Cogeco 2012 Annual Report Download

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Table of contents

  • Page 1

  • Page 2
    ... data networking, e-business applications, video conferencing, hosting services, Ethernet, private line, Voice over Internet Protocol ("VoIP"), HSI access, data storage, data security, co-location services, managed IT services, cloud services and other advanced communication solutions. Cogeco Cable...

  • Page 3
    ... ...3 Message to shareholders...4 Management's Discussion and Analysis (MD&A) ...6 Consolidated financial statements ...39 Investor information ...90 Customer statistics ...92 Board of Directors and corporate management ...93 Operations and corporate information ...95 2 COGECO CABLE INC. 2012

  • Page 4
    ... on long-term debt, balance due on a business acquisition and obligations under derivative financial instruments. Represents the sum of Television, High Speed Internet ("HSI") and Telephony service customers. Per multiple and subordinate voting share. Financial highlights COGECO CABLE INC. 2012 3

  • Page 5
    ... is to support its growth and continuously improve its networks and processes. Social responsibility - at the heart of our action In the area of corporate social responsibility ("CSR"), 2012 marks the first year in which Cogeco Cable published Carbon Disclosure Project ("CDP") and Global Reporting...

  • Page 6
    ... of governance, the latest edition of the Annual Corporate Governance Survey published by The Globe and Mail Report on Business in November 2011 ranks Cogeco Cable among the top rated Canadian companies characterized by a dual-category share structure and family control. In conclusion, we wish to...

  • Page 7
    ... subsidiary and discontinued operations ...31 Three-year annual financial highlights and quarterly financial highlights ...32 Fiscal 2013 financial guidelines ...36 Non-IFRS financial measures ...37 Additional information ...38 6 COGECO CABLE INC. 2012 Management's Discussion and Analysis (MD&A)

  • Page 8
    ...for year ended August 31, 2012. Acronyms DTA DOCSIS â,¬ FTTH HD HSI IP Mbps MHz PSU RFoG SD SDV SVOD VOD VoIP Digital Terminal Adapter Data Over Cable Service Interface Specifications Euro Currency Fibre to the Home High Definition High Speed Internet Internet Protocol Megabits per second Megahertz...

  • Page 9
    ... in the Corporation's growing HD service offerings. Revenue will also benefit from the impact of rate increases implemented in June 2012 in Quebec and July 2012 in Ontario, ranging on average between $2 to $3 per HSI and Telephony service customers. Please refer to the "Key performance indicators...

  • Page 10
    ... art 24/7/365 monitoring, power redundancy, support, biometrics and onsite security providing a protected controlled environment for the provision of hosting and colocation services. CDS opened a new phase of its data centre facility in downtown Toronto in the summer of 2012 targeting customers that...

  • Page 11
    ... and finance its growth. On July 11, 2012, Cogeco Cable issued revised fiscal 2012 free cash flow projections of $90 million, a decrease of $10 million over the initial projections of $100 million issued in the 2011 annual report as a result of the sale of the Portuguese subsidiary. For the...

  • Page 12
    ...managed services, Internet connectivity, dark fibre services and other advance communication solutions are recorded as the services are provided; and Revenue generated from the sale of home terminal devices or other equipment are recorded when the equipment is delivered and accepted by the customers...

  • Page 13
    ... The defined benefit pension plans liabilities are determined using actuarial calculations that are based on several assumptions. The actuarial valuation uses the Corporation's assumptions for the discount rate, expected long-term rate of return on plan assets, rate of compensation increase and...

  • Page 14
    ...of the Corporation's voting shares. On September 1, 1992, Cogeco Cable Inc. executed a management agreement with COGECO Inc. under which the parent company agreed to provide certain executive, administrative, legal, regulatory, strategic and financial planning services and additional services to the...

  • Page 15
    ... required defined benefit pension plans amounts under IAS 19 Employee Benefits as the amounts are determined for each accounting period from the date of transition instead of the current annual period and previous four annual periods. Share-based payments The Corporation has elected to apply...

