Corus Entertainment Announces Fiscal 2016 Second Quarter Results

• Consolidated revenues up 3% for the quarter and 2% for the year-to-date
• Consolidated segment profit⁽¹⁾ up 33% (10% adjusted⁽¹⁾⁽²⁾) for the quarter and 15% (4% adjusted⁽¹⁾⁽²⁾) for the year-to-date
• Net earnings attributable to shareholders of $102.2 million ($1.17 per share basic) for the quarter and $143.6 million ($1.64 per share basic) for the year-to-date
• Adjusted basic earnings per share⁽¹⁾⁽²⁾ of $0.24 per share for the quarter and $0.72 per share for the year-to-date
• Completed Shaw Media Inc. acquisition on April 1, 2016

TORONTO, April 13, 2016 /CNW/ - Corus Entertainment Inc. (TSX: CJR.B) announced its second quarter financial results today.

"We have delivered revenue and segment profit growth for the second consecutive quarter, driven by the launch of new specialty television services and digital distribution revenues," said Doug Murphy, President and Chief Executive Officer, Corus Entertainment. "With the completion of our transformational acquisition of Shaw Media on April 1^st, we are fully focused on quickly integrating our operations, capturing significant synergies and unlocking the future growth potential of these powerful media assets."

Financial Highlights
		Three months ended			Six months ended
		February 29,	February 28,		February 29,		February 28,
(unaudited - in thousands of Canadian dollars except per share amounts)		2016	2015		2016		2015
Revenues
	Television	163,432	155,175		347,150		336,665
	Radio	34,273	36,309		78,873		81,930
		197,705	191,484		426,023		418,595
Segment profit^(1)
	Television	81,405	59,700		169,440		143,479
	Radio	5,182	6,227		17,985		19,047
	Corporate	(7,008)	(6,208)		(11,968)		(9,531)
		79,579	59,719		175,457		152,995
Net income (loss) attributable to shareholders		102,232	(86,786)		143,552		(34,880)
Adjusted net income attributable to shareholders^(1) (2)		20,944	28,499		63,428		80,405
Basic earnings (loss) per share		$ 1.17	$ (1.01)		$ 1.64		$ (0.41)
Adjusted basic earnings per share^(1) (2)		$ 0.24	$ 0.33		$ 0.72		$ 0.93
Diluted earnings (loss) per share		$ 1.17	$ (1.01)		$ 1.63		$ (0.41)
Free cash flow^(1)		24,284	59,242		58,821		92,624

^(1)								Segment profit, adjusted segment profit, adjusted net income (loss) attributable to shareholders, adjusted basic earnings per share, and free cash flow do not have standardized meanings prescribed by IFRS. The Company believes these non-IFRS measures are frequently used as key measures to evaluate performance. For definitions and explanations, see discussion under the Key Performance Indicators section of the Fiscal 2016 Report to Shareholders.
^(2)								For the three months ended February 29, 2016, segment profit has been adjusted to include amortization of disposed Pay TV programming assets of $14.2 million ($0.12 per share), while adjusted net income attributable to shareholders includes the preceding as well as excludes business acquisition, integration and restructuring charges of $6.0 million ($0.06 per share) and a gain on the disposal of the Pay TV disposal group of $86.2 million ($0.87 per share). For the six months ended February 29, 2016, segment profit has been adjusted to include amortization of disposed Pay TV programming assets of $15.6 million ($0.13 per share), while adjusted net income attributable to shareholders includes the preceding as well as excludes business acquisition, integration and restructuring charges of $8.4 million ($0.08 per share) and a gain on the disposal of the Pay TV disposal group of $86.2 million ($0.87 per share). For the three and six months ended February 28, 2015, adjusted net income attributable to shareholders excludes radio broadcast license and goodwill impairment charges of $130.0 million ($1.44 per share), business acquisition, integration and restructuring charges of $8.0 million ($0.07 per share), offset by a gain on distribution of investment of $17.0 million ($0.17 per share).

