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2012 Activity Report

Striding into the future

TABLE OF CONTENTS

2012 in brief...... 4

Highlights ...... 7 . . . .

Message to shareholders ...... 8

Videotron Ltd ...... 12

Le SuperClub Vidéotron ltée ...... 15 . . .

Sun Media Corporation ...... 16

QMI Agency...... 20

TVA Group Inc ...... 22 . . .

TVA Publications Inc ...... 26 . . .

Archambault Group Inc ...... 28

Book Group...... 30

Nurun Inc ...... 34

Corporate social responsibility

Our employees...... 36

Quebecor and the environment ...... 38

Partnering with the community ...... 41 . .

Directors and Officers of Inc ...... 44

Directors and Officers of Quebecor Media Inc ...... 45 . .

3 2012 Activity Report // 2012 IN brIef

2012 In brIef

January • Miam! a Québec television program that • Videotron Ltd. launches illico TV new celebrates the pleasure of family cooking, generation, a service with innovative premieres on the channel. functionalities that delivers a smoother, more intuitive navigation experience. February • Le Journal de Montréal and Le Journal de April Québec launch new Web sites with an • French agrifood giant Danone chooses interactive interface and fresh graphics. Nurun Inc. as its interactive marketing • Quebecor Media Inc. teams up with agency for China. Saguenay-area entrepreneurs to form • Quebecor Media Network Inc. and Sears BlooBuzz Studios L.P. (now BlooBuzz Inc. sign exclusive agreement for Studios Holding, L.P.), a new Québec video the distribution of Sears’ national flyer in game developer that will concentrate on the Le Sac Plus doorknob bag. games for the casual gaming market. • Corporation, in collaboration with Nurun, launches 9 new regional Web March portals with 57 new dedicated sites for its • TVA Group Inc. signs agreement with community newspapers. The new, more Inc. to make participatory sites are designed to put the the SUN News and TVA Sports specialty user at the centre of the community. services and content from TVA Network • Launch of the new ZIK music streaming available on Rogers’ video-on-demand, service, offering the largest French-language mobile and Web platforms. music catalogue of any service available on • Quebecor Media and Québec City take an this type of platform. important step in the construction of a multipurpose arena with the finalization of the functional and technical program. The modern, functional 18,000-seat facility is scheduled to open in 2015.

4 ZIK launch on April 4, 2012

May August • Sun Media Corporation acquires Pub • Sun Media Corporation launches Extra, a monthly magazine distributed to ViaProprio.ca, a new no-middleman real nearly 190,000 households in Montréal’s estate site that complements the services north shore suburbs, and the community of the micasa.ca site. weekly L’Impact de Drummondville, with a circulation of nearly 50,000. September • TVA Publications Inc. launches chef • newspapers across Canada Louis-François Marcotte’s new magazine, introduce colourful new graphics, a new Signé M. logo and lively new sections. • Videotron launches Ultimate Speed • Nurun develops a new paywall model for Internet 200, a faster-than-ever Internet Le Journal de Montréal and Le Journal access service. de Québec. Non-subscribers now have to pay to read the newspapers’ columnists June online. • QMI Agency reaches exclusive agreement • Sun Media Corporation announces the with Leclerc Communication Inc. to supply reorganization of its newsgathering all newscasts for Québec City radio station operations and the implementation of a WKND 91.9. new structure that is more responsive to • Sun Media Corporation launches L’Écho customer needs and to local and national de Victoriaville, a new weekly distributed business opportunities. to more than 40,000 households in the Bois-Francs region.

5 2012 Activity Report // 2012 IN brIef

October November • Quebecor and Quebecor Media repurchase • The VOX channel becomes MAtv and approximately 30.5 million shares of introduces a new look and a new, even Quebecor Media from the Caisse de dépôt more community-focused philosophy. et placement du Québec. The Caisse • Le Journal de Québec launches a Saguenay— retains a 24.6% interest in Quebecor Lac-Saint-Jean edition featuring local Media, a sign of its confidence in the news and exclusive reports for the region. Corporation’s strong potential and ability • TVA Group adopts a new logo to reflect to create shareholder value. its character as a strong, modern brand. • Videotron’s combo packages pass the • Quebecor Media Out of Home, a new million-customer mark, demonstrating division of Quebecor Media, lands 20-year positive consumer response to its offerings. contract for on Société de • VLB éditeur releases the first three novels transport de Montréal bus shelters. in the L’Orphéon series, a joint project by authors Stéphane Dompierre, Roxanne December Bouchard, Geneviève Jannelle, Patrick • SUN+ is launched and a paywall is Senécal and Véronique Marcotte that introduced for the , , proves to be one of the literary highlights , Winnipeg and of 2012. SUN newspaper Web sites. • Léger Marketing releases a survey • Major renovations completed at showing that one small or medium-sized Group Inc.’s flagship store business out of two now sources at least at the corner of Berri and Sainte-Catherine one of its telecommunications services Streets create a more plugged-in from Videotron Business Solutions. environment. • Pattison Outdoor chooses QMI Agency as the prime content provider for its national digital advertising network.

6 highlightS Financial years ended December 31, 2012, 2011 and 2010 (in millions of Canadian dollars, except per share data) 2012 2011 2010

OPERATIONS Revenues $ 4,351.8 $ 4,206.6 $ 4,000.1

FAITSFAITS SAILLANTS SAILLANTSOperating income1 1,403.6 1,341.7 1,333.4 ExercicesExercices terminés terminésles 31 décembre les 31 décembre 2012,Contribution 2011 2012, et 2010 2011 toet 2010 net income attributable to shareholders: (en millions(en de millions dollars de canadiens, dollars canadiens, sauf pour sauf lesContinuing montantspour les montants relatifs operations aux relatifs données aux donnéespar action) par action) 196.1 191.5 220.6 2012 2012 2011 2011 2010 2010 FAITS SAILLANTSGain on valuation and translation of financial instruments 75.4 20.6 20.8 EXPLOITAEXPLOITION TATION Exercices terminésUnusual les 31 itemsdécembre 2012, 2011 et 2010 (103.8) (11.1) (16.1) RevenusRevenus 4 351,8 4 $ 351,8 $ 4 206,6 4$ 206,6 $ 4 000,1 4$ 000,1 $ (en millionsNet de income dollars canadiens, attributable sauf pour to les shareholdersmontants relatifs aux données par action) 167.7 201.0 225.3 Bénéfice Bénéficed'exploitation d'exploitation 1 1 1 403,6 1 403,6 2012 1 341,7 1 341,7 2011 1 333,4 1 333,4 2010

ContributionContribution au bénéfice au bénéficenet attribuableEXPLOITATION net attribuableCash aux actionnaires flows aux actionnaires provided : : by continuing operations 1,122.6 866.3 809.9 Activités Activitésd'exploitation d'exploitation poursuiviesRevenus poursuivies 196,1 196,1 4 351,8 $ 191,5 191,5 4 206,6 $ 220,6 220,6 4 000,1 $ Gain sur Gainévaluation sur évaluation et conversion et conversion des instruments des instruments financiers1 financiers 75,4 75,4 20,6 20,6 20,8 20,8 BénéficeBASIC d'exploitation PER SHARE DATA 1 403,6 1 341,7 1 333,4 ÉlémentsÉléments inhabituels inhabituels et dépréciation et dépréciation de l'écart de d'acquisition l'écart d'acquisition et d'actifs et incorporels d'actifs incorporels (103,8) (103,8) (11,1) (11,1) (16,1) (16,1) Bénéfice Bénéficenet attribuable net attribuable aux actionnaires Contributionaux actionnairesContribution au bénéfice net to attribuable net income aux actionnaires attributable : to shareholders: 167,7 167,7 201,0 201,0 225,3 225,3 Activités d'exploitation poursuivies 196,1 191,5 220,6 Gain sur évaluationContinuing et conversion operations des instruments financiers $ 3.1075,4 $ 2.99 20,6 $ 3.42 20,8 Flux de trésorerieFlux de trésorerie liés aux activités liés aux d'exploitationactivités d'exploitation poursuivies poursuivies 1 122,6 1 122,6 866,3 866,3 809,9 809,9 Éléments inhabituelsGain on et valuation dépréciation deand l'écart translation d'acquisition et of d'actifs financial incorporels instruments (103,8)1.19 0.32 (11,1) 0.32 (16,1) Bénéfice net attribuable aux actionnaires 167,7 201,0 225,3 DONNÉESDONNÉES PAR ACTION PAR ACTIONDE BASE DE BASEUnusual items (1.64) (0.17) (0.24) ContributionContribution au bénéfice au bénéficenet attribuableFlux net deattribuableNet auxtrésorerie actionnairesincome aux liés actionnairesaux attributable :activités d'exploitation: to shareholders poursuivies 1 122,62.65 3.14 866,3 3.50 809,9 Activités Activitésd'exploitation d'exploitation poursuivies poursuivies 3,10 $ 3,10 $ 2,99 $ 2,99 $ 3,42 $ 3,42 $ Gain sur Gainévaluation sur évaluation et conversion etDONNÉES conversion des instruments PAR des ACTION instruments financiers DE BASE financiers 1,19 1,19 0,32 0,32 0,32 0,32 ÉlémentsÉléments inhabituels inhabituels et dépréciation etContribution dépréciation Dividendsde l'écart au bénéfice de d'acquisition l'écart net d'acquisition attribuable et d'actifs aux et incorporels d'actifsactionnaires incorporels : (1,64) (1,64) 0.20 (0,17) (0,17)0.20 (0,24) 0.20 (0,24) Bénéfice Bénéficenet attribuable net attribuable aux actionnaires auxActivités actionnaires d'exploitation poursuivies 2,65 2,65 3,10 $ 3,14 3,14 2,99 $ 3,50 3,50 3,42 $ GainShareholders’ sur évaluation et conversion equity des instruments financiers 20.76 1,19 22.28 0,32 20.29 0,32 DividendesDividendes ÉlémentsWeighted inhabituels average et dépréciation number de l'écart of d'acquisition shares outstanding et d'actifs incorporels (in millions) 0,20 0,20 (1,64)63.2 0,20 0,20 64.0 (0,17) 0,20 64.3 0,20 (0,24) Capitaux Capitauxpropres attribuables propres attribuables auxBénéfice actionnaires aux net actionnaires attribuable aux actionnaires 20,76 20,76 2,65 22,28 22,28 3,14 20,29 20,29 3,50 Nombre moyenNombre pondéré moyen d'actionspondéré d'actionsen circulation en circulation (en millions) (en millions) 63,2 63,2 64,0 64,0 64,3 64,3 DividendesFINANCIAL POSITION 0,20 0,20 0,20 CapitauxLong-term propres attribuables debt aux actionnaires $ 4,507.8 20,76 $ 3,688.3 22,28 $ 3,587.3 20,29 SITUATIONSITUATION FINANCIÈRE FINANCIÈRENombre moyen pondéré d'actions en circulation (en millions) 63,2 64,0 64,3 Dette à longDette terme à long terme Shareholders’ equity 4 507,8 4 $ 507,8 $ 1,942.8 3 688,3 3$ 688,3 2,870.6 $ 3 587,3 2,651.7 3$ 587,3 $ Capitaux Capitauxpropres propres 1 942,8 1 942,8 2 870,6 2 870,6 2 651,7 2 651,7 SITUATIONTotal FINANCIÈRE assets 9,007.8 9,038.8 8,616.1 Total de l'actifTotal de l'actif Dette à long terme 9 007,8 9 007,8 4 507,8 $ 9 038,8 9 038,8 3 688,3 $ 8 616,1 8 616,1 3 587,3 $ Capitaux propres 1 942,8 2 870,6 2 651,7 EMPLOYÉSEMPLOYÉS Total deE MPl'actifLOYEES 16 865 16 865 16,8659 007,8 16 950 16 950 16,950 9 038,8 16 400 16,400 16 400 8 616,1

