Six weeks before the next provincial election - a blueberry happening of major proportions is occurring - be sure not to miss it.
It's taking place P.O. Box 220 Oxford Nova Scotia - the mailbox of Oxford Frozen Foods Limited and now the mailbox of Eastlink Persona Holdings Inc.
Now up until Thursday of last week Eastlink Persona Holdings Inc. was named 4402511 CANADA INC.
This is important because the CRTC last Friday posted the following request:
Ottawa, 24 August 2007
The Commission has received the following applications. The deadline for submission of interventions/comments is 13 September 2007.
1.Across Canada Application No. 2007-0791-1
Persona Communications Corp. (Persona), on behalf of itself and Bragg Communications Incorporated (Bragg), filed two applications that would authorize 4402511 Canada Inc. (4402511 Canada), a wholly-owned subsidiary of Bragg, to acquire ownership and control of Persona and its wholly-owned subsidiary Northern Cablevision Ltd. (Northern). One application is seeking authority to transfer the shares and effective control of Persona to 4402511 Canada and a second one is seeking authority to transfer the effective control of Persona’s wholly-owned subsidiary, Northern, to 4402511 Canada.
Persona is the licensee of cable distribution undertakings in Sudbury and Timmins, Ontario, Marystown, Newfoundland and Labrador and Delta and Sechelt/Gibsons, British Columbia, and of a radiocommunication distribution undertaking in Tumbler Ridge, British Columbia. 4402511 Canada is committed to operate both undertakings under the same terms and conditions as those in effect under their current respective licences. Persona also owns some 600 Class 2 and Class 3 broadcasting distribution undertakings across seven provinces.
Northern is the licensee of a cable distribution undertaking in Grande Prairie, Alberta. 4402511 Canada is committed to operate that undertaking under the same terms and conditions as those in effect under the current licence.
The Commission is consequently inviting comments on the particulars of these applications, as well as on the potential effects that approval of these applications would have on the broadcasting industry as a whole.
Applicant's address:
P.O. Box 12155, Station "A"
17 Duffy Place
St. John’s, Newfoundland and Labrador
A1B 4L1
Fax: 709-754-3883
E-Mail: dmacdonald@personainc.ca
And today - just a couple of days later - the Government of Newfoundland and Labrador signs the fibre-optic contract that gives great additional value to Persona - right upon the sale of the company.
And was it the great deal talked about?
Who knows?
The government issued a -
SUMMARY OF CONTRACT
between
Persona Communications Corporation and Government of Newfoundland and Labrador - not the consortium talked about during the whole debate on the potential conflict between the head of Persona - Dean MacDonald and our Premier.
From the details provided - MTS Allstream - Rogers and the Government of Newfoundland and Labrador are owners/users of numbers of strands on a network - that Persona will build and own - referred to as the Atlantic Cable Facility.
Indefeasible Right of Use Agreement (IRU) - The IRU granted between Persona and the Provincial Government is for an initial term of 20 years, with the right to renew.
Does this mean we own the strands for 20 years?
Who has the right to renew - at what cost?
I thought we would own them!
Then there is this:
All fibre strands are "dark", that is, the equipment necessary to use the fibres will be the separate responsibility of government. Persona will make available, should the Provincial Government request it, space, electricity, back-up power, air conditioning, etc. at any of its equipment shelters along the fibre route.
How much will it cost to have use of the Persona equipment?
Will that form another agreement - value adding to Persona again?
Then this:
The Provincial Government has an initial 10-year period in which maintenance will be provided at Persona's cost. After this period, the actual average annual cost will be determined and shared amongst the IRU parties based on a sharing formula, with Persona performing the work for an administration fee based on 25 per cent of the costs.
Well now - after 10 years and after Danny is gone - we have maintenance costs - which we cannot know - because we don't have the sharing formula - we don't know what percentage of this we "own/lease/rent".
And to top it all off we add value again to Persona by contributing to an administration fee equalling 25% of the maintenance cost (?).
And last but not least this:
Persona and the IRU parties will share in the cost of catastrophic failure of the cable. For instance, should a break occur on the underwater portion, a ship would be retained to raise the cable and repair it. Costs will be shared on a formula based on the number of strands each party owns in the segment that failed.
We have no clue what portion of what segment we own - we are not told - but we could be responsible for close to an entirety of a catastrophic failure - even though we are not the owners of the facility - we are IRU's for 20 years. Once again adding to the value to Persona.
And all of this comes on the wake of CRTC announcing the request for Personna to be sold to Bragg Communications under a wholly owned subsidiary - and a few days after 4402511 CANADA INC changes it's Corporate name.
What is the value to Dean MacDonald personally from this transaction?
What value has been added to this pending sale based on the contract with the Government of Newfoundland and Labrador?
Remember what was said when we all asked why a Request for Proposals was not issued by government for a new fibre optic arrangement. It was said and widely reported by government and Dean MacDonald that all parties that could be involved were.
That's strange - because on the heels of the sweetheart deal with Persona - Bragg Communication has no problem getting involved - in fact they are going to buy Persona - to get in on the action.
And back to that mailbox - Oxford Frozen foods sells quite a few blueberries.
Blueberries can be pretty potent when left to ferment - and then any politician can get drunk with power.
Anybody other than me find it ironic that the new fibre-optic facility is called Atlantic Cable? That's original - the last one the boys sold was Cable Atlantic. I wonder is this just an inside joke?
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