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NOTICE OF GROUNDS FOR OBJECTION Filed by the Canadian Association for the Performing Arts (CAPACOA).

In relation to proposed tariff Re:Sound Tariff 5.I Comedy and Magic Shows (2026-2030).

Filed with the Copyright Board on 2024-12-16 pursuant to Rule 18 of Copyright Board Rules of Practice and Procedure.

Ground for Objection: Excessive fee increases Re:Sound is proposing significant fee increases for all its live events tariffs, which CAPACOA deems excessive.

In the notice of grounds for Re:Sound 5.A, for the period of 2024 to 2030, Re:Sound hypothesizes that the inflation rate for this 7-year period will be 4.8% on average. This hypothesis is based on the average for the period 2021-2023. This three-year period saw inflation levels that were well above historical averages. Inflation has since slowed down and there is absolutely no indication that inflation will remain this far above the 2% target of central banks. In fact, the Bank of Canada reduced its policy interest rate by 1.75 percentage point since April 2024, to 3.25. This suggests that the Bank of Canada is confident inflation will continue to slow down in 2025.

Prepared by:

Frédéric Julien Director of Research and Development CAPACOA

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