Corus 2010 Corporate Cultural Diversity

Via Access Key

January 31st, 2011

Mr. Robert A. Morin Secretary General Canadian Radio-television and Telecommunications Commission Ottawa, Ontario K1A 0N2

Dear Mr. Morin:

Re: Annual Report on Cultural Diversity - 2010

Corus Entertainment Inc. (Corus) is pleased to submit the attached Annual Report on Cultural Diversity for 2010. This report demonstrates Corus’ ongoing commitment to reflect Canada’s diversity in our corporate accountability and in the programming we broadcast.

Corus will be filing its 2010 annual report on diversity in radio on March 1st, 2011. Accordingly, the programming initiatives described in the attached corporate report focus on our conventional, specialty and pay television services.

Please contact the undersigned if you have any questions concerning the contents of this report.

Sincerely,

Sylvie Courtemanche Vice President, Government Relations Corus Entertainment Inc.

Attach.

Cc: Martine Vallee, CRTC Jane Britton, CRTC

***End of document*** CORUS ENTERTAINMENT INC.

ANNUAL REPORT TO THE CRTC ON CULTURAL DIVERSITY 2010

I Corporate Accountability

The Commission has stated in the renewal decisions of various licensees that it considers the elements set out below will help ensure that the corporate culture of each broadcast group supports the reflection of cultural diversity in the programming that it presents. Accordingly, each licensee/corporate group should:

1. Senior executive in charge of diversity : “Identify a senior executive who will be accountable for diversity practices and ensuring that management becomes more reflective of Canada's multicultural reality.”

(a) Has a senior executive been identified in the corporate plan?

The Executive Vice President, Human Resources & Corporate Communications and the Executive Vice President & General Counsel of Corus continue to share accountability for cultural diversity and equity practices, under the leadership of the President & CEO (the “core team”).

(b) What specific responsibilities have been identified in the corporate plan?

Respect and diversity are core elements in the operations of Corus. This is reflected in our company policies as well as day-to-day operations. For example, Corus has the following formal policy on Respect at the Workplace.

Respect at the Workplace The Company is committed to providing and maintaining a workplace which ensures that all employees of the company are treated with dignity and respect and are able to work in an environment free from discrimination and harassment. This Policy applies to all Corus employees (including directors and officers) and to all business-related activities between employees and third parties such as customers, contractors, vendors, suppliers and members of the public. Furthermore, this Policy applies to all company locations including Canada, USA, Ireland, Great Britain and France. The company upholds as a matter of normal business practice, the freedom from discrimination and harassment provisions of applicable human rights legislation (the legislation).

1 In addition to its regulatory mandate overseen by the CRTC, Corus is a publicly- traded company and is listed on the Toronto stock exchange (TSX:CJR.B). As such, Corus is also subject to a rigorous matrix of securities legislation that impacts upon the standards we establish for cultural diversity. For example, the following Corus Core Values establish the baseline for how each member of our team would approach our responsibilities:

Knowledge : We believe in continuous learning and the sharing of our insights and ideas.

Innovation : We are committed to creative thinking that leads to breakthrough ideas and superior results.

Initiative : We empower employees to make great things happen.

Teamwork : We believe that the greatest value is realized when we work together.

Accountability : We do what we say we’ll do – no excuses.

The Corus Code of Business Conduct (attached as Appendix A) establishes the baseline for respect and behaviour that ensures that all Corus employees and contributors understand their obligations and roles in meeting the standards that are described in this report.

The core team is responsible for the implementation and ongoing assessment of corporate practices related to cultural diversity. This includes liaising with two internal committees to determine the feasibility of equity-related initiatives and the subsequent monitoring of adopted practices.

The Diversity and Inclusiveness Policy (attached as Appendix B) states Corus’ commitment to promoting an equitable work environment. It indicates that both employees and managers are accountable for acting consistently with this policy and ensuring the policy is enforced.

The core team is responsible for the implementation and ongoing assessment of corporate practices related to cultural diversity. This includes liaising with the Equity and Diversity Committee to determine the feasibility of equity-related initiatives and the subsequent monitoring of adopted practices.

A core element of the corporate plan is the diversity that exists in the board of directors and senior management of Corus. Corus continues to have a higher proportion of women than most boards of regulated media companies, with an equal number to men. Although not part of the Commission’s diversity mandate, Corus’ board also represents various regions of the country as the directors reside in three provinces.

2 (c) What has the senior executive responsible for diversity accomplished in this reporting year, particularly with respect to ensuring that management becomes more reflective of Canada’s multicultural reality?

Town Hall Meetings

The President and CEO of Corus continued to hold employee Town Hall meetings throughout 2010 at all of the individual Corus locations across Canada. In addition, the Corus Senior Management team also conducted its own divisional meetings. These meetings promote and engender an open, supportive environment that encourages honest feedback regarding practices and guidelines that are currently in place. Town Hall and Divisional meetings are targeted to large groups of employees at specific locations, allowing people to ask questions both anonymously and directly of the CEO and members of the divisional Senior Management team in attendance. Corus also conducts President’s Breakfasts which are targeted to smaller groups, usually ten-to-twenty people representing a cross-section of employees, who meet with the divisional Presidents to communicate openly about the progress of the Company and share ideas and concerns regarding business practices.

Workplace Accommodation

Over the spring and summer of 2010 Corus consolidated all of its Greater Toronto Area locations, including radio, specialty and pay television, children’s book publishing and animation operations, at its new corporate headquarters on the Toronto Waterfront, called Corus Quay. Some 1100 employees are now accommodated in a state-of-the-art broadcast facility comprising approximately 500,000 square feet.

The building was designed as a world-leading facility from both a production technology point of view and from a building systems perspective. One of the foremost design considerations of the Corus Quay building architecture was to ensure that all measures were taken to create a barrier-free and accessible environment. The new location is an open concept design, which lends itself to being a barrier-free environment. Prior to the move to Corus Quay, employees were provided with the opportunity to test various workstation and furniture types and provide their feedback. Additionally, employees were advised that Corus intended to accommodate all reasonable requests to modify workstations.

Because public transit does not serve Corus Quay well, Corus provides employees with a dedicated shuttle bus service between Union Station and Corus Quay, operating from 6:00 a.m. to 11:00 a.m. in the morning and from 2:30 p m. to 8:00 p.m. in the afternoon and evening.

Executive Training

Corus supports a number of development programs in partnership with Canadian Women in Communications. The CWC/Corus Digital Media & Technology Career

3 Accelerator program (funded directly by Corus) along with the Jeanne Sauvé Professional Development Program and the CWC Radio Career Accelerator program provide women in the Canadian communications field with industry-specific, targeted development and networking opportunities. Two Corus executives participated this year.

Respect at the Workplace Policy

Corus remains committed to providing and maintaining a workplace which ensures that all employees are treated with dignity and respect and are able to work in an environment free from discrimination and harassment. The policy applies to all Corus employees including directors and officers, in all Corus locations both across Canada and abroad. An overview of the Respect at the Workplace policy remains part of Corus’ web-based employee orientation program for new hires and every employee is required to review and sign off on this policy on a bi-annual basis. As part of its ongoing commitment to respect in the workplace and in an effort to retain valuable employees, Corus continues to maintain a team of in-house employee Respect at the Workplace Advisors across the Company. This initiative gives employees the opportunity to help their peers, on a confidential basis, while promoting a workplace free from discrimination and harassment in which each employee is treated with dignity and respect. Employees also have access to a formal complaint process, whereby the Executive Vice President, Human Resources & Corporate Communications will undertake action to investigate a complaint and report back to the employee in a defined period of time. In the event that a complaint is made against the Executive Vice President, Human Resources & Corporate Communications, the complaint is then placed directly with the President & CEO or with the Executive Vice President & General Counsel for Corus. Employees are also made aware that complaints may be made directly to the Canadian Human Rights Commission.

AlertLine® - Third Party Monitoring

Employees are able to contact AlertLine®, a third party monitoring service, through a 24-hour-a-day, seven-day-a-week toll free telephone number and the Internet. Contact information for AlertLine® is posted on the Company intranet site for easy access. This initiative, in conjunction with a number of internal policies such as Respect at the Workplace and Code of Business Conduct, ensure that Corus is governed by values, principles and appropriate regulatory controls. There were no complaints in 2010.

Internal Job Posting Process

Corus has mandated that all open positions within the organization be posted and the Company maintains an internal job posting section on its intranet and bulletin boards at all locations. This enables all employees across the organization to apply for positions of interest to them. Corus continues to strongly encourage its employees to apply for internal positions.

Job Evaluation Program

One of the most comprehensive initiatives undertaken by Corus in the last several years was the Job Evaluation/Equal Pay for Work of Equal Value project for non- unionized employees. The goal of this project remains twofold: first, to ensure there are no pay differences between male and female employees who are performing work of equal value; and second, to ensure that Corus has an objective and competitive compensation plan for its employees. The program allows for virtually all positions within Corus to be evaluated in an equitable and bias-free manner, utilizing criteria that adhere to pay equity requirements and fair job evaluation practices. The job evaluation committee met during 2009 to evaluate new and changing roles in relation to the existing roles and grade structure. Corus is currently conducting a multi-stage, multifaceted review process to review our job evaluation process and structure. Corus will continue to rely on our Job Evaluation Committee to assess and examine roles within our grade structure.

Employee Survey

Corus continues to obtain feedback on company practices and policies through an anonymous employee survey that reviews satisfaction, equality and fair treatment. This is followed up with meetings consisting of a focus group at each location, and then management meetings to develop strategies to address the concerns of the focus groups and elicit changes regarding the issues highlighted in the focus group reports. The next survey is scheduled to be sent out in Fall 2011.

Departure Questionnaire Feedback

Corus continues to receive employee feedback through the use of a questionnaire given to departing employees upon resignation or termination. Participants are asked if they feel there are any barriers limiting the career progression of Women, members of Visible Minorities, Persons with Disabilities, and/or Aboriginal Peoples within Corus. They are also asked if they observed or experienced any examples of employment inequity while working at Corus. The responses to these questions have alerted the Company to both real and perceived equity issues and have enabled management to take appropriate action where required.

