazare station's application predates it. It was first filed in February 2010.

Dufferin Communications has two years to get the station running unless it asks for an extension from the CRTC. That means it must be up by Oct. 19, 2014. The licence expires on Aug. 31, 2019. Laurignano said they expect to have it on the air by the fall of 2013.

And by the way, fans of National Public Radio can breathe. Dufferin had listed as an alternative frequency in its application 107.9FM, which is the frequency used by the Vermont Public Radio transmitter that covers northern Vermont and much of Montreal. Unless someone else applies for that frequency (which isn't protected from interference here), VPR can still be heard on it.