Commission awards radio licence for new Montreal gay and lesbian station

Dufferin Communications Inc. is ready to launch a gay and lesbian AM radio station in Montreal as a result of new radio broadcasting licences awarded Monday. The CRTC announced that it has awarded the coveted 690 kHz and 940 kHz AM radio frequencies in Montreal to Dufferin Communications Inc., as well as licences for a partnership involving Bell Media Inc. (owned by BCE Inc.) and numbered company 7954689 Canada Inc. Dufferin Communications, a subsidiary of Evanov Communications Inc., applied to the commission in September requesting the AM frequency for a new French-language AM service dedicated to serving Montreal’s lesbian, gay, bisexual and transgender (LGBT) community. In its application, Dufferin said the station, Radio Fierté, would offer music, news, weather, traffic and relationship advice and other programming for the gay community, which comprises just less than 390,000 people or 12.8 per cent of Montreal’s population. The CRTC noted Monday in broadcasting decision 2011-721 that, at the Oct. 17 hearing in Montreal for the AM frequency bands, Dufferin specified that the station’s content would be completely local. The company added that it was prepared to accept local content as a condition of licence, the commission said. In its decision, the CRTC said that for each broadcast week, seven hours and 52 minutes of Radio Fierté’s programming would be devoted to news, one hour and 27 minutes to sports and three hours and 41 minutes to traffic. The commission added that Radio Fierté’s musical programming would follow the example of any adult contemporary music station, with 10 per cent of programming devoted to special interest music. Dufferin specified in its application that it would devote a minimum of 15 per cent of its adult contemporary musical programming to emerging artists, the CRTC said. At the hearing, Dufferin said Radio Fierté would be the only AM French-language station of its kind and would feature a morning show hosted by gay broadcasters as well as music content produced by local gay artists. In its decision, the commission said it considered that Dufferin’s French-language station “would significantly increase the diversity of voices in the Montréal radio market by adding a new source of news and would offer a unique service to that market’s gay, lesbian, bisexual and transgendered community.” On Sept. 7, 2011, the CRTC opened a consultation on licence applications for access to the pair of AM frequency bands. Bell Media Inc. partnered with 7550413 Canada Inc., a Toronto company registered to Kevin Assaff, to turn Bell's unprofitable CKGM-Montréal (The Team 990) profitable by increasing its technical limitations and broadcasting power. The CRTC said Monday that Bell and the numbered company can change The Team 990's frequency from 990 kHz to 690 kHz, freeing up the 990 AM slot for Radio Fierté. Bell and the numbered company had submitted that additional spectrum would allow the station to maintain more night-time listeners and a better signal quality. In their submission, the companies said the station was losing 217,000 of its nearly 750,000 daily anglophone listeners due to limited nightly coverage. At the hearing, Mirko Bibic, Bell’s senior vice-president of regulatory and government affairs, told the commission that an increase in frequency range would allow lost listeners to be repatriated to the station, bringing in revenues of approximately $200,000. “Two hundred thousand doesn’t sound like a lot of money,” Bibic said at the hearing, “but $200,000 is 12 per cent of this radio station.” The CRTC acknowledged Monday that the Bell station was losing revenues. “According to the applicant, the station incurred losses of $4.9 million from 2007 to 2011,” the commission decision said. The CRTC added that Bell Media’s application had merit. “Approval would only have a minor impact on the Montréal radio market, given that CKGM, as a predominantly spoken word station with a focus on sports, has been present in this market for over ten years,” the commission said. According to the CRTC, the Montreal market is served by a total of 34 stations, 21 of which are commercial. The CRTC added that by awarding the 690 kHz frequency to Bell, the company’s current transmission site would be made available for another operator to use at the 990 kHz frequency. Bell spokeswoman Jacqueline Michelis said in an email statement Monday that “the change ensures much better reception of TSN Radio’s signal at all times, but especially in the west end of Montréal and in evening hours.” She added: “We expect that the improved service will increase both listeners and advertising revenue and enable enhanced investment in local programming production.” The CRTC said that, because the 690 kHz was awarded to Bell, it was appropriate to authorize 7954689 Canada Inc., a Montreal company registered to directors Rajiv Pancholy, Paul Tietolman, and Nicolas Tétrault Média, to use the 940 kHz frequency. Given the station’s target for a large audience, the 940 kHz frequency is the last clear channel in Montreal’s radio market, the commission said. The company had originally proposed using 690 kHz for its French-language station and 940 kHz for the English-language station, the commission said. The Montreal numbered company had asked the commission for access to both frequencies to launch two talk radio stations, one in French and one in English. But the CRTC only approved the company’s application for a French-language commercial AM station on the 940 kHz frequency. In a separate application, which was denied, the company had asked that its 940 AM English-language station feature English-language talk radio. The station would have competed with Montreal’s only English commercial talk and news station CJAD/800. The commission also denied an application from Cogeco Cable Inc. subsidiary Metromedia CMR Broadcasting for an English-language station solely dedicated to daily coverage of Montreal’s traffic, road construction and weather. The CRTC said in its decision it was not satisfied that Metromedia’s proposed service “would represent the best use of a high-power AM frequency in Montreal …” Metromedia had indicated at the hearing that only the 690 kHz and the 940 kHz frequencies would be acceptable to operate its proposed stations. Metromedia was the first to seek access to the coveted frequencies last May. But several applicants wanted access to the spectrum, leading the CRTC to withdraw Metromedia’s application from a scheduled July 18 hearing and issue a new call for applications. “We are very disappointed and surprised by the decision,” René Guimond, vice-president public affairs and communications at Cogeco, said in an interview. “With all the roadwork and traffic problems in the greater Montreal area these days, a radio station dedicated to traffic problems has become almost essential.” Guimond said the company is disappointed because it has been very happy with the results of Radio Circulation, its French-language version of the traffic station. “We’re very happy about the results and it has clearly demonstrated that it fills an important need,” he said. At the hearing, Cogeco told the commission that Radio Circulation, which launched in September, had attracted 440,000 listeners in only six weeks. The CRTC said Metromedia can submit a new application if it wishes to pursue the establishment of an English-language traffic station in Montreal. Guimond told The Wire Report that it's too early to determine the company's next course of action. “We have to assess the situation and to also meet internally to discuss the matter. We’ll see what happens,” he said. dgrenier@thewirereport.ca

Commission awards radio licence for new Montreal gay and lesbian station

Broadcast | November 21, 2011

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