1 Net income before amortization, financial expenses, gain on valuation and translation of financial instruments, restructuring of operations, impairment of assets and other special 1 1 EMPLOYÉS 16 865 16 950 16 400 Bénéfice Bénéficetiré des activités tiré des poursuiviesactivités poursuivies avantitems, amortissement,loss avant on debt amortissement, refinancing, frais financiers, impairmentfrais financiers, gain surof goodwill évaluationgain sur and évaluation etintangible conversion et assetsconversion des andinstrument income des instrument staxes. financiers,s financiers, restructuration restructuration des activités des d'exploitation,activités d'exploitation, dépréciation dépréciation d'actifs et d'actifs et

autres élémentsautres éléments spéciaux, spéciaux, pertes1 sur pertes2 refinancement sur refinancement de dettes, de dépréciation dettes, dépréciation de l'écart de d'acquisition l'écart d'acquisition et d'actifs et incorporels, d'actifs incorporels, impôts sur im lepôts bénéfice sur le bénéficeet participations et participations ne donnant ne pasdonnant le contrôle. pas le contrôle. BénéficeThe tiré financial des activités figures poursuivies for the yearsavant 2008amortissement, and 2009 havefrais financiers,been prepared gain insur accordance évaluation withet conversion CanadianG desenerally instrument Accepteds financiers, Accounting restructuration Principles. des activités d'exploitation, dépréciation d'actifs et autres éléments spéciaux, pertes sur refinancement de dettes, dépréciation de l'écart d'acquisition et d'actifs incorporels, impôts sur le bénéfice et participations ne donnant pas le contrôle.

Cours deCours l'action de l'action (QBR.B) (QBR.B) Revenus Revenus et bénéfice et bénéfice d'exploitation d'exploitation En millionsEn de millions dollars de canadiens dollars canadiens Cours de l'action (QBR.B) Revenues and Operating Income Share Price (QBR.B) Revenus et bénéfice d'exploitation 50 50 InEn Canadian millions dollarsde dollars canadiens En millionsInEn millionsde millions dollars of de Canadiancanadiens dollars dollars canadiens 50 5,000 5,000 En millions de dollars canadiens 4,352 4,352 4,500 4,500 5 000 4,207 4,207 4 207 4 352 40 40 4,000 4,000 4 500 40 4 000 4,000 4,000 3,500 3,500 3,806 3,806 3,7593 500 3,759 4 000 3,000 3,000 3 759 3 806 30 30 3 000 30 2,500 2,500 2 500 2,000 2,000 2 000 1,277 1,2771,333 1,3331,342 1,3421,404 1,404 1,121 1,121 1 277 1 333 1 342 1 404 20 20 1,500 1,500 1 121 20 1 500 1,000 1,000 1 000 500 500 500 10 10 10 0 0 0 2 2 2 2 2008 2008 2009 2009 20102008 2010 20112009 2011 2012 2010 2012 2011 2012 2008 2008 2009 2008 2009 2010 2009 2010 2011 2010 2011 2012 2011 2012 2012

Revenus Revenus RevenusBénéfice d'exploitationBénéfice d'exploitationBénéfice d'exploitation Revenues Operating income

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24/04/1324/04/13 2012 ActivityActivity RepoReport // MESSAGE TO SHAREHOLDERS

MESSAGE TO SHAREHOLDERS

At a time when large segments of the global economy are still struggling to emerge from a crisis that has had devastating consequences, Quebecor has come through the last financial year unscathed, thanks to the inventiveness of its people and their ability to see and seize opportunities. The Corporation continued generating attractive earnings for shareholders and playing a leading role in economic, social and cultural development in Québec and in all the communities where it does business across Canada.

Driven by the fruitful investments of recent years — notably in wireless telephony by its Videotron subsidiary —, Quebecor recorded sales of $4.35 billion in 2012. The $145.2 million (3.5%) increase compared with 2011 mainly reflects impressive 8.4% growth in the Telecommunications segment. The Corporation’s operations generated $1.4 billion in combined operating income, up 4.6% from 2011. Adjusted income from continuing operations was $196.1 million, compared with $191.5 million in 2011.

After our constant efforts in recent years to position our balance sheet to provide us with wide financial flexibility, in 2012 we completed a major step in our long-term plan aimed at nothing less than making Quebecor Media a wholly owned subsidiary of Quebecor.

In October 2012, the repurchase of part of the 45.3% interest in Quebecor Media held by the Caisse de dépôt et placement du Québec was closed. By means of this mutually beneficial transaction, Quebecor and Quebecor Media purchased or repurchased some 30.5 million common shares of Quebecor Media held by CDP Capital d’Amérique Investissements inc., a subsidiary of the Caisse. Quebecor thereby boosted its interest in Quebecor Media from 54.7% to 75.4%, signaling its confidence in the subsidiary’s future. In the wake of the transaction, which was carried out at a time when the Caisse could rebalance its portfolio on favourable terms, the Caisse retained a 24.6% interest in Quebecor Media, attesting to its confidence in the company’s ability to create value.

8 2012 highlights ’The worldwide tectonic shift precipitated by the advent of the In response to major upheavals that are strongly impacting digital age continues to shake up our ways of doing things and our traditional media, including print media, Sun Media Corporation business strategies. Consumers are increasingly well informed and continued rethinking its ways of doing things. It streamlined its demanding about technological, informational and entertainment organizational structure in order to improve execution of business products. Already well positioned to meet the high expectations processes and achieve greater cost effectiveness. In view of the vital of its various audiences, Quebecor took a number of initiatives importance of newspapers and print media in a democratic society, during the year to ensure it will be able to continue doing so in management adapted working methods to ensure that Quebecor the future. It developed its business models and diversified its Media, the Canadian news organization with the largest number of operations, demonstrating the ability to innovate that has always journalists, will be able to pursue its mission of informing as many been its trademark. citizens as possible.

In the Telecommunications segment, we should note an event that Meanwhile, Quebecor Media gained a foothold in an industry being served consumers well: illico TV new generation was rolled out transformed by technological change when it landed a contract to across Videotron’s service area. This step forward demonstrates install, maintain and advertise on Montréal bus shelters. Quebecor Videotron’s leadership and the spirit of innovation that has long Media was awarded the 20-year contract with the Société de transport been its driving force, carrying it to the forefront of Canada’s de Montréal (STM) after a call for tenders by invitation. It intends to telecommunications industry. apply its expertise in communications to optimize management of the shelters for the benefit of both the STM and commuters. In the Broadcasting segment, two strategic initiatives are also worthy of mention: a major agreement with Rogers Communications to offer On another front, Archambault Group responded creatively and its customers the SUN News and TVA Sports channels and access nimbly to the major challenges that have overtaken the music to content from TVA Network on its video-on-demand, mobile and industry as a result of the digitization of content, and which have Web platforms, and new agreements between LCN and numerous become abundantly clear over the past decade. Having grasped broadcasting distribution undertakings, which have resulted consumer expectations, Archambault Group designed and launched in wider carriage of the all-news channel and higher fees. We ZIK, a new music streaming service. should also point out that TVA Group’s total market share increased to 32.2%. The growth was mainly due to the specialty services, whose market share rose from 7.4% in 2011 to 8.5% in 2012.

9 2012 Activity Report // MESSAGE TO SHAREHOLDERS

Succession planning Finally, we would like to say a few words about one of the most important decisions of the recent past at Quebecor, the appointment of Robert Dépatie to the position of President and CEO of Quebecor and Quebecor Media. Mr. Dépatie will take over from the current President and CEO of the two corporations, Pierre Karl Péladeau, who will continue to be involved in the organization as Chairman of the Board of Quebecor Media and TVA Group and Vice Chairman of the Board of Quebecor. In this new role, he will be able to concentrate on charting and overseeing corporate strategy.

Since his appointment as President and Chief Executive Officer of Videotron in 2003, Robert Dépatie has built it into the top-performing telecommunications corporation in Canada and the most respected telecom provider in Québec. Under his leadership, Videotron’s operating income has grown from $275.0 million to more than $1.2 billion.

The Board felt that Robert Dépatie’s track record at Videotron, his managerial skills and personal qualities made him the logical choice to take the helm at Quebecor and Quebecor Media and keep them moving forward, propelled by the spirit of enterprise and innovation that has been their leitmotif since the beginning. We are very confident and enthusiastic about Robert’s appointment and we wish him every success in his new duties.

10 Acknowledgements We would be remiss if we neglected to pay tribute to all the Clearly, Quebecor would not be what it is today without the people who have helped make Quebecor what it is today and patronage and support of its customers and its many collaborators who enable it to face the challenges of the future with confidence. and partners. It is for them and with them that we take up the daily challenge of excellence in the hope that we will be able to First of all, we thank all our shareholders for their trust and best meet their expectations with respect to our lines of business. steadfast support. Without that support, we could not pursue We do not take their trust lightly. our long-term vision, rooted in innovation and the creation of lasting value for all stakeholders. Today, businesses are committed to social responsibility and to broader involvement in the community. For years, Quebecor has We are also grateful to all our employees, whose tireless efforts been deeply invested in corporate citizenship. It is engaged with are driving the Corporation forward in Québec and the rest of and supports a wide spectrum of cultural, educational, community Canada. Their energy, talent and attachment to the organization and health organizations. The entire management team is acutely constitute the oxygen that sustains Quebecor’s life force. aware of the Corporation’s special role in Québec society and Canadian society as a whole. Quebecor will always continue Our directors also deserve a word of thanks. By virtue of their shouldering its responsibilities in this regard. experience, varied points of view and wise counsel, they play a vital role in defining the Corporation’s strategic directions and ensuring its good governance. We are in their debt.

