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BATON REPORTS DROP IN PROFIT

Baton Broadcasting Inc. has reported a 32% decline in net earnings for the first quarter ending Nov. 30, 1996. The company blames consolidation expenses, people meter ratings and increaeed program acquisition costs for the weaker performance. Net earnings fell to $4.7 million, compared to $6.8 million during the same quarter last year. Total revenue jumped to $69.8 million from $64.7 million. The results are not directly comparable with last year's because Baton bought Calgary TV station CFCN and has formed an alliance with Electrohome Ltd. TV operations in Alberta and Ontario. Baton has also reported $177,000 in earnings from the CTV Television Network, in which it has a 28.6% stake.

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