Broadcasters

Broadcasters Association to shut down

Toronto— The Canadian Press

Published Thursday, Feb. 18, 2010 4:23PM EST

Last updated Thursday, Feb. 18, 2010 5:04PM EST

The Canadian Association of Broadcasters says it is planning to shut down after reaching an impasse with some of its members.

Chairman Elmer Hildebrand says the organization, which represents Canadian radio and television broadcasters, has decided close this June.

Mr. Hildebrand has been trying since December to help the CAB find common ground between broadcasters and cable operators, who have been forcing increasingly different views on the industry.

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Cable companies like Rogers Communications Inc. (RCI.B-T38.170.030.08%)and Shaw Communications (SJR.B-T20.240.070.35%)hold televisions assets themselves — Citytv and Corus' specialty channels respectively — but they also have diverging views from local TV giants CTV and Canwest.

After reviewing its strategy, the organization concluded that local TV operators wouldn't be able to find a common ground with the cable companies.

Both CanWest and CTV have been pushing for a tax on cable operators like Rogers for carrying over-the-air television signals, an approach that has created a major rift between the two sides.

“It had become obvious some time ago that the three sectors, television radio and specialty (channels), all in the same room couldn't really sort out their priorities in a manner that the association could actually do their work,” Mr. Hildebrand said in an interview.

“It was my hope to be able to peel off the television and the specialty (channels) and maintain the organization as a radio-only association.”

The Canadian Association of Broadcasters was established 84 years ago to represent the radio industry and pursue common concerns, though it later branched into television broadcasting when both industries began to share similar interests.

Mr. Hildebrand says he hopes to form a new organization that solely represents radio broadcasters.

Industry reports have suggested that independent broadcasters like Channel Zero, Glassbox, APTN, OutTV and TV5 could form their own lobby group as well.

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