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The CRTC and competition in local telephone service. A balanced decision which will promote the establishment of healthy, sustainable competition

Montréal, April 6, 2006 –Videotron is satisfied with the decision announced today by the Canadian Radio-television and Telecommunications Commission (CRTC) to set the threshold for deregulating local telephone service at a market share of 25% for competitive service providers.

"This decision will allow competition to take root in a harmonious manner, to the benefit of Canadian consumers," said Robert Dépatie, President and Chief Executive Officer of Videotron. " All the players in the telecommunications industry, including Videotron, agree that deregulation of local telephone service is inevitable, but it must be introduced once conditions conducive to sustainable competition exist. The measures announced by the CRTC today clearly go in the right direction."

"In the Canadian long-distance market, the competition’s initial inroads were no guarantee of future gains," said Mr. Dépatie. "We conclude from this that the battle is not won. Videotron will need to redouble its efforts and become still more creative in order to win and retain market share against Canada’s telecommunications giant."

Videotron Ltd. (www.videotron.com), a wholly-owned subsidiary of Quebecor Media Inc., is an integrated communications company engaged in cable television, interactive multimedia development, Internet access services and residential telephone service. Videotron is a leader in new technologies with its illico interactive television system and its broadband network, which supports high-speed cable Internet access, analog and digital cable television, and other services. As of December 31, 2005, Videotron was serving 1,506,000 cable television customers in Québec; including 475,000 illico subscribers. Videotron is also the Québec leader in high-speed Internet access, with 656,000 subscribers to its cable modem and dial-up services. In addition, Videotron provides residential telephone service to more than 163,000 customers in Montréal, Montréal South Shore and North Shore, Laval and the Québec City area. 


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