  • Page 16
    ... "quadruple-play" service bundles that include mobile communications, as Cogeco Cable does not offer mobile telephone or Internet services. The Corporation continues to focus on its existing lines of service with a view to capturing the remaining growth opportunities for HSI, Digital Television and...

  • Page 17
    .... Bell is actively competing for television customers in the television distribution market not only with satellite distribution but also increasingly with its fibre optic IPTV service TELUS Communications Company ("TELUS") competes with all of Cogeco Cable's services in the Lower St. Lawrence area...

  • Page 18
    ...Canadian downstream television distribution market. On March 16, 2012, Bell, the largest Canadian communications company, announced that it had concluded an agreement to acquire Astral Media Inc, ("Astral"), the largest remaining Canadian independent programming service supplier subject to requisite...

  • Page 19
    ... of sales are network fees paid to audio and video programming service suppliers as well as data transport and connectivity charges, mostly for Telephony and HSI traffic. The market for audio and video content services in Canada is characterized by high levels of supplier integration and structural...

  • Page 20
    ... characteristics of the acquired business and its relevant market. The development of new services or additional lines of business, and the acquisition of new business properties, may not necessarily generate the anticipated results or benefits. There is no assurance that Cogeco Cable will be able...

  • Page 21
    ...building technology and management practices that will result in additional energy savings. Furthermore, we will further engage with our suppliers and employees on the topics of corporate social responsibility. Cogeco Cable will address the energyefficiency of the set top boxes sold to its customers...

  • Page 22
    ...The PSU net additions projections amounts in terms of RGU to 225,000 net additions as presented in the Fiscal 2012 financial guidelines of the 2011 Annual Report. For the 2012 fiscal year, Cogeco Cable achieved or surpassed most of its revised projections issued on July 11, 2012. Revenue, operating...

  • Page 23
    ... of new HD channels, additional programming costs, deployment and support costs related to the migration of Television service customers from analogue to digital and the acquisitions of QTI and MTO. For further details on the Corporation's operating expenses, please refer to the "Cable services" and...

  • Page 24
    ... compared to an increase in prior year. (1) Return on equity is defined as profit (loss) for the year divided by average shareholders' equity (computed on the basis of the beginning and ending balance for a given fiscal year). Management's Discussion and Analysis (MD&A) COGECO CABLE INC. 2012 23

  • Page 25
    ...-to-end monitoring and reporting, and enhanced and traditional collocation services. QTI operates three data centers in Toronto and Vancouver, as well as a fiber network within key business areas of downtown Toronto. The transaction was completed August 2, 2011. On August 31, 2011, the Corporation...

  • Page 26
    ...872 (1) Includes mainly home terminal devices as well as new and replacement drops. (2) Includes mainly head-end equipment, digital video and telephony transport as well as HSI equipment. Fiscal 2012 acquisition of property, plant and equipment amounted to $359.6 million, an increase of 23.3% when...

  • Page 27
    ... AND LIQUIDITY CAPITAL STRUCTURE The table below summarizes debt-related financial ratios over the last two fiscal years and the fiscal 2013 guidelines. Years ended August 31, Average cost of indebtedness(2) Fixed rate indebtedness(3) Average term: long-term debt (in years) Net secured indebtedness...

  • Page 28
    ... the Portuguese subsidiary and free cash flow of $66.3 million. As part of the usual conduct of its business, Cogeco Cable maintains a working capital deficiency due to a low level of accounts receivable as a large portion of the Corporation's customers pay before their services are rendered, unlike...

  • Page 29
    ... to provide services that include minimum spend commitments. (4) The nature of those obligations prevents the Corporation from estimating an annual breakdown. (5) Annual breakdown excludes pension plan liabilities and accrued employees benefits. 28 COGECO CABLE INC. 2012 Management's Discussion...

  • Page 30
    ... is low. The Corporation has purchased directors and officers' liability insurance with a deductible per loss. As at August 31, 2012 and 2011, no liability associated with these indemnifications has been recorded. Under the terms of the Senior Secured Notes, Cogeco Cable has agreed to indemnify...

  • Page 31
    ... additional PSU, the launch of new HD channels, additional programming costs and the deployment and support costs related to the migration of Television service customers from analogue to digital. Operating income before depreciation and amortization and operating margin As a result of revenue...

