2008 Economic Report On Film & TV Industry in Canada

Profil 2008 – Rapport économique sur la production cinématographique et télévisuelle au Canada
Profile 2008 – An Economic Report on the Canadian Film and Television Production Industry
An Economic Report on the Canadian Film
and Television Industry
Produced by the CFTPA and the APFTQ,

in conjunction with the Department of
Canadian Heritage.
Production facts and figures prepared

by Nordicity Group Ltd.
1
An Economic Report on the Canadian Film and Television Production Industry
Profile 2008 is published by the Canadian

Film and Television Production Association.
Ottawa
The report is the result of a collaboration 151 Slater Street, Suite 902
Ottawa, ON K1P 5H3
between the CFTPA, l’Association des
producteurs de films et de télévision du Québec, Tel: 800-656-7440 (Canada only)/
613-233-1444
and the Department of Canadian Heritage. Fax: 613-233-0073
Email: ottawa@cftpa.ca
www.cftpa.ca
Toronto
At the CFTPA: At the APFTQ: 160 John Street, 5th Floor
Toronto, ON M5V 2E5
Guy Mayson Claire Samson
President and CEO President and CEO Tel: 800-267-8208 (Canada only)/
416-304-0280
Fax: 416-304-0499
Susanne Vaas Céline Pelletier
Email: toronto@cftpa.ca
Vice-president, Business Affairs Director of Communications
Vancouver
736 Granville Street, Suite 600
Vancouver, BC V6Z 1G3
Tel: 866-390-7639 (Canada only)/

At the Department of Canadian Heritage: 604-682-8619
Fax: 604-684-9294
Lynn Foran Lisanne Legros
Email: vancouver@cftpa.ca
Manager, Research Analyst,
Film and Video Policy Film and Video Policy
and Programs and Programs
Nordicity Group Ltd.
Peter Lyman, Senior Partner

Dustin Chodorowicz, Director 1450 City Councillors, Suite 1030
Terry Wills, Manager Montréal, QC H3A 2E6
Nordicity Group Ltd. (www.nordicity.com) is the pre-eminent Canadian Tel: 514-397-8600

consulting firm providing business strategy and policy analysis to Fax: 514-392-0232
the media/entertainment, culture/content and telecommunications Email: info@apftq.qc.ca
www.apftq.qc.ca
sectors. Nordicity consultants provide clients with strategic planning,
business case analysis, market assessment and forecasting, economic
analysis, financial modelling, evaluation frameworks, and other tools
for strategic and operational decision making.
The Department of Canadian Heritage contributed to the

funding of this report. Its content represents the opinions of 15 Eddy Street
the authors and does not necessarily represent the policies or
Gatineau, QC K1A 0M5
the views of the Department of Canadian Heritage or of the
Tel: 866-811-0055/ 819-997-0055
Government of Canada.
TTY/TDD: 819-997-3123
www.canadianheritage.gc.ca
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Contents
1 Introduction 13
2 National Indicators 14
2.1 Volume of Production 15
2.2 GDP 17
2.3 Employment 17
2.4 Export Value 18
2.5 Production by Province 18
3 Canadian Production 20
3.1 Total Canadian Production 21
3.1.1 Volume 21
3.1.2 Employment 22
3.1.3 Language 23
3.1.4 Genres 23
3.1.5 Production by Province 32
3.1.6 Financing 32
3.1.7 Treaty Co-production 33
3.2 Television Production 35
3.2.1 Volume 36
3.2.2 Employment 37
3.2.3 Types 37
3.2.4 Genres 38
3.2.5 Trends in Budgets 40
3.2.6 Language 41
3.2.7 Content Points 44
3.2.9 Financing 45
3.2.10 Broadcaster Spending 49
3.2.11 Canadian Television Fund 51
3.2.12 Treaty Co-Production 54
3.2.13 Audiences 56
3.3 Theatrical Production 58
3.3.1 Volume 58
3.3.2 Employment 60
3.3.3 Language 60
3.3.4 Genres 61
3.3.5 Trends in Budgets 62
3.3.7 Financing 64
3.3.8 Canada Feature Film Fund 65
3.3.9 Treaty Co-Production 67
3.3.10 National Box Office Trends 68
3.3.11 Box Office Trends of Canadian Films, by Linguistic Market 69
3.3.12 Top Films, by Language of Presentation 71
4 Foreign Location Production 72

4.1 Volume 73
4.2 Employment 74
4.4 Types 76
5 Broadcaster In-House Production 78

5.1 Volume 79
5.2 Segments 79
5.3 Employment 80
Key Statistics on the Canadian Film and Television Market 82
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Exhibits
Section 2
Exhibit 2 - 1 Total volume of film and television production in Canada 16

Exhibit 2 - 2 Total volume of film and television production in Canada, share by segment, 2006/07 16
Exhibit 2 - 3 Average annual real GDP growth by industry, 1998 to 2006 17
Exhibit 2 - 4 Number of full-time equivalent jobs (FTEs) in film and television production in Canada 17
Exhibit 2 - 5 Export value of film and television production in Canada 18
Exhibit 2 - 6 Volume of film and television production in Canada, by province 19
Exhibit 2 - 7 Share of total volume of production in Canada, by province, 2006/07 19
Exhibit 2 - 8 Total direct and indirect full-time equivalent jobs (FTEs) generated by film and
television production in Canada, by province 19
Section 3
Exhibit 3 - 1 Total volume of Canadian production 22

Exhibit 3 - 2 Number of full-time equivalent jobs (FTEs) in Canadian production 22
Exhibit 3 - 3 Volume of Canadian production, by language 23
Exhibit 3 - 4 Total volume of fiction production 24
Exhibit 3 - 5 Volume of fiction production, by language, 2006/07 24
Exhibit 3 - 6 Number and share of fiction projects, by type, 2006/07 24
Exhibit 3 - 7 Total volume of children’s and youth production 25
Exhibit 3 - 8 Volume of children’s and youth production, by language, 2006/07 26
Exhibit 3 - 9 Volume of children’s and youth production, by language and format 26
Exhibit 3 - 10 Number and share of children’s and youth projects, by type, 2006/07 26
Exhibit 3 - 11 Total volume of Canadian animation production 27
Exhibit 3 - 12 Total number of hours of Canadian animation production 27
Exhibit 3 - 13 Total volume of documentary production 28
Exhibit 3 - 14 Volume of documentary production, by language, 2006/07 29
Exhibit 3 - 15 Number and share of documentary projects, by type, 2006/07 29
Exhibit 3 - 16 Total volume of variety and performing arts production 30
Exhibit 3 - 17 Volume of variety and performing arts production, by language, 2006/07 31
Exhibit 3 - 18 Number and share of variety and performing arts projects, by type, 2006/07 31
Exhibit 3 - 19 Volume of Canadian production, by province 32
Exhibit 3 - 20 Sources of financing for Canadian production, 2006/07 33
Exhibit 3 - 21 Total volume of treaty co-production with Canada 34
Exhibit 3 - 22 Total volume of bipartite treaty co-production with Canada, by partner country, 2006 34
Exhibit 3 - 23 Total volume of multipartite treaty co-production with Canada, by partner country, 2006 34
Exhibit 3 - 24 Total volume of Canadian television production 36
Exhibit 3 - 25 Total hours of Canadian television production 36
Exhibit 3 - 26 Number of full-time equivalent jobs (FTEs) in Canadian television production 37
Exhibit 3 - 27 Volume of television production, by type 38
Exhibit 3 - 28 Number of television projects, by type 38
Exhibit 3 - 29 Volume of television production, by genre 39
Exhibit 3 - 30 Total volume of Canadian television production, by genre, share of total volume, 2006/07 39
Exhibit 3 - 31 Number of hours of television production, by genre 39
Exhibit 3 - 32 Trends in budgets of English-language Canadian television production 40
Exhibit 3 - 33 Trends in budgets of French-language Canadian television production 41
Exhibit 3 - 34 Volume of Canadian television production, by language 42
Exhibit 3 - 35 Volume of Canadian television production, by language, 2006/07 share 42
Exhibit 3 - 36 Volume of Canadian television production, by genre and language 43
Exhibit 3 - 37 Animation, volume of Canadian television production, by language 43
Exhibit 3 - 38 Television production, by Canadian content points (excludes international
treaty co-production) 44
Exhibit 3 - 39 Volume of Canadian television production, by province 45
Exhibit 3 - 40 Financing of Canadian television production 46
Exhibit 3 - 41 Financing of Canadian television production, by genre, 2006/07 47
Exhibit 3 - 42 Financing of English-language Canadian television production 47
Exhibit 3 - 43 Financing of French-language Canadian television production 48
Exhibit 3 - 44 Average licence fees paid by Canadian broadcasters for Canadian television
programming, 2006/07 48
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Exhibit 3 - 45 Expenditures on Canadian independent production by private Canadian broadcasters 49

Exhibit 3 - 46 Expenditures by private Canadian broadcasters on broadcaster-affiliated production 50
Exhibit 3 - 47 Total revenue of private Canadian broadcasters 50
Exhibit 3 - 48 Total profit before interest and taxes (PBIT) of private Canadian broadcasters 51
Exhibit 3 - 49 Total Canadian television production with CTF contributions 52
Exhibit 3 - 50 Number of full-time equivalent jobs (FTEs) generated by CTF-supported production 53
Exhibit 3 - 51 CTF-supported hours of television production, by genre 53
Exhibit 3 - 52 CTF contributions to television production, by genre 53
Exhibit 3 - 53 Treaty co-production with Canada in the television sector 54
Exhibit 3 - 54 Treaty co-production with Canada in the television sector, by partner country, 2006 and 2007 55
Exhibit 3 - 55 Volume of international treaty co-production for the television market, by genre 55
Exhibit 3 - 56 Television audience share to Canadian programming, English-language market,
September 2005 to May 2006 56
Exhibit 3 - 57 Television audience share to Canadian programming, French-language market,
September 2005 to May 2006 56
Exhibit 3 - 58 Top ten television series in Canada, September 2006 to May 2007 57
Exhibit 3 - 59 Top ten Canadian television series in the French-language market, September 2006
to May 2007 57
Exhibit 3 - 60 Top ten Canadian television series in the English-language market, September 2006
to May 2007 57
Exhibit 3 - 61 Total volume of Canadian theatrical production 59
Exhibit 3 - 62 Number of Canadian theatrical films produced in Canada on an annual basis 59
Exhibit 3 - 63 Number of full-time equivalent jobs (FTEs) in Canadian theatrical production 60
Exhibit 3 - 64 Volume of Canadian theatrical production, by language 61
Exhibit 3 - 65 Number of theatrical films, by language 61
Exhibit 3 - 66 Volume of Canadian theatrical production, by genre 62
Exhibit 3 - 67 Number of Canadian theatrical films, by genre 62
Exhibit 3 - 68 Trends in budgets of theatrical feature films (fiction genre only) 63
Exhibit 3 - 69 Annual shares of theatrical feature film projects, by budget size 63
Exhibit 3 - 70 Volume of Canadian theatrical production, by province 64
Exhibit 3 - 71 Financing of Canadian theatrical production 65
Exhibit 3 - 72 Total Canadian feature film production activity with CFFF contributions 66
Exhibit 3 - 73 Number of Canadian theatrical-release feature films that received financial support
from the CFFF 66
Exhibit 3 - 74 Treaty co-production with Canada in the theatrical sector 67
Exhibit 3 - 75 Treaty co-production with Canada in the theatrical sector, by partner country, 2006 and 2007 67
Exhibit 3 - 76 Canadian box office revenues, by origin of production 68
Exhibit 3 - 77 Share of Canadian box office revenues, by origin of production 69
Exhibit 3 - 78 Number of films playing in Canadian theatres, by origin of production 69
Exhibit 3 - 79 Canadian box office and market share, by linguistic market 70
Exhibit 3 - 80 Top ten films presented in the English-language market, 2007 71
Exhibit 3 - 81 Top ten films presented in the French-language market, 2007 71
Exhibit 3 - 82 Top ten Canadian-produced films presented in the English-language market, 2007 71
Exhibit 3 - 83 Top ten Canadian-produced films presented in the French-language market, 2007 71
Section 4
Exhibit 4 - 1 Total volume of foreign location production 73

Exhibit 4 - 2 Number of full-time equivalent jobs (FTEs) in foreign location production 74
Exhibit 4 - 3 Volume of foreign location production, by province 75
Exhibit 4 - 4 Share of total volume of foreign location production, by province, 2006/07 75
Exhibit 4 - 5 Total volume of foreign location production, by type of production 76
Exhibit 4 - 6 Annual number of foreign location projects, by province 77
Section 5
Exhibit 5 - 1 Total volume of broadcaster in-house production 79

Exhibit 5 - 2 Broadcaster in-house production, by segment 80
Exhibit 5 - 3 Number of full-time equivalent jobs (FTEs) in broadcaster in-house production 80
Exhibit 5 - 4 Broadcaster in-house production, by province 81
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A Year of Great Transition

Canada’s production industry faced a series of economic
challenges in 2007 – a sharply rising Canadian dollar,
threats to the financing of the Canadian Television Fund
(CTF), and corporate consolidation in the broadcasting
industry. New platforms continued to erode the traditional
base of production, but were not yet mature enough to offset
the traditional market losses with much in the way of new
sources of revenues. However, the industry proved quite
resilient in a year of great transition, and adapted well to
many of these challenges.
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The threats winning interactive platform for ReGenesis are but

a few examples of such creative excellence.
Available funding for domestic production came
under threat, with Shaw Communications Inc. and In 2008, the production industry seeks to secure
Vidéotron ltée’s attempt to withdraw from the a sound foundation from which to grow, prosper
CTF. The market saw a reduction in the number of and innovate across borders and platforms. It
domestic buyers for Canadian programming, as the will continue to need a strong collaborative effort
Canadian Radio-television and Telecommunications among all segments and government. Strong and
Commission (CRTC) approved the acquisitions of stable CTF and Canada Feature Film Fund (CFFF)
Alliance Atlantis Communications Inc. and CHUM funding are imperative; measures to encourage
Limited. At the time of writing, the future of the production-company financing that drives slate
French-language private conventional broadcaster development and cross-platform innovation are
TQS was in jeopardy. And the competitiveness of also vital. The financing secured through enhanced
Canada’s foreign location production (FLP) industry domestic and foreign tax credits, and federal and
remained under threat in 2007, as it continued to provincial programs – including the CTF – coupled
grapple with a rising Canadian dollar. with the chance to work with broadcasters from
development to broadcast exhibition, affords
And while all of these developments unravelled producers the opportunity to complete the best
in our domestic market, technological change – product possible.
as well as consumer and business adaptation to
such change – continued apace the world over. The CRTC needs to maintain much of the
Peer-to-peer technology providers, such as Joost, regulation for broadcasting distribution undertakings
accelerated the potential for broadband to become (BDUs) that has been in place for decades and
a more efficient means of distributing content. has allowed Canadian BDUs and broadcasters
Consumers found themselves paying more and to reap financial rewards, while giving Canadians
more attention to the Internet, mobile phones, access to Canadian television programming. At
and video-game consoles. Advertising dollars the same time, the CRTC should not shy away
followed many of the new communities established from developing innovative approaches for the
by online properties – thus sapping growth for regulation of new platforms that allow this growing
traditional media, and television in particular. segment to also contribute to the goals of Canada’s
broadcasting policy. Regulatory decisions that
secure access to distribution, and reaffirm foreign
A collaborative response investment limits and Canadian ownership rules will
enable the production industry to focus on what it
The crisis over CTF funding was averted…..for knows how to do best – creating award-winning,
the time being at least. The debate is not over, world-recognized, and commercially successful
however, just delayed. The impact of broadcaster content.
consolidation may be attenuated by the benefits
packages put forward by the acquiring broadcasting
groups. Some provincial governments responded Canadian television – improved
to the rise in the Canadian dollar by increasing their success for Canadian productions in
tax credits. The diversion of advertising revenue international markets
away from broadcasters remained a trickle rather
than cascading into a torrent. While platforms are indeed multiplying and younger
age groups are spending less time exclusively in
Despite this tremendous potential disruption, front of the television, linear television remains
Canada’s production industry has continued to the primary source of high-budget, mass-media
shine with great creative successes. Internationally audiovisual content – the type of content that
recognized Little Mosque on the Prairie, Les hauts spawns webisodes and mobisodes for other
et les bas de Sophie Paquin, and Emmy-award digital platforms.
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There were some very promising trends in Canadian theatrical production –

Canadian television production in 2006/07. The increasing reliance on public funding
statistics in Profile 2008 point to a rise of 15% in
the volume of Canadian television production in Six years into Script to Screen, the Canadian
2006/07. What is more, the increase was fairly Feature Film Policy’s “in-cinema” results are mixed.
broad-based: the three major genres – fiction,
children’s and youth, and documentary – all Although higher than before the Policy, Canadian
experienced strong increases. It is important to theatrical production was down by 14% in 2006/07
recognize that the increases in 2006/07 came over the previous year – even though the level of
after eight years of relative stagnation in Canadian CFFF production rose, there was less third-party
television production. financing. These results highlight two concerns:
first, less and less Canadian theatrical production
Profile 2008’s statistics also point to a small is actually taking place outside of the CFFF. And
recovery in the export value of Canadian television second, production that is taking place inside the
CFFF is drawing less and less external financing
production. It was 7% higher compared to
– thereby reducing the leverage of the CFFF
2005/06, and reversed seven years of annual
investment.
declines. As our market is a small one, the long-
term health of the Canadian production industry
In 2006, Bon Cop Bad Cop and Trailer Park Boys:
depends increasingly on the international success
The Movie gave the industry reason to be hopeful
of Canadian programs – whether they are original
that Canadian films – particularly in the English-
or formats. The success of both our drama and
language market – could achieve some box-
children’s and youth programs abroad demonstrates office momentum. David Cronenberg’s Eastern
that it is possible for highly Canadian content to Promises and Sarah Polley’s Away from Her were
resonate with markets abroad – and reap the the bright spots for Canada’s English-language
financial benefits of such resonance. In drama, cinema in 2007. However, neither of these films
certain programs have seen success in the U.S. – both recipients of wide international acclaim –
and abroad: ReGenesis airs in over 100 international represented the type of audience blockbuster
countries,1 and is in syndication in 75% of U.S. required to move the box-office-share needle in
markets.2 Da Vinci’s Inquest, Degrassi: The Next any significant way: Canadian films garnered
Generation, and Cold Squad are also in syndication almost 1% of the English-language box office in
in the U.S.3 Minuit, le soir garnered four awards 2007, consistent with historic levels, but not a
at the Rencontres Internationales de Télévision de breakthrough year for English-language producers.
Reims in 2007, while France 2 purchased the first
two seasons of Les hauts et les bas de Sophie Canada’s French-language films’ box office
Paquin in late 2007.4 essentially moved sideways in 2007. The strong
box office runs for Les 3 p’tits cochons, Nitro, and
In children’s and youth television programming, À vos marques… Party! kept Canadian films’ share
Canadian animation and live-action productions of the market at just over 16%.
have become staples on children’s broadcasters
The talent of Quebec’s filmmaking community is
throughout the world. Life with Derek airs in
now well-established. There is no shortage of
100 countries;5 Atomic Betty can be seen in
quality scripts; however, the financing available to
125 countries;6 young viewers in more than 90
turn these scripts into successful films is in short
countries can enjoy Naturally, Sadie.7
supply. SODEC, like most of the provincial funding
agencies, is limited in the resources it can put
But before any of these television programs
towards jumpstarting Quebec film production. The
could see success internationally, they needed
box-office performance of Canadian films in both
to be supported and promoted by the domestic language markets demonstrates that $100 million
market. Successful domestic exposure and is not going to be enough to yield the output and
promotion provides the boost needed for securing quality of Canadian films needed to achieve any
international sales. sustained domestic box office share. Industry and
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Government need to look at ways of encouraging Treaty co-production – in urgent need

