Write downs lead to billion-dollar loss at Canwest

WINNIPEG – Canwest Global Communications recorded a net loss of $1.04 billion for the fiscal year ended August 31, 2008, which was primarily due to a non-cash $1.01 billion write-down of goodwill and broadcast licences related to its Canadian conventional television operations. According to the company’s release, the write-down reflects a deterioration in the near term profit expectations for the company's Canadian conventional television business resulting from expected softness in conventional television advertising revenues combined with structural and regulatory challenges specifically facing the Canadian conventional television industry. Net earnings were $279 million for the previous year. Operating profit in fiscal...