  • Page 32
    ... activities Effect of exchange rate changes on cash and cash equivalents denominated in a foreign currency Net increase (decrease) in cash and cash equivalents $ 13,637 36,826 (866) 49,597 2011 $ 22,667 (34,592) 588 (11,337) Management's Discussion and Analysis (MD&A) COGECO CABLE INC. 2012 31

  • Page 33
    ...September 1, 2010. Long-term financial liabilities include long-term debt, balance due on a business acquisition, derivative financial instrument liabilities and pension plan liabilities and accrued employee benefits. Per multiple and subordinate voting share. 32 COGECO CABLE INC. 2012 Management...

  • Page 34
    ... of the television seasons, and students leaving their campuses at the end of the school year. Cogeco Cable offers its services in several university and college towns such as Kingston, Windsor, St.Catharines, Hamilton, Peterborough, Trois-Rivières and Rimouski in Canada. Furthermore, the third and...

  • Page 35
    ... or 6.3%, at $148.7 million mainly attributable to the PSU growth, the launch of new HD channels, additional programming costs and deployment and support costs related to the migration of Television service customers from analogue to digital. The operating income before depreciation and amortization...

  • Page 36
    ...-recurring revenue in fiscal 2011 related to a one-time project development. Fiscal 2012 fourth-quarter operating expenses increased by $0.4 million, or 3.2%, at $11.9 million mainly attributable to the acquisition of QTI and MTO and to servicing new customers, partly offset by additional expenses...

  • Page 37
    ... strong interest in the Corporation's growing HD service offerings. Revenue will also benefit from the impact of rate increases implemented in June 2012 in Quebec and July 2012 in Ontario, ranging on average between $2 to $3 per HSI and Telephony service customers. Cogeco Cable's strategies include...

  • Page 38
    ... AND FREE CASH FLOW Cash flow from operations is used by Cogeco Cable's management and investors to evaluate cash flows generated by operating activities, excluding the impact of changes in non-cash operating activities, amortization of deferred transaction costs and discounts on long-term debt...

  • Page 39
    ... of the capital structure chosen, and is one of the key metrics used by the financial community to value the business and its financial strength. Operating margin is a measure of the proportion of the Corporation's revenue which is available, before income taxes, to pay for its fixed costs, such as...

  • Page 40
    ... income ...43 Consolidated statements of changes in shareholders' equity ...44 Consolidated statements of financial position ...45 Consolidated statements of cash flows ...46 Notes to the consolidated financial statements ...47 Consolidated financial statements COGECO CABLE INC. 2012 39

  • Page 41
    ... auditors have free access to the Audit Committee, with or without the presence of management. Their report follows. Louis Audet President and Chief Executive Officer Pierre Gagné Senior Vice-President and Chief Financial Officer Montreal, November 1, 2012 40 COGECO CABLE INC. 2012 Consolidated...

  • Page 42
    ...and its cash flows for the years ended August 31, 2012 and August 31, 2011 in accordance with International Financial Reporting Standards. November 1, 2012 Montreal, Quebec _____ 1 CPA auditor, CA, public accountancy permit No. A109522 Consolidated financial statements COGECO CABLE INC. 2012 41

  • Page 43
    ...share data) Revenue Operating expenses (note 6) Management fees - COGECO Inc. (note 22 a)) Integration, restructuring and acquisition costs...2012 $ 1,277,698 679,161 9,485 1,869 275,003 312,180 64,007 248,173 78,656 169,517 55,446 224,963 2011...42 COGECO CABLE INC. 2012 Consolidated financial statements

  • Page 44
    ... on defined benefit plans actuarial adjustments Other comprehensive income (loss) for the year Comprehensive income (loss) for the year (4,181) 1,125 (3,056) (22,505) 202,458 (2,694) 726 (1,968) 449 (45,122) 7,248 (3,903)  3,345 Consolidated financial statements COGECO CABLE INC. 2012 43

  • Page 45
    ... dollars) $ (note 16) Balance at September 1, 2010 (note 26) Loss for the year Other comprehensive income for the year Comprehensive loss for the year Issuance of subordinate voting shares under the employee Stock Option Plan Share-based compensation Share-based compensation previously recorded in...