private investments in the production sector and of a new policy
more international financing.
Treaty co-production was at one time a prominent
With Script to Screen’s attention to Canadian piece of the Canadian production industry.
dramatic cinema, Telefilm Canada should not Canada’s co-production policies and treaties must
lose sight of the future of the Canadian theatrical keep pace with the changing global production
documentary. In 2007, Telefilm Canada, along industry and the rules of national treatment in
with its partners, Rogers Group of Funds and partner countries. While the level of Canada’s
the National Film Board, extended the feature- treaty co-production activity was up in 2007, it was
documentary pilot program by one year, offering still about half the level reached in 2000.
just under $1.9 million for the production and
post-production of English- and French-language The international success of treaty projects such as
productions. The documentary genre, however, Eastern Promises and The Tudors is a testament to
deserves a long-term feature film fund, still the importance of treaty co-production for Canadian
separate from the CFFF. producers: co-production represents one of the
best avenues for Canadian producers to create and
Many feature-length documentaries are best finance films and television programs that attract
enjoyed in theatres; today, however, many Canadian global audiences. The Canadian market is often
documentary films must forego theatrical releases just too small to singularly finance independent
and rely on television financing and windows. In feature films or high-impact television dramas.
recent years, Canadians have produced such
outstanding national and international successes The slow recovery in Canada’s treaty co-
as The Corporation, Les Voleurs d’enfance and production sector underlines the urgent need
Manufactured Landscapes. A stand-alone, long- for the federal government to implement a new
term fund would go a long way towards furthering treaty co-production policy. Any policy must be
Canada’s long tradition of cinematic leadership in flexible enough for Canadian producers to attract
the feature-documentary genre and permit the films international financing, without diminishing the
to secure a theatrical release that will generate contributions from Canadians to the key creative
interest in subsequent windows. roles. Indeed, a comprehensive film, television
and interactive media co-production policy may be
required to address the specific circumstances of
Foreign location – remaining this market. Such a policy, coupled with enhanced
domestic tax credits that would help balance any
competitive even as the dollar climbs
increases to the FLP credits, would help raise
co-production levels while allowing Canadian
The statistics in Profile 2008 show a general
producers to retain and exploit the rights in their
decrease in Canada’s competitiveness in the FLP
projects.
market: volume was down by 14% in 2006/07.
While Quebec posted a small recovery, British
Columbia and Ontario witnessed steep declines.
At the time of writing, governments in Nova Scotia,
Developments in 360 content and
new-platform distribution
Ontario, Quebec and British Columbia had already
responded by raising their FLP tax credit rates;
Canadian producers continued to be at the
other provinces will likely have to follow suit.
leading edge of innovations in 360-degree-content
strategies that combine linear content with an
Some form of high-dollar offset is an appropriate
array of interactive content over broadband and
policy response. FLP represents a source of
mobile platforms. Canadian producers, Shaftesbury
knowledge and technical transfer for domestic
Films and Xenophile Media, together, collected
producers; these transfers help improve producers’
an International Interactive Emmy Award in
own abilities and international competitiveness.
Cannes last April for the interactive applications
accompanying ReGenesis.8 The ReGenesis’ team
P rof i l e 2 0 0 8 9
shared their Emmy with another Canadian producer, “killer app” on the Internet – just as e-mail was
Zinc Roe Design, for its interactive children’s a decade ago. Indeed, Canadians proved to be
program, Zimmer Twins. The online animation some of the most avid users of Facebook and
shorts comprising Les têtes à claques turned into social networking sites. Solutions Research
a runaway success in Quebec in 2007. By the end Group reports that nearly eight million Canadians
of the year, this web-based compilation of puppet- use social networking sites – more than any
animation shorts was a hit in France, pulling in over other country except the United States.11 Social
200,000 visitors per day to the web site; it was also networking sites may prove to be more than just
one of the top-selling DVDs in Canada.9 “stay-in-touch” tools; they may become important
portals for distributing television content, as well.
More success stories like these are going to
become vital to the continued health of the At this juncture in the development of Internet TV,
Canadian production community and its ability we see a diversity of business models out there.
to engage Canadian and international audiences. Some are based entirely on advertising revenues
During the past twelve months, the distribution and so are very similar to conventional television.
of television-style content over the Internet took, Other Internet TV services – such as iTunes – are
arguably, a great leap forward. Up until recently, gravitating to on-demand models. Regardless of
Internet TV had been plagued by deficiencies in which revenue models persist, one can expect
download speed and picture quality. Last year, advertising dollars to migrate to Internet TV as
however, the same peer-to-peer gurus who brought audiences migrate. And while the migration will
us Kazaa and Skype entered into the Internet-TV probably not be a deluge of any sort, such a future
fray with the launch of Joost. scenario obviously has policy implications for the
Canadian broadcasting system that relies to a great
Joost applies peer-to-peer technology to the legal extent on advertising revenues to further the goals
distribution of TV content over the Internet, and… of Canada’s broadcasting policy.
it earns revenues from advertising sales. Joost is
far from the only online player in Internet television;
there are countless other sites popping up daily Investing in new content
to offer television-style content. Some content
is exclusive to the Internet; but much of what To successfully incorporate new platforms
is available is comprised of pieces or complete into Canadian broadcasting and cultural policy,
episodes of licensed television content. government and stakeholders must take a number
of steps. First and foremost is a renewed
Apple’s iTunes Store has also taken-up TV content. investment in Canadian content production. As
Territory by territory, Apple’s iTunes Stores are Canadian audiovisual content competes more
starting to add downloadable television content to directly with international fare through new
their libraries. CBC/Radio-Canada and CTV have platforms, it will have to be of higher quality. Given
now joined iTunes.ca’s family of content providers. this, industry stakeholders should be looking at
For around $1.99 per episode, Canadians can now enhancing the CTF rather than reducing or even
download their favourite episodes of Little Mosque eliminating it. The CTF is an effective tool for
on the Prairie or Corner Gas – presumably after supporting Canadian audiovisual production and
they air on conventional television. Canadians many of the television programs that it supports are
cannot – as of yet – download simulcast American successful in Canada and elsewhere.
network programs that dominate the prime-
time schedules of Canada’s English-language The need for additional monies for high-quality
conventional broadcasters10 – further evidence that Canadian content suggest that it may be time for
borders do exist in cyberspace. the CRTC to restore the CTF contributions to 5%
of eligible BDU revenues. The original design of
A review of developments in new-platform the CTF was based on the 5%; BDUs should no
distribution in 2007 would not be complete without longer erode this amount through other initiatives.
a mention of Facebook. Facebook demonstrated The CRTC should also look closely at ways in
that the social-networking site could be another which Internet service providers (ISPs) may begin
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to contribute to the CTF or a similar fund. As In the United Kingdom (U.K.), a mandatory Terms
Canadians increasingly turn to the Internet for of Trade regime has introduced transparency and
broadcasting content, ISPs stand to benefit from fairness into the production sector. As a result,
the monthly rental of more and more bandwidth. the U.K. has witnessed improved financial health
and rapid capitalization in its production sector,
The CTF itself – and other support measures – will which is now in a better position to fulfil the U.K.
have to be flexible enough to support the new government’s public policy goals.12 Not surprisingly
financing and business models that come with the producers and broadcasters in the U.K. are
new-platform content. New guidelines and policies moving very aggressively into new-platform
for the CTF are likely going to be required for the production and distribution.
multi-platform world. The policies will have to
recognize that Internet or mobile releases may Canadian Terms of Trade agreements should also
precede television distribution in some cases.
provide a fair and transparent framework within
which producers and broadcasters can negotiate
Renewed content investment also requires the
licensing agreements. It should establish clear
involvement of the public broadcaster. CBC/Radio-
minimums for the television broadcasters’ licensing
Canada’s resources must be restored to a level
fees for Canadian programming. It should also
at which it can operate with limited commercial
recognize that online, mobile and on-demand
influence.
windows are distinct from scheduled broadcast
windows, and offer broadcasters the potential for
incremental revenue. Terms of Trade should also
Multi-platform rights: new business
models provide an effective mechanism for grievance
arbitration and dispute resolution for both parties,
Multi-platform business models are built around monitored by – and accountable to – the CRTC.
rights – distribution, exhibition, advertising
placement, and so on. A good rights environment Without some type of Terms of Trade agreements,
begins with appropriate and effective copyright there is a grave risk that producers will be
legislation – legislation that protects producers’ compelled by the licensing marketplace to steal
right to earn economic benefits from their works. from Peter to pay Paul. The creation of webisodes
The enactment of reforms to Canada’s Copyright and mobisodes cost money to produce – money
Act should be a priority for the federal government; that could go into the production of the core
the new provisions should bring Canada’s copyright property – the property that really drives audiences.
regime in line with international treaties and provide Without some framework for allowing producers
much-needed property protections against piracy. to seek remuneration for these ancillary properties,
production companies simply will not have the
The Canadian Film and Television Production resources to develop and produce quality content.
Association has been quite clear about the need
for mandatory Terms of Trade between Canadian
broadcasters and producers. To date, the CRTC Building healthy production
has only made Terms of Trade an “expectation” of companies
Canadian broadcasters.
Building healthy production companies is going
The corporate consolidation within Canada’s private to require a combination of policy and regulatory
broadcasting sector in 2007 has only further
initiatives. There needs to be improved financial
tilted the economic leverage within the sector
support for Canadian production – traditional and
towards broadcasters: the control of domestic
new platform – through the expansion of federal
outlets and revenues is more concentrated than
and provincial support programs. Tax credit
Canadian audiences and producers ever envisioned.
programs need to be adjusted to ensure their
Mandatory Terms of Trade is a step towards
corporate development objectives are reinforced.
mitigating the potential strengthening of buyer
This expansion could include drawing in even more
power in the content-licensing market.
P rof i l e 2 0 0 8 11
financing to Canadian audiovisual production and The Canadian production industry has had a strong
giving Canadian producers the maximum flexibility year. The industry has once again shown that it
to attract international financing. can achieve significant audiences when given the
opportunity to compete. As Canada’s independent
The various initiatives discussed in this essay production industry continues to develop, invest
would encourage an environment where Canadian and compete, one thing will be constant: Canadian
audiovisual content can be more internationally producers will continue to offer stories and
competitive and financially healthy, and would perspectives for audiences around the world to
help redress the economic imbalances that have enjoy for years to come.
existed within the Canadian broadcasting system
for decades.
1
Mark Dillon, “Producers excel in the face of uncertainty,” Playback,
The production industry, itself, may also need to November 26, 2007.
2
Playback Staff, “Sold!, ”Playback, July 9, 2007.
consider changing the way it does business. More 3
Michael Shepard, “Making sense of syndication,” Playback, November 26,
2007.
corporate consolidation may help the industry form 4
Richard Therrien, “Sophie Paquin à la conquête des Français,” Le Soleil,
some national leaders: companies with the size October 18, 2007.
5
Mark Dillon, “Producers excel in the face of uncertainty,” Playback,
and resources to better negotiate rights and build November 26, 2007.
6
libraries. The improved economic position of the “Atomic Betty,” Breakthrough Films & Television, downloaded January 7,
2008, http://www.breakthroughfilms.com/production_showlistings_show_
Canadian production community would permit it microsite_default.asp?sid=75.
7
Gary Rusak, “Sadie travels the world,” Playback, July 3, 2007.
to make the investments in storytelling, format 8
Marise Strauss, “ReGenesis, Zimmer Twins sites share Emmy win,”
development, audience engagement, interactivity Playback, April 19, 2007.
9
Matthew Hays, “Online smash to launch in English,” Playback, December
and HD that are necessary in the multi-platform 17, 2007.
10
Sean Davidson, “CBC, CTV jump on iTunes bandwagon. Finally,” Playback,
world. This could lead to a virtuous cycle whereby
December 12, 2007.
the Canadian production industry improves to the 11
Chris Sorenson, “1 in 4 Canadians on Facebook,” Toronto Star, December
10, 2007.
point of being a world leader in digital production. 12
CFTPA, Submission by the Canadian Film and Television Production
Association with Respect to: Broadcasting Notice of Public Hearing CRTC
2007-5 Diversity of Voices, July 18, 2007, paragraph 105.
12 P rof i l e 2 0 0 8
An Economic
An Economic
Report onReport
the Canadian
on the Canadian
Film and Film
Television
and Television
Production
Production
Industry Industry
1. Introduction
The Canadian Film and Television Production Association
(CFTPA), the Association des producteurs de films et de
télévision du Québec (APFTQ), the Department of Canadian
Heritage, and Nordicity Group Ltd. have once again
collaborated to prepare Profile 2008.
Profile 2008 provides an analysis of economic • Detailed statistics on the volume of Canadian
activity in the Canadian film and television television production in each genre by language;
production industry from April 1, 2006 to March 31,
2007. • A breakdown of the sources of financing for
English-language and French-language Canadian
Profile 2008 includes several new production television production;
indicators that provide readers with additional
insights into the historical trends and current • A breakdown by language of Canadian television
composition of film and television production in in each genre;
Canada. In relation to Profile 2007, the authors have
removed the section on international treaty co- • Statistics for international treaty co-production
production and integrated these data into parts of for both the television and theatrical feature
Section 3, Canadian Production, which includes an film sectors, as well as a listing of all treaty co-
overview of Canadian production, followed by more production partners in these sectors; and,
detailed statistics on both Canadian television and
Canadian theatrical production. • Key statistics on the Canadian film and television
market.
In terms of new statistical indicators, Profile 2008
includes: Taken together, the existing and new
statistical indicators will give readers the most
comprehensive look yet at film and television
production activity in Canada.
P rof i l e 2 0 0 8 13
2. National Indicators
The Canadian film and television production industry has,
for the last several years, been a major source of economic
activity and jobs for Canadians right across the country. In this
chapter, we review the overall national activity in the film and
television production industry. In subsequent chapters, we
examine activity in each of the major segments of Canadian
industry: Canadian production, foreign location production,
and broadcaster in-house production.
14 P rof i l e 2 0 0 8
Highlights
• The total volume of film and television • Film and television production generated
production in Canada increased 3% to just 126,900 full-time equivalent jobs (FTEs) in
under $5 billion in 2006/07. The increase Canada in 2006/07, including 48,800 FTEs
was largely due to strong growth in Canadian directly in film and television production
television production and broadcaster in- activities. The number of FTEs was up by
house production. less than 1% compared to 2005/06.
• The Canadian television production segment • Total export value was down 14% to $1.7
was the largest single sector of the industry billion, largely because of drops in levels of
in 2006/07, accounting for 42% of total foreign location production and the foreign
production. financing of Canadian theatrical production.
2.1 Total Volume of Production The expansion of this genre and the other genres is
largely domestic. The increased production volume
The total volume of production in the Canadian is being financed from Canadian sources. Foreign
film and television industry increased slightly to pre-sale demand did recover slightly in 2006/07, but
just under $5 billion in 2006/07. After experiencing not to a great extent, and certainly not to a level
a 9% drop in 2004/05, the film and television that made it the driver of this sector’s expansion.
production industry in Canada posted two
consecutive annual increases – 7% in 2005/06 and After staging a significant recovery in 2005/06,
2% in 2006/07. Canadian theatrical production dropped 14%
to $282 million in 2006/07. This sector accounted
The expansion in the total volume of production for 6% of total production volume in 2006/07.
(ie., the total dollar amount of expenditures on In part, falling foreign financing put downward
film and television production in Canada) was pressure on the volume of activity.
driven by increased volumes in two sectors –
Canadian television production and broadcaster Foreign location production (FLP) was the second
in-house production. The other two sectors of the largest sector of the Canadian industry with $1.4
production industry in Canada – foreign location billion in production volume in 2006/07, accounting
production and Canadian theatrical production – for 29% of the national total. FLP was down by
experienced decreases in production volume. 14%, as Canada started to feel the effects of a
stronger domestic currency and competition from
The Canadian television production sector was other jurisdictions with concerted efforts to attract
the largest sector of the Canadian industry in Hollywood studios’ location production. Canada’s
2006/07: it accounted for 42% of total production two largest centres for FLP – British Columbia and
with a volume of $2.1 billion. Canadian television Ontario – both experienced decreases in production
production experienced a staggering annual volume in 2006/07.
increase of 15% in 2006/07, as it climbed from
$1.8 billion in 2005/06. Broadcaster in-house production also increased,
largely due to the resumption of NHL hockey;
The significant expansion in Canadian television broadcaster in-house production increased 11% to
production can be traced back to increased reach just over $1.1 billion. This sector accounted
production volumes in the fiction, children’s and for 23% of total production activity in Canada in
youth, and documentary genres. The children’s and 2006/07.
youth genre, in particular, staged a dramatic jump in
production volume in 2006/07.
P rof i l e 2 0 0 8 15
Exhibit 2 - 1: Total volume of film and television production in Canada
6,000 Canadian Television

Canadian Theatrical
4,995 5,011 4,973
Foreign Location 4,856
4,736
5,000 4,631 4,550
Broadcaster In-House 4,452
3,844 1,805 1,723

4,000 1,785 1,829 2,112
1,757
$ millions
1,816
1,870
2,983 2,925 279 342
1,787
3,000 228 329
227 282
177
226
1,239 1,114
201 1,914 1,904
2,000 1,760 1,463 1,666 1,435
249 1,762
186 1,506
1,096
768 819
1,000
1,043 1,094 1,144
850 885 963 997 1,032
790 743 760
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Estimates based on data collected from CAVCO, CRTC, CBC/SRC, the Association of Provincial Funding Agencies and the
Department of Canadian Heritage. Some totals may not add due to rounding.
Note: The figures for volume of production contain a variety of sources with different reporting periods. All data sources are reported
on a 12-month basis for each fiscal year, but the reporting periods overlap. For example, in 2006/07 the bulk of data sources were for
the government fiscal year (April 2006 to March 2007). However, some data sources that reported results on a fiscal-year period
ending in August 2006 are included in the fiscal year.
Exhibit 2 - 2: Total volume of film and television production in Canada,

share by segment, 2006/07
Canadian Television, 42% Broadcaster In-House, 23%
Canadian Theatrical, 6% Foreign Location, 29%
Source: Estimates based on data collected from CAVCO, CRTC, CBC/SRC, and the Association of Provincial Funding Agencies.
16 P rof i l e 2 0 0 8
2.2 GDP
Exhibit 2 - 3: Average annual real GDP
Real gross domestic product (GDP) in the Motion growth by industry, 1998 to 2006
Picture and Video Production, Distribution and Post-
Production industry grew by an average annual All Industries 3.3%
rate of 1.5% between 1998 and 2006, trailing the
Goods-Producing
growth in the overall economy by 1.8 percentage Industries 2.4%
points.
Service-Producing 3.7%
Industries
2.3 Employment Information and
Cultural Industries* 5.3%
Film and television production continued to be a Radio and TV Broadcasting +

Pay TV, Specialty TV and 3.9%
major source of job creation in Canada in 2006/07. Program Distribution
Film and television production activity in Canada Motion Picture and Video
Production, Distribution and 1.5%
led to the creation of an estimated 126,900 full- Post-Production Industry*
0 2 4 6
time equivalent jobs (FTEs). Production activity
generated 48,800 FTEs directly within the film and
Source: Calculations based on data from Statistics Canada
television production industry, and an additional * Based on the North American Industry Classification System.
78,100 FTEs in other parts of the Canadian Information and Cultural Industries includes publishing industries
(except Internet), motion picture and sound recording industries,
economy. The number of FTEs generated by broadcasting (except Internet), Internet publishing and broadcasting,
film and television production rose for the second telecommunications, Internet service providers, Web-search portals,
data-processing services and other information services. Motion Picture
consecutive year, increasing by less than 1%, from and Video Production, Distribution and Post-Production Industry
comprises establishments primarily engaged in producing and/or
126,200. Production industry FTEs (direct jobs) distributing motion pictures, videos, television programs or commercials;
also rose by less than 1% in 2006/07. exhibiting motion pictures or providing post-production and related
services.
Exhibit 2 - 4: Number of full-time equivalent jobs (FTEs) in film and television

production in Canada
150,000 Indirect Jobs 139,100

135,100 137,000 135,900 136,700
Direct Jobs
126,200 126,900
121,100
117,800
100,000 93,100 91,100

83,100 84,300 83,600 85,600 84,100
78,100
77,700
72,500 74,500
FTEs
57,300 56,100
50,000
52,000 52,700 52,300 53,500 52,600 48,500 48,800