Employment Equity Questionnaire

In an effort to encourage more employees to self-identify, we revised our questionnaire to include more information regarding what is considered a disability, and added an education component as to the importance of Employment Equity Questionnaire completion. We also annually re-survey employees who did not submit their Employment Equity Questionnaire upon hire.

5 Diversity and other Awards Obtained by Corus

Corus was selected as one of Canada's Best Diversity Employers 2011 by Canada’s Top 100 Employers Group. Canada's Best Diversity Employers recognizes employers across Canada that have exceptional workplace diversity and inclusiveness programs. This competition examines a range of diversity initiatives covering five major employee groups: (a) Women; (b) Members of visible minorities; (c) Persons with disabilities; (d) Aboriginal peoples; and (e) Lesbian, Gay, Bisexual and Transgendered/Transsexual (LGBT) peoples. Corus also received this recognition in 2009 and 2010.

Corus was ranked fourth in the 2010 Corporate Knights Leadership Diversity Index. The Index identifies the top ten Canadian companies that have achieved the greatest visible minority and female representation in both the boardroom and the CEO’s suite.

In 2010, Corus was named one of Canada’s Top Employers for Young People. Corus was chosen as one of 50 companies recognized as Canada’s leaders in attracting and training younger employees.

Corus was also named one of Greater Toronto's Top Employers for 2011. Corus was selected as one of 100 companies recognized for offering an exceptional work environment and strong leadership.

Council on Inclusive Work Environments Membership

Corus continues to participate as an active member of the Council on Inclusive Work Environments (“CIWE”) facilitated by the Conference Board of Canada. The CIWE provides a forum for senior level Human Resources professionals to discuss strategies for maintaining an equitable and diverse work environment. Group members meet twice per year, including an international meeting, to discuss the implications of Human Rights, Diversity and Employment Equity related legislative changes, court rulings and governmental activities on an ongoing basis.

Strategic Alliance of Broadcasters for Aboriginal Reflection (SABAR) Membership

Corus continues to be part of the Strategic Alliance of Broadcasters for Aboriginal Reflection (SABAR). SABAR is a group of Canadian broadcasters and Aboriginal organizations working to increase the contribution and representation of Aboriginal people in all aspects of the Canadian broadcast industry. Jointly initiated by Indian and Northern Affairs Canada (INAC), a diverse group of broadcasters and industry- related organizations, SABAR examines opportunities for Aboriginal participation in targeted areas such as internships, scholarships, partnerships with Aboriginal organizations and participation at job and career fairs targeting Aboriginal people.

6 Canadian Women in Communications (CWC)

Corus continues to fund the CWC/Corus Digital Media & Technology Career Accelerator program, an intensive six-day executive training program offered in conjunction with Ryerson University. This course is designed for women in management positions in the Canadian communications industry who are in need of executive training to help integrate new media issues into their roles. In addition, Corus has also funded the CWC Radio Accelerator Program designed exclusively for women in Canadian radio. This executive training course offers an intensive and enriching learning experience for new and middle managers with a focus on programming, administration and sales within the industry.

Corus Chair in “Women in Management”

Corus’ commitment to the career progression of women of all cultures and backgrounds is exemplified in its continued support of the Corus Entertainment Chair in Women in Management at the Richard Ivey School of Business at the University of Western Ontario. The Chair was established by Corus to develop innovative research, teaching materials, and outreach programs on Women in Management and to broaden the impact of the school’s unique teaching and research programs. This research explores culturally related themes such as the impact of race on perceptions of fairness in promotions and methods for evaluating the effectiveness of organizational diversity issues.

The Corus Chair liaises with industry organizations and builds alliances with external organizations, such as Canadian Women in Communications. The aim is to complement existing programs as well as manage annual roundtables and conferences, and liaise with industry representatives and alumni to develop the strategic focus to promote, train, and assist Canadian women in management. Intellectual capital generated under the Corus Chair will be made available to partner organizations such as CWC to build a broader knowledge base on women in management.

In March 2010, Corus held its fifth annual “Women in Leadership” two-day personal development program designed for female supervisors and managers who wish to further develop their careers at Corus while balancing other aspects of their lives related to family, friends, personal interests and community involvement. In 2010, 24 women participated in the program which included presentations and discussion by external presenters. The program provides a forum for participants to share their ideas directly with the President & CEO of Corus. Following delivery of the course, participants continued to meet informally throughout the year and will continue to network with each other and provide content suggestions for the next cycle of Women in Leadership.

7 Canadian Association of Broadcasters (CAB)

Corus is an active participant in all Canadian Association of Broadcasters (CAB) related activities dealing with diversity or service to the disabled. Sylvie Courtemanche, Vice-President, Government Relations for Corus is Chair of the CAB Board of Directors and in that capacity oversees broadcast industry involvement in a variety of issues including closed captioning, described video, audio description and other accessibility issues discussed in Broadcasting and Telecom Regulatory Policy CRTC 2009-430 .

Women in Film and Television (WIFT)

Corus is an active member of Women in Film and Television (WIFT). A Corus Television executive sat on the WIFT Board of Directors in 2010. Corus continues to support the WIFT Crystal Awards.

(d) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

Recruitment/Outreach

Corus is committed to providing a fair and equitable work environment and encourages applications from qualified women, men, visible minorities, aboriginal peoples and persons with disabilities, and continues to ensure that job postings are neutral and barrier-free. Corus has implemented processes to provide a more consistent approach across the organization when recruiting and selecting individuals, including a rigorous hiring process with a centrally controlled system of standardized hiring letters that ensures all new hires are treated equitably.

To reach a diverse group of applicants, Corus continues to post job openings on the Corus website and forwards them to a number of outreach organizations including CareerEdge, the Canadian National Institute for the Blind (CNIB), and Canadian Women in Communications (CWC). In addition, Corus also forwards job postings to the following agencies: Completing the Circle, Aboriginal Multi-Media Society, Career Foundation focusing on Newcomers to Canada, The Ontario Federation of Indian Friendship Centres (OFIFC), ACCES Employment, Fort Erie Native Friendship Centre, Delaware Nation Council and the Aboriginal Employment and Training Centre. Corus also maintains a commitment to work with Career Bridge to develop relationships with and hire qualified immigrants new to Canada through their process of integrating skilled immigrants into the Canadian workplace.

Corus University

Knowledge is one of Corus’ Core Values and training and development are vital tools for both our employees’ and our Company’s continued success. Corus University (Corus U), a multi-modular training program, was designed to enhance

8 the skills and knowledge of the leadership management team by providing sessions that teach vital management skills and practical real-life tips to help managers become stronger leaders and, in turn, build stronger teams. Initially targeted to only senior management, the Corus U target audience was expanded in 2007 to include non-managerial staff and we have continued that practice throughout 2010.

In 2010, Corus U held five separate in-class course offerings including Conflict Management, Thinking Innovatively About Strategy, Business Ethics: Why Corporate Social Responsibility is Good Business and Women in Leadership. A total of 119 employees participated for a combined total of 1144 hours of instruction.

In November 2007, Corus U introduced online training through the Harvard Business School (“Harvard On-line”) with multiple course streams targeted at both employees and management personnel. ManageMentor is currently available to all employees and features dozens of modules on daily work challenges. The Developing as a Leader program is available to all managers and supervisors and provides critical management and leadership lessons through a customized combination of discrete self-directed courses, each based on concepts and frameworks created by subject matter experts.

In November 2008, the Company launched the Corus U Mentorship program in which individuals wishing to be mentored (referred to as “Partners”) were paired with a more senior mentor. In the first offering of the program a total of 51 employees applied for the 25 available places. Mentors were provided with training on effective mentoring, as well as ongoing advice and support throughout the one year duration of the program. The objectives of the program were to provide partners with a broader understanding of the industry within which Corus operates, a better understanding of the Company as a whole, and advice and counsel regarding personal career development. At the conclusion of the first offering of the program a survey of both partners and mentors indicated a very positive response to the experience on the part of all involved. In 2010, Corus U started its second iteration of the program with 34 Mentors and Partners.

9 Promotion of ManageMentor and Development of Recruitment & Selection Training

Since November 2007 we have been encouraging employees to explore the various ManageMentor course offerings. We often include specific ManageMentor modules when designing performance improvement plans for staff. One of these modules focuses on Diversity. The course discusses the advantages of a diverse workforce and provides tips for fostering diversity and maximizing the associated benefits. The course illustrates how to manage diversity and gain competitive value from employees’ differences. This includes guidelines for managers on recruiting diverse talent, resolving diversity-related conflicts and communicating with people from other cultures.

Talent Development

Through the Corus Made with Pay Fund administered by Movie Central, Corus dedicates $1.5 million each year to the script and concept development of Canadian feature films and television dramas.

In 2007, Corus partnered with Marblemedia and Ryerson University to create the Innovative Storytellers Award which is awarded to one outstanding Ryerson graduate student each year. The recipient of this award receives a grant plus a series of one-on-one sessions with industry executives from Corus and Marblemedia. These sessions offer the recipient greater insight into the business of broadcasting and production as well as guidance to complete their thesis.

Corus also administers various benefit funds resulting from Corus’ acquisition of specialty channels from CTV in 2008 and 2009. These benefit funds are primarily allocated to support the production of original Canadian programming, with $1 million set aside specifically for script and concept development for formal education and information educational programming. Other funds have been earmarked for educational institutions across Canada to support initiatives in broadcasting or broadcasting-related fields and include upgrades to school equipment for use by students and the creation of labs or lecture series to encourage creative talent development of students.

2. Clear goals for station managers : “Set clear goals for station managers so that their stations reflect the diversity that exists in their communities.”

(a) What goals for station (general) managers have been identified in the corporate plan?

The goals for General Managers at Corus have remained unchanged. General Managers are required to apply the initiatives set out in Corus’ Cultural Diversity Corporate Plan and Employment Equity Plan. They are also responsible for ensuring that their staff undergoes prescribed training programs relating to Respect at the Workplace, Workplace Diversity, Employment Equity, and Recruitment & Selection.

10 General Managers, in conjunction with the Human Resources department, have a duty to ensure that fair hiring practices are in place at their respective locations and that their hiring managers use outreach organizations to attract a diverse pool of candidates for job openings at Corus.

(b) In this reporting year, which initiatives to meet those goals have been implemented?