Consolidated Results from Operations

Consolidated revenues for the three months ended February 29, 2016 were $197.7 million, up 3% from $191.5 million last year.  Consolidated segment profit was $79.6 million, up 33% from $59.7 million last year, however, excludes amortization of disposed Pay TV program and film rights of $14.2 million.  Adjusting for this, segment profit would be $65.4 million, up 10% from last year.  Net income attributable to shareholders for the quarter was $102.2 million ($1.17 per share basic and diluted), as compared to a net loss of $86.8 million ($1.01 loss per share basic and diluted) last year.  Net income attributable to shareholders for the second quarter of fiscal 2016 includes business acquisition, integration and restructuring costs of $6.0 million ($0.06 per share), a gain on the disposal of the Pay Television disposal group of $86.2 million ($0.87 per share), and excludes amortization of Pay Television program and film rights of $14.2 million ($0.12 per share).  Adjusting for the impact of these items results in an adjusted net income attributable to shareholders of $20.9 million ($0.24 per share basic) in the quarter.  Net loss attributable to shareholders for the prior year quarter includes radio broadcast license and goodwill impairment charges of $130.0 million ($1.44 per share), business acquisition, integration and restructuring costs of $8.0 million ($0.07 per share), offset by a gain on disposition of investment of $17.0 million ($0.17 per share).  Removing the impact of these items results in an adjusted net income attributable to shareholders of $28.5 million ($0.33 per share) in the prior year quarter.

Consolidated revenues for the six months ended February 29, 2016 were $426.0 million, up 2% from $418.6 million last year.  Consolidated segment profit was $175.5 million, up 15% from $153.0 million last year, however, excludes amortization of disposed Pay TV program rights of $15.6 million.  Adjusting for this, segment profit would be $159.9 million, up 4% from last year.  Net income attributable to shareholders for the six months ended February 29, 2016 was $143.6 million ($1.64 per share basic and diluted), compared to a net loss of $34.9 million ($0.41 loss per share basic and diluted) last year. Net income attributable to shareholders for the six months ended February 29, 2016 includes business acquisition, integration and restructuring costs of $8.4 million ($0.08 per share), a gain on the disposal of the Pay Television disposal group of $86.2 million ($0.87 per share), and excludes amortization of Pay Television program and film rights of $15.6 million ($0.13 per share).  Adjusting for the impact of these items results in an adjusted net income attributable to shareholders of $63.4 million ($0.72 per share basic) for the current year-to-date.  Net loss attributable to shareholders for the six months ended February 28, 2015 includes Radio broadcast license and goodwill impairment charges of $130.0 million ($1.44 per share), business acquisition, integration and restructuring costs of $8.0 million ($0.07 per share), offset by a gain on disposition of investment of $17.0 million ($0.17 per share).  Removing the impact of these items results in an adjusted net income attributable to shareholders of $80.4 million ($0.93 per share) for the prior year-to-date.

For fiscal 2016, certain of Corus' Pay Television business ("Pay TV") assets and liabilities were reclassified as held for disposal effective November 19, 2015 as a consequence of meeting the definition of assets held for sale under International Financial Reporting Standard 5 – Non-current Assets Held for Sale and Discontinued Operations.  The Company's business activities are conducted through two operating segments, Television and Radio.  The disposal group, Pay TV, is not a separate operating segment, but it is included as part of the Television operating segment.  Accordingly, the disposal group, Pay TV, did not qualify for discontinued operations presentation, and as a result, its operating results remained in continuing operations in the consolidated statement of income and comprehensive income for the six months ended February 29, 2016.  On February 29, 2016, the Pay TV disposition was completed and the related proceeds associated with this disposal group were recognized.  Further discussion is provided in note 16 of the Company's interim consolidated financial statements for the period ended February 29, 2016. 

Operational Results - Highlights

Television

• Specialty advertising revenues decreased 8% in Q2 2016 and 7% for the year-to-date
• Subscriber revenues increased 5% in Q2 2016, and increased 3% for the year-to-date
• Merchandising, distribution and other revenues increased 40% in Q2 2016 and 37% for the year-to-date
• Segment profit⁽¹⁾ increased 36% in Q2 2016 and 18% for the year-to-date
• Adjusted segment profit⁽¹⁾⁽²⁾ increased 13% in Q2 2016 and 7% for the year-to-date
• Ceased Pay TV operations February 29, 2016

Radio

• Segment revenues decreased 6% in Q2 2016 and 4% for the year-to-date
• Segment profit⁽¹⁾ decreased 17% in Q2 2016 and 6% for the year-to-date
• Segment profit margin⁽¹⁾ of 15% in Q2 2016 and 23% for the year-to-date

Corporate

• Free cash flow⁽¹⁾ of $58.8 million for the year-to-date
• Completed acquisition of Shaw Media Inc. on April 1, 2016

^(1)	Segment profit, adjusted segment profit, segment profit margin and free cash flow do not have standardized meanings prescribed by IFRS. . The Company believes these non-IFRS measures are frequently used as key measures to evaluate performance. For definitions and explanations, see discussion under the Key Performance Indicators section of the 2016 Report to Shareholders.
^(2)	For the three and six months ended February 29, 2016, segment profit has been adjusted to include amortization of disposed Pay TV programming assets of $14.2 million and $15.6 million, respectively.