45,300 46,600
35,800 35,000
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Estimates based on data collected from CAVCO, Statistics Canada, CRTC, CBC/SRC, the Association of Provincial Funding
Agencies and the Department of Canadian Heritage.
Note: Estimates of direct FTEs take into account annual changes in average wages.
P rof i l e 2 0 0 8 17
2.4 Export Value The export value of film and television production in
Canada totalled $1.7 billion in 2006/07 – a decrease
Export value tracks the value of international of 14% from 2005/06. The drop in export value
financial participation in the film and television can be attributed to a decrease of $231 million in
production industry in Canada. Export value FLP, as well as a drop of $56 million in the export
value of Canadian theatrical production, from $75
includes foreign presales and distribution advances
million in 2005/06 to $19 million in 2006/07.
for all projects certified by the Canadian Audio-
Visual Certification Office (CAVCO)1; estimates
Despite the overall decrease in the export value
of presales and distribution advances for non-
of film and television production in Canada, the
CAVCO-certified productions; and the total value
Canadian television sector showed signs of
of foreign location production in Canada. Export recovery in its export performance in 2006/07.
value as opposed to just exports better reflects The export value of Canadian television production
the nature of film and television production in increased 9%, from $214 million to $230 million,
Canada. It acknowledges that film and television reversing a trend of six consecutive annual declines.
productions are intangible products and portions of
the copyright can be exported to foreign countries.
1
“CAVCO certified” refers to productions certified as “Canadian” by the
It also accounts for the budgets of productions shot Canadian Audio-Visual Certification Office (CAVCO) for the purpose of utilizing
in Canada, even when the copyright is held by a the Canadian Film or Video Production Tax Credit (CPTC). It does not include
foreign productions that use the Film or Video Production Services Tax Credit
foreign entity. (PSTC), which must also get certification from CAVCO, but are not considered
“Canadian” productions.
Exhibit 2 - 5: Export value of film and television production in Canada
2,500 Canadian Television 2,319 2,371 2,321

2,271
Canadian Theatrical 2,177
380 314
Foreign Location 478 442 1,955
2,000 78 104
1,704 600 1,767 214
80 69 1,684
277 75 230
71
1,500 1,312 540
1,247 27 19
$ millions
68
481 350 1,914
1,000 1,762 1,904
1,760 1,666
78
63 1,506 1,463 1,435
1,096
500 768 819
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Estimates based on data collected from CAVCO, the Association of Provincial Funding Agencies and the Department of
Canadian Heritage. Some totals may not add due to rounding.
2.5 Production by Province Quebec, where the volume of production increased

12% to just under $1.3 billion – a 25% share of the
Ontario maintained its position as the leading national total.
province for film and television production in
Canada in 2006/07: it accounted for $1.7 billion in British Columbia, Quebec, Alberta, Nova Scotia,
production volume, or 34% of the national total. Manitoba, Saskatchewan, New Brunswick and
With a 29% share, British Columbia was Canada’s Prince Edward Island all experienced increased
second-largest production centre, with film and production levels in 2006/07, while production
television production activity rising to just over $1.4 dipped in Ontario, and Newfoundland and Labrador.
billion. British Columbia was followed closely by
18 P rof i l e 2 0 0 8
Exhibit 2 - 6: Volume of film and television production in Canada, by province
( $ millions ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Ontario 1,330 1,214 1,506 1,717 1,825 1,943 1,917 1,820 1,940 1,941 1,710
British Columbia* 560 583 843 1,079 1,166 1,165 1,156 1,548 929 1,339 1,429
Quebec 835 872 1,092 1,172 1,180 1,201 1,385 1,209 1,243 1,132 1,266
Alberta 124 105 133 237 180 153 199 117 119 134 182
Nova Scotia 64 63 124 135 119 129 138 130 116 133 150
Manitoba 35 36 64 44 70 74 85 112 95 80 122
Saskatchewan 21 36 50 37 41 32 83 45 71 55 78
New Brunswick 7 11 21 15 32 17 17 16 28 19 23
Prince Edward Island 1 1 2 8 6 8 10 5 2 1 7
Newfoundland and Labrador 5 4 9 7 12 15 6 8 7 22 6
Total 2,983 2,925 3,884 4,452 4,631 4,736 4,995 5,011 4,550 4,856 4,973
Source: Estimates based on data collected from CAVCO, CRTC, CBC/SRC, the Association of Provincial Funding Agencies and the Department of Canadian Heritage.
Note: Various provincial film agencies in Canada also publish statistics for film and television production activity using tax and marketing data in each province.
Their statistics may differ from those in Profile 2008 due to such differences as data collection periods (fiscal vs. calendar year) and production activity reported on
the basis of location of spend. Some totals may not add due to rounding.
* Figures for film and television production in the Territories (Nunavut, Yukon, Northwest Territories) have been combined with figures for British Columbia.
Exhibit 2 - 7: Share of total volume of production in Canada, by province, 2006/07

Saskatchewan, 2% Alberta, 4%
Quebec, 25% British Columbia*, 29%
Manitoba, 3%
Prince Edward Island, <1%

New Brunswick, <1%
Newfoundland and Labrador, <1%
Ontario, 34% Nova Scotia, 3%
Source: Estimates based on data collected from CAVCO, CRTC, CBC/SRC, the Association of Provincial Funding Agencies and the Department of Canadian Heritage.
* Includes the Territories
Exhibit 2 - 8: Total direct and indirect full-time equivalent jobs (FTEs) generated by
film and television production in Canada, by province
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Ontario 41,600 37,700 46,300 52,000 54,100 55,600 53,300 49,700 51,700 50,400 43,500
British Columbia* 17,400 18,200 25,700 32,800 34,600 33,300 32,200 42,100 24,700 34,800 36,300
Quebec 26,000 27,000 33,500 35,600 34,800 34,300 38,500 33,000 33,000 29,400 32,200
Alberta 3,900 3,400 4,200 7,300 5,200 4,400 5,500 3,100 3,100 3,400 4,700
Nova Scotia 2,100 2,100 3,900 4,200 3,600 3,600 3,900 3,600 3,100 3,400 3,900
Manitoba 1,000 1,000 2,100 1,300 2,100 2,100 2,300 3,100 2,600 2,100 3,100
Saskatchewan 800 1,000 1,600 1,000 1,300 1,000 2,300 1,300 1,800 1,600 2,100
New Brunswick 300 300 500 500 1,000 500 500 500 800 500 500
Total 93,400 90,700 118,100 135,300 137,300 135,600 139,100 137,000 121,250 126,250 126,900
Source: Estimates based on data collected from CAVCO, CRTC, CBC/SRC, the Association of Provincial Funding Agencies, Statistics Canada and the
Department of Canadian Heritage. Some totals may not add due to rounding and the sum total of jobs may differ from amounts in Exhibit 2 - 4 due to rounding.
* Includes the Territories.
P rof i l e 2 0 0 8 19
3. Canadian Production
Canadian production includes all Canadian television and
film production produced by Canadian production companies.
This includes independent production companies as well as
broadcaster-affiliated production companies.
20 P rof i l e 2 0 0 8
Highlights
• Canadian production jumped 11% to $2.4 • Canadian production in the variety and
billion, largely due to a sharp increase in performing arts genre increased 32% to
Canadian television production. $132 million.
• Canadian production generated 61,100 FTEs • Canadian production attracted financing

in 2006/07, including 23,500 FTEs directly from several different private- and public-
in the production of Canadian television sector sources in 2006/07. Broadcasters
programs and films. were the largest single source of financing
– contributing 31% of the total. Tax credits
• English-language production rose 13% to accounted for 26%. Foreign sources
$1.7 billion; French-language production accounted for 9% of the financing of
increased 12% to $651 million. Production Canadian production.
in bilingual format and other languages
dropped from $50 million to $24 million. • Canada’s total volume of treaty co-production
increased 14% to $478 million in 2007, with
• Canadian production in the fiction genre Canadian budgets of $195 million and foreign
increased by 5% to $1.2 billion. budgets of $282 million in partner countries.
However, the level of co-production in 2007
• Children’s and youth production climbed by was still approximately half the peak level
25%, increasing from $275 million in 2005/06 attained in 2000.
to $344 million in 2006/07. The increase was
fuelled by a $70 million rise in animation • France moved past the United Kingdom to
production in the genre. become Canada’s largest bipartite treaty
co-production partner in 2007; Canadians
• Canadian documentary production increased produced $202 million worth of bipartite
by 17% to a total of $435 million. treaty co-production in 2007 with producers
from France.
3.1 Total Canadian Production 3.1.1 Volume
Canadian production includes television Canadian production reached a total volume of

programs and films with CAVCO certification; it $2.4 billion in 2006/07. The total volume jumped
also includes CRTC-certified television programs by 11%, following an increase of 8% in 2005/06.
made by production companies. This sector The sharp rise in Canadian production was due to
excludes broadcaster in-house production – that an increase of $283 million in Canadian television
is, news and sports and other genres normally production; the increase in Canadian television
produced by Canadian broadcasters. production was partly offset by a $47 million
decrease in Canadian theatrical production.
P rof i l e 2 0 0 8 21
Exhibit 3 - 1: Total volume of Canadian production

2,394
2,500
2,159
2,095 2,084 2,065
1,988 1,985 2,013 1,993
2,000
$ millions
1,425
1,364
1,500
1,000
500
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Estimates based on data collected from CAVCO.

Note: Canadian production includes CAVCO-certified television and film production, and an estimate for CRTC-certified television
production. Canadian production also includes production with non-theatrical release.
3.1.2 Employment as well as 37,600 FTEs in other parts of the

Canadian economy. The total number of FTEs and
Canadian production generated an estimated production-industry FTEs (direct jobs) rose by 9% in
61,100 FTEs in Canada in 2006/07. This amount 2006/07.
included 23,500 FTEs directly in the production
of Canadian television programs and films,
Exhibit 3 - 2: Number of full-time equivalent jobs (FTEs) in Canadian production
70,000 Indirect Jobs

63,600
Direct Jobs 60,900 61,100
58,700 57,700 58,000 56,400 56,100
60,000
53,000
50,000 44,500
42,400 39,100
FTEs
37,500 37,600
36,100 35,700
35,500 34,700
40,000 34,500
32,600
27,400
30,000 26,100
20,000
23,400 24,500 22,200 22,300 21,600 23,500

22,600 21,700 20,400
10,000 17,100 16,300
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Estimates based on data from CAVCO and Statistics Canada.

22 P rof i l e 2 0 0 8
3.1.3 Language Canadian production produced in English increased

13% to over $1.7 billion in 2006/07. Canadian
Both English-language and French-language production in the French-language increased 12%
production contributed to the overall increase to $651 million. Production in bilingual format
in Canadian production in 2006/07; however, and other languages dropped from $50 million in
production in bilingual format and other languages 2005/06 to $24 million in 2006/07.
dropped by half.
Exhibit 3 - 3: Volume of Canadian production, by language
2,394
2,500 English French Bilingual and other
24
2,159
2,095 2,084 2,065
1,988 1,985 2,013 1,993
80 50
63 107 651
2,000 25 98
159 48
340 400 581
508
483 522 532
394
1,425
1,364
$ millions
1,500
5
27
326
282
1,000 1,431
1,632 1,433
1,623
1,496 1,719
1,437 1,413
1,528
500 1,094 1,055
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Estimates based on data from CAVCO.

Note: Some totals may not add due to rounding.
3.1.4 Genres The fiction genre is comprised almost entirely of

live-action production; animation production totalled
Fiction only $13 million in 2006/07.
The production of television programs and films in Nearly 70% of the fiction projects made by
the fiction genre increased by 5% in 2006/07, and Canadian producers were either television movies
reached a total of $1.2 billion. The overall increase or television series. Canadian producers made a
was largely due to an expansion in the level of total of 121 television movies (36%), 117 television
television fiction production, where the volume of series (34%), 71 theatrical feature films (21%)
production grew by $113 million, or 14%, to a total and 19 short-length films and television programs
of $948 million in 2006/07. (6%) in the fiction genre; there were 13 mini-series
made by Canadian producers in 2006/07.
On a dollar-volume basis, just over three-quarters
of Canadian fiction production in 2006/07 was for
English-language television and theatrical markets;
23% of the production volume was for French-
language markets; while fiction production in other
languages accounted for less than 1% of the total
volume of production in the genre.
P rof i l e 2 0 0 8 23
Exhibit 3 - 4: Total volume of fiction production
1,500 Theatrical
Television 1,296
1,215
1,162 1,153
1,200 225 1,123
1,100 1,093
182 1,038 267
923 207 953 318
913 218 272
900 317 152

$ millions
168
241
600 1,071
948
981 835
892 875
852 801
755 721
672
300
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07

Some totals may not add due to rounding.
Exhibit 3 - 5: Volume of fiction production, Exhibit 3 - 6: Number and share of fiction

by language, 2006/07 projects, by type, 2006/07
Short-length films Mini-series,4%

French, 23% Other, <1% and TV programs, 6% TV series, 34%
Theatrical
features, 21%
13
19
117
71
121
English, 76%
Total number of projects: 341 MOW/TV features, 36%

Total does not add due to rounding. Source: Estimates based on data from CAVCO.
24 P rof i l e 2 0 0 8
Children’s and Youth English. Approximately 94% of the $223 million

of children’s and youth animation production in
Children’s and youth production experienced 2006/07 was originally made in English. The vast
an astounding recovery in production volume in majority of French-language production in the
2006/07, following six consecutive years of annual children’s and youth genre was in the live-action
declines. In 2006/07, the volume of this genre’s format: live-action production accounted for 73% of
production jumped by 25%: it increased from all children’s and youth production originally made
$275 million in 2005/06 to $344 million in 2006/07. in French in 2006/07.
While the theatrical production volume rose from
$2 million to $7 million in 2006/07, this growth The low volume of French-language animation
was overshadowed by the strong expansion in production can be explained by the fact that
television production: it rose from $273 million to animation is a highly exportable commodity
$337 million. The increase in television production which presupposes the existence of an English
was due, in large part, to an increased number of version. The cost of producing an English version
high-budget animation television series. from an original French version was, up to now,
significantly higher than the reverse. This could
On a dollar-volume basis, most children’s and change however, given the recently negotiated
youth programming in Canada is produced initially agreements between producers and French-
for English-language markets. In 2006/07, 85% of speaking performers. Based on accepted practices
programming in this genre was originally produced in English Canada, these agreements should
in English; 15% of production was in originally promote an increase in animation production in the
made French. French-language market.
A more detailed look at the breakdown of children’s The vast majority of children’s and youth television
and youth production reveals that a large share productions are television series. In 2006/07,
of the genre’s production in the English language Canadian producers made 91 television series
can be traced back to the fact that most animation – accounting for 95% of all children’s and youth
production in the genre is produced originally in projects in that year.
Exhibit 3 - 7: Total volume of children’s and youth production
382 389
400 Theatrical
16 366
355
Television 344
8
7
304
289
300 4 276 275
1
253 2
13
$ millions
200 174
358 355
1 337
389
366 300
276
273
288
100 173
240
0 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
P rof i l e 2 0 0 8 25
Exhibit 3 - 8: Volume of children’s and youth production, by language, 2006/07
French, 15%
English, 85%
Exhibit 3 - 9: Volume of children’s and youth production, by language and format
05/06 06/07
( $ millions ) Live Action Animation Total Live Action Animation Total
English 70 146 217 84 209 292

French 40 7 46 38 14 52
Total 110 153 263 122 223 344

Note: Totals exclude production in bilingual format or other languages.
Exhibit 3 - 10: Number and share of children’s and youth projects, by type, 2006/07
Single-Episode
Television Programs, 3%
Theatrical Features, 1%
3
1
MOW / TV, 1%
1
TV Series, 95%
91
Total number of projects: 96
26 P rof i l e 2 0 0 8
Exhibit 3 - 11: Total volume of Canadian animation production
300 280
274
257
249
241
250
225
208
203
190
$ millions
200
152
150
99
100
50
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
The Canadian production community has long been volume. Animation production increased 35%
a global leader in animation production. Several to $257 million. Canadian producers made 585
successful independently produced Canadian hours of animation in 2006/07, up from 473 hours
animation programs are televised on children’s in 2005/06. Children’s and youth programming
broadcasters around the world. In 2006/07, accounted for 87% ($223 million) of total Canadian
the Canadian animation production segment animation production in 2006/07.
experienced a spectacular jump in production
Exhibit 3 - 12: Total number of hours of Canadian animation production

585
600
473
500
Hours of production
380 392
400
347
335 333
313 311
300
232
168
200
100
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
P rof i l e 2 0 0 8 27
Documentary Television series and single-episode television

programs together accounted for 93% of all
There was a strong increase in the volume of Canadian documentary projects in 2006/07.
Canadian documentary production in 2006/07, after
three consecutive years of stalled growth. The Canadian producers made 215 documentary
increase in the volume of documentary production television series in 2006/07 and 262 single-episode
was due almost entirely to a jump in the production documentary programs for television; they made 23
of documentaries for television. Canadian documentary mini-series. There were nine feature-
documentary production increased by 17% to length documentaries made primarily for theatrical
a total of $435 million in 2006/07. Television release in 2006/07.
production accounted for $428 million, or 98% of
total Canadian documentary production.
Between 1999/00 and 2006/07, Canadian

documentary production displayed a long-term
growth pattern; during this period, it more than
doubled. And while the genre’s growth was
relatively flat between 2003/04 and 2005/06, it
resumed its growth trend in 2006/07.
On a dollar-volume basis, approximately three-

quarters of Canadian documentary production
in 2006/07 was made initially for the English-
language market. Documentaries made initially
for the French-language market accounted for
19% of production. Bilingual documentaries and
documentaries produced in other languages
accounted for 4%.
Exhibit 3 - 13: Total volume of documentary production
500 Theatrical
Television 435
6
385 379 373
400
24 5 3
314
293
3
300 255 260 7
3 7
$ millions
184 428
200 361 374 370
122 132 311

286
253 254
4 7
100 184
119 125
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07

28 P rof i l e 2 0 0 8
Exhibit 3 - 14: Volume of documentary production, by language, 2006/07
Bilingual and Other, 4%

French, 19%
English, 77%
Exhibit 3 - 15: Number and share of documentary projects, by type, 2006/07
Mini-Series, 5%
Theatrical Features, 2%
23
9
TV Series, 42% 215
262 Single-Episode
Television Programs, 51%
P rof i l e 2 0 0 8 29
Variety and Performing Arts in other genres. In 2006/07, approximately three-

quarters of programming in this genre was made
Production in the variety and performing arts in French, while 25% of production was made in
genre increased 32% to $132 million in 2006/07. English. The high share of variety and performing
This increase followed two consecutive years arts programming in the French-language market is
of decreases in production volume. After largely due to the existence of an established star
experiencing steady growth during the late 1990s system in Quebec.
and early years of this millennium, production in
the variety and performing arts genre experienced Of the 130 variety and performing arts projects
sharp drops in 2004/05 and 2005/06 before produced in 2006/07, 51 (40%) were television
recovering in 2006/07. series, 43 (33%) were single-episode television
programs, 29 (22%) were MOW/TV features, and
All production in the variety and performing arts seven (5%) were mini-series.
genre in 2006/07 was in the television sector.
Indeed, with a few exceptions in the last eleven
years, virtually all of the programming in this genre
was in the Canadian television sector.
On a dollar-volume basis, most variety and

performing arts programming in Canada is
produced for the French-language market; this is
the opposite of the language distribution found
Exhibit 3 - 16: Total volume of variety and performing arts production
200 Theatrical
Television
151
150 132
127
120
114
99 2 100
3
$ millions
100 83
69 70
151
132
52 1 127
111 118
99 100
50 1
83
69 69
51
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
30 P rof i l e 2 0 0 8
Exhibit 3 - 17: Volume of variety and performing arts production, by language, 2006/07
English, 25%
French, 75%
Exhibit 3 - 18: Number and share of variety and performing arts projects, by type, 2006/07
MOW / TV Features, 22%

Single-Episode 29
Programs, 33%
43
7 Mini-Series, 5%
TV Series, 40%
51
TV Series, 40%
P rof i l e 2 0 0 8 31
3.1.5 Production by Province Nova Scotia, Manitoba, Alberta and Saskatchewan

comprised the middle tier of provinces, based
Quebec led all other provinces in 2006/07 in terms on levels of Canadian production. These four
of Canadian production. Quebec-based producers provinces recorded between $57 million and
generated $900 million of Canadian production. $69 million in Canadian production in 2006/07.
Quebec was followed by Ontario with $739 million. Producers based in New Brunswick, Prince
Canadian production in British Columbia increased Edward Island, the Territories (Nunavut, Yukon,
77% to $472 million in 2006/07, marking the first and Northwest Territories), and Newfoundland and
time in that province that the volume was above Labrador also generated Canadian production in
$350 million. 2006/07.
Exhibit 3 - 19: Volume of Canadian production, by province
( $ millions ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Quebec 546 555 705 752 626 745 766 783 736 814 900
Ontario 662 606 757 814 796 854 802 891 772 894 739
British Columbia 138 100 338 350 342 241 256 217 274 266 472
Nova Scotia 41 39 88 53 62 58 63 56 66 56 69
Manitoba 18 13 23 20 25 20 29 17 27 32 68
Alberta 13 23 37 70 72 62 82 55 58 33 63
Saskatchewan 7 23 22 18 29 18 67 33 37 36 57
New Brunswick 0 5 13 7 21 6 9 8 20 10 15
Territories* 0 0 0 2 0 0 0 0 0 3 3
Total 1,425 1,364 1,988 2,095 1,985 2,013 2,084 2,065 1,993 2,159 2,394