Corus conducts Respect at the Workplace training annually for new employees and for those who missed the original training. Twelve days of Respect at the Workplace training were conducted Corus-wide in 2010 and a total of 493 employees benefited from this training.

Corus continued its practices as outlined in Section 1(c) of this document which include: Corus Town Halls, Employee Surveys, Employee Annual Awards, Equity and Diversity Committee, Job Evaluation Program, memberships in several “diversity reflection” organizations and in its recruitment/outreach initiatives.

The ongoing Respect at the Workplace training programs continue to heighten and maintain the awareness of staff and management regarding issues of harassment and discrimination. Corus has measured levels of respect and harassment in the workplace in four separate employee surveys with the first one in 2003 and the most recent conducted in 2010. Employees have consistently given "provided with a harassment free workplace", the highest performance score on the survey.

There has been a steady increase in visible minority representation within Corus. The number of self-identified members of a visible minority increased from 7.1% in 2007 to 8.1% in 2008 to 8.6% in 2009.

There has also been an increase in the representation of women within Corus. The number of women increased from 43.5% in 2008 to 44.5 in 2009.

Another outcome of these activities is that diversity programs and projects are a significant and material budget item for the company.

11 Corus was ranked fourth in the 2010 Corporate Knights Leadership Diversity Index. The Index identifies the top ten Canadian companies that have achieved the greatest visible minority and female representation in both the boardroom and the CEO’s suite.

In 2010, Corus was named one of Canada’s Top Employers for Young People. Corus was chosen as one of 50 companies recognized as Canada’s leaders in attracting and training younger employees.

Corus was also named one of Greater Toronto's Top Employers for 2011. Corus was selected as one of 100 companies recognized for offering an exceptional work environment and strong leadership.

(d) Please identify the timelines for those initiatives that have not yet been implemented.

All initiatives are in operation.

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

In 2010 all Corus locations within the Greater Toronto Area, comprising 1,100 employees, moved into a brand new state of the art facility on the Toronto Waterfront, called Corus Quay. One of the foremost considerations for Corus’ new Toronto building architecture was to ensure that all measures were taken to create a barrier free and accessible environment. The new location is an open concept design, which lends itself to being a barrier-free environment. Prior to the move to Corus Quay, employees were provided with the opportunity to test various workstation and furniture types and provide their feedback. Additionally, employees were advised that Corus intended to accommodate all reasonable requests to modify workstations.

3. Diversity training for management : “Ensure that all managers receive appropriate training.”

(a) What specific training initiatives have been identified in the corporate plan?

Corus recognizes that managers need to receive training in Workplace Diversity and Employment Equity to develop a more comprehensive understanding of the statutory requirements for accommodating members of the Designated Groups. It is planned that the training will focus on the business advantages of hiring a more diverse workforce.

12 (b) In this reporting year, which training initiatives have been implemented?

Corus U’s online training through the Harvard Business School provides multiple course streams targeted at both employees and management staff. One of the course offerings is ManageMentor which is available to all employees and includes a diversity module which addresses how to manage diversity and gain competitive value from employees' differences with topics on how to recruit diverse talent, resolve diversity-related conflicts and communicate with people from other cultures.

(c) For those training initiatives that have been implemented, please answer the following questions. For those initiatives that have yet to be implemented, please proceed to question (d).

i. What kind of training has been received?

ManageMentor , which is available to all employees, includes a diversity module which addresses how to manage diversity and gain competitive value from employees' differences. Topics cover how to recruit diverse talent, resolve diversity-related conflicts and communicate with people from other cultures.

ii. Please indicate which levels of management have participated in this training, and what proportion of management that this represents.

The ManageMentor program is open to all employees. There currently is no tracking system in place that can provide accurate participation data.

iii. What have been the benefits of this training?

The ManageMentor program is open to all employees. We believe that this training has benefited our employees but we do not have quantified data to support this.

(d) Please identify the timelines for those training initiatives that have not yet been implemented.

All planned training initiatives are in operation.

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

13 4. Staff involvement in plan’s progress : “Ensure that regular opportunities are provided for staff assessment of progress made toward the reflection of diversity, as well as for identification of future challenges.”

(a) What specific initiatives have been identified in the corporate plan?

Promoting an equitable work environment continues to be a priority for Corus. As part of its commitment to this goal, Employment Equity committees in Eastern and Western Canada were formed in 2003. In 2010, the Eastern and Western Committees were combined into one committee named, The Equity and Diversity Committee. This committee continues to review and provide input to the Senior Management team on the Employment Equity Plan and the Cultural Diversity Corporate Plan. The committee is comprised of a cross-section of employees from management, non- management and union representation, while representing geographical locations and designated group membership. Corus has made a concerted effort to ensure that regular opportunities are provided for staff assessment of the progress made toward the reflection of diversity. While Corus values the input of external consultants, it has found the comments and suggestions of employees to be invaluable in shaping its diversity and equity plans.

Corus also conducts comprehensive employee surveys and holds quarterly divisional town hall meetings with employees.

(b) In this reporting year, which initiatives have been implemented?

Corus continues to receive employee feedback through the use of a departure questionnaire that is given to all staff upon resignation or termination. Participants are asked if they feel that there are any barriers limiting the career progression of women, members of visible minorities, persons with disabilities, and/or Aboriginal peoples within Corus. They are also asked if they observed or experienced any examples of employment inequity while working at Corus. The responses to these questions have alerted us to both real and perceived equity issues and have enabled us to take appropriate action.

The Equity and Diversity Committee continues to play an integral role in reviewing and providing input on Corus’ Employment Equity and Diversity initiatives. This committee is comprised of a cross-section of employees from management, non- management and union representation, while representing geographical locations and designated group membership. Corus continues to ensure that regular opportunities are provided for staff assessment of progress made toward the reflection of diversity.

14 (c) For those initiatives that have been implemented, please answer the following questions. For those initiatives that have yet to be implemented, please proceed to question (d).

i. In this reporting year, describe the opportunities provided for staff assessment of progress in the area of cultural diversity.

Corus’ Equity and Diversity Committee continued to provide feedback and provide input on Corus’ Diversity and Inclusiveness Policies and Procedures, and reviewed and updated the Employment Equity Plan. The committee is comprised of a cross-section of employees from management, non- management and union representation, while representing geographical locations and designated group membership.

Corus continues to obtain feedback on company practices and policies through a regular anonymous employee survey that reviews satisfaction, equality and fair treatment. This is followed up with meetings consisting of a focus group at each location, and then management meetings to develop strategies to address the concerns of the focus groups and elicit changes regarding the issues highlighted in the focus group reports. The last survey was completed in 2010, while the next survey is scheduled to be sent out in Fall 2011.

The President and CEO of Corus continued to hold employee Town Hall meetings. In 2010, live electronic Town Halls were webcast in front of a live audience and made available for viewing on our Intranet site. At other Corus locations, meeting rooms were set up where employees could watch the Town Hall and access computer terminals to ask questions. This format was interactive, allowing employees to email and text questions to the President and CEO and have those questions answered live during the Town Hall. In addition, the Corus Senior Management team also conducted its own divisional meetings. These meetings promote and engender an open, supportive environment that encourages honest feedback regarding practices and guidelines that are currently in place. Town Hall and Divisional meetings are targeted to large groups of employees at specific locations, allowing people to ask questions both anonymously and directly of the CEO and members of the divisional Senior Management team in attendance. Corus also conducts President’s Breakfasts which are targeted to smaller groups, usually ten-to-twenty people representing a cross-section of employees, who meet with the divisional Presidents to communicate openly about the progress of the Company and share ideas and concerns regarding business practices.

15 they observed or experienced any examples of employment inequity while working at Corus. The responses to these questions have alerted us to both real and perceived equity issues and have enabled us to take appropriate action.

Corus also continued to receive feedback through an on-line Entry survey process. This is a two part survey that all new employees are asked to complete. The first part is sent at two weeks and asks employees to evaluate the interview experience and the “welcome” they received into their new environment. The second part is sent at three months and asks questions related to orientation and training. The feedback received in the entry survey assists with holding managers accountable for conducting proper interview sessions.

As part of its ongoing commitment to respect in the workplace and in an effort to retain valuable employees, Corus continues to maintain a team of in-house employee Respect at the Workplace Advisors across the Company. This initiative gives employees the opportunity to help their peers, on a confidential basis, while promoting a workplace free from discrimination and harassment in which each employee is treated with dignity and respect. Employees also have access to a formal complaint process, whereby the Executive Vice President, Human Resources & Corporate Communications will undertake action to investigate a complaint and report back to the employee in a defined period of time. In the event that a complaint is made against the Executive Vice President, Human Resources & Corporate Communications, the complaint is then placed directly with the President & CEO or with the Executive Vice President & General Counsel for Corus. Employees are also made aware that complaints may be made directly to the Canadian Human Rights Commission.

Employees are able to provide feedback via AlertLine®, a third party monitoring service, through a 24-hour-a-day, seven-day-a-week toll free telephone number and the Internet. Contact information for AlertLine® is posted on the Company intranet site for easy access. This initiative, in conjunction with a number of internal policies such as Respect at the Workplace and Code of Business Conduct, ensure that Corus is governed by values, principles and appropriate regulatory controls. There were no complaints in 2010. ii. How many staff participated in this assessment?

On the Equity and Diversity Committee, 14 employees participated in this assessment, representing locations across Canada. In addition, members of the Human Resources department added input on this committee.

16 The Employee Survey, Town Halls, Departure Questionnaire, Entry Survey, Respect at the Workplace Advisors and AlertLine® encompass the entire employee population.

iii. Through these opportunities for staff assessment, have future challenges been identified?

Future challenges were not identified.

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

5. Improving employment practices re visible minorities : “Set out the licensee's plans for hiring and retention of visible minorities, as well as training in this area that it will provide to staff.”

This requirement contains two sets of objectives – hiring and retention/training.

Hiring:

(a) What specific hiring initiatives have been identified in the corporate plan?

Corus’ Corporate Plan identified that there is a need to establish relationships with community centres, schools and associations for designated groups in order to post job openings with these organizations.

(b) In this reporting year, which hiring initiatives have been implemented?