  • Page 46
    ...,518 Non-current Long-term debt (note 15) Balance due on a business acquisition, bank prime rate plus 1% and payable in February 2013 Derivative financial instruments Deferred and prepaid revenue and other liabilities Pension plan liabilities and accrued employees benefits Deferred tax liabilities...

  • Page 47
    ... 9) Financial expense (note 8) Share-based compensation (note 16) Loss on disposals and write-offs of property, plant and equipment Defined benefit pension plans contributions, net of expense Changes in non-cash operating activities (note 18 a)) Income taxes received (paid) Financial expense paid...

  • Page 48
    ... August 31, 2012 and 2011 NATURE OF OPERATIONS Cogeco Cable Inc. (the "Corporation" or the "Parent Corporation") is a Canadian public corporation whose shares are listed on the Toronto Stock Exchange ("TSX"). The Corporation's core business is providing Cable Television, High Speed Internet ("HSI...

  • Page 49
    ... pay-per-use services are recorded as the services are provided; Revenue from managed services, Internet connectivity, dark fibre services and other advance communication solutions are recorded as the services are provided; Revenue generated from the sale of home terminal devices or other equipment...

  • Page 50
    ... HOME TERMINAL DEVICES ROLLING STOCK AND EQUIPMENTS (3) 3 TO 10 YEARS (1) Leasehold improvements are amortized over the shorter of the term of the lease and economic life. (2) Cable systems include towers, headends, transmitters, fibre and coaxial networks, and customer drops. (3) Rolling stock...

  • Page 51
    ... The Corporation leases certain telecommunication equipment, primarily home terminal devices, to its customers. These leases are classified as operating leases and rental revenue is recognized on a straight-line basis over the term of the relevant lease. 50 COGECO CABLE INC. 2012 Consolidated...

  • Page 52
    ...SHARE-BASED PAYMENTS Equity settled awards The Corporation measures stock options granted to employees that vest rateably over the service period based on the fair value of each tranche on grant date by using the Black-Scholes pricing model and a compensation expense is recognized on a straight-line...

  • Page 53
    ... increase in pension plan liabilities and accrued employee benefits as of the date units are issued to Board Directors. The accrued liability is re-measured at the end of each reporting period, until settlement, using the average closing price of the subordinate voting shares on the Toronto Stock...

  • Page 54
    ... simultaneously. Derivative financial instruments, including hedge accounting The Corporation uses cross-currency swaps as derivative financial instruments to manage foreign exchange risk related to its foreign denominated long-term debt. The Corporation does not hold or use any derivative...

  • Page 55
    ... Plan. Diluted earnings per share is determined by adjusting the weighted average number of multiple and subordinate voting shares outstanding for the effects of all dilutive potential subordinate voting shares, which comprise stock options and ISUs granted to employees. 54 COGECO CABLE INC. 2012...

  • Page 56
    ... of management judgements and estimates relate to the following items: ï,§ Allowance for doubtful accounts Allowance for doubtful accounts is established based on specific credit risk of the Corporation's customers by examining such factors as the number of overdue days of the customer's balance...

  • Page 57
    ... power within its high security data centres and a new suite of managed IT and infrastructure services as well as a full suite of connectivity services provisioned over its wholly-owned optical networks. The activities of the Cable services and Enterprise services segments are carried out in Canada...

  • Page 58
    ...table below: 2012 Cable services (In thousands of Canadian dollars) Revenue Operating expenses Management fees - COGECO Inc. Integration, restructuring and acquisition costs..., plant and equipment Intangible assets Goodwill Acquisition of property, plant and equipment Acquisition of intangible...

  • Page 59
    ... to acquire all of the shares of MTO Telecom Inc. ("MTO"), the largest private telecommunications provider in the Greater Montreal Area and the Province of Quebec. MTO offers high-performance Ethernet broadband connectivity services to carrier, enterprise and public sector customers. The Corporation...

  • Page 60
    ...Includes cost of equipment sold, content and programming costs, payment to other carriers and network costs. Includes advertising and marketing expenses, selling costs, billing expense, bad debts and collection expense. Includes building expense, professional service fees, Canadian Radio-television...