Note: Various provincial film agencies in Canada also publish statistics for film and television production activity using tax and marketing data in
each province. Their statistics may differ from those in Profile 2008 due to such differences as data collection periods (fiscal vs. calendar year) and
production activity reported on the basis of location of spend.
* Territories include Yukon, Nunavut and Northwest Territories.
3.1.6 Financing Tax-credit financing represents part of a Canadian

production company’s equity in television and
The production of Canadian television programs and film projects. Canadian production companies
theatrical films relies on financing from a variety of receive tax credits based on their eligible labour
private- and public-sector sources – both within and expenditures; in most cases, they have to invest
outside of Canada. their tax-credit claims directly into the financing
of television projects. As well, producers often
In 2006/07, Canadian broadcasters were the single- have to raise capital for project financing through
largest source of financing for Canadian production. corporate or personal lines of credit, mortgages on
Private and public broadcasters accounted for a personal property and deferral of producer fees.
combined 31% of total financing for Canadian After taking into account tax credits and production-
television programs and theatrical films. company financing for Canadian production, the
producers’ contribution to production budgets is,
On a combined basis, federal and provincial tax at a minimum, between 25% and 30% in most
credits represented the second-largest source: they instances. Producers also organize domestic
accounted for 26% of total financing. and foreign distribution, as well as arrange bank
financing.
32 P rof i l e 2 0 0 8
Other private-sector sources – including private- Film Fund (CFFF) – also accounted for 12%.
sector monies (BDU contributions) from the Foreign financing sources such as foreign
Canadian Television Fund (CTF), broadcasters’ broadcasters and distributors contributed 9%
equity investments and funding from independent of the total financing for Canadian production.
production funds – accounted for 12% of total Canadian distributors contributed 7% of total
financing. Other public-sector sources – such as financing in 2006/07.
the CTF (public contributions) and Canada Feature
Exhibit 3 - 20: Sources of financing for Canadian production, 2006/07
Production Company, 3%
Foreign, 9%
Public*, 12%
Canadian Distributor, 7%
Other Private**, 12%

Provincial Tax Credit, 16%
Federal Tax Credit, 10% Private Broadcaster Licence Fees, 19%
Public Broadcaster Licence Fees, 12%
Source: Estimates based on data obtained from CAVCO. Based on CAVCO classifications.
* Public includes financing from the Canadian Television Fund (public contributions), provincial governments, Telefilm Canada and other
government departments and agencies.
** Other Private includes financing from the Canadian Television Fund (BDU contributions), independent production funds, broadcaster equity, and
other private investors.
3.1.7 Treaty Co-production In terms of bipartite production, France was

Canada’s largest treaty co-production partner in
International treaty co-production is another avenue 2007, with 21 projects totalling $202 million in
through which Canadian producers can tap into production volume (Canadian and foreign budgets).
international financing and talent to create films Canada’s other major bipartite partners included the
and television programs with international audience United Kingdom (U.K.) ($106 million), Ireland ($43
appeal. The Government of Canada currently has million), Germany ($25 million), China ($14 million)
co-production treaties with 53 countries. As co- and Luxembourg ($11 million).
production treaties are founded on the principle of
reciprocity, the Canadian producer is responsible In addition to bipartite treaty co-production, six of
for approximately one-half of the total treaty co- Canada’s treaty co-productions in 2007 took place
production budget. through multipartite (three or more countries)
projects. Among Canada’s multipartite partner
Canada’s total volume of treaty co-production countries in 2007 were Japan, Brazil, South Africa,
increased 14% in 2007, following a 43% jump U.K., Australia, Singapore, Romania, Switzerland,
in 2006. Canada’s total volume of treaty co- France, and Germany.
production reached $478 million in 2007, with
Canadian budgets of $195 million and budgets of
$282 million in partner countries.
P rof i l e 2 0 0 8 33
Exhibit 3 - 21: Total volume of treaty co-production with Canada
1,000 Canadian Budgets

Foreign Budgets 893
776
800
489 637
608
$ millions
565 545
600 408
478
322 439
410 315 420
310 281
400 195
312
210 294 171
200
149 136
404 368
200 315
293 282
255 264 229 249
210
163 158
0
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Source: Telefilm Canada.

Note: Some totals may not add due to rounding. Statistics are subject to change.
Exhibit 3 - 22: Total volume of bipartite Exhibit 3 - 23: Total volume of multipartite
treaty co-production with Canada, by treaty co-production with Canada, by partner
partner country, 2007 country, 2007
Number
of projects
Number
of projects
France 202 21
United Kingdom 16 Japan - Brazil 28 1

106
Ireland 43 2
South Africa - U.K. 13 1
Germany 25 5
Australia - Singapore 9 1
China 14 3
Luxembourg 11 1
U.K. - Romania 5 1
Australia 7 1
Switzerland - France 4 1
Switzerland 5 2
Philippines 3 1
Germany - Greece 1 1
Czech Republic 3 2
0 10 20 30
0 50 100 150 200 250 $ millions
$ millions
Source: Telefilm Canada. Source: Telefilm Canada.

Note: Statistics are subject to change. Note: Statistics are subject to change.
34 P rof i l e 2 0 0 8
3.2 Television Production certified as Canadian content by either CAVCO

or the CRTC. This sector excludes broadcaster
Canadian television production includes the in-house production – that is, news and sports
production of various genres of television series, and other genres normally produced by
mini-series, MOWs, television feature films and Canadian broadcasters.
short films made primarily for the television
audiences. It includes productions that are
Highlights
• Canadian television production jumped 15% • Canadian television production continued

to $2.1 billion, compared to an increase of to rely heavily on financing from Canadian
only 1% in 2005/06. broadcasters, as financing from foreign
sources and Canadian distributors remained
• Canadian television production generated relatively low compared to previous years.
53,900 FTEs in 2006/07, including 20,700
FTEs directly in the production of Canadian • The average per-hour broadcast licence
television programs. fee for English-language Canadian fiction
productions was $286,000; for French-
• Television-series production of various genres language productions, the average was
was the largest component of Canadian $150,000 per hour – albeit on a much lower
television production. Canadians produced average budget.
622 television-series projects in 2006/07 with
a total volume of $1.4 billion. • The CTF made financial contributions of $252
million to support $880 million in television-
• Fiction production jumped by $113 million, or production volume in 2006/07.
14%, to $948 million. Children’s and youth
production was up by $64 million over the • Quebec-based producers accounted for
2005/06 level; it increased 23% to a total of the largest share of Canadian television
$337 million. Documentary production rose production – 37%; Ontario and British
16% to $428 million. Variety and performing Columbia accounted for 31% and 21%,
arts programming increased 32% to $132 respectively.
million. Production in other genres doubled
to $130 million. The magazine-programming • Canada’s volume of international treaty co-
genre experienced a decrease of 26% in production in the television sector decreased
2006/07 – dropping to $136 million. 18% to $178 million in 2007; this decrease
followed a 5% decrease in 2006.
• While both English-language and French-
language Canadian television production
experienced increases in 2006/07, the overall
expansion in Canadian television production
was led by English-language production,
which increased 22% to over $1.5 billion.
French-language production increased 7% to
$553 million. Production in bilingual formats
and other languages contracted from $46
million to $19 million.
P rof i l e 2 0 0 8 35
3.2.1 Volume and youth genres led the sector’s increase in

production volume; the documentary, and variety
The total volume of Canadian television production and performing arts genres also posted strong
jumped 15% in 2006/07, following eight increases in 2006/07.
consecutive years of fluctuation around the $1.8
billion level. Canadians produced a total 9,090 The growth in production was driven almost
hours of original television production in 2006/07 entirely from additional domestic financing.
with a total volume of over $2.1 billion. Canadian broadcasters, distributors, and other
private sources, along with public sources
Statistics in this section of the report show that the increased their levels of financing for Canadian
gains in Canadian television production were broad- television production. Foreign pre-sale demand
based: all of the genres, except the magazine- for Canadian television programming and the
programming genre, experienced increases in associated financing played a very limited role in
production volume. The fiction, and children’s the expansion of Canadian television production
in 2006/07.
Exhibit 3 -24: Total volume of Canadian television production
2,500
2,112
2,000 1,870 1,829

1,787 1,757 1,785 1,805 1,816
1,723
$ millions
1,500
1,239
1,114
1,000
500
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07

Note: Canadian television production includes CAVCO-certified television production and an estimate for CRTC-certified production.
Canadian television production also includes productions for non-theatrical release.
Exhibit 3 - 25: Total hours of Canadian television production

9,981
9,427 9,406 9,090
10,000 9,130
8,631 8,707
8,087
8,000
Hours of production
6,465
5,392
6,000 4,980
4,000
2,000
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
36 P rof i l e 2 0 0 8
3.2.2 Employment well as 33,200 FTEs in other parts of the Canadian

economy. Total FTEs and production-industry FTEs
Canadian television production generated an (direct jobs) both rose by 13% in 2006/07, after
estimated 53,900 FTEs in Canada in 2006/07. experiencing declines of 1% in 2005/06.
This amount included 20,700 FTEs directly in the
production of Canadian television programs, as
Exhibit 3 - 26: Number of full-time equivalent jobs (FTEs) in Canadian

television production
60,000 Direct Jobs 56,700

54,800 53,900
Indirect Jobs 52,000 51,200 50,200
48,300 47,600
50,000 47,000
38,700
40,000
34,700
FTEs
33,700 34,900 33,200

30,000 32,000 31,500 30,900 29,300
28,900 29,700
23,800 21,400
20,000
21,100 21,800 20,700

20,000 19,700 19,300 18,300
10,000 18,100 18,600
14,900 13,300
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07

3.2.3 Types $159 million; production of television mini-series

increased to $96 million; the production budgets for
Since 1996/97, the vast majority of Canadian television pilots jumped to $28 million, from only $6
television productions have been television series million the prior year.
of various genres. MOWs and television movies,
short-length programs (less than 74 minutes), and The number of Canadian television series
mini-series have accounted for a smaller share of decreased to 622 in 2006/07. The number of
Canadian television production activity. MOWs and television feature films increased to
205, while the number of short-length programs for
In 2006/07, television series production increased Canadian television dropped to 302. The number
to just over $1.4 billion; production of MOWs and of mini-series increased to 43. The number of
made-for-television feature films increased to $389 television pilots rose to 27, from 17 the year
million; short-length program production rose to before.
P rof i l e 2 0 0 8 37
Exhibit 3 - 27: Volume of television production, by type
( $ millions ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Series 1,004 877 1,412 1,509 1,421 1,411 1,374 1,362 1,363 1,248 1,411
MOW / television
feature films 141 127 206 215 193 143 181 157 217 369 389
Short-length
programs 48 46 90 75 79 133 100 132 152 147 159
Mini-series 38 54 68 66 59 86 142 63 77 59 96
Television Pilot 7 11 11 5 6 13 8 8 7 6 28
Total 1,239 1,114 1,787 1,870 1,757 1,785 1,805 1,723 1,816 1,829 2,112

Exhibit 3 - 28: Number of television projects, by type
( number ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Series 314 315 450 538 591 613 692 662 674 665 622
MOW / television
feature films 76 70 96 99 98 113 115 88 129 158 205
Short-length
programs 205 177 259 265 311 358 361 426 431 372 302
Mini-series 21 19 22 25 40 39 61 59 56 41 43
Television Pilot 19 14 8 12 9 18 11 7 20 17 27
Total 635 595 835 939 1,049 1,141 1,240 1,242 1,310 1,253 1,199
3.2.4 Genres Fiction production comprised 45% of total Canadian

television production in 2006/07. The second-
All of the television genres except the magazine- largest genre was documentary with a 20% share,
programming genre contributed to the increase in followed by children’s and youth (16%). Magazine-
the volume of Canadian television production in programming, variety and performing arts, and
2006/07. other genres each accounted for approximately 6%
of total Canadian television production.
Fiction production jumped by $113 million, or
14%, to $948 million. Children’s and youth While the fiction genre was the largest genre in
production was up by $64 million over the 2005/06 terms of volume of production, the magazine-
level; it increased 23% to a total of $337 million. programming genre was actually the largest genre
Documentary production rose 16% to $428 million. when measured in terms of hours of production.
The magazine-programming genre experienced In 2006/07, Canadian producers generated 3,274
a decrease of 26% – dropping to $136 million. hours of original magazine programming. The
Variety and performing arts programming increased magazine-programming genre was followed by the
32% to $132 million. Production in other genres documentary genre (2,483 hours), fiction (1,189
doubled to $130 million. hours), children’s and youth (827 hours), variety and
performing arts (771 hours), and other genres (546
hours).
38 P rof i l e 2 0 0 8
Exhibit 3 - 29: Volume of television production, by genre
( $ millions ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Fiction 755 672 981 1,071 892 875 852 721 801 835 948
Children’s & Youth 240 173 366 389 358 355 300 288 276 273 337
Documentary 119 125 253 184 254 286 311 361 374 370 428
Magazine 58 48 68 96 119 130 148 136 152 185 136
Variety & Performing Arts 51 69 69 83 99 111 127 151 118 100 132
Other 16 28 50 48 35 28 68 66 94 65 130
Total 1,239 1,114 1,787 1,870 1,757 1,785 1,805 1,723 1,816 1,829 2,112

Exhibit 3 - 30: Total volume of Canadian television production by genre, share of

total volume, 2006/07
Children’s & Youth, 16%

Documentary, 20%
Magazine, 6%
Variety & Performing

Arts, 6%
Fiction, 45%
Other, 6%
Source: Estimates based on data from CAVCO. Total may not add due to rounding.
Exhibit 3 - 31: Number of hours of television production, by genre
( hours ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Fiction 891 725 914 1,066 1,023 1,012 1,096 1,133 1,205 1,065 1,189
Children’s & Youth 767 732 817 884 826 933 808 694 839 867 827
Documentary 790 709 1,272 1,180 1,790 1,891 1,921 2,119 2,103 1,983 2,483
Magazine 1,720 1,764 1,906 3,337 4,280 3,491 4,479 3,673 3,925 3,645 3,274
Variety & Performing Arts 650 907 903 1,107 1,095 1,016 1,088 1,033 848 582 771
Other 162 555 653 512 413 289 589 478 486 566 546
Total 4,980 5,392 6,465 8,087 9,427 8,631 9,981 9,130 9,406 8,707 9,090

P rof i l e 2 0 0 8 39
3.2.5 Trends in Budgets • Children’s and youth programming had an

average hourly budget of $608,000 in 2006/07
English-Language Production – a 24% increase over 2005/06. In part,
this increase was due to the higher share of
For English-language production, average budgets animation production in the genre; the hourly
were higher in 2006/07 for children’s and youth budgets for children’s animation projects are
programming; they were lower in all other genres. often considerably higher than those of live-
action projects.
• English-language fiction production had an
average hourly budget of just over $1.2 million in • The average hourly budget for variety and
2006/07 – down from $1.3 million in 2005/06 and performing arts programming was virtually
well below averages in the late 1990s. unchanged at $348,000 in 2006/07.
• For documentaries, the average hourly budget • The average hourly budget in the magazine-
dropped 11% to $183,000 in 2006/07. programming genre was $34,000 in 2006/07 –
less than half of the 2005/06 average of $75,000
per hour.
Exhibit 3 - 32: Trends in budgets of English-language Canadian television production
( 000s per hour ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Fiction
Average 1,352 1,314 1,466 1,360 1,175 1,283 1,282 1,034 1,033 1,314 1,206
Median 1,123 1,108 1,345 1,224 1,292 1,074 1,192 1,151 1,168 1,261 1,533
Documentary
Average 161 204 230 172 196 157 177 197 211 205 183
Median 182 197 215 214 225 208 210 235 242 229 261
Children’s & Youth
Average 746 399 648 638 575 488 483 538 514 489 608
Median 615 541 765 681 652 630 490 469 550 530 640
Variety & Performing Arts
Average 140 113 101 87 106 117 138 163 236 350 348
Median 127 133 114 99 123 159 300 230 355 311 260
Magazine
Average 32 31 38 32 49 52 43 43 46 75 34
Median 34 45 51 43 61 55 42 51 48 48 12

Note: The calculation of the average budget excludes the foreign budgets of treaty co-productions.
French-Language Production • For documentaries, the average hourly budget

decreased 7% to $141,000.
For French-language production, average budgets
were higher in 2006/07 in the genres of fiction, • Children’s and youth programming had an
children’s and youth, and variety and performing average hourly budget of $145,000 – a 22%
arts programming; they were lower in the increase over 2005/06.
documentary and magazine-programming genres.
• The average hourly budget for variety and
• French-language fiction production had an performing arts programming rose slightly in
average hourly budget of $336,000 in 2006/07 – 2006/07 to $154,000.
up from $282,000 in 2005/06.
40 P rof i l e 2 0 0 8
• The average hourly budget in the magazine- programs in Canada’s French-language market are
programming genre was $45,000 in 2006/07 – téléromans (soap operas); as well, they are typically
down by 11% from 2005/06, but still well above not produced for export. For these reasons, fiction
the rates in previous years. productions in Canada’s French-language market
are characterized by lower production costs; they
In the fiction genre, the average hourly budget are shot in digital with smaller supporting casts
of French-language programming is typically and production crews, often on location, and with
lower than that of English-language programming limited special effects and stunts.
for several reasons. Many of the popular fiction
Exhibit 3 - 33: Trends in budgets of French-language Canadian television production
( 000s per hour ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Fiction
Average 298 366 320 340 335 307 291 244 282 282 336
Median 243 491 258 349 283 288 390 334 363 487 476
Documentary
Average 131 146 149 124 74 135 124 123 120 151 141
Median 216 191 173 186 145 182 152 175 172 191 173
Average 126 65 157 166 102 172 142 177 95 119 145
Median 96 64 123 107 115 138 131 182 105 141 153
Average 65 63 64 70 86 111 110 105 121 148 154
Median 97 77 78 85 94 146 142 159 144 133 143
Magazine
Average 35 26 35 27 23 33 32 38 40 51 45
Median 35 25 45 34 33 37 35 36 41 38 41

Note: Calculations exclude the foreign budgets of treaty co-productions.
3.2.6 Language • Both language markets experienced significant

increases in fiction production. English-language
While both English-language and French-language fiction production was up by 12%; French-
Canadian television production experienced language fiction production was 21% higher.
increases in 2006/07, the overall expansion in
Canadian television production was led by an • The vast majority of the increase in children’s
expansion in English-language production. English- and youth television production in 2006/07
language television production increased 22% was in the English-language market. English-
to over $1.5 billion; French-language television language television production rose by $68
production increased 7% to $553 million. million, or 31%. French-language production
Production in bilingual formats and other languages was up by $7 million, or 16%.
contracted from $46 million to $19 million in
2006/07. • The rise in the volume of documentary
production was due entirely to growth in
A breakdown of Canadian television production the English-language market; the volume of
statistics by genre and language reveal the French-language production actually dropped.
following developments in 2006/07: English-language documentary production
increased 38%; French-language production
decreased 24%.
P rof i l e 2 0 0 8 41
• The growth in variety and performing arts • The vast majority of Canadian animation
programming in 2006/07 was largely due to an programming produced in 2006/07 was originally
increase in the French-language market, which shot in English. English-language animation
accounts for the majority of production in this production for television totalled $230 million,
genre. French-language production rose by or 92% of total television-animation production.
$33 million, while English-language production Animation production originally shot in French
increased by $4 million. was $19 million in 2006/07, or 8% of total
animation production for television.
• The French-language market accounted for 89%
of total magazine-programming production in
2006/07. Both language markets experienced
decreases in the volume of production in
this genre.
Exhibit 3 - 34: Volume of Canadian television production, by language
Bilingual and other 2,112
French 1,870 19
2,000 1,787 1,785 1,805 1,816 1,829
1,757 1,723
English 59 553
25 98 78 46 46
150 75
314 359 427 458 473 519
1,500 1,239 355 440
1,114
5
$ millions
301 26
1,000 259
1,447 1,452 1,540
1,253 1,261 1,269 1,297 1,264
1,208
500 933
830
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07

Exhibit 3 - 35: Volume of Canadian television production, by language, 2006/07 share
French, 26%
English, 73%
Bilingual and other, 1%
42 P rof i l e 2 0 0 8
Exhibit 3 - 36: Volume of Canadian television production, by genre and language
( $ millions ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Fiction
English 633 568 883 942 765 728 668 583 621 680 762
French 122 104 98 121 118 124 156 138 164 151 183
Other 0 0 0 8 9 23 28 0 16 4 4
Total 755 672 981 1,071 892 875 852 721 801 835 948