Corus Entertainment Inc. reports in Canadian dollars.

The unaudited consolidated financial statements and accompanying notes for the three and six months ended February 29, 2016 and Management's Discussion and Analysis are available on the Company's website at www.corusent.com in the Investor Relations section.

A conference call with Corus senior management is scheduled for April 13, 2016 at 2:00 p.m. ET.  While this call is directed at analysts and investors, members of the media are welcome to listen in. The dial-in number for the conference call for local and international callers is 1.416.981.9019 and for North America is 1.800.920.5564.  More information can be found on the Corus Entertainment website at www.corusent.com in the Investor Relations section.

Use of Non-IFRS Financial Measures

This press release includes the non-IFRS financial measures of adjusted segment profit, adjusted net income, adjusted basic earnings per share and free cash flow that are not in accordance with, nor an alternate to, International Financial Reporting Standards ("IFRS") and may be different from non-IFRS measures used by other companies.  In addition, these non-IFRS measures are not based on any comprehensive set of accounting rules or principles.

Non-IFRS financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with IFRS. They are limited in value because they exclude charges that have a material effect on the Company's reported results and, therefore, should not be relied upon as the sole financial measures to evaluate the Company's financial results. The non-IFRS financial measures are meant to supplement, and to be viewed in conjunction with, IFRS financial results.  A reconciliation of the Company's non-IFRS measures is included in the Company's most recent Report to Shareholders which is available on Corus' website at www.corusent.com as well as on SEDAR.

Caution Concerning Forward-Looking Statements

This press release contains forward-looking information and should be read subject to the following cautionary language:

To the extent any statements made in this report contain information that is not historical, these statements are forward-looking statements and may be forward-looking information within the meaning of applicable securities laws (collectively, "forward-looking statements"). These forward-looking statements relate to, among other things, our objectives, goals, strategies, intentions, plans, estimates and outlook, including advertising, distribution, merchandise and subscription revenues, operating costs and tariffs, taxes and fees, and can generally be identified by the use of the words such as "believe", "anticipate", "expect", "intend", "plan", "will", "may" and other similar expressions.  In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements.  Although Corus believes that the expectations reflected in such forward-looking statements are reasonable, such statements involve risks and uncertainties and undue reliance should not be placed on such statements.  Certain material factors or assumptions are applied in making forward-looking statements, including without limitation factors and assumptions regarding advertising, distribution, merchandise and subscription revenues, operating costs and tariffs, taxes and fees and actual results may differ materially from those expressed or implied in such statements.  Important factors that could cause actual results to differ materially from these expectations include, among other things: our ability to attract and retain advertising revenues; audience acceptance of our television programs and cable networks; our ability to recoup production costs, the availability of tax credits and the existence of co-production treaties; our ability to compete in any of the industries in which we do business; the opportunities (or lack thereof) that may be presented to and pursued by us; conditions in the entertainment, information and communications industries and technological developments therein; changes in laws or regulations or the interpretation or application of those laws and regulations; our ability to integrate and realize anticipated benefits from our acquisitions and to effectively manage our growth; our ability to successfully defend ourselves against litigation matters arising out of the ordinary course of business;  and changes in accounting standards. Additional information about these factors and about the material assumptions underlying such forward-looking statements may be found in our Annual Information Form.  Corus cautions that the foregoing list of important factors that may affect future results is not exhaustive.  When relying on our forward-looking statements to make decisions with respect to Corus, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Unless otherwise required by applicable securities laws, Corus disclaims any intention or obligation to publicly update or revise any forward-looking statements whether as a result of new information, events or circumstances that arise after the date thereof or otherwise.

About Corus Entertainment Inc.

Corus Entertainment Inc. (TSX: CJR.B) is a leading media and content company that creates and delivers high quality brands and content across platforms for audiences around the world. The company's portfolio of multimedia offerings encompasses 45 specialty television services, 39 radio stations, 15 conventional television stations, a global content business, digital assets, live events, children's book publishing, animation software, technology and media services. Corus' roster of premium brands include Global Television, W Network, OWN: Oprah Winfrey Network Canada, HGTV Canada, Food Network Canada, HISTORY®, Showcase, National Geographic, Q107, CKNW, Fresh Radio, Disney Channel Canada, YTV and Nickelodeon Canada. Visit Corus at www.corusent.com.

