CORUS ENTERTAINMENT PROVIDES VOTING RESULTS AND UPDATE REGARDING PROPOSED RECAPITALIZATION TRANSACTION

Executive Summary

• Shareholders and senior noteholders voted overwhelmingly in favour of Corus Entertainment’s proposed recapitalisation (Arrangement), meeting the required thresholds for senior notes and Class A shareholders.
• The Arrangement aims to cut total third‑party debt by > $500 million, lower annual cash interest payments by up to $40 million, and preserve Corus as a leading Canadian broadcaster.
• Corus will seek court approval of the Arrangement at a hearing scheduled for 12 March 2026; a further press release will be issued if the date changes.

Key Details

• Voting Outcome – Senior Noteholders: 659,914,000 votes cast in favour (99.9% of notes‑holder votes).
• Voting Outcome – Class A Voting Shares: 3,251,646 shares voted in favour (99.7% of Class A votes); 97.2% of all Class A shares outstanding participated.
• Voting Outcome – Class B Non‑Voting Shares: 35,751,739 shares voted in favour (61.2% of Class B votes); only 29.8% of all Class B shares outstanding participated, below the two‑thirds threshold required for this class.
• Result: Required support obtained from senior noteholders and Class A shareholders; insufficient support from Class B non‑voting shareholders, but overall “strong overall support” as stated by the Board.
• Transaction Objectives:
• Reduce total third‑party debt & other liabilities by > $500 million.
• Decrease annual cash interest payments by up to $40 million.
• Maintain Corus’s operational role as an independent Canadian broadcaster.
• Court Approval Process:
• Interim Order from Ontario Superior Court (Commercial List) dated 17 December 2025 permits seeking court approval even if the resolution fails.
• Hearing set for 12 March 2026; Corus will issue a follow‑up release should the hearing date change.
• Operational Continuity: Company continues normal business operations with no changes to employee, audience, partner, or stakeholder obligations.
• SEDAR Filing: Final voting results will be posted on Corus’s SEDAR+ profile (www.sedarplus.ca).

Notable Quotes

“We continue to strongly believe that the Recapitalization Transaction is fair and reasonable and in the best interests of Corus and its stakeholders… It represents the best viable option to secure Corus' future while preserving the most shareholder value,” – Mark Hollinger, Independent Lead Director, Board of Directors.