English 170 122 304 287 209 242 232 224 236 217 285
French 66 25 51 61 35 61 44 44 34 45 52
Other 4 25 12 40 115 52 24 20 5 12 0
Total 240 173 366 389 358 355 300 288 276 273 337
Documentary
English 84 80 163 125 184 191 212 249 272 240 332
French 34 45 77 54 57 81 81 91 82 108 82
Other 0 1 13 5 12 14 18 21 20 23 14
Total 119 125 253 184 254 286 311 361 374 370 428

English 19 29 35 33 37 32 37 47 40 30 34
French 32 39 33 47 59 71 84 73 76 66 99
Other 0 0 0 3 3 8 5 31 2 4 0
Total 51 69 69 83 99 111 127 151 118 100 132
Magazine
English 22 18 19 24 37 42 55 50 43 34 14
French 36 30 50 69 81 88 90 83 106 148 121
Other 0 0 0 2 1 1 3 2 3 4 1
Total 58 48 68 96 119 130 148 136 152 185 136

Exhibit 3 - 37: Animation, volume of Canadian television production, by language
( $ millions ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
English 91 74 227 175 148 165 174 149 210 161 230
French 47 1 21 26 8 20 5 25 6 16 19
Other 4 24 12 43 114 56 22 14 5 12 <1
Total 142 99 261 244 270 241 202 187 222 189 250

P rof i l e 2 0 0 8 43
3.2.7 Content Points have focused on ten-point Canadian production in

order to be eligible to receive financial assistance
Canadian content in television programs is from the Canadian Television Fund (CTF).
measured on a ten-point scale (see box at right).
The number of Canadian content points that a
production receives is related to the creative
contributions of key Canadians (i.e., writers,
Canadian Content Points
directors, actors), and can reach a maximum of ten
points. Treaty co-productions are not subject to the
CAVCO uses the Canadian content
ten-point scale; as such, all Canadian productions
points scale to certify films and television
except international treaty co-productions receive a
productions. A certified Canadian
content score.
production qualifies as Canadian
content; broadcasters can use it to
Over the last several years, a larger and larger
meet their Canadian television exhibition
share of Canadian television productions has
requirements. It also allows the production
garnered the maximum points available to them.
to access the Canadian Film or Video
The prevalence of television productions with
Production Tax Credit (CPTC). To be
fewer than the maximum points has dropped
certified as Canadian content, the production
significantly in the last several years. Ten-point
must obtain six or more points on the ten-
or full-point television productions accounted for
point scale. There are two separate point
80% of Canadian television production in 2006/07
scales – one for live-action productions and
(based on the dollar volume of production).
the other for animation productions. For
Television productions with between six and nine
both scales, points are awarded for various
points accounted for 20% of Canadian television
key creative positions. In the case of
production.
animation, points are also awarded based on
the location of certain animation functions.
The shift away from lower-point production to
For more information on the Canadian
higher-point production reflects the overall effect
content points scale, please visit:
of weaker demand from international markets for
www.canadianheritage.gc.ca/cavco.
Canadian television production. With the decline in
the television presale market, Canadian producers
Exhibit 3 - 38: Television production, by Canadian content points 10 points*
(excludes international treaty co-production) 8 and 9 points

6 and 7 points
100%
Share of total volume of television production
80%
56% 59% 60%
(based on dollar volume)
60% 60%
68% 68% 75%
60% 75% 80%
78%
40%
14% 16% 20% 16% 12%
10% 11%
10% 8%
20% 7% 9%
26% 24% 24% 25% 28%
22% 21%
14% 14% 17%
11%
0%
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07

* Includes productions that received the maximum number of eligible points. For example, productions that scored 7 out of 7
points are included in data covering 10 out of 10 points.
44 P rof i l e 2 0 0 8
3.2.8 Production by Province in Canadian television production, or 31% of the

national total. Production by producers based in
Quebec-based producers accounted for the largest British Columbia more than doubled in 2006/07
share of Canadian television production in 2006/07; – jumping from $206 million to $440 million and
Ontario and British Columbia were the two other giving the province a 21% share of the national
provinces with more than $100 million of annual total.
Canadian television production. All other provinces
recorded production volumes below $100 million. Four other provinces – Manitoba, Alberta,
Saskatchewan, and Nova Scotia – had more than
The volume of Canadian television production by $50 million in Canadian television production in
Quebec-based producers topped $776 million in 2006/07; all four experienced strong growth,
2006/07, accounting for 37% of the national total. as well. In fact, production levels in Manitoba
Ontario-based producers generated $649 million practically doubled from 2005/06.
Exhibit 3 - 39: Volume of Canadian television production, by province
( $ millions 06/07
unless specified
otherwise) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07 (share)
Quebec 457 388 642 627 558 643 660 589 644 728 776 37%
Ontario 587 561 678 781 726 764 715 772 704 729 649 31%
British Columbia 120 79 292 307 283 212 208 200 264 206 440 21%
Manitoba 16 10 17 18 19 17 23 16 26 29 58 3%
Alberta 13 20 36 54 63 62 58 53 56 32 57 3%
Saskatchewan 7 17 22 13 19 18 63 33 37 36 57 3%
Nova Scotia 39 33 84 53 62 55 59 48 61 45 51 2%
New Brunswick 0 5 11 7 20 6 9 8 20 10 15 1%
Prince Edward Island 0 0 1 7 5 7 9 2 1 0 6 <1%
Newfoundland and
Labrador 1 0 3 1 2 2 1 3 2 15 1 <1%
Territories* 0 0 0 2 0 0 0 0 0 0 0 0%
Total 1,239 1,114 1,787 1,870 1,757 1,785 1,805 1,723 1,816 1,829 2,112 100%

Note: Various provincial film agencies in Canada also publish statistics for film and television production activity using tax and marketing data in
each province. Their statistics may differ from those in Profile 2008 due to such differences as data collection periods (fiscal vs. calendar year) and
production activity reported on the basis of location of spend.
3.2.9 Financing In terms of the overall distribution of financing in

2006/07:
Canadian television production continued to rely
heavily on financing from Canadian broadcasters, • Private broadcaster licence fees accounted for
22%, a decrease of one percentage point over
as financing from foreign sources and Canadian
the previous year.
distributors remained relatively low in 2006/07,
compared to previous years. While the total
• Public broadcaster licence fees accounted for
amount of foreign financing for Canadian television 13%, an increase of two percentage points.
production did increase in 2006/07, financing
from domestic sources – particularly Canadian • Federal and provincial tax credits accounted for
broadcasters, tax credit, and other private sources 26%, an increase of one percentage point.
– fuelled the expansion in Canadian television
production. • Canadian distributors accounted for 6%, the
same level as the prior year.
P rof i l e 2 0 0 8 45
• Foreign sources accounted for 9%, a decrease • Other public sources accounted for 8%, the
of one percentage point. same level as the prior year.
• Production companies contributed 3%, the same • Other private sources accounted for 12%, a
level as the prior year. decrease of two percentage points.
Exhibit 3 - 40: Financing of Canadian television production
01/02 02/03 03/04 04/05 05/06 06/07

% $ millions % $ millions % $ millions % $ millions % $ millions % $ millions
Private broadcaster
licence fees 16% 292 20% 355 22% 377 23% 417 23% 418 22% 460
Public broadcaster
licence fees 8% 135 9% 159 10% 169 10% 183 11% 200 13% 275
Federal tax credit 9% 160 9% 163 10% 174 11% 194 10% 192 11% 230
Provincial tax credit 11% 191 11% 206 12% 203 13% 230 15% 277 15% 322
Canadian distributor 11% 195 7% 127 8% 133 6% 107 6% 101 6% 135
Foreign 22% 390 19% 341 14% 247 13% 228 10% 189 9% 196
Production company 4% 77 3% 62 4% 67 3% 56 3% 54 3% 59
Other public* 8% 146 9% 156 8% 140 8% 152 8% 139 8% 175
Other private** 11% 200 13% 236 12% 212 14% 248 14% 258 12% 259
Total 100% 1,785 100% 1,805 100% 1,723 100% 1,816 100% 1,829 100% 2,112
* Other public includes financing from the Canadian Television Fund (public contributions), provincial governments, Telefilm Canada and
other government departments and agencies.
** Other private includes financing from the Canadian Television Fund (BDU contributions), independent production funds, broadcaster
equity, and other private investors.
Sources of production financing can vary • Variety and performing arts programming
considerably across the television genres. received 63% of its financing from broadcaster
Producers often look to different sources of licence fees, and 20% from tax credits.
financing, depending on the genre of the content.
In 2006/07, the various genres of Canadian • Magazine programming received 66% of its
television production had the following financing financing from broadcaster licence fees, and
patterns: 26% from federal and provincial tax credits.
• Fiction productions received 25% of their The financing models for Canadian television
financing from broadcaster licence fees, 26% production also vary between Canada’s two
from tax credits, and 14% from foreign sources. language markets. French-language television
production is financed largely from Canadian
• Children’s and youth programming received broadcaster licence fees and tax credits, with
28% of its financing from broadcaster licence limited amounts from other sources. The lower
fees, 29% from tax credits, and 16% from other average budgets for French-language Canadian
private sources. Only 4% of the financing for television programming (see Section 3.2.5) permits
children’s and youth programming came from Canadian broadcasters to cover a larger share
foreign sources; however Canadian distributors of the total budget. English-language Canadian
did account for 10%. television production derives more financing from
foreign sources and Canadian distributors; the
• Documentaries received 40% of their financing financing from these two sources offsets the
from broadcaster licence fees, 26% from tax relatively smaller share from Canadian broadcasters.
credits, and 10% from other private sources.
46 P rof i l e 2 0 0 8
In the English-language market, Canadian distributors contributed 22% of the financing for
broadcasters accounted for 29% of total financing English-language Canadian television production;
in 2006/07; in the French-language market, the while in the French-language market, these two
share was 49%. Foreign sources and Canadian sources contributed only 1%.
Exhibit 3 - 41: Financing of Canadian television production, by genre, 2006/07
Children’s Variety and

Fiction and Youth Documentary Performing Arts Magazine All Genres
Private broadcaster
licence fees 14% 131 20% 66 31% 132 25% 33 40% 54 22% 460
Public broadcaster
licence fees 11% 107 8% 26 9% 39 38% 50 26% 35 13% 275
Foreign 14% 133 4% 15 8% 35 0% 0 0% 0 9% 196
Other public* 10% 91 8% 28 9% 40 7% 9 1% 2 8% 175
Other private** 14% 135 16% 55 10% 44 7% 9 4% 6 12% 259
Total 100% 948 100% 337 100% 428 100% 132 100% 136 100% 2,112
* Other public includes financing from the Canadian Television Fund (public contributions), provincial governments, and other government
departments and agencies.
Exhibit 3 - 42: Financing of English-language Canadian television production
01/02 02/03 03/04 04/05 05/06 06/07
Private broadcaster
licence fees 15% 192 18% 231 20% 246 22% 284 21% 266 21% 324
Public broadcaster
licence fees 3% 43 5% 66 6% 71 6% 77 7% 91 8% 118
Foreign 29% 365 26% 327 20% 236 17% 225 14% 179 13% 200
Other public* 7% 94 8% 101 8% 96 8% 107 8% 96 8% 119
Other private** 10% 124 12% 149 12% 149 13% 168 14% 174 13% 194
Total 100% 1,261 100% 1,269 100% 1,208 100% 1,297 100% 1,264 100% 1,540
P rof i l e 2 0 0 8 47
Exhibit 3 - 43: Financing of French-language Canadian television production
01/02 02/03 03/04 04/05 05/06 06/07
Private broadcaster
licence fees 21% 90 26% 118 27% 117 26% 124 26% 137 23% 130
Public broadcaster
licence fees 20% 86 19% 85 20% 90 21% 98 21% 109 26% 145
Foreign 3% 13 1% 3 1% 4 1% 3 1% 3 0% 0
Other public* 11% 45 10% 45 9% 38 8% 38 8% 42 8% 43
Other private** 16% 69 17% 78 13% 58 16% 74 15% 79 14% 75
Total 100% 427 100% 458 100% 440 100% 473 100% 519 100% 553
Broadcaster Licence Fees • For the variety and performing arts genre, the
average broadcaster licence fee was $101,000
Canadian broadcasters represent the largest per hour in the French-language market and
single source of financing for Canadian television $218,000 per hour in the English-language
production. Most financing from Canadian market.
broadcasters is in the form of a broadcast licence
fee. On a per-hour basis, broadcast licence fees
vary significantly across genres and Canada’s two
language markets.
Exhibit 3 - 44: Average licence fees paid
• In 2006/07 in the fiction genre, broadcaster by Canadian broadcasters for Canadian
licence fees averaged $150,000 per hour in the television programming, 2006/07
French-language market and $286,000 per hour
in the English-language market. 150
Fiction
286
• For documentaries, the average broadcaster 54

Documentary French
licence fee was $54,000 per hour in the French- 128
English
language market and $128,000 per hour in the
90
English-language market. Children’s
and Youth 156
Variety and 101

• For children’s and youth programming, the Performing
Arts 218
average broadcaster licence fee was $90,000
per hour in the French-language market and 0 50 100 150 200 250 300
$156,000 per hour in the English-language $ 000s per hour

market.
Source: Estimates based on data obtained from CAVCO for a sample
of 2006/07 projects and on CAVCO classifications.
48 P rof i l e 2 0 0 8
3.2.10 Broadcaster Spending television services: the number of services in this

segment rose from 123 to 136 – an increase
Canadian broadcasters license original and repeat of 11%.
programming from both independent Canadian
production companies as well as broadcaster- Spending by pay television services rose 45%
affiliated production companies. The latter includes to $58 million. This increase was largely due to
production companies in which broadcasters own significantly higher levels of spending on Canadian
or control at least 30% of the equity, whereas programming by pay-per-view (PPV) and video-
the former are independent from broadcaster on-demand (VOD) services. Eligible Canadian-
ownership. programming expenditures by PPV and VOD
services increased from $7 million to $20 million in
During the 2006 broadcasting year (September 2006.2 This segment also experienced an increase
2005 to August 2006) Canadian broadcasters’ in the number of television services – from 22 to
spending on independent Canadian production 27 – which contributed to the rise in expenditures.
(original and repeat programming) increased 22%
to a total of $613 million. There were increases in Private conventional broadcasters increased their
spending on Canadian programming in each of the spending 5% to $145 million.
three broadcasting-industry segments.
2
CRTC , Broadcasting Policy Monitoring Report 2007, p. 82
Specialty television services accounted for
the largest share of the increased broadcaster
spending. In 2006, their expenditures on Canadian
programming increased by $86 million, or 27%
over 2005. The increase in expenditures was due,
in part, to the increase in the number of specialty
Exhibit 3 - 45: Expenditures on Canadian independent production by private

Canadian broadcasters*
700 Private conventional television

Pay television 613
600 Specialty television

517 145
501
487
$ millions
500
430 126
138 58
122
400 358 109 38
324 34 40
283 101 30
300 100
215 97 23
191 194 26 410
200 87 15 354
72 331 324
76 291
17 12 233
15 198
100 171
101 106 116
0
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
Source: Data obtained from the CRTC.

* Includes CBC-Radio Canada’s specialty-television services.
Note: Spending on Canadian Independent Production Programming refers to programming and production expenses of conventional
television licensees, and Canadian program amortization of specialty and pay television licensees.
P rof i l e 2 0 0 8 49
In addition to their expenditures on independent $1 million to a total of $448 million in 2006. Private
production, Canadian broadcasters spent $92 conventional broadcasters saw their PBIT drop 62%
million in 2006 on the licensing of television to a total of $91 million in 2006. This steep drop
programs produced by broadcaster-affiliated in PBIT can, in large part, be traced back to private
production companies. The level of expenditures conventional broadcasters’ higher expenditures
was unchanged from 2005. Of the total amount in on foreign programming. Private conventional
2006, private conventional broadcasters accounted broadcasters’ spending on foreign programming
for $55 million; specialty and pay television services rose by $74 million in 2006; their spending on
accounted for $36 million. Canadian programming rose by $37 million.3
The Canadian broadcasting industry experienced

3
Source: Nordicity calculations based on data in CRTC, Television: Statistical
increased revenues in 2006; however, its level of Financial Summaries, 2005 and 2006.
profits dropped from 2005. The total revenues of
private Canadian broadcasters increased by $272
million, or 6%, during 2006. The specialty and pay
television segments both posted higher revenues Exhibit 3 - 46: Expenditures by private
in 2006; while private conventional broadcasters Canadian broadcasters* on
saw their revenues actually drop by $2 million. The broadcaster-affiliated production
revenues of pay television services rose 18% to
( $ millions ) 2000 2001 2002 2003 2004 2005 2006
$482 million. The revenues of specialty television
services increased 11% to just over $2 billion. Private conventional
Private conventional broadcasters still accounted for broadcasters 47 37 37 28 44 49 55
the largest share of broadcasting-industry revenues,
with revenues of $2.2 billion. Specialty and pay
television services n.a. n.a. n.a. n.a. n.a. 43 36
The pay television segment was the only part of Total n.a. n.a. n.a. n.a. n.a. 92 92
the Canadian broadcaster industry that improved its
profitability in 2006. Pay television services earned Source: CRTC.
profits before interest and taxes (PBIT) of $125 n.a. – data not available.
million in 2006, up from $108 million in 2005. The Some totals may not add due to rounding.
PBIT of specialty television services actually declined
Exhibit 3 - 47: Total revenue of private Canadian broadcasters*
5,000 Private conventional television 4,690

Pay television 4,418
Specialty television 4,179
3,977
4,000
3,596
3,394 2,195
$ millions
3,151 2,197
2,905 2,115
3,000 2,092
2,667
2,424 1,893
2,270 1,903
482
1,880
410
2,000 1,867 384
1,825 350
1,707 333
1,605 286
214
157 2,013
1,000 1,680 1,811
125 1,370 1,535
123 127 1,205
881 1,057
717
542 590
0
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

50 P rof i l e 2 0 0 8
Exhibit 3 - 48: Total profit before interest and taxes (PBIT) of private Canadian broadcasters*
799
800 Private conventional television
Pay television 664
700 647 242
Specialty television
582
$ millions
91
600
513
482 233
108 125
500 430
393 299
370
400 242
329 260 85
311
300 280 178

267
202 62 90 449
213 26 448
200 329
80
17 23 32
15 196 209 193
100
109 104 118 112
83
0
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006

3.2.11 Canadian Television Fund • The CTF contributed $252 million to production
volume totalling $880 million in 2006/07.
The Canadian Television Fund (CTF) is a public-
private partnership with the objective of funding • Other financing – comprised largely of
the production of high-quality, distinctly-Canadian contributions from production companies,
television programs in the genres of drama, broadcasters, other government sources and
(fiction), children’s and youth programming, distributors – contributed an additional $628
documentary, and variety and performing arts million to CTF-supported productions.
programming. The CTF derives its revenues from
broadcast distribution undertakings (cable television • CTF contributions rose by 1%; the total volume
services and direct-to-home satellite services), and of CTF-funded production increased by 8%.
the federal government; the CTF then distributes The increase in CTF contributions was possible
this revenue to producers of Canadian television because of increased contributions from cable-
programs. television and direct-to-home satellite service
providers.
Volume
• The CTF made a slight improvement in the
The CTF was established in 1996 and continues financial leverage on its projects. Each dollar
to be one of the key tools for supporting Canadian of financial support from the CTF attracted an
television production. In 2006/07, its contribution additional $2.49 from other public and private
to Canadian television programming rose, as did the financing sources in 2006/07, compared to $2.28
total production volume supported by its financial in 2005/06.
contributions.
P rof i l e 2 0 0 8 51
Exhibit 3 - 49: Total Canadian television production with CTF contributions

1,000 Other financing*
Contribution 880
817
758 764
800 733 733
659
620
$ millions
578 572
552
600 628
509 568
558 507 497
440
400 425
396 391
390
200
227 255 236 249 252
182 200 195 219
162 181
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Canadian Television Fund.