  • Page 61
    ..., as well as tax loss carryforwards: August 31, 2012 (In thousands of Canadian dollars) Property, plant and equipment Intangible assets Deferred and prepaid revenue Share issuance costs Partnerships income Non-capital losses and other tax credit carryforwards, net of valuation allowance Other Net...

  • Page 62
    ... liability balances during 2012 and 2011 fiscal years were as follows: 2012 Balance beginning of the year (In thousands of Canadian dollars) Property, plant and equipment Intangible assets Deferred and prepaid revenue Share issuance costs Partnerships income Non-capital losses and other tax credit...

  • Page 63
    ... ended August 31, 2011 amounted to 277,826 due to the net loss. 11. OTHER ASSETS August 31, 2012 (In thousands of Canadian dollars) Transaction costs Other $ 4,274 2,139 6,413 August 31, 2011 September 1, 2010 $ 4,522 1,154 5,676 $ 6,161 539 6,700 62 COGECO CABLE INC. 2012 Consolidated financial...

  • Page 64
    ... years related to the unamortized balance of high definition digital terminals and embedded multimedia terminal adapters at the date of the change is as follows: 2012 (In thousands of Canadian dollars) Increase (decrease) in depreciation expense $ 29,710 2013 $ 4,519 2014 $ (3,556) 2015 $ (16...

  • Page 65
    ... (11,226) 35,736 20,406 (10,627) 45,515 Reconnect and customer acquisition costs include reconnect and additional service activation costs and direct and incremental costs associated with the acquisition of Enterprise service customers. 64 COGECO CABLE INC. 2012 Consolidated financial statements

  • Page 66
    ...regard to projected growth rates for the specific markets in which the CGUs participate and are not considered to exceed the long-term average growth rates for those markets. Discount rates applied to the cash flow forecasts are derived from the Corporation's pre-tax weighted average cost of capital...

  • Page 67
    ...tests performed at August 31, 2012 and 2011 and September 1, 2010: August 31, 2012 Perpetual growth Pre-tax discount rate rates Group of CGUs Cable services Ontario Cable services Quebec Enterprise services % 10.6 10.4 11.0 % 2.0 2.0 6.0 August 31, 2011 Perpetual Pre-tax growth discount rate rates...

  • Page 68
    ... agreements have resulted in an effective interest rate of 7.24% on the Canadian dollar equivalent of the US denominated debt. a) On November 22, 2011, the Corporation renewed its credit agreement for a $750 million credit facility, with an option to increase to a total amount of up to $1 billion...

  • Page 69
    ... under the Incentive Share Unit Plan (103,728 at August 31, 2011 and 57,409 at September 1, 2010) $ 98,346 899,997 998,343 (6,179) 992,164 $ 98,346 898,327 996,673 (3,751) 992,922 September 1, 2010 $ 98,346 892,332 990,678 (1,848) 988,830 68 COGECO CABLE INC. 2012 Consolidated financial statements

  • Page 70
    ... before. SHARE-BASED PAYMENT PLANS The Corporation offers, for the benefit of its employees and those of its subsidiaries, an Employee Stock Purchase Plan and a Stock Option Plan for certain executives. Under these plans, no more than 10% of the outstanding subordinate voting shares are available...

  • Page 71
    ... equivalent to the expected life of the options. ISU plan The Corporation also offers a senior executives and designated employees ISU Plan. Effective October 29, 2009, senior executives and designated employees periodically receive a given number of Incentive Share Units ("ISUs") which entitle the...

  • Page 72
    ...the Board of Directors ("Board") of the Corporation. Each existing or new member of the Board may elect to be paid a percentage of the annual retainer in the form of deferred share units ("DSUs") with the balance, if any, being paid in cash. The number of DSUs that a member is entitled to receive is...

  • Page 73
    ... by the Corporation to its funded pension plans, cash payments directly to beneficiaries for its unfunded other benefit plans, and cash contributed to its defined contribution plans, totalled $7,506,000 for the year ended August 31, 2012 ($7,039,000 in 2011). 72 COGECO CABLE INC. 2012 Consolidated...