Françoise Bertrand Pierre Karl Péladeau Chair of the Board President and Chief Executive Officer

11 2012 Activity Report // SUBSIDIARIES

Videotron maintained its status as a telecommunications and entertainment industry leader in 2012. It posted a tenth consecutive year of growth with an 8.4% year-over-year revenue increase, bringing total revenues to more than $2.6 billion. All of Videotron’s main services logged substantial revenue growth; mobile telephony again led the pack with a spectacular increase of 52.3%.

Videotron had a banner year in other respects as well. It launched illico TV new generation, a new user-friendly high-definition (HD) experience that has met with a strongly positive consumer response. Hundreds of thousands of people across Québec now have an unparalleled selection of content and entertainment offerings at their fingertips.

In a Canadian first, Videotron developed illico TV new generation in-house, drawing on its own internal resources to design a powerful platform tailored to the expectations of Quebecers. The colossal process of innovation was undertaken three years ago by a team of visionaries made up entirely of Quebecers. In all, more than 500 people – programmers, marketing experts, specialists in product development – worked on the project.

Supported by Videotron’s unrivalled selection of content, illico TV new generation now provides ready access to a video-on-demand catalogue containing more than 30,000 titles and the largest choice of French-language HD channels and movies in the land. It also offers a number of exclusives as well as rich video content adapted to different screens (TV, mobile, tablet). Examples include Lib tv, Canada’s first mobile channel.

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BEAUPORT Promenades Beauport QUÉBEC CHICOUTIMI Archambault Galeries de la Capitale SHERBROOKE Place du Royaume Galeries de la Capitale Archambault Sherbrooke LÉVIS CAP-DE-LA-MADELEINE Place Fleur de Lys Carrefour de l’Estrie 824, boul. Thibeau Galeries Chagnon SAINTE-FOY DOLBEAU CAP-ROUGE 203, 7e Avenue QUÉBEC Archambault Sainte-Foy 1221, rue Charles-Albanel Place Laurier JONQUIÈRE 9115, boul. de l’Ormière SAINTE-FOY CHARLESBOURG 2309, rue Saint-Hubert 855, boul. René-Lévesque Ouest 8465, boul. Henri-Bourassa 2815, ch. des Quatre-Bourgeois LÉVIS RIVIÈRE-DU-LOUP SAINT-NICOLAS 50, boul. Président-Kennedy 295, boul. Armand-Thériault 465, boul. du Pont INT-4566-JDQ.indd 1

Document: INT-4566-JDQ Coordo: Marie-Pier Mondor Format (Po): 10.25 po X 12.57 po 12-05-31 16:22 A knack for innoÉPREUVE vation Format (col x ag): Publication: Journal de Québec 8 col x 176 ag Safety: 0.5 po Parution: 2 juin Bleed: 0 po 06 Approb. TVA: D.G. N.V. S.V. par: Loïc Jrnl FOND The creation of illico TV new generationx was made possible In another indication of the network’s strength, half the small Enr by Videotron’s prescient technological choices of recent years. and medium-sized businesses in Québec now trust Videotron Videotron is the only telecommunications provider in North Business Solutions to supply their telecommunications needs, America to boast a powerful hybrid network combining fibre, coax according to a Léger Marketing survey conducted in October 2012. cable and wireless technology, a unique architecture that delivers Employees of the 100,000 businesses served by Videotron are exceptional performance, reliability and upgradability. This now enjoying the lightning speeds of Ultimate Speed Internet 120 robust, state-of-the-art network supports the most sophisticated, and 200 in their daily activities. yet simple, television experience available on the market. It therefore came as no surprise that a Léger Marketing survey The commitment to innovation, combined with the roll-out of published in Les Affaires magazine rated Videotron the most Videotron’s products and services to new areas (North Shore, respected telecommunications company in Québec for the the Beauce) helped propel Videotron to new heights in 2012, seventh year in a row. pushing its combo packages past the million-customer mark.

The quest for excellence yielded a number of new products during the year: an illico.tv app for the iPad, faster Internet access speeds and plans, a wide selection of new mobile handsets and tablets, including the popular Samsung Galaxy S III and Samsung Galaxy Note II, a Mobile Wi-Fi device and the Mobile Usage app, which was welcomed by customers who want to track their Internet data usage in real time.

13 2012 Activity Report // SUBSIDIARIES

MAtv: Part of the community In another landmark event, Videotron launched MAtv in program, quickly made its mark; every day, host Marc-André Coallier late 2012. MAtv, which replaces VOX in Videotron’s eight and other contributors share practical tips about daily life, covering local service areas across Québec, makes an enticing promise the gamut from health to travel, fashion to technology, work to to viewers: to simplify their lives, anticipate their needs and family and the home. interests, provide food for thought and open up new horizons. The repositioning yielded fast results: within weeks, MAtv had MAtv’s programming reflects its roots in public access community doubled its market share, according to the BBM ratings. television. It serves up rich content and promotes interaction with viewers across Québec. In all, MAtv airs more than 5,000 hours With differentiated content such as its exclusive MAtv channel, of local programming per year, including shows such as the new Videotron delivers the best possible customer experience in Code régional, which covers economic and social issues in Québec’s terms of content. In 2012, programming highlights included regions, and Caucus, which covers parliamentary affairs. MAtv compelling hit shows such as Occupation Double and seizes every opportunity to foster dialogue with citizens via social Star Académie, and the addition of a number of HD services to media. For example, its new program, OPEN télé, hosted by Sophie Videotron’s channel line-up. Among other things, Videotron Durocher, lets viewers contribute to and shape the on-air discussion customers were the first to be able to watch FX Canada and via Twitter. The magazine show Libre-service, another interactive enjoy the best past and present American series.

14 Gratuit FREE — mars 2012 | march 2012 À VOIR

Les aventures de t the adventures of t intin intin Les descendants the descendants Les immorteLs immortaLs Jack et JiLL Jack and JiLL miLLénium : Les hommes qui n’aimaient pas Les femmes the GirL with the d raGon tattoo Le trône de fer - s Game of t aison 1 hrones - season 1

Le SuperClub Vidéotron stood out in the video rental market The 77 MicroplayTM shops grew their revenues by 2% in 2012. throughout 2012 by posting significantly stronger results than the To capitalize on the boom in video gaming, they organized a competition, despite the advent of new technological innovations series of successful events. In the fall of 2012, an autograph and the arrival of new players in the industry. signing session with Montréal Canadiens player P.K. Subban on the occasion of the launch of NHL 13 brought crowds of fans to Even the major international studios took notice of Le SuperClub the MicroplayTM location on Mont-Royal Ave. in Montréal. Nearly Vidéotron’s performance in in this fast-changing 300 people lined up and many stayed until midnight to buy market. The company and its franchisees succeeded in the game on its release. A few weeks later, when the eagerly maintaining their revenues in 2012, thanks in part to sales awaited game Assassin’s Creed III came out, members of Ubisoft’s of Videotron telecommunications products. Innovative and Montréal team visited three MicroplayTM stores, delighting avid effective promotional strategies also contributed to the success gamers and autograph seekers. of Le SuperClub Vidéotron. For example, subscriptions to the flat-rate monthly plan with unlimited rentals of regular movies, More than $5.3 million was spent during the year, together with introduced in late 2010, were up nearly 55%, bringing the total franchisees, to implement Le SuperClub Vidéotron’s new concept to nearly 34,000. in 24 stores, in addition to the renovations at approximately 30 locations in 2011.

15 2012 Activity Report // SUBSIDIARIES

2,04$ + TAXES | ÉDITION PROVINCIALE 2,35 $ + TAXES | ABITIBI ET LES ÎLES DE LA MADELEINE 2,41 $ + TAXES | FLORIDE 3,54$ US SAMEDI 6 OCTOBRE 2012 | VOL. XLIX NO 114 | 328 PAGES journaldemontreal.com

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New vistas Sun Media Corporation reorganized its operations to adapt to changes in the industry and secure sustainable growth going forward. The rationalization and optimization initiatives are expected to yield annual savings in excess of $45 million.

The 24 Hours national chain of free newspapers in Montréal, , Edmonton, Calgary, Toronto and Ottawa was also overhauled in 2012. Colourful new graphics, a new logo and lively new sections provide readers of the six newspapers with a better reading experience and advertisers with improved placement opportunities.

Among the daily newspapers, Le Journal de Québec broke new ground by adding a      Sunday cultural section about the city’s bustling arts scene. A new books section in the Sunday editions of Le Journal de Montréal and Le Journal de Québec, introduced in 2011, showcases authors from Québec and around the world. It has been expanded substantially and now includes not only book reviews but also regular columns, in-depth interviews and new sections dedicated to graphic novels, children’s literature and cultural literature (art, music, cinema).

Sun Media Corporation also announced a major agreement to distribute Sears Canada’s flyers in the Le Sac Plus doorknob bag across the country. As well, the new Quebecor Media Out of Home division was created to operate advertising on Société de transport de Montréal bus shelters. For Quebecor, the move represents an important foray into electronic display, and it plans to transform the user experience and increase the advertising potential of the bus shelters by equipping them with digital displays and

  wireless technology.

