OTTAWA – The federal government should be finding out whether or not Canadian media company Canwest is still Canadian-controlled, says the Communications, Energy and Paperworkers Union.
“Prime Minister Stephen Harper needs to assure Canadians that the country’s largest media company has not fallen under foreign control,” says a union press release issued today.
The company has been under pressure for some time now due to well-documented debt issues.
"We have serious concerns that Canwest Global and Canwest itself may now be under the direction and control of U.S. investors, contrary to federal law," said Peter Murdoch, vice-president, media for the Communications, Energy and Paperworkers Union, which represents more than 20,000 media workers, including employees at Canwest’s print and broadcast outlets.
"When Canwest Global purchased Alliance Atlantis, it barely reached the Canadian ownership threshold by including all of its broadcast operations in the deal – but since the value of those assets has now dropped so sharply, it’s clear that Canwest’s U.S. debt holders may now be calling the company’s shots," explained Murdoch in the release.
"But Parliament has demanded that our communications media remain in Canadian hands, to ensure our sovereignty and security. Canadian newspapers receive tax breaks and Canadian broadcasters benefit from many regulatory incentives, all to promote Canadian ownership.
"Since Canwest’s existence hinges on the consent of its major creditors – largely foreign – CEP’s concern is that control of the company has de facto shifted to non-Canadians already – a situation that requires federal government intervention,” he added.
"The Canadian government should be monitoring Canwest’s actions to ensure that control is being exercised by Canadians, particularly while this debt-ridden company restructures itself to meet the massive debt it took on.
"We cannot allow financial advisors from Los Angeles to make decisions about the Canadian media landscape – that’s our turf.”
