Pierre Karl Pladeau looms large over Qubecor board meeting

The shadow of Qubecor Inc.'s controlling shareholder loomed large over the company's annual meeting Thursday despite efforts of board members to distance themselves from the man who will likely become leader of the Parti Qubecois.

Pierre KarlPladeau, who owns themajority of voting shares inQubecor, hasn't been involved in the governanceof the company for "months and months,"said PierreDion, president and CEO of the media conglomerate.

(Pladeau) has been very good in not interfering at all and that's been my experience for the last year.- Brian Mulroney,Qubecorchairman

"I don't remember the last time I met with Pierre Karl,''Diontold reporters after the meeting.

"It's been a very long time. Mr.Pladeauis not involved in the day-to-day operations of this organization."

Since being elected to the legislature last year, Pladeau and Qubecor have been dogged by conflict-of-interest allegations, while calls for him to divest his shares have increased ever since he launched his bid for the PQ leadership.

Pladeauwon't sell

Pladeau maintains he is willing to put his Qubecor shares in a blind trustbut has steadfastly rejected the idea of selling his stake in the company.

Quebec's National Assembly is currently studying what to do about Pladeau or any future politician who owns large business assets.

Qubecor chairman Brian Mulroney said Pladeau is sometimes consulted on company mattersbut that such an approach is normal.

"We have to consult because he is the controlling shareholder,"the former prime minister said.

"If the board decided to sell (TV network) TVA or did something else that was dramatic, it would be appropriate that he be consulted because he would vote on it."

Mulroney added thatPladeau"has been very good in not interfering at all, and that's been my experience for the last year."

Dion also talked about TVA Sports, Qubecor's fledgling all-sports station, which recently lost a CRTC decision to Bell Canada over distribution rates.

"TVA Sports is here to stay,"Dion said, repeating it several times because Qubecor initially told the broadcast regulator the outcome of the issue of distribution rates was crucial for the future of TVA Sports.

Qubecor announced Thursday that first-quarter revenues rose 5.7 per centto $948.6 million from a year earlier.

Per-share profit fell to $29.4 million, or 24 cents a share, from $39.1 million, or 32 cents a share.