16 and Lambton County’s daily newspaper since 1853

WEEKEND EDITION theobserver

SATURDAY, APRIL 13, 2013

n SPACE: Creating a stir back on Earth

PE1_Layout 1 12-11-14 12:05 PM Page1 PAUL MORDEN station, and his YouTube videos of Stratford, Ontario To view The Observer his daily life there. They include popular spots Observer videos Here’s a question. go to: Astronaut’s explaining the work he’s doing, as How manystratfordstratford Sarnia natives have well as how he brushes his teeth in www.theobserver.ca 644,000 Twitter followers, 153,000 space, gets a haircut, clips his nails Depuis likes on Facebook,beaconherald have traded space and prepares dinner. talk with Capt. Kirk, performed a TV One 47-second video of Hadfield 1996 À gagner ce mois-ci ! bit with Rick Mercer and had NBC peeling open a can of nuts in space CEASE news anchor Brian Williams nomin- PR reach out has been viewed more than 4 million Saturday, April 13, 2013 fours micro-ondes ate them on the air for the Order of times. Saturday, April 13, 2013 d’une valeur de 280$ AND Canada? And, he has been linking up with Oh, and where they live and work school kids across the country to talk 2 2013 PAVED ROADS ARE O DESIST circles 400 km above the Earth at about space. PAVED ROADS ARE O www.mirabex.com STSTARARTITINGNG * Lease for 48 $ * Lease $ for 48 * 28,000 km/h. Kirk Smith FROM $ payment $ months* PAVED ROADS ARE OPTIONAL, “I think he’s really accomplishedKirk Smith FROM payment months PAVED ROADS ARE OPTIONAL, The answer is just one: Chris Had- SalesSales Representative Representative 26,423 278 BUT ALL-WHEEL DRIVE COMES STANDARD. Page A3 something special for us,” said Jeremy $ * BUT ALL-WHEEL DRIVE COMES STANDARD. of this world $ * 2,520 down 2.9% lease rate BUT ALL-WHEEL DRIVE COMES STANDARD. field, the Sarnia-bornGET THE astronaut LATEST and Hansen, an Ailsa Cell:Cell: 519-276-1968 Office: 519-271-5515 2,520 down 2.9% lease rate BUT ALL-WHEEL DRIVE COMES STANDARD. GetGet thethe latestlatest www.kirksmith.ca [email protected] RABAISà first CanadianNEWS to command UPDATES the Inter- Craig native and www.kirksmith.ca [email protected] STRATFORD SUBARU OSEZ 2001 Ontario Street, E. Stratford 519-273-3116 news updates Sutton Group - first choice realty ltd. brokerage* ENTER FORA 2001 Ontario Street, E. Stratford 519-273-3116 CHANCE TO WIN national Spacenews Station. updates Sutton Group - first choice realty ltd. brokerage* ENTERAN ALL-NEW FOR A www.stratfordsubaru.com 2014CHANCE FORESTER TO WIN AT jusqu’ AN ALL-NEW one of Hadfield’s FAMILYRALLY.CA www.stratfordsubaru.com *INDEPENDENTLY OWNED AND OPERATED 2014 FORESTER AT email: [email protected] COMPARER ET *INDEPENDENTLY OWNED AND OPERATED FAMILYRALLY.CA email: [email protected] % Hadfield, also the first Canadian to fellow astronauts Gracieuseté de walk in space during a previous flight, at the Canadian ÉCONOMISER has turned out to be a public Space Agency. relations bonanza for the n Le magazine PROMO... à votre porte! Participez sur le 70 Hansen ICE STORM: Somesaid residents could be without hydro well into Saturday Voir publicité à l’intérieur ! P3784 Canadian Space Agency many people www.pubextra.com during his five-month behind the scenes Secteur mission at the space at the agency are 95 000 copies BASSES-LAURENTIDES station. also involved, but Dayna 1 ALL DAY, EVERY“I think DAY he’s Northhe gives a big help- Manning Perth declares emergency allall day,day, doing everyevery a day daygreat ing of the credit to DONAL O’CONNOR Volume 17, no 7, novembre 2012 VENTE PUBLICITAIRE: 438-490-8280 STRATFORDjob, to be hon- Hadfield. www.stratfordwww.stratford Staff Reporter BEACONHERALD.COMest,” said Jackie “We’ve watched beaconherald.combeaconherald.comWestelaken, movies for years LISTOWEL — Citing wide- co-ordin- spread power outages of where we’ve unknown duration and safety inside ator of the imagined human- hazards from live wires, falling POWERING THROUGHcorporate ity living in space,” ice and tree limbs, Perth North Quoi offrir à communi- Mayor Julie Behrns has declared Hansen said. HYDRO OUTAGE a state of emergency in North cations “Now we can see YOUTH The show must go andon, as theypublic Perth. say, and No Frills wasn’t going it, and it’s happen- Behrns issued the declara- SPELLBOUND to be put off by a mererelations lack of ing for real through tion Friday afternoon as public la personne power. The grand openingprogram of at Chris’s eyes.” Jeremy works and Hydro One crews the new store in Stratford’s continued to respond to power London’s The 16 hours Hansen developing west sideFanshawe was a outages caused by fallen hydro Page B1 tad delayed Friday morning each day when poles and ice-laden trees and but managers truckedCollege. in an astronauts aren’t branches. electrical generator “He’sfrom sleeping on the space station are qui a déjà tout? Mississauga and doinghad the what tightly scheduled, but Hadfield has Declaring the For up-to- doors open to thelots public of peopleby about 11 a.m. made time to update his social media emergency would Desthe-minute should do on accounts with help, back on Earth, Page A3 make the township eligible social media, from his son, Evan. news and making “It’s just really fun to watch all for provincial funding, if REPAS Photo courtesy CHRIS HADFIELD Twitter feed FLOOD OF 1937 coverage visit things accessible the people get behind Chris and be funding is made available. Astronaut Chris Hadfield, the Sarnia-born commander of the ISS, has It was lateand April making 1937 and thethings become a social media hit during his five-month mission in space. Thames River and many of involved,” Hansen said. PRÉPARÉSSarnia-Lambton’s its tributariesrelevant.” (including the “And then, to see the results is sim- By mid-afternoon, power had Avon) wereHadfield overwhelmed has built with an ply amazing.” been restored to about three- portionsnews individuelles leader manyaudience days of rainon social and melt- media quarters of the approximately 11,500 customers in Listowel portions de groupe foring photos snow that of had Earth saturated he takes see SPACE | Page A2 on the web the ground. Although spring and area that had lost power from floodsthe windows were common of thein those space earlier Friday. Pour recevoir en grand pre-Upper Thames River Perth County emergency co- Conservation Authority days, ordinator Christel Ivanyshyn toute votre famille! this one would go down as said a number of outlying areas n EDUCATION: Therapy dog used at Lambton College to help students manage stress what were still without power. U Dinde called “Western Ontario’s Township CAO Kris Snell esti- worst flood.” mated about 8,000 people in U Ragoût de boulettes Elma and Wallace wards were Stress relief on four legs Page A10 still without power late Friday U Tourtière Plus more local news. afternoon and said power was not expected to be restored until BARBARA SIMPSON U Pâté au poulet I could see from an about 6 p.m. Saturday. The Observer early time that he sports Declaring the emergency BLAIS A/C U MarinadesThe et gelées maisonGavin Reed has been turn- would make the township eli- ing heads lately at the Lambton had the right personality to gible for provincial funding, if Aspirateur • Climatisation U Tartes@Sarnia et Observer gâteaux SCOTT WISHART funding is made available. College Residence. do this. The most important www.theobserver.ca “Hi, handsome,” a group of An icy canopy covered many of the city’s streets after the freezing-rain storm Friday morning. see EMERGENCY | Page A4 U et autres girls cooed Wednesday. thing is temperament and Saturday’s “Hi, sweetie.” his general interest in n WEATHER: Ice, high winds cause power outages, road, and school closings, downed trees and poles throughout region Of course, Gavin can’t help weather attract attention. It’s an 80 lb. people. mop of fur with a wagging tail Mainly cloudy Linda Reed, Gavin’s owner with showers; and gentle demeanor. High 5° Low 2° The three-year-old golden- Page A2 doodle also is a certified ther- Gavin’s owner Linda Reed Ice storm apy dog that has been visiting approached the college after the college residence since late she read about the therapy dog INSIDE last year. program at the University of Colleges and uni- Ottawa. Local news ...... A3, A6-A7 versities across Reed got the National ...... A5, A8-A9 Canada are green light to wreaks havoc Comment ...... A4 increasingly bring Gavin back Vanderbaan, vice-president of World...... A10-A11 bringing in ther- in November. DONAL O’CONNOR The best athletes Stratford and LAURA CUDWORTH engineering and operations at Sports ...... B1-B8 apy dogs to Students has to offer, including Kyle Festival Hydro. Life...... C1, C3-C8 help relieve immediately fell Staff Reporters PANIERS CADEAUX Frey, will be celebrated one However, there were about Death notices...... C2 students’ stress in love with the week from tonight at the The cracking sound of tree 150,000 Hydro One custom- Réservez maintenant Ent...... C10-C12 during exam dog, especially Rotary Complex. limbs breaking underBARBARA the weightSIMPSON Theers Observerstill without power across Comics/Puzzles ...... C9 time. those who have of ice could be heard in neigh- Ontario by late afternoon. There Money ...... B10 been away from Lambton College student SpencerPage B1 Drake visits with Gavin, abourhoods three-year-old throughout goldendoodle, Stratford. at thewere Lambton an estimated 200 broken SCOTT WISHART The Beacon Herald Classifi eds ...... D1-D4 their own pets Inn Wednesday. Gavin has been making the rounds at the studentPerth residence, County helpingpublic relieveworks somepoles stress down around . Gavin, a for a while. during exam time. crews, as well as Festival Hydro Hydro One asked for assist- Ken Ebel, left, and son Neal check over a large maple limb that came down during Friday’s freezing-rain PARTY DU TEMPS DES FÊTES three-year-old “One stu- follow us on and Hydro One workers, were ance from other hydro providers storm in Stratford. goldendoodle, dent hugged him dealing with multiple downed touching.” to work on right now,” Gee exams. in communities not affected by and cried,” said hydro lines and power outages has made a Students Nikki Gee and Spen- said. “It’s nice to take a bit of a Gavin’s visits the haven’tstorm. municipal office as a warming their own pillows, blankets and was closed Friday. quelques places encore disponibles Reed, who is also Friday morning following the centre until 6 p.m. After that, snacks. “I don’t recall that we’ve ever name for itself cer Drake spent some time with breather.” been limited to the Somestudent municipalities were Salles Constantin : an adjunct profes- folloWfolloW overnight ice storm. residents could go to the Mitchell About 9,200 homes and busi- had a complete system shut- at Lambton Gavin during his Wednesday Drake said Gavin’s visits are residence. opening warming centres for sor of social work In Stratford, as many as 2,000 residents without power. The arena until 10 p.m. nesses in Listowel and area down,” said Steve Howe, man- College. visit. “really relaxing,” helping him at the college. uSuS ...... Festival Hydro customers, Perth East Recreation Complex North Perth warming centres were still without power by late ager of communications with the 1-14-15-22-28-29-30 $1.70 “I’ve got four assignmentsstratfordbeaconherald de-stress from the start of final see THERAPY | Page A2 commandez en ligne(includes gst) “It was really including homes, businesses and in Milverton was prepared to were to be open for the duration afternoon. Avon Maitland District school décembre 2012 factories, were without power in take residents in until midnight. of the emergency at the Lis- Stratford schools rarely close board, who started at the board the morning. It was scheduled to reopen at towel Salvation Army and Elma right across the city but every in 2001. “We’ve come close, but WWW.CONSTANTIN.CA P3899 5-12 janvier The lights were back on in 8 a.m. Saturday. Memorial Community Centre. school — public and Catholic, Stratford has been the holdout.” ÉCONOMISEZ GRÂCE À NOS MARCHANDS PARTICIPANTS @thebeaconherald : most city homes and businesses West Perth also opened its Residents were urged to bring elementary and secondary — see ICE STORM | Page A3 (450) 473-2374 by mid-afternoon, said Jac Salle Sous le charme des érables2012 INSIDEINSIDE WeatherWeatherLottery numbers ...... A2 A2 A2 LocalLocalComment news news ...... A5 A4 A4 MoneyMoneyLife...... A9 A6 A6 ComicsComicsWeekend .. Puzzles...... Bx ..B5 WEATHERWEATHER TomorrowTOMORROW 1-22-29-31 décembre INSIDE Lottery numbers . . . . . A2 Obituaries ...... A4 National ...... Ax Life/TV Listings . . . . . Bx WEATHER LotteryLocal newsnumbers . . A3-4, . . A10,. . . A12 A2 ObituariesMoney ...... A6 A4 NationalSports ...... B1-3. Ax Life/TVPuzzles/Comics Listings ...... Bx.B6 Partly Cloudy; High 7º Low 5º $1.00$1.00 Local news ...... A3 Comment ...... A5 xxxx ...... Ax Classified ...... Bx (plus(plus hst) hst) Et plus à l’intérieur 1054, boul. Arthur-Sauvé, Saint-Eustache LocalObituaries. news ...... A4 A3 CommentNational ...... A7-8 . .A5 xxxxEntertainment ...... Ax.B4 ClassifiedClassified ...... B7-10. .Bx xxx HighPage xx° A2 Low xx° Page 2 (plus hst)