Follow Corus PR @CorusPR

CORUS ENTERTAINMENT INC.
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
	As at February 29,	As at August 31,
(unaudited - in thousands of Canadian dollars)	2016	2015
ASSETS
Current
Cash and cash equivalents	55,449	37,422
Cash held in escrow	280,346	—
Accounts receivable	218,140	164,600
Income taxes recoverable	—	12,439
Prepaid expenses and other	18,544	13,855
Total current assets	572,479	228,316
Tax credits receivable	25,121	25,958
Intangibles, investments and other assets	163,690	60,589
Property, plant and equipment	135,230	139,140
Program and film rights	442,717	315,899
Film investments	47,458	36,549
Broadcast licenses	906,590	956,984
Goodwill	775,687	827,859
Deferred tax assets	40,272	40,815
	3,109,244	2,632,109
LIABILITIES AND SHAREHOLDERS' EQUITY
Current
Accounts payable and accrued liabilities	241,501	210,971
Current portion of long-term debt	550,000	150,000
Income taxes payable	25,876	—
Provisions	5,983	8,930
Total current liabilities	823,360	369,901
Long-term debt	63,037	651,002
Other long-term liabilities	380,764	138,833
Liabilities for subscription receipts	280,346	—
Deferred tax liabilities	240,194	252,462
Total liabilities	1,787,701	1,412,198
SHAREHOLDERS' EQUITY
Share capital	1,004,312	994,571
Contributed surplus	9,927	9,471
Retained earnings	284,700	191,182
Accumulated other comprehensive income	8,014	7,353
Total equity attributable to shareholders	1,306,953	1,202,577
Equity attributable to non-controlling interest	14,590	17,334
Total shareholders' equity	1,321,543	1,219,911
	3,109,244	2,632,109

CORUS ENTERTAINMENT INC.
CONSOLIDATED STATEMENTS OF INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS)
		Three months ended		Six months ended
		February 29,	February 28,	February 29,	February 28,
(unaudited - in thousands of Canadian dollars except per share amounts)		2016	2015	2016	2015
Revenues		197,705	191,484	426,023	418,595
Direct cost of sales, general and administrative expenses		118,126	131,765	250,566	265,600
Depreciation and amortization		10,606	6,089	21,608	11,863
Interest expense		18,487	12,746	37,377	25,427
Broadcast license and goodwill impairment		—	130,000	—	130,000
Business acquisition, integration and restructuring costs		6,014	8,002	8,375	8,002
Gain on disposition		(86,151)	—	(86,151)	—
Other (income) expense, net		5,129	(15,902)	9,054	(14,096)
Income (loss) before income taxes		125,494	(81,216)	185,194	(8,201)
Income tax expense		22,360	4,643	39,237	24,476
Net income (loss) for the period		103,134	(85,859)	145,957	(32,677)
Net income (loss) attributable to:
Shareholders		102,232	(86,786)	143,552	(34,880)
Non-controlling interest		902	927	2,405	2,203
		103,134	(85,859)	145,957	(32,677)
Earnings (loss) per share attributable to shareholders:
	Basic	$ 1.17	$ (1.01)	$ 1.64	$ (0.41)
	Diluted	$ 1.17	$ (1.01)	$ 1.63	$ (0.41)
Net income (loss) for the period		103,134	(85,859)	145,957	(32,677)
Other comprehensive income (loss), net of tax
Items that may be reclassified subsequently to income:
	Unrealized foreign currency translation adjustment	167	2,437	466	3,667
	Unrealized change in fair value of available-for-sale investments	(8)	170	(124)	(140)
	Realized change in fair value of cash flow hedges	105	(416)	319	(454)
		264	2,191	661	3,073
Comprehensive income (loss) for the period		103,398	(83,668)	146,618	(29,604)
Comprehensive income (loss) attributable to:
	Shareholders	102,496	(84,595)	144,213	(31,807)
	Non-controlling interest	902	927	2,405	2,203
		103,398	(83,668)	146,618	(29,604)

