EX-99.1 2 ex991.htm NEWS RELEASE DATED APRIL 10, 2008 ex991.htm
Exhibit 99.1
News release via Canada NewsWire, Toronto 416-863-9350

	    Attention Business/Financial Editors:
	    Corus Entertainment announces second quarter results

	    <<
	    -   Earnings per share of $0.42 for the second quarter, up 83% from prior
	        year
	    -   Combined Radio and Television revenues up 4% for second quarter
	    -   Combined Radio and Television segment profit up 6% for second quarter
	    -   Segment profit of $49.7 million, up 5% for the second quarter
	    >>

	    TORONTO, April 10 /CNW/ - Corus Entertainment Inc. (TSX: CJR.B; NYSE:
CJR) announced its second quarter financial results today, led by continued
revenue growth from its broadcasting businesses.
	    "The strength of the Corus brands was evident once again in the second
quarter" said John Cassaday, President and CEO of Corus Entertainment Inc.
"Our specialty television advertising revenue increased by 8% and our Radio
revenue increased by 4%. Our Content division is on track and profitable once
again in the quarter. Unfortunately, Quebec Radio remains stalled due to
continued soft markets, which we attribute to a general softness in the Quebec
economy and an unsettled television advertising market which we believe is
affecting radio demand."

	    Second Quarter Results
	    ----------------------

	    Consolidated revenues for the second quarter ended February 29, 2008 were
$178.7 million, up 2% from $174.7 million last year. Consolidated segment
profit was $49.7 million, up 5% from $47.3 million last year. Net income for
the quarter was $35.4 million ($0.42 basic and $0.41 diluted), compared to net
income of $19.5 million ($0.23 basic and $0.22 diluted) last year. The current
quarter benefited from $13.2 million in recoveries related to income tax
changes.
	    Corus Television contributed quarterly revenues of $104.6 million, up 4%
from $100.2 million last year, led by specialty advertising growth of 8% and
subscriber revenue growth of 1%. Quarterly segment profit increased to
$43.6 million, up 7% from $40.8 million last year.
	    Corus Radio revenues were $61.5 million, up 4% from $58.8 million last
year. Segment profit was $10.3 million, up 3% from $9.9 million last year.
	    Corus Content revenues were $13.2 million, down 24% from $17.3 million
last year. Segment profit was $0.4 million, compared to $2.1 million last
year.

	    Year-to-Date Results
	    --------------------

	    Consolidated revenues for the six months ended February 29, 2008 were
$393.6 million, up 3% from $383.9 million last year. Consolidated segment
profit was $133.1 million, up 5% from $127.2 million last year. Net income for
the six-month period was $74.8 million ($0.89 basic and $0.87 diluted), up 33%
compared to net income of $56.2 million ($0.67 basic and $0.65 diluted) last
year. The current period benefited from $13.2 million in recoveries related to
income tax rate changes.
	    Corus Television contributed revenues of $230.7 million, up 4% from
$222.8 million last year, led by specialty advertising growth of 4% and
subscriber revenue growth of 3%. Segment profit increased to $106.4 million,
up 5% from $101.3 million last year.
	    Corus Radio revenues were $141.0 million, up 5% from $134.4 million last
year. Segment profit was $35.8 million, up 6% from $33.6 million last year.
	    Corus Content revenues were $22.8 million, down 22% from $29.1 million
last year. Segment profit was $0.9 million, compared to $3.1 million last
year.
	    Corus began to purchase shares under its renewed Normal Course Issuer Bid
on February 19, 2008. Corus had reached its full allotment on its previous bid
in early December 2007 and had been out of the market since that time. In the
first six months of fiscal 2008, the Company purchased for cancellation
1,644,100 Class B Non-Voting Shares at an average price of $24.32 per share.
In March 2008, a further 298,900 Class B Non-Voting Shares were purchased and
cancelled.

	    Corus Entertainment Inc. reports in Canadian dollars.

	    About Corus Entertainment Inc.