* Other financing includes contributions from production companies, broadcasters, other government sources and distributors.
Jobs Supported by CTF Production number of supported production hours; while the
documentary, and children’s and youth genres
In 2006/07, CTF-supported television production experienced declines in production hours.
generated an estimated 22,400 FTEs, including
8,600 FTEs directly in television production and a In 2006/07, the CTF’s funding contributions to
further 13,800 FTEs in other parts of the Canadian documentary, and variety and performing arts
economy. The FTEs generated by CTF-supported genres increased; contributions to drama production
production rose 5% in 2006/07, as the volume of decreased; while contributions to the children’s and
CTF-supported production itself increased. youth genre remained unchanged.
Hours of Television Production
The CTF supports genres that are traditionally Independent Production Funds
under-represented in the Canadian broadcasting
system. In 2006/07, the CTF supported just over
2,297 hours of production. This total included: Privately funded independent production
funds are a major source of private-sector
• 798.2 hours of documentary programming; funding for Canadian film and television
production. In the 2006 fiscal year, Canada’s
• 680.7 hours of children’s and youth 15 independent production funds made
programming; funding commitments totalling $59 million to
film, television, and new media projects. Of
• 548.5 hours of drama (i.e., fiction) programming; this amount, production financing comprised
and, approximately $39 million, interim financing
comprised $17 million, and development
• 270 hours of variety and performing arts financing comprised $3 million.
programming.
Amounts based on statistics collected from independent
production funds.
Two of the genres – drama, and variety and
performing arts – experienced increases in the
52 P rof i l e 2 0 0 8
Exhibit 3 - 50: Number of full-time equivalent jobs (FTEs) generated by

CTF-supported production
Indirect Jobs
Direct Jobs 23,200
25,000 22,400
21,000 21,300 21,300
19,500
18,000 18,400 18,000
20,000 17,200 17,400
14,300
13,800
FTEs
15,000 12,900 13,100 13,100

12,000
11,100 11,300 11,100
10,600 10,700
10,000
5,000 8,900 8,100 8,200 8,200 8,600

6,900 6,600 6,700 7,100 6,900 7,500
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Estimates based on data from the Canadian Television Fund and Statistics Canada.
Exhibit 3 - 51: CTF-supported hours of television production, by genre
( hours of production ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Documentary 543.0 568.0 713.0 634.0 968.0 1,120.8 1,000.2 738.5 809.8 836.5 798.2
Children’s & Youth 724.0 517.0 647.0 582.5 513.0 681.5 749.6 595.8 781.8 717.2 680.7
Drama (fiction) 614.0 418.0 600.0 638.0 631.0 624.0 532.0 441.0 471.5 525.0 548.5
Variety & Performing Arts 312.0 380.0 285.0 180.5 275.0 364.2 273.0 366.5 312.5 197.0 270.0
Total 2,193.0 1,883.0 2,245.0 2,035.0 2,387.0 2,790.5 2,554.8 2,141.8 2,375.6 2,275.7 2,297.3

Exhibit 3 - 52: CTF contributions to television production, by genre
( $ millions) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Documentary 23.8 28.4 32.5 31.8 44.0 55.7 50.0 44.6 46.5 48.3 51.6
Children’s & Youth 40.0 33.9 37.3 28.3 31.1 48.8 58.1 40.5 45.0 46.3 46.3
Drama (fiction) 113.3 89.1 122.0 115.1 113.1 111.8 135.8 126.1 133.8 146.3 143.6
Variety & Performing Arts 4.5 1.6 7.2 6.0 6.2 10.6 10.4 7.7 10.2 8.0 10.2
Total 181.6 153.0 199.0 181.2 194.4 226.9 254.3 218.9 235.5 248.9 251.7
Percent of total
Documentary 13.1% 18.6% 16.3% 17.5% 22.6% 24.5% 19.7% 20.4% 19.7% 19.4% 20.5%
Children’s & Youth 22.0% 22.2% 18.7% 15.6% 16.0% 21.5% 22.8% 18.5% 19.1% 18.6% 18.4%
Drama (fiction) 62.4% 58.2% 61.3% 63.5% 58.2% 49.3% 53.4% 57.6% 56.8% 58.8% 57.0%
Variety & Performing Arts 2.5% 1.0% 3.6% 3.3% 3.2% 4.7% 4.1% 3.5% 4.3% 3.2% 4.1%
Total 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%

P rof i l e 2 0 0 8 53
3.2.12 Treaty Co-Production Canadian producers were involved in four

multipartite television treaty co-productions in 2007,
Canada’s volume of international treaty co- with combined budgets of $27.2 million.
production in the television sector totalled $178
million in 2007. Canada had a total of 35 treaty co- While the children’s and youth genre had, for the
production projects in the television sector in 2007. last few years, been the leading genre of Canada’s
The Canadian budgets of these 35 projects totalled television treaty co-production, in 2007, the drama
$81 million, while the foreign budgets totalled $97 genre accounted for the largest share.
million. The average size of Canada’s television
treaty co-production projects decreased slightly in Canadians produced only five television programs
2007 to $5.1 million. in the drama genre under international treaties;
however, these programs generated total budgets
France maintained its position in 2007 as Canada’s of $82 million, and accounted for 46% of total
largest bipartite partner for television treaty treaty co-production for the television market.
co-productions. Canadians partnered with French
producers to make 12 television projects with total Children’s and youth television production made
budgets of $56.3 million. Ireland moved past the under international treaties totalled $63 million, or
U.K. in 2007 to become Canada’s second largest 35% of total television treaty co-production.
partner for television projects. Canadians produced
two television projects with Irish producers in 2007 The number of television-documentary projects
with total budgets of $43.4 million.The U.K. was made by Canadians under international treaties was
Canada’s third largest partner in 2007, with $24.2 unchanged in 2007, at 20. However, the value of
million in production volume the total budgets of these documentaries dropped
in 2007. slightly, to $32 million.
Exhibit 3 - 53: Treaty co-production with Canada in the television sector
( $ millions unless
otherwise specified) 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Foreign budgets 134 117 161 183 277 274 183 143 117 128 124 97
Canadian budgets 116 105 218 211 387 313 185 125 104 100 93 81
Total volume 250 222 379 394 664 587 368 268 221 228 217 178
Number of projects 31 37 60 53 76 82 78 55 55 52 41 35
Average project budget 8.1 6.0 6.3 7.4 8.7 7.2 4.7 4.9 4.0 4.4 5.3 5.1

Note: Statistics subject to change.
54 P rof i l e 2 0 0 8
Exhibit 3 - 54: Treaty co-production with Canada in the television sector,

by partner country, 2006 and 2007
2006 2007
Number Total Number Total
of volume of volume
Country Projects ($ millions) Projects ($ millions)
Bipartite
France 15 70.8 12 56.3
Ireland 2 41.6 2 43.4
United Kingdom 13 62.4 11 24.2
Luxembourg - - 1 10.7
Australia 2 6.4 1 6.6
Germany 2 1.1 3 6.3
Philippines 2 13.1 1 3.3
Total Bipartite 36 195.4 31 150.8
Multipartite
South Africa-UK - - 1 13.1
Australia-Singapore - - 1 8.7
UK-Romania 1 7.2 1 4.8
Germany-Greece - - 1 0.6
Germany-Ireland 1 5.3 - -
Germany-South Korea 1 4.5 - -
France-South Africa 1 2.3 -
France-Israel 1 1.8 - -
Total Multipartite 5 21.1 4 27.2
Grand Total 41 216.5 35 178.0

Note: Total volume refers to the global budget rather than only the Canadian portion of the budget. Statistics subject to change.
Exhibit 3 - 55: Volume of international treaty co-production for the television market, by genre
2001 2002 2003 2004 2005 2006 2007
Total volume of production ($ millions)

Drama 267 171 30 51 42 66 82
Documentary 39 57 28 43 51 34 32
Children’s & Youth 280 138 211 124 133 116 63
Other -- 2 -- 3 2 -- --
Total 587 368 268 221 228 216 178
Number of projects
Drama 14 12 5 4 3 5 5
Documentary 32 47 27 31 29 20 20
Children’s & Youth 36 18 23 18 19 16 10
Other -- 1 -- 2 1 -- --
Total 82 78 55 55 52 41 35
Average project budgets ($ millions)

Drama 19.1 14.3 6.0 12.8 14.0 13.2 16.4
Documentary 1.2 1.2 1.0 1.4 1.8 1.7 1.6
Children’s & Youth 7.8 7.7 9.2 6.9 7.0 7.3 6.3
Other -- 2.0 -- 1.5 2.0 -- --
Total 7.2 4.7 4.9 4.0 4.4 5.3 5.1

Note: Total volume refers to the global budget rather than only the Canadian portion of the budget. Statistics subject to change.
P rof i l e 2 0 0 8 55
3.2.13 Audiences
Exhibit 3 - 56: Television audience share to
Between September 2005 and May 2006, the Canadian programming, English-language
share of viewing to Canadian programs remained market, September 2005 to May 2006
much lower in the English-language market than
in the French-language market, particularly in the
drama genre.
In the English-language market: Drama 17% 83%
• Canadian drama programs captured 17% percent Documentary 65% 35%

of the viewing to all drama programming on
Canadian television. Children’s & 48% 52%
Youth
• Canadian documentaries accounted for 65% of Variety & 35% 65%

Performing Arts
viewing to all television documentary programs.
All genres 44% 56%
• Canadian children’s and youth programming 0 20 40 60 80 100
accounted for 48% of total viewing to children’s Share of total viewing
programming.
• In the variety and performing arts genre, Source: CTF and BBM Nielsen
Canadian programs captured 35% of total
viewing.
• Overall, Canadian programming across all genres

accounted for 44% of total viewing; foreign
programming accounted for the remaining 56%
of total viewing. Exhibit 3 - 57: Television audience share to
Canadian programming, French-language
Canadian programming continued to hold a strong market, September 2005 to May 2006
share of audiences in Canada’s French-language
market between September 2005 and May 2006.
• Canadian drama (fiction) programs captured 42%

of the viewing to all drama programming on
Canadian television. Drama 17%42% 85% 58%
• Canadian documentaries accounted for 82% of Documentary 65%

82% 35%
18%
viewing to all television documentary programs.

Children’s & 48%66% 52%
34%
Youth
• Canadian children’s and youth programming
Variety & 35% 90% 65% 10%
accounted for 66% of total viewing to all Performing Arts
children’s and youth programming.
All genres 44%66% 56%
34%
• In the variety and performing arts genre, 0 20 40 60 80 100
Canadian programs captured 90% of total Share of total viewing

viewing.
Source: CTF and BBM Nielsen

• Overall, Canadian programming across all genres
accounted for 66% of total viewing in Canada’s
French-language market; foreign programming
accounted for the remaining 34% of total
viewing.
56 P rof i l e 2 0 0 8
Top-Rated Television Programs

Exhibit 3 - 58: Top ten television series in
American-produced television programs occupied Canada, September 2006 to May 2007
all ten spots on the list of the top-rated television Average Minute
Program (country of origin) Audience* (000s)
series in Canada between September 2006 and
May 2007 when measured on the basis of Average 1. C.S.I (U.S.) 3,047
Minute Audience (AMA). 2. American Idol 6 - Performance Show (U.S.) 2,830
3. American Idol 6 - Results Show (U.S.) 2,630
4. C.S.I. Miami (U.S.) 2,273
• C.S.I. was the leading television series in 5. Desperate Housewives (U.S.) 2,261
6. Grey’s Anatomy (U.S.) 2,173
Canada, with an AMA of just over three million 7. House (U.S.) 2,127
persons aged two and over. 8. Criminal Minds (U.S.) 2,077
9. E.R. (U.S.) 2,011
10. Law & Order: SVU (U.S.) 1,773
• No Canadian-produced series made it into the
top ten between September 2006 and Source: CTF and BBM Nielsen
* Average Minute Audience (Aged 2+) – the number of viewers, aged two and
May 2007. over, tuned to the average minute of a program. Note: The list of top television
programs is based only on television programs in the CTF-supported genres
(drama, children’s and youth, documentary, and variety and performing arts).
Top-Rated Canadian-Produced
Television Programs Exhibit 3 - 59: Top ten Canadian television
series in the French-language market,
The leading Canadian-produced French-language September 2006 to May 2007
programs between September 2006 and May 2007 Average Minute
included: Program (country of origin) Audience* (000s)
1. Lance et compte : La revanche 1,716

• the dramatic series, Lance et compte : La 2. Taxi 0-22 1,525
revanche, Nos étés, Le Négociateur; 3. Les Poupées russes 1,478
4. Le Petit Monde de Laura Cadieux 1,328
5. Annie et ses hommes 1,326
• the teleromans, Les Poupées russes, Annie et 6. Nos étés 1,315
7. Le Négociateur 1,202
ses hommes; L’auberge du chien noir; 8. Bob Gratton: Ma vie, my life 1,174
9. Le Sketch Show 1,063
• the comedy series, Taxi 0-22, Le Petit Monde de 10. L’auberge du chien noir 1,052
Laura Cadieux, Bob Gratton: Ma vie, my life; and, Source: CTF and BBM Nielsen
over, tuned to the average minute of a program. Note: The list of top television
• the comedy-sketch program, Le Sketch Show; programs is based only on television programs in the CTF-supported genres
In the English-language market, the list of top ten

television programs included:
Exhibit 3 - 60: Top ten Canadian television
• the comedy series, Corner Gas, Little Mosque series in the English-language market,
on the Prairie, Rick Mercer Report, This Hour September 2006 to May 2007
Has 22 Minutes, Winnipeg Comedy Festival, and Average Minute
Program (country of origin) Audience* (000s)
Halifax Comedy Festival;
1. Corner Gas 1,505
• the current-affairs programs, W-Five and W-Five 2. Little Mosque on the Prairie 1,062
3. W-Five 756
Presents; 4. Rick Mercer Report 714
5. This Hour Has 22 Minutes 597
6. Degrassi: The Next Generation 496
• the dramatic series, Degrassi: The Next 7. Winnipeg Comedy Festival 495
Generation; and, 8. Halifax Comedy Festival 471
9. W-Five Presents 457
10. Hockey: A People’s History 415
• the documentary series, Hockey: A People’s
History. Source: CTF and BBM Nielsen
over, tuned to the average minute of a program. Note: The list of top television
programs is based only on television programs in the CTF-supported genres
P rof i l e 2 0 0 8 57
3.3 Theatrical Production In recent years, many Canadian theatrical films,

such as Les 3 P’tits cochons, Nitro, Eastern
Canadian theatrical production (or theatrical- Promises, Away From Her, Shake Hands with
release production) includes feature films and the Devil, and À vos marques… Party! have had
short films made with movie theatres as the strong box office runs and critical acclaim.
primary venue for initial release to the public.
Highlights
• Canadian theatrical production totalled $282 • The share of the number of films with
million in 2006/07, a decrease of 14%. budgets over $10 million dropped to 2%
from 5% in 2005/06; while the share of films
• Canadian producers made 96 theatrical films with budgets between $1 million and $4.99
in 2006/07, up from 85 in 2005/06. million increased from 46% to 58%.
• Canadian theatrical production generated an • Quebec-based producers accounted for 44%

estimated 7,500 FTEs, including 2,900 FTEs of the total volume of Canadian theatrical
employed directly in production. production.
• English-language production fell 32% to a • Public sources accounted for 58% of total
total of $179 million, although the number of financing of Canadian theatrical-release films.
English-language films actually rose from 56
to 57. • Canada’s volume of international treaty co-
production in the theatrical sector jumped by
• The number of French-language films jumped 48% in 2007 to reach a total of $300 million;
from 27 to 36 as the volume of production this increase followed a rise of 37% in 2006.
increased by 61% to a total of $98 million.
• France was Canada’s largest bipartite partner
• There were 86 Canadian theatrical films for theatrical treaty co-production in 2007;
made in the fiction genre, accounting for the two countries partnered for over $146
95% of the total volume of production. million in production.
• The average budget of English-language films • A total of 629 film titles played in Canadian
fell to $3.1 million, from $4.7 million the theatres in 2007; of this total, 112 were
year before. The average budget of French- Canadian films.
language films increased to $2.7 million from
$2.3 million in 2005/06. • Canadian films’ share of the Canadian box
office dropped to 3.2% in 2007, from 4.2%
in 2006.
3.3.1 Volume production decreased to $282 million in 2006/07,

from $329 million the year before. Despite this
The total volume of Canadian theatrical production decrease in production volume, the annual number
decreased by 14% in 2006/07, even as the annual of theatrical films made by Canadian producers
number of Canadian theatrical films reached an 11- increased to 96 in 2006/07, from 85 the year
year high. The total volume of Canadian theatrical before.
58 P rof i l e 2 0 0 8
Exhibit 3 - 61: Total volume of Canadian theatrical production
342
350 329
300 279 282
249
$ millions
250 226 227 228
201
200 186
177
150
100
50
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Exhibit 3 - 62: Number of Canadian theatrical films produced in Canada on an annual basis
100 96
92
85
78
80
70
67
64
Number of films
63 63
57
60
52
40
20
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
P rof i l e 2 0 0 8 59
3.3.2 Employment well as 4,600 FTEs in other parts of the Canadian

economy. The number of FTEs generated by
The production of Canadian theatrical films Canadian theatrical production dropped by 15% in
generated an estimated 7,500 FTEs in Canada in 2006/07, as the total volume of Canadian theatrical
2006/07. This amount included 2,900 FTEs directly production dropped.
in the production of Canadian theatrical films, as
Exhibit 3 - 63: Number of full-time equivalent jobs (FTEs) in Canadian

theatrical production
10,000 Indirect Jobs 9,300

Direct Jobs 8,900
7,800 7,800
8,000 7,500
6,800 6,700
6,500
6,200 5,700
5,800 5,500
6,000
FTEs
4,800 4,800 4,800 4,600

4,200 4,100
3,800 4,000
4,000 3,600
3,000
2,000 3,600
3,000 3,400
3,000 2,900
2,400 2,600 2,600 2,500
2,200
1,800
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07

3.3.3 Language language films jumped from 27 to 36 as the

volume of production increased by 61% to a total
There was a sharp drop in the volume of Canadian of $98 million. Canadian producers also made
theatrical production originally shot in English in three theatrical films in other languages or bilingual
2006/07, even as the volume of French-language format in 2006/07. These three films generated a
production expanded. In 2006/07, the volume of total volume of production of $5 million.
Canadian theatrical production originally shot in
English fell 32% to a total of $179 million. Despite
the significant drop in production volume, the
number of English-language films actually rose
from 56 to 57 in 2006/07. The number of French-
60 P rof i l e 2 0 0 8
Exhibit 3 - 64: Volume of Canadian theatrical production, by language
342
350 Bilingual and other 329
French 32 4
English 282
300 279 61
2 5
249 81
50
250 1 227 228
22 226
10 98
4
201
$ millions
186 41 40 56
200 26 177
25 3
150 59
264
226 227 229

100 176 180 179
161 178 172
115
50
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07

Exhibit 3 - 65: Number of theatrical films, by language
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
English 44 48 40 46 44 42 56 52 40 56 57
French 13 15 12 23 17 25 21 36 21 27 36
Bilingual and other 0 1 0 1 2 0 1 4 2 2 3
Total 57 64 52 70 63 67 78 92 63 85 96
3.3.4 Genres fiction-genre films rose by 12, while the volume of

production contracted by $51 million in 2006/07.
Canadian theatrical production in 2006/07 was
concentrated in the fiction genre; however both There was one Canadian film produced in the
the documentary and children’s and youth genres children’s and youth genre in 2006/07; it had a
experienced increased levels of Canadian theatrical budget of approximately $7 million. The volume of
production. Canadian theatrical production in the documentary
genre doubled to $6 million in 2006/07, as the
There were a total of 86 Canadian theatrical films in number of theatrical documentaries increased from
the fiction genre in 2006/07; these films generated five to eight.
a total volume of $267 million. The number of
P rof i l e 2 0 0 8 61
Exhibit 3 - 66: Volume of Canadian theatrical production, by genre
($ millions) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Fiction 168 241 182 225 207 218 272 317 152 318 267
Children’s & Youth 13 1 16 <1 8 0 4 1 0 2 7
Documentary 4 7 3 <1 7 7 3 24 5 3 6
Other 1 1 0 <1 6 0 0 0 18 7 1
Total 186 249 201 226 227 228 279 342 177 329 282

Exhibit 3 - 67: Number of Canadian theatrical films, by genre
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Fiction 50 58 47 67 58 63 73 80 51 74 86
Children’s & Youth 3 1 3 1 2 0 1 2 0 2 1
Documentary 2 4 1 1 2 3 4 9 6 5 8
Other 1 1 0 1 1 0 0 1 5 4 1
Total 57 64 52 70 63 67 78 92 63 85 96
3.3.5 Trends in Budgets average budget for a Canadian feature-length film in

the fiction genre dropped from $3.9 million to $2.9
With the increase in the number of Canadian million.
English-language theatrical films in the fiction genre
and the drop in the volume of production in this The share of the number of films with budgets over
market, the average budget fell to $3.1 million in $10 million dropped to 2% in 2006/07, from 5% in
2006/07, from $4.7 million the year before. French- 2005/06. The share of films with budgets in the
language feature-length films actually experienced $5 million to $7.49 million range held steady
an increase in the average budget, from $2.3 at 14%, while the share of films with budgets
million to $2.7 million. However, this increase was between $1 million and $4.99 million increased
not enough to raise the overall average budget from 46% to 58%. The share of films with
for Canadian theatrical films in the fiction genre. budgets under $1 million dropped slightly, from
On an overall basis, across all languages (including 25% in 2005/06 to 22% in 2006/07.
Aboriginal-language and bilingual-formats), the
62 P rof i l e 2 0 0 8
Exhibit 3 - 68: Trends in budgets of theatrical feature films (fiction genre only)
($ millions per film) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
English
Average 3.7 4.7 4.4 3.9 4.0 4.1 4.0 4.4 2.9 4.7 3.1
Median 2.7 3.4 3.1 2.7 2.5 2.8 3.5 2.2 1.4 2.7 2.5
French
Average 1.9 1.5 2.2 1.8 2.3 2.2 2.4 2.3 2.8 2.3 2.7
Median 1.9 1.9 2.5 1.3 1.9 1.8 2.4 2.8 3.9 3.6 3.2
All languages
Average 3.3 3.9 3.9 3.2 3.6 3.4 3.6 3.7 2.8 3.9 2.9
Median 2.6 2.6 3.1 2.3 2.3 2.3 3.0 2.6 1.9 3.1 2.6

Note: Calculations exclude the foreign budgets of treaty co-productions. All languages category includes films produced in Aboriginal and
other languages as well as bilingual formats.
Exhibit 3 - 69: Annual shares of theatrical feature film projets, by budget size
2006/07
$20,000,000 and over 1% 2005/06
2%
2004/05
2%
$10,000,000 to $19,999,999 4%
2%
4%
$7,500,000 to $9,999,999 10%
14%
$5,000,000 to $7,499,999 14%
19%
30%
$2,500,000 to $4,999,999 24%
14%
28%
$1,000,000 to $2,499,999 22%
28%
22%
under $1,000,000 25%
35%
0 5% 10% 15% 20% 25% 30% 35%
share of number of projects

Note: Budget calculations exclude the foreign budgets of treaty co-productions.
P rof i l e 2 0 0 8 63
3.3.6 Production by Province accounting for 32% of total Canadian volume.