Corus is committed to providing a fair and equitable work environment and encourages applications from qualified women, men, visible minorities, aboriginal peoples, and persons with disabilities and continues to ensure that job postings are neutral and barrier-free. Corus has implemented processes to provide a more consistent approach across the organization when recruiting and selecting individuals, and has developed a rigorous hiring process which includes a centrally controlled system of standardized hiring letters that ensures all new hires are treated in the same way.

To reach a diverse group of applicants, Corus continues to posts job openings on the Corus website and forwards them to a number of outreach organizations including

17 CareerEdge, the Canadian National Institute for the Blind (CNIB), and Canadian Women in Communications (CWC). Corus also forwards job postings to the following agencies: Completing the Circle, Aboriginal Multi-Media Society, Career Foundation focusing on Newcomers to Canada, The Ontario Federation of Indian Friendship Centres (OFIFC), ACCES Employment, Fort Erie Native Friendship Centre, Delaware Nation Council and the Aboriginal Employment and Training Centre.

It has come to our attention that other job websites are posting our employment notices to enhance their traffic. This activity serves to expand the potential audience for each of our postings.

Corus maintains a commitment to work with Career Bridge to develop relationships with and hire qualified immigrants new to Canada through their process of integrating skilled immigrants into the Canadian workplace.

(c) For those initiatives that have been implemented, please describe what has been accomplished. For those initiatives that have yet to be implemented, please proceed to question (d).

N/A

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

Retention/training:

(a) What specific initiatives, including training, have been set out to address retention of culturally diverse employees in the corporate plan?

Corus recognizes that employees, regardless of gender or culture, increasingly face the challenges of balancing the demands of their jobs with their personal responsibilities. Initiatives that address work/life issues benefit all parties creating in the long run a more positive, loyal, and productive workplace. Employees have communicated a desire for balance between home and work and they are able to achieve this through Corus’ Work/Life Balance policy. In 2010, Corus continued to accommodate requests of this nature.

18 Corus continues to conduct an employee survey, with a comprehensive review of the results and an action planning process to identify on a location by location basis the key human resource issues.

(b) In this reporting year, which initiatives have been implemented?

As part of Corus’ ongoing commitment to Respect in the Workplace and in an effort to retain valuable employees, Corus maintains a team of in-house advisors across the company. Each advisor has been trained by an external consultant on informal conflict resolution, and is ready to help if an employee believes he or she is being harassed or discriminated against in his or her workplace. All matters are kept strictly confidential. This initiative gives employees the opportunity to help their peers while promoting a workplace free from discrimination and harassment in which each employee is treated with dignity and respect. Respect at the Workplace Advisors meet with each other on a regular basis and receive additional training to continually upgrade their skills and to ensure that they have a forum to discuss current issues and resolution strategies. The latest training session occurred in 2009.

Corus continually reviews all of its Human Resources policies and procedures and updates the employee handbook on the corporate intranet as needed. The handbook provides employees with useful information and, at the same time, provides a set of clear and consistent guidelines for managers to apply to their staff. This reduces the likelihood of arbitrary decision-making or exclusionary behaviour.

(c) For those initiatives that have been implemented, please describe what has been accomplished. For those initiatives that have yet to be implemented, please proceed to question (d).

Due in large part to the “Advisor Program,” issues are often resolved at the employee level without escalating to management. Employees are learning how to resolve conflicts and, in the process, are developing a keener understanding and appreciation for what behaviour is acceptable and desirable in the workplace. Employees are becoming more comfortable with the notion of raising concerns and recognize that it is their right to work in a respectful environment free from any type of harassment or discrimination. Corus believes that this type of open environment promotes employee retention.

A more formal complaint process has been developed for employee issues that are unlikely to be resolved through advisors and an informal complaint process. Employees have access to a formal complaint process, whereby the Executive Vice President, Human Resources & Corporate Communications will undertake action to investigate a complaint and report back to the employee in a defined period of time. In the event that a complaint is made against the Executive Vice President, Human Resources & Corporate Communications, the complaint is then placed directly with the President & CEO, or with the Executive Vice President & General Counsel for Corus. Employees are also made aware that complaints may be made directly to the Canadian Human Rights Commission.

Corus has implemented action plans that resulted from feedback on the Corus Employee surveys and have resulted in positive changes for the locations. In some instances this includes setting up advisory boards to provide feedback and suggestions to management on an ongoing and timelier basis throughout the year on such issues as fair treatment of staff and reaction to, and interpretation of, guidelines and policies.

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

See response to question (b) above.

20 II Reflection of diversity in programming

The Commission has also stated in the renewal decisions of various licensees that corporate plans should address the presence of people from diverse backgrounds, both in programming that licensees produce and in programming that licensees acquire. As well, plans should address the way that cultural minority groups including Aboriginal peoples are portrayed in programming.

News:

More specifically, with respect to news programming, licensees should identify mechanisms to assess progress in the following areas:

1. Diversifying news sources : “The use of people from minority groups as sources regardless of whether the issue being discussed is particularly related to a minority community.”

(a) What specific initiatives have been identified in the corporate plan?

The corporate plan extends to our pay, specialty and conventional television undertakings. However, Corus is committed to implementing it as widely as possible within the company. As Corus pay and specialty television services do not provide news programming, Corus has, to the extent practicable, endeavoured to extend the application of the corporate plan to its news/talk radio stations in relation to news programming as well as to news programming originated by our conventional television stations.

Please refer to the Corus Radio Annual Report on Diversity in Radio for 2010, to be filed by March 1 st , 2011, for further details respecting our radio stations.

Our conventional television stations actively endeavour to reflect the communities the serve in both hiring practices and news programming.

(b) In this reporting year, which initiatives have been implemented?

Corus radio stations continue to acquire news stories from various sources to better diversify its sources. In this regard, our stations actively seek input on various issues in the community from persons that happen to come from culturally diverse backgrounds.

Our news/talk stations examine cultural issues almost on a daily basis. We reflect the communities in which we operate.

A sample of this activity will be provided in the Corus Radio Annual Report on Diversity in Radio for 2010.

21 News operations within our conventional television stations have continued to seek as much diversity as possible when choosing sources or individuals to be included in coverage, regardless of the topic or context.

(c) For those initiatives that have been implemented, please describe how each initiative has contributed to diversifying news sources? For those initiatives that have yet to be implemented, please proceed to question (d).

The active solicitation of view points from viewers and listeners, in studio guests or experts has enabled these stations to provide a varied perspective on topical and often controversial issues.

i. If diversification has not improved in this area, have barriers been identified?

ii. If barriers have been identified, are any new initiatives being planned to address those barriers?

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

2. Diversifying news stories : “Ensuring that stories about ethnic communities do not appear solely within the context of coverage of cultural celebrations or reporting of negative stories.”

(a) What specific initiatives have been identified in the corporate plan?

When reporting news stories, Corus news/talk radio stations and conventional television stations do not place race or culture at issue unless it is an integral part of the story. These stations report newsworthy stories, regardless of the background of the people that are involved.

Our news reporting and content generally is also subject to an internal code as well as the CBSC codes. These serve to guide our newsgathering, reporting and discussion elements to ensure that we reflect a diverse range of views in an appropriate manner.

22 (b) In this reporting year, which initiatives have been implemented?

No new initiatives have been implemented. Corus news/talk stations and conventional television stations continue to ensure that stories about ethnic communities do not appear solely within the context of coverage of cultural celebrations or reporting of negative stories.

Our stations judge news stories (including coverage of cultural celebrations) by topicality, breaking news effect, factual accuracy and mass appeal. These guiding factors set the tone for stories told, irrespective of the ethnic cultural connection in the story.

(c) For those initiatives that have been implemented, please describe how each has contributed to diversifying news stories. For those initiatives that have yet to be implemented, please proceed to question (d).

All the initiatives noted above have helped to diversify the type of news stories that are presented on Corus’ conventional television and news/talk radio stations and have increased the public’s awareness of some of the issues affecting various communities.

Please refer to the Corus Radio Annual Report on Diversity in Radio for 2010 for further details respecting our radio stations.

i. If diversification has not improved in this area, have barriers been identified?

ii. If barriers have been identified, are any new initiatives being planned to address those barriers?

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

23 3. Diversifying on-air personalities : “Ensuring that on-air personalities reflect the diversity of the community that the station serves.”

(a) What specific initiatives have been identified in the corporate plan?

Station managers have a duty to ensure that fair hiring practices are in place at their respective locations and that their hiring managers utilize local outreach organizations to attract a diverse pool of candidates for job openings at Corus.

(b) In this reporting year, which initiatives have been implemented?

No new initiatives have been implemented. When recruiting employees we continue to promote Corus as an equal opportunity employer and receive substantial coverage in industry related publications. While trying to ensure that on-air personalities reflect the diversity of the communities the stations serve, Corus hires the person best qualified for the given job.

The following table provides the total number and percentage of on-air employees (full-time, part-time and temporary), including voice-overs, from each designated group, as well as the total number of all on-air employees who were employed in the last year.

On-air employees Number % Women 234 40.28 Aboriginal Peoples 3 0.52 Persons with Disabilities 6 1.03 Visible Minorities 15 2.58 Total number of on-air employees 581

i. If diversification has not improved in this area, have barriers been identified?

ii. If barriers have been identified, are any new initiatives being planned to address those barriers?

N/A

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

24 (e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

4. Equitable distribution of news beats : “Ensuring that reporters and journalists from minority communities are not assigned exclusively to covering stories of principal concern to cultural groups.”

(a) What specific initiatives have been identified in the corporate plan?

News beats at the news/talk radio stations and conventional television stations at Corus are distributed either geographically, by areas of experience and expertise or seniority, or according to rotating time shifts.

(b) In this reporting year, which initiatives have been implemented?

On-going practice of distribution of news beats as noted in the response to question (a) above.

This initiative ensures that the news staffs at these stations gain general news coverage experience.

i. If diversification has not improved in this area, have barriers been identified?

ii. If barriers have been identified, are any new initiatives being planned to address those barriers?

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

25 Non-news:

The plan should also address how the portrayal and presence of cultural minorities will be incorporated into all stages of the production and acquisition of non-news programming, including decisions about which programs will be broadcast. For instance, the plan should address how the licensee will ensure that:

1. Diversifying casts : “Those responsible for casting make a concerted effort to hire visible minority actors in leading and recurring roles.”