	    Corus Entertainment Inc. is a Canadian-based media and entertainment
company. Corus is a market leader in specialty television and radio with
additional assets in pay television, advertising and digital audio services,
television broadcasting, children's book publishing and children's animation.
The company's multimedia entertainment brands include YTV, Treehouse, W
Network, Movie Central, Nelvana, Kids Can Press and radio stations including
CKNW, CKOI and Q107. Corus creates engaging branded entertainment experiences
for its audiences across multiple platforms. A publicly traded company, Corus
is listed on the Toronto (CJR.B) and New York (CJR) exchanges. Experience
Corus on the web at www.corusent.com.

	    The unaudited consolidated financial statements and accompanying notes
for the quarter ended February 29, 2008 and Management's Discussion and
Analysis are available on the Company's website at
http://www.corusent.com/corporate/investor_information/press_releases.asp.

	    A conference call with Corus senior management is scheduled for April 10,
2008 at 9 a.m. ET / 8 a.m. CT/7 a.m. MT/6 a.m. PT. While this call is directed
to analysts and investors, members of the media are welcome to listen in. The
dial-in number for the conference call is (866) 321-6651 (North America) or
(416) 642-5212 (international). PowerPoint slides for the call will be posted
at 8:45 a.m. ET on April 10, 2008 and can be found on the Corus Entertainment
website at: http://www.corusent.com/corporate/investor_information/index.asp.

	    This statement 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
related to, among other things, our objectives, goals, strategies, intentions,
plans, estimates and outlook, including advertising, program, 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, program, 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, we disclaim any intention or obligation to
publicly update or revise any forward-looking statements whether as a result
of new information, events or circumstances that arises after the date thereof
or otherwise.



	    <<
	                           CORUS ENTERTAINMENT INC.
	                         CONSOLIDATED BALANCE SHEETS

	                                                           As at       As at
	    (unaudited)                                      February 29,  August 31,
	    (in thousands of Canadian dollars)                      2008        2007
	    -------------------------------------------------------------------------
	    ASSETS
	    Current
	    Cash and cash equivalents                             32,382      33,347
	    Accounts receivable                                  157,559     151,380
	    Income taxes recoverable                                 972           -
	    Prepaid expenses and other                            10,328      10,921
	    Program and film rights                              127,654     125,068
	    Future tax asset                                      15,062      13,518
	    -------------------------------------------------------------------------
	    Total current assets                                 343,957     334,234
	    -------------------------------------------------------------------------

	    Tax credits receivable                                25,601      16,875
	    Investments and other assets                          18,769      17,492
	    Property, plant and equipment, net                    73,911      78,342
	    Program and film rights                              105,291      90,687
	    Film investments                                      69,161      66,593
	    Deferred charges                                           -       4,100
	    Broadcast licenses                                   533,876     532,812
	    Goodwill                                             795,817     795,832
	    -------------------------------------------------------------------------
	                                                       1,966,383   1,936,967
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------

	    LIABILITIES AND SHAREHOLDERS' EQUITY
	    Current
	    Accounts payable and accrued liabilities             164,058     166,083
	    Income taxes payable                                       -       1,474
	    -------------------------------------------------------------------------
	    Total current liabilities                            164,058     167,557
	    -------------------------------------------------------------------------

	    Long-term debt                                       626,649     610,697
	    Other long-term liabilities                           68,318      64,773
	    Future tax liability                                  96,472     102,851
	    -------------------------------------------------------------------------
	    Total liabilities                                    955,497     945,878
	    -------------------------------------------------------------------------

	    Non-controlling interest                              17,244      15,196

	    SHAREHOLDERS' EQUITY
	    Share capital                                        874,911     882,244
	    Contributed surplus                                   13,515      10,250
	    Retained earnings                                    123,252      95,568
	    Accumulated other comprehensive loss                 (18,036)    (12,169)
	    -------------------------------------------------------------------------
	    Total shareholders' equity                           993,642     975,893
	    -------------------------------------------------------------------------
	                                                       1,966,383   1,936,967
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------