Ontario-based producers’ output dropped by 45%
Quebec returned to the position as the leading compared to 2005/06.
province for Canadian theatrical production
in 2006/07, after briefly yielding its long-held Theatrical production by B.C.-based producers also
leadership in this sector to Ontario in 2005/06. fell sharply in 2006/07: it dropped by 48%, from
$60 million to $31 million.
The volume of Canadian theatrical production by
Quebec-based producers rose to $124 million in The other provinces and territories with theatrical
2006/07 and accounted for 44% of the total volume production in 2006/07 were Nova Scotia ($18
of Canadian theatrical production during that year. million), Manitoba ($10 million), Alberta ($5 million),
Meanwhile, Ontario-based producers generated and the Territories ($3 million).
$90 million of theatrical production in 2006/07,
Exhibit 3 - 70: Volume of Canadian theatrical production, by province
( $ millions unless 06/07

otherwise specified ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07 (share)
Quebec 89 167 63 125 68 102 106 195 92 86 124 44%

Ontario 75 45 78 33 70 90 87 119 67 165 90 32%
British Columbia 18 20 46 44 59 29 48 17 10 60 31 11%
Nova Scotia 2 6 4 0 0 3 4 8 5 11 18 6%
Manitoba 2 3 5 2 5 3 6 1 2 3 10 4%
Alberta 0 2 1 15 9 0 24 1 1 1 5 2%
Territories* 0 0 0 0 0 0 0 0 0 3 3 1%
New Brunswick 0 0 2 0 1 0 0 0 0 0 0 0%
Newfoundland and Labrador 0 0 2 2 5 1 0 0 0 0 0 0%
Prince Edward Island 0 0 0 0 0 0 0 0 0 0 0 0%
Saskatchewan 0 6 0 5 9 0 4 0 0 0 0 0%
Total 186 249 201 226 227 228 279 342 177 329 282 100%

3.3.7 Financing While the public financing for Canadian theatrical

production increased in 2006/07, the level of foreign
Canadian theatrical production relies heavily on financing dropped sharply: total foreign financing
public sources of financing, including direct funding dropped from $68 million in 2005/06 to only $17
from the Canada Feature Film Fund (CFFF), Société million in 2006/07. As a share of total financing,
de développement des entreprises culturelles foreign sources dropped from 21% to 6%.
(SODEC), the Ontario Media Development
Corporation (OMDC), other provincial film agencies, In terms of the overall distribution of financing in
as well as federal and provincial tax credits. 2006/07:
In 2006/07 public sources (excluding public
broadcasters) accounted for 58% of total financing • Public sources (including CFFF) accounted for
of Canadian theatrical-release films. 36%, an increase of nine percentage points.
64 P rof i l e 2 0 0 8
• Tax credits accounted for 22%, a decrease of • Other private sources accounted for 13%, an
one percentage point. increase of one percentage point.
• Canadian distributors accounted for 13%, an • Production companies contributed 7% of

increase of three percentage points. financing, an increase of two percentage points.
• Foreign sources accounted for 6%, a decrease • Private and public broadcaster licence fees
of 15 percentage points. accounted for less than 3%, a slight decrease
from the year before.
Exhibit 3 - 71: Financing of Canadian theatrical production
01/02 02/03 03/04 04/05 05/06 06/07
Private broadcaster
licence fees 1% 3 2% 5 3% 12 2% 3 2% 8 2% 6
Public broadcaster
licence fees <1% 1 <1% 1 <1% 1 <1% 0 1% 3 <1% 1
Foreign 19% 43 17% 46 26% 90 10% 17 21% 68 6% 17
Other public* 26% 60 28% 78 24% 83 35% 61 27% 89 36% 101
Other private** 6% 15 9% 26 6% 22 13% 23 12% 39 13% 37
Total 100% 228 100% 279 100% 342 100% 177 100% 329 100% 282
3.3.8 Canada Feature Film Fund Unlike the CTF, the financial resources for the CFFF
are entirely comprised of contributions from the
The Canada Feature Film Fund (CFFF), established federal government.
in 2000 and administered by Telefilm Canada, is
the federal government’s main program for the In 2006/07, the CFFF provided a total of $96 million
support of the Canadian theatrical film industry. The in financial support to the development, production,
CFFF is comprised of several component programs distribution and marketing of Canadian feature
designed to support the various stages of the films.3 The $96 million in financial assistance
feature film production cycle, from scriptwriting to was comprised of $82.9 million in parliamentary
marketing. The CFFF also encompasses programs appropriations received by Telefilm Canada, and
to support low-budget independent filmmaking. $13.2 million in recoveries by Telefilm Canada from
past investments in feature film projects.4
3
Telefilm Canada, Annual Report 2006-2007, p. 81. This amount also includes CFFF funding for Canadian film festivals, participation in foreign festivals
and markets, industrial and professional development, and advertising and promotion initiatives (see Telefilm Canada, p. 100).
4
Ibid.
P rof i l e 2 0 0 8 65
Out of the total amount of CFFF financial The ratio of CFFF financing to other sources of
assistance, Telefilm Canada provided $64 million financing dropped sharply in 2006/07. In 2005/06,
in production funding to 44 feature films, which, in feature film projects attracted $2.06 for every dollar
turn, attracted an additional $98 million in financing of CFFF financing; in 2006/07, this rate dropped to
from other sources. $1.53. Telefilm Canada attributes this decreased
financial leverage largely to a drop in foreign
financing for CFFF-supported feature films.
Exhibit 3 - 72: Total Canadian feature film production activity with CFFF contributions
Other financing*
300
CFFF production funding 261
250
202
185
200 171 162
$ millions
188 147
150
156 130
101 98
100 99
50
70 73 64
46 55 48
0
01/02 02/03 03/04 04/05 05/06 06/07

* Other financing includes contributions from production companies, broadcasters, other government sources and distributors.
Note: Total budgets exclude the foreign portion of co-production budgets for which Canada is a minority partner.
Exhibit 3 - 73: Number of Canadian theatrical-release feature films that received

financial support from the CFFF
47
50 43 44
41
32 31
Number of films
25
0
01/02 02/03 03/04 04/05 05/06 06/07
66 P rof i l e 2 0 0 8
3.3.9 Treaty Co-Production production projects in the theatrical sector in 2007.

The Canadian budgets of these 25 projects totalled
Canada’s volume of international treaty co- $114 million, while the foreign budgets totalled
production in the theatrical sector increased 48% to $185 million. The average size of theatrical treaty
$300 million in 2007; this increase followed a rise co-production projects increased to $12 million in
of 37% in 2006. There were a total of 25 treaty co- 2007, from $9.7 million in 2006.
Exhibit 3 - 74: Treaty co-production with Canada in the theatrical sector
($ millions unless
otherwise specified) 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Foreign budgets 29 93 94 110 127 94 81 172 112 69 125 185

Canadian budgets 33 95 92 104 102 95 96 197 106 79 78 114
Total volume 62 188 186 214 229 189 177 369 218 148 203 300
Number of projects 12 27 16 21 21 20 21 31 17 16 21 25
Average project budget 5.2 7.0 11.6 10.2 10.9 9.5 8.4 11.9 12.8 9.3 9.7 12

Note: Some totals may not add due to rounding. Statistics are subject to change.
Exhibit 3 - 75: Treaty co-production with

Canada in the theatrical sector,
by partner country, 2006 and 2007
Number Total volume

of Projects ($ millions) France moved ahead of the U.K. in 2007, to
Country 2006 2007 2006 2007 become Canada’s largest bipartite partner for
Bipartite theatrical treaty co-productions. Canadians
France 5 9 28.3 146.1 produced nine theatrical projects with total budgets
United Kingdom 4 5 82.4 81.5
Germany - 2 - 19.0 of $146.1 million with partners in France. The
China 1 3 1.7 14.5 U.K. was still a major partner country for Canada
Switzerland - 2 - 4.9
Czech Republic - 2 - 3.1 in the theatrical market: with five films produced
Greece 1 - 11.0 -
Cuba 1 - 3.0 - in 2007 and total budgets of $81.5 million. Among
Israel 1 - 2.1 - Canada’s other partner countries in 2007 were
Morocco 1 - 1.9 -
Uruguay 1 - 1.5 - Germany, China, Switzerland and Czech Republic.
Total Bipartite 15 23 131.9 269.1 China was the only other repeat partner country
Multipartite from 2006.
Japan-Brazil - 1 - 26.8
Switzerland-France - 1 - 3.7
UK-South Africa 1 - 28.8 - Canadian producers were involved in two
Italy-Japan 1 - 24.4 -
UK-Poland-Netherlands 1 - 6.5 - multipartite theatrical treaty co-productions in 2007.
UK-Ireland 1 - 5.5 - Canada’s multipartite partners came from Japan,
Belgium-France 1 - 4.1 -
France-Burkina Faso-Mali 1 - 1.7 - Brazil, Switzerland and France.
Total Multipartite 6 2 71.0 30.5
Grand Total 21 25 203.1 299.6

Note: Total volume refers to the global budget rather than only
the Canadian portion of the budget. Statistics are subject to change.
P rof i l e 2 0 0 8 67
3.3.10 National Box Office Trends • American films earned $763 million in 2007,
an increase of 4% over 2006. American films
Canadian theatres collected $858 million in box accounted for 88.9% of box office receipts in
office revenues in 2007 – an increase of 3% Canada in 2007. A total of 312 American films
compared to 2006. American films as well as other played in Canadian theatres in 2007, up from 295
foreign films increased their box office revenues in 2006.
and market share in 2007 at the expense of
Canadian films. • Other foreign films earned $67 million in 2007,
up 6% compared to 2006. Films from other
• Canadian films earned $28 million in 2007, a foreign countries captured 7.8% of the Canadian
20% decrease from 2006. Canadian films saw box office in 2007. The number of other foreign
their share of the domestic box office drop films in Canadian theatres in 2007 decreased to
to 3.2%, from 4.2% in 2006. A total of 112 205, from 218 in 2006.
Canadian films played in Canadian theatres in
2007, up from 99 films in 2006.
Exhibit 3 - 76: Canadian box office revenues, by origin of production
1,000 945 957
33 903
24 858
41 834 832
28
46 35
800
600
$ millions
866
830 780
763
713 734
400
200
91 57 82 75 63 67
0
2002 2003 2004 2005 2006 2007
Source: Motion Picture Theatre Associations of Canada (MPTAC).

Further detailed Canadian box office statistics are available from the Motion Picture Theatre Associations of Canada (MPTAC)
which offers a subscription service. For more information call Adina Lebo, Executive Director, MPTAC, at (416) 969-7057. All box
office statistics presented in Profile 2008 take into account information provided by MPTAC as of January 10, 2008.
68 P rof i l e 2 0 0 8
Exhibit 3 - 77: Share of Canadian box office revenues, by origin of production
100 2.6% 3.5% 4.6% 5.5% 4.2% 3.2%
80
60
87.8% 90.5% 86.4% 85.5% 88.3% 88.9%
40
20
9.7% 6.0% 9.0% 9.0% 7.6% 7.8%

0
2002 2003 2004 2005 2006 2007

Exhibit 3 - 78: Number of films playing in Canadian theatres, by origin of production
700
629
612
566 564
600 537 530 99 112
113 105
85
500
Number of films
99
400
295 312
258 256 257
247
300
200
218 205
194 197 202
100 184
0
2002 2003 2004 2005 2006 2007
3.3.11 Box Office Trends of Canadian This includes films for which the original language
Films, by Linguistic Market of production was French, as well as other films
dubbed into French, or presented with French
When examined on the basis of Canada’s two subtitles. The English-language market refers to
major language markets for feature films, the all films presented in English (original language,
box office performance of Canadian films varies dubbed or subtitled).
considerably. In Canada, the French-language
market refers to all films presented in French.
P rof i l e 2 0 0 8 69
Canadian films exhibited in the French-language • Canadian films exhibited in the English-language
market saw their market share decline in 2007, market accounted for almost one percent of the
following a decrease in 2006. Canadian films in the total box office, down from 1.7% in 2006.
English-language market experienced a sharp drop
in revenues and market share in 2007. • Canadian films exhibited in the French-language
market accounted for 75% of Canadian films’
• In the French-language market, Canadian films total box office earnings in Canada in 2007;
earned $20.8 million in 2007, down from $22.3 Canadian films exhibited in the English-language
million in 2006. market accounted for 25%.
• Canadian films’ box office share in the French-

• Canadian films exhibited in the English-language
language market slid by nine-tenths of one
market experienced almost twice the level of
percentage point to 16.2% in 2007.
competition from foreign films, when compared
to the French-language market. In the English-
• In the English-language market, Canadian films
language market, there were 7.0 foreign films
earned $6.9 million – a drop of 45% compared to
2006. released in Canadian theatres in 2007 for
every Canadian film. In the French-language
market, the ratio was 3.9 foreign films for every
Canadian film released in Canadian theatres.
Exhibit 3 - 79: Canadian box office and market share, by linguistic market
2002 2003 2004 2005 2006 2007
French-language market
($ millions)
Box office of Canadian films in French 15.2 26.5 30.0 37.4 22.3 20.8
Box office of foreign films in French 107.0 118.0 106.7 101.1 108.1 107.6
Total box office of films in French 122.2 144.5 136.7 138.5 130.4 128.5
Canadian films’ share 12.5% 18.3% 21.2% 27.0% 17.1% 16.2%
(Number of films)
Canadian films playing in Canadian theatres 52 68 86 80 79 84
Foreign films playing in Canadian theatres 262 289 298 302 344 328
Total films playing in Canadian theatres 314 357 384 382 422 412
Ratio of foreign to Canadian films 5.0 4.3 3.5 3.8 4.4 3.9
English-language market
($ millions)
Box office of Canadian films in English 8.9 6.8 12.1 8.1 12.5 6.9
Box office of foreign films in English 814 805.4 754.1 687.4 703.2 722.2
Total box office of films in English 822.9 812.2 766.2 695.5 715.7 729.1
Canadian films’ share 1.1% 0.8% 1.6% 1.2% 1.7% 0.9%
(Number of films)
Canadian films playing in Canadian theatres 60 56 67 62 57 63
Foreign films playing in Canadian theatres 395 362 377 388 413 438
Total films playing in Canadian theatres 455 418 444 450 470 501
Ratio of foreign to Canadian films 6.6 6.5 5.6 6.3 7.2 7.0

Note: The English-language market is comprised of all films that are shown in the English language, regardless of whether the original film was
in English, dubbed into English, or exhibited with English subtitles. For the French-language market, all theatres in Canada (only Quebec and
New Brunswick are captured at this point in time) showing films in French (original, dubbed, or with subtitles) would be tabulated in the
French-language marketplace data. For example, along with all the original French-language films, the French subtitled version of the English
film Spider-Man 3 would be included in the box office receipts for the French-language market. Please note that these markets are not province
specific either. If a theatre in Quebec exhibited Spider-Man 3 in English, then the box office results would tabulated in the English-language
market results.
70 P rof i l e 2 0 0 8
3.3.12 Top Films, by Language of • In the English-language market, there were no

Presentation Canadian films ranked among the top ten films in
2007.
A review of the top ten films in each of Canada’s
linguistic markets further underlines the • In the French-language market, Canadian films
fundamental differences between the two language held three of the spots among the top ten films
markets in Canada. in 2007.
Exhibit 3 - 80: Top ten films presented in Exhibit 3 - 82: Top ten Canadian-produced
the English-language market, 2007 films presented in the English-language
market, 2007
Original
Box office receipts Country Box office receipts language of
Title (millions) of origin Title (millions) production
1. Transformers 27.2 U.S. 1. Eastern Promises 2.9 English
2. Spider-Man 3 26.9 U.S. 2. Away from Her 1.4 English
3. Harry Potter and the Order 3. Sharkwater 0.8 English
of the Phoenix 26.9 U.S. 4. Shake Hands with the Devil 0.3 English
4. Shrek the Third 24.2 U.S. 5. Partition 0.3 English
5. Pirates of the Caribbean: 6. Fido 0.3 English
At World's End 23.7 U.S. 7. Silk 0.2 English
6. The Bourne Ultimatum 21.0 U.S. 8. Days of Darkness
7. 300 20.5 U.S. (L'Âge des ténèbres) 0.1 French
8. The Simpsons Movie 16.3 U.S. 9. Young Triffie 0.1 English
9. Superbad 14.1 U.S. 10. Radiant City 0.1 English
10. Knocked Up 13.4 U.S.
Source: Motion Picture Theatre Associations of Canada (MPTAC). Source: Motion Picture Theatre Associations of Canada (MPTAC).
Exhibit 3 - 81: Top ten films presented Exhibit 3 - 83: Top ten Canadian-produced
in the French-language market, 2007 films presented in the French-language
market, 2007
Box office receipts Country
Original
Title (millions) of origin
Box office receipts language of
Title (millions) production
1. Harry Potter et l’ordre du
Phénix (Harry Potter and the 1. Les 3 P'tits cochons 4.5 French
Order of the Phoenix) 5.8 U.S. 2. Nitro 3.6 French
2. Spider-Man 3 4.7 U.S. 3. Ma Fille mon ange 2.6 French
3. Les Simpsons : Le Film 4. À vos marques… Party! 2.0 French
(The Simpsons Movie) 4.6 U.S. 5. Ma tante Aline 0.9 French
4. Les 3 P’tits cochons 4.5 Canada 6. L'Âge des ténèbres 0.8 French
5. Shrek le Troisième (Shrek the Third) 4.3 U.S. 7. Soie (Silk) 0.8 English
6. Pirates des Caraïbes : Jusqu’au 8. J’ai serré la main du diable
bout du monde (Pirates of the (Shake Hands with the Devil) 0.7 English
Caribbean: At World’s End) 3.9 U.S. 9. Nos voisins Dhantsu 0.7 French
7. Nitro 3.6 Canada 10. Dinosaures 3-D : Les géants
8. Transformers : Le Film de la Patagonie (Dinosaurs 3D:
(Transformers) 2.7 U.S. Giants of Patagonia) 0.6 English
9. Ma fille, mon ange 2.6 Canada
10. La vengeance dans la peau
(The Bourne Ultimatum) 2.1 U.S.
P rof i l e 2 0 0 8 71
4. Foreign Location
Production
The foreign location production (FLP) sector includes feature
films and television programs filmed in Canada by foreign
studios and independent producers. In this type of production,
the foreign producer retains the copyright, but Canada
benefits in the form of jobs and economic activity. FLPs
employ Canadian producers, performers, and crews to deliver
films and television programs for global audiences.
72 P rof i l e 2 0 0 8
Highlights
• The total volume of FLP in Canada was $1.4 • British Columbia, Ontario and Saskatchewan
billion in 2006/07 – a decrease of 14% from experienced decreases in FLP volume in
almost $1.7 billion in 2005/06. 2006/07, while Quebec, Nova Scotia, Alberta
and Manitoba raised their levels of FLP.
• There were a total number of 162 FLP
projects in Canada in 2006/07 – a decrease • The overall drop in FLP volume in 2006/07
of 24% from 207 in 2005/06. was driven by lower levels of feature film
production in British Columbia and Ontario,
• FLP generated an estimated 37,500 FTEs in as well as lower production levels for TV
2006/07, including 14,400 FTEs directly in MOWs and mini-series.
film and television production.
• While the overall level of FLP volume
• British Columbia accounted for 60% of all dropped in 2006/07, the production of FLP
FLP volume in Canada in 2006/07. television series increased – both in British
Columbia and Ontario.
4.1 Volume activity in the feature film segment, as well as

lower levels in the production of TV MOWs and
After recovering in 2005/06, Canada’s FLP sector mini-series (see Exhibit 4 - 5).
experienced a retreat in production volume
in 2006/07, as the rising Canadian dollar and The decreases in FLP volumes were largely
competition from other countries and U.S. states confined to the largest provinces of FLP – British
impacted on Canada’s position. Columbia and Ontario – with Ontario experiencing a
significant drop in production in 2006/07. Quebec,
The total volume of FLP in Canada fell by 14% in Nova Scotia, Alberta, and Manitoba all raised their
2006/07, decreasing from $1.7 billion to $1.4 billion. levels of FLP in 2006/07.
The drop in FLP was largely due to decreased
Exhibit 4 - 1: Total volume of foreign location production
1,914 1,904
2,000 1,762 1,760
1,666
1,506 1,463 1,435
1,500
$ millions
1,096
1,000 768 819
500
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Association of Provincial Funding Agencies and the Department of Canadian Heritage.
Note: The Association of Provincial Funding Agencies collects data for foreign location production from provincial film commissions
and film development corporations.
P rof i l e 2 0 0 8 73
4.2 Employment 37,500 FTEs in Canada, including 14,400 FTEs

directly in FLP, and a further 23,100 FTEs in other
The FLP sector continued to be a major source parts of the Canadian economy. Total FTEs fell by
of production-industry employment and economic 16% in 2006/07, as the volume of FLP dropped.
spin-offs in 2006/07. FLP generated an estimated
Exhibit 4 - 2: Number of full-time equivalent jobs (FTEs) in foreign location production
60,000 Indirect Jobs