NEWNEW LISTING LISTING ALL BRICK HOME 7070 King King Street, Street, South, South, St. St. Marys Marys 38 Abraham Drive, Stratford YOUYOU WILL WILL APPRECIATE APPRECIATEthethe character character and and charm charm throughout throughout this this LOVELY BUNGALOW located close to the golf course, theatre and meticulouslymeticulously maintained, maintained, 3 3 bedroom, bedroom, 1 1 1/2 1/2 storey storey home. home. Craftsman Craftsman style style shopping. This is a two plus one bedroom, three bath, all brick home isis found found in in the the oak oak inlay inlay built by Bob Scott in 2003. Spacious master with ensuite. flflooring,ooring, the the etched etched glass glass Covered deck, gas fireplace, main floor laundry and more. doorsdoors as as well well as as the the trim trim MLS® 325078 lininglining the the flfloors,oors, doors doors $369,000. andand windows. windows. Hardwood Hardwood flflooringooring throughout, throughout, this this trulytruly is is a a must must see see home! home! MLSMLS®®199030199030 $309,000. 101000 Erie Erie St., St., Stratford, Stratford, ON ON John & Terri Hart $309,000. Broker Salesperson 519-272-4865 Direct •• [email protected]@rogers.com 519-274-1999 Direct • [email protected]

Local focus Quebecor Media has concentrated on developing a network of To offer the most relevant local coverage, Sun Media Corporation thriving community newspapers, the only print media category launched a Saguenay–Lac-Saint-Jean edition of Le Journal de that has not lost readership in recent years, according to a recent Québec in late fall. The new daily, which carries a minimum of StatHebdo study. seven pages of exclusive local content, quickly gained a strong readership in the region. Its featured columnists include: Jacques During the last three years, Sun Media Corporation has launched Brassard, a former Québec government minister and general 12 new community weeklies in Québec and acquired Les manager of the Saguenéens de Chicoutimi hockey team; former Hebdos Montérégiens. In the spring of 2012 the subsidiary also hockey player Marc Fortier; and radio personality Denis Gravel. announced the acquisition of Pub Extra magazine, an advertising vehicle carrying discounts, promotional offers and contests that A new management model introduced in 2012 enables local is distributed to nearly 190,000 homes in Montréal’s North Shore publishers to focus more closely on relations with the community, suburbs every month. A few days later, the community weekly readers and advertisers. As pillars of the community, these L’Impact de Drummondville, which has a circulation of nearly publishers are also playing a more active role in developing 50,000 copies in the Drummondville area, was added to the fold. business opportunities and sales. The subsequent launch of L’Écho de Victoriaville, a weekly with a circulation of more than 40,000 copies in the Bois-Francs area, expanded Quebecor Media’s Québec community newspapers network to 76 publications, with a combined weekly circulation of more than 2.5 million.

17 2012 Activity Report // SUBSIDIARIES

Prominent Web presence In 2012, the Canoe network, which includes Quebecor Media and In view of the strategic importance of Web platforms, Sun Media Sun Media Corporation Web sites, logged a record 10.5 million Corporation made numerous improvements during the year and unique visitors per month in Canada, making it the ninth-most created new advertising opportunities to offer its partners and popular Web property in Canada and second in Québec, just advertisers more diverse and targeted services. The Web sites of behind the behemoth Google. In all, the Canoe network reached its major dailies across Canada – the Toronto, Ottawa, Calgary, 41% of Canadian Internet users and more than 95% of Québec Winnipeg and newspapers, Le Journal de Montréal Internet users. and Le Journal de Québec – were entirely redesigned. They now feature a new interactive interface and provide visitors The journaldemontreal.com and journaldequebec.com sites with richer content, more additional information and exclusive recorded impressive traffic growth in 2012, drawing more than theme sections. 762,000 and 369,000 unique visitors respectively, according to comScore. Quebecor Media’s community newspapers also expanded their Web presence. Nine new regional portals and 57 new Web sites were added during the year. With a more dynamic, more convenient and more interactive interface, they quickly became hubs of discussion and debate.

18 nOuVEllE CIRCulAIRE Découvrez la

Soyez toujours à l’affût des nouveautés et des tendances grâce à la circulaire VOICI! 12-07-27 3:36 PM Visitez votre magasin SEARS dès maintenant.

10,75 x 12,5 .375

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1891-0178-Sears-FF24H-N2.indd 1 Audrée 24H

Juliette Dir. artistique Concepteur 03

Infographiste Corr. d’épreuves Diane S.V.

    

    

Another major development in 2012 represents an important turning point: the termination of free online access to the full      content of many of the daily newspapers. After the introduction of paywalls at Le Journal de Montréal and Le Journal de Québec in early fall, Sun Media Corporation launched SUN+, an equivalent model for the Toronto, Calgary, Ottawa, Edmonton and Winnipeg      Sun Web sites and mobile apps. A monthly subscription allows unlimited access to rich and varied content that is now reserved for members.     

Finally, in late summer, the ViaProprio.ca site entered the direct-sale real estate market. Sun Media Corporation was already offering a wide range of real estate services. The new site complements the services offered by micasa.ca, En sécurité Le guide chez soi des parents

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m offrons 10 conseils un ouvrage très

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19 2012 Activity Report // SUBSIDIARIES

QMI Agency’s business model, which has abundantly demonstrated its success since its inception, was further strengthened in 2012. The news agency’s already diverse offerings were enhanced with the addition of a radio service, social network moderating and a headline news service. It continued its expansion by opening a bureau in Québec City, the epicentre of Québec politics. A new photo desk was set up in Toronto and the Montréal photo desk saw improvements, including the introduction of a system that supports direct photo uploading to the Agency’s Web site. QMI Agency now draws on the work of more than 1,000 journalists across the country, including more than 300 in Québec alone.

Landmark agreements In late 2012, Pattison Outdoor recognized the calibre of QMI Agency’s news coverage by choosing it as the prime supplier of news content for its national digital advertising network. Since then, more than 150 articles per day have been displayed on Pattison Outdoor screens across the country. In the summer of 2012, Leclerc Communication, owner of WKND 91.9, a music-oriented radio station in Québec City, signed an agreement for QMI Agency to prepare all the newscasts broadcast by the station, giving WKND 91.9 access to a larger news service than any other private radio station in Québec. As well, QMI Agency’s radio service has been supplying the Journal de Montréal Web site with some 20 reports per day.

20 Powerful network QMI Agency’s high-profile activities included extensive polling and front-line coverage of the major events of 2012. The news highlights of the year in Québec included student demonstrations, provincial and federal budget announcements, provincial elections, and the London Olympics. QMI Agency was in the thick of the action. In all, its wire service carried a daily average of nearly 150 general news reports, 40 sports articles and 100 videos.

Finally, content integration was heavily emphasized in 2012. Videos produced by TVA Network, the community weeklies and QMI Agency were used on the Web sites of Le Journal de Montréal and Le Journal de Québec, and enriched the articles posted on canoe.ca. This approach made it possible to offer readers more comprehensive content, leverage synergies, and capitalize on news-sharing between the subsidiaries.

21 2012 Activity Report // SUBSIDIARIES

In response to fast-paced change in the media landscape driven by evolving consumer habits as audiences become more and more expert in the use of media platforms, TVA Group dedicated itself in 2012 to increasing its agility, constantly surprising viewers and offering them a rich audiovisual experience wherever they happen to be.

To reflect the brand’s dynamism, TVA Group adopted a new logo in 2012: the three iconic letters now sport a more modern, forward-leaning look that expresses TVA Network’s engagement with today’s Québec.

The effort to remain at the vanguard has paid dividends. TVA Group’s revenues grew 2.7% from $445.5 million in 2011 to $457.4 million in 2012. The television segment’s revenues increased 4.0% to $394.1 million and its total market share rose to 32.2% from 31.6% in 2011. The growth was spearheaded by the specialty services, which increased their market share by 1.1 points, or 14.9%, from 7.4% in 2011 to 8.5% in 2012.

22 Ratings dominance Television content broadcast by TVA Group continued to dominate the ratings in 2012. TVA Network remained in the lead with a 23.7% market share, more than its two main over-the-air rivals combined. According to the BBM ratings, TVA Network carried 9 of the top 10 programs during the spring season, including the number 1 show, the Star Académie Sunday evening gala hosted by Julie Snyder. The figures also showed that TVA Network achieved high audience numbers throughout the daytime (6 a.m. to 6 p.m.) and prime time (6 p.m. to 11 p.m.) periods, and broadcast the top show in eight different genres:

News TVA Nouvelles Awards ceremony Gala Artis 2012 During the fall season, still according to the BBM ratings, Comedy lol :-) TVA Network aired 8 of the top 10 and 23 of the top 30 shows Game show Le Tricheur in Québec. The number 1 show across all networks was Céline Magazine show Salut, Bonjour! Dion… sans attendre, which drew nearly 2.5 million viewers. Soap opera Yamaska The four Le Banquier specials also attracted audiences of Drama Toute la vérité more than 2 million, an exceptional result, and TVA Network’s Variety Star Académie 2012 24 most-watched shows all attracted more than 1 million viewers. In the news arena, all of TVA Network’s newscasts dominated their time slot and TVA Network innovated by organizing one-on-one leaders’ debates during the Québec election campaign, which were carried simultaneously by TVA Network and LCN. The first of the three debates was seen by 1.4 million people and the other two by 1.5 million viewers.