	                          CORUS ENTERTAINMENT INC.
	                      CONSOLIDATED STATEMENTS OF INCOME

	    (unaudited)
	    (in thousands of             Three months ended       Six months ended
	     Canadian dollars           February    February    February    February
	     except per share amounts)  29, 2008    28, 2007    29, 2008    28, 2007
	    -------------------------------------------------------------------------
	    Revenues                     178,738     174,729     393,563     383,927
	    Direct cost of sales,
	     general and administrative
	     expenses                    129,005     127,409     260,440     256,690
	    Depreciation                   5,510       5,336      11,279      10,502
	    Amortization                       -         389           -         955
	    Interest expense              10,073       9,035      21,062      17,907
	    Other expense, net                38          41       3,925       6,563
	    -------------------------------------------------------------------------
	    Income before income taxes
	     and non-controlling
	     interest                     34,112      32,519      96,857      91,310
	    Income tax expense
	     (recovery)                   (2,547)     11,768      19,591      32,406
	    Non-controlling interest       1,291       1,208       2,511       2,692
	    -------------------------------------------------------------------------
	    Net income for the period     35,368      19,543      74,755      56,212
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------

	    Earnings per share
	      Basic                        $0.42       $0.23       $0.89       $0.67
	      Diluted                      $0.41       $0.22       $0.87       $0.65
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------


	               CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

	    (unaudited)                  Three months ended       Six months ended
	    (in thousands of            February    February    February    February
	     Canadian dollars)          29, 2008    28, 2007    29, 2008    28, 2007
	    -------------------------------------------------------------------------
	    Net income for the period     35,368      19,543      74,755      56,212
	    Other comprehensive income
	     (loss), net of tax
	      Unrealized foreign currency
	       translation adjustment       (295)        388      (1,267)      1,009
	      Unrealized change in fair
	       value of available-for-
	       sale investments                -           -         183           -
	      Unrealized change in
	       fair value of cash
	       flow hedges                (5,788)          -     (11,790)          -
	    -------------------------------------------------------------------------
	                                  (6,083)        388     (12,874)      1,009
	    -------------------------------------------------------------------------
	    Comprehensive income for
	     the period                   29,285      19,931      61,881      57,221
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------


	                          CORUS ENTERTAINMENT INC.
	          CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS EQUITY

	    (unaudited)                  Three months ended       Six months ended
	    (in thousands of            February    February    February    February
	     Canadian dollars)          29, 2008    28, 2007    29, 2008    28, 2007
	    -------------------------------------------------------------------------
	    Share capital
	    Balance, beginning of
	     period                      875,052     872,113     882,244     870,563
	    Issuance of shares under
	     Stock Option Plan             3,070      15,974       9,838      18,345
	    Shares repurchased            (3,441)       (500)    (17,401)     (1,321)
	    Repayment of executive
	     stock purchase loans            230         234         230         234
	    -------------------------------------------------------------------------
	    Balance, end of period       874,911     887,821     874,911     887,821
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------

	    Contributed surplus
	    Balance, beginning of period  11,534       7,573      10,250       6,878
	    Stock-based compensation       2,050       1,162       3,919       2,080
	    Exercise of stock options        (69)       (285)       (654)       (508)
	    -------------------------------------------------------------------------
	    Balance, end of period        13,515       8,450      13,515       8,450
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------

	    Retained earnings
	    Balance, beginning of period 104,578      78,451      95,568      51,585
	    Cumulative impact of
	     accounting changes                -           -      (1,594)          -
	    -------------------------------------------------------------------------
	    Adjusted opening balance     104,578      78,451      93,974      51,585
	    Net income for the period     35,368      19,543      74,755      56,212
	    Dividends                    (12,488)     (9,151)    (22,891)    (18,192)
	    Share repurchase excess       (4,206)       (514)    (22,586)     (1,276)
	    -------------------------------------------------------------------------
	    Balance, end of period       123,252      88,329     123,252      88,329
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------

