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CHUM announces changes to local news and workforce reductions
Posted on Wednesday, July 12, 2006 - 09:04 PM
CHUM Limited

CHUM Television today announced plans for a new approach to local information programming at its conventional television stations across the country. Individual stations will concentrate resources where they can be most effective within a challenging conventional television environment. The new approach will see the stations significantly increase focus on service to local viewers, with in-depth coverage of local community stories, events and information. In a number of markets, this will mean a move away from traditional newscasts resulting in a significant reduction in staffing and operating costs.

Citytv stations in Calgary, Edmonton and Winnipeg will move from traditional one-hour evening newscasts to a new daily half-hour local news magazine show "In Your City", with in-depth coverage of community stories coupled with a new daily half-hour national and international news package currently being planned. In addition, the popular local morning show "Breakfast Television", will be enhanced in each market, and in Calgary and Edmonton, expanded to four hours each morning. At A-Channel Victoria, serving Vancouver Island, the morning show will be discontinued in order to concentrate on the growing strength of the two-hour block of "A-Channel News" and "Vancouver Island Report", which includes the recent expansion of the Nanaimo bureau, providing enhanced coverage of local events and information from up-island. Citytv Vancouver will be discontinuing its traditional newscasts and adding resources to its "Breakfast Television" morning show, including expanded coverage of local traffic conditions and more live coverage from across the city every morning. Live updates and general information will continue throughout the day at regular intervals.

The emphasis on local community information, stories and updates will be supported by robust local station-branded websites featuring additional content, viewer response and editorial contributions, details of upcoming community events, as well as continuous updates on the important information that keeps communities running - from local events, traffic and weather to school bus schedules.

"This is an evolution of CHUM's commitment to satisfying the local needs of today's viewers in current and consistently relevant ways," said Peter Palframan, Senior Vice President Operations, CHUM Television. "Any decision that results in a reduction of staff is always difficult. However, our local experience, together with the extensive research and analysis we have conducted on our operational review over the last nine months, has shown we can be a more meaningful community partner and increase our competitive position by building on our strengths in each market."

Citytv Toronto continues its successful 6pm and 11pm "CityNews" broadcasts, while A-Channel News Barrie at 6pm and 11pm will return to a strong focus on Barrie, Simcoe County, Muskoka and Haliburton news and information. Programming remains unchanged at A-Channels in London and Ottawa, except that the daily noon news show in Ottawa will be discontinued.

With these changes, all CHUM's conventional stations will remain fully compliant with their CRTC Conditions of Licence.

Where applicable, the newscasts will discontinue on July 12th, with the new programming initiatives commencing early September and, in the case of Citytv Winnipeg, with a weekly edition of "In Your City" commencing January, 2007.

This change in approach to news and local programming in Victoria, Vancouver, Calgary, Edmonton, Winnipeg and Barrie will result in a reduction of 133 full time and 62 part-time positions, primarily in the News and Operations departments.

Concurrently, the company also announced technology changes for the production of local programming in its Citytv stations in Calgary, Edmonton and Winnipeg together with A-Channel stations in Ottawa and London, and the consolidation of master control and traffic operations for CKX Brandon and Citytv Winnipeg in Calgary. These technology changes will result in a reduction of 58 full time and 28 part-time positions in the News, Operations
and Traffic departments.

The one-time severance costs associated with these changes will be approximately $6.8 million and the capital costs will be approximately $2.5 million. The net annualized operating cost savings are projected at approximately $14.7 million. The initial changes will be implemented immediately, with all the changes expected to be fully implemented by January, 2007.





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