MONTREAL – Bell learned its lesson after the CRTC refused its request to acquire Astral Media last fall and, among other things, the company won't be making any surprise changes to its proposal when it goes in front of the commission May 6 for its second attempt.
That's what Bell Media president Kevin Crull told reporters Friday after a speech to the Academy of Canadian Cinema and Television in Montreal. In that speech, delivered in English in the presence of Astral executives Ian Greenberg and Jacques Parisien, he reassured francophone TV and film producers that the acquisition would result in more investment in independent programming and keeping Montreal as its home for decision-makers on French-language projects.
"I promise that no one will have to come to Toronto to make a pitch," Crull said in his speech, a statement that drew applause from the crowd.
Crull's speech mused openly about trying to duplicate Quebec's star system in English Canada. "It’s astonishing the kinds of audiences that home-grown francophone talent and production can still deliver," he told reporters afterward speaking of the success of original French-language television shows in the Quebec market. In English Canada, he said, "I think there’s a history of promoting the show but not the talent behind the show, and maybe not building the careers of the talent."
"A big reason behind our interest in Astral is for the talent."
Crull also cleverly credited Quebecor, one of the biggest opponents of the Astral acquisitions, for showing the benefits of vertical integration. "Quebecor had created a very successful business, among the most successful in the world, by combining a broad array of media assets with television distribution and operating with unfettered vertically integrated execution," he said of the model Quebecor began with its acquisition of Videotron in 2001.
Among changes Bell has made to its CRTC proposal is the divesting of some Astral-owned and part-owned specialty TV services, a request for an exemption to the radio common ownership policy to allow it to keep CKGM 690 AM, its TSN Radio station in Montreal, and the replacement of tangible benefits deemed inappropriate by the CRTC, like upgrades to subsidiary Northwestel's network and the launch of a new French-language all-news channel, with more money instead to independent producers, festivals, production funds and other groups in the industry.
"We are optimistic that we have incorporated all that feedback" from the Commission, Montreal sports radio fans and other groups, Crull said, "but I take nothing for granted."
One piece of feedback that wasn't incorporated was the Commission's criticism of Bell's radio divestment plan. The list of 10 stations for sale in Vancouver, Calgary, Winnipeg, Toronto and Ottawa, raised eyebrows then because it included three stations already owned by Bell.
That move "can be viewed as an attempt by BCE to trade underperforming stations for successful ones," the CRTC said in its decision last fall.
"I think you’ll find that we’re very comfortable that’s not the case," Crull said after being asked why the list remains unchanged. Bell argues in its submission that the stations it's selling are valuable, and some are among the highest-rated in their markets.
The CRTC also criticized Bell during last fall's hearing, and again in its decision, for making changes to its proposal at the hearing. These "last-minute changes undermine the ability of the Commission to test and clarify proposals, and diminishes the ability of the public to meaningfully comment on applications," the decision read.
"We submitted a very complete record in both our application and our reply," Crull said, promising no surprise changes this time.
Asked to comment on rumours that have circulated for years that Bell is interested in buying the third-rated conventional Quebec broadcaster, V network, currently owned by independent Remstar, Crull said "I haven’t heard that rumour. "
Crull also couldn't be pinned down to a guarantee that the merger would not result in job losses. "This is a dynamic industry," he said, and "job guarantees are not really reasonable." But he reassured on-air talent that they "should not feel threatened because there’s no overlap" in services.
The Bell-Astral II hearing begins next Monday, May 6.