	    Accumulated other
	     comprehensive loss
	    Balance, beginning of
	     period                      (11,953)    (10,907)    (12,169)    (11,528)
	    Cumulative impact of
	     accounting changes                -           -       7,007           -
	    -------------------------------------------------------------------------
	    Adjusted opening balance     (11,953)    (10,907)     (5,162)    (11,528)
	    Other comprehensive income
	     (loss), net of tax           (6,083)        388     (12,874)      1,009
	    -------------------------------------------------------------------------
	    Balance, end of period       (18,036)    (10,519)    (18,036)    (10,519)
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------


	                          CORUS ENTERTAINMENT INC.
	                    CONSOLIDATED STATEMENTS OF CASH FLOWS

	    (unaudited)                  Three months ended       Six months ended
	    (in thousands of            February    February    February    February
	     Canadian dollars)          29, 2008    28, 2007    29, 2008    28, 2007
	    -------------------------------------------------------------------------
	    OPERATING ACTIVITIES
	    Net income for the period     35,368      19,543      74,755      56,212
	    Add (deduct) non-cash items:
	      Depreciation                 5,510       5,336      11,279      10,502
	      Amortization of program
	       and film rights            35,910      33,963      71,987      66,164
	      Amortization of film
	       investments                 7,695      11,100      12,611      18,968
	      Other amortization               -         389           -         955
	      Future income taxes         (9,984)      5,329      (5,063)      8,047
	      Non-controlling interest     1,291       1,208       2,511       2,692
	      Stock-based compensation       804       4,132       3,688       6,051
	      Other                        1,736        (160)      4,274         570
	    Net change in non-cash
	     working capital balances
	     related to operations         8,772      (6,664)    (24,911)    (31,640)
	    Payment of program and
	     film rights                 (35,385)    (40,958)    (77,682)    (78,904)
	    Net additions to film
	     investments                 (11,734)    (15,116)    (29,478)    (29,502)
	    -------------------------------------------------------------------------
	    Cash provided by operating
	     activities                   39,983      18,102      43,971      30,115
	    -------------------------------------------------------------------------

	    INVESTING ACTIVITIES
	    Additions to property,
	     plant and equipment          (2,908)     (4,061)     (7,127)     (9,553)
	    Business combinations         (1,106)          -        (774)    (46,645)
	    Net change in other
	     investments and assets         (286)      1,341      (1,421)      1,395
	    Decrease in public benefits
	     associated with acquisitions    (49)     (1,345)     (1,945)     (2,603)
	    -------------------------------------------------------------------------
	    Cash used in investing
	     activities                   (4,349)     (4,065)    (11,267)    (57,406)
	    -------------------------------------------------------------------------

	    FINANCING ACTIVITIES
	    Increase (decrease) in
	     bank loans                      579     (24,696)     20,407      24,931
	    Issuance of shares under
	     Stock Option Plan             3,001      15,689       9,184      17,837
	    Shares repurchased            (7,647)     (1,014)    (39,987)     (2,597)
	    Dividends paid               (11,111)     (9,039)    (21,591)    (18,078)
	    Dividend paid to
	     non-controlling interest          -      (1,524)     (1,603)     (1,524)
	    Other                             79          (9)        (79)       (177)
	    -------------------------------------------------------------------------
	    Cash provided by (used in)
	     financing activities        (15,099)    (20,593)    (33,669)     20,392
	    -------------------------------------------------------------------------
	    Increase (decrease) in
	     cash and cash equivalents
	     during the period            20,535      (6,556)       (965)     (6,899)
	    Cash and cash equivalents,
	     beginning of period          11,847      43,293      33,347      43,636
	    -------------------------------------------------------------------------
	    Cash and cash equivalents,
	     end of period                32,382      36,737      32,382      36,737
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------


