The ratings on Corus Entertainment Inc. reflect the company's aggressive financial profile due to its acquisition-oriented growth strategy. The ratings also reflect challenging industry fundamentals, including the cyclical nature of the media industry, particularly for advertising and content. These factors are partially offset by the strong market position of the company's core radio and specialty television businesses, and by the revenue diversity provided by these assets. In addition, positive advertising growth dynamics for the specialty television industry, and the favorable Canadian broadcasting regulatory regime, which limits competition, are also incorporated in the ratings. Calgary, Alta.-based Corus business is comprised of three operating divisions: television (50% of revenues for the six months ended Feb. 29, 2004)--the company owns or has interests
