Global TV Owner Corus Sees Deeper Losses After Major Acquisition

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TORONTO — Corus Entertainment Inc. lost nearly $16 million in its fiscal third quarter, the first reporting period since the TV, radio and animation company acquired Shaw Media for $2.65 billion in cash and stock.

The Toronto-based Corus says its loss for the three months ended May 31 amounted to $15.8 million or 10 cents per share, which included debt refinancing costs and expenses related to acquisition and restructuring. That compares with a year-earlier loss of $8.1 million or nine cents per share.

Revenues were $360.8 million — up 78 per cent from $203.1 million — helped by advertising, subscription fees and merchandising.

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Since the quarter ended, Corus has cancelled the Global TV investigative news program "16X9" after eight seasons and has let go "The Morning Show'' co-host Liza Fromer at the end of her contract.

Corus president and CEO Doug Murphy said the company is pleased with progress since the Shaw Media acquisition.

"Moving forward, our focus will be on the pursuit of revenue and cost synergies, strong execution on integration and advancing our strategic priorities, which will deliver value to our shareholders over the longer term," Murphy said.

Both Corus and Shaw have two classes of shares that give voting control to the Calgary-based Shaw family. Shaw Communications also acquired a significant stake on Corus when it sold the media business for $2.65 billion, including 71 million shares of Corus and $1.85 billion in cash.