Shaw 2013 Annual Report Download - page 19

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S
haw
C
ommunications Inc
.
MANA
G
EMENT’
S
DI
SCUSS
I
O
N AND ANALY
S
I
S
August
,
(
b
)
Env
i
ronmental matter
s
Shaw’s operations are subject to environmental regulations, including those related t
o
electronic waste. A number of provinces have enacted regulations providing for the diversion o
f
certa
i
nt
yp
es o
f
electron
i
c waste throu
g
h
p
roduct stewardsh
ip p
ro
g
rams
(“
P
S
P”
)
. Under a P
S
P
,
companies who sell designated products in or into a province are required to participate in o
r
d
evelo
p
an a
pp
roved
p
ro
g
ram for the collection and rec
y
clin
g
of desi
g
nated electronic material
s
and,
i
n some cases,
p
a
y
a
p
er-
i
tem
f
ee.
S
uch re
g
ulat
i
ons have not had, and are not ex
p
ected t
o
h
ave, a material effect on the Company’s earnings or competitive position.
(
c) Foreign operation
s
S
haw does not have mater
i
al
f
ore
ig
n assets or o
p
erat
i
ons
.
S
haw Bus
i
ness U.
S
. Inc., a wholly-owned subs
i
d
i
ary o
f
the
C
ompany, has entered
i
nto an
indefeasible right of use (“IRU”) with respect to a portion of a United States fibre network an
d
o
wn
sce
r
tai
n
ot
h
e
r
fib
r
ea
n
d faci
l
ities i
n
t
h
eU
n
ited States
.
S
h
a
wB
usi
n
ess U
.
S
.In
c
.
commenced revenue-generat
i
ng operat
i
ons
i
n the Un
i
ted
S
tates
i
n
2002
. Its revenues
f
or the
year ended August 31, 2013 were not material.
(
d
)
Em
p
lo
y
ee
s
As at August
31
,
2013
, the
C
ompany employed approx
i
mately
1
4,5
00
people.
D. Government regulations and regulatory development
s
S
ubstant
i
all
y
all o
f
the
C
or
p
orat
i
on’s bus
i
ness act
i
v
i
t
i
es are sub
j
ect to re
g
ulat
i
ons and
p
ol
i
c
i
es
establ
i
shed under var
i
ous Acts
(
B
roadcast
i
ng Act
(C
anada
)
(“
Broadcast
i
ng Act”
),
T
elecommunications Act (Canada
)
(“Telecommunications Act”)
,
Radiocommunication Ac
t
(C
anada
)
(“
Rad
i
ocommun
i
cat
i
on Act”
)
an
d
C
o
py
r
ig
ht Act
(C
anada
)
(“C
o
py
r
ig
ht Act”
)).
B
roadcast
i
ng and telecommun
i
cat
i
ons are generally adm
i
n
i
stered by the
C
RT
C
under the
supervision of the Department of Canadian Heritage (“Canadian Heritage”) and Department o
f
I
ndustr
y(“
Industr
yC
anada”
)
, res
p
ect
i
vel
y
.
P
ursuant to the Broadcast
i
ng Act, the
C
RT
Ci
s mandated to superv
i
se and regulate all aspects
o
f the broadcasting system in a flexible manner. The Broadcasting Act requires BDUs to giv
e
p
r
i
or
i
t
y
to the carr
i
a
g
eo
fC
anad
i
an serv
i
ces and to
p
rov
i
de e
ffi
c
i
ent del
i
ver
y
o
fp
ro
g
ramm
i
n
g
serv
i
ces. The Broadcast
i
ng Act also sets out requ
i
rements
f
or telev
i
s
i
on broadcasters w
i
th
respect to Canadian content. Shaw’s businesses are dependent upon licenses (or operat
e
p
ursuant to an exem
p
t
i
on order
)g
ranted and
i
ssued b
y
the
C
RT
C
and Industr
yC
anada
.
U
nder the Telecommunications Act, the CRTC is responsible for ensuring that Canadians in all
regions of Canada have access to reliable and affordable telecommunication services of high-
q
ual
i
t
y
. The
C
RT
C
has the author
i
t
y
to
f
orbear
f
rom re
g
ulat
i
n
g
certa
i
n serv
i
ces or classes o
f
services provided by a carrier if the CRTC finds that there is sufficient competition for tha
t
service to protect the interests of users. All of Shaw’s telecommunication retail services have
been
f
orborne
f
rom re
g
ulat
i
on and are not sub
j
ect to
p
r
i
ce re
g
ulat
i
on. However, re
g
ulat
i
ons do
impact certain terms and conditions under which these services are provided.
The technical operating aspects of the Corporation’s businesses are also regulated by technical
re
q
u
i
rements and
p
er
f
ormance standards establ
i
shed b
y
Industr
yC
anada,
p
r
i
mar
i
l
y
under the
T
e
l
eco
mm
u
ni
cat
i
o
n
s
A
ct a
n
dt
h
e
R
ad
i
oco
mm
u
ni
cat
i
o
nA
ct
.
P
ursuant to the Copyright Act, the Copyright Board of Canada oversees the collective
adm
i
n
i
strat
i
on o
f
co
py
r
ig
ht ro
y
alt
i
es
i
n
C
anada,
i
nclud
i
n
g
the rev
i
ew and a
pp
roval o
f
co
py
r
ig
ht
t
ariff royalties payable to copyright collectives by BDUs and television broadcasters
.
15