MONTREAL, Oct. 4 2001 /CNW/ - COGECO Inc. and Bell Globemedia Inc. announced
on September 18, 2001, that they were acquiring TQS and establishing a new
joint venture regrouping TQS and COGECO's affiliate television stations in the
regions. The Canadian Radio-television and Telecommunications Commission
(CRTC) is expected to make public shortly the contents of the COGECO and Bell
Globemedia application that it plans to consider at the public hearing to
begin on November 19th in Montreal.

    The benefits put forward by the owners
    --------------------------------------
    ON-SCREEN BENEFITS
    In their application, COGECO and Bell Globemedia state that they intend
to invest over a six (6)-year period an amount totaling $7.39 million in a
series of initiatives for the benefit of both the viewing public and the
Canadian broadcasting system. The proposed tangible benefits represent a
financial contribution equal to 10% of the value of the transaction, which is
the rule for this type of transaction.
    The new owners of TQS plan to invest $6,798,000 in on-screen benefits,
over and above what TQS is obligated to spend by condition of licence. The on-
screen benefits will be directed to independent producers that are not
associated with TQS and that will be called upon to produce new priority
content for broadcasting by TQS, in the variety and comedy program categories.
This initiative will increase the budget allocated to independent producers by
an amount of $6,798,000, by the expiry date of the current TQS licence, over
and above the present minimum commitment of $4 million per year or $40 million
over seven (7) years, for a total of approximately $47 million.

    TRAINING AND SUPPORT-RELATED INITIATIVES
    The new owners of TQS will be investing over the next six (6) years an
amount of $592,000 for various training and support initiatives for the
benefit of organizations contributing to the enhancement of the Canadian
broadcasting system. COGECO and Bell Globemedia will be allocating $82,000 to
the Regroupement Québécois sur le sous-titrage.
    Also, they will be giving $150,000 to the Ecole nationale de l'humour, a
not-for-profit organization whose mission it is to train humorists and script
writers. An amount of $150,000 will also be paid to the Institut National de
l'Image et du Son (INIS), the only Francophone centre in North America to
provide professional training in script writing, direction and production for
television, film and the new media, while a contribution of $66,000 will be
paid to the Cinémathèque québécoise to participate in the archival storage and
digitization of the television material that belongs to the Francophone
cultural heritage.

    TRAINING IN THE REGIONS
    Recognizing that training in the regions is essential for providing
regional affiliates with qualified resources, COGECO and Bell Globemedia
intend to partner with the CEGEP de Jonquière and the Fondation de la Cité
collégiale, in order to provide their best students scholarships totaling
$144,000 over the next six (6) years. The cégep de Jonquière offers the Arts
and media technology program with a television option. Located in Ontario, the
Cité collégiale is the first French language Applied arts and technology
college in Ontario. The College offers nine (9) different study programs in
the field of media and communications, including television production and
radio broadcasting.

    View for the future of TQS
    --------------------------
    TQS' new owners have also expressed their vision for the future in their
application to the CRTC. They intend to continue to rely on the strategy and
style of programming that has enabled TQS to progressively win favour with the
French-speaking viewership while enhancing the quality of its programming. The
new owners intend to continue to develop a different approach and an original
perspective for TQS in matters of information. COGECO and Bell Globemedia also
aim to please movie buffs by progressively increasing the number of movies
shown on TQS as well as the number of Canadian produced movies. They will also
be striving to satisfy the expectations of their viewership by providing
programming in which they will recognize themselves and which will make of
them proud TQS viewers.
    The transactions proposed by COGECO and Bell Globemedia comply with all
of present operating terms of TQS and will favour improved competition, a more
level playing field in the industry and a greater diversity of voices in the
Quebec television market. In all respects, they satisfy CRTC requirements and
will settle once and for all the uncertainty that has prevailed over the past
year with respect to ownership of this very important company in the Canadian
broadcasting system.

    Affiliate television stations
    -----------------------------
    The new TQS owners mention that effective control of COGECO's affiliate
television stations in Sherbrooke, Trois-Rivières and Chicoutimi/Jonquière
will not be changing hands since COGECO is the 60% majority shareholder of the
joint venture regrouping its affiliate television stations and the TQS
network. The licences of the six affiliate stations were renewed in 1998 for a
period of seven (7) years for each of these stations. The company will
continue to provide quality local services through its six regional antennas
and to comply with all of the terms and conditions of these affiliate
stations. There will not be any reduction of the quantity or quality of
services provided by COGECO, be it to TQS antennas or to SRC antennas. The
respective identities of the networks to which each of the stations are
affiliated will be preserved.
    COGECO is active in the communications sector. Through its various
subsidiaries, COGECO provides cable service to approximately 890,000 basic
service customers in Canada, and operates six television stations and two
radio stations in Quebec. COGECO's subordinate voting shares are listed on the
Toronto Stock Exchange (CGO). The subordinate voting shares of Cogeco Cable
Inc. are also listed on the Toronto Stock Exchange (CCA).

    Bell Globemedia is Canada's premier multimedia company, owning the
country's strongest media brands - CTV, Canada's leading private broadcaster;
The Globe and Mail, Canada's National Newspaper; Bell Globemedia Interactive
who operates Globe Interactive, a leading Internet content provider; and
Sympatico-Lycos, the number-one Canadian Internet portal. Bell Globemedia
creates superior Canadian content, leveraging it across multiple channels,
building connections and forming new commerce opportunities. Headquartered in
Toronto, Bell Globemedia is owned by BCE Inc. (70.1%), The Thomson Corporation
(20%), and The Woodbridge Company Limited (9.9%).

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For further information: Lise Perras, BDDS Shandwick, (514) 393-1180; 
Source: COGECO, Bell Globemedia