CORUS ENTERTAINMENT INC.
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
(unaudited - in thousands of Canadian dollars)		Share capital	Contributed surplus	Retained earnings	Accumulated other comprehensive income	Total equity attributable to shareholders	Non- controlling interest	Total equity
At August 31, 2015		994,571	9,471	191,182	7,353	1,202,577	17,334	1,219,911
Comprehensive income		—	—	143,552	661	144,213	2,405	146,618
Dividends declared		—	—	(50,034)	—	(50,034)	(5,149)	(55,183)
Issuance of shares under dividend reinvestment plan		9,741	—	—	—	9,741	—	9,741
Share-based compensation expense		—	456	—	—	456	—	456
At February 29, 2016		1,004,312	9,927	284,700	8,014	1,306,953	14,590	1,321,543
At August 31, 2014		967,330	8,385	313,361	3,767	1,292,843	17,283	1,310,126
Comprehensive income (loss)		—	—	(34,880)	3,073	(31,807)	2,203	(29,604)
Dividends declared		—	—	(48,113)	—	(48,113)	(4,553)	(52,666)
Issuance of shares under stock option plan		5,781	(945)	—	—	4,836	—	4,836
Issuance of shares under dividend reinvestment plan		11,347	—	—	—	11,347	—	11,347
Share-based compensation expense		—	1,466	—	—	1,466	—	1,466
At February 28, 2015		984,458	8,906	230,368	6,840	1,230,572	14,933	1,245,505

CORUS ENTERTAINMENT INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
		Three months ended		Six months ended
		February 29,	February 28,	February 29,	February 28,
(unaudited - in thousands of Canadian dollars)		2016	2015	2016	2015
OPERATING ACTIVITIES
Net income (loss) for the period		103,134	(85,859)	145,957	(32,677)
Adjustments to reconcile net income (loss) to cash provided by operating activities:
	Depreciation and amortization	10,606	6,089	21,608	11,863
	Broadcast license and goodwill impairment	—	130,000	—	130,000
	Amortization of program and film rights	43,990	53,366	98,253	107,703
	Amortization of film investments	4,213	6,692	7,544	13,613
	Deferred income taxes	(13,845)	(3,864)	(11,907)	(1,017)
	Share-based compensation expense	189	937	456	1,466
	Imputed interest	10,780	3,481	21,231	6,977
	Gain on disposition of investment	—	(16,964)	(533)	(16,964)
	Gain on disposition	(86,151)	—	(86,151)	—
	Business acquisition costs paid	2,718	—	2,718	—
	Other	3,031	1,406	3,229	1,888
Net change in non-cash working capital balances related to operations		29,062	11,594	(763)	(14,855)
Payment of program and film rights		(67,385)	(46,064)	(112,514)	(96,481)
Net additions to film investments		(8,854)	(10,031)	(18,681)	(23,846)
Cash provided by operating activities		31,488	50,783	70,447	87,670
INVESTING ACTIVITIES
Additions to property, plant and equipment		(4,153)	(4,931)	(6,856)	(7,754)
Net proceeds from disposition		188,374	—	209,474	—
Business combinations		—	—	(2,476)	—
Business acquisition costs paid		(2,718)	—	(2,718)	—
Proceeds from disposition of investment		—	18,490	1,684	18,490
Net cash flows for intangibles, investments and other assets		(4,488)	(2,425)	(7,151)	(17,586)
Other		(1,952)	(4,737)	(4,280)	(5,248)
Cash provided by (used in) investing activities		175,063	6,397	187,677	(12,098)
FINANCING ACTIVITIES
Decrease in bank loans		(168,735)	(29,688)	(188,734)	(9,897)
Financing fees		(3,428)	(750)	(3,428)	(750)
Issuance of shares under stock option plan		—	3,417	—	4,836
Dividends paid		(18,818)	(17,982)	(40,116)	(35,901)
Dividends paid to non-controlling interest		(1,000)	(419)	(5,149)	(4,553)
Issue of subscription receipts		280,346	—	280,346	—
Other		(1,291)	(1,385)	(2,670)	(2,679)
Cash provided by (used in) financing activities		87,074	(46,807)	40,249	(48,944)
Net change in cash and cash equivalents
	during the period	293,625	10,373	298,373	26,628
Less: cash held in escrow		(280,346)	—	(280,346)	—
Cash and cash equivalents, beginning of the period		42,170	27,840	37,422	11,585
Cash and cash equivalents, end of the period		55,449	38,213	55,449	38,213

