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CORUS BUYING METROMEDIA STATIONS

Corus Entertainment announced it is buying Montreal's Metromedia radio stations in a $165 million deal that includes the assumption of $20 million in debt. Toronto-based Corus acquired 29.9% of the radio broadcaster and said it entered into an agreement to acquire the remaining 70.1%. The acquisition is subject to regulatory approval. Metromedia's station include CKOI-FM, a French rock station and CFQR-FM, an English station targeting the 25-54 age group. John Cassaday, Corus president and chief executive, said in a statement, that Corus saw huge potential in Metromedia's three recent start ups, referring to Cool-FM, Info 690 and 940 News. Also included in the deal is a sixth station, CIME-FM, which covers the lower and upper Laurentians. According to Corus, Metromedia is the only Canadian radio broadcaster with five stations in a major market. Metromedia's Montreal stations will be combined with Corus' six stations in Quebec.

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