Direct Jobs 53,500
52,100 52,000
50,500
50,000 45,700
44,400
39,000 37,500
FTEs
40,000
33,600 32,100 32,800 32,000
31,100
28,100
27,300
30,000 25,500
23,900 24,000 23,100
20,700
20,000
15,700
14,700
20,000 19,400 20,500 20,000

10,000 17,600 17,100
15,000 14,400
12,900
9,200 9,800
0
96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
Source: Estimates based on data from the Association of Provincial Funding Agencies, the Department of Canadian Heritage and Statistics Canada.
4.3 Production by Province experienced a 26% increase in its FLP, as the

volume of FLP rose from $99 million to $125
Canada’s two largest provinces for FLP experienced million in 2006/07. A large part of the increase
decreases in production volume in 2006/07, while in Quebec can be traced back to a rise in the
Quebec and several of the smaller FLP centres in number of FLP feature films shot in the province in
Canada posted modest increases. 2006/07; the number of films increased to 17 from
8 in 2005/06 (see Exhibit 4 - 6).
British Columbia was the largest province for FLP
in 2006/07, with a total volume of $861 million. Nova Scotia posted a modest increase in FLP,
The province experienced a 12% decrease in FLP from $61 million to $63 million. In Alberta, the
volume, as its annual number of FLP projects increase in FLP was more pronounced, rising from
dropped from 94 to 79 (see Exhibit 4 - 6). Despite $37 million in 2005/06 to $54 million in 2006/07.
the drop in the province’s production volume and Manitoba also experienced an increase in FLP: its
activity, 60% of FLP in 2006/07 took place in British FLP volume rose from $34 million to $38 million.
Columbia.
FLP in Saskatchewan dropped for the second
The volume of FLP in Ontario dropped by $167 consecutive year. In 2006/07, the volume of FLP
million, from $455 million to a total of $288 was down to $5 million, from $7 million in 2005/06.
million in 2006/07 – a decrease of 37%. Quebec
74 P rof i l e 2 0 0 8
Exhibit 4 - 3: Volume of foreign location production, by province
( $ millions unless
otherwise specified ) 96/97 97/98 98/99 99/00 00/01 01/02 02/03 03/04 04/05 05/06 06/07
British Columbia 362 425 445 664 760 857 830 1,236 567 973 861
Ontario 253 221 347 443 543 561 549 340 521 455 288
Quebec 87 129 197 213 337 215 399 193 261 99 125
Nova Scotia 4 5 18 60 35 48 52 51 36 61 63
Alberta 60 32 46 112 57 34 50 0 1 37 54
Manitoba 0 7 27 7 25 33 34 79 54 34 38
Saskatchewan 0 0 16 7 0 0 0 0 23 7 5
Yukon Territory 2 0 0 1 2 1 0 2 <1 <1 <1
New Brunswick 0 0 0 0 3 3 0 0 0 0 0
Northwest Territories 0 0 0 0 1 0 0 0 0 0 0
Nunavut -- -- -- -- -- -- -- -- -- -- --
Total 768 819 1,096 1,506 1,762 1,760 1,914 1,904 1,463 1,666 1,435
Source: Association of Provincial Funding Agencies and the Department of Canadian Heritage.
“--” Data not available or reported
Exhibit 4 - 4: Share of total volume of foreign location production, by province, 2006/07
Manitoba, 3%
Nova Scotia, 4%
Ontario, 20%
British Columbia, 60%
Quebec, 9%
Saskatchewan, <1%
Yukon, <1%
Alberta, 2%
Source: Association of Provincial Funding Agencies.
P rof i l e 2 0 0 8 75
4.4 Types Significant pullbacks in feature film production in

British Columbia and Ontario led to a 26% drop
Even as the total volume of FLP decreased in in this segment of the FLP sector. The annual
2006/07, television-series production in the FLP number of foreign feature films shot in British
sector increased by 33%. Both Ontario and British Columbia dropped from 42 in 2005/06 to 27 in
Columbia experienced increases in television-series 2006/07; in Ontario the annual number of foreign
production, but British Columbia accounted for the feature films decreased from 25 to 17.
majority of the increase. British Columbia was the
location for the production of several American
television series, including Battlestar Galactica,
Bionic Woman, Men in Trees, Smallville, and
Supernatural.
The production of other types of television

programs dropped in 2006/07, as did the production
of feature films. The production of other types of
television programs, including MOWs, mini-series
and television pilots dropped by 33%, as a result of
decreases in production activity in British Columbia,
Ontario and Nova Scotia.
Exhibit 4 - 5: Total volume of foreign location production, by type of production
1,915 1,904
2,000
1,666
1,463
1,435
1,500 989
$ millions
1,163
1,008
789 742
1,000
417
466 320
500 380
507
509
353
274 278
186
0
02/03 03/04 04/05 05/06 06/07
Source: Association of Provincial Funding Agencies (data are not available for years prior to 2002/03).
76 P rof i l e 2 0 0 8
Exhibit 4 - 6: Annual number of foreign location projects, by province
02/03 03/04 04/05 05/06 06/07
British Columbia 65 69 68 94 79
Feature films -- 25 19 42 27
TV Series -- 15 21 13 25
TV Other -- 29 28 39 27
Ontario 76 36 35 49 28
TV Series -- 7 4 7 5
TV Other -- 15 18 17 6
Quebec 39 40 38 22 23
TV Series -- 6 10 5 0
TV Other -- 20 9 9 6
Nova Scotia 13 8 8 14 5
TV Other -- 6 6 10 4
Alberta 3 0 1 9 16
TV Other -- 0 0 7 10
Manitoba 11 9 5 14 8
TV Other -- 4 4 7 2
Saskatchewan -- 0 0 1 2
TV Other -- 0 0 0 0
Yukon Territory 4 3 1 4 1
Feature films -- 2 0 1 --
TV Other -- 1 1 3 1
New Brunswick -- 0 0 0 0
TV Other -- 0 0 0 0
Newfoundland and Labrador -- 0 0 0 0
Feature films -- 0 0 -- 0
TV Other -- 0 0 0 0
Prince Edward Island -- 1 0 -- --
Feature films -- 1 0 -- --
TV Series -- 0 0 0 --
TV Other -- 0 0 0 --
Northwest Territories -- -- -- -- --
Feature films -- -- -- -- --
TV Series -- -- -- -- --
TV Other -- -- -- -- --
Nunavut -- -- -- -- --
Feature films -- -- -- -- --
TV Series -- -- -- -- --
TV Other -- -- -- -- --
Total 211 166 155 207 162
Source: Association of Provincial Funding Agencies (data are not available for years prior to 2002/03).
“--” Data not available or reported
Note: Totals are based on available data and make no allowance for unavailable data.
P rof i l e 2 0 0 8 77
5. Broadcaster In-House
Production
Broadcaster in-house production (“in-house production”)
refers to productions made internally by private television
broadcasters, the Canadian Broadcasting Corporation
(CBC), Société Radio-Canada (SRC), and specialty- and pay-
television services. In-house production is largely comprised
of news and sports programming, but can also include
production in other genres.
78 P rof i l e 2 0 0 8
Highlights
• In-house production reached an all-time • The sharp increase in in-house production

high of just over $1.1 billion during the 2006 can, in large part, be attributed to the
broadcasting year. resumption of the National Hockey League
during the 2006 broadcasting year, following
• In-house production rebounded by 11% in the cancelled hockey season the year before.
2006, following a decrease of 6% in 2005.
• In-house production generated an estimated
• All of the broadcasting industry segments 29,200 FTEs in Canada in 2006, including
– private and public conventional television, 11,200 FTEs employed by Canadian
specialty television, and pay television – broadcasters directly in in-house production.
recorded increases in in-house production in
2006.
5.1 Volume over 2005. Public and private conventional

broadcasters accounted for 24%, or $26 million,
During the 2006 broadcasting year, in-house of the increase in 2006. Increased production
production increased by 11% to just over $1.1 in the pay-television segment amounted to $3
billion. This increase followed a decrease of 6% million (see Section 5.2).
in 2005.
• The rebound in in-house production was due in
• All of the broadcasting industry segments large part to resumption of professional hockey
– private and public conventional television, in 2005/06.
specialty television, and pay television – recorded
increases in in-house production in 2006 (see
Section 5.2).
5.2 Segments
• Approximately 74% of the $112 million increase
in in-house production can be attributed to higher During the 2006 broadcasting year, and in prior
spending in the specialty-television segment; years, most in-house production took place in the
spending in this segment was up by $83 million conventional television segment.
Exhibit 5 - 1: Total volume of broadcaster in-house production
1,144
1,200 1,094
1,043 1,032
963 997
850 885
900 790 760
743
$ millions
600
300
0
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
Broadcasting year ending
Source: Estimates based on data from CRTC and CBC/SRC.
P rof i l e 2 0 0 8 79
Exhibit 5 - 2: Broadcaster in-house production, by segment

1,144
1,200
1,094
1,042 1,032
996
962
1,000
885
850
790
743 760
800 717
723 753
691
697
$ millions
705
600
662
650
652 591
633
400
418
333 335
293 312
200 254
219
135 166 198
107
3 3 2 2 4 5 7 8 8 6 9
0
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
Source: Estimates based on data from CRTC and CBC/SRC.

• In 2006, in-house production by conventional for under 1% of total in-house production in

television broadcasters increased by 4% to reach 2006. In-house production among pay television
717 million; in-house production in this segment services was up by 42% compared to 2005.
accounted for 63% of total in-house production.
• In-house production by specialty television 5.3 Employment

broadcasters totalled $418 million in 2006, or
37% of total in-house production. In-house During the 2006 broadcasting year, in-house
production by specialty television services production generated an estimated 29,200 FTEs in
climbed 25% in 2006. Canada. This amount included 11,200 FTEs directly
in in-house production at Canadian broadcasters, as
• Pay television services made expenditures of $9 well as 18,000 FTEs in other parts of the Canadian
million on in-house production, and accounted economy.
Exhibit 5-3: Number of full-time equivalent jobs (FTEs) in broadcaster in-house production
28,400 29,100 29,200

27,600 27,800 26,800
30,000 25,800 26,200
24,700
23,100 23,300
17,900 18,000
20,000 17,000 17,100 17,500
15,900 16,100 16,500
FTEs
15,200 14,300
14,200
10,000
9,500 9,900 10,100 10,600 10,700 10,900 11,200 10,300 11,200

8,900 9,000
0
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006
Source: Estimates based on data from CRTC, CBC/SRC and Statistics Canada.
80 P rof i l e 2 0 0 8
5.4 Production by Province 2005. As the home for most of Canada’s French-
language conventional broadcasters and pay and
Most in-house production during the 2006 specialty television services, Quebec accounted for
broadcasting year was concentrated in Ontario. 21% of total in-house production in 2006.
Many of Canada’s English-language conventional
broadcasters and specialty and pay television In-house production in British Columbia dropped
services are based in Ontario. In 2006, Ontario slightly to $93 million in 2006 and accounted
accounted for 60% of total in-house production for 8% of the national total. In addition to the
with a total volume of $683 million. Ontario also conventional broadcasters based in British
accounted for 80% of the rise in total in-house Columbia, the province is home to specialty
production in 2006, with an increase of $91 million. television, including Talentvision and ATN Zee.
In Quebec, in-house production totalled $241

million in 2006 – an increase of 10% compared to
Exhibit 5 - 4: Broadcaster in-house production, by province
( $ millions unless 2006

otherwise specified ) 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 share of total
Ontario 415 387 402 461 486 528 566 588 647 592 683 60%
Quebec 203 188 189 207 216 240 220 233 246 219 241 21%
British Columbia* 58 58 60 62 62 65 69 92 87 96 93 8%
Alberta 52 51 50 55 52 57 67 63 61 64 65 6%
Nova Scotia 19 19 18 21 22 23 22 23 14 16 17 2%
Manitoba 17 17 15 17 20 22 22 16 14 14 15 1%
Saskatchewan 14 13 12 12 12 14 16 13 12 13 16 1%
New Brunswick 7 7 8 8 8 8 8 8 8 8 8 1%
Newfoundland and Labrador 4 4 4 5 5 4 5 6 5 8 5 <1%
Prince Edward Island 1 1 1 1 1 1 1 1 1 1 1 <1%
Total 790 743 760 850 885 962 996 1,042 1,094 1,032 1,144 100%
Source: Estimates based on data collected from CRTC, CBC/SRC, and Statistics Canada
* Includes the Territories.
Note: A complete set of provincial statistics were not available for private broadcaster in-house production in the Prairie Provinces and
Atlantic Canada. For the Prairie Provinces, Nordicity developed estimates based on the historical shares observed in the CRTC statistics
prior to 2001 – before the CRTC began to suppress the provincial statistics. The breakdown of private broadcaster in-house production
among the provinces in Atlantic Canada was also based on the development of estimates. Because no historical data existed, each province’s
share of Atlantic Canada’s total GDP was used as the proxy variable for the estimate. CBC/SRC data was available on a provincial basis for
2002/03 to 2006/07. The average share across these five years was used to extrapolate provincial data back to 1996/97.
P rof i l e 2 0 0 8 81
Key Statistics on the Canadian Film and Television Market
1. Population of Canada (July 2007): 32,976,026
2. Per-capita spending on film and television production in Canada (2006/07) $151
3. Number of private households (2006 Census) 12,437,470
4. Number of subscribers to multi-channel television programming services (2006): 9,978,000
5. Number of subscribers to cable-television services (2006): 7,350,000
6. Number of subscribers to direct-to-home (DTH) and multipoint distribution

systems (MDS) (2006): 2,628,000
7. Number of subscribers to digital television services (September 2006): 5,789,700
8. Penetration of digital television services among subscribers to multi-channel

television services (September 2006): 58%
9. Total number of television services available in Canada (December 2006): 662
10. Total number of Canadian television services available in Canada (December 2006): 500
11. Total number of non-Canadian television services available in Canada (December 2006): 162
12. Number of Canadian theatrical feature films produced per one million inhabitants (2006/07): 2.7
13. Number of theatre admissions (2005) 105,190,134
14. Number of movie-theatre screens (2005): 2,826
Sources: 1. Statistics Canada; 2. CFTPA and Statistics Canada; 3. Statistics Canada; 4 – 11. CRTC;
12. CAVCO and Statistics Canada; 13-14. Statistics Canada.
82 P rof i l e 2 0 0 8

2008 Economic Report On Film & TV Industry in Canada

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2008 Economic Report On Film & TV Industry in Canada

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Profil 2008 – Rapport économique sur la production cinématographique et télévisuelle au Canada

Produced by the CFTPA and the APFTQ,

Production facts and figures prepared

Profile 2008 is published by the Canadian

Tel: 866-390-7639 (Canada only)/

Nordicity Group Ltd.

Peter Lyman, Senior Partner

Nordicity Group Ltd. (www.nordicity.com) is the pre-eminent Canadian Tel: 514-397-8600

The Department of Canadian Heritage contributed to the

4 Foreign Location Production 72

5 Broadcaster In-House Production 78

Key Statistics on the Canadian Film and Television Market 82

Exhibit 2 - 1 Total volume of film and television production in Canada 16

Exhibit 3 - 1 Total volume of Canadian production 22

Exhibit 3 - 45 Expenditures on Canadian independent production by private Canadian broadcasters 49

Exhibit 4 - 1 Total volume of foreign location production 73

Exhibit 5 - 1 Total volume of broadcaster in-house production 79

A Year of Great Transition

The threats winning interactive platform for ReGenesis are but

There were some very promising trends in Canadian theatrical production –

Government need to look at ways of encouraging Treaty co-production – in urgent need

Exhibit 2 - 1: Total volume of film and television production in Canada

6,000 Canadian Television

3,844 1,805 1,723

Exhibit 2 - 2: Total volume of film and television production in Canada,

Canadian Television, 42% Broadcaster In-House, 23%

Canadian Theatrical, 6% Foreign Location, 29%

Film and television production continued to be a Radio and TV Broadcasting +

Exhibit 2 - 4: Number of full-time equivalent jobs (FTEs) in film and television

150,000 Indirect Jobs 139,100

100,000 93,100 91,100

52,000 52,700 52,300 53,500 52,600 48,500 48,800

Exhibit 2 - 5: Export value of film and television production in Canada

2,500 Canadian Television 2,319 2,371 2,321

2.5 Production by Province Quebec, where the volume of production increased

Exhibit 2 - 6: Volume of film and television production in Canada, by province

Exhibit 2 - 7: Share of total volume of production in Canada, by province, 2006/07

Quebec, 25% British Columbia*, 29%

Prince Edward Island, <1%

• Canadian production generated 61,100 FTEs • Canadian production attracted financing

3.1 Total Canadian Production 3.1.1 Volume

Canadian production includes television Canadian production reached a total volume of

Exhibit 3 - 1: Total volume of Canadian production

Source: Estimates based on data collected from CAVCO.

3.1.2 Employment as well as 37,600 FTEs in other parts of the

Exhibit 3 - 2: Number of full-time equivalent jobs (FTEs) in Canadian production

70,000 Indirect Jobs

23,400 24,500 22,200 22,300 21,600 23,500

Source: Estimates based on data from CAVCO and Statistics Canada.

3.1.3 Language Canadian production produced in English increased

Exhibit 3 - 3: Volume of Canadian production, by language

500 1,094 1,055

Source: Estimates based on data from CAVCO.

3.1.4 Genres The fiction genre is comprised almost entirely of

Exhibit 3 - 4: Total volume of fiction production

900 317 152

Source: Estimates based on data from CAVCO.

Exhibit 3 - 5: Volume of fiction production, Exhibit 3 - 6: Number and share of fiction

Short-length films Mini-series,4%

Source: Estimates based on data from CAVCO.

Children’s and Youth English. Approximately 94% of the $223 million

Exhibit 3 - 7: Total volume of children’s and youth production

Source: Estimates based on data from CAVCO.