(a) What specific initiatives have been identified in the corporate plan?

Corus managers have a duty to ensure that fair hiring practices are in place to make certain that on-air talent on our television stations is reflective of the communities they serve. Our hiring managers make an ongoing effort to look for and bring to the forefront culturally diverse on-air program hosts and casts.

(b) In this reporting year, which initiatives have been implemented?

All policies listed are still in place.

(c) For those initiatives that have been implemented, please describe how each initiative has contributed to diversifying casts. For those initiatives that have yet to be implemented, please proceed to question (d).

YTV and Treehouse TV

YTV’s internal programming policy, as well as the YTV Programming department’s continued involvement in the development and production process has enabled it to present children with programs featuring talent from diverse cultural backgrounds. For example, “The Zone”, a popular program for 6-11 year olds that airs every weekday from 3 to 6pm on YTV, is hosted by Carlos who is of Asian-Latino background. As well, YTV re-commissioned several popular original productions which feature visible minorities as lead characters; for example, “How to Be Indie”, came back for a second season. This series follows the life of a 13-year old South- Asian Canadian girl as she navigates growing up while balancing her home and school life. The diverse cast includes Indian Canadian Melinda Shankar who plays the main character “Indie”, Asian Canadian Marline Yan as Indie’s best friend “Abigail”, and Indian Canadians Ellora Patnaik and Vijay Mehta as Indie’s parents. Other examples include “In Real Life” season 2, hosted by Swiss-Pakistani Canadian Sabrina Jalees; and “Kid vs. Kat”, season 2, an animated series in which one of the lead characters, Dennis Chan, is Asian Canadian.

In its original programming, Treehouse provides producers with coproduction guidelines outlining compliance with “Content Criteria” that promotes diversity in its preschool programming. New programs must offer a sense of greeting and recognition for a variety of cultural groups and appeal to boys and girls and

26 different ages of preschool audience. Examples of original productions that feature visible minorities and diverse cultures that continue to air include “Are We There Yet?: World Adventure” and “Roll Play”. “Are We There Yet?” is an unscripted series showcasing diverse countries, their people and unique cultures through the experiences of 4 different pairs of young siblings who travel the globe. Examples of recent episode destinations and experiences include riding a Felucca boat down the Nile River in Egypt, celebrating the festival of sugar in Turkey, learning how to ski in Germany and visiting the Eiffel Tower in Paris. “Roll Play” is an interactive program that encourages children to be physically active and also promotes diversity. This program features seven children that are visible minorities – three Asian Canadians, three African Canadians, and one Latin Canadian.

W Network

W Network’s initiatives have ensured incorporation of cultural diversity in its casting in a number of ways. Input is provided where necessary to encourage diversity in the casting process. This is closely supervised by a production executive and approved by the Director of Original Productions. When casting guests and real people in its shows, much effort is made to reflect the cultural landscape of Canada. All productions commissioned, co-produced or produced in-house by W Network require network approval for all lead and secondary roles, whether they are hosts, leading actors, supporting actors, cameo roles or guests. As a result, W Network’s on-air hosts and personalities are representative of ethnic and cultural groups. Examples include “Ghostly Encounter” a series which examines supernatural phenomenon is hosted by an African-Canadian, Trevor Blackman “How To Look Good Naked Canada”, a series hosted by an Indian-Canadian. W Network also continues to air the popular home decorating series, “Save Us From Our House”, hosted by Indian Canadian, Hina Khan; and “Divine Design”, whose electrician, Chico Garcia, is Filipino-Canadian, and regularly features home owners with diverse cultural backgrounds, including Asian, African-Canadian, as well as same sex couples.

VIVA

VIVA exemplifies Canada’s diverse cultures in its programming, examples include, “Everyday Food”, with co host Emma Feigenbaum who is African American; “He Said, She Said with European Asian Canadian co host Ken Kosticks, and “Stuck”, a series which follows a group of diverse women, including an African Canadian and Asian Canadian, who are each struggling to meet their own health and fitness goals.

CMT

CMT’s continued initiatives have led to the broadcast of various original productions featuring diverse cultures. “Karaoke Star”, is co-hosted by PJ Phill Guerroro, a Filipino Canadian, and features a wide range of diverse participants including Aboriginal, African-Canadian, Asian and Persian ethnicities. “Meet the Wilsons”, an 8 part series, featured a couple’s trials and tribulations as they adopt an

27 African American child. “Dedicated” featured African American artist Darius Rucker and Aboriginal artist Crystal Shawanda. CMT continues to be a contributor and broadcaster of the CCMA Awards where Aboriginal artist, Crystal Shawanda, was nominated for Female Artist of the Year award.

Digital Networks

The programming on each of these services is market and genre specific. Notwithstanding this, each of the digital networks makes a conscious effort to ensure that its programming features culturally diverse casts, to the extent appropriate to each of the services specific market, demographic and programming genre. For instance, each episode of “Oh So Cosmo” features segments with reporter Jacqui Skeete, who is Caribbean Canadian. Cosmo also airs the Canadian production “Between the Sheets with Rebecca Rosenblat”, hosted by an Indian Canadian woman who helps educate and enhance a couple’s love life. Cosmo also airs a makeover series “Style by Jury”, where diversity is maintained in every episode within the participants who make up the jury, in addition some episodes Doctors are of a diverse background, Dr. Kucy Pon is Asian and Dr. Armaghan Afsar is Persian.

Movie Central and Encore Avenue

Movie Central continues to create a diverse programming schedule by showcasing movies and series from around the world, including original Canadian productions that feature culturally diverse casts, themes, and languages. Examples include: “Silk”, a Canadian film telling the story of a silkworm merchant turned smuggler in 19 th century France travelling to Japan. This film features Japanese Sei Ashina and Koji Yakusho; Canadian series “Bloodletting and Miraculous Cures” explores the lives of three doctors fresh from medical school as they embark on their new careers. The series stars Asian Canadians Byron Mann and Mayko Nguyen.

Encore Avenue also airs a wide variety of films and series with diverse casts, settings and topics. Examples of Canadian productions include: “Fire”, from Indian director Deepa Mehta, is a story about an Indian family co-existing together while under spiritual guidance; “Paper Moon Affair”, tells the story of a Japanese woman trapped in a troubled marriage and finding peace by creating origami.

Conventional Television

Our CBC affiliate stations continue to program ethnic programming in local time slots as well broadcasting the CBC network programs.

Telelatino Networks

Corus is the majority owner of TLN – the Telelatino Network. TLN has also invested in the launch of three new Category 2 ethnic specialty services: Video Italia Canada (Italian language), Leonardo World Canada (Italian) and TLN en Espanol (Spanish).

28 These services provide new programming in these languages to their respective communities.

TLN also conducts festivals in Toronto each year that attract hundreds of thousands of participants from all ethnic groups. Some of the events are covered and broadcast by the services. In particular “Salsa on St Clair”, a weekend-long event, is a major event each summer.

2. Diversifying scripts : “Those persons responsible for script development ensure that minorities are not portrayed in a stereotypical manner.”

Corus obviously has no control of the programming submitted by independent producers. However we are proud of our efforts to support films and series that depict diverse subjects. For example, we are in the development stages of a Canadian film “The River”, which is set on a Mohawk reserve about the drug trade along the St. Lawrence.

(a) What specific initiatives have been identified in the corporate plan?

Children’s Television – YTV and Treehouse

As television networks that provide children’s programming, YTV and Treehouse adhere to the following principles:

• avoid programs with racial stereotypes and encourage producers and writers to provide programs with ethnic diversity and strong visible minority role models; • avoid programs with gender stereotypes and encourage producers and writers to provide programs with strong female role models; • actively seek out programs that will be reflective of the Canadian cultural landscape; • acquire and create programs with an awareness of the specific cognitive and social development levels of each target audience; clearly identify age appropriate program blocks so that parents and caregivers can make informed decisions regarding the appropriate programs for their children; and • not broadcast gratuitous representations of violent acts and observe a "watershed hour" confining programs with a higher degree of excitation to after 9:00 p.m.

YTV and Treehouse have also established an Internal Review Committee, comprised of a cross section of employees who regularly review our programming to ensure compliance with the foregoing policies and applicable broadcast regulations.

29 Adult specialty networks

Corus’ adult specialty networks make every effort, to the extent practicable, to produce, commission and acquire programming that is reflective of the cultural diversity of their audience in the shows that are aired. W Network’s programming content reflects, where possible, the unique perspective that the ethno-cultural background of the on-air talent and/or producer brings. CMT strives to showcase programs with culturally diverse components and Movie Central makes every attempt to showcase culturally diverse movies that have been filmed all over the world.

(b) In this reporting year, which initiatives have been implemented?

YTV and Treehouse TV

YTV revised its internal programming policy (the policy was included with the 2004 Annual Report on Corporate Cultural Diversity Plan), which is provided to each producer, to clarify YTV’s expectation regarding the integration of ethnic diversity and strong visible minority characters into its programs. In addition, YTV’s Original Productions department continues to be involved in the development and production process, ensuring adherence to this policy.

W Network

W Network’s Program Core Concept ensures that the reflection of various ethnic cultures is incorporated in the actual concept of a number of programs that W Network broadcasts.

When casting guests and real people in its shows, much effort is made to reflect the cultural landscape of Canada. All productions commissioned, co-produced or produced in-house by W Network require network approval for all lead and secondary roles, whether they are hosts, leading actors, supporting actors, cameo roles or guests.

CMT

CMT, our country music specialty service also continues to showcase programs with culturally diverse artists.

Digital Networks

30 Movie Central

Movie Central acquires all suitable Canadian movies and makes every attempt to showcase culturally diverse movies (featuring culturally diverse casts) that have been filmed all over the world.

Conventional Television

In relation to Corus conventional television services, both CHEX-TV and CKWS- TV are CBC affiliates and as such the majority of its culturally diverse programming is derived from the CBC. In addition, Corus has added culturally specific programming components on CHEX-TV and CKWS-TV.

(c) For those initiatives that have been implemented, please describe how each initiative has contributed to diversifying scripts. For those initiatives that have yet to be implemented, please proceed to question (d).

The initiatives described above have contributed to ensuring that programming aired on Corus’ children’s and adult’s specialty television accurately portrays the cultures it reflects. Given the cultural landscape of Canada, often times a gentle, rather than overpowering integration of different cultures enriches a show and increases the authenticity for the audience. For example, including a character in the traditional dress of their heritage, or a traditional meal being served at the dinner table has contributed to diversifying scripts beyond the mere inclusion of lead or supporting culturally diverse roles.

In animated programs, YTV and Treehouse encourage the artists to design characters that represent different cultural heritages. Animated characters on YTV programs portray various visible minorities in main and supporting roles; this portrayal is more subtle in animated programs broadcast on Treehouse. For example “Zigby”, features a meerkat, a zebra, an African guinea fowl, a lion, a flamingo, monkeys, and elephants, who despite the fact that they are each very different animals, are all friends. This encourages young children to recognize that people are not all the same and encourages acceptance of diverse cultural groups.

W Network’s Program Core Concept ensures that the reflection of various ethnic cultures is incorporated in the actual concept of a number of programs that W Network broadcasts. An example where the Concept was engaged is “Anna and Kristina’s Grocery Bag”; a cooking show that frequently focuses on international cuisine with a guest chef. In one episode Thai chef, Brian Marchesi, helps the hosts understand the complexity of cooking authentic Thai cuisine.

CMT continues to extensively promote its Video Advantage Program, a video grant program to assist new artists from all cultural groups to produce music videos in the country music genre and encourages visible minority artists to take advantage of this grant program.

31 Movie Central has presented films from countries such as Brazil, Hong Kong and Mexico with movies depicting a mosaic of cultures.

i. If diversification has not improved in this area, have barriers been identified?

ii. If barriers have been identified, are any new initiatives being planned to address those barriers?

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

3. Diversifying acquisitions

(a) What specific initiatives have been identified in the corporate plan?

When acquiring programming, YTV and Treehouse adhere to the internal programming policy in determining which shows are suitable for its networks.

Corus specialty television services reject any programming that it feels negatively portrays any racial, ethnic or social group.

(b) In this reporting year, which initiatives have been implemented?

Corus services adhere to internal programming policies to determine which shows are suitable for their networks. Treehouse has acquired culturally diverse programming from outside of Canada which continue to air on the service, such as: Elmo’s World, which explores the cultural diversity in the world through dancing, music and even food; Go Diego Go!, spin-off to the wildly popular Dora the Explorer series and features Dora’s cousin Diego, a Caribbean boy who takes viewers on exciting animal rescue missions while encouraging them to jump, clap, cheer and speak in Spanish; and Ni Hao Kai-lan, which introduces viewers to the Mandarin Chinese language, along with elements of Chinese culture, multiculturalism, and intergenerational families.

W Network commissioned programs reflecting Canada’s cultural diversity. In this regard, reality documentary series such as “Love it or List it” features people from numerous visible minority communities and different cultures. In each episode a family is featured who are unsatisfied with their home. After the home is renovated

32 and decorated the family must decide if they will keep their home or sell it. The families are often visible minorities, including Indian, Chinese, and African- Canadians. W Network also encourages its drama producers to cast culturally diverse guests in all the projects commissioned.

Our pay television services acquire all suitable Canadian movies and make every attempt to showcase culturally diverse movies that have been filmed all over the world. For example, Movie Central has exhibited films from a variety of countries, including Brazil, Hong Kong, and Mexico. These movies depict a mosaic of cultures. “Last Stop 174”, is a Brazil/France co-production, telling the story of a real-life bus hijacking in Rio De Janeiro; “Lust, Caution”, a US/China/Taiwan/Hong Kong co- production, a WWII era Shanghai thriller of a young woman emotionally tied to a powerful political figure; “Sin Nombre”, a Mexico/US co-production, of a family attempting to escape an impoverished life in Honduras by smuggling themselves into the United States.

i. If diversification has not improved in this area, have barriers been identified?

ii. If barriers have been identified, are any new initiatives being planned to address those barriers?

N/A

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

33 III Community Involvement

1. Community input and feedback : “The plan should set out mechanisms that the licensee will put in place to ensure that it receives effective input and feedback from its community with respect to the reflection of cultural diversity, including Aboriginal cultures, in its programming.”

(a) What specific initiatives have been identified in the corporate plan?

Corus’ commitment to the community is reflected in a number of programs that we participate in on an ongoing basis. The various programs are targeted at different sectors of the multicultural community in order to maintain ongoing relationships with a variety of organizations representing diverse communities and as a means of bridge-building and ensuring that the Corus applicant pool remains diverse. For example, for the seventh consecutive year, Corus Entertainment is a proud media sponsor of Rick Hansen Wheels In Motion. To date, Wheels in Motion has raised over $9.6 million and supported more than 800 quality of life projects across Canada. Rick Hansen Wheels In Motion brings communities together to raise funds that help improve the quality of life of people living with spinal cord injury. Corus is also a proud sponsor of The Mobility Cup which is recognized as Canada's International Regatta for Sailors with Disabilities. Through the use of innovative Canadian technology, Canada has become a leader in making sailing accessible to people with severe disabilities. Disabled Sailors from around the world are invited to participate in Mobility Cup.

Several Corus Radio stations are involved in community outreach programs in order to facilitate the hiring of more diverse employees. For example the Vancouver Radio stations’ community outreach programs include regular meetings with a variety of community leaders representing diversity groups, and also partnerships with various broadcasting schools in the region. In Guelph Radio, one of its on-air staff represents Corus as a member of the Guelph Multicultural Festival Board and serves on its committee. In Peterborough, Corus continues to have partnerships with local colleges and encourages applications from diverse backgrounds. These types of community outreach programs increase applications and internships from the four designated groups.

In Manitoba, Corus stations have ongoing relationships with the Manitoba Métis Federation, Assembly of Manitoba Chiefs, Manitoba League of Disabilities, Manitoba Native Women’s Transition Association and the Manitoba Sikh Society. In Hamilton, Corus Radio stations operate their own charity known as the Y108/CHML Children’s Fund, which distributes monies to organizations that serve the underprivileged in aboriginal and visible minorities’ communities as well as persons with disabilities. In Edmonton, Corus works with the CNIB, Edmonton Immigrant Services and Edmonton Multi-Cultural Star. In Calgary, Corus partners with the Calgary Multicultural Centre and Calgary Immigrant Women’s Association.

34 (b) In this reporting year, which initiatives have been implemented?

Continuation of existing initiatives.

(c) For those initiatives that have been implemented, please answer the following questions. For those initiatives that have yet to be implemented, please proceed to question (d).

i. What kind of input and feedback has been solicited?

Our Viewer Relations Department continues to solicit feedback and comments from the viewers of all our networks. Members of the public are able to share their comments and feedback and concerns with Corus via all of the Corus websites.

Corus Human Resources Department has also been holding informal discussions with individuals from various community groups and outreach agencies to measure and monitor Corus’ progress on its recruitment initiatives within some outreach agencies.

ii. Please indicate the communities and/or groups from whom input and feedback has been received.

We receive viewer feedback on a wide variety of topics, including comments on representations of cultural diversity in our programming. Members of the public are able to share their comments and feedback and concerns with Corus via all of the Corus websites.

Corus takes an active role in production and media supporting a variety of Healthy Active Living initiatives, including Long Live Kids , a one-of-a-kind Canadian collaboration bringing together industry, issue experts and government to provide Canadian children with tools for healthy eating, active living and improved media literacy in order to support a balanced lifestyle.

When responding to viewer comments that question either the lack of cultural diversity in the programming or those that feel certain content promotes one culture over another, we make the point that, as a responsible broadcaster, we embrace diversity and take all conceivable measures to provide quality programming for and about our wide-ranging Canadian audience. We believe programs designed to encourage, and respect, along with introducing viewers to new and exciting customs, traditions or beliefs, provide great value for our viewers. We make every effort to include cultural diversity, in a variety of ways, as often as possible. For example, each year we traditionally have a December schedule dedicated to Christmas, but have included episodes celebrating Hanukah, Kwanzaa, Rosh Hashanah, Easter and Eid, when possible or applicable. We consider

35 that our inclusion of these programs responds to the varied tastes of the public and recognizes the diversity of this nation.

iii. Who within the organization reviews this input and feedback?

Senior management, including the President of Corus Television reviews the input and feedback that we receive from Corus Children’s Television Advisory Council. The Viewer Relations department receives feedback obtained from our viewers and members of the public. The feedback, in turn, is reported to the Youth Television Management Committee which meets regularly and discusses this feedback as part of their meetings.

iv. How is the input and feedback being used?

Where appropriate, the input and feedback is used to implement improvement and changes to our programming and initiatives.

(d) Please identify the timelines for those initiatives that have not yet been implemented.

N/A

(e) If applicable, please describe any new initiatives, including those that might have resulted from work in this area.

N/A

36 Appendix A Corus Code of Business Conduct

Definitions Term Definition Manager As referenced in this policy, a manager is the person to whom an employee directly reports.

Overview At Corus, we are committed to fair dealing, honesty and integrity in all aspects of our business conduct. We take this responsibility to our employees, shareholders and other stakeholders very seriously. The Code of Conduct is vital to implement these responsibilities in the workplace and in dealings with the public and our stakeholders. It also aims to demonstrate to our stakeholders and the public the Company’s commitment to conduct itself ethically.

Policy

The Code of Business Conduct applies to all employees and members for the Board of Directors of Corus Entertainment Inc. and our subsidiary companies (referred to collectively in this Code as “Corus” or the “Company”). For purposes of rules promulgated under section 406 of the Sarbanes Oxley Act of 2002, portions of this code shall comprise the Company’s “code of ethics” for senior executives and financial officers.

Each employee and director of Corus is expected to read and comply with the entire Code. Failure to abide by this Code will lead to disciplinary measures appropriate to the violation, up to and including dismissal.

All new employees must sign the Code of Conduct within their first two weeks of employment with Corus. ALL employees must review and re-sign the policy every year.

The complete Code of Conduct can be found on Corus Central and on our Orientation Website.

Practices and Procedures

New employees are made aware of the Code of Conduct in two places: It is included in their offer letter package for their signature They are expected to review and answer questions about the Code as part of the Corus on-line orientation program

Employees will be notified when the time comes for an additional electronic review and signing of the code.

Any questions about the Code of Conduct should be directed to Human Resources.

