Too bad the Quebecor deal fell through...... at some point soon, Corus will have to start shedding individual assets to someone... probably Vista, Stingray, Durham and so forth...

paterson1 wrote:

Their real issue is the 1 billion in debt that they are going to have a real problem paying back.  Day to day their balance sheet isn't bad. 

The $1 billion in debt is a real problem. Someone help me with the math if I am missing something, but the balance sheet appears to be bad too. Corus made some painful cuts over the past two years and they were just enough to keep pace with the rapidly declining revenue. But their Outlook projects television ad revenue to drop by 20 per cent in the June to August quarter, continuing the trajectory. With not much left to cut, something has to give on the TV side. At least the Radio division seems to have improved its profitability through their cuts. Their Outlook hints of additional cost reductions so that spending in the June-August quarter will be reduced by 10 to 15 per cent compared to a year ago:

"In the fourth quarter, we expect geopolitical and economic uncertainty and the ongoing over-supply of premium digital video inventory from foreign competitors will contribute to continued lower demand for linear advertising. As such, the year-over-year percentage decline in Television advertising revenue in the fourth quarter of fiscal 2025 is expected to be in the 20 per cent range. Amortization of TV program rights is expected to be relatively flat in the quarter compared to the prior year. The Company will continue with its implementation of additional cost reduction initiatives and expects general and administrative expenses to decline in the range of 10 to 15 per cent for the fourth quarter versus the prior year, excluding any potential benefit from the Independent Local News Fund."
 

Last edited by DX (June 26, 2025 11:40 am)

DX wrote:

torontostan wrote:

Too bad the Quebecor deal fell through...... at some point soon, Corus will have to start shedding individual assets to someone... probably Vista, Stingray, Durham and so forth...

Aren't Stingray and Vista already independently owned companies, and Durham Broadcasting too. Unless you mean Global TV Durham?
 

Not sure what that has to do with it? I think you misread my note. I'm suggesting that Corus will eventually have to shed assets to pay down their debt.... radio is an easy place to start, every other asset would be tough to find buyers....

torontostan wrote:

DX wrote:

torontostan wrote:

Too bad the Quebecor deal fell through...... at some point soon, Corus will have to start shedding individual assets to someone... probably Vista, Stingray, Durham and so forth...

Aren't Stingray and Vista already independently owned companies, and Durham Broadcasting too. Unless you mean Global TV Durham?
 

Not sure what that has to do with it? I think you misread my note. I'm suggesting that Corus will eventually have to shed assets to pay down their debt.... radio is an easy place to start, every other asset would be tough to find buyers....

Best case scenario for Corus on the radio side would be for Stingray to grab the whole thing, and then leave it to them to spin off a handful of FMs in bigger markets, and also spin off or close a few AMs.