GATINEAU — The CRTC has accepted Cogeco Connexion’s request for final offer arbitration with Bell Media regarding a dispute between the companies over wholesale rates for distribution of Bell’s French language youth channel VRAK.
In a letter dated May 21, the Commission asks Cogeco and Bell to file their final offers for the linear and multiplatform wholesale rates for distribution of VRAK by Cogeco. The final offers are due by June 5, 2020. After examination, the Commission will select one in its entirety and the decision will be binding on the two companies (unless of course they come to an agreement at the last minute, which often happens in these cases).
In addition to the existing affiliation agreement between Cogeco and Bell for distribution of VRAK, the Commission wants to see other affiliation agreements Bell has currently with other Canadian BDUs for the distribution of VRAK. Furthermore, the Commission has requested Cogeco provide the wholesale rates it pays for VRAK when offered in preassembled and/or build-your-own packages, along with the wholesale rates Cogeco pays for other comparable services. Bell is requested to provide wholesale rates paid by other BDUs for distribution of VRAK in preassembled or build-your-own packages.
Other information requested from Cogeco relates to numbers of monthly subscribers to VRAK and comparable services, as well as subscribers’ viewership of both VRAK and comparable services (set-top box data, average minute audience, total number of hours watched). The Commission also wants to know the retail rate for packages offered by Cogeco which include VRAK.
Bell is also asked to provide the number of subscribers to VRAK for each BDU (other than Cogeco) that distributes VRAK, as well as viewership data for VRAK, including average minute audience and total number of hours watched by month. Finally, the Commission asks Bell to provide the amount of total payments it has received from each BDU (including Cogeco) that distributes VRAK.
The Commission says it will forward a copy of each company’s offer to the other by June 10, 2020. The companies will then have five days following receipt of the other party’s offer to file comments with the Commission and to serve a copy of their comments to the other party. Neither company will be authorized to amend its offer, however.