23 2012 Activity Report // SUBSIDIARIES

SPECIALTY SERVICES CONTINUE GROWTH Among the specialty services, TVA Sports ended the year with nearly 1.5 million subscribers. It kept sports fans on the edge of their seats all year long with gripping coverage of major events such as Red Bull Stratos, Interbox and GYM boxing bouts, Ultimate Fighting Championship featuring Georges St Pierre Ottawa Senators hockey, the Memorial Cup hockey tournament, Impact and Champions League soccer, the Granby Challenger tennis tournament, and Toronto Blue Jays baseball. TVA Sports also announced a number of major agreements during the year, including deals with Red Bull (Red Bull Signature Series), the Women’s Tennis Association, the ATP World TourTM (tennis), and the Montréal and Québec City Grand Prix Cycliste. TVA Sports was the only channel to broadcast professional hockey during the lock-out, courtesy of its agreement with the Hamilton Bulldogs. It also carried a number of Major Junior Hockey League games.

24 At year’s end, TVA Group announced that the Mlle channel was TVA Boutiques terminated the operations of its teleshopping being renamed Moi&cie and invested with a new mission: to cable channel, which was carried by Videotron and in offer programming that reflects the interests and concerns of Québec. The Shopping TVA program on TVA Network and online Québec women. The other specialty services – addikTV, CASA, shopping services will continue. Yoopa, , Argent and LCN – registered an overall increase in market share and subscription and advertising revenues. Three Finally, TVA Films continued its activities with a focus on the – LCN, Prise 2 and addikTV – had a market share of more than distribution of Québec productions. It released 76 new titles for 1.0%. The addikTV drama channel passed the million-subscriber the home entertainment (DVD) market, more than half of which mark and Prise 2 reached the 1% market-share threshold. The were also made available on video on demand. Internationally, Yoopa channel for pre-school children was a stand-out in 2012 TVA Films distributes award-winning movies and series from its with 77.8% growth in subscription revenues. diverse catalogue of nearly 2,000 titles, including classics, drama, suspense, documentaries, and children’s programs.

WIDER REACH 2012 also saw a number of major agreements with broadcasting distribution undertakings across the country, including Rogers Communications and members of the Canadian Cable Systems Alliance. During the summer, TVA Group sold a 2% interest in SUN News to Sun Media Corporation, reducing its interest to 49%.

25 2012 Activity Report // SUBSIDIARIES

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VOUS LES CONNAISSEZ? Elles sont de retour C:100 M:87 J:0 N: 2 (Pantone 2738 C) C:70 M:15B J:0 N:0 R (Pantone 2925OADE C) C:0 M: 100 J:65 N:28 (Pantone 7427 RC) , MORE DIVERSE AUDIENCES les mardis et jeudisjeudis àà clindoeil.caclindoeil.ca.. TVA Publications remained the top magazine publisher in Québec in 2012 with 69% of newsstand sales of French-language magazines and 48% of total magazine sales, according to the Audit Bureau of Circulation (December 31, 2012). The celebrity magazine 7 Jours alone had 705,000 readers per week. TVA Publications launched a new magazine for people who love good food and local produce: Signé M, a journey into the inventive culinary world of chef Louis-François Marcotte, was an instant success, selling out after barely two weeks on the stands.

TVA Publications’ revenues decreased 4.6% to $67.4 million in 2012 and its operating income declined by $4.8 million. The decreases were mainly due to recognition of an Éco Entreprises Québec charge and to lower newsstand and advertising revenues.

With 24 brands and more than 75 titles published every year, TVA Publications, whose Web sites logged more than 40 million page views during the year, continued expanding its platforms in order to reach a broad and diverse audience. Social networks also continued

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to play an important role in promoting its brands, supporting a rich and stimulating dialogue with more than 335,000 Facebook fans and 42,000 Twitter followers. In another indication of TVA Publications’ success in the virtual universe, the Comment survivre aux week-ends? Web series registered more than 4.5 million views.

Last year also saw the advent of full, uncut digital versions of all issues of the leading brands’ magazines, adapted for mobile devices (iOS, Android and other). And TVA Publications developed a number of projects during the year to leverage its brands’ reputation and recognition factor, such as the Clin d’œil “Rock & Rose” tour, 7 Jours VIP travel packages, “Lou Luv” school supplies from Cool!, Clin d’œil jewellery for breast cancer, the Cool! photo studio and the Rénovation-Bricolage store.

Finally, TVA Studio continued making strides in the custom publishing and premedia segment, an important growth market for TVA Group.

27 2012 Activity Report // SUBSIDIARIES

MUSIC DIVISION DISTRIBUTION SELECT: SPRINGBOARD FOR LOCAL TALENT FIRST YEAR FOR ZIK MUSIC STREAMING SERVICE During the year, Distribution Select signed up 63 new Archambault Group launched ZIK in spring 2012 in response to international labels and producers. It maintained its status the growing popularity of music streaming. Only a few months as Canada’s top independent distributor, with 6 of the 10 after its launch, Canada’s first streaming service already had top-selling albums in Québec in 2012 and 12 of the top 50. The more than 7,000 subscribers. A monthly subscription lets users list includes releases from Star Académie, Adele, Paul Daraîche, create playlists and share their musical tastes and selections Lisa Leblanc and Marie-Mai. The impressive sales performance with other users. Available anywhere, anytime on the Web, translated into 11 Gold and Platinum Album certifications mobile handset or tablet, ZIK provides access to millions of in 2012, out of the total of 14 issued for French-language albums tracks, including the largest catalogue of French-language by the Canadian Recording Industry Association (CRIA). music of any streaming service.

QUÉBEC RHYTHMS In 2012, Musicor chalked up a series of new successes with three Gold and Platinum certifications (for an album by Marie-Mai, a joint effort by Marie Ève Janvier & Jean-François Breau, and a Mario Pelchat box set). Musicor Spectacles continued on its forward path in 2012. It mounted a dozen productions that played a total of 239 dates, including two major tours: Le retour de nos idoles and Les Stars chantent Noël, which also accounted for two of the three concert videos produced by Les Productions Select TV.

28 RETAIL DIVISION NEW DEVELOPMENTS AT ARCHAMBAULT GROUP E-COMMERCE SHIFTS INTO HIGH GEAR Archambault Group made far-reaching changes in 2012. Its new, The popularity of the archambault.ca site was on the rise more modern, more dynamic logo articulates its positioning as in 2012: traffic increased 33% to 13.2 million visits and sales Québec’s premier retail showcase for culture and entertainment. were up 25%. Musical instruments were given more space and Its flagship store at the corner of Berri and Sainte-Catherine online sales of instruments increased. Streets in Montréal was also given a facelift to optimize the shopping experience. Some 30 digital signage displays were Finally, the new Archambault mobile site launched in 2012 installed and demo e-books and tablets were set up to create was an instant hit. It provided consumers with another way to a more plugged-in environment. access archambault.ca, making it possible to browse a huge catalogue of products, listen to previews and view new releases, YEAR OF THE BOOK promotions and the charts for different product categories, all E-books registered strong growth, accounting for 17% of the from a smartphone. sales of archambault.ca in 2012, a 113% increase compared with 2011. Archambault’s e-reader app for iOS and Android was downloaded more than 60,000 times to become a major industry player. At the same time, the selection of e-books was expanded considerably to more than 103,000 titles, including nearly 50,000 in French.

29 2012 Activity Report // SUBSIDIARIES

BOOK GROUP FOSTERING PUBLIC DEBATE 2012 was an election year in Québec and also a year of lively debate among compelling public figures. The Book Group was part of the action, publishing a number of controversial works. The voice of women was heard in bestsellers such as Des femmes au printemps by Djemila Benhabib (VLB éditeur) and Les femmes au secours de l’économie by Monique Jérôme-Forget (Éditions internationales Alain Stanké). The polarized debate between left and right was fought out in the pages of Comment mettre la droite K.-O. en 15 arguments by Jean-François Lisée (Éditions internationales Alain Stanké), L’État contre les jeunes by Éric Duhaime (VLB éditeur), Notre Indépendance : 28 Québécois s’expriment (Éditions internationales Alain Stanké) and Le mirage François Legault by Gilles Toupin (VLB éditeur). Finally, a number of books by or about major political figures, such as Dans le feu de l’action by Jean Cournoyer (Les Éditions de l’Homme) and a biography of Robert Bourassa by Georges-Hébert Germain (Éditions Libre Expression), were released. The long list of incisive essays and biographies made a significant contribution to the public debate.

GROUPE LIBREX: NEW IMPRINTS, NEW AUTHORS Groupe Librex has been known for years for the quality and variety of the fiction it publishes, and 2012 was no exception. Lit double by the peerless Janette Bertrand, and La vie épicée de Charlotte Lavigne by Nathalie Roy, were among the year’s bumper crop of 25 novels from the Éditions Libre Expression publishing house. Meanwhile, Expression Noire, an imprint of Éditions Libre Expression dedicated to detective fiction, made its appearance. Its stable of writers includes Johanne Seymour, founder of the “Les Printemps meurtriers de Knowlton” international crime fiction festival.

30 Éditions du Trécarré expanded its collection of books about Les Éditions de la Bagnole, which joined Le Groupe Ville-Marie health with two new titles penned by experts: Le sommeil et Littérature in 2011, continued publishing unique and inventive vous by Diane B. Boivin, and La douleur by Marie-Josée Rivard literature for children, including Mingan mon village, a collection of and Denis Gingras. Another health-related book published by poems by Innu schoolchildren, illustrated by the incomparable Rogé. Éditions du Trécarré, La maladie d’Alzheimer : le guide by Judes Poirier and Serge Gauthier, released in 2011, was awarded the NEW AT GROUPE HOMME Prix Hubert-Reeves 2012 by the Association des communicateurs At Les Éditions de l’Homme, 2012 began on a light-hearted note scientifiques du Québec. The award recognizes excellence in with the publication of Dure soirée by François Morency. The scientific popularization. book’s positive reception shows the importance of humour in Québec and the talent of its humourists, who have won a large EVENTFUL YEAR AT LE GROUPE following at home and abroad. VILLE-MARIE LITTÉRATURE VLB éditeur had another successful year with several bestsellers Les Éditions de l’Homme diversified by launching a fiction and extensive media coverage for the launch of a new collection, collection, which includes the novel Princesse Yennenga by Lettres à un jeune. The first two books in the series were written Réjean Tremblay. Another noteworthy release, L’Union des by Lucien Bouchard and Jérôme Ferrer. Another highlight was artistes – 75 ans de culture au Québec, tells the story of Québec’s the launch of the L’Orphéon series, to which five talented authors artists’ union and provides a snapshot of Québec culture and its contributed: Stéphane Dompierre, Roxanne Bouchard, Geneviève activism of the past 75 years. Jannelle, Patrick Senécal, and Véronique Marcotte. Les Éditions Petit Homme, a new publisher of children’s literature, At Les Éditions de l’Hexagone, notable events included the return took its first steps by releasing Lance et Compte – Les débuts, a of poet Hélène Dorion with a marvellous collection entitled Cœurs, series for young readers by Hélène Gagnon and Réjean Tremblay, comme livres d’amour, and the book/CD Thomas Hellman chante and Explore, découvre, apprends, an educational series. Roland Giguère, a tribute by singer-songwriter Thomas Hellman to Roland Giguère, the great Québec poet who died in 2003.

