[ENTERTAINMENT]Caissebuysfounder’sstake
inCirqueduSoleil
Quebecpension-fundgiantdoublesitsinvestment
infamedcircustroupeto20percentTheCirqueduSoleilproductionofLuziarunsuntilMarch1attheRoyalAlbertHallinLondon.
KIRSTYO’CONNOR/PAIMAGESHOCKEY
OttawaSenatorswillretire
ChrisPhillips’sNo.4jersey
onTuesday BTENNIS
FélixAuger-Aliassimereturns
toATPtop20afterreaching
final BBASEBALL
BlueJays’Biggiolooks
forconsistencyentering
sophomoreseason BSPORTS
B10-BOTTAWA/QUEBECEDITION ■ TUESDAY,FEBRUARY18,2020 ■ GLOBEANDMAIL.COMCOMPANIESAPPLE ....................................B
BANKOFMONTREAL............B
BANKOFNOVASCOTIA ........B
BOMBARDIER........................B
CAISSEDEDÉPÔTETPLACE-
MENTDUQUÉBEC ................B
CANADIANIMPERIALBANKOF
COMMERCE ...........................B
NATIONALBANK ...................B
PIER1IMPORTS....................B
ROYALBANKOFCANADA ....B
TDBANK ...............................BNext week’s CRTC hearings will
put a spotlight on the fierce fight
under way between telecom com-
panies and the federalgovern-
ment over the price of wireless
services in Canada – with some
executives suggestingthe govern-
ment is making unreasonable,
conflicting demands.
Telecom companies are ex-
tremely worried about a cam-
paign pledge to lower cellphone
bills by a hefty 25 per cent, saying
it will stall competition and in-
vestment in wireless networks.
But given longstanding national
gripes about phone and data costs- and backed by studies showing
Canadian prices are among the
highest in the world – thegovern-
ment is standing by its promise.
“Canadians are fortunate to
benefit from one of the best and
most reliable wireless networks in
the world. When we consider our
vast country this is an undeniable
achievement, but the concerns
around pricing are significant,”
said Navdeep Bains, the Minister
of Innovation, Science and Indus-
try, in an interview.
Many industry insiders say
prices have already come down
significantly in the past few years,
so they’re confused about the
starting point for the prices they
are being asked to lower. For in-
stance, Vancouver-based Telus
Corp. says the plans it currently
offers already meet or beat the
“stated benchmark for affordabil-
ity” outlined by the Liberal Party
during the election campaign.
WIRELESS,B
Hearings
toexpose
tensions
overcheaper
wirelessvow
ALEXANDRAPOSADZKI
TELECOMREPORTERThe federalgovernment is planning to in-
troduce new legislation in the next few
months that would give Canada’s broad-
casting regulator power over foreign tech
giants, such as Google and Netflix.
The government is drafting legislation
to modernize the Broadcasting Act and the
Telecommunications Act, which are en-
forced by the Canadian Radio-television
and Telecommunications Commission.
The CRTC’s powers include control over
broadcast licences, the power to levy mon-
etary penalties and the ability to compel
companies to provide commercially sensi-
tive information.
However, the acts were written in a time
before internet use was widespread and
the entry of foreign-owned tech giants
have left Canada’s cultural industries feel-
ing threatened. Unlike traditional broad-
casters, those digital entrants don’t require
licences to operate, which means they
don’t have to abide by requirements, such
as the amount of Canadian content they
serve to viewers.
The office of Heritage Minister Steven
Guilbeault said the new legislation would
expand the CRTC’s powers so that its juris-diction over traditional broadcasters
would be extended to also include the for-
eign-owned digital-content providers. De-
tails of the new capabilities are still being
worked out, but would be similar to what
the regulator can do to Canadian compa-
nies.
The minister’s office said the goal is to
table the legislation by June.
The new powers would align with what
the CRTC itself requested in a submission
to cabinet in 2018. That was followed by the
Broadcasting and Telecommunications
Legislative Review, which was released last
month.
CRTC,BGoogle,NetflixinOttawa’s
crosshairsforregulation
NewlegislationwouldextendCRTC’spowerstoforeign-owneddigital-contentproviders
CHRISHANNAY
DANIELLEBLANCOTTAWA
W
hen Bombardier Inc.
first announced last
month it might sell its
transportation unit to focus on
business jets, analysts knocked
the strategy, arguing it would
leave the company totally ex-
posed to the highly cyclical aero-
space industry.
There is dependable demand
for Bombardier trains, argued
the financial types.
In contrast, is there anything
more unpredictable than a billio-
naire’s appetite for the flying pal-
ace that is a new Learjet, Chal-
lenger or Global-branded luxury
aircraft? Why sell trains to keep
planes?
Anyone who follows family-
controlled Bombardier’s history
has heard this sort of criticism
before.
And they know the analysts
can be wrong, while the heirs to
the Montreal-based company’s
founder, the Beaudoin clan, have
got these calls right in the past
(although not always – the mas-
sive cost overruns on the com-
mercial C Series airliner being a
notable example).
However, Bombardier’s deci-
sion to sell its transport division
to France’s Alstom on Monday
for US$8.2-billion and focus on
the aviation business is in keep-
ing a recipe that has worked for
the company in the past.
Back in 2003, the Street was
giving Bombardier grief over the
capital and management time
devoted to what seemed like the
ultimate in discretionary prod-
ucts: Ski-Doos and Sea-Doos.
WILLIS, BTrainsale
clearsthe
runwayfor
Bombardier
totakeflight
ANDREWWILLISOPINIONSTEPHANEMAHE/REUTERS
AGRICULTURE
Climatechangecouldopenland
forfarminginCanada’sNorth,
butitcomesataprice B
DAVIDPARKINSON
Coronavirustoaffecteconomy
lessthanSARS,buthardesthit
willbemanufacturing BREALESTATE
HowenforcementofToronto’s
Airbnbrulescouldshakeup
therentalmarket BCaisse de dépôt et placement du Québecis increasing
its bet on Cirque du Soleil by buying out the founder of
the famed circus troupe.
The Canadian pension-fund giant is acquiring the
holdings of Guy Laliberté and doubling its stake in pri-
vately held Cirque to 20 per cent, the Caisse said Monday.
No further financial details were disclosed.
Mr. Laliberté will remain involved in Cirque’s creative
process and retain unspecified “economic interests” in
the company, the Caisse said. He is no longer involved in
Cirque’s day-to-day operations, but still has a seat on the
board and is consulted on shows. Texas-based private
equity firm TPG Capital will remain the majority share-holder, according to the pension fund.
“We are happy to strengthen our presence among sha-
reholders of Cirque du Soleil, an iconic entertainment
brand with worldwide renown,” Caisse chief executive
Charles Émond said in a statement. “[We intend] to con-
tinue backing Cirque du Soleil in its development pro-
jects that have showcased Quebeckers’ creativity and ex-
pertise for several decades.”
Cirque was founded in 1984 and currently employs
more than 4,900 people.
Last June, The Globe and Mail and La Presse reported
that Cirque was laying the groundwork for a possible ini-
tial public offering in early 2020, as the storied entertain-
ment company pushes ahead with a global expansion
strategy.
CIRQUE,BNICOLASVANPRAETMONTREAL