	                          CORUS ENTERTAINMENT INC.
	                        BUSINESS SEGMENT INFORMATION

	    Three months ended February 29, 2008

	                               Tele-                        Elimi-    Conso-
	                     Radio    vision   Content Corporate   nations   lidated
	    -------------------------------------------------------------------------
	    Revenues        61,478   104,574    13,218         -      (532)  178,738
	    Direct cost of
	     sales, general
	     and admini-
	     strative
	     expenses       51,192    60,994    12,773     4,793      (747)  129,005
	    -------------------------------------------------------------------------
	    Segment profit  10,286    43,580       445    (4,793)      215    49,733
	    Depreciation     1,754     2,624        14     1,118         -     5,510
	    Interest expense   270       812        49     8,942         -    10,073
	    Other expense,
	     net               (94)      213       284      (365)        -        38
	    -------------------------------------------------------------------------
	    Income before
	     income taxes
	     and non-
	     controlling
	     interest        8,356    39,931        98   (14,488)      215    34,112
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------

	    Three months ended February 28, 2007

	                               Tele-                        Elimi-    Conso-
	                     Radio    vision   Content Corporate   nations   lidated
	    -------------------------------------------------------------------------
	    Revenues        58,836   100,168    17,320         -    (1,595)  174,729
	    Direct cost of
	     sales, general
	     and admini-
	     strative
	     expenses       48,888    59,364    15,191     5,642    (1,676)  127,409
	    -------------------------------------------------------------------------
	    Segment profit   9,948    40,804     2,129    (5,642)       81    47,320
	    Depreciation     1,454     2,863        30       989         -     5,336
	    Amortization         -        89         -       300         -       389
	    Interest expense   242         -       176     8,617         -     9,035
	    Other expense,
	     net               316       (38)      465      (702)        -        41
	    -------------------------------------------------------------------------
	    Income before
	     income taxes
	     and non-
	     controlling
	     interest        7,936    37,890     1,458   (14,846)       81    32,519
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------


	    Six months ended February 29, 2008

	                               Tele-                        Elimi-    Conso-
	                     Radio    vision   Content Corporate   nations   lidated
	    -------------------------------------------------------------------------
	    Revenues       141,003   230,693    22,775         -      (908)  393,563
	    Direct cost of
	     sales, general
	     and admini-
	     strative
	     expenses      105,246   124,244    21,859    10,439    (1,348)  260,440
	    -------------------------------------------------------------------------
	    Segment profit  35,757   106,449       916   (10,439)      440   133,123
	    Depreciation     3,173     5,250        50     2,806         -    11,279
	    Interest expense   517     1,686       692    18,167         -    21,062
	    Other expense,
	     net              (128)    3,672     1,037      (656)        -     3,925
	    -------------------------------------------------------------------------
	    Income before
	     income taxes
	     and non-
	     controlling
	     interest       32,195    95,841      (863)  (30,756)      440    96,857
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------

	    Six months ended February 28, 2007

	                               Tele-                        Elimi-    Conso-
	                     Radio    vision   Content Corporate   nations   lidated
	    -------------------------------------------------------------------------
	    Revenues       134,427   222,809    29,066         -    (2,375)  383,927
	    Direct cost of
	     sales, general
	     and admini-
	     strative
	     expenses      100,830   121,523    25,930    11,040    (2,633)  256,690
	    -------------------------------------------------------------------------
	    Segment profit  33,597   101,286     3,136   (11,040)      258   127,237
	    Depreciation     2,823     5,673        55     1,951         -    10,502
	    Amortization         -       355         -       600         -       955
	    Interest expense   472        39       266    17,130         -    17,907
	    Other expense,
	     net               751     5,378     1,687    (1,253)        -     6,563
	    -------------------------------------------------------------------------
	    Income before
	     income taxes
	     and non-
	     controlling
	     interest       29,551    89,841     1,128   (29,468)      258    91,310
	    -------------------------------------------------------------------------
	    -------------------------------------------------------------------------
	    >>

	    %SEDAR: 00013131EF          %CIK: 0001100868

	    /For further information: John Cassaday, President and Chief Executive
Officer, Corus Entertainment Inc., (416) 642-3770; Tom Peddie, Senior Vice
President and Chief Financial Officer, Corus Entertainment Inc., (416)
642-3780; Tracy Ewing, Vice President, Communications, Corus Entertainment
Inc., (416) 642-3792/
	    (CJR.B. CJR)

CO:  News - Media; Corus Entertainment Inc.

CNW 07:00e 10-APR-08