31 2012 Activity Report // SUBSIDIARIES

CEC PUBLISHING: LEADER IN ACADEMIC PUBLISHING CEC Publishing continued to lead the way in academic publishing in 2012 by launching myCECzone.com, a new Web platform that gives teachers and students access to more than 188 digital textbooks. Twenty of its series also offer supplemental interactive online exercises and 19 contain activities designed specifically for interactive whiteboards.

In 2012, CEC Publishing marked the second anniversary of its move into the pre-school segment. A total of 28 new reference works, activity books and other products targeted at this market were released during the year, in addition to the 28 published in 2011. This unique product line, designed to promote school success, positions CEC Publishing as a major player in the pre-school market.

FRONT-LINE ROLE FOR MESSAGERIES A.D.P. Messageries A.D.P., the largest distributor of French-language books in Canada, added several new publishing houses to its stable in 2012: Éditions Gründ and Livres du Dragon d’Or of France, publishers of high-quality illustrated books for children and adults, and Éditions Pratico-Pratiques of Québec, which specializes in how-to books geared to do-it-yourself readers.

Messageries A.D.P.’s e-book division was successful in supporting digital publishing projects. Titles from three new publishing houses – Michel Quintin, Perro and Marcel Broquet – were added to its catalogue of nearly 6,000 e-books.

32 AWARD-WINNING WRITERS

AUTHOR BOOK PRIZE Ryad Assani-Razaki La main d’Iman Finalist, Prix France-Québec Finalist, Governor General’s Award Thierry Leuzy Thure Winner, Prix Jovette-Bernier 2012 Finalist, Prix Senghor for first novel written in French Hélène Dorion Cœurs, comme livres d’amour Finalist, Governor General’s Award Djemila Benhabib Ma vie à contre Coran Winner, Prix international de la laïcité 2012 Les soldats d’Allah à l’assaut de l’Occident Judy Quinn Hunter s’est laissé couler Finalist du Grand Prix littéraire Archambault 2012

33 2012 Activity Report // SUBSIDIARIES

Nurun’s revenues increased 20% to $145.5 million in 2012 and profits were also up on the strength of a healthy balance between digital strategy consulting and technological innovation activities.

NORTH AMERICAN GROWTH Volume increased substantially in North America during 2012, accounting for the bulk of Nurun’s growth. The Québec City office saw a 23% increase, the largest since it opened in 1985. At the Montréal office, development efforts for Quebecor Media yielded new apps for Le Journal de Montréal and Le Journal de Québec, as well as the 216 community weeklies across Canada. Nurun is particularly proud of the successful paywall it developed for the online versions of Quebecor Media’s newspapers. Nurun also carried out major projects in 2012 for several other customers, including Jean Coutu Group (PJC) Inc., which entrusted all its digital activities to Nurun.

In the U.S., the San Francisco office scored a coup by expanding its relationship with Sony, which asked Nurun to help it rethink its global online presence. The Atlanta office strengthened its relationship with GE, one of its major accounts. The Toronto office, which specializes in complex e-commerce Web sites, among other things, landed a contract with Walmart to review its online offerings in Canada.

34 EUROPEAN GAINS In Europe, Nurun had a good year despite the adverse economic environment. While European sales lag North American sales, they were boosted by a number of factors: Nurun landed the Adidas account for all of Europe and projects for Sky Italia in Italy, ING in Spain, and SNCF and the EDF group in France.

In China, Nurun strengthened its position despite aggressive competition thanks to strong relationships with longstanding customers L’Oréal Paris, Pernod-Ricard and Danone. Another sign of Nurun’s success was the increase in the staff retention rate, a considerable achievement in the typically high-turnover Chinese labour market.

Also during the year, Nurun Lab started up a number of projects in Montréal, San Francisco, Atlanta and Paris. The Nurun Lab division was created in 2011 to monitor the fast-changing digital marketplace and support innovation at Nurun.

35 2012 Activity Report // CORPORATE SOCIAL RESPONSIBILITY

Montréal and Québec City employees turn out for JDRF Ride for Diabetes Research.

Corporate social responsability

OUR EMPLOYEES RIGOROUS TRAINING FOR BETTER PERFORMANCE Convergence, not only between different platforms and different Quebecor knows that its employees’ skills and talents are content formats but also in sales and resources, has become the precious assets. Developing employees’ competencies to their leitmotif of Quebecor’s ecosystem. The Corporation is therefore full potential is therefore a core element of corporate strategy. increasingly focused on the critical importance of building trust Campus Quebecor, the in-house training centre opened by among managers, employees and customers. This approach is Quebecor in 2009, remains a vital tool for staff in all units. In shared by all subsidiaries and was reflected in their human 2012, it was attended by nearly 400 employees. Also in 2012, resources management practices in 2012. Campus Mobile was created to bring instructors to employees rather than vice versa and provide more targeted training. SUCCESSFUL INITIATIVES Employee groups across the organization – at Jobboom, For example, Videotron continued its sustained drive to improve Videotron Business Solutions, the community newspapers, its employees’ experience in the workplace and those efforts National Sales Office and elsewhere – were thereby served paid off. A recent study by Aon Hewitt ranked Videotron among more specialized content using an approach tailored to their Québec’s top 20 employers. specific needs.

At all Quebecor companies, employee mobilization is promoted For its part, Nurun decided to enlist ethnographic research by sound human resources management and a commitment to to support digital innovation. It launched experimental employee welfare. For example, in 2012, Videotron’s Human ethnographic research projects in the fall of 2012 and Resources Department instituted a continuous improvement subsequently set up a department at Nurun Lab in Montréal process geared toward improving efficiency by eliminating where trained anthropologists are working to refine the irritants caused by needless or overly complex procedures. The information yielded by the research studies. The approach process is now well established and is an integral component is now being implemented across the organization. Nurun of Videotron’s management model. has also set up a training tour to improve understanding of online consumer behaviour (“netnography”) at all its offices. During the year, all of Quebecor Media’s group insurance The international interactive marketing agency, which is plans were transferred to Desjardins Financial Security. This experiencing booming growth and hired more than 400 people new partnership with a Québec-based company provides all in 2012, has made employee training a centrepiece of its employees with better service and more attractive benefits, business strategy. promoting the retention of qualified staff.

36 On August 12, 2012, 200 employees took part in the Granfondo Garneau-, presented by Quebecor.

PLANNING FOR SUCCESSION RESTRUCTURING PAYS OFF Quebecor has long made it a point of pride to promote Sun Media Corporation provides another example of how the internal resources rather than recruiting from outside. This Corporation taps into its human resources to drive its progress. approach capitalizes on employees’ specific skills and gives Following on the heels of the redesign of the English-language the Corporation a competitive edge. In line with its focus on newspaper Web sites, all its newspaper Web sites were entirely succession planning and management, Quebecor has launched overhauled and improved versions launched in 2012. The skills a professional development initiative, in collaboration with developed internally and the talents discovered within the the heads of some subsidiaries, targeting the most promising organization significantly contributed to this major initiative, employees. The succession plan is much more than a report: enabling Sun Media Corporation to demonstrate an ability it has become an effective, full-fledged management tool. to operate in a new-tech environment while maintaining its During 2012, a number of key positions were filled in-house expertise and know-how in traditional media. through this targeted plan.

Quebecor is proud of the strong female representation on its management team and Board of Directors

37 2012 Activity Report // CORPORATE SOCIAL RESPONSIBILITY © Patrice Ouimet © Patrice

Jour de la Terre Québec and partners at ceremonial tree planting on Earth Day, April 22, 2012.

QUEBECOR AND THE ENVIRONMENT

Quebecor continued its wide-ranging efforts to reduce the environmental effects of its products and services. While its lines of business generally have a limited footprint compared with some other industries, the organization does have a significant impact by virtue of its size. Quebecor therefore believes that its actions matter and that its commitment to the environment will make a difference in the long term.

PROTECTING THE ENVIRONMENT For the past three years, Quebecor has been measuring its electricity and fuel consumption and greenhouse gas emissions on a yearly basis. In 2012, the results were again reported to the Carbon Disclosure Project. The Corporation also continued its initiatives to reduce the impact of its vehicle fleets. At Videotron, the installation of hybrid electrical systems on some vehicles and eco-driving education campaigns targeted at employees reduced

CO2 emissions by nearly 17.5% in 2012.

Quebecor made a major effort to reduce the volume of waste it sends to landfill sites through a series of multi-material recycling and computer-recovery initiatives. Videotron also developed a greener approach to managing the wastes generated by its network construction and maintenance operations. In the implementation of all these programs, preference was given to recycler AAFI-Informatique and to non-profit social integration companies such as Insertech Angus and SIT.

38 © Henri Michaud

24 heures and the STM help green a section of Angrignon Park.

CLOSE PARTNERSHIP WITH JOUR DE LA TERRE QUÉBEC Responsible use of natural resources is one of the core principles Quebecor renewed its partnership with Jour de la Terre Québec, of Quebecor’s environment strategy. In this spirit, Quebecor Media the Québec chapter of Earth Day, for the sixth consecutive year Printing obtained Forest Stewardship Council (FSC) chain of in 2012. The collaboration complements the many green projects custody certification in 2012. The print version of the Videotron and initiatives of Quebecor and its subsidiaries. Directory has also been replaced by the Videotron Smart Find Web and mobile platforms. In partnership with Jour de la Terre Québec, Quebecor has implemented Earth Calling, its own mobile phone recovery With help from its suppliers and the non-profit environmental program. This initiative, which began in 2008, was coordinated organization Canopy, Quebecor is working to help change resource in 2012 with Québec government regulations on product recovery management practices in its industry and to develop approaches and recycling by businesses and a total of 8,879 devices were that are more consistent with sustainable development principles. collected. Over the life of the program, nearly 87,500 mobile The process has helped usher in responsible procurement handsets have been collected and the re-use rate has been an policies at TVA Publications and the Book Group. The latter enviable 24%. Quebecor is also covering the environmental costs has also been printing all of its black-and-white books on associated with the latest recycling requirements for the vast 100% post-consumer paper for several years. In 2012 alone, majority of the items sold in its stores. that practice saved 11,106 trees, the equivalent of the area of 81 hockey rinks. For more than a year, TVA Publications has been Archambault Group is also proud to support Jour de la Terre printing its magazines on more than 90% FSC-certified paper, Québec by donating the proceeds from the sale of single-use making a contribution to preserving the boreal forest in Québec and reusable bags in its stores. In 2012, it turned over nearly and the rest of Canada. $19,000 to Jour de la Terre Québec, which will be used to fund a new special project in 2013.

39 2012 Activity Report // CORPORATE SOCIAL RESPONSIBILITY

Caroline Rodrigue of Saint-Basile-le-Grand picks up green award.

The “Porteur d’espoir” environmental award, which Quebecor has been supporting for six years, went to Caroline Rodrigue of St-Basile-le-Grand in 2012. The jury selected her from among some 50 candidates in recognition of the breadth of her commitment to the environment. Caroline Rodrigue has been promoting environmental protection since childhood. The founder of the “Action pour un environnement sain” environmental organization, she is also an environmental columnist on television and speaks in schools.

AWARENESS RAISING The capabilities of all Quebecor subsidiaries have long been harnessed to raise public awareness of environmental issues. In 2012, the Corporation continued doing its part to change the habits of its customers, partners, and the general public. The daily 24 heures, in collaboration with the Société de transport de Montréal, helped green a large section of Angrignon Park. More than 850 tonnes of paper deposited in newspaper recycling bins by Montréal metro passengers in 2011 were symbolically transformed into 1,700 plants to help restore the park’s biodiversity. Planting was coordinated by Héritage Laurentien, a non-profit organization that partners with Montréal’s parks network to protect and enhance the natural environment of the St. Lawrence Valley. Finally, Videotron shared green tech tips every week on social media.

40 organizes fundraiser for Sheena’s Place.

PARTNERING WITH THE COMMUNITY

Throughout the year, Quebecor backs organizations that support culture, community action, education, youth, health, and sustainable development. In so doing, it has remained true to the memory of its founder, who believed that a business has a duty to give back to the community that nurtured it. In 2012, Quebecor made contributions worth more than $36.7 million to more than 375 organizations.

CHRISTMAS SPIRIT Videotron signed a two-year partnership agreement with Montréal’s Operation Red Nose, an organization created by and for Quebecers that has been fighting impaired driving for nearly 30 years by providing an accessible, confidential drive-home service. Videotron supplied the mobile phones for the 2012 campaign’s communication needs. The partnership continued Videotron’s commitment to the Montréal community and supported an eminently worthy cause.

The ATCO/Edmonton Sun Christmas Charity Auction raised more than $200,000 in 2012, bringing the total collected over the years to over $1.8 million. The proceeds from the auction’s 9th year were again divided among four charities: United Way of the Capital Region, the Stollery Children’s Hospital Foundation, the Christmas Bureau of Edmonton, and the Sign of Hope Catholic charity. All these organizations provide assistance to many of Edmonton’s most underprivileged citizens. In all, hundreds of companies and thousands of Edmonton Sun readers contributed generously to the fundraiser.

41 2012 Activity Report // CORPORATE SOCIAL RESPONSIBILITY

Dans le ventre du dragon, directed by Yves Simoneau, one of 150 Québec movies that have been digitally restored in HD by the “Éléphant“ project.

LITERACY CULTURE For 13 years, the Literacy Foundation has been addressing the Quebecor’s print, electronic and online media properties maintained roots of illiteracy with its “Gift of Reading” program, which their commitment to new talent and local events. Partnerships targets the most at-risk children in the 0-12 age category. In with the Emerging Music Festival in Abitibi-Témiscamingue, the 2012, Archambault Group was again among the participating Festival de Cinéma de la Ville de Québec and the Trois-Rivières bookstores. Since the project began in 1999, Archambault Group International Poetry Festival are only a few examples. Quebecor has collected thousands of new books to help introduce children and all its subsidiaries continued promoting many cultural from disadvantaged backgrounds to the magic of reading. organizations, events and their guest artists, playing a key role in their success. EATING DISORDERS Every year, the Toronto Sun organizes a benefit golf tournament This financial and promotional backing attests to the close to raise money for Sheena’s Place, a charitable organization that relationship between Quebecor and cultural organizations helps people suffering from eating disorders. One of the founders across Québec and the rest of Canada. of Sheena’s Place is a former employee whose daughter had struggled with the problem from an early age. Over the past Quebecor’s support for culture was also manifested throughout 15 years, the Toronto Sun has collected more than $400,000 the year by the “Éléphant: mémoire du cinéma québécois” to help Sheena’s Place continue offering assistance to very project, which is digitizing all the feature films ever made vulnerable clients. in Québec and making them readily available to the public. Since it was launched in 2008, more than 150 fictional films have been digitally restored in HD. Now that they have been brought back to life, new generations of film buffs can enjoy them 24/7 on illico on demand. Some had been in such poor condition that they could no longer be screened. Without the Éléphant project, much of our cinematographic heritage would have been lost forever.

42 Festi Jazz international in Rimouski

Québec cross-country skier Alex Harvey, 2011 team sprint world champion

CROSS-COUNTRY SKIING YEAR-ROUND Quebecor also helped the young athletes who train at the Quebecor’s involvement in this project will also contribute to Pierre-Harvey national training centre in Saint-Ferréol- the success of cross-country skier Alex Harvey, the Québec les-Neiges by supporting the construction of an all-season athlete Quebecor has proudly supported as an official sponsor cross-country ski trail. since 2011. Quebecor remains committed to nurturing Québec talent and encouraging excellence and success. Alex Harvey The 4.9-kilometre asphalt track makes it possible for Québec’s says that Quebecor’s support has been a decisive factor in his cross-country skiers to train at home, even during the summer. career, allowing him to concentrate exclusively on his sport. Today, elite skiers typically spend more time training on roller skis than on snow. In Québec, roller skis have been banned from the roads. Without the construction of the new track, athletes would have been forced to leave Québec to train. The inauguration of the track in 2013, during the lead-up to the Winter Olympics in Sotchi, Russia, will be welcomed not only by Québec athletes but by all practitioners of cross-country skiing, walking and cycling, as the track will be open to the public.

43 2012 ACTIVITY REPORT // Board of Directors

Board of Directors and Officers of Quebecor Inc.* BOARD OF DIRECTORS OFFICERS Françoise Bertrand 2, 3 Françoise Bertrand Chair of the Board, Chair of the Board Quebecor Inc ,. and President and Chief Executive Officer, The Right Honourable Fédération des chambres de commerce , P C. ,. C C. ,. LL D. . du Québec Vice Chairman of the Board

1 Jean La Couture, FCPA, Fca Pierre Karl Péladeau President, Huis Clos ltée Vice Chairman of the Board

Sylvie Lalande 3 Robert Dépatie Corporate Director President and Chief Executive Officer

Pierre Laurin 1, 2, 3 Jean-François Pruneau Chairman of the Board, Senior Vice President and Atrium Innovations Inc . Chief Financial Officer

A. Michel Lavigne 1, 2 Denis Sabourin Corporate Director Vice President and Corporate Controller

Geneviève Marcon Claudine Tremblay President, GM Développement inc . Vice President and Secretary

The Right Honourable Chloé Poirier Brian Mulroney P C. ,. C C. ,. LL D. . Treasurer Senior Partner, Norton Rose Canada LLP, and Dominique Fortin Vice Chairman of the Board, Assistant Secretary Quebecor Inc .

Pierre Karl Péladeau Vice Chairman of the Board, Quebecor Inc ,. and Chairman of the Board, Quebecor Media Inc .

Normand Provost Executive Vice-President, Private Equity, Caisse de dépôt et placement du Québec

1 Member of the Audit Committee 2 Member of the Compensation Committee 3 Member of the Corporate Governance and Nominating Committee * As of May 8, 2013

44 Board of Directors and Officers of Quebecor Media Inc.* BOARD OF DIRECTORS OFFICERS Business Segment Heads Françoise Bertrand 2 Pierre Karl Péladeau Robert Dépatie Chair of the Board, Chairman of the Board President and Chief Executive Officer, Quebecor Inc ,. and Sun Media Corporation Robert Dépatie President and Chief Executive Officer, President and Chief Executive Officer Fédération des chambres de commerce Manon Brouillette du Québec Jean-François Pruneau President and Chief Operating Officer, Senior Vice President and Videotron Ltd . 1, 3 Jean La Couture, FCPA, Fca Chief Financial Officer President, Huis Clos ltée Pierre Dion Marc M. Tremblay President and Chief Executive Officer, Sylvie Lalande Senior Vice President and TVA Group Inc ,. and President, Corporate Director Chief Legal Officer TVA Publications Inc . France Lauzière 1, 2 Pierre Laurin Senior Vice President, Pierre Marchand Chairman of the Board, QMI Content President, Music segment, Atrium Innovations Inc . Archambault Group Inc . J. Serge Sasseville A. Michel Lavigne 1, 2, 3 Senior Vice President, Donald Lizotte Corporate Director Corporate and Institutional Affairs President, Le SuperClub Vidéotron ltée, and Édith Perreault Geneviève Marcon President, Retail segment, Executive Vice President, President, GM Développement inc . Archambault Group Inc . National Sales

The Right Honourable Sylvain Bergeron Céline Massicotte Brian Mulroney P C. ,. C C. ,. LL D. . Vice President, Taxation President and Senior Partner, Chief Operating Officer, Norton Rose Canada LLP, and Sylvie Cordeau Sogides Group Inc . Vice Chairman of the Board, Vice President, Communications Quebecor Inc . Christian Jetté Guy Desrochers President and Chief Executive Officer, Vice President, Internal Audit Pierre Karl Péladeau 3 CEC Publishing Inc . Vice Chairman of the Board, Isabelle Leclerc Quebecor Inc ,. and Vice President, Human Resources Jacques-Hervé Roubert Chairman of the Board, President and Chief Executive Officer, Quebecor Media Inc . André Maynard Nurun Inc . Vice President, Business Opportunities

Normand Provost Denis Sabourin Executive Vice-President, Vice President and Corporate Controller Private Equity, Caisse de dépôt et placement Claudine Tremblay du Québec Vice President and Secretary Martin Tremblay Vice President, Public Affairs

Chloé Poirier Treasurer 1 Member of the Audit Committee 2 Member of the Compensation Committee Dominique Fortin 3 Member of the Executive Committee Assistant Secretary * As of May 8, 2013

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