CORUS ENTERTAINMENT INC.
BUSINESS SEGMENT INFORMATION
(unaudited - in thousands of Canadian dollars)
Three months ended February 29, 2016
		Television	Radio	Corporate	Consolidated
Revenues		163,432	34,273	—	197,705
Direct cost of sales, general and administrative expenses		82,027	29,091	7,008	118,126
Segment profit (loss)^(1)		81,405	5,182	(7,008)	79,579
Depreciation and amortization					10,606
Interest expense					18,487
Business acquisition, integration and restructuring costs					6,014
Gain on disposition					(86,151)
Other expense, net					5,129
Income before income taxes					125,494
Three months ended February 28, 2015
		Television	Radio	Corporate	Consolidated
Revenues		155,175	36,309	—	191,484
Direct cost of sales, general and administrative expenses		95,475	30,082	6,208	131,765
Segment profit (loss)^(1)		59,700	6,227	(6,208)	59,719
Depreciation and amortization					6,089
Interest expense					12,746
Broadcast license and goodwill impairment					130,000
Business acquisition, integration and restructuring costs					8,002
Other income, net					(15,902)
Loss before income taxes					(81,216)
Six months ended February 29, 2016
		Television	Radio	Corporate	Consolidated
Revenues		347,150	78,873	—	426,023
Direct cost of sales, general and administrative expenses		177,710	60,888	11,968	250,566
Segment profit (loss)^(1)		169,440	17,985	(11,968)	175,457
Depreciation and amortization					21,608
Interest expense					37,377
Business acquisition, integration and restructuring costs					8,375
Gain on disposition					(86,151)
Other expense, net					9,054
Income before income taxes					185,194
Six months ended February 28, 2015
		Television	Radio	Corporate	Consolidated
Revenues		336,665	81,930	—	418,595
Direct cost of sales, general and administrative expenses		193,186	62,883	9,531	265,600
Segment profit (loss)^(1)		143,479	19,047	(9,531)	152,995
Depreciation and amortization					11,863
Interest expense					25,427
Broadcast license and goodwill impairment					130,000
Business acquisition, integration and restructuring costs					8,002
Other income, net					(14,096)
Loss before income taxes					(8,201)

^(1)					Segment profit does not have a standardized meaning prescribed by IFRS. For definitions and explanations, see discussion under the Key Performance Indicators section of the 2015 Report to Shareholders.

Revenues by type
	Three months ended		Six months ended
	February 29,	February 28,	February 29,	February 28,
	2016	2015	2016	2015
Advertising	75,039	81,309	190,380	202,275
Subscriber fees	89,645	85,245	176,599	170,659
Merchandising, distribution and other	33,021	24,930	59,044	45,661
	197,705	191,484	426,023	418,595

CORUS ENTERTAINMENT INC.
Non-IFRS Financial Measures
				Three months ended				Six months ended
				February 29,			February 28,	February 29,	February 28,
Adjusted segment profit				2016			2015	2016	2015
		Segment profit		79,579			59,719	175,457	152,995
		Adjustments:
			Amortization of disposed programming assets	(14,185)			—	(15,585)	—
		Adjusted segment profit		65,394			59,719	159,872	152,995
Adjusted net income attributable to shareholders
		Net income (loss) attributable to shareholders		102,232			(86,786)	143,552	(34,880)
		Adjustments, net of tax:
			Gain on disposal of Pay TV disposal group	(76,631)			—	(76,631)	—
			Amortization of disposed programming assets	(10,426)			—	(11,455)	—
			Impact of business acquisition, integration and restructuring charges	5,769			6,017	7,962	6,017
			Broadcast license and goodwill impairment charges	—			123,984	—	123,984
			Gain from disposition of investment	—			(14,716)	—	(14,716)
		Adjusted net income attributable to shareholders		20,944			28,499	63,428	80,405
Adjusted basic EPS				$0.24			$0.33	$0.72	$0.93
Free cash flow
	Cash provided by (used in):
	Operating activities				31,488	50,783		70,447	87,670
	Investing activities				175,063	6,397		187,677	(12,098)
					206,551	57,180		258,124	75,572
	Add back:  Cash used for business combinations and strategic investments ^(1)				6,107	2,062		10,171	17,052
			Net proceeds from disposition		(188,374)	—		(209,474)	—
	Free cash flow				24,284	59,242		58,821	92,624

^(1) Strategic investments are comprised of investments in venture funds and associated companies.

SOURCE Corus Entertainment Inc.

Doug Murphy, President and Chief Executive Officer, Corus Entertainment Inc., 416.479.6649; Tom Peddie, Executive Vice President and Chief Financial Officer, Corus Entertainment Inc., 416.479.6080; Sally Tindal, Vice President, Communications, Corus Entertainment Inc., 416.479.6107