Employees should contact Human Resources or their direct Manager immediately if they are aware of conduct inconsistent with the Code. Managers should contact Human Resources if applicable.

The Code of Conduct

To Whom Does the Code Apply?

The Code of Business Conduct (the “Code”) applies to all employees and members of the Board of Directors of Corus Entertainment Inc. or our subsidiary companies (referred to collectively in this Code as “Corus” or the

37 “Company”). For purposes of rules promulgated under section 406 of the Sarbanes Oxley Act of 2002, portions of this code shall comprise the Company’s “code of ethics” for senior executives and financial officers.

Each employee and member of the board of Corus is expected to read and comply with the entire Code of Business Conduct. If you have any questions concerning the Code, please contact the Vice-President of Corporate and Regulatory Affairs, General Counsel or the Vice-President of Human Resources. Failure to abide by this Code will lead to disciplinary measures appropriate to the violation, up to and including dismissal.

Why do we have a Code of Business Conduct?

At Corus, we are committed to fair dealing, honesty and integrity in all aspects of our business conduct. We take this responsibility to our employees, shareholders and other stakeholders very seriously. The Code is vital to implement these responsibilities in the workplace and in dealings with the public and our stakeholders. It also aims to demonstrate to our stakeholders and the public the Company’s commitment to conduct itself ethically.

Code of Business Conduct

Compliance with Legal and Ethical Standards

Corus employees and directors will act ethically with high standards of integrity and abide by the principles of lawful conduct in all their business dealings. No one in the Company is permitted to commit or condone any illegal or unethical act, or to instruct other employees to do so. Any doubt as to the legality of any course of action should be discussed with your immediate supervisor or Corus’ General Counsel as necessary.

Our Responsibility to Fellow Employees

Employees must be treated with dignity, respect and fairness at all times. Corus is committed to high standards of ethics in all relations with and among its employees.

Corus is committed to fairness in the workplace and recognizes that a diverse workforce allows us to serve our stakeholders most effectively. Unlawful discrimination, harassment or violence in the workplace will not be tolerated.

Specifically, Corus will not tolerate discrimination or harassment prohibited by applicable legislation including sex, sexual orientation, race, ancestry, nationality, place of origin, colour, ethnic origin, citizenship, creed, religious beliefs, age, record of offences (pardoned criminal conviction), marital status, family status, same-sex partnership status and physical or mental disability.

In addition to all forms of harassment prohibited by legislation, Corus will not tolerate any form of personal harassment (such as threatening behaviour, bullying, taunting or ostracizing co-workers etc.) which may occur as a result of an employee’s position in the Company or because of an association with a group outside the Company, or perhaps because someone simply dislikes the individual. Personal harassment may also arise out of someone abusing their position of authority or power.

Corus is committed to keeping its workplaces free from hazards. We are all responsible to follow government approved health and safety guidelines for maintaining a safe workplace and to immediately report any accident, injury, unsafe practice and condition to your immediate supervisor.

Employment Practices

The Company is committed to ensuring that equal opportunity exists for all employees in all aspects of employment. Merit will be the principle on which all employment and promotion opportunities will be based.

Job Performance and General Conduct

Employees will carry out their job responsibilities to the best of their ability. This includes among other things: accepting supervisory direction, promotion, teamwork and maintaining the required quality and quantity of work.

Employees will conduct themselves in a professional manner when dealing with staff members, customers and the public at large. 38

Attendance

The company is committed to promoting and maintaining high standards of attendance and employees are expected to be at work on time each scheduled day. When illness or emergencies necessitate absence or lateness, employees are expected to notify their supervisor in advance of their regular hours of work.

Drugs and Alcohol

The use, possession, distribution, offering or sale of illicit drugs, illicit paraphernalia or non-prescribed drugs for which a prescription is legally required, while on Company business or on company premises (including Company vehicles) is forbidden.

The use, distribution, offering or sale of alcoholic beverages on the Company’s premises (including Company vehicles) is prohibited. Senior management approval is required if alcoholic beverages are to be served at a Company-sponsored function.

Intellectual Property Assignment

Employees of Corus agree to keep confidential and not to disclose to others, confidential information including any inventions, drawings, algorithms, computer codes in both source code and object code, customer information, customer lists, data of Corus and trade secrets related to the business of Corus or a related entity (“Inventions”).

All such Inventions so produced by employees shall be owned by Corus and employees waive their rights in any copyright to such work and warrant that such work is original and shall not contain any virus or other harmful code.

Employees agree to sign all documents to enable Corus to secure patent, trademark, copyright, industrial design or other intellectual property rights in the Inventions and to transfer legal title therein.

Appropriation of Company Assets

Employees and directors have a responsibility to protect the Corus assets entrusted to them from loss, damage, misuse or theft. Corus assets such as funds, products, electronic devices and services, including, but not limited to, computers, computer-related equipment, products and services, may only be used for Company business purposes and other purposes approved by management. The Company’s name, property (including intellectual) and goodwill must not be used for personal advantage.

Proper Maintenance of Records

Corus requires honest and accurate recording and reporting of information in order to make informed and responsible business decisions. Corus’ books and records should accurately reflect all business transactions. Undisclosed or unrecorded revenues, expenses, assets or liabilities are prohibited.

For example, if you are responsible for accounting or record-keeping, you must be diligent in enforcing proper accounting and Company established practices. You may not alter, conceal or falsify any document or record. Each Corus business unit will adopt an approved record retention policy consistent with Corus’ documented business policies and applicable legal and regulatory requirements.

Information Disclosure

Employees are required to protect Corus’ confidential and proprietary information from unauthorized disclosure and use. This applies to information about customers and fellow employees as well as confidential and proprietary information about the Company’s own affairs. Proprietary information includes any information that is not generally known to the public and is helpful to Corus, or would be helpful to competitors. Employees may not use confidential information or trade secrets gained by virtue of their employment with Corus for personal gain or for any purpose other than specific job related duties.

Employees will safeguard all proprietary information by marking it accordingly, keeping it secure, and limiting access to those who have a need to know such information in order to do their jobs. 39

When an employee leaves Corus for any reason, confidential and proprietary information remains with and is the exclusive property of the Company and is not to be used nor disclosed in any way by the departing employee following the termination of his or her employment with the Company.

Insider Trading

Unauthorized disclosure of internal information relating to Corus Entertainment could cause competitive harm to Corus and in some cases could result in liability under insider trading legislation for both Corus and the person disclosing the information. It is the duty of all persons to whom this statement applies to maintain the confidentiality of information belonging to or relating to Corus Entertainment. Employees should not disclose internal information about Corus to others outside of the company without express authorization or as required by law.

Only specifically designated representatives of Corus Entertainment may make communications on behalf of Corus with the media, securities analysts and other investors. If you receive any inquiry relating to Corus Entertainment from the media, a securities analyst or an investor, unless you have been expressly authorized to make such communication, you are required to refer the inquiry to the Chief Financial Officer.

The Securities Act (Ontario) provides that it is an offence for directors, employees and stock option plan participants of Corus Entertainment or anyone who has received a “tip” from such persons to purchase or sell securities of Corus Entertainment with the knowledge of a “material fact” or “material change” with respect to Corus Entertainment that has not been made public by Corus Entertainment.

The terms “material fact” and “material change” refer to a fact or change relating to Corus Entertainment that significantly affects or would reasonably be expected to have a significant effect on the market price of Corus Entertainment’s shares.

You should assume that information is material if an investor might consider the information to be important in deciding whether to buy, sell or hold shares of Corus Entertainment. Examples of matters which may be material are: earnings forecasts possible acquisitions or joint ventures signing or loss of a significant contract major litigation developments significant financing developments major personnel changes important sales developments

A “material fact” or a “material change” is often difficult to determine. When in doubt, please discuss the matter with the Chief Financial Officer prior to trading.

Corus Entertainment’s share trading rule is to wait one full business day after a “material fact” or “material change” announcement (press release) has been made by Corus Entertainment, to allow the details of an announcement to become generally disclosed to the public. Accordingly, if you are aware of any material information relating to Corus Entertainment which has not been made available to the public, you must not trade in Corus Entertainment’s shares (either buy or sell) or disclose such information to another person who is likely to trade in Corus Entertainment’s shares until the material information is publicly announced and one business day has passed. Thus, one may not attempt to “beat the market” by trading simultaneously with, or shortly after, the official release of material information.

Financial information is particularly sensitive to insider trading rules. Therefore, Corus has special rules in place with respect to trading of securities prior to public release of financial information.

Any director, employee or stock option plan participant of Corus Entertainment who becomes aware of the details of any quarterly or annual financial reports of Corus Entertainment, prior to their release to the public, shall not trade in shares of Corus Entertainment during the time periods set forth below:

40 (a) For quarterly financial reports - on or after the fifteenth (15th) day after the quarter end, until one (1) business day after the financial results of that quarter are released to the press or released generally to shareholders, whichever is earlier; or

(b) For annual financial reports - on or after the fifteenth (15th) day, until one (1) business day after the financial results of that year are released to the press or released generally to shareholders, whichever is earlier.

Conflicts of Interest

All business decisions and actions must be based on the best interest of Corus, and must not be motivated by personal considerations or relationships. There is an infinite list of potential conflicts that could arise over the course of employment. The general rule is that employees and directors must avoid any activity that compromises, or could reasonably be seen to compromise, their judgment, causes them to show undue favouritism to any party or causes them to receive a benefit of some kind. When in doubt it is best to disclose a potential conflict of interest. General guidelines for a better understanding of the most common examples of situations that may cause a conflict of interest are listed below.

Outside Business Activities

Corus employees are encouraged to participate in outside voluntary or community activities. Employees other than senior officers, are not prohibited from accepting part-time employment outside of Corus. However, neither the activity nor the part-time position must interfere with the employee’s responsibilities to Corus or the employee’s commitment, attention or business judgment required in performing those responsibilities.

Gifts or Favours

Accepting gifts or favours, other than of nominal value ($500 or less), from customers or suppliers or prospective customers or suppliers, is a conflict of interest. Additionally, frequent gifts from one source of any value should not be accepted. Employees may not engage in conduct that could be interpreted as directly or indirectly seeking, receiving or providing a bribe or kickback.

