UPDATE: Bruce Telecom, Eastlink Deal

The Municipality of Kincardine is at a loss when it comes to where a Competition Bureau release came from in regards to the proposed sale of Bruce Telecom to Eastlink.

According to the municipality, the release from the bureau came out without notice or consultation with the town.

The Municipality of Kincardine also states that contrary to this morning’s release, both Bruce Telecom and Eastlink have not not terminated their agreement and wants a correction from the bureau.

At this time, officials from the Municipality of Kincardine have not been reached for comment.


Published on Friday, August 15, 1pm

Canada’s Competition Bureau is quashing the sale of Bruce Telecom to Eastlink, which is owned by Bragg Communiciations, Inc.

The bureau’s review concluded it would have likely resulted in a substantial lessening or prevention of competition in the towns of Port Elgin and Paisley, where the two firms are the only providers of wireline telecommunications services.

“Our review concluded that Eastlink’s acquisition of Bruce Telecom would have likely resulted in higher prices and fewer choices for the supply of telecommunications services to the residents of the towns of Port Elgin and Paisley.”  says John Pecman, commissioner of competition.  “In the absence of the dynamic rivalry that exists between Eastlink and Bruce Telecom, customers would also have been deprived of the benefits of innovation in their telecommunications services.”

According to the release from the Competition Bureau, the parties ultimately decided to abandon the proposed transaction.

Kincardine Council had scheduled a public meeting August 27 to receive deputations from the public considering the possible sale of Bruce Telecom, valued at $24-million.

Eastlink is established in seven provinces and numerous communities in Huron, Perth, Bruce, Grey and Wellington counties.

Bruce Telecom serves communities in northern parts of Bruce County and Grey County.