Shaw 2015 Annual Report Download - page 19

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Shaw Communications Inc.
Management’s Discussion and Analysis
August 31, 2015
Notably, we implemented a strategy in 2015 to focus the majority of our community investment activities on organizations that
support the needs of children, youth and millennials. Specifically, investments and causes that positively affect this
demographic’s health and wellbeing, education and their access to technology and the Internet. This approach has resonated
well with customers, employees, and government and community stakeholders, generating positive
feedback from local and federal government officials, a significant increase in applications for
charitable funding, and significantly higher media coverage of our initiatives. At the end of 2015,
80% of Shaw’s community investments supported organizations focused on needs of children and
youth.
In 2015, Shaw also brought greater public and stakeholder awareness of our community investment
activities under the umbrella of the Shaw Kids Investment Program, known as “SKIP”. SKIP is a
public platform used to describe our partnerships that benefit kids and youth-focused charities, and
is an important vehicle by which we drive brand reputation.
Shaw’s partnerships with local and national charities are also used to complement local and
regional marketing and sponsorship activities. Combining community investments with
traditional business activities speaks to our overall brand values of being a caring and
customer centric organization. The most prominent example of this combination is Shaw’s
partnership with local Calgary business leaders and the PGA TOUR in staging the Shaw
Charity Classic, a premier tournament on the Champions Tour that benefits 89 Alberta
charities and has generated more than $8 million in charitable contributions in its three-year
history. The event has become a fixture on the Calgary tourism calendar, and has been
recognized as one of the top tournaments on the Champions Tour. Importantly, the event also
strengthens Shaw’s business and community relationships.
Additional Information Concerning the Business
Environmental Matters
Shaw’s operations are subject to environmental regulations, including those related to electronic waste, printed paper and
packaging. A number of provinces have enacted regulations providing for the diversion of certain types of electronic and other
waste through product stewardship programs (“PSP”). Under a PSP, companies who supply designated products in or into a
province are required to participate in or develop an approved program for the collection and recycling of designated materials
and, in some cases, pay a per-item fee. Such regulations have not had, and are not expected to have, a material effect on the
Company’s earnings or competitive position.
Foreign Operations
In September 2014, the Company acquired ViaWest, a U.S.-based provider of hybrid IT solutions with 28 data centres in the
U.S. ViaWest comprises substantially all of the assets and operations of the Business Infrastructure Services division.
Shaw Business U.S. Inc., a wholly-owned subsidiary of the Company, has entered into an indefeasible right of use (“IRU”) with
respect to a portion of a United States fibre network and owns certain other fibre and facilities in the United States. Shaw
Business U.S. Inc. commenced revenue-generating operations in the United States in 2002. Its revenues for the year ended
August 31, 2015 were not material.
Government Regulations and Regulatory Developments
Substantially all of the Company’s Canadian business activities are subject to regulations and policies established under various
legislation (Broadcasting Act (Canada) (“Broadcasting Act”), Telecommunications Act (Canada) (“Telecommunications Act”),
Radiocommunication Act (Canada) (“Radiocommunication Act”) and Copyright Act (Canada) (“Copyright Act”)). Broadcasting
and telecommunications are generally administered by the Canadian Radio-television and Telecommunications Commission
(“CRTC”) under the supervision of the Department of Canadian Heritage (“Canadian Heritage”) and the Department of Industry
(“Industry Canada”).
2015 Annual Report Shaw Communications Inc. 17