A conflict of interest may also arise in the giving of gifts or favours. Corus gifts must be legal and reasonable. Corus will not provide any gift if it is prohibited by law or by the policy of the recipient’s organization.

Investments

Corus employees may not allow their personal investments to influence, or appear to influence, their independent judgment on behalf of Corus. Specifically, without limiting the generality for the foregoing, an employee must disclose the following investments to senior management: an employee owns a business in whole or part that is entering into a business transaction with Corus; or an employee purchases, sells or holds interests in supplier companies and their subsidiaries or direct affiliates where the Company’s relations with such suppliers could be considered to have a material impact; or an employee has a financial interest in, or is performing services for, a competitor.

Contra Agreements for Personal Use

Corus employees may not enter into contra agreements that result in a personal benefit. Any legitimate contra agreement is subject to approval as outlined in the Contra Policy available on the Corus intranet site.

Business Communications

The Company’s electronic devices and services, including, but not limited to, computers, computer-related equipment, products or services are the Company’s property and should be used primarily for business purposes. Incidental appropriate personal use is permitted provided it does not interfere with the normal course of business.

41 The Company’s electronic devices, specifically computers, should not be used to download any third party or employee confidential information for any purposes other than business related purposes. Computers should not be used to download any offensive or pornographic materials from the Internet. All downloadable material should be for business purposes and should comply with the Company’s harassment policy, which is available on the Corus Entertainment intranet site. Corus computers should also not be used to download copyrighted material from the Internet including music and software.

The Company owns all information contained on the Company’s computer networks. Therefore any information an employee or director transmits on these services should not be considered private and confidential.

Behaviour on Social Networking Websites, Blogs and Chat Rooms

It is acceptable to express personal views, to participate in chat rooms and on social networking sites, and to maintain a blog (“Online Activity”), provided that any and all Online Activity conforms with the following:

1. It is clear that views expressed in any and all Online Activity are those of the employee only, and not those of Corus;

2. The Online Activity does not include any confidential, non-public, proprietary or personal information, trade secrets or other information about the Company, its business, employees, customers, suppliers, partners, affiliates or competitors, including but not limited to comments about its services products operational performance, financial results or stock performance;

3. The Online Activity does not involve the disparaging of Corus or any of its employees, or otherwise negatively impacts the reputation of the Company, its services, its products, customers, suppliers, partners, affiliates, competitors or any of its employees, officers or directors;

4. The Online Activity does not contain any of Corus’ copyrighted material or any of its trade-marks or logos; and

5. The employee engaging in the Online Activity does not in any way identify him or herself with Corus, through the use of visible monikers.

Corus has the right to discipline an employee if, while employed at Corus, the employee engages in conduct, which in the opinion of Corus, would be sufficient or likely to bring Corus or its employees into disrepute. For example, posting disparaging remarks about Corus on websites, blogs and/or chatrooms; identifying oneself as a Corus employee while appearing on a distasteful website, as determined by Corus in its sole discretion, etc.

Our Responsibilities to the Community and the Environment

Corus is committed to supporting various local programs and initiatives and fostering growth within the Canadian broadcasting and entertainment fields through strategic partnerships and innovative business ventures.

The Company is committed to the conservation of resources in our business operations. All employees should use their reasonable efforts to make efficient use of all resources and to reduce, re-use and recycle supplies and materials wherever and whenever possible.

The health and well-being of all employees is a responsibility of everyone who works at Corus. Any circumstance relating to Corus’ operations or activities which poses a real or potential health or safety risk must be reported promptly to your supervisor or to the Vice-President of Human Resources.

Communicating with External Resources

Corus aims to achieve complete, accurate, fair, understandable and timely communications with all of its stakeholders and the public, including filings with securities and regulatory authorities. In order to protect yourself and the Company, requests for information should be handled in the following manner: financial information requests – directed to the Chief Financial Officer media requests – directed to the Vice-President, Communications

42 requests from government agencies and regulators – directed to the Vice-President of Corporate and Regulatory Affairs, General Counsel employee information or human resources requests – directed to the Vice-President of Human Resources

The legal department should be consulted before handling any non-routine requests for information. All information provided must be truthful and accurate.

Corus and its employees are committed to honest and ethical communications and dealings with officials at all levels of government.

Our Responsibility with Respect to Privacy

Corus is committed to controlling the collection, use and disclosure of personal information.

As a member of the Canadian Association of Broadcasters (CAB) and in accordance with the standards set out in the Personal Information Protection and Electronic Documents Act (Canada) (the “Privacy Act”), Corus developed a Privacy Policy outlining our commitment to maintaining the accuracy, confidentiality, security and privacy of third parties and employee personal information.

Reporting Concerns

Taking action to prevent problems is part of the Corus culture. If you become aware of an existing or possible violation of the Code, you should promptly notify the appropriate person.

Your concerns can be expressed on a confidential or anonymous basis to either the Vice-President & General Counsel; the Vice-President of Human Resources or on matters relating to accounting or auditing related issues to the Chairperson of the Audit Committee.

The concern should be submitted in a sealed envelope addressed to the appropriate individual. The envelope should be marked “Confidential Internal Corus Concern”.

Retaliation against any employee who honestly reports a concern to Corus about existing or possible violation of the Code will not be tolerated. It is unacceptable to file a report knowing it is false.

A copy of this policy can be obtained through the Vice-President of Corporate and Regulatory Affairs, General Counsel or the Vice-President of Human Resources or by visiting our website at www.corusentertainment.com.

43 Appendix B Corus Diversity and Inclusiveness Policy

Definitions Term Definition Diversity Management The development of strategic human resource management programs that encompass all employees, recognizing their individual strengths to achieve the business goals of the organization. It also recognizes that individuals have different needs and that managers/supervisors must possess the skills to work effectively with a diverse group of individuals. Employment Equity Closely tied to managing Diversity Management initiatives, which include the identification and elimination of barriers to the employment of groups designated by legislation that have been traditionally disadvantaged in employment. Manager As referenced in this policy, a manager is the person to whom an employee directly reports.

Overview Corus is committed to promoting an equitable work environment based on the merit principle. A diverse employee population will increase the variety of ideas, the level of creativity and innovation and ultimately the productivity within the organization.

Policy It is the company’s policy to make decisions on hiring, promotion, job assignment, training, rewards, and other human resources management functions on the basis of qualifications, ability and performance. This ensures: fair treatment and opportunity for all employees regardless of sex, sexual orientation, race, ancestry, nationality, place of origin, colour, ethnic origin, citizenship, creed, religious beliefs, age, record of offences (pardoned criminal conviction), marital status, family status, same-sex partnership status and physical or mental disability, or any other factor unrelated to job performance Corus has a breadth of talent available to them that would be much narrower in an exclusive environment We make every effort to ensure our employees are reflective of the cultural demography in the markets in which we operate

It is also the policy of the Company that: The Company prepares and implements a documented Diversity Management Plan that sets out the goals, timetables, and implementation of diversity management initiatives. This will be adjusted to reflect current labour force data and vacancy rates in each occupational group. The Diversity Management Plan content varies and may include any of the following based on management strategies: - The role and responsibilities of the Equity and Diversity Committee which will be involved in the development of the Plan - The employment systems review of all policies, practices and procedures pertaining to hiring, recruitment, job evaluation, compensation, training opportunities, promotions, transfers and terminations will be reviewed. An action plan that ensures the elimination of any potential systemic barriers in the workplace will be developed - Workforce Analysis: A report identifying the utilization of designated group members by occupational groups; projected vacancies for the upcoming year and an analysis of the Company’s progress in meeting established quantitative goals and timetables - An employee communication plan which outlines the objectives of the Company’s Diversity Management Plan

44 The Plan will be made available to the Equity and Diversity Committee, the respective operation company Presidents, Vice Presidents/Directors of Human Resources and senior Human Resources Managers A copy of the Plan must be retained for at least three years after the year in which the Plan is prepared

All employees and managers are accountable for acting consistently with this policy through their interaction with other Corus employees and partners. Failure to do so will lead to disciplinary action up to and including termination.

Employees and managers are also accountable for ensuring this policy is enforced. Should an employee or manager be aware of behaviour inconsistent with this policy, they are expected to report their concerns to their manager and to Human Resources immediately.

If there is any conflict between this policy and a collective agreement, the terms and provisions of the collective agreement shall apply to those employees who are included in the collective agreement.

Practices and Procedures To ensure the Company’s employment practices and procedures are administered without discrimination it is Corus’ practice to: Post all job opportunities within Corus (see the Job Posting Policy for more details) Recruit and select applicants for employment on the basis of their qualifications and experience Outreach to organizations targeted at designated groups such as Canadian Women in Film and Television and the Canadian Paraplegic Association Make reasonable accommodations to create an inclusive environment Ensure equal consideration is given to all candidates qualified for promotion or transfer Base promotion and transfer decisions solely on job requirements, the applicant’s skills, qualifications and prior performance Ensure all employment practices and procedures, including compensation, benefits, retention, termination, training and self-development opportunities, and social and recreational programs are administered equitably

Staying Accountable

Employment Equity reaffirms the company’s commitment to a continuous practice of equal employment. The Company’s actions relating to Employment Equity are continuously being reviewed to ensure adherence and application of this practice in all areas of the company. Corus’ Employment Equity Committees in Western Canada and Ontario/Quebec that are part of this review process are reflective of the Company’s diverse employee population.

Upon hire, all new employees at Corus are asked to complete an Employment Equity Self-Identification Questionnaire. This questionnaire asks employees to self-identify as a member of one or more of the following designated groups: visible minorities, persons with disabilities, Aboriginal peoples and/or women. Existing employees may also update their responses at any time by completing another questionnaire, which can be found in the Forms section of Corus Central. Through this questionnaire, Human Resources collects data on the representation and distribution of designated group members in the workforce in order to meet statutory obligations and to help identify and eradicate potential barriers that may exist at Corus. This allows Corus to plan, implement, and report on Employment Equity programs more accurately. Corus requests that employees provide their names on completed questionnaires because Corus is required to collect flow data (employees hired, promoted, and terminated) under the Employment Equity Act. This information will remain confidential – it is retained separately from employee files and is always under lock and key.

Corus is also accountable to the CRTC and must submit an annual confidential report on employee demographics, programming and diversity at Corus.