  • Page 74
    ...Expected return on plan assets Net benefit cost 1,451  1,147 (803) 1,795 $ 2011 $ 1,310 99 1,101 (746) 1,764 The expected employer contributions to the Corporation's defined benefit pension plans will be $4,311,000 million in 2013. Consolidated financial statements COGECO CABLE INC. 2012 73

  • Page 75
    ...increase Defined benefit pension costs Discount rate Expected long-term rate of return on plan assets Rate of compensation increase 4.70 6.00 3.00 5.50 6.25 3.25 6.25 6.75 4.50 3.90 3.00 4.70 3.00 5.50 3.25 August 31, 2011 $ September 1, 2010 $ 20. FINANCIAL INSTRUMENTS A. FINANCIAL RISK MANAGEMENT...

  • Page 76
    ... various credit controls, including credit checks, deposits on accounts and advance billing, and has also established procedures to suspend the availability of services when customers have fully utilized approved credit limits or have violated existing payment terms. Since the Corporation has...

  • Page 77
    ... Canadian dollar interest rate of 7.24% per annum. The exchange rate applicable to the principal portion of the debt has been fixed at $1.0625. The Corporation elected to apply cash flow hedge accounting on these derivative financial instruments. 76 COGECO CABLE INC. 2012 Consolidated financial...

  • Page 78
    ... instruments are estimated using valuation models that reflect projected future cash flows over contractual terms of the derivative financial instruments and observable market data, such as interest and currency exchange rate curves. Consolidated financial statements COGECO CABLE INC. 2012 77

  • Page 79
    ...other externally imposed capital requirements. The following table summarizes certain of the key ratios used by management to monitor and manage the Corporation's capital structure: August 31, 2012 Net secured indebtedness (1) August 31, 2011 1.5 1.7 7.7 / operating income before depreciation and...

  • Page 80
    ... investing activities Effect of exchange rate changes on cash and cash equivalents denominated in a foreign currency Net increase (decrease) in cash and cash equivalents $ 13,637 36,826 (866) 49,597 2011 $ 22,667 (34,592) 588 (11,337) Consolidated financial statements COGECO CABLE INC. 2012 79

  • Page 81
    ...of the Corporation's voting shares. On September 1, 1992, Cogeco Cable Inc. executed a management agreement with COGECO Inc. under which the parent company agreed to provide certain executive, administrative, legal, regulatory, strategic and financial planning services and additional services to the...

  • Page 82
    ...On July 18, 2012, the Corporation announced an agreement to acquire all of the shares of Atlantic Broadband ("Atlantic") an independent cable system operator formed in 2003 which, at August 31, 2012, was serving about 251,000 Television service customers providing Analogue and Digital Television, as...

  • Page 83
    ... required defined benefit pension plans amounts under IAS 19 Employee Benefits as the amounts are determined for each accounting period from the date of transition instead of the current annual period and previous four annual periods. ï,§ Share-based payments The Corporation has elected to apply...

  • Page 84
    ...term debt Deferred and prepaid revenue and other liabilities Pension plan liabilities and accrued employee benefits Deferred tax liabilities 5 1,3,4,7 952,687 12,234 3,624 234,974 1,566,518 Shareholders' equity Share capital Share-based compensation... financial statements COGECO CABLE INC. 2012 83

  • Page 85
    ...current Long-term debt Balance due on a business acquisition Derivative financial instruments Deferred and prepaid revenue and other liabilities Pension plan liabilities and accrued employee benefits Deferred ...356 43,128 2,094  359,592 84 COGECO CABLE INC. 2012 Consolidated financial statements

  • Page 86
    ... dollars, except per share data) Revenue Operating expenses Management fees - COGECO Inc. Integration, restructuring and acquisition costs Depreciation and amortization Operating... 4.06 (5.04) (0.98) 0.04  0.04 4.10 (5.04) (0.94) Consolidated financial statements COGECO CABLE INC. 2012 85

  • Page 87
    ... 1, 2010: Notes (In thousands of Canadian dollars) Retained earnings under Canadian GAAP IFRS adjustments: Business combinations Share-based compensation Property, plant and equipment Intangible assets Employee benefits Borrowing costs Income taxes Effects of changes in foreign exchange rates...

  • Page 88
    ... The Corporation's share options granted vest in tranches over a specified vesting period. Under IFRS, when the only vesting condition is service from the grant date to the vesting date of each tranche granted, then each tranche should be accounted for as a separate sharebased payment arrangement...

  • Page 89
    ... of financial position Increase (decrease) (In thousands of Canadian dollars) Deferred tax assets Pension plan liabilities and accrued employee benefits Retained earnings August 31, 2011 $ 1,810 6,852 (5,042) September 1, 2010 $ 1,160 4,437 (3,277) 88 COGECO CABLE INC. 2012 Consolidated financial...

  • Page 90
    ... as follows: Consolidated statements of financial position Increase (decrease) (In thousands of Canadian dollars) Accumulated other comprehensive income Retained earnings August 31, 2011 $ 1,778 (1,778) September 1, 2010 $ 1,778 (1,778) Consolidated financial statements COGECO CABLE INC. 2012 89

  • Page 91
    ... good credit quality, where the capacity for payment of financial commitments is considered adequate but adverse changes in circumstances and economic conditions are more likely to impair this capacity. The table below shows Cogeco Cable's credit ratings: As at August 31, 2012 Senior secured notes...

  • Page 92
    ... Trust Company of Canada 100 University Avenue, 9th Floor Toronto, ON M5J 2Y1 Tel.: 514-982-7555 Tel.: 1 800-564-6253 Fax: 416-263-9394 Stock exchange listing Trading symbol The Toronto Stock Exchange CCA DIVIDENDS The Corporation declared an annual eligible dividend of $1.00 per share during...

  • Page 93
    ... 2011 1,897,469 877,985 54.1% 678,326 41.8% 199,659 12.3% 601,214 37.1% 418,270 25.8% 2010 1,791,159 874,505 54.9% 559,418 35.1% 315,087 19.8% 559,057 35.1% 357,597 22.4% (1) Represents the sum of Television, High Speed Internet ("HSI") and Telephony service customers. 92 COGECO CABLE INC. 2012...

  • Page 94
    ... McCarthy Tétrault Director CAROLE J. SALOMON, B.A., MBA Toronto (Ontario) President and Chief Executive Officer Cardavan Corporation Director ï,˜ ï,® ï,« LOUIS AUDET, Eng., MBA Westmount (Québec) President and Chief Executive Officer Cogeco Cable Inc. and COGECO Inc. Director WILLIAM PRESS...

  • Page 95
    ... ANDRÉE PINARD Vice President and Treasurer LOUISE ST-PIERRE Senior Vice President, Residential Services ALEX TESSIER Vice President, Coporate Development CHARLES VAILLANCOURT Vice President and Chief Information Officer 94 COGECO CABLE INC. 2012 Board of Directors and corporate management

  • Page 96
    ... www.cogeco.ca CABLE ONTARIO 950 Syscon Road P.O. Box 5076 Station Main Burlington (Ontario) L7R 4S6 Tel: 289-337-7387 Fax: 905-332-8426 CABLE QUÉBEC 4141 boul. St-Jean Trois-Rivières (Québec) G9B 2M8 Tel : 819-379-2443 Fax : 819-372-3318 COGECO DATA SERVICES 413 Horner Avenue Toronto (Ontario...

  • Page 97
    ... Toronto (Ontario) M5X 1B2 1 Place Ville Marie Suite 3900 Montréal (Québec) H3B 4M7 TRANSFER AGENT SENIOR SECURED DEBENTURES AND SENIOR SECURED NOTES Computershare Trust Company of Canada QUARTER ENDS November, February, May YEAR END August 31 96 COGECO CABLE INC. 2012 Operations and corporate...

  • Page 98
    ...or actual instances of violations of the Code of Ethics (including complaints regarding accounting, internal accounting controls and audit matters). The Ethics Line is comprised of a toll-free telephone line as well as a secure web site (see details below). The COGECO Inc. Ethics